EU

European Commission Cooperation and Development

assistance in Moldova

Kaido Sirel

Head of Operations

EU Delegation to Moldova

EU Summary

• Sources of funding

• Projects/Assistance areas

EU Sources• TACIS (~15)

• Macro-financial assistance (90)

• European Neighbourhood and Partnership Instrument– Bilateral program for Moldova (225, +273, +

EaPIC)

-------------------------------------------------------------------------------– Inter-regional programmes (NIF bilateral - 80, NIF regional)

– Regional program ENPI East (~100)

– Cross-border cooperation programmes (44, ~150)

---------------------------------------------------------------------------------• Development Cooperation Instrument - Thematic Budgets

– bilateral, – regional, – global

• External programmes from Commission Directorate General’s• Internal EU programmes opened and to be opened to Moldova.

EU ENPI Bilateral National Indicative

Programme 2011-2013• Priorities for MOLDOVA (273,14 MEUR)

– Good governance, rule of law, fundamental freedoms

– Social and human development

– Trade and sustainable development

Confidence Building Measures. Regional Cohesion pilots

EU

Democracy, Good Governance and Stability

Economic Development

Climate Change, Energy and Environment

Advancing Integration with the EU and Regional Co-operation

REGIONAL PROGRAMME EAST :

EU Inter-regional

Priority Area 1: Promoting reform through European advice and expertise – SIGMA, TAIEX Priority Area 2: Promoting higher education and student mobility TEMPUS, Erasmus Mundus Priority Area 3: Promoting cooperation between local actors in the EU, and in the partner countries – CIUDAD Priority Area 4: Promoting Investment projects via Neighbourhood Investment Facility (NIF)

EU Cross Border Cooperation

• CBC Moldova – Romania - Ukraine

(2007-2013) 126 million euro

44 million for Large Scale projects decided

• Black Sea Programme 26 million euro

• CBC South East Europe

EU

CBC Programs for land borders (9) and sea crossings (3)

EU

CBC Sea Basin Programs (3)

EU

• ”Investing in people” Human and social development

• Protection of the environment and sustainable planning/cultivation of natural resources, energy

• Non-state actors and local authorities in the process of development

• Food security

• Migration and asylum policies

Projects selected via Call For Proposals

5 Global Thematic Programmes

EU Bilateral Thematic calls

• European Instrument for Democracy and Human Rights

• Non State Actors and Local Actors in Governance and Civil Society Facility

EU

• Instrument for Nuclear cooperation (DEVCO)

• Humanitarian aid (DG ECHO)

• Instrument for Stability (EEAS)

• Cohesion Pilots (DG REGIO)

• SME programme (DG ENTR)

• 7th Framework Programme for Research (DG RTD)

• New EU Internal Programmes to be opened to MD

• ENPARD – Neighbourhood Agriculture and Rural Development (DG AGRI)

Other external programmes from European Commission

EU EU Internal programmes which can

be opened to Moldova• Customs 2013 • Competiveness and Innovation Framework

Program (CIP) • Intelligent Energy Europe • Entrepreneurship and Innovation; • ICT Policy Support • Consumer Policy • SESAR (Air Traffic) • Public Health

EU Additional Strategies/Initiatives• Eastern Partnership

– Comprehensive Institution Building – EaPIC - Integration and Cooperation Programme – Regional Development Pilots (PRDP)– Agriculture and Rural Development (ENPARD)

• Black Sea Synergy (ENPI East + Russia + Turkey)

• Danube Strategy

• Mobility Partnership - Moldova as pilot case

• European Endownment for Democracy – Support for Civil Society

EU Projects state of Affairs 2012 Around 150 programmes and projects ongoing or in preparation

in Moldova

Phasing out of TACIS and TACIS Cross Border Coopertion

6 Budget Support programmes ongoing or in preparation

Technical Assistance (social, health, economy, mobility partnership, water, justice, public administration, etc)

Twinnings and Comprehensive Institution Building

Thematic Budget lines projects (media, anti-torture, legal protection, elections, migration, energy, environment, etc)

Cross Border Cooperation projects (water, infrastructures, tourism, historic towns, etc)

Macro-Financial Assistance

Neighbourhood Investment Facility – Roads, Water, Health, Air Logistics, Airport, Trolleybuses, - in pipeline wine sector, roads,

EU Budget Support• ENPI 2007 Social sector € 21 million

• ENPI 2008 Health sector € 46 million

• ENPI 2009 Water and sanitation sector € 50 million

• ENPI 2010 Economic Stimulation in Rural Areas € 45 million

• ENPI 2011 Energy € 42 million

• ENPI 2012 Justice reform € 52 million

• ENPI 2013 Vocational Education and Training

EU Macro-Financial Assistance2007-2008: 45 M EUR grant, paid in 3 tranches

2010 – 2012: 90 M EUR grant, paid in 3 tranches – support provided as response to financial crisis.

Conditions:• Public expenditure management and fiscal reform: implementation

of Treasury Systems, customs & taxation reforms, public procurement

• Enterprise restructuring and business environment: privatisation of state-owned firms, bankruptcy legislation, competition legislation, SME development

• Financial sector reform: privatisation of banks, supervision regulation, insurance legislation

• Specific sectoral issues: public utilities, statistics, export promotion.

EU Neighbourhood Investment Facility

• Providing blending grants for the loans

• 11 projects blending in the loans of around 700 m eur with 87,96 m eur grants in Moldova– Modernisation of the Republican Clinical Hospital – Airport Modernisation Project – Road Rehabilitation project – Feasibility Study for the Improvement of Water and Sanitation

System in Chisinau– Water Utilities development programme– Chisinau Transport project– Vine sector upgrading– Roads rehabilitation project– 2 Energy efficiency projects– Moldelectrica

Regional NIF grants

EU Twinnings• Annual envelope of 5-7 MEUR (~3 new Twinnings per year)• Requests from state institutions can cover all aspects of EU

approximation process where there is EU acquis.Concluded Twinnings: - Parliament (FR, HU)- Penitentiary system (D, NL)Ongoing Twinnings- Procurement (RO) - Intellectual Property Rights (DK, RO), - Competition and State Aid (LV, A, RO) - Regional development (F) - Public internal financial control (S, NL) - Accreditation of product conformity assessment (S, NL) - Market surveillance (UK, LT)

Several more Twinnings in preparation

EU Comprehensive Institution Building

EaP framework jointly developed and implemented with the partner country to ensure effective institution building of a limited number of core institutions which

are central to the preparation and implementation of future Association

Agreement and DCFTA.

EU CIB- Indicative list of Beneficiary Institutions

Public Administration Reform:• State Chancellery• Public Procurement Agency• Ministry of Finance

Ensuring rule of law, human rights and fundamental freedoms• General Prosecutor's Office• Ministry of Internal Affairs• Centre for Combating Economic Crimes and Corruption

Preparing Moldova in view of future DCFTA• Ministry of Economy• Ministry of Agriculture• Ministry of Health (Public Health Service)• Inspectorate for Phyto-Sanitary Surveillance and Seed Control• Sanitary-Veterinary and Animal origin Food Safety Agency• Agency for Protection of Competition• Agency on Intellectual Property of the Republic of Moldova

EU Conclusions

• Assistance increased around 10 fold

• Moldova is often pilot and praised as most advanced reformer in the EU Neighbourhood

• Lots of new cooperation programmes opened and more in view from the European Institutions

• New logic of assistance – move from committed development assistance grants to co-funded competition/cooperations grants and loans.

EU

http://www.delmda.ec.europa.eu

http://eeas.europa.eu/moldova/index_en.htm

Funding: http://ec.europa.eu/europeaid/work/funding/index_en.htm

Additional info