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Financial Instruments

Financial Instruments. The ENPI. The EU has a coherent  European Neighbourhood Policy  to direct relations with its eastern and southern neighbours. A Strategic Partnership based on four Common Spaces  is the framework for relations with Russia, which is not part of the ENP.

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Financial Instruments

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  1. Financial Instruments

  2. The ENPI • The EU has a coherent European Neighbourhood Policy to direct relations with its eastern and southern neighbours. • A Strategic Partnership based on fourCommon Spaces is the framework for relations with Russia, which is not part of the ENP. • Since January 2007, Commission programmes that run under the ENP and the Strategic Partnership have been implemented mainly through a common financial instrument: the ENPI (European Neighbourhood and Partnership Instrument).

  3. What is an ENPI? A new framework for planning and delivering EU assistance: • To make EU assistance more effective • To support the ENP priorities • To promote cooperation between EU member states and partner (neighbor) countries

  4. What is an ENPI?Programming Process Strategy Papers IndicativeProgrammes Action Progr. / CBC Joint Progr. • Analysis of the situation • Response strategy • Priority sectors • 7 years • Revised at mid-term • Normally attached toStrategy Papers • Set global and perpriority allocations • Priority sectors • Cover 3-4 years • Annual • Describe projectsidentified for financing • Lead to EC decision & commitments of funds

  5. The ENPI Financial Instrument The ENPI is a „simplification” of existing instruments: • replaces existing instruments for external policies (geographic and thematic) • is one of the three major geographical financial instruments of EU external policies in the financial perspective 2007-2013 • replaces Tacis • all partners are eligible for support • focus on supporting the implementation of the ENP Action Plans • support through: • Country programmes • Multi-country programmes • Thematic programmes • Cross border co-operation programmes • Trans-regional programmes involving Member States

  6. The ENPI Financial Instrument The ENPI supports: • Sustainable development • Fighting poverty • Measures leading to progressive participation in the EU’s internal market • Legislative approximation • Regulatory convergence • Institution building

  7. The ENPI Financial Instrument The ENPI Financial Support 2007-2013: • Almost €12bn(+32% increase in „real terms”) • Much more flexible, policy-driven instrument • Supporting priorities agreed in the ENP Action Plans • Simplified approach for cross-border co-operation • Technical assistance: institutional capacity-building • Plus increased EIB lending mandate: €12,4 bn (€8,7 bn for Mediterranean and €3,7 billion for Eastern Europe / Southern Caucasus / Russia)

  8. The ENPI Financial Instrument The ENPI regulation: • Proposed by the Commission, amended by the EP and adopted by the Council • Large scope of assistance including development of civil society and NGOs • Different types of programmes: Country, Multi- Country („trans-regional”) and Cross Border • Strong emphasis on CB programmes (new!) • Various types of beneficiaries: NGOs included • Easy access to financial intermediaries and international organizations (EIB, WB, UN, etc) • Various types of measures : twinning, sector budgetary support, micro-projects ............. (credible?) • Financing of projects involving countries not covered by the ENP (projects of global, regional or CBC nature)

  9. Potential Sources of ENPI Financing COFINANCINGMember States, IFIs, Partner Countries Programmes

  10. Modification in Financing of the Eastern Partnership by the EU in the New Budget Perspective 2014-2020 From 2014 the ENPI have beeb replaced with the European Naighbourhood Instrument (ENI) which has become the main source of financing the EP. It is expected that the value of assistance funds will be increased by 40%, ie. to mount of 18,2 billion €.

  11. CONCLUSIONS The result of ENP is the long term goal of the initiatives is to move towards an arrangement whereby the Union’s relations with the neighbouring countries ultimately resemble the close political and economic links currently enjoyed with the European Economic Area.

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