Brussels, 14/05/2007 (Agence Europe) - The finance ministers of the 27 EU member states and the 9 Mediterranean partner states met in Cyprus on 13-14 May, where they decided upon the strategy for the EuroMed investment and partnership fund, FEMIP, and how it will mesh with the European Neighbourhood Policy in the years to come, based on a decision by the European Council in December 2006 for FEMIP to have a loan guarantee budget of €8.7 bn. In total, FEMIP has funding of €12.4 bn. The ministers decided that the focus in future should be on backing investment and the private sector, with loans in local currency and guarantee funds to alleviate the risks borne by SMEs; an increase in, and diversification of, risk capital deals to increase the potential of technology and high growth companies and encourage the emergence of 'regional champions' in partner countries; and boosting technical aid for updating the legislative and financial system to meet business needs. Ministers also want to pursue dialogue policy and to involve all economic players in reflection on socio-economic reform and to strengthen the partner countries' feeling of ownership. To achieve this, FEMIP has set up a committee made up of EU and partner states' representatives, as well as European Commission representatives. The committee will approve the annual progress report and prepare the three-year programme for FEMIP. Furthermore, it will give its opinion on sector-specific strategies and the development of new financial products. For more information: http://www.bei.europa.eu/femip . (fb)