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Europe Daily Bulletin No. 10464
THE DAY IN POLITICS / (ae) eu/tunisia

€157 million in support of post-revolution Tunisia

Brussels, 30/09/2011 (Agence Europe) - A series of measures to help Tunisia kick-start its economy and to accompany its transition towards a democratic future was decided on Wednesday 28 September, according to an EU press release. Conventions were signed to promote economic recovery (€100 million), reform of the water sector (€57 million) and support for civil society.

The first meeting of the EU-Tunisia joint task force was held in Tunis, co-chaired by EU High Representative for Foreign Policy Catherine Ashton and Tunisian Prime Minister Caid Essebsi. Enlargement Commissioner Štefan Füle and EU Special Representative for the Mediterranean Bernardino Léon also took part in the session alongside many well-known figures representing fund providers, including the vice-president of the World Bank, the president of the African Development Bank (ADB), the Islamic Development Bank and representatives of the economic world. The final conclusions state that Tunisia, a pioneer in the democratic transition of the Arab world, is called upon to play a major strategic role in the EU neighbourhood.

In total, Tunisia will have received assistance amounting to nearly €4 billion (2011-2013) including a support programme for disadvantaged areas (€20 million), the start-up of which has just been announced. Other funds will be made available under the SPRING programme (Support for Partnership, Reform and Inclusive Growth), and Tunisia will be the first beneficiary. The European Investment Bank (EIB) has confirmed its commitment to speed up implementation of the €130 million project in support of SME development. Loans from the World Bank (US$500 million), the African Development Bank (US$500 million), and the Agence française de développement (€185 million) have also been announced. The European Bank for Reconstruction and Development (EBRD), of which Tunisia will become a member, has also announced that, by the end of the year, it will define its financial support for these projects. A press release states that, in order to speed up EBRD intervention in Tunisia, in favour of SMEs in particular and for the preparation of infrastructure projects, the European Commission has announced a contribution of up to €20 million to the EBRD cooperation fund.

Formal talks started on 30 September for a new “privileged partnership” and it was agreed that talks should be resumed to liberalise the trade of agricultural products in order to reach a complete and in-depth free trade agreement once the EU Council has defined the mandate of the same. Both parties are also due to resume talks on the services that Tunisia was seeking to avoid as it saw no interest in going further than WTO concessions. It was, moreover, decided to grant Tunisians opportunities of access to Europe for work, study and travel. The EU states in its press release that it will initiate discussion with Tunisia with a view to a mobility partnership, the first of its kind with a southern Mediterranean country. Finally, an EU-Tunisia association committee session (technical level, below than the Association Council) will be meeting to ensure task force recommendations are followed up before a second task force session is held during the first half of 2012.

The EU also states that it will set in place a team to support the recovery of funds, made up of experts in Tunis and Brussels, in order to facilitate information exchange with member states and Tunisia on goods illegally expatriated by the former regime. The recovery of assets misappropriated by the former president and his close circle was one of the main topics tackled during the session attended by the president of the Swiss Confederation, Micheline Calmy-Rey. Her country has not yet responded to the first Tunisian demand that funds be restored, and has called for a decision by the UN.

Catherine Ashton delighted. Catherine Ashton has said: “I am pleased to say that the first meeting of the EU-Tunisia Task Force was a great success. A new Tunisia is emerging: open dynamic, prosperous and democratic. It is an example for the entire region. Yet I know that Tunisians want even faster changes, particularly in their economy. While this must of course be a Tunisian-led process, the EU is committed to doing all it can to help. Tunisia has lots of potential, skilled people and great opportunities. But it is important that investment returns”. (FB/transl.jl)

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