Communication from the Commission to the Council and the European Parliament - Instrument for pre-accession assistance (IPA) - Multi-annual indicative financial framework for 2009-2011
Date: 2007-11-06
Institutions: European Commission
Subjects: EU aid, EU financial instrument, EU financing, accession to the European Union, pre-accession strategy

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 6.11.2007 
COM(2007) 689 final 

COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE 
EUROPEAN PARLIAMENT 

INSTRUMENT FOR PRE-ACCESSION ASSISTANCE (IPA) 
MULTI-ANNUAL INDICATIVE FINANCIAL FRAMEWORK FOR 2009-2011 

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COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE 
EUROPEAN PARLIAMENT 

INSTRUMENT FOR PRE-ACCESSION ASSISTANCE (IPA) 
MULTI-ANNUAL INDICATIVE FINANCIAL FRAMEWORK FOR 2009-2011 

Introduction 

The  Multi-Annual  Indicative  Financial  Framework  (MIFF)  for  the  Instrument  of  Pre-
Accession Assistance (IPA) is designed to provide information on the indicative breakdown 
of the overall IPA envelope proposed by the Commission in accordance with article 5 of the 
IPA Regulation (EC) 1085/2006. It acts as the link between the political framework within the 
enlargement  package  and  the  budgetary  process.  The  Multi-Annual  Indicative  Planning 
Documents  (MIPD)  established  for  each  beneficiary  country  and  for  multi-beneficiary 
programmes,  through  which  pre-accession  aid  is  delivered,  take  into  account  the  indicative 
breakdown proposed in the MIFF. 

The MIFF is based on a rolling three-year programming cycle. Under normal circumstances, a 
MIFF for years N, N+1 and N+2 will be presented in the last quarter of year N-2 as part of the 
enlargement  package,  representing  a  proposed  financial  translation  of  the  political  priorities 
set out within the package itself, taking into consideration the Financial Framework. The first 
MIFF,  which  covered  2008-2010  (and  included  figures  for  2007),  was  adopted  on  8 
November 2006. This second MIFF is for the years 2009-2011. It indicates the allocation of 
the envelope for pre-accession assistance by country and by component for these years, and 
also gives an indication of the regional and horizontal envelope and support expenditure. 

The  overall  political  priorities  for  pre-accession  are  set  out  in  the  Accession  and  European 
Partnerships, the annual progress reports and the enlargement strategy paper contained in the 
enlargement package presented to the Council and European Parliament each year. 

Strategic Financial Programming  

1. 

Allocation of funds between countries 

The  starting  point  for  allocations  in  2007  was  a  commitment  by  the  Commission  to  ensure 
that no beneficiary country would receive less in 2007 than they did in 2006 and furthermore 
that Bosnia and Herzegovina and Albania should receive no less than the annual average of 
the funding each received between 2004 and 2006. This latter point reflected the fact that the 
funding for these countries was frontloaded in 2004. 

The  figures  for  2008  onwards  have  been  calculated  on  the  basis  of  per-capita  allocations 
which have been quoted in the past as a proxy for needs and impact. Against this measure, the 
Western  Balkans  should  improve  their  position  during  the  course  of  the  current  financial 
framework to above the 2004-2006 per-capita average of 23 € (in 2004 prices) received under 
CARDS.  According  to  the  2008-2010  MIFF,  this  should  be  reached  for  all  countries  in  the 
Western Balkans by 2010 at the latest. The figures for the Western Balkans in 2011 maintain 
such levels for each country. 

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For Croatia and the former Yugoslav Republic of Macedonia, as candidate countries, a level 
of  over  30  €  per  capita  (in  2004  prices)  by  2008  is  envisaged.  This  level  is  maintained  in 
2009-2011 for Croatia. For the former Yugoslav Republic of Macedonia, the funding in per 
capita terms continues to increase, reflecting a minimum level of funding needed for adequate 
administrative capacity building, irrespective of the size of the country. 

For  Turkey,  taking  into  account  the  size  and  absorption  capacity  of  the  country,  there  is  a 
gradual increase in per-capita levels of assistance over the period 2007-2011. 

The needs and absorption capacities of each individual country have been considered in the 
allocation process.  

2. 

Allocations between components  

In  determining  the  allocations  between  components,  due  account  has  been  taken  of  the 
readiness  of  the  decentralised  management  systems  necessary  for  the  implementation  of 
components III, IV and V in the current candidate countries as well as the need for component 
II funding as it relates to cross-border cooperation with Member States to match that of the 
equivalent ERDF funding from heading 1b. 

Presentation of the figures 

The  following  table  provides  the  above  figures  in  current  prices  and  in  euros.  It  shows  the 
allocations  by  country  and  by  component,  as  well  as  for  the  regional  and  multi-country 
programmes  and  support  expenditure.  In  line  with  current  practice,  funding  for  Kosovo1  is 
displayed separately and will be the focus of a separate MIPD. The figures for 2007 and 2008 
are included for ease of reference. 

Support expenditure 

This envelope covers the administrative costs directly linked to the implementation of IPA. In 
2007 and 2008 it also includes the administrative costs for  the phasing  out of previous  pre-
accession funding, including for Bulgaria and Romania.  

Regional and horizontal programmes allocation 

The  IPA  regulation  provides  for  enhanced  donor  co-ordination,  including  with  International 
Financial  Institutions  (IFIs)  to  maximise  leverage  of  grant  support.  The  existing  energy 
efficiency  facility  will  be  further  extended  to  the  Western  Balkans.  Cooperation  with  the 
European  Fund  for  Southeast  Europe  will  continue  to  promote  private  investment  (micro 
enterprises and SMEs) and a new infrastructure facility will be developed in cooperation with 
the  EIB  and  other  IFIs  to  promote  investments  in  the  transport,  energy,  environment  and 
social sector. A civil society financing facility will be funded through both the regional and 
the national programmes. 

Funding  of  interim  civilian  administrations  will  continue  in  2008,  notably  for  the  United 
Nations  Mission  in  Kosovo  (UNMIK)  and  the  Office  of  the  High  Representative  (OHR)  in 
Bosnia and Herzegovina. 

1 

Under UNSCR 1244 

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Multi-Annual  Indicative  Financial  Framework:  Breakdown  of  the  Instrument  for  Pre-

Accession Assistance Envelope for 2009-2011 into allocations by country and component 

Country 

Component 

2007 

2008 

2009 

2010 

2011 

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

Regional 
Development 

Human  Resources 
Development 

CROATIA 

49,611,775 

45,374,274 

45,601,430

39,483,458 

39,959,128

9,688,225 

14,725,726 

15,898,570

16,216,542 

16,540,872

45,050,000 

47,600,000 

49,700,000

56,800,000 

58,200,000

11,377,000 

12,700,000 

14,200,000

15,700,000 

16,000,000

Rural Development 

25,500,000 

25,600,000 

25,800,000

26,000,000 

26,500,000

Total 

141,227,000 

146,000,000 

151,200,000

154,200,000 

157,200,000

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

Regional 
Development 

Human  Resources 
Development 

FORMER 
YUGOSLAV 
REPUBLIC OF 
MACEDONIA  

41,641,613 

39,922,001 

38,128,499

36,317,068 

34,503,410

4,158,387 

5,277,999 

5,571,501

5,682,932 

5,796,590

7,400,000 

12,300,000 

20,800,000

29,400,000 

35,000,000

3,200,000 

6,000,000 

7,100,000

8,400,000 

9,400,000

Rural Development 

2,100,000 

6,700,000 

10,200,000

12,500,000 

14,000,000

Total 

58,500,000 

70,200,000 

81,800,000

92,300,000 

98,700,000

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

256,702,720 

250,165,819 

233,200,653

211,312,664 

230,620,919

2,097,280 

8,834181 

9,399,347

9,587,336 

9,779,081

TURKEY 

Regional 
Development 

167,500,000 

173,800,000 

182,700,000

238,100,000 

291,400,000

Human  Resources 
Development 

50,200,000 

52,900,000 

55,600,000

63,400,000 

77,600,000

Rural Development 

20,700,000 

53,000,000 

85,500,000

131,300,000 

172,500,000

Total 

497,200,000 

538,700,000 

566,400,000

653,700,000 

781,900,000

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ALBANIA 

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

54,318,790 

61,111,756 

70,917,079

82,711,421 

84,301,650

6,681,210 

9,588,244 

10,282,921

10,488,579 

10,698,350

Total 

61,000,000 

70,700,000 

81,200,000

93,200,000 

95,000,000

BOSNIA & 
HERZEGOVINA 

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

58,136,394 

69,854,783 

83,892,254

100,688,099 

102,681,861

3,963,606 

4,945,217 

5,207,746

5,311,901 

5,418,139

Total 

62,100,000 

74,800,000 

89,100,000

106,000,000 

108,100,000

MONTENEGRO 

Transition 
Assistance and 
Institution Building 

Cross-border  Co-
operation  

27,490,504 

28,112,552 

28,632,179

29,238,823 

29,843,599

3,909,496 

4,487,448 

4,667,821

4,761,177 

4,856,401

Total 

31,400,000 

32,600,000 

33,300,000

34,000,000 

34,700,000

SERBIA 

Transition 
Assistance and 
Institution Building 

Cross-border  Co-
operation  

181,496,352 

179,441,314 

182,551,643

186,206,679 

189,956,810

8,203,648 

11,458,686 

12,248,357

12,493,321 

12,743,190

Total 

189,700,000 

190,900,000 

194,800,000

198,700,000 

202,700,000

KOSOVO2,3 

Transition 
Assistance 
Institution Building 

and 

Cross-border  Co-
operation  

68,300,000 

121,993,920 

63,339,798

64,484,594 

65,828,286

0 

2,706,080 

2,760,202

2,815,406 

2,871,714

Total 

68,300,000 

124,700,000 

66,100,000

67,300,000 

68,700,000

Total Country Programmes 

1,109,427,000 

1,248,600,000 

1,263,900,000

1,399,400,000  1,547,000,000

2 
3 

Under UNSCR 1244 
In its Amending Letter No 1 to the Preliminary Draft Budget 2008, the Commission proposed, as part of 
a wider mobilisation of new funds to support the stability and development of Kosovo, to increase the 
IPA funding for Kosovo by € 60 million in 2008. This is included in the 2008 allocation for Kosovo 
here. 

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Total Country Programmes 

1,109,427,000 

1,248,600,000 

1,263,900,000

1,399,400,000  1,547,000,000

Regional and Horizontal 
Programmes  

108,980,000 

140,700,000 

160,000,000

157,700,000 

160,800,000

ADMINISTRATIVE COSTS 

44,793,000 

54,000,000 

56,500,000

64,600,000 

75,000,000

GRAND TOTAL 

1,263,200,000 

1,433,300,000 

1,480,400,000

1,621,700,000  1,782,800,000

Figures are in euros, current prices 

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