EU investeert € 38,1 miljoen in Turks-Cypriotische gemeenschap (en)

The Commission has adopted today a financing decision for a total of €38.1 million to encourage the economic development of the Turkish Cypriot community. The financial assistance will focus on three objectives: developing physical infrastructure, promoting economic and social development and bringing the Turkish Cypriot community closer to the European Union.

In February 2006 the EU member states have adopted an Aid Regulation^[1] of €259 million. The overall objective of the financial assistance provided by the European Union is to facilitate the reunification of Cyprus by encouraging the economic development of the Turkish Cypriot community with particular emphasis on the economic integration of the island, on improving contacts between the two communities and with the EU, and on preparation for the gradual adoption of the European Union’s legal order. Today’s decision is committing €38.1 million of this overall amount for concrete projects.

Following the adoption of the financing decision Commissioner Rehn stated: “I welcome today's decision that enables us to realise concrete projects bringing the Turkish Cypriot Community closer to Europe. It is another step by the EU towards putting an end to the isolation of this community and thus facilitating the reunification of Cyprus. I also encourage the member states to take the next step and adopt our proposal from 2004 on direct trade between the EU and the Turkish Cypriot community."

From the €38.1 million the following six projects will be supported: 1) Solid waste sector programme for the Turkish Cypriot community; 2) Feasibility study for the rehabilitation of the Lefke/Lefka mining area; 3) Upgrading the management of the energy sector; 4) Upgrading of urban and local infrastructure; 5) Supporting private sector development within the Turkish Cypriot community; 6) Information on the European Union political and legal order.

The second part of the financial assistance will be adopted before the end of 2006, after the favourable opinion of the Phare Management Committee on 20 October 2006.

For the implementation of the assistance, the Commission has put in place a Programme Team composed of Commission officials and contract agents working both in Brussels and in Cyprus. The addresses of the programme team will be in Brussels and at the Representation of the European Commission in Cyprus.

This team will be using a Programme Support Office in the northern part of Cyprus to facilitate contacts with the beneficiary community, with a view to ensuring cost-effective coordination, preparation and implementation of the assistance, whilst also providing a venue for meetings and seminars. The Programme Support Office has been operational since mid-September undertaking preparatory activities.

^[1] Council Regulation n°389/2006