Proposal for a Decision of the European Parliament and of the Council on the revision of the financial perspective
Date: 2003-04-07
Institutions: European Commission
Subjects: enlargement of the Union, revision of financial perspectives

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 7.4.2003
COM(2003) 185 final

Proposal for a

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

On the revision of the financial perspective

(presented by the Commission)

EXPLANATORY MEMORANDUM

Following  the  joint  decision  adopted  by  the  European  Parliament  and  Council  on  the
adjustment  of  the  financial  perspective  for  enlargement,  in  accordance  with  Point  25  of  the
Interinstitutional Agreement of 6 May 1999 on budgetary discipline and improvement of the
budgetary procedure1, the European Parliament and  the  Council  have  agreed  to increase the
ceiling of heading 3 of the financial perspective by additional amounts.

1

OJ C 172/1, 18.6.1999.

2

                                                
Proposal for a

DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

On the revision of the financial perspective

Presented by the Commission in accordance with the Interinstitutional Agreement of
6 May 1999 on Budgetary Discipline and Improvement of the Budgetary Procedure

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community,

Having regard to the Interinstitutional Agreement (IIA) of 6 May 1999 between the European
Parliament,  the  Council  and  the  Commission  Budgetary  Discipline  and  Improvement  of  the
Budgetary Procedure, and in particular points 19-21 thereof2,

Having regard to the proposal from the Commission3,

Acting in accordance with the procedure laid down in the fifth subparagraph of Article 272(9)
of the Treaty4,

Whereas:

(1) 

(2) 

The  European  Parliament  and  Council  have  jointly  adopted  the  adjustment  of  the
financial perspective for Enlargement5, as foreseen in Point 25 of the Interinstitutional
Agreement of 6 May 1999.

They  have  subsequently  agreed  on  a  Declaration  on  article  32  and  annex  XV  of  the
Accession Treaty. The Declaration foresees to raise the ceiling of heading 3 (internal
policies),

HAVE DECIDED AS FOLLOWS:

Article 1

The annual ceilings for appropriations for commitments in heading 3 (internal policies) of the
financial perspective, as adjusted under Point 25 of the Interinstitutional Agreement of 6 May
1999, shall be raised by the following amounts, expressed in millions of euro in 1999 prices.

2

3

4

5

OJ C 172/1, 18.6.1999.
OJ C , , p. .
OJ C , , p. .
OJ C , , p. .

3

                                                
2004

50

2006

240

2005

190

Article 2

1.  The  resulting  financial  perspective  for  an  enlarged  European  Union  with  25  Members
(excluding the budgetary implications resulting from a political settlement in Cyprus), in 1999
prices, is presented in Table 1a attached to this decision.

In  the  event  that  a  political  settlement  is  reached  in  Cyprus,  the  financial  perspective  for  a
European Union with 25 Members at 1999 prices, as presented in Table 1b, shall apply.

2. The corresponding financial perspective resulting from the technical adjustment for 2004,
in line with movements in Gross National Income (GNI) and prices, are presented in Tables
2a and 2b attached to the present decision.

Done at Brussels,

For the European Parliament
The President

For the Council
The President

4

ANNEX

TABLE 1a: FINANCIAL PERSPECTIVE (EU-25) ADJUSTED FOR ENLARGEMENT AT 1999 PRICES

COMMITMENT APPROPRIATIONS
1. AGRICULTURE
1a Common Agricultural Policy
1b Rural development
2. STRUCTURAL ACTIONS
Structural funds
Cohesion fund
3. INTERNAL POLICIES
4. EXTERNAL ACTIONS
5. ADMINISTRATION (1)
6. RESERVES 
Monetary reserve
Emergency aid reserve
Guarantee reserve
7. PRE-ACCESSION STRATEGY
Agriculture
Pre-accession structural instrument
PHARE (applicant countries)
8. COMPENSATION
TOTAL APPROPRIATIONS FOR COMMITMENTS
TOTAL APPROPRIATIONS FOR PAYMENTS
Ceiling, approps for payments as % of GNI (ESA 95)
Margin for unforeseen expenditure
Own resources ceiling

2000
40.920
36.620
4.300
32.045
29.430
2.615
5.930
4.550
4.560
900
500
200
200
3.120
520
1.040
1.560

92.025
89.600
1,07%
0,17%
1,24%

2001
42.800
38.480
4.320
31.455
28.840
2.615
6.040
4.560
4.600
900
500
200
200
3.120
520
1.040
1.560

93.475
91.110
1,08%
0,16%
1,24%

2002
43.900
39.570
4.330
30.865
28.250
2.615
6.150
4.570
4.700
650
250
200
200
3.120
520
1.040
1.560

93.955
94.220
1,11%
0,13%
1,24%

2003
43.770
39.430
4.340
30.285
27.670
2.615
6.260
4.580
4.800
400
0
200
200
3.120
520
1.040
1.560

93.215
94.880
1,10%
0,14%
1,24%

2004
44.657
38.737
5.920
35.665
30.533
5.132
7.877
4.590
5.403
400
0
200
200
3.120

2005
45.677
39.602
6.075
36.502
31.835
4.667
8.098
4.600
5.558
400
0
200
200
3.120

2006
45.807
39.612
6.195
37.940
32.608
5.332
8.212
4.610
5.712
400
0
200
200
3.120

1.273
102.985
100.800
1,08%
0,16%
1,24%

1.173
105.128
101.600
1,06%
0,18%
1,24%

940
106.741
103.840
1,06%
0,18%
1,24%

(1) The expenditure on pensions included under the ceiling for this heading is calculated net of staff contributions to the pension scheme, up to a maximum of 1 100 million 
euros at 1999 prices for the period 2000-2006.

5

TABLE 1b: FINANCIAL PERSPECTIVE (EU-25) ADJUSTED FOR ENLARGEMENT AT 1999 PRICES
(including budgetary implications of a political settlement in Cyprus)

COMMITMENT APPROPRIATIONS
1. AGRICULTURE
1a Common Agricultural Policy
1b Rural development
2. STRUCTURAL ACTIONS
Structural funds
Cohesion fund
3. INTERNAL POLICIES
4. EXTERNAL ACTIONS
5. ADMINISTRATION (1)
6. RESERVES 
Monetary reserve
Emergency aid reserve
Guarantee reserve
7. PRE-ACCESSION STRATEGY
Agriculture
Pre-accession structural instrument
PHARE (applicant countries)
8. COMPENSATION
TOTAL APPROPRIATIONS FOR COMMITMENTS
TOTAL APPROPRIATIONS FOR PAYMENTS
Ceiling, approps for payments as % of GNI (ESA 95)
Margin for unforeseen expenditure
Own resources ceiling

2000
40.920
36.620
4.300
32.045
29.430
2.615
5.930
4.550
4.560
900
500
200
200
3.120
520
1.040
1.560

92.025
89.600
1,07%
0,17%
1,24%

2001
42.800
38.480
4.320
31.455
28.840
2.615
6.040
4.560
4.600
900
500
200
200
3.120
520
1.040
1.560

93.475
91.110
1,08%
0,16%
1,24%

2002
43.900
39.570
4.330
30.865
28.250
2.615
6.150
4.570
4.700
650
250
200
200
3.120
520
1.040
1.560

93.955
94.220
1,11%
0,13%
1,24%

2003
43.770
39.430
4.340
30.285
27.670
2.615
6.260
4.580
4.800
400
0
200
200
3.120
520
1.040
1.560

93.215
94.880
1,10%
0,14%
1,24%

2004
44.650
38.740
5.910
35.718
30.571
5.147
7.891
4.590
5.403
400
0
200
200
3.120

2005
45.675
39.611
6.064
36.579
31.899
4.680
8.112
4.600
5.558
400
0
200
200
3.120

2006
45.805
39.622
6.183
38.052
32.703
5.349
8.226
4.610
5.712
400
0
200
200
3.120

1.273
103.045
100.800
1,08%
0,16%
1,24%

1.173
105.218
101.600
1,06%
0,18%
1,24%

940
106.865
103.840
1,06%
0,18%
1,24%

(1) The expenditure on pensions included under the ceiling for this heading is calculated net of staff contributions to the pension scheme, up to a maximum of 1 100 million 
euros at 1999 prices for the period 2000-2006.

6

TABLE 2a: FINANCIAL PERSPECTIVE (EU-25) ADJUSTED FOR ENLARGEMENT AT 2004 PRICES

COMMITMENT APPROPRIATIONS
1. AGRICULTURE
1a Common Agricultural Policy
1b Rural development
2. STRUCTURAL ACTIONS
Structural funds
Cohesion fund
3. INTERNAL POLICIES
4. EXTERNAL ACTIONS
5. ADMINISTRATION (1)
6. RESERVES 
Monetary reserve
Emergency aid reserve
Guarantee reserve
7. PRE-ACCESSION STRATEGY
Agriculture
Pre-accession structural instrument
PHARE (applicant countries)
8. COMPENSATION
TOTAL APPROPRIATIONS FOR COMMITMENTS
TOTAL APPROPRIATIONS FOR PAYMENTS
Ceiling, approps for payments as % of GNI (ESA 95)
Margin for unforeseen expenditure
Own resources ceiling

2000
41.738
37.352
4.386
32.678
30.019
2.659
6.031
4.627
4.638
906
500
203
203
3.174
529
1.058
1.587

93.792
91.322
1,07%
0,17%
1,24%

2001
44.530
40.035
4.495
32.720
30.005
2.715
6.272
4.735
4.776
916
500
208
208
3.240
540
1.080
1.620

97.189
94.730
1,08%
0,16%
1,24%

Current prices
2002
46.587
41.992
4.595
33.638
30.849
2.789
6.558
4.873
5.012
676
250
213
213
3.328
555
1.109
1.664

100.672
100.078
1,11%
0,13%
1,24%

2003
47.378
42.680
4.698
33.968
31.129
2.839
6.796
4.972
5.211
434
0
217
217
3.386
564
1.129
1.693

102.145
102.767
1,09%
0,15%
1,24%

2004
49.305
42.769
6.536
41.035
35.353
5.682
8.722
5.082
5.983
442
0
221
221
3.455

1.410
115.434
111.380
1,08%
0,16%
1,24%

2004 prices

2005
50.431
43.724
6.707
41.685
36.517
5.168
8.967
5.093
6.154
442
0
221
221
3.455

1.299
117.526
112.260
1,06%
0,18%
1,24%

2006
50.575
43.735
6.840
42.932
37.028
5.904
9.093
5.104
6.325
442
0
221
221
3.455

1.041
118.967
114.740
1,06%
0,18%
1,24%

(1) The expenditure on pensions included under the ceiling for this heading is calculated net of staff contributions to the pension scheme, up to a maximum of 1 100 
million euros at 1999 prices for the period 2000-2006.

7

TABLE 2b: FINANCIAL PERSPECTIVE (EU-25) ADJUSTED FOR ENLARGEMENT AT 2004 PRICES
(including budgetary implications of a political settlement in Cyprus)

2004 prices

2000
41.738
37.352
4.386
32.678
30.019
2.659
6.031
4.627
4.638
906
500
203
203
3.174
529
1.058
1.587

COMMITMENT APPROPRIATIONS
1. AGRICULTURE
1a Common Agricultural Policy
1b Rural development
2. STRUCTURAL ACTIONS
Structural funds
Cohesion fund
3. INTERNAL POLICIES
4. EXTERNAL ACTIONS
5. ADMINISTRATION (1)
6. RESERVES 
Monetary reserve
Emergency aid reserve
Guarantee reserve
7. PRE-ACCESSION STRATEGY
Agriculture
Pre-accession structural instrument
PHARE (applicant countries)
8. COMPENSATION
97.189
TOTAL APPROPRIATIONS FOR COMMITMENTS
94.730
TOTAL APPROPRIATIONS FOR PAYMENTS
1,08%
Ceiling, approps for payments as % of GNI (ESA 95)
0,16%
Margin for unforeseen expenditure
Own resources ceiling
1,24%
(1) The expenditure on pensions included under the ceiling for this heading is calculated net of staff contributions to the pension scheme, up to a maximum of 1 100 million 
euros at 1999 prices for the period 2000-2006.

2001
44.530
40.035
4.495
32.720
30.005
2.715
6.272
4.735
4.776
916
500
208
208
3.240
540
1.080
1.620

2003
47.378
42.680
4.698
33.968
31.129
2.839
6.796
4.972
5.211
434
0
217
217
3.386
564
1.129
1.693

Current prices
2002
46.587
41.992
4.595
33.638
30.849
2.789
6.558
4.873
5.012
676
250
213
213
3.328
555
1.109
1.664

2006
50.573
43.746
6.827
43.056
37.133
5.923
9.108
5.104
6.325
442
0
221
221
3.455

2004
49.297
42.772
6.525
41.094
35.395
5.699
8.737
5.082
5.983
442
0
221
221
3.455

2005
50.429
43.734
6.695
41.770
36.588
5.182
8.982
5.093
6.154
442
0
221
221
3.455

1.041
119.104
114.740
1,06%
0,18%
1,24%

1.410
115.500
111.380
1,08%
0,16%
1,24%

1.299
117.624
112.260
1,06%
0,18%
1,24%

102.145
102.767
1,09%
0,15%
1,24%

100.672
100.078
1,11%
0,13%
1,24%

93.792
91.322
1,07%
0,17%
1,24%

8