EU unlocks millions in development programmes

LESS than two months after enlargement, the European Commission yesterday approved the allocation of 24 billion euros to the 10 new member states for economic and social development programmes in 2004-2006.

EU money will be used to support Cohesion and Structural Funds in the new regions, providing economic and social cohesion throughout the Union. Given that enlargement increased the EU population by 20 per cent but the GDP by only five per cent, reducing economic and social disparity between the new and older states is seen as imperative by the Commission.

The new programmes aim to provide finance investment and create new job opportunities in the new member states.

In Cyprus, one programme (28 million euros) is aimed at sustainable rural development and the development of urban areas in difficulty. A second programme (22 million euros) will seek to revitalise the labour market and promote continuous training and education. Cyprus will also receive 3.4 million euros under a programme to support its fisheries sector. Including programmes supported by the EU’s the Cohesion Fund, Cyprus will receive a total of 113.44 million euros between 2004 and 2006. Only Malta will receive less at 89 million euros while the largest funds have been reserved for Poland, reaching almost 13 billion euros.

Cypriot Commissioner in Brussels Marcos Kyprianou said yesterday of the final approval of funds: “I’m delighted that the Commission has been able to approve these programmes which will provide such an enormous boost for the Cypriot economy.
This is a perfect example of how EU membership is having an immediate positive effect on the lives of ordinary Cypriots. I am certain that the schemes being introduced will encourage diversification, increase GDP and help create numerous new jobs in both rural and urban areas.

“Cyprus has already made enormous strides in preparing for the introduction of the Structural Funds. Now it has to demonstrate that it is able to manage these sums efficiently and for the maximum benefit of the recipients. I am convinced that Cyprus is equal to the task. And if it performs particularly well in handling this money, it could even qualify for additional funding from the EU’s performance reserve.”

The Cyprus Mail is the only English-language daily newspaper published in Cyprus. It was established in 1945 and today, with its popular and widely-read website, the Cyprus Mail is among the most trusted news sites in Cyprus. The newspaper is not affiliated with any political parties and has always striven to maintain its independence. Over the past 70-plus years, the Cyprus Mail, with a small dedicated team, has covered momentous events in Cyprus’ modern history, chronicling the last gasps of British colonial rule, Cyprus’ truncated independence, the coup and Turkish invasion, and the decades of negotiations to stitch the divided island back together, plus a myriad of scandals, murders, and human interests stories that capture the island and its -people. Observers describe it as politically conservative.