A NEW EU RESPONSE TO A CHANGING NEIGHBOURHOOD Suzanne Kodsi Geographical Coordination Neighbourhood South European Commission Director General for development and Cooperation EuropAid

EU NEW RESPONSE TO A CHANGING NEIGHBOURHOOD Two Communications were jointly proposed by the High Representative of the Union for Foreign Affairs and Security Policy and by the European Commission: A PARTNERSHIP FOR DEMOCRACY AND SHARED PROSPERITY WITH THE SOUTHERN MEDITERRANEAN in 8 March 2011 (COM (2011) 200) A NEW EU RESPONSE TO A CHANGING NEIGHBOURHOOD in 25 May 2011 (COM (2011) 303)

A partnership for democracy and shared prosperity with the southern Mediterranean The partnership will promote deep and sustainable democracy it will be built on three elements: Democratic reforms and institution-building with a focus on fundamental freedoms, constitutional reforms, reforms of the judiciary system and the fight against corruption. Stronger partnership with people (support to SC, enhanced opportunities of exchanges and people-to-people contacts with a particular focus on youth) Sustainable and inclusive growth and economic development (support to SME’s, vocational and educational training, improving health and education sys. and develop. of poorer regions.

A partnership for democracy and shared prosperity with the southern Mediterranean The partnership is based on joint commitment to common values (democracy , human rights, social justice, good governance and rule of law) through mutual accountability. Mutual accountability (more clarity about respective commitments) Differentiation (more adapted to specific countries circumstances) conditionality « more for more »

More for more The partnership is set out in an incentive approach based on differentiation « more for more »: Partners countries that go further and faster with democratic reforms will be able to count on greater support from the EU Support will be reallocated or refocused for those who retrench on agreed reform plans.

A New response to a changing neighbourhood adopted in 25 May 2011 Gives further substance to the EU response to the Arab Spring, the Partnership for Democracy and Shared prosperity with the Southern Mediterranean  adopted in March Builds on ENP experience and achievements since 2004 – COM (2010) 207 Taking Stock of the ENP - Follows an in-depth ENP review launched in July 2010, conducted in cooperation with partner countries, Member States and civil society organisations; - Takes advantage of the potential offered by the Lisbon Treaty to broaden cooperation with neighbours in an integrated and more effective manner.

The new response: Reinforce EU commitments to provide greater support to partners engaged in building democratic societies; support partnerships with CSO’s (and the establishment of European Endowment for Democracy) and Support sustainable economic and social development; AND Strengthen the two regional dimensions of the ENP (South and East); Provides the mechanisms and resources to deliver these objectives (1.2 billion additional funds until 2013 to the already 5.7 billion budgeted for the neighbourhood)

Support for partnership, reforms and inclusive growth (SPRING) for the southern Neighbourhood SPRING is designed as a vehicle for the provision of the additional support to partner countries in the southern Mediterranean region. Main aim is to respond to the socio-economic challenges that partner countries are facing by making funds available to those who truly committed to establish deep and sustainable democracies.

SPRING Countries Allocations SPRING is an umbrella multi-country programme. Total budget €350million (€65million for 2011 and € 285 million for 2012 (Depending on performance, further support may be made available through it in 2013). Main objectives to support : - democratic reforms and institution building , - - sustainable and inclusive economic development.

Countries allocations is based on : Assessment of countries progress and efforts in building and consolidating deep and sustainable democracy; On countries needs, capacities and reform objectives (differentiation).

Assessment of progress towards « deep democracy » Benchmarks of « deep democracy » are identified in the Joint Communication of 25 May 2011 as: Free and fair elections; Freedom of association, expression and assembly; Free press and media; The rule of law administered by an independent judiciary; Fighting against corruption; Security and law enforcement, sector reform (including the police) and the establishment of a democratic control over armed forces and security forces.

Assessment of progress towards « deep democracy » Countries assessment will rely on: the above indicators; on the most recent ENP Progress Reports; on the EU's own evaluation of the most recent developments and could also include indicators compiled by international organisations (i.e: WB Governance indicators)

“More for more” approach Spring Funds will be made available using the ‘more-for-more' approach (conditionality): partners countries that go further and faster with reforms will be able to count on greater support from the EU". Additional SPRING funds come on top of funds made available through existing Country Strategy Papers (CSPs) and revised national Indicative programmes (2011-2013) to address new challenges.

Identification Initiatives supported will Based on each country needs, capacities and reform objectives complement ongoing activities supported by EU or Member States, as well as by other donors. Initiatives will be identified by EU Delegations working closely with partner governments, Member States and international stakeholders.

Implementation Close collaboration between HQ and EU Delegations will be in place to ensure an appropriate response to the priorities in each country and to insure adequate monitoring of democratic processes, which form the basis of financial allocations.

Implementation modalities Implementation modalities allow for flexibility and for rapidity of response – for different types of support involving different types of aid modality to be provided to different partner countries depending on priorities and urgent needs and the most appropriate means of implementation. Grants will be provided through direct or indirect centralised management, joint management or partially decentralised modes.

Beneficiary countries All countries in the southern Mediterranean are eligible. Tunisia is the 1st beneficiary country from SPRING funds. €20 million were allocated , half of this amount were used to increase the EU's contribution (from €90million to €1billion) to the economic recovery support programme "Appui à la Relance“. the remaining €10 million will be made available to support Tunisia's reform priorities "support to the transition and the rule of law". priority issues: democratic governance, the reform of the security sector, media and decentralization.

Countries analysis and allocations DEVCO with EEAS are undergoing country situation analysis along with consultation exercise with EU delegations in the Neighbourhood South to identify possible initiatives to be funded under SPRING available fund for 2011 and 2012.

Thank you for your attention