Thirteenth annual report on the implementation of Community assistance under Regulation (EC) No 389/2006 establishing an instrument of financial support for encouraging the economic development of the Turkish Cypriot community

Summary:

Report presented on 5 July 2019 by the European Commission on the provision of financial assistance to the Turkish Cypriot community in 2018.

Further information:

The European Commission continues to implement Regulation (EC) No 389/2006 (the Aid Regulation) in Northern Cyprus with the overall aim of supporting reunification. The Commission stands ready to adapt the programme as a result of any agreements reached in the settlement talks.

Operations in 2018 included the continuation of a number of established and successful projects, such as EU scholarships and confidence building measures in support to the Committee on Missing Persons (CMP) and to the Technical Committee on Cultural Heritage (TCCH).

Assistance provided to key economic sectors preparing for a settlement was reinforced through projects for the development of the private sector and rural areas as well as human resources development. Efforts towards tangible improvements in the area of animal diseases eradication and food safety continued.

Background:

Regulation (EC) No 389/2006 is implemented in the areas of Cyprus in which the Government of the Republic of Cyprus does not exercise effective control and where the application of the acquis is temporarily suspended pursuant to Protocol 10 of the Treaty of Accession. Assistance is implemented primarily through direct management by the European Commission, but some projects are indirectly managed by the United Nations Development Programme (UNDP), the European Bank for Reconstruction and Development (EBRD), the British Council, or Northern Ireland Co-operation Overseas (NI-CO).

Between 2006 and the end of 2018, €520 million was programmed for operations under the Aid Regulation. The amount committed in October 2018 for the 2018 annual action programme was €34.5 million. The Multiannual Financial Framework (MFF) 2014-2020 provides a multi-annual perspective to the programme with a provision for stable, annual funding. The assistance programme is, however, temporary in nature, aiming to facilitate the reunification of Cyprus, and both the Aid Regulation and Regulation No 1311/2013 laying down the MFF, allow for a revision in case of reunification.