COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 14.09.98 
COM(1998) 524 final 
IMPLEMENTING MEDA 
1996-1997 REPORT 
(presented by the Commission) 

Table of Contents 
Introduction 
PART I RESULTS OF THE MEDA PROGRAMME 
1. Organisation for implementation 
2. The programming process 
3. Commitments 
4. Payments 
PART II SUMMARY OF THE COURSE OF COOPERATION 
1. Bilateral cooperation 
2. Regional cooperation 
Annex 1: Publications 
Annex 2: MEDA Commitments and Payments 1995 - 1999 and 1995 - 2003 
Annex 3: Breakdown of financial execution 1996 - 1997 
I 
Introduction 
This report is submitted by the European Commission to the European Parliament and 
the Council pursuant to Article 15(1) of Council Regulation No 1488/% (MEDA), which 
requires an annual report regarding the measures financed under the said regulation. It 
provides information on the measures financed during 1996-97. 
The MEDA Programme is the main financial instrument of the Euro-Mediterranean 
Partnership. It forms the major part of an ECU 4,685 million five-year overall financial 
package decided on by the Cannes Huropean Council in June 1995. The 
Euro-Mediterranean Partnership itself was instituted at the Euro-Mediterranean 
Conference of Foreign Ministers held in Barcelona in November 1995. 
Part I of the report sets out the main results achieved by the MEDA Programme in 1997. 
Following the adoption by the Council of the MEDA Regulation in July 1996 and of the 
Decision on guidelines for the programming of MEDA in December 1996, the 
Commission was able during 1997 to put into place the resources and administrative 
procedures necessary for the implementation of the MEDA programme. 
1997 was also the first year in the period 1995-1999 in which the increased financial 
resources for cooperation with the Mediterranean were made available on the MEDA 
budget line. Thus commitment credits allocated to the MEDA budget line reached 
almost ECU one billion. 100% of available commitment credits were executed, thus 
testifying both to the adequacy of the programming procedures put in place by the. 
Commission and to the absorptive capacity of the beneficiary Mediterranean Partners. 
Payment credits were satisfactorily disbursed taking into account the long term 
implementation period of the projects. 
Part II of the report traces the implementation of cooperation over the year both at the 
bilateral level and at the regional level. Finally, the annexes provide an analysis of the 
execution of commitment and payment credits over 1995-1999, a forecast of execution 
up to 2003 and a detailed report of the financial execution of the MEDA Programme in 
1996 and 1997. 
?> 
PARI I RESULTS OF HIE MEDA PROGRAMME 
1. Organisation for implementation 
Framework Financing Conventions 
MEDA progressively replaces the twenty year old Financial Protocols that had provided 
the system for cooperation with non member Mediterranean countries. Therefore a new 
administrative architecture was required to enable the implementation of the MEDA 
programme by the Commission services and the beneficiary Mediterranean Partners. 
During 1997 this new structure was extensively discussed, in a spirit of partnership, with 
each Mediterranean Partner eligible to MEDA, in order to conclude a Framework 
Financing Convention. These Conventions aim to link the MEDA Regulation with local 
legislations and to improve efficiency by decentralising implementation of activities as 
close as possible to the level of the beneficiaries whilst organising the overall 
programming dialogue in a coherent way. The conclusion of these Conventions was a 
prerequisite for the implementation of the measures programmed under MEDA, with the 
exception of structural adjustment operations which can continue to be implemented 
according to existing specific procedures. 'The adoption of the Framework Financing 
Conventions thus allows implementation of the measures taken under MEDA to progress 
beyond the stage of the financial commitments to that of financial disbursements and the 
delivery of project outputs. 
The main features of the Framework Financing Conventions include: 
- the establishment of a national coordinator for the beneficiary partner in order 
to oversee overall programming and implementation. 
- a wide field of potential beneficiaries, including private operators and members 
of civil society. 
- the granting of "the most favoured donor" fiscal treatment and the exemption 
of MEDA financing from taxes and duties. 
By the end of 1997 Framework Financing Conventions were agreed with Morocco, 
Tunisia and the Palestinian Authority and discussions were well advanced with the other 
Mediterranean Partners1. 
1 At the time of writing, Framework Financing Conventions have since been agreed with Algeria, Egypt, 
Jordan, Lebanon, Syria and Turkey whereas Framework Financing Conventions are not applicable 
for Cyprus, Israel and Malta because they do not have MEDA bilateral programmes. 
H 
M I'D A Teams 
(iiven the increase in the volume of work and the extra technical demands flowing from 
the new objectives of the MEDA programme, the Commission services require additional 
human resources of an appropriate level of expertise because (he projects are of a 
complex nature and are spread across a wide range of sectors. 
In the absence of the possibility of recruiting new officials or detached national experts 
with such a required level of expertise the Budgetary Authority provided for recruitment 
of external expertise in the SAB n°l/96. To this effect the commentary to the MEDA 
budget line (B7-410) allows for the financing of technical support and related 
administrative costs for the mutual benefit of the Commission and the Mediterranean 
partners. Technical support is to include preparation of terms of reference and 
monitoring. Up to 3% of the annual MEDA appropriations entered in the supporting 
budget line may be used. 
This will allow effective control of the utilisation of Community financing under the 
direct supervision of the Commission that retains responsibility for management and 
financial decisions. MEDA Teams staff at professional level will be about 39 persons for 
Headquarters and 54 for the Delegations. Implementation of the measures themselves is 
undertaken by project management units foreseen within the structures of the individual 
measures. 
To implement this provision the Commission has proposed that support staff be recruited 
in the form of "MEDA Teams". The Teams will be deployed "extra - muros" as the 
support personnel are not part of Commission staff. Each team is to be recruited via 
restricted tender, following prequalilication based on an open call for expressions of 
interest from companies and associations of experts. Both European and Mediterranean 
experts are eligible. Each team corresponds to a particular area of intervention of the 
MEDA programme. The support staff will provide technical expertise throughout the 
project cycle thus helping to ensure the effective implementation and maximising the real 
impact of the MEDA programme. 
During 1997 the tenders for the MEDA Teams were launched and the offers were duly 
received and evaluated. Of the 10 MEDA Teams envisaged for support to the 
Commission Headquarters in Brussels, eight were contracted in the last quarter of 1997. 
The recruitment of the remaining two teams was pursued in 1998. As regards the MEDA 
Teams attached to the Commission Delegations, tendering procedures were well 
advanced by the end of 1997 with the majority of contracts being concluded in 1998 
following agreement on the framework conventions with^the Mediterranean Partner 
concerned. 
Information activities 
The launching of the MEDA Programme has generated a great amount of public interest 
within, in particular, the media, professional organisations, cultural associations and non­
governmental organisations. At the same time this has created a significant increase in 
the demand for information about the MEDA Programme, its objectives and modalities, 
as well as about the Euro-Mediterranean Partnership as a whole. 
r 
In response to these developments the Commission services have, during 1997, 
developed a series of publications in order to allow interested parties to keep abreast of 
developments and to participate in MEDA. These includes brochures which illustrate 
through concrete examples the objectives and activities of the Euro-Mediterranean 
Partnership as a whole, as well as of specific policies. Furthermore, a series of 
information notes has been produced allowing speedy diffusion of information on the 
progress of implementation of the Euro-Mediterranean Partnership and the MEDA 
Programme. A list of these documents is given in Annex 1. Information of this nature is 
also now available on the following Internet website: http://www.euromed.net. 
Information on procurement opportunities is published on a quarterly basis in the Official 
Journal of the European Communities and is now also available on the Internet at the 
following address: http://europa.eu.int/en/comm/dg 1 b/contract.html. Information on the 
financial execution of the MEDA Programme is available on: 
http://europa.eu.int/en/comm/dg 1 b/budget/index.html. 
2. The programming process 
MEDA has a flexible programming process in order to respond to the challenge of 
significantly intensified cooperation. This is to avoid dispersion of the cooperation effort 
and to give an incentive for efficient implementation. Equally, MEDA must be capable 
of adaptation over time as lessons are learned through its implementation and as the 
needs and priorities of the Mediterranean partners evolve. 
Therefore, instead of fixing the financial allocations for the period 1995-99 during a 
single programming exercise at the start of the period, as under the old financial protocol 
system (1978-96), a three-year rolling programming exercise takes place every year, with 
indicative amounts for both bilateral and regional cooperation. As there is no bilateral 
contractual agreement, funds can be adjusted within the budgetary period both within and 
between bilateral and regional cooperation. 
The criteria applied to establish the initial indicative country allocations are, over and 
above the traditional criteria (population size; per capita income), efficiency in 
implementation as well as progress in structural reform and foremost progress towards 
the conclusion of the Iiuro-Mediterranean Association Agreements. This latter criterion 
is particularly important since it effectively justifies a substantial increase in fund 
allocation, with the aim of accompanying the transition process to an economy integrated 
with the EU-market. 
Thus National Indicative Programmes (NIPs) have been adopted for bilateral cooperation 
and a regional indicative programme has been proposed for regional cooperation, in 
accordance with Article 5(2) of the MEDA Regulation. These documents establish the 
priority areas for intervention for the MEDA Programme, within the scope of the MEDA 
Regulation, and are therefore a tool for maintaining a strategic and targeted cooperation 
effort. On this basis the Commission subsequently adopts financing decisions for the 
initiation of projects, to be implemented on the basis of financing conventions agreed 
with the beneficiary institutions. 
6 
National Indicative Programmes were first adopted by the Commission in 1996 for the 
period 1996-1998, following the positive opinion of the Member States at the Med 
Committee. In 1997 these were updated on the basis of the experience of implementation 
of the each NIP over the previous year. Also in 1997 the Regional Indicative Programme 
(RIP) was proposed by the Commission to provide for the launching of cooperation 
involving several countries across the Mediterranean region. It received a favourable 
opinion of the Committee on 3 December 1997 and was adopted by the Commission on 
24 March 1998. Subsequently it was presented to the Euro-Mediterranean Committee for 
the Barcelona Process for information and comment by the Mediterranean Partners. 
It is expected that approximately 90% of the MEDA programme will be directed towards 
bilateral cooperation and approximately 10% towards regional cooperation. The activities 
undertaken at bilateral and regional level are complementary to enable the political and 
economic impact of the MEDA programme to be sustained and the objectives jointly 
adopted in the Barcelona Declaration more effectively reached. Regional activities 
should not displace funding of bilateral activities. 
'The National Indicative Programmes set out the strategic priorities for cooperation with 
each of the eligible Mediterranean Partners, taking into account the. stage of development 
of its economy and society as well as the capacity of its institutions. 'The main axes of 
cooperation to be pursued by the MEDA programme, in the light of the Barcelona 
Declaration adopted by all the Partners, are support for economic transition and for the 
strengthening of the socio-economic balance. Support to economic transition has the 
overall objective of helping the Partners prepare for free trade with the Community and 
to raise the standard of living; thus the Community's interventions aim to increase the 
competitiveness of the partners1 economies, with a view to achieving sustainable 
economic growth. 1 lowever, it is also important to alleviate the possible short-term costs 
ol* economic transition through measures to strengthen the socio-economic balance. 
'These aim to improve the standards of living of the populations of the Partners by 
reducing unemployment and increasing access to social services as well as safeguarding 
the environment. 
The regional indicative programme reflects the progress made in the framework of the 
Barcelona process in taking action at a multilateral level on issues of common concern, 
and strengthens the activities in support of the involvement of civil society in the 
Partnership. 
Commitments 
In 1995 and 1996, the MEDA Programme progressively replaced the existing financial 
instruments, mainly the Financial Protocols, and in 1997 represented about 90 % of the 
total financial commitments from the EU Budget in the Mediterranean. The MEDA 
Programme is mostly made up of grants as well as risk capital and interest rate subsidies. 
Commitment credits were fully utilised (100 % commitment) in 1995, 1996 and 1997 
with ECU 173 million, ECU 403 million and ECU 981 million being committed in the 
«f 
respective years. Over the period 1995-1997, commitments went to four main types of 
operations: 
support to structural adjustment: 14 % of total; 
support to economic transition and private sector development: 27 % of total; 
socio-economic development and environmental projects: 46 % of total; 
regional projects: 14 % of total2. 
The strategic axes of cooperation established in Council Decision 96/706 on 
programming guidelines for the MEDA Programme have been fully respected. The 
Council Decision requests the Commission to concentrate resources on support to 
economic transition, including structural adjustment, strengthening the socio-economic 
equilibrium and promoting regional cooperation. 
It should be noted that the Commission has given a mandate to the European Investment 
Bank to manage certain operations financed under MEDA. These consist of risk capital 
operations to support the process of economic transition and interest rate subsidies for 
loans made by the EIB on its own resources in favour of the environment. 
Also, other types of cooperation with the Mediterranean have been financed during 1996-
1997 from other budget lines and which are therefore not covered by this report. Whilst 
the MEDA budget line is the biggest in chapter B7-40 (Mediterranean) of the 
Community budget there are others, namely the financial protocols for Cyprus and Malta, 
a special budget line for Turkey, the residue of the financial protocols for the Maghreb 
and the Mashreq and a budget line in support of the Middle East Peace Process. Also, 
the MEDA Democracy programme is financed from outside chapter B7-40 of the 
Community budget. 
The end of the 1997 budget year saw the adoption by the budgetary authority of 
supplementary commitment credits of ECU 144.7 million (adding up to the total of ECU 
981 million) which were fully used. This was possible due to the flexible programming 
procedure used by the Commission which consists of "over programming" of projects 
vis-à-vis the available credits thus allowing extra funds to be absorbed. Conversely, this 
late addition of commitment credits substantially depleted the pipeline of operations 
scheduled for commitment in the first half of 1998, thus causing a "back loaded" 
commitment profile in 1998. 
4. Payments 
As in any international financial cooperation activity, the rate of payments of the MEDA 
Programme is a direct function of the type of operation for which commitments are 
made. 
2 This tolal includes the commitments made in 1995 for decentralised cooperation and the financing of the 
MEDA Teams as well as the activities under the Regional Indicative Programme. However, over the 
period 1997-1999 it is expected that the RIP will represent 10% of the financial envelope of MEDA 
remaining after the financing of the MEDA Teams. 
In fact, some operations such as support to structural adjustment result in payments over 
a short time span, generally two years, provided however that conditions agreed between 
the Commission and the beneficiary Government are met. 
Economic transition and private sector development operations generally consist in 
technical assistance operations over a 3-4 year period, which determines the payment 
period. 
Classical development operations (rural development, basic health care, education, 
drinking water, sewage, etc) require works and services as well as procurement of 
equipment following tendering procedures. The implementation period is longer, 
generally 4 to 6 years. 
Finally, regional projects financed under the Euro-Mediterranean Partnership often 
consist in completely novel forms of cooperation, necessitating innovative financial and 
legal frameworks of a complex nature. It is estimated that payments are spread over a 3-5 
year period. 
Taking into account the current mix of operations within the MEDA Programme (a 
breakdown is given in part 1.3), it is estimated that the average implementation (i.e. 
payment) period for each of the annual tranches of the MEDA Programme is 4 years. 
For the period 1995-1997 cumulative payments have reached ECU 417 million, or 
26.7% of commitments made over the same period. 
The graphics and tables in Annex 2 illustrate these facts. 
PART II SUMMARY OF THE COURSE OF COOPERATION 
1. Bilateral cooperation 
The Maghreb 
In Algeria financial co-operation is still suffering from delays, mainly due to the security 
situation in the country. Whilst the National Indicative Programme 1996-98 continues to 
provide the framework for cooperation with Algeria, only two project preparation 
missions were realised and it has not been possible to present financing proposals to the 
MED Committee. Implementation of several ongoing projects from the Financial 
Protocols continued, in particular on a small-scale fisheries project. However, the 
financing convention of a 30 million ECU agricultural import programme (funded by the 
Fourth Financial Protocol) expired before its implementation could begin. Finally, 
discussions on the MEDA Framework Financing Convention were well advanced by the 
end of 1997. 
The Framework Financing Convention with Tunisia for financial co-operation under 
MEDA was signed in September 1997. Commitments from the MEDA programme 
reached 258.25 million ECU over the period 1996-97 which means that the funds for the 
triennial period 1996-98 were already fully committed by the end of 1997. Another 
71.75 million ECU where programmed for MEDA projects during a programming 
mission that took place in December 1997. One financing convention was signed in 
April 1997 concerning the 45 million ECU MANFORM programme for the upgrading of 
the vocational training system in Tunisia. Other projects under preparation concern 
notably the strengthening of the productive system and the private sector, as well as the 
preservation of the socio-economic equilibrium through rural development and 
employment creation. The update of the National Indicative Programme for 1997-99 in 
essence provides for a continuation of support in these main priority areas. 
The Indicative Programme drawn up with Morocco for the period 1996-98 was amended 
at the request of the Moroccan authorities in the course of 1997, which caused some 
delay in preparing and starting up cooperation projects. However, the main emphasis of 
cooperation is still on support for economic transition and improving the socio-economic 
balance. Since it was signed in March 1996, five operation's have been approved for a 
total of ECU 235.58 million (52.3%). The following financing decisions have been taken 
in the context of support for achieving a better socio-economic balance: rural water and 
sanitation (ECU 40.00 million); rural roads and tracks (ECU 30.00 million); support for 
professional training (ECU 38.00 million); interest-rate subsidies on an EIB loan (ECU 
7.58 million). Technical and financial cooperation and programming are expected to be 
up to speed by the end of 1997. 
Ao 
The Mashreq 
During 1997 the presentation of Financing Agreements was delayed pending the 
conclusion of a Framework Financing Convention between the European Commission 
and Egypt. However, considerable work was undertaken on the preparation of Financing 
Agreements for two large and previously approved programmes; the 155 million ECU 
EU contribution to the multi-donor Social Fund II programme and the 100 million ECU 
EU contribution to the Ideational Enhancement Programme (EEP). Also, an interest 
subsidy of ECU 2.7 million for an E1B loan (Grey Cement) was funded. 
Planning and project preparation began on a further two programmes for presentation in 
1998. The lirst is the Industrial Modernisation Programme (IMP) at 250 million ECU 
which will be. the centrepiece of the EU's economic co-operation with Egypt. The 110 
million ECU contribution to the Health Sector Reform Programme (IISRP) will assist 
radical reforms leading to universal access to basic health and health insurance cover. 
In Jordan, implementation of M EDA was pursued along a number of tracks. Negotiated 
in the second semester of 1997, the Framework Financing Convention covering the 
M EDA Programme was signed in February 1998. The Private Sector Development 
Programme (Business Service Team-Business Centre) of ECU 7 million had been 
decided upon in 1995. The implementation started with the setting up of the Business 
Service Team in Amman on 8 September 1997. 
A Programming mission took place on 3-4 December 1997 in order to review and update 
the Indicative Programme and technical and financial cooperation for 1997-1999. A 
Memorandum of Understanding was signed allocating the future available resources to 
support industrial modernisation, development of the private sector and environment 
policy. Also, ECU 10 million on risk capital resources were made available in 
December 1997 in support of the EIB project "Jordan-Industrial Development 
Bank(IDB)-VI operation". 
Negotiations on the MEDA Framework Financing Convention with Lebanon continued 
in 1997. The copy of the Framework Financing Convention signed by the Commission 
was sent to the Lebanese authorities for signing in October 1997. 
The preparation of the following approved MEDA projects was largely finalised, but was 
held up because Lebanon had not yet signed the MEDA Framework Financing 
Convention: 
- support for the Lebanese administration (ECU 38 million): convention and tender 
documents finalised subject to minor amendments and the signing of the Framework 
Agreement; 
- investment planning programme (ECU 25 million): technical negotiations were well 
advanced; 
- standardisation (ECU 6 million): negotiations on an agreement with the European 
Committee for Standardisation (CEN) got under way. 
Interest-rate subsidies totalling ECU 30.8 million were granted on EIB loans relating to 
the environment. 
M 
For Syria, a project to modernise the Finance Ministry (ECU 10.5 million) and a 
management school project (ECU 14 million) were approved. In the course of the year a 
study was undertaken on "Technical Education and Vocational Training" with a view to 
drafting a programme to suit Syria's transition to a free market economy. Implementation 
of four MEDA projects approved in 1996 could not go ahead because the MEDA 
Framework Financing Convention with Syria had not been signed. 
During 1997, the Framework Financing Convention was agreed with the Palestinian 
National Authority and three projects were approved for the West Bank and Gaza Strip 
under the MEDA budget-line. Firstly, funding for provision of equipment and related 
training in the framework of the EU Special Adviser on Counter-terrorism (ECU 3.6 
million): this project was decided as part of a CFSP Joint Action aiming to assist the 
Palestinian Authority on its fight against terrorism. Secondly, establishment of a Special 
Cash Facility (ECU 25 million from which ECU 21 million is an advance on the 1998 
budget). The Israeli authorities blocked the transfer of tax revenues to the Palestinian 
Authority creating a serious financial crisis. In order to avoid this situation in the future, 
the EC decided to create a fund that will cover such financial crises. Thirdly, following 
an identification mission to the area, the EC. designed a ECU 1.2 million programme of 
assistance on Customs Administration for the Palestinian Authority. In addition a risk 
capital operation of liCU 1 million in favour of the Gaza Industrial Estates and ECU 7.4 
million in respect of an interest subsidy for the Gaza Sanitation loan of the EIB were 
financed. 
Turkey 
Under the MEDA Indicative Programme for Turkey, the European Commission 
committed ECU 70,2 million in 1997 to strengthen civil society and human rights, 
promote small and medium enterprises and improve living standards among the most 
needy parts of the population. The 1997 projects include a drinking water supply 
network in South Eastern Turkey, a cancer prediagnosis project and several non­
governmental organisation (NGO) initiatives related to human rights and civil society as 
well as several vocational training activities and risk capital to finance private 
investments -- mainly in joint ventures. 
These initiatives make a positive contribution because it is clear that the human rights 
problems in South Eastern Turkey are in part linked to the lack of economic prospects 
there. Thus by working together with Turkish organisations to strengthen civil society 
and create a chance for a better future, it is hoped to stimulate economic development in 
the region which in turn can contribute to improving the human rights situation 
Twenty NGOs have been awarded grants for actions in the field of consumer protection, 
women's status and education, empowerment and management of NGOs, children's 
rights and protection, education and training on human rights, as well as administrative 
reform and migration. 
The total amount committed by the EU for Turkey under MEDA for the period 1996-
1997 amounts to ECU 103.3 million (ECU 33.1 million in 1996; ECU 70.2 million in 
1997). At the end of 1997 discussions were commenced with the Turkish authorities 
regarding the framework convention. 
At 
Structural adjustment 
In both the Maghreb and the Mashreq, support for structural adjustment remains one of 
the key instruments through which the European Union supports the process of economic 
transition in preparation of the creation of a Euro-Mediterranean liée trade area. As 1996 
was the first full year of implementation of the MEDA programme, the emphasis was 
initially on the negotiation of new programmes with partners. As a result, four 
programmes were approved in 1996 for a total amount of ECU 445 million (ECU 350 
million MEDA funds, and the remaining ECU 95 million protocol funds). 
In 1997 more emphasis was given to the implementation of the programmes, 
necessitating frequent policy dialogues with partners, as well as the Bretton Woods 
Institutions. 
Overall, good progress has been made in the implementation of the structural adjustment 
programmes, although in some cases delays have been encountered mainly due to 
insufficient compliance with the mutually agreed performance criteria. 
Table: Support for structural adjustment in the MEDA programme. 
-
Morocco 
Algeria 
Jordan 
Tunisia Year of approval 
1996 
1996 
1996 
1996 Amount 
(tZCU m) 
120 
125 1/ 
100 
100 Status as at end 1997 
1st tranche (ECU 30 m) disbursed in 1997. 
Policy dialogue ongoing. 1st tranche yet to be disbursed. 
Programme completed. 1st tranche (ECU 60 m) 
disbursed in 1996, 2™* tranche (ECU 40 m) in 1997. 
Programme completed 1st tranche (ECU 40 m) 
disbursed in 1996, 2™* tranche (ECU 60 m) in 1997. 
1/. Of which ECU 95 million from protocol funds. 
Ah 
2. Regional cooperation 
The regional indicative programme complements and reinforces the bilateral indicative 
programmes and foresees the implementation of activities in all three domains of the 
Barcelona Declaration, namely the political and security dimension; the economic and 
financial dimension; the social, cultural and human dimension. 
In the political and security dimension, activities will contribute to the creation of a 
region of peace and stability. They include, for example, a network of foreign policy 
institutes and a prevention and management pilot scheme for disasters of natural and 
human origin. 
In the economic and financial dimension, the objectives at a regional level are to: conduct 
a dialogue on the alignment of sectoral economic policies; foster cooperation between 
non-governmental entities such as chambers of commerce, economic institutes and trade 
promotion bodies; carry out regional projects which usefully complement bilateral 
measures. 
Activities undertaken up to the end of 1997 include the creation of a Euro-Mediterranean 
network of economic institutes, conferences on increasing inward investment and 
developing capital markets and a programme to promote private sector investment in 
infrastructure. Sectoral projects implemented include maritime transport and statistical 
cooperation. 
The aim of the social, cultural and human dimension of the Partnership is to bring people 
closer, promote understanding between them and improve their perception of each other. 
These goals apply in a variety of areas including education, youth, the media, the 
development of civil society and the dialogue between cultures civilisations. 
The main activity undertaken was the "Euromed Heritage" programme on cultural 
heritage. 
Also under the MEDA Regional Indicative Programme the European Commission has 
provided grant financing for small activities (less than ECU 500,000) pertaining to the 
Euro-Mediterranean Partnership. This type of financing concerned in 1997 120 activities 
for almost ECU 14 million. These activities are divided into 5 categories: activities of the 
Barcelona Process (18 activities for ECU 3.0 million); economic cooperation (12 
activities for ECU 1.8 million); information and culture actions (7 activities for ECU 2.1 
million); micro-actions (73 actions for 4.5 million); Euro-Arab cooperation (10 activities 
for ECU 2.35 million). 
Ak 
Annex 1 
Publications 
- The Barcelona Declaration and Work Programme 
- The Euro-Mediterranean Partnership with an illustration of the concrete measures being 
implemented 
- Support for structural adjustment 
- Private sector development 
- Economic transition 
- 36 information notes on implementation of the Euro-Mediterranean Partnership 
A6 
Annex 2 
M EDA COMMITMENTS AND PAYMENTS 
1995-1999, in ECU millions 
1. Commitments 
1.1 Available credits 
1.2 Actual commitments 
- Structural adjustment 
- Economic transition 
- Development 
- Regional 
2. Actual payments 1995 
173 
173 
0 
37 
37 
99 
50 1996 
403 
403 
200 
13 
158 
32 
155 1997 
981 
981 
150 
100 
623 
108 
212 1998 
943 
(943) 
(0) 
(513) 
(338) 
(92) 
(315) 1999 
(976) 
Total commitments 1995-1999; ECU 3,476 million 
N.B. figures between brackets are forecasts 
> 
MEDA 
Forecast of commitment credits / Project payments 
1995 1996 19S8 2000 200T1 2002 2003 
SSI Committed j||||| Commitment forecast paid Payment forecast 
Total commitments 1995 -1999:3.475,5 
Total payments 1995 - 2003:3.475,5 
Project payment forecasts assume an average project duration of 4 to 5 years. 
Annex 3 
BREAKDOWN OF FINANCIAL EXECUTION 1996-1997 
X Pays 
Algerie 
Algerie 
Chypre 
Cisjordanie 
Cisjordanie 
Cisjordanie' 
Cisjordanie 
Cisjordanie 
Cisjordanie 
Cisjordanie 
Egypte . Projet 
Ajustement structurel 
BEI - bonification d'interets : environnement 
BEI - bonification d'interets 
Appui au ministere de I'education 
BEI - Capitaux a risques (real estate) 
BEI - bonification d'interets : environnement 
Cooperation aveo les douanes 
Developpement du secteur prive 
Fonds de stabilisation 
Soutien a I'Autorite palestinienne (COTER) 
BEI - Bonification d'interets (ECC Grey Cement) Total a 
engager 
sur MEDA 
30.000.000 
10.750.000 
2.960.000 
20.000.000 
1.000.000 
7.400.000 
1.200.000 
3.000.000 
25.000.000 
3.600.000 
2.700.000 Engage en 
1996 
20.000.000 Paye en 
1996 
20.000.000 Engage en 
1997 
30.000.000 
10.750.000 
2.960.000 
1.000.000 
7.400.000 
1.200.000 
3.000.000 
25.000.000 
3.600.000 
2.700.000 Paye en 
1997 
560.219 
25.000.000 
-C Egypte 
Egypte 
Egypte 
jJordanie 
L , • -
iJordanie BEI - bonification d'interets : environnement 
Fonds social 
Education 
/\;I': k :i'- i •" :-'LJ ." '.'C' 
6Q1 ' . 
jLiban l~" r -v ' r ?, <i lOconsiruction 
1 i _,/... 
Liban MS3istan«,,e ieriabmialion administration libanaise 
Liban BEI - bonification d'interets : environnement 
''Liban JBEl - bonification d'interets : Tripoli Wastewater 
1 i 
j Liban Normalisation 
i 
Maite BE! - bonification d'interets 
Maroc Ajustement structure! 
Maroc Developpement pistes / routes rurales 
Maroc Eau en zones rurales 19.880.000 
155.000.00 
0 
100.000.00 
0 
100,000.00 
0 
10.000.000 
21.000.000 
38.000.000 
10.325.000 
20.785.000 
6.000.000 
. 2.800.000 
120.000.00 
0 
30.000.000 
40.000.000 19.880.000 
55.000.000 
100.000.00 
0 
10.000.000 60.000.000 100.000.00 
0 
100.000.00 
0 
10.000.000 
21.000.000 
28.000.000 
10.325.000 
20.785.000 
6.000.000 
2.800.000 
120.000.00 
0 
30.000.000 
40.000.000 1.930.389 
40.000.000 
5.000.000 
30.000.000 
0 Maroc 
Maroc 
Syrie 
Syrie 
Syrie 
Syrie 
Syrie 
Syrie 
Tunisie 
Tunisie 
Tunisie 
Tunisie 
Tunisie 
Tunisie BEI - bonification d'interets : assainissement 
Formation professionnelle 
Programme de soutien au secteur forestier 
Developpement du tourisme culturel 
Modernisation des administrations locales 
Soutien Telecommunications 
Ecole de management 
Reforme du Ministere des Finances 
Ajustement structurel 
Amelioration de la competitivite 
Appui a la formation professionnelle 
(MANFORM) v 
BEI: capitaux a risques : privatisation des 
entreprises publiques 
Appui au programme de privatisation 
Appui a la promotion des investissements 
exterieurs 7.575.000 
38.000.000 
3.500.000 
3.000.000 
18.000.000 
5.500.000 
14.000.000 
10.500.000 
100.000.00 
0 
10.000.000 
45.000.000 
15.000.000 
10.000.000 
4.000.000 3.500.000 
3.000.000 
6.000.000 
100.000.00 
0 
10.000.000 
10.000.000 40.000.000 7.575.000 
38.000.000 
12.000.000 
5.500.000 
14.000.000 
10.500.000 
35.000.000 
15.000.000 
10.000.000 
4.000.000 60.000.000 
700.050 
Tunisie 
Tunisie 
Tunisie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie BEI : capitaux a risques : industrie 
Programme de developpement rural et de 
gestion des ressources naturelles 
BEI: bonification d'interets (Lac Sud) 
Food inspection services 
Jean Monnet Fellowships programme 
Creation of business and innovation centres 
Mobilisation for economic and social 
development (IULA ONG) 
Modernization project in education 
Magazine Anadolu 
Urban community empowerment 
BEI - capitaux a^ risques 
Environment standard for equipment in the 
textile sector (Kosgeb) 
Women Cancer prediagnosis 
BEI - bonification d'interets - Izmit industrial 
wastewater project 15.000.000 
50.000.000 
9.250.000 
10.123.000 
5.000.000 
3.165.000 
855.000 
14.000.000 
250.000 
1.025.650 
12.000.000 
1.000.000 
1.900.000 
11.395.000 10.123.000 
5.000.000 
3.165.000 
855.000 
14.000.000 15.000.000 
50.000.000 
9.250.000 
250.000 
1.025.650 
12.000.000 
1.000.000 
1.900.000 
11.395.000 3.208.862 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Turquie 
Regional Industrial zone for SME's of the auto 
components sector (Kosgeb) 
Information network for SME's 
Vocational training center in the shoes sector 
(Kosgeb) 
Vocational training center in the clothing sector 
(Kosgeb) 
Formation de femmes entrepreneurs 
Sanliurfa drinking water supply project 
Forming consummer awareness 
BEI - bonification d'interets - Adana wastewater 
project 
EC studies center 
17 projets pour la promotion des droits de 
I'homme (ONGs) 
Cultural integration of Turkish society 
Euro-Turkish dialogue 
Program on state reform in Turkey 
Cooperation statistique (MEDSTAT) 1.245.000 
773.000 
1.962.000 
1.490.000 
1.040.000 
21.300.000 
410.000 
10.800.000 
300.000 
2.100.000 
150.000 
500.000 
600.000 
20.000.000 20.000.000 209.952 1.245.000 
773.000 
1.962.000 
1.490.000 
1.040.000 
21.300.000 
410.000 
10.800.000 
300.000 
2.100.000 
150.000 
500.000 
600.000 
1.744.597 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional 
Regional Regional projects (Middle East peace process) 
Icarda-Research support (CGIAR) 1996 
Icarda-Research support (CGIAR) 1997 
MEDA TEAMS 
BEI - capitaux a risques 
CIHEAM 
Transports maritimes 
Patrimoine culturel 
Programme population 
Allocation globale regionale 1996 + 1997 
Paiements divers sur engagements anterieurs a 
1996 
Total 15.000.000 
1.190.000 
1.320.000 
70.000.000 
10.000.000 
6.000.000 
8.409.651 
17.164.673 
7.000.000 
40.000.000 
1.439.192.9 
74 12.477.000 
403.000.00 
0 5.984.978 
28.437.877 
154.632.80 
7 15.000.000 
1.190.000 
1.320.000 
22.000.000 
10.000.000 
6.000.000 
8.409.651 
17.164.673 
7.000.000 
20.666.466 
981.336.44 
0 390.250 
1.466.400 
13.910.739 
27.673.051 
211.584.55 
7 
Crédits 
disponibles 403.000.00 
0 202.000.00 
0 981.400.00 
0 314.700.00 
0 
Pourcentag 
es 
d'exécution 100,0% 76,6% 100,0% 67,2% 
™^ 
ISSN 0254-1475 
COM(98) 524 final 
DOCUMENTS 
EN 11 01 06 17 
Catalogue number : CB-CG-98-532-EN-C 
ISBN 92-78-34775-2 
Office for Official Publications of the European Communities 
L-2985 Luxembourg