JOINT COMMUNICATION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS European Neighbourhood Policy: Working towards a Stronger Partnership
Date: 2013-03-20
Institutions: European Commission, High Representative of the Union
Subjects: European neighbourhood policy, democratisation, economic integration, political cooperation, political reform, sustainable development, trade cooperation

EUROPEAN 
COMMISSION 

HIGH REPRESENTATIVE OF THE
EUROPEAN UNION FOR
FOREIGN AFFAIRS AND
SECURITY POLICY

Brussels, 20.3.2013  
JOIN(2013) 4 final 

JOINT COMMUNICATION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, 
THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE 
COMMITTEE OF THE REGIONS 

European Neighbourhood Policy: Working towards a Stronger Partnership 

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European Neighbourhood Policy: Working towards a Stronger Partnership  

1. Introduction 

1.  The  EU  revised  the  European  Neighbourhood  Policy  (ENP)  in  20111,  establishing 
instruments to provide more support to partner countries building deep and sustainable 
democracy  and  to  support  inclusive  economic  development.  The  new  ENP’s  main 
features  are  political  association  and  economic  integration,  the  mobility  of  people, 
more  EU  financial  assistance,  a  stronger  partnership  with  civil  society  and  better 
cooperation on specific sector policies. This joint Communication, accompanied by a 
set of Joint Staff working documents2, looks at how the EU and partner countries have 
fared in the implementation of the jointly agreed reform objectives.  

2.  Last  year  was  an  eventful  and  challenging  year  for  the  European  Union  and  its 
neighbours.  The  EU  continued  to  work  on  overcoming  the  financial  crisis,  and  the 
related economic downturn in several Member States. Some of its partner countries in 
the neighbourhood continued to face conflicts, political instability and difficult socio-
economic  conditions.  These  countries  sometimes  have  to  tackle  daunting  political, 
economic  and  social  challenges,  some  of  which  require  immediate  responses.  This 
leaves policy-makers little time to focus on medium- and long-term reforms. 

3.  The ENP remains the basis on which the EU works with its neighbours to achieve the 
closest  possible  political  association  and  the  greatest  possible  degree  of  economic 
integration.  This  goal  builds  on  common  interests  and  on  values  —  democracy,  the 
rule of law, respect for human rights, and social cohesion.  

4.  Democratic transition processes continued for many of the partner countries. Libyans 
voted to elect their constituent assembly for the first time in more than four decades. 
Egypt  and  Tunisia  continued  to  implement  constitutional  reforms,  although  not 
without difficulties.  

5.   Armenia, Georgia and Ukraine elected new parliaments, while Moldova’s parliament 
elected a president. Democratic structures are getting ever stronger though not all of 
these elections have fully met all international standards. Belarussians were called to 
elect their parliament as well. However, elections fell short of OSCE and international 
standards. 

6.  Developments  in  Egypt,  Tunisia  and  Libya  show  clearly  that  transition  is  complex. 
Time  will  therefore  be  needed  to  establish  new  political  structures  and  balances  and 
economic growth and social cohesion, on the basis of a consensus on core values and 
principles.  Constitutional  reform  is  slow,  progress  is  not  always  linear  and  in  many 

1 COM (2011) 303 of 25.05.2011 
2 This joint Communication is accompanied by: twelve Country Progress Reports assessing the implementation 
of the ENP in 2012 with which an ENP Action Plan or an equivalent document has been agreed; two regional 
progress reports reviewing the progress made in 2012 in the implementation of the Eastern Partnership and the 
Partnership for Democracy and Shared Prosperity; and a Statistical Annex. 

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cases the outcomes are still open. In such cases, the EU has continued to work with its 
partners and support their steps towards establishing sustainable democracy.   

7.  Last year, progress across the neighbourhood has been very uneven. In many partner 
countries,  wide-ranging  reforms  were  sometimes  prevented  or  slowed  by  vested 
political or economic interests. In some cases, there was some backsliding of reforms. 
However, more than ever, slower economic growth, higher unemployment, persisting 
inequalities, increasing environmental challenges and often declining socio-economic 
indicators  make  the  case  for  the  kind  of  reforms  that  are  at  the  heart  of  the  ENP 
stronger than ever. 

8.  The  increasing  involvement  of  other  actors  (third  countries,  regional  organisations, 
etc.) in the Southern and Eastern neighbourhoods means that the EU must work more 
closely with them in tackling the problems affecting the region. 

9.  The EU has strengthened political and financial support for its partners embarking on 
political reforms. The analysis of developments and of the results of reforms in partner 
countries  shows  that  the  ENP  works  when  the  willingness  to  reform  is  there  and 
society plays an active part in the process. Values, models of governance or reforms 
cannot be imposed from the outside. They can only take root when the political leaders 
and citizens buy in to the reform objectives commonly agreed between the EU and its 
partners.  The  EU  must  continue  to  reach  out  to  and  work  with  supporters  of  reform 
and partnership with the EU. At the same time, the EU needs to better communicate 
how the ENP and its instruments can support genuine reform efforts. 

10. A  stronger  partnership  with  society  is  central  to  the  ENP.  As  a  driving  force  of 
democratisation  and  inclusiveness,  civil  society  plays  a  key  role  in  all  aspects  of 
democratic  and  socio-economic  reform,  in  advancing  women’s  rights,  in  supporting 
the freedom of expression and association, in advocating environmental protection and 
generally in striving for greater social justice. The EU has continued to live up to its 
commitment  to  work  with  civil  society,  national  parliaments  and  other  key 
stakeholders such as social partners and business, to ensure that the reform objectives 
agreed  with  partner  countries  are  a  true  reflection  of  their  societies’  concerns  and 
aspirations. Civil society also has a crucial role to play in promoting these reforms and 
in holding governments. The setting up of the Eastern Partnership (EaP) Civil Society 
Forum  (CSF),  including  the  establishment  of  national  platforms  in  the  partner 
countries, is a good example of civil society’s strengthened role in the ENP. The EU 
has continued providing support to civil society through a range of different funding 
instruments.   

11. The EU and its neighbours also face common challenges, including in the economic, 
security, environmental and migration areas. Delivering on the commitments made to 
its  Southern  and  Eastern  neighbours,  supporting  democratic  transition  and  economic 
reform  and  working  closely  with  them  on  all  aspects  of  their  reform  and  policy 
agendas, will contribute to the EU’s own security and prosperity. 

2. Implementation 

12. Two  years  on  from  the  revision  of  the  ENP,  implementation  is  the  main  task  and 
challenge  for  the  EU  and  its  partners.  Since  2011,  progress  in  implementing  the 

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reforms agreed on by the EU and its partners has been uneven.  However, it must not 
lead  to  disengagement.  On  the  contrary,  the  EU  must  step  up  its  engagement  in  the 
process including over the long term. 

13. Building  democracy  in  partner  countries  is  in  the  hands  of  their  citizens  and  their 
elected politicians. The ENP can support, but not replace, this process. An analysis of 
the  key  recommendations  contained  in  the  ENP  progress  reports  shows  that  we  are 
only at the beginning of the process. It also sets out the challenges that lie ahead. In 
many neighbourhood countries, progress has been made on the key recommendations 
on  elections,  often  with  financial  and  logistical  support  from  the  EU.  Insufficient 
progress  was  made  on  the  key  recommendations  on  the  freedom  of  association, 
expression and assembly, a free press and media, the rule of law and an independent 
judiciary and the fight against corruption. Many of the recommendations are as valid 
today  as  they  were  in  2012.  The  insert  below  highlights  the  implementation  of  key 
recommendations of previous year's progress reports.  

•  Armenia  acted  on  some  of  the  key  recommendations.  It  prepared  a  roadmap  to 
improve  the  electoral  process,  adopted  a  National  Human  Rights  Strategy  and  took 
some measures to fight corruption, reform the judiciary and public administration and 
advance sector reforms and regulatory approximation to the EU acquis. 

•  Azerbaijan acted on only a few of the key recommendations. It started implementing 
the  Human  Rights  Action  Plan,  continued  judicial  reform  and  took  some  steps  to 
address the problem of demolitions and forced evictions. It did not cooperate with the 
rapporteur  of  the  Parliamentary  Assembly  of  the  Council  of  Europe  on  political 
prisoners. 

•  Georgia acted on most of the key recommendations. It ensured broadly free and fair 
parliamentary  elections,  continued  to  engage  with  its  breakaway  regions,  actively 
participated  in  the  Geneva  discussions  and  took  measures  to  improve  the  living 
conditions of Internally Displaced Persons (IDPs). It also strengthened the freedom of 
expression  and  opinion,  reformed  the  judicial  system  and  advanced  sector  reforms 
and regulatory approximation to the EU acquis. 

•  Moldova  acted  on  most  of  the  key  recommendations.  It  stepped  up  efforts  to 
implement  judicial  and  law  enforcement  reform,  engaged  in  dialogue  with  Tiraspol, 
continued  to  implement  reforms  in  the  areas  of  social  assistance,  health  and 
education,  energy,  competition,  state  aid  and  regulatory  approximation  to  the  EU 
acquis. It finalised the remaining steps under the first phase of its Visa Liberalisation 
Action Plan (VLAP), and stepped up institutional reform of the aviation sector. 

•  Ukraine:  Most  of  the  key  recommendations  still  need  to  be  acted  on.  However, 
Ukraine did take steps toward legal and judicial reform, with the entry into force of a 
new Criminal Procedure Code and other important legislation. It also adopted a law on 
asylum and refugee status, although implementation is deficient. 

•  Egypt acted on only some of the key recommendations. Power was handed over to a 
civilian government and the state of emergency was lifted. A constitution was drafted 
and  adopted  by  popular  referendum.  However,  the  process  was  controversial  and 
heavily criticised by the opposition, leading to a deeply divisive political crisis. 

• 

Israel:  Most  of  the  key  recommendations  still  need  to  be  acted  on.  No  significant 
change was observed in the areas of concern. 

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•  Palestine3: Most of the key recommendations remain valid and still need to be acted 
on.  Some  have  been  acted  on  however,  including  holding  local  elections,  further 
improving  public  finance  management  and  developing  costing  models  in  the  social 
protection sector. However, the difficulties created primarily by the occupation and the 
deepening financial crisis hindered the Palestinian Authority (PA) in tackling reforms. 

•  Jordan acted on some of the key recommendations, notably the establishment of the 
electoral  commission  and  the  Constitutional  Court  and  the  adoption  of  a  law  on 
political parties and an electoral law. 

•  Lebanon started to act on only a few of the key recommendations by making some 
overdue  judicial  appointments.  Reform  objectives  advanced  only  slowly  against  the 
backdrop of the on-going crisis in the neighbouring Syria 

•  Morocco has taken steps to start implementing most key recommendations, but has 
not  finished  doing  so,  despite  expressing  its  commitment  to  the  agreed  reform 
objectives. It established a body for a national dialogue on judicial reform, drafted (but 
did not adopt) a law establishing an anti-corruption body and continued approximating 
its legislation to the EU acquis. 

•  Tunisia, which was going through a difficult transition, acted on only a few of the key 
recommendations.  The establishment  of  the  Independent  Electoral  Commission  was 
approved,  but  the  new  electoral  law  was  not  finalised.  Tunisia  signed  the  regional 
convention on pan-Euro-Mediterranean rules of origin. Preparations for negotiating a 
Deep and Comprehensive Free Trade Area (DCFTA) progressed. 

14. The EU continued to deal with its partner countries’ immediate priorities by helping to 
establish the rule of law and good governance and to lay the foundations for economic 
growth  and  job  creation,  as  well  as  sustainable,  knowledge-based  and  socially 
equitable societies. After the first task force for Tunisia in 2011, task forces for Egypt 
and  Jordan  brought  together  representatives  of  the  EU  institutions,  governments,  the 
private sector, international donors and civil society, to serve as catalysts for political 
and economic reform. EU financial assistance under the ENPI and other instruments 
has played a critical role in a number of cases. 

15. The EaP Foreign Ministers’ meeting in July 2012 stated that the EaP Roadmap4 was a 
basis  for  guiding  and  monitoring  the  further  implementation  of  the  Partnership’s 
objectives until the next EaP Summit. By setting out the key reforms partner countries 
need to implement and describing what the EU can do and what support it can offer, 
the Roadmap illustrates the concepts of mutual accountability and joint ownership that 
are essential for moving towards political association and economic integration. 

16. Work on strengthening relations advanced more with some countries than with others. 
This reflects the EU’s commitment to moving further and faster with partner countries 
who  are  willing  and  ready  to  make  more  progress  towards  reforms  (in  line  with  the 

3 In line with UNGA Resolution 67/19, the denomination 'Palestine' will be used on all occasions when referring 
to what to date has been referred to as 'Palestinian National Authority' or 'occupied Palestinian territory'. 
This  does  not  entail  any  recognition  of  Palestine  as  a  state  in  line  with  the  December  2009  Council 
Conclusions. 

4 Joint Statement of the Eastern Partnership Foreign Ministers’ Meeting, Brussels, 23 July 2012, Council of the 
European  Union,  12862/12,  PRESSE  348.  Joint  Communication  to  the  European  Parliament,  the  Council,  the 
European Economic and Social Committee and the Committee of the Regions, Eastern Partnership: A Roadmap 
to the autumn 2013 Summit, JOIN(2012) 13 final, 15.5.2012. 

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‘more  for  more’  principle).  It  continued  to  negotiate  association  agreements  that 
include DCFTAs with the Republic of Moldova, Armenia and Georgia as well as an 
association agreement with Azerbaijan. It started DCFTA negotiations with Morocco, 
and is preparing negotatiations with Tunisia, and Jordan. The EU-Ukraine Association 
Agreement was initialled but not signed. 

17. Substantial progress was made on developing new-generation joint ENP Action Plans 
or equivalent documents. Action Plans reflect the specific needs, capacities and reform 
commitments  of  each  of  the  partner  countries,  allowing  for  nuanced,  tailor-made, 
relations between the EU and each of the partner countries. It concluded negotiations 
on Action Plans with Lebanon, Morocco and the PA, and with Tunisia in the context 
of  a  privileged  partnership.  The  Action  Plans  will  need  to  be  endorsed  by  the 
respective Association Councils. The new Action Plan for Jordan entered into force in 
October.  Also  in  October,  the  EU  and  Algeria  started  negotiations  on  a  joint  ENP 
Action Plan. Ukraine and the EU reached a common understanding to start updating 
the current Association Agenda, which prepares for the implementation of the future 
association  agreement.  Preparations  were  under  way  to  launch  negotiations  on 
Association Agendas with the Republic of Moldova, Armenia and Georgia. 

2.1. Deep and sustainable democracy 

18. Across  the  neighbourhood,  some  progress  was  made  on  reforms  towards  deep  and 
sustainable  democracy.  There  are  still  some  problems  however,  and  some 
developments risk backsliding. 

19. There  is  an  increasing  divergence  in  democratic  reforms  in  the  neighbourhood 
countries.  The  EU  will  therefore  respond  in  a  more  nuanced  manner,  based  on  the 
‘more  for  more’  principle  and  a  rigorous  review of  reform commitments. To remain 
credible,  it  must  apply  the  same  high  standards  to,  and  scrutiny  of,  democratic 
reforms, wherever and in whatever form they happen. 

20. Tunisia, Egypt and Libya went through revolutions that triggered democratic reforms, 
while in Jordan, Morocco and Algeria the authorities in power initiated constitutional, 
electoral  and  legal  reforms.  Democratic  elections  were  held  in  Egypt,  Libya  and 
Tunisia;  concerns  remain  about  the  freedom  of  assembly,  association  and 
expression,  including  the  freedom  of  the  media,  in  most  partners.  The  EU  has 
deployed election observation missions to Algeria and Libya. At the start of 2013, it 
observed  elections  in  Jordan  for  the  first  time.  Egypt  has  accepted  that  an  EU 
observation mission will monitor the upcoming parliamentary elections. 

21. Eastern  countries  are  also  on  increasingly  different  paths.  Moldova,  Georgia  and 
Armenia continued to implement reforms improving the electoral framework and held 
elections that generally conformed to international standards, making clear progress in 
the  difficult  transformation  towards  sustainable  democracy.  Ukraine’s  parliamentary 
elections  presented  a  more  mixed  picture  with  several  shortcomings.  There  was 
deterioration in several areas compared to previous elections. The elections in Belarus 
took  place  against  a  background  of  repression  —  another  missed  opportunity  for 
Belarus to hold elections in line with OSCE and international standards. Generally, the 
EU  is  very  concerned  about  the  lack  of  freedom  of  assembly,  association  and 
expression in a number of countries. There was no improvement in Belarus in terms of 
respect for human rights, the rule of law and democratic principles. 

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22. In  some  partner  countries,  civil  society  organisations  (CSOs)  and  sometimes,  trade 
unions,  continue  to  face  serious  constraints  (obstacles  to  the  freedom  of  movement, 
lawsuits against NGO leaders, cumbersome administrative procedures, acceptance of 
financial support subject to  authorisation). Egyptian civil society  organisations faced 
increasing  pressure  from  the  authorities.  The  current  association  laws  in  Egypt, 
Morocco and Algeria are also a cause for concern. The freedom of association is also 
lacking in Belarus and Azerbaijan. The freedom of association needs to be guaranteed 
and  new  laws  on  associations  must  be  in  line  with  international  human  rights 
standards. 

23. In several countries of the neighbourhood, the media continues to suffer from political 
and economic interference, a lack of diversity and self-censorship. There were many 
cases  of  harassment  and  imprisonment  of  journalists  in  Azerbaijan  and  Egypt,  while 
the  implementation  of  legislation  on  media  transparency  in  Georgia  was  a  welcome 
development. 

24. Judicial independence needs to be strengthened to a varying degree in a number of 
partner countries, including Egypt, Morocco, Tunisia and Algeria in the South and in 
the  East  in  particular  in  Azerbaijan  and  Belarus.  In  Ukraine,  there  are  concerns 
regarding the misuse of the justice system for political purposes. Despite some reform 
of the justice systems, the judiciary continues to be perceived as heavily dependent on 
the  executive  throughout  both  the  Eastern  and  Southern  neighbourhood.  High 
conviction  rates,  excessive  use  of  administrative  detention  and  unsatisfactory 
application  of  the  principle  of  equality  of  arms  undermined  trust  in  the  judiciary. 
Although efforts were made to improve prison infrastructure, prison conditions remain 
a cause for concern and cases of torture and ill-treatment continue to be inadequately 
investigated, fostering a culture of impunity among law-enforcement officials.  

25. Corruption remains a huge problem in many countries in the neighbourhood. In most 
countries  no,  or  only  very  timid,  steps  were  taken  to  start  tackling  corruption. 
Particularly  in  Ukraine,  Lebanon,  Azerbaijan,  Libya,  and  Belarus,  the  perception  of 
corruption remains very high.5  

26. Democratic control over armed and security forces improved, notably in Libya and 
Egypt. Reform of the security sector, in particular reform of the police, the complete 
lifting of the states of emergency and reform of the penal and military codes to avoid 
military  trials  of  civilians,  remains  a  major  problem  across  the  Mediterranean 
neighbourhood.  Issues  such  as  the  supervision  and  accountability  of  the  police, 
conditions in the penitentiary system and the treatment of citizens undertaking national 
service continue to be discussed in structured dialogues. 

27. Credible  transitional  justice  processes  are  crucial  for  the  success  of  transition, 
notably in those countries that have shed authoritarian regimes that committed crimes 
against  their  own  populations.  Judicial  reforms  and  law-enforcement  reforms  also 
have  priority  status  in  the  EaP,  linked  to  the  overall  objective  of  maintaining  and 
reinforcing the rule of law.  

5 Transparency International, Corruption Perceptions Index 2012. 

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28. Cultural and social discrimination against women remains a problem in the Southern 
neighbourhood. Women played an active part in the revolutions. Now it is crucial that 
the  transition  process  and  constitutional  reform  do  not  hinder  progress  on,  or 
undermine  the  equality  of  women  before  the  law  and  in  society.  There  is  also  much 
room for improvement in terms of gender equality in the East. 

29. Comprehensive  anti-discrimination 

the 
neighbourhood,  with  few  exceptions.  Discriminatory  attitudes  are  widespread,  in 
particular against the lesbian-gay-bisexual-transgender (LGBT) community.   

is  still  a  problem  across 

legislation 

2.2. Sustainable economic and social development 

30. Economic growth picked up in only a few of the ENP partners, such as Georgia and 
Azerbaijan,  but  slowed  in  most  others.  External  risks  related  to  the  global  economic 
situation  increased,  and  conflicts  also  impacted  negatively  on  the  prospects  for 
economic  recovery.  Southern  and  Eastern  partners  continue  to  face  general 
macroeconomic imbalances and high, and sometimes rising unemployment. Southern 
partner  countries  in  particular  have  high  rates  of  youth  unemployment.  Ongoing  or 
renewed  political  instability  also  had  a  negative  impact  on  growth.  Without  an 
increase  in  growth  and  effective  employment  policies  (including  investing  in  human 
capital,  promoting  decent  work,  and  research  and  innovation),  high  levels  of 
unemployment will persist among the young and the informal sector will continue to 
represent  a  significant  proportion  of  the  real  economy.  Significant  socio-economic 
disparities persist in many Eastern and Southern neighbourhood countries. If not dealt 
with, these factors will continue to jeopardise future social stability and the transition 
towards democracy. EU financial assistance has helped to tackle them by supporting 
key economic reforms. 

31. In  the  context  of  continuing  economic  and  financial  crisis  in  the  euro  zone  and  the 
global economic slowdown, macroeconomic dialogues that the Commission held in 
2012 with the vast majority of the neighbourhood countries (all ENP countries except 
Libya and Syria) have proved to be a useful instrument for economic cooperation for 
the  EU  and  its  partner  countries.  These  dialogues  allowed  for  an  open  exchange  of 
views on economic developments and policy challenges, including the implications of 
the  turmoil  in  the  euro  zone  for  the  EU’s  neighbourhood.  They  also  served  as  a 
platform for reviewing the implementation of the economic reform priorities identified 
in the ENP Action Plans and Association Agendas. 

32. In  addition  to  regular  macroeconomic  dialogues  established  under  various  bilateral 
agreements,  the  Commission  holds  discussions  on  economic  policy  with  partner 
countries that benefit from EU macro-financial assistance (MFA). This is designed 
to  help  the  partner  countries  address  macroeconomic  imbalances  and  implement 
growth-oriented structural reforms. In 2012, with the release of the final instalments, 
the Commission completed the implementation of two MFA programmes approved in 
2009  (Armenia,  EUR100  million  in  loans  and  grants)  and  2010  (Moldova,  EUR90 
million in grants). The Memorandum of Understanding and Loan Agreement for the 
MFA programme for Ukraine of up to EUR610 million was signed at the beginning of 
2013.  During  2012,  the  EU  worked  closely  with  the  Egyptian  and  Jordanian 
authorities  on  possible  MFA  programmes  to  be  launched  at  the  beginning  of  2013. 
The legislative decision on the programme for Georgia that the Commission proposed 

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in early 2011 (EUR46 million in loans and grants), continued to await the European 
Parliament’s and the Council’s approval. 

33. In  2012,  cooperation  on  enterprise  policy  continued  to  focus  on  improving  the 
business  climate  and  giving  SMEs  better  financial  support.  Implementing  the  Small 
Business  Act,  a  European  framework  for  SME-friendly  enterprise  policy,  remains  a 
key  objective.  The  level  of  progress  differs  widely  among  partners.  A  consultation 
mechanism to give SMEs a say on matters of concern to them would improve policy-
making across the region. Reinforcing the rule of law and giving fair, simple access to 
public  contracts  by  improving  procurement  systems,  administrative  simplification, 
better  skills,  easier  access  to  finance  and  more  innovation  would  boost  business 
development. EU financial support is helping SMEs develop capacity in many cases. 

34. Tackling  poverty  and  unemployment  remained  a  high  priority  in  rural  areas  in 
particular.  In  May,  the  EU  held  a  high-level  seminar  to  present  and  discuss  the 
European  Neighbourhood  Programme  for  Agriculture  and  Rural  Development 
(ENPARD)  initiative.  In  the  Southern  partner  countries  pilot  activities  are  being 
developed. Technical committees with the participation of civil society and the private 
sector  have  been  set  up.  ENPARD  actions  started  in  Egypt,  Algeria,  Tunisia  , 
Morocco,  and  in  the  East  in  Georgia.  Furthermore,  the  Food  and  Agriculture 
Organisation  (FAO)  carried  out  the  assessment  of  the  agriculture  and  rural 
development  sectors  in  each  of  the  EaP  countries.  It  also  identified  some  common 
challenges  at  regional  level.  Results  provide  a  solid  basis  for  the  newly  created  EaP 
panel  on  agriculture  and  rural  development  and  will  feed  into  the  preparation  of 
potential new programmes in this area. 

2.3. Markets 

35. The EU remains the single most important trade partner for almost all countries in the 
neighbourhood.  Work  on  deepening  economic  and  trade  integration  between  the  EU 
and  its  partners  therefore  continued.  The  EU  and  Ukraine  initialled  an  Association 
Agreement, including the DCFTA. Substantial progress was made in negotiations with 
Moldova  after  DCFTA  negotiations  were  opened  in  March.  Armenia  and  Georgia 
made very good progress in their association agreement negotiations, including those 
on establishing a DCFTA. Future inclusion of the Eastern DCFTA partners in the pan-
Euro-Mediterranean system of diagonal cumulation of rules of origin will strengthen 
their  economic  integration  with  the  EU  and  give  them  an  additional  incentive  for 
establishing free trade areas with other ENP partners. 

36. After thorough preparations, the EU and Morocco opened DCFTA negotiations at the 
beginning of 2013. Preparations for negotiating a DCFTA with Tunisia also advanced. 
Preparations  for  negotiating  a  DCFTA  with  Jordan  stalled,  and  they  have  not  yet 
started with Egypt. The Agricultural and Fisheries Product Agreement with Morocco 
and the Palestinian Authority entered into force in October and January respectively. 
Negotiations  of  a  similar  agreement  with  Tunisia  could  not  be  resumed.  The 
Agreement  on  Conformity  Assessment  and  Acceptance  of  industrial  products  with 
Israel entered into force in January on pharmaceutical products. 

9 

 
 
 
2.4. Mobility 

37. The  EU  and  its  partners  continued  to  improve  the  mobility  of  people.  Significant 
progress  was  made  in  2012  towards  the  goal  of  visa-free  travel  in  the  Eastern 
Neighbourhood, as mandated by the EaP Summit of 2011. Moldova took an important 
step  forward  in  the  context  of  its  Visa  Liberalisation  Action  Plan,  moving  to  the 
assessment of the second phase and of benchmarks concerning the implementation of 
relevant legislation. Ukraine also made substantial progress on its VLAP. A dialogue 
on  Visa  Liberalisation  with  Georgia  was  started  in  June  2012,  with  the  aim  to 
examine  the  conditions  for  visa-free  travel  to  the  EU  for  Georgian  citizens,  while 
Armenia  granted  visa-free  entry  to  EU  citizens  from  January  2013.  After  Mobility 
Partnerships with Moldova,  Georgia and  Armenia were set  up discussions towards a 
possible EU-Azerbaijan Mobility Partnership were launched. A first, major evaluation 
of the EU-Moldova Mobility Partnership showed how useful it is as a comprehensive 
bilateral  framework  for  cooperation,  but  it  also  showed  that  that  the  amount  of 
concrete activities (notably in the area of legal migration) could still be expanded. The 
EU’s offer of negotiations on visa facilitation and readmission agreements to Belarus 
remained  unanswered.  This  underlines  how  important  it  is  that  the  Member  States 
make optimal use of the flexibilities of the EU Visa Code as far as Belarusian citizens 
are concerned. 

38. Closer  ties  on  mobility  and  migration  were  developed  with  the  Southern  partners, 
taking  advantage  of  the  EU’s  extensive  experience  with  its  Eastern  partners.  After 
dialogues on migration, mobility and security were begun with Tunisia and Morocco 
in  October  2011,  negotiations  on  Mobility  Partnerships  with  the  two  countries 
proceeded well in 2012. Recently, the EU and Morocco announced the agreement at 
negotiators'  level  on  the  Political  Declaration  with  a  view  to  a  Mobility  Partnership. 
The aim is to finalise the negotiations in the first half of 2013. A dialogue with Jordan 
began in December 2012. Egypt has so far not taken up the EU’s proposal to launch a 
dialogue on migration, mobility and security. 

39. Programmes  like  Tempus,  Erasmus  Mundus,  Marie  Curie  and  Youth  in  Action,  in 
which  Neighbouring  countries  are  particularly  active,  have  been  instrumental  in 
promoting the mobility of students, academic staff, researchers and young people from 
those countries and the EU, thus contributing to the modernisation and opening up of 
higher education systems. 

2.5. Cooperation 

40. The  EU  continued  to  provide  financial  support  for  reform  in  partner  countries.  The 
total amount available for partner countries in the period 2011–13 is EUR 6.5 billion. 
This includes additional funding (EUR 0.95 bn) made available after the launch of the 
Eastern Partnership initiative and the European Neighbourhood Policy review. Most of 
the  additional  funding  is  provided  on  the  basis  of  the  more-for-more  principle,  i.e. 
progress  in  building  deep  and  sustainable  democracy  and  in  implementing  related 
reform  objectives.  It  is  channelled  through  two  umbrella  programmes:  EUR 540 
million  for  SPRING6  in  the  Southern  Mediterranean  and  EUR 130  million  for 

6 Support for Partnership, Reform and Inclusive Growth. 

10 

 
 
                                                 
transformation  and 

EaPIC7  in  the  Eastern  neighbourhood.  Both  programmes  focus  on  promoting 
democratic 
institution-building  and  supporting  sustainable, 
inclusive  growth.  The  rest  of  the  additional  funding  has  mostly  been  allocated  to 
mobility  programmes  (Tempus,  Erasmus  Mundus,  etc.)  and  support  to  civil  society 
organisations  and  non  state  actors.  As  regards  future  funding  under  the  forthcoming 
European  Neighbourhood  Instrument  (ENI),  it  is  proposed  that  allocations  will  take 
into account such criteria as partner countries' commitment to reforms and progress in 
implementing these reforms, progress in building deep and sustainable democracy and 
level of ambition of partnership with the EU.8 

41. Under  this  framework,  the  Neighbourhood  Civil  Society  Facility  (CSF)  was 
established  in  2011  with  an  initial  budget  of  EUR 26.4  million.  Its  purpose  is  to 
reinforce  civil  society  organisations,  including  social  partners,  so  that  they  can  play 
their  part  in  the  changes  in  the  ENP  region  and  have  a  genuine  role  in  the 
democratisation process. The first phase of the CSF implemented in 2012 focused on 
strengthening  civil  society's  networking  capacity  and  improving  their  abilities  to 
promote national reform and increase public accountability. 

42. In  December  2012,  a  second  phase  of  the  CSF  was  adopted  with  a  new  budget 
allocation  of  EUR 45.3  million  for  2012–13.  The  goal  is  to  support  civil  society 
organisations increased involvement in the policy dialogue with partner governments 
and their increased role in national reform processes and local development agendas. 

43. To support political actors striving for democratic  change in their countries,  in 2011 
the  High  Representative  and  the  Commission  proposed  to  establish  a  European 
Endowment for Democracy (EED). Important steps were taken in 2012 to organise 
and  launch  the  EED  as  an  independent  European  non-profit  foundation,  with  the 
participation  of  representatives  of  Member  States,  the  European  Parliament,  the 
European  Commission,  the  High  Representative  and  civil  society  organisations.  The 
Commission and a number of Member States already committed funding of EUR 15 
million (of which EUR 6 million from the Commission), which should allow the EED 
to become fully operational in 2013. 

44. The  decision  on  the  mid-term  review  of  the  European  Investment  Bank’s  (EIB) 
external  mandate  in  October  2011  opened  the  way  for  additional  loans  of  EUR 1.15 
billion  to  partner  countries  and  for  up  to  EUR 1  billion  in  loans  related  to  climate 
change by end 2013. In 2012, the EIB signed almost EUR 1.7 billion of new loans in 
the Southern neighbourhood and almost EUR 0.9 billion in the Eastern neighbourhood 
(including Russia).  

45. The  European  Bank  for  Reconstruction  and  Development  (EBRD),  whose  area  of 
operation  was  extended  in  2011  to  include  Southern  and  Eastern  Mediterranean 
countries,  allocated  EUR 1  billion  in  May  2012  to  start  operations  in  the  first  four 
countries.  They  are  Egypt,  Jordan,  Morocco  and  Tunisia.  Up  to  EUR 100  million, 
partly  from  the  EU  budget,  have  been  allocated  to  support  technical  assistance 
activities to identify and prepare projects. 

7 Eastern Partnership Integration and Cooperation Programme. 
8 COM(2011) 839 final  

11 

 
 
                                                 
46. At  the  end  of  2012,  total  Neighbourhood  Investment  Facility  (NIF)  allocations 
reached EUR 594.9 million (of which EUR 259.8 million for the East and EUR 335.1 
million  for  the  South).  Since  the  creation  of  the  NIF,  a  total  of  EUR 8  billion  was 
leveraged  from  European  financial  institutions  (with  an  almost  equal  split  between 
East and South).  

2.6. Sector cooperation 

47. Cooperation  on  sector-specific  policy  is  an  important  and  expanding  part  of  the 
renewed  ENP,  bilaterally  and  in  the  context  of  the  EaP  and  the  Union  for  the 
Mediterranean  (UfM).  Increasingly  based  on  convergence  with  EU  norms  and 
standards, it supports transition, reform, modernisation and ultimately, integration with 
EU markets. It covers a wide range of areas including employment and social policy, 
industrial  policy,  competition  policy,  agriculture  and  rural  development,  fisheries, 
climate  change,  the  environment,  energy  security,  transport,  integrated  maritime 
policy, the information society, research and innovation, education in particular higher 
education  cooperation  and  mobility  (through  programmes  like  Erasmus  Mundus, 
Tempus, Marie Curie Actions), youth cooperation, health, and culture. 

48. Some partners  participate  in  legally binding sector instruments with the EU,  such as 
the Energy Community, the bilateral aviation agreement, or the Regional Convention 
on  pan-Euro-Mediterranean  preferential  rules  of  origin.  These  instruments  establish 
regional  building  blocks  that  can  offer  social,  economic,  legal  or  regulatory  and 
political benefits which go beyond the bilateral approach, and can lead to progressive 
integration  in  specific  sectors.  They  create  a  web  of  links  between  the  EU  and  its 
partners,  extending  the  EU’s  legal  norms.  The  EU  should  reflect  on  how  to 
progressively extend the geographic scope of these instruments to open them to other 
ENP  partners,  or  on  developing  with  willing  partners  sector  arrangements  like  the 
transport community with countries of the Western Balkans. 

49. In  the  energy  sector,  joint  efforts  focused  on  energy  security,  market  reform  and 
integration,  including  by  developing  infrastructure,  improving  energy  efficiency  and 
using  more renewable energy sources. Further steps were taken towards opening the 
strategic  Southern  Gas  Corridor.  Eastern  European  partners  such  as  Moldova  and 
Ukraine  made  progress  on  implementing  their  Energy  Community  commitments. 
Georgia has recently applied for membership as well. The EU and its Mediterranean 
partners  made  limited  progress  towards  setting  up  a  Mediterranean  Energy 
Community in the future. 

50. Partners  took  further  steps  to  prepare  and  implement  environmental  strategies  and 
legislation, and made some efforts to improve the state of the environment.  The EU 
helped  partner  countries  to  tackle  environmental  degradation  and  promote  the 
sustainable  use  of  natural  resources,  including  in  the  areas  of  air  quality,  water, 
industrial  pollution,  waste  management,  hazardous  pesticides,  nature  protection  and 
forest  management,  and  to  strengthen  environmental  information  systems  and 
governance.  Partners  need  to  fully  implement  the  multilateral  environmental 
agreements they are parties to. 

51. The flagship programmes for Prevention of, Preparedness for, and Response to natural 
and  man-made  disasters  (PPRD  South  and  East)  contributed  to  the  partial 
implementation  of  the  2005  Hyogo  Framework  for  Action  for  Disaster  Risk 

12 

 
 
Reduction,  facilitating  approximation  to  EU  legislation  and  standards.  The  EU  will 
support  the  development  of  communication  and  awareness  strategies,  capacity 
building and improved coordination. 

52. Partners took some steps in the field of climate change, notably through some Clean 
Development  Mechanism  and  Joint  Implementation  projects.  The  EU  helped  them 
make  the  transition  towards  low  carbon  development  and  climate  resilience  through 
capacity  building  and  investments.  However,  designing  and  implementing  ambitious 
climate policies remains a challenge, as does mainstreaming of climate considerations 
into other related policies (e.g. energy, transport, agriculture). Partners are encouraged 
to engage in the development of national climate change strategies, that is low-carbon 
development  policies  and  climate  resilience  strategies,  which  will  also  be  needed  in 
the  context  of  international  negotiations  and  their  completion  in  2015.  This  includes 
integrating climate change in other policy areas.  

53. ENP  partners  implemented  reforms  to  move  towards  EU  transport  standards.  Joint 
work  in  the  EaP  Transport  Panel  focused  on  closer  integration  of  transport  systems, 
defining  a  regional  transport  network  connected  to  the  TEN-T  and  on  identifying 
priority interconnection projects. This work should be finished in 2013; similar work 
with  Southern  partners  should  be  endorsed  by  the  second  Ministerial  Transport 
Conference in November 2013. The EU and Moldova signed at the beginning of this 
year a Common Aviation Area Agreement. Such an agreement with Israel was already 
initialled  in  2012.  In  2013,  aviation  negotiations  will  be  launched  with  Tunisia  and 
should  be  resumed  with  Lebanon.  Negotiations  on  an  aviation  agreement  with 
Ukraine,  re-launched  in  2012,  should  be  concluded  in  2013,  and  started  with 
Azerbaijan in 2013. The informal EaP ministerial dialogue on transport took place in 
February  2013  to  prepare  for  the  second  meeting  of  the  EU  and  Eastern  Partnership 
Transport Ministers in 2013. 

54. The  EC-EIB-International  Maritime  Organisation  (IMO)  have  worked  together  in 
2012  on  a  set  of  joint  proposals  for  action  as  a  follow-up  to  a  feasibility  study  on 
Mediterranean  Sea  Maritime  development  cooperation  which  has  been  carried  out 
under the Facility for Euro-Mediterranean Investment and Partnership (FEMIP) Trust 
Fund. In 2013, the EC-EIB-IMO are co-organising the 12th FEMIP Conference with a 
view to enhance marine and maritime cooperation among Mediterranean countries and 
support economic growth and jobs creation in the region. 

55. Regarding  the  information  society  policy,  joint  work  remained  focused  on 
establishing fair, modern, open and transparent telecommunication markets, the open 
and  vibrant  use  of  the  internet  for  all  and  a  diverse  media  environment.  An  EaP 
Electronic  Communication  Regulators  Network  was  established  in  2012.  The 
Mediterranean Regulators Network will be strengthened. 

56. Important steps were made towards the development of the Common Knowledge and 
Innovation  Space.  In  2012  the  participation  of  ENP  countries  in  the  Seventh 
Framework Programme (2007–13) (FP7) increased. The international cooperation call 
for  proposals  published  in  July  2012  included  activities  specifically  targeted  to  the 
ENP countries at regional and bilateral levels with the aim to support policy dialogue 
as well as a special action for  bridging  the gap between research and innovation. At 
the end of 2012 the total EU contribution to projects with ENP countries` participation 
reached  EUR  960  million.  In  March  2012,  a  science  and  technology  cooperation 

13 

 
 
agreement  was  signed  between  EU  and  Algeria.  The  Republic  of  Moldova  was 
associated to the FP7 as of January 2012. Initiatives to enhance Euro-Med bi-regional 
cooperation are under way following the Euro-Mediterranean conference on research 
and innovation held in Barcelona in April 2012. A dedicated Panel on Research and 
Innovation under the current EaP platform IV "Contacts between people" was initiated 
in 2012 and will be launched in 2013. 

57. In 2012 dialogue continued with partner countries to identify their key interests with 
regard to participating in EU programmes and working with EU agencies. The EU 
organised  information  meetings  on  the  general  approach  to  participating  in 
programmes and working with agencies in most of the partner countries. 

58. In October, the protocol allowing Morocco to participate in EU programmes open to 
the  participation  of  ENP  partners  entered  into  force.  In  December,  the  EU  signed 
similar protocols with Armenia and Jordan. Negotiations on protocols with Azerbaijan 
and Georgia started.9  

59. In  November,  the  EU  organised  an  information  seminar  bringing  together  ENP 
countries  and  EU  agencies.  It  adopted  a  financial  assistance  project  of  EUR 3.7 
million,  starting  in  early  2013,  to  support  EU  agencies’  preparatory  measures  for 
helping ENP partners participate in their work. ENP partners strengthened interaction 
with several EU agencies, including on bilateral technical cooperation. 

60. The  EU  is  ready  to  negotiate  protocols  allowing  other  interested  ENP  countries  to 
participate in EU programmes. As the current programmes expire in 2013, the EU will 
give  partners  information  on  the  2014–20  programmes  open  to  their  participation, 
once these have been adopted. It will continue to help partner countries participate in 
the work of EU agencies, in particular by providing funding for preparatory activities. 
Partner  countries  will  need  to  carefully  identify  a  limited  number  of  priorities  to 
facilitate further dialogue and cooperation based on a mutually identified interest. The 
EU  is  prepared  to  co-fund,  on  a  temporary  and  decreasing  basis,  some  of  the  costs 
associated with participation. 

2.7. Eastern and Southern Dimensions of the ENP 

61. The  ENP  is  based  on  individual  partnerships  between  the  EU  and  each  individual 
neighbour  through  a  single  policy,  based  on  mutual  accountability  and  a  shared 
commitment to the universal values of human rights, democracy and the rule of law. 
This approach is complemented by the two regional dimensions of the ENP. The EaP 
and  the  Partnership  for  Democracy  and  Shared  Prosperity  with  the  Southern 
Mediterranean neighbours aim to foster regional cooperation and to develop regional 
synergies and responses to the specific geographic, economic and social problems of 
each region. 

9  Protocols  allowing  the  Republic  of  Moldova  and  Ukraine  to  participate  in  EU  programmes  open  to  their 
participation entered into force in 2011 and a protocol was signed with Israel in 2008. 

14 

 
 
                                                 
2.7.1 Eastern Partnership 

62. Significant  bilateral  and  multilateral  progress  was  made  in  implementing  the  EaP. 
Despite  this,  limited  progress  in  some  countries  in  terms  of  democratic  reforms, 
human rights and the rule of law continued to pose a challenge for the achievement of 
the objective of partner countries’ political association and economic integration with 
the EU. The Roadmap drawn up in 201210 was a basis for guiding and monitoring the 
further  implementation  of  the  Partnership’s  objectives  defined  in  the  Prague  and 
Warsaw Declarations until the next summit in Vilnius in autumn 2013. 

63. The EaP platforms and panels provided a common space for dialogue, cooperation and 
exchange of information in areas such as public administration reform, transport and 
migration and asylum. Civil Society Forum platforms have now been established in all 
six  EaP  partner  countries.  Substantial  progress  on  Association  Agreements  (AA) 
including Deep and Comprehensive Free Trade Areas – key instruments in support of 
democratic  and  economic  transformation  -  was  made  and  the  EU  made  headway 
towards the goal of visa liberalisation for short-term travel with five of the six partner 
countries. The EU has provided substantial funding to support partners’ reform efforts. 
For  the  period  2011–13,  EUR 1.9  billion  is  available  for  bilateral  and  regional 
cooperation  (including  EUR  350  million  of  additional  resources).  The  Eastern 
Partnership  Integration  and  Cooperation  Programme  (EaPIC)  has  served  as  an 
instrument for a more systematic application of increased policy conditionality and the 
application of the ‘more for more’ principle. In 2012 three partner countries (Moldova, 
Georgia  and  Armenia)  benefited  from  EaPIC  in  terms  of  increased  financial 
assistance. 

64. The  establishment  of  the  Eastern  Partnership  Informal  Dialogues,  to  be  held  at  the 
level of the HR/VP, the Commissioner for European Neighbourhood, and the Foreign 
Ministers  of  the  six  partner  countries,  was  agreed.  The  Informal  Dialogues  should 
address any foreign policy issues of mutual interest for the EU and partners, monitor 
the  implementation  of  the  Eastern  Partnership  Roadmap  and,  when  appropriate, 
include a sector dialogue. The first meeting took place in Chisinau in June 2012, and 
the  second  dialogue  was  held  in  Tbilisi  in  February  2013,  including  an  informal 
dialogue  on  transport,  with  the  participation  of  Vice  President  of  the  Commission 
Kallas and Transport Ministers of the partner countries.  

65. The  summit,  scheduled  to  take  place  in  Vilnius  in  November  2013  will  be  another 
milestone  in  the  implementation  of  the  EaP.  Some  of  its  Eastern  European  partners 
wish to go further in their relations with the EU. In the May 2011 Communication on 
the  ENP11,  the  High  Representative  and  the  Commission  pointed  out  that  the  values 
upon  which  the  European  Union  is  built  —  freedom,  democracy,  respect  for  human 
rights  and  fundamental  freedoms,  and  the  rule  of  law  —  are  also  at  the  heart  of  the 
process of political association and economic integration under the ENP. These are the 
same values that are enshrined in Article 2 of the Treaty on European Union and on 
which Articles 8 and 49 are based. The Heads of State and Government at the Warsaw 

10 Joint Communication to the European Parliament, the Council, the European Economic and Social Committee 
and the Committee of the Regions, Eastern Partnership: A Roadmap to the autumn 2013 Summit, JOIN(2012) 
13 final, 15.5.2012. 
11 Joint Communication to the European Parliament, the Council, the European Economic and Social Committee 
and the Committee of the Regions, A new response to a changing Neighbourhood, COM(2011) 303. 25.5.2011 

15 

 
 
                                                 
Eastern Partnership Summit in 2011 have acknowledged the European aspirations and 
the European choice of some partners12.  

2.7.2. Partnership for Democracy and Shared Prosperity 

66. In  2012,  a  Roadmap13  set  out  objectives  to  be  pursued  under  the  Partnership  in  the 
southern  neighbourhood,  at  bilateral  and  regional  levels,  and  the  achievements 
expected by the end of 2013. Implementation of the Roadmap was influenced by the 
changing  situations  of  the  Mediterranean  Partners  in  2012.  The  EU  has  pursued  its 
policy  of  renewed  engagement  bilaterally  and  regionally,  offering  support  for 
transition  while  recognising  that  its  ownership  lies  with  the  partners.  In  terms  of 
financial  support,  in  addition  to  the  €3.5  billion  already  programmed  for  the  period 
2011-13,  the  EU  is  providing  around  €700  milli on  in  new  grants  for  the  Southern 
neighbourhood. 

67. 2012 saw the successful holding of democratic elections (Egypt, Algeria and Libya), 
electoral reforms in preparation for elections in Jordan and Lebanon and the formation 
of  new  governments  in  most  countries.  Through  assistance  or  observation  missions, 
the  EU  supported  what  were  often  the  first  truly  democratic  elections.  Multiparty 
politics gained a new dynamic and civil society was more active and vocal. In many 
countries in the region, there is more respect for freedom of expression generally and 
it  has  become  easier  to  establish  political  parties  or  trade  unions.  Nevertheless,  it 
became  clear  that  democratic  institution  building  will  take  time,  particularly  where 
legal  uncertainty  still  hangs  over  the  transition  process  (Egypt).  However,  the  new 
dynamism  of  political  parties  and  civil  society  is  a  sign  of  the  development  of  a 
democratic  culture,  which  provides  the  EU  with  new  channels  for  dialogue.  At  the 
same  time,  with  the  worsening  of  the  security  situation,  in  particular  in  Libya,  Sinai 
and  Sahel,  reforming  the  security  sector  inherited  from  the  previous  regimes,  while 
maintaining law and order, is becoming an important issue. 

68. On the economic front, political uncertainties, as well as a lack of structural reforms 
for  inclusive  growth,  have  continued  to  put  a  brake  on  economic  activity.  Fiscal 
deficits  remained  high  or  even  worsened  in  2012,  due  to  a  weak  economy  and 
increased expenditure to meet vocal social demands. Unemployment levels edged up 
from already high levels. Although the political context was not conducive to decisive 
economic reform, there are some signs of stabilisation. 

69. The EU’s Special Representative for the Southern Mediterranean played a leading role 
in  enhancing  the  EU’s  political  dialogue  with  the  countries  in  the  region  engaged  in 
transition,  contributing  to  the  EU’s  work  in  strengthening  democracy  and  institution 
building  and  enhancing  its  effectiveness,  presence  and  visibility  in  the  region.    Task 
forces  were  set  up  for  Tunisia  (28-29  September  2011),  Jordan  (22  February  2012) 
and  Egypt  (13-14  November  2012).  The  task  forces  helped  to  deepen  the  EU’s 
relationship  with  the  three  countries  in  a  results-oriented,  tailored  and  differentiated 
way, involving all EU institutions and the private sector. European entrepreneurs also 

12 Joint Declaration Eastern Partnership Summit, Warsaw, 29-30 September 2011. 
13  Joint  Staff  Working  Document,  Partnership  for  Democracy  and  Shared  Prosperity:  Report  on  activities  in 
2011  and  Roadmap  for  future  action,  Accompanying  the  document  Joint  Communication  to  the  European 
Parliament,  the  Council,  the  European  Economic  and  Social  Committee  and  the  Committee  of  the  Regions, 
Delivering on a new European Neighbourhood Policy, SWD(2012) 121 final, 15.5.2012 

16 

 
 
                                                 
participated  in  Missions  for  growth  led  by  European  Commission  Vice-President 
Tajani to Morocco and Tunisia in November 2012. In Tunisia, an EU-Tunisia Council 
for  Entrepreneurship  was  launched  to  advise  the  Tunisian  government  on  business 
climate improvements.  

70. At  regional  level,  the  Northern  co-presidency  of  the  Union  for  the  Mediterranean 
Northern was transferred to the EU and Jordan assumed the Southern co-presidency. 
This was a sign of renewed willingness on both sides of the Mediterranean to turn the 
UfM,  as  a  unique  forum  of  43  members,14  into  an  effective  catalyst  for  the 
development of regional projects. The EU-League of Arab States Ministerial Meeting 
in  November  gave  a  clear  political  message  about  the  commitment  of  EU  and  Arab 
Ministers  to  cooperate  in  tackling  the  issues  they  have  in  common.  In  December,  a 
Joint  Communication15  set  out  ways  in  which  the  European  Union  could  support 
closer  cooperation  between  the  countries  of  the  Maghreb.  The  Commission  also 
participated  in  the  5+5  Summit  in  October,  between  the  five  countries  of  the  EU 
Southern  Mediterranean  and  the  Maghreb,  showing  support  for  further  regional 
integration as an important way of advancing security and prosperity. 

71. While substantial progress towards the Roadmap objectives was made in 2012, further 
progress in 2013 will depend on the continued willingness of the EU and partners to 
deliver  on  the  commitments  already  made.  As  the  political  situation  stabilises,  and 
partner countries advance on the transition to democracy, governments should be in a 
better position to reap the benefits of what the EU has to offer and give new impetus to 
their participation in regional cooperation. 

2.8. Addressing Conflicts in the neighbourhood 

72. Addressing  the  protracted  conflicts  in  the  neighbourhood  —  in  Moldova,  the  South 
Caucasus,  the  Middle  East  —  is  an  important  part  of  EU  policy.  The  EU's 
CFSP/CSDP  engagement  will  continue  to  be  part  and  parcel  of  the  ENP.  The 
presence  of  CSDP  missions  in  the  neighbourhood  reflects  the  EU’s  comprehensive, 
multi-faceted approach in this area, addressing issues of security, the rule of law and 
civilian crisis management. 

73. The  EU’s  Special  Representative  for  the  South  Caucasus  and  the  Crisis  in  Georgia 
continued to play a key role in the EU’s efforts to resolve the conflicts in Georgia and 
Nagorno Karabakh. Together with the UN and the OSCE, the Special Representative 
co-chaired the Geneva International Discussions on the crisis in Georgia. These talks 
are  currently  the  only  forum  for  dialogue  between  the  Georgian  authorities  and  the 
break-away  regions  of  Abkhazia  and  South  Ossetia,  though  the  new  Georgian 
administration  has  expressed  the  intention  of  establishing  direct  communication 
channels with representatives of the de facto entities. The EU Monitoring Mission in 
Georgia has helped stabilise the situation there through its monitoring presence along 
the Administrative Boundary Lines with the break-away regions. 

14 Syria’s participation is currently suspended, so there is cooperation among 42 countries. 
15 Joint Communication to the European Parliament, the Council, the European Economic and Social Committee 
and  the  Committee  of  the  Regions.  Supporting  closer  cooperation  and  regional  integration  in  the  Maghreb: 
Algeria, Libya, Mauritania, Morocco and Tunisia. JOIN(2012), 36 final, 17.12.2012. 

17 

 
 
                                                 
74. On  Nagorno  Karabakh,  high-level  contacts  have  continued  with  Armenia  and 
Azerbaijan  to  encourage  the  peaceful  settlement  of  the  conflict,  specifically  by 
supporting  the  work  of  the  OSCE  Minsk  Group.  While  giving  full  credit  to  the  co-
chairs of the Minsk Group, the EU flagged its readiness to help facilitate reconciliation 
and  rehabilitation,  in  support  of  any  progress  that  might  be  made  in  negotiations.  In 
September  2012,  the  second  phase  of  the  EU-funded  civil  society  programme,  the 
European  Partnership  for  the  Peaceful  Settlement  of  the  Conflict  over  Nagorno-
Karabakh (EPNK), was launched. 

75. The  5+2  Transnistrian  settlement  process,  which  resumed  officially  in  December 
2011,  gained  some  momentum.  In  January  2012,  the  two  sides,  meeting  in  Odessa, 
agreed on a ‘small steps’ approach to tackle practical issues of primary relevance for 
ordinary citizens. In April, the 5+2 adopted rules of procedures and a comprehensive 
negotiating  agenda  by  consensus.  The  negotiating  agenda  covers  socio-economic, 
humanitarian,  legal,  political  and  security  issues.  From  then  on,  the  5+2  participants 
lent  their  political  support  to  the  technical  discussions  led  by  the  various  sides.  This 
enabled  the  resumption  of  freight  rail  transport  through  the  Transnistrian  region  and 
substantial progress on education and other socio-economic issues. In November, the 
participants exchanged views, without reaching a consensus, on the need to discuss the 
political aspects of the settlement and the lack of clarity which hampers the resolution 
of socio-economic and humanitarian issues. The EU, aiming to consolidate stability in 
the region, participated actively in the 5+2 format and stepped up its presence on the 
ground.  It  did  so  by  facilitating  the  participation  of  Transnistria-based  businesses  in 
EU-Moldova  trade  flows  and  financing  a  growing  number  of  confidence-building 
projects in the social, health, education and humanitarian areas. 

76. Moldova  and  Ukraine  continued  to  participate  constructively  in  the  work  of  the  EU 
Border  Assistance  Mission  to  Moldova  and  Ukraine  (EUBAM).  With  EUBAM 
support,  the  customs  authorities  and  border  guard  service  of  Moldova  continued  to 
improve their professional capacities and inter-agency cooperation within the country 
and with Ukraine. EUBAM continued to support the demarcation of the state border 
with Ukraine. 

77. Changes  in  the  Arab  world  underlined  once  again  the  urgent  need  to  resume 
negotiations  between  Israel  and  the  Palestinians.  During  2012  the  EU  continued  to 
encourage  both  parties  to  return  to  the  negotiating  table  in  line  with  the  Quartet 
statement  of  September  2011.  Despite  Jordan’s  support  at  the  start  of  the  year, 
regrettably such negotiations were not resumed. The EU, while reaffirming its support 
for  the  two-state  solution,  expressed  increasing  concern  about  developments  on  the 
ground that threaten to make a two-state solution impossible. It continued to advocate 
resolving  the  Israeli-Palestinian  conflict  through  peaceful  bilateral  talks  based  on 
international  law  and  parameters  already  agreed.  Besides  its  consistent  practical 
support in the framework of the ENP, its political endeavours were best reflected in its 
Foreign Affairs Council Conclusions of May and December 2012. 

78. It  further  assisted  the  Palestinian  Authority  in  its  state-building  efforts  based  on  the 
rule  of  law  and  respect  of  human  rights.  It  re-iterated  its  call  for  intra-Palestinian 
reconciliation and focused on preventing unilateral acts threatening the viability of a 
two-state solution, most importantly in relation to the expansion of Israeli settlements, 
including  expansion  in  East  Jerusalem.  Fully  recognising  Israel’s  legitimate  security 
needs, it continued to appeal for an end to the Gaza Strip blockade with the main aim 

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of  improving  its  unsustainable  humanitarian  situation.  It  closely  cooperated  with  the 
US  and  other  international  partners,  including  within  the  Quartet.  It  welcomed  the 
mediation  efforts  of  Jordan  and  Egypt  in  favour  of  conflict  resolution,  and  the  Arab 
League’s general support for the Middle East Peace Process. 

79. EUBAM Rafah operations are suspended due to Hamas’ violent takeover of the Gaza 
Strip in mid-2007. Substantial mandate implementation has been on hold ever since, 
yet  the  mission  has  maintained  its  capacity  and  preparedness  to  reactivate  and 
redeploy to the Rafah Crossing Point once political and security conditions allow it to 
do  so.  In  the  aftermath  of  the  Gaza  crisis  in  November  2012,  discussions  re-
commenced on the possible reactivation of EUBAM Rafah.  

80. In  the  case  of  Syria,  the  EU  has  repeatedly  condemned  the  ongoing  human  rights 
violations,  decided  several  rounds  of  restrictive  measures  against  the  Syrian  regime, 
and provided humanitarian aid to IDPs and refugees. It has taken diplomatic action to 
facilitate  a  peaceful  solution  to  the  crisis,  supporting  the  UN-League  of  Arab  States 
Special Envoys, participating in the Friends of Syria meetings, and supporting efforts 
to foster a unified, representative opposition. Throughout the Syrian crisis, the EU has 
been  at  the  forefront  of  the  international  humanitarian  response,  acting  in  close 
coordination  with  other  donors  and  international  organisations  to  ensure  that  needs 
were promptly identified and aid delivered rapidly and effectively. In 2012, EUR 150 
million in humanitarian assistance has been provided in Syria and in the neighbouring 
countries,  complemented  by  a  EUR  208  million  contribution  from  the  EU  Member 
States. Around EUR 80 million has been provided under the ENPI and under thematic 
instruments  to  address  longer  term  needs  of  the  Syrian  population  (support  to  civil 
society,  Human  Rights  defenders,  refugees…)  and  to  help  neighbouring  countries  to 
cope with the influx of refugees. 

3. Policy coherence  

81. The  ENP  is  a  prime  example  of  a  comprehensive  approach  to  external  policy. 
Cooperation  with  our  neighbours  uses  all  instruments  and  policies  at  the  EU’s 
disposal. It combines long-term political association, trade policy, sector policies and 
financial  cooperation  with  shorter-term  policies  and  measures  of  CFSP/CSDP 
instruments. It shows how a comprehensive approach can be used to generate coherent 
action  involving  all  relevant  EU  actors.    As  announced  in  the  Commission  Work 
Programme  for  2013,  the  HR  and  the  Commission  are  currently  working  on  a  Joint 
Communication outlining how to develop this approach further. 

82. It is working closely with other donor countries and international actors to respond to 
humanitarian crises, promote democratic transition and foster economic development 
in  partner  countries.  Seeking  better  synergies  and  coordination  with  major 
International Financing Institutions (IFIs) in the ENP region is already a key task and 
will increase in importance in the future. Early consultation mechanisms, both through 
the current frameworks, the Tripartite MoU between the Commission, the EIB Group 
and  the  EBRD  and  the  Luxembourg  Group  (the  EU,  the  IMF,  the  World  Bank,  the 
IFC, the EIB and the EBRD), and increased cooperation at field level are essential to 
improve policy alignment towards ENP policy objectives. The Special Representative 
for  the  Southern  Mediterranean  and  the  Commission  take  care  of  coordination  with 
IFIs  and  the  G8  in  the  context  of  the  Deauville  process.  At  the  global  level,  ENP 

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policy issues were also discussed in the context of the annual meeting with the World 
Bank’s EU executive directors in 2012. Consultations with EU board members of the 
EBRD are also regularly organised and can address ENP related policy issues.  

83. The political and strategic partnership between the Council of Europe (CoE) and the 
EU  has  been  continuously  strengthened  over  recent  years.  Cooperation  and  dialogue 
with the CoE contributes to achieving the shared objectives of greater respect for the 
common values of human rights and fundamental freedoms, democracy and the rule of 
law  in  the  countries  in  the  region.  The  EU  also  works  closely  with  the  OSCE  on 
conflict  resolution  in  the  context  of  the  Minsk  Group  and  the  5+2  Transnistrian 
settlement process, and with both the OSCE and the UN in the Geneva International 
Discussions on the conflict in Georgia. 

84. The  European  Parliament,  the  Committee  of  Regions  and  in  particular  its  two 
associated  bodies  CORLEAP  (Conference  of  Regional  and  Local  Authorities  of  the 
EaP)  and  ARLEM  (Euro-Mediterranean  Regional  and  Local  Assembly),  and  the 
European Economic and Social Committee take an increasingly active and important 
role  in  the  ENP,  contributing  to  the  development  of  political  dialogue  and  better 
incorporation of other dimensions of cooperation into the ENP. This further reinforces 
synergies in the implementation and communication of the policy. 

85. The  EU’s  neighbours  are  also  becoming  partners  in  the  area  of  CSDP.  Ukraine 
participates  in  a  number  of  CSDP  missions.  CSDP  framework  participation 
agreements  have  been  concluded  with  Ukraine  and  Moldova,  negotiations  are 
underway with Georgia and Armenia has also expressed interest. 

86. There is still room for improvement. The EU will continue to work on how the various 
actors can operate in a more coherent manner. It is clear that in a number of areas, in 
particular  the  area  of  mobility,  where  important  policy  competences  rest  with  the 
Member  States,  the  EU  needs  to  work  even  more  closely  with  its  Member  States  to 
deliver on its commitment towards its partners. It also needs to find ways to involve 
other  stakeholders  in  shaping  policy,  for  instance  in  preparing  Action  Plans  or 
Association Agendas. 

87. EU  Institutions  and  individual  Member  States  must  strive  towards  maximizing 
coherence, which is essential to bring EU added value. The Delegations of the EU in 
partner  countries  have  an  important  role  to  play  in  bringing  all  actors  together, 
ensuring  coherence  and  synergies  on  the  ground.  They  will  also  need  to  take  on  a 
bigger  role  as  hubs  for  partner  countries’  authorities,  civil  society,  or  businesses  to 
obtain information about policy and the opportunities for seeking support. 

4. Challenges ahead 

88. The  universal  values  on  which  the  EU  is  built  —  freedom,  democracy,  respect  for 
human  rights  and  fundamental  freedoms,  and  the  rule  of  law  —  also  underpin  the 
ENP. For partners who want to become as close to the EU as possible, it is the main 
reference  point  for  their  domestic  reforms.  This  reform  process  must  be  inclusive. 
Only if the whole societies, not just the political elites or certain parts of the political 
spectrum, makes this choice and adheres to the universal values referred to above, will 
the process be sustainable and ultimately successful. 

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89. The principle of ‘more for more’ will remain an important element to make the ENP 
responsive  to  the  efforts  and  progress  being  made  in  democratic  reforms.  The  new 
financial instrument for the neighbourhood for the period 2014-2020 will incorporate 
this principle in the area of financial cooperation. But the principle is not restricted to 
financial  cooperation.  As  stated  in  the  2011  joint  Communication,  the  EU  will  also 
adapt its offer, notably in terms of access to markets and better mobility, in response to 
the level of reforms and ambition demonstrated by its partners. 

90. Analysis has shown that – with the exception of a few countries  who acted on most of 
the  recommendations  -    many  of  the  key  recommendations  contained  in  previous 
year's  ENP  progress  reports  remain  valid  and  will  continue  to  be  at  the  heart  of  the 
reform  process  in  the  year(s)  to  come.  The  very  limited  progress  in  a  number  of 
partners  towards  the  jointly  agreed  objectives,  and  the  limited  response  by  some  of 
them  to  the  incentives  provided  by  the  ENP  may  require  a  critical  look  at  its 
instruments  and  mechanisms.  If  necessary,  the  EU  must  reflect  on  whether 
adjustments  to these  may  allow  it to respond  better to the  expectations and needs of 
partners, thus contributing to better take-up. At the same time, partners need to show 
their commitment to achieving the objectives jointly agreed with the EU. Priorities and 
reform agendas agreed with the EU must become an integral part of national strategies 
for reform and development. 

91. Opening  up  new  opportunities  for  citizens  to  travel,  study  and  do  business  with  the 
EU  is  crucial  to  sharing  the  values  on  which  it  is  built.  The  EU  should  put  more 
emphasis on the kind of policies and measures that focus on these issues. Mobility of 
people,  scholarships  for  students  and  business  networks  may  do  more  to  clinch  the 
‘European  choice’  of  partners  than  anything  else.  In  the  East,  Visa  Liberalisation 
Action  Plans  have  proved  effective  for  encouraging  reform  in  the  partner  countries. 
Their  full implementation by partners  should bring the  prospect of  visa-free regimes 
closer to becoming a reality. 

92. The  multi-faceted,  multi-actor  nature  of  the  ENP  and  its  sometimes  technical  nature 
make the policy difficult to communicate. However, the EU is seen as a model and an 
inspiration for people in the neighbourhood when it comes to the values that are the 
basis for the ENP — human rights, democracy, fundamental freedoms and prosperity 
and  solidarity.  A  public  opinion  survey  conducted  in  ENP  partner  countries16  shows 
that the EU is positively perceived by people in most of its neighbours17. The EU is 
associated with the promotion of human rights, solidarity, prosperity, democracy and 
freedom of speech. These values and economic development are seen as main aspects 
of cooperation.  The same survey  reveals however that  many people  do not  feel they 
are well informed about what the EU does in their countries. This underlines the need 
to  better  inform  citizens  in  partner  countries  about  the  ENP,  its  objectives  and 
instruments and its achievements. 

93. Conflicts  remain  a  problem  in  some  areas  of  the  European  neighbourhood,  and  risk 
undermining nascent reform processes. Fostering peace and stability by using all the 

16 EU Neighbourhood Barometer Spring 2012 and Autumn 2012 
17 With the exception of Egypt and Libya where a majority seems to not have a view, or much information, about 
the image of the EU or the state of relations. 

21 

 
 
                                                 
civil  and  military  tools  available  to  the  EU  is  an  urgent  necessity  that  cannot  be 
disregarded. 

94. Shifts  in  the  foreign  policy  orientation  of  partner  countries  and  the  increasing 
involvement  of  other  actors  in  the  region  may  also  make  the  EU  less  attractive  as  a 
model  and  partner.  This  will  require  the  EU  to  reflect  on  how  to  have  a  more 
multilateral policy approach, involving and working with, more systematically than it 
does now, the other actors working in the neighbourhood in addressing, together with 
partner countries themselves, issues of shared interest. In the Southern Mediterranean, 
Turkey, countries of the Gulf and organisations such as the Arab League are playing a 
more prominent role in attempts to resolve conflicts and are promoting their economic 
and political interests more. The emergence of alternative regional integration schemes 
in  the  Eastern  neighbourhood  presents  a  new  challenge.  The  emergence  of  the 
Eurasian Union between the Russian Federation, Belarus and Kazakhstan has changed 
the  landscape.  This  is  perceived  as  offering  an  alternative  model  of  political  and 
economic  development  to  integration  with  the  EU.  However,  there  is  a  choice  to  be 
made.  For  example,  joining  the  Customs  Union  that  is  part  of  the  Eurasian  Union 
would preclude economic integration with the EU through a DCFTA. 

5. Conclusion 

95. While  the  underlying  principles  and  objectives  of  the  ENP  continue  to  apply  to  all 
partners and all parts of the policy, the EU’s relationship with each one of its partners 
is  unique,  and  the  instruments  of  the  ENP  are  tailored  to  serve  each  of  those 
relationships. The ENP provides the EU with a toolbox of instruments that allows it to 
adapt  its  policy  approach  and  response  to  the  individual  context  of  its  partners  and 
their  aspirations  for  their  relationship  with  the  EU.  It  will  increasingly  need  to 
differentiate its policy response, in line with the different developments, ambitions and 
needs of its partners. 

96. Partners should not lower their ambition and commitment to reform their societies and 
their  political  and  economic  systems.  This  remains  essential  to  fulfil  the  aspirations 
and meet the needs of their populations. A renewed political commitment to actually 
implementing often difficult reforms is crucial. For its part, the EU needs to continue 
to  live  up  to  its  commitments  of  stronger  political  association,  greater  economic 
integration and support for reforms. 

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