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Vol. 1984/0 244 
  
 
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Conformém ent au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 
concernant l'ouverture au public des archives historiques de la Communauté économique 
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, 
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003 
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents 
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit 
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In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 
concerning the openi ng to the public of the historical archives of the European Econom ic 
Community and the European Atomic Energy Communit y (OJ L 43, 15.2.1983, p. 1), as 
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243, 
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file have been declassified in conformity with Article 5 of the aforementioned regulation.  
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom  1. 
Februar 198 3 über die Freigabe der historischen Archive der Europäischen  
Wirtschaftsgemeinschaft und der Europäischen Atomgem einschaft (ABI. L 43 vom  15.2.1983,  
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. Septem ber 2003  
(ABI. L 243 vom 27 .9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit  
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COMMISSION O F THE EUROPEAN COMMUNITIES
COM(84) 659 final 
Brussels, 26 November 1984
REPORT FROM THE COMMISSION TO THE COUNCIL
on the administration of financial and technical cooperation in 1983 
pursuant to Decision 80/1186/EEC on the association of overseas
countries and territories
COM(84) 659 final

£■ ê N C .5J
Introduction
In presenting this annual report on the administration of financial 
and technical cooperation in 1983 pursuant to Article 100 of 
Decision 80/1186/EEC1 on the association of the OCT, the Commission is 
deferring to the wish expressed by the Member State delegations within 
the ACP-FIN group in a report submitted to the Permanent Representatives 
Committee, recommending that reports be presented annually in 
compliance with Article 100 of the decision referred to above.^ The 
reason that the previous report covered two years, 1981 and 1982, together 
was that the results recorded at the end of the first year (more than 
three-quarters of the allocations concerned Stabex transfers - which 
are not part of financial and technical cooperation in the strict 
sense - and benefited two countries, Vanuatu and St Vincent, which, 
from being OCT, had become ACP States) did not, in the Commission's 
view, warrant the preparation of a special report, however small, on 
the administration of financial and technical cooperation for that one 
year.
On 19 September 1983 another OCT, St Kitts-Nevis, a British Associated 
State in the Caribbean, gained independence. This continued the trend 
(Belize and Antigua and Barbuda) noted in the 1981-82 report. The new 
independent State, which is now called St Christopher and Nevis, _  
immediately asked to accede to the Lomé Convention. Upon completion 
of the procedures required within the Community and the ACP Group,
St Christopher and Nevis became the 64th partner under the 
Lomé Convention on 5 March 1984.
'oj L 361, 31 December 1980.
^Doc.  6263/84 - OCT 22 - FIN 159.

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CHAPTER I: FINANCING OPERATIONS
1. Commitments
The commitments made by the Commission and the Bank in 1983, the third 
year of application of the 1980 Decision, totalled 9.49 million ECU.
With 16.63 million ECU committed in 1981 and 1982, the cumulative amount 
of financial aid committed since the decision came into force stands 
at 26.12 million ECU, which represents 28.7% of the modified final 
allocation of 90.8 million. The speed at which commitments are made 
under the OCT Decision is thus still much slower than under the 
Lomé Convention (slightly over 50% for the same period) even though there 
has been some progress by comparison with the average for the preceding 
two years. This progress is however noteworthy if one considers that 
Stabex transfers accounted for almost half the financing operations in 
1981 and 1982 whereas there was no transfer in 1983, proving that the 
implementation of financial and technical cooperation in the strict sense 
has indeed speeded up.
Aid administered by the Commission
Commitments made in 1983 in respect of aid administered by the Commission 
totalled almost 7 million. The breakdown of these commitments is as 
fol lows:
million ECU %
Grants (of which emergency aid 0.17) 6.49 92.8
Special loan 0.50 7.2
6.99 100
Aid administered by the EIB
In 1983 the Bank financed three operations amounting to 2.5 million ECU 
from the risk capital which it administers in accordance with the 
second Decision on association.
The breakdown of these commitments by territory and by administrative 
body is as follows:
(million ECU)
Commission EIB
French OCT 2 525 1  500
Netherlands OCT 2 423
British OCT 570 1.000
Regional projects 1.476
6 994 2 500

- 3 -
2. Payments
Payments made by the Commission and the Bank in 1983 totalled 
3.55 million ECU, a significantly smaller sum than that recorded in 
1981 and 1982 (8.63 million ECU).1 The reason for this difference, apart 
from the cumulation of payments for these two years, is the fact that 
they were mainly made up of Stabex transfers and that in the case of 
Stabex, payment is made very soon after the financing decision.
The breakdown of payments by territory and by administrative body is 
as follows:
(  mi Ilion ECU)
Commi ssion EIB
French OCT 439 260
Netherlands OCT 776
British OCT 497 1 440
Regional projects 134 ____
1  
846 1 700
CHAPTER II: SECTORAL BREAKDOWN OF FINANCING OPERATIONS
1. Projects and programmes
Since, as has already been noted, there was no Stabex transfer in 1983, 
almost all the financial aid concerned projects and programmes.
The main sector to benefit (46%) was production development, which covers 
industrialization, tourism and rural production. Rural production 
received only a small proportion in 1983 (330 000 ECU), while 
industrialization and tourism together accounted for 42.6% of the 
financial aid, a sum of 4.04 million ECU.
The EIB's operations were financed from EDF funds in the form of risk 
capital totalling 2.5 million ECU.
French Polynesia received a global loan of 1.5 million ECU for small- and 
medium-scale investment in industry, transport, tourism and fish processing. 
Financial aid of 1  million ECU to St Christopher and Nevis made it 
possible to increase government participation in the capital of the 
Development Bank and also finance small-scale investment in industry, 
agro-industry and tourism.
Total payments made by the Commission and the Bank in 1983 work out 
higher if account is also taken of the payments made under the 
earlier Association Decision (1976), which amount to 5.18 million ECU 
for the Commission and 0.74 million ECU for the Bank.

- 4 -
In the case of the Commission, financial aid for tourism consisted of 
a regional operation concerning both ACP States and OCT in the Caribbean. 
The OCT received 1.2 million ECU from this funding in the framework of 
their regional programme. Many countries in the region had registered 
a drop in tourism, a key industry, and this project was designed to reverse 
the trend by promoting tourism from Europe.
Financial aid for economic infrastructure totalled 1.57 million ECU in 
1983. Nearly two-thirds of this sum (about 940 000 ECU) went to the 
Netherlands Antilles. Of this 450 000 ECU was provided as a grant for 
the supply of a crane to the port of Saba, the smallest island in the 
Netherlands Antilles, where the improvement of infrastructure, particularly 
transport, is essential to promote economic development. The crane will 
make the port accessible all the year round since it will then be possible 
to repair damage caused by cyclones and load and unload heavy goods; 
a further 493 000 ECU will be for high-level technical assistance supplied 
over two years to help overcome the very serious financial management 
and marketing difficulties faced by the national airline CALM).
The Cayman Islands received a 500 000 ECU special loan from the Commission 
for the building of an air terminal on Cayman Brae, an island to which 
access has been difficult up to now and which is the least developed 
of the three islands in the archipelago. The total cost of the project 
is nearly 1.3 million ECU, the balance coming from the territory's budget.
Other forms of financial aid for economic infrastructure were fairly 
insignificant. A 70 000 ECU study on a port in Anguilla is to be 
noted, however.
These examples clearly illustrate the fact that the problem of transport 
in all its aspects remains crucial for all countries in the region.
Social development benefited to the-tune of 2.90 million ECU, of which
2.05 million ECU for New Caledonia. An initial project costing
1.05 million ECU specifically concerned the supply of water to the 
Loyalty Islands, which up to now have practically depended on the very 
unpredictable method of storing rainwater. An adequate number of boreholes 
and the installation of a network of pumps should enable a more reliable 
system to be operated. The second allocation of aid for social 
development was 1  million ECU for a multiannual training programme.

- 5 -
This programme mainly concerns the Melanesian population in the interior, 
a rural area and will be run on-the-spot in the context of people's daily 
living. It is also planned to allocate study and training awards to 
young people who already have a basic educational qualification. The 
programme is to run over three years.
The second financing in the field of social development approved in 
1983 also concerned a multiannual training programme: 850 000 ECU for
the Netherlands Antilles (150 000 ECU had already been committed in 
1982). The project is to support the efforts already undertaken by 
the authorities in the field of training and retraining of the managerial 
and supervisory staff needed for the islands' social and economic 
development. The programme involves awards for study both on the spot 
and abroad and the organization of specific courses and seminars.
2. Emergency aid
French Polynesia received such aid in 1983.
In February cyclone Nano devastated several islands of the Marquesas 
and Tuamotu archipelagos and affected some 1  000 people. On 11 February, 
at the request of the Territory's authorities, the Commission approved 
emergency aid of 50 000 ECU for the victims.
Thanks to this operation, conducted by the High Commissioner at Papeete 
and supervised by the Commission delegate at Fiji, quick and effective 
action was taken to meet the most pressing needs.
The damage caused by the cyclones which hit the Territory in March 
and April Led the Commission to approve on 21 June a second allocation 
of aid (125 000 ECU) for the purchase and transport of corrugated 
sheet for the speedy repair of damaged dwellings. The corrugated 
sheets were distributed by the High Commissioner, priority going to the 
most needy families.
The aid operation was more difficult and took longer than initially 
planned because of the distance of the atolls.

-  6 -
CHAPTER III: OTHER ASPECTS OF IMPLEMENTATION OF THE DECISION
Two OCT became independent and requested changes in their indicative 
programmes in 1983: Antigua and Barbuda and St. Christopher and Nevis.
St. Christopher and Nevis had put in its request even before gaining 
independence. The bulk of the new programmes concern Livestock 
production and the road network in the case of Antigua and Barbuda and 
social infrastructure in the case of St Christopher and Nevis.
Part of the appropriation under the 1980 Association Decision, which 
covers the same period as the second Lomé Convention, is devoted to regional 
cooperation. The intention was to integrate the OCT more fully into the 
regional framework which they belong to and which often includes inde­
pendent ACP States (without of course weakening their special links 
with the country on which they are dependent. The success of this form 
of cooperation is shown by the fact that in the Caribbean in particular 
a number of EDF-financed regional projects have been set partly against 
OCT regional funds and partly against ACP regional funds. Examples are 
projects to support regional tourist organizations and to improve air 
communications. The Community also financed two stands, for the 
Caribbean and the Pacific, at the celebrated Berlin tourism fair, 
where the OCT and ACP States were both represented on the basis of their 
geographical location. This operation is very successful from the economic 
point of view and is now an annual event.
In 1983, for the first time, the Commission received visits from Chief 
Ministers of British dependent territories, namely the Virgin Islands and 
the Turks and Caicos Islands.
In its report on 1981 and 1982, the Commission raised the problem of the 
time it takes to implement financial and technical cooperation in the 
OCT and suggested that implementation might be speeded up if there were 
a greater decentralization of administrative power to the local authorities. 
This suggestion was noted by the relevant Council bodies, which stressed 
that the Member States and the Community should not cease in their efforts 
to improve aid to the OCT.^
In this respect France has taken an interesting initiative with the law 
concerning the status of the OCT adopted by the French Parliament this 
year. While this law does not bear directly on relations between the 
OCT and the Community, its provisions and their potential effects are 
such as to improve those relations.
See report referred to earlier from the ACP-FIN group to Coreper.

- 7 -
CHAPTER IV: USE OF STABEX FUNDS IN CONNECTION WITH DECISION 76/568/EEC
By virtue of the Council Decision of 15 December 1980, the sum of 
4 588 000 ECU, representing 50% of the balance of Stabex/OCT funds 
outstanding on expiry of the OCT Decision (76/568/EEC), was allocated 
to finance projects and programmes in the OCT.
This sum was allocated as follows:
1  529 334 ECU for the British OCT
1 529 333 ECU for the French OCT
1 529 333 ECU for the Netherlands OCT
The British OCT
When the sum destined for the British OCT was allocated, the 
United Kingdom authorities decided in agreement with the Commission 
to reallocate to the ten countries having OCT status in 1980 a sum 
of 3 513 000 ECU earmarked under the 1976 OCT Decision for the 
reserve and regional projects.
The final result of these 
the table below:two simultaneous operations is giveni  n
('000 ECU)
Grants SpecialLoans Total
Angui l  la 129 - 129
Antigua and Barbuda 188 820 1  008
Belize 345 1  420 1 765
Cayman Islands - 161 161
Falkland Islands - 407 407
Montserrat 400 - 400
St Helena 144 - 144
St Kitts-Nevis 137 569 706
Turks and Caicos Islands 161 - 161
British Virgin Isles - 161 161
1  504 3 538 5 042
French OCT
At the end of 1983 the sum of 1 053 500 ECU was allocated to one project 
in Wallis and Futuna.1
The Netherlands OCT
The entire sum was added to the total available under the indicative 
programme for the Netherlands Antilles, the only Netherlands OCT.
Committed in 1982.

Table 1
BREAKDOWN OF FINANCING DECISIONS TAKEN IN 1983 IN FAVOUR OF OCT
(million ECU)
jIndustrial­
ization and 
tourismRural
productionEconomic
infra­
structureSocial
developmentTrade
promotionEmergency
aid Stabex Other Total
Mayotte
New Caledonia
French Polynesia
French Antartic Territories
Wallis & Fortuna1.50 0,302 .05
0,172 ,05 
1.99
Netherlands Antilles 0.34 0,03 0.94 0 .85■  0,21 0 ,05 2.42
Anguilla 
Brunei
Cayman Islands 
Falkland Islands 
Montserrat 
Pitcairn Island 
St Helena
St Christopher and Nevis 
British Antartic Territory 
British Indian Ocean Territoryl 
Turks and Caicos Islands 
British Virgin Islands 
Regional operations1,00
1.200.07
0,50
0,06 0,220 107
0 .50
1,00
1 .48
TOTAL: 4,04 0,33 1. 57 2 .  90 0.43 0.17 - 0 .05 9,49
of which: Grants
Special loans1,54 0.33 1.07
0.502 ,90 0,43 0.17 — 0 .05 6 .49
0,50
Risk capital 2,50 2,50

1
TABLE 2
EDF resources 
Grants
(of which emergency aid) 
Special loans 
Risk capital 
Stabex
EIB resourcesFINANCING SITUATION IN 1983 BROKEN DOWN BY METHOD OF FINANCING AND ADMINISTRATIVE BODY
Loans from own resources
TOTAL(million ECU)
Allocation
Amount
39,30
20 t 50
7.00
9.00
15,00Aid administered by 
the Commission
43.3
22 6 
1J 
9 ,9
16.5
90.80 100Commitments made in 1983
Amount
6 A3 
(0.17) 
0.50
6,9992.8
(2.4)
7.2Aid administered 
by the EIB
Amount%
2.50
100 2.50100
100Total
Amount
6,49 68.4
(0.17) (1,8)
0 .50 .  5.3
2.50 26.3
9 f49 100

Table 3
SUMMARY STATEMENT FOR 1983 BROKEN DOW BY % PER SECTOR, METHOD FOR FINANCING AND ADMINISTRATIVE BODY
(million ECU)
Product i  on developmentEconomic SocialTrade Total 
programm­
able aidEmergency
aidGrand
total Industrial-] 
ization and 
tourismRural
production Totalinfra­
structuredevelop­
mentpromotion -
Other
I. Aid administered by the 
Commission
- Programmable grants
- Special loan
!  - Emergency aid1 .540 .331.87 1 »07 
O .502.900 ,430,056,32 
O .50
O .176 .32 
0.50 
0,17
Total
i  Breakdown of total in %1.54
22.00 .33 
4 .71 .87 
26.71 .57 
22-52.90
41.50,43
6,20.05
0.76.82
97.60.17
2,46.99
100%
II. Aid administered by the EIB
- Risk capital 2.50 2 ,  50 2.50 2 .50
III. Total
Breakdown in %4-04 
42.60,33
3.54.37 
46 .11 c  57 
16.52.90 
30 c6O ,43 
4.50,05
0.59,32 
98 c20.17 
1 „89.49
100%