EU allocates funds in development aid to eight Overseas Countries and Territories

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The European Commission has allocated €68 million from the European Development Fund (EDF) to development aid to eight Overseas Countries and Territories (OCT): Anguilla, Falkland Islands, French Polynesia, Montserrat, New Caledonia, Pitcairn, St. Helena and dependencies, and Turks and Caicos. The main objective of the aid is to support the economic and social development of the OCTs. A strong emphasis will be put on developing the tourism sector, an important potential source of income for the local economies.

The Overseas Countries and Territories (OCT), a group of twenty islands and territories spread from the Arctic to the Pacific Ocean linked to four Member States (Denmark, France, The Netherlands, and UK), have been associated with the EC since 1957. The purpose of this association is to promote the economic and social development of the countries and territories and to strengthen their economic ties with the EU as a whole.

Under the 9th EDF, €175 million have been earmarked for the OCTs, that may also receive funding under budget lines for the developing countries, such as environment, humanitarian aid, NGOs, gender, fight against drugs, AIDS, fight against sexual tourism, population and demography, rehabilitation and reconstruction. They may also receive support from the European Investment Bank (EIB).

Co-operation with each OCT will be based on a Single Programming Document elaborated in close collaboration between each Territory and the Commission. The following eight programmes have so far been approved and are ready for implementation. The Commission is expected to close talks on development programmes with the remaining four OCTs before the end of 2004.

Anguilla, €8 million

Activities will focus on support to the country's air transport. The objective is to improve both infrastructure and institutional aspects of the sector with a view to enhancing the island's tourism.

New Caledonia, €13.75 million

Focus will be on vocational training which is regarded by the authorities as a major tool to correct the internal economic imbalances of the Territory. Activities will include evaluation of vocational training needs, setting up training schemes in strategic sectors, and the enhancement of training quality .

Falkland Islands, €3 million

Activities will aim at reinforcing capacity for trade development in supporting the OCT's own strategy. Focus will be on enhancing the export capacity of the Territory.

Pitcairn, €2 million

Pitcairn's allocation under the 9th EDF will aim at reducing its isolation by improving its infrastructure, maximising its self-sufficiency, and ensuring basic services to its population.

French Polynesia, €13.25 million

Focus will be on waste management and social housing. The foreseen activities are to complete earlier interventions financed from the EDF, and are deemed to benefit both the local and the tourist population.

St Helena and Dependencies, €8.6 million

The objective will be to improve access to the island, promoting economic development, and thus contribute, more particularly for St. Helena, to reduce aid dependency by improving port infrastructures and facilities.

Turks and Caicos Islands, €8.4 million

Support will be given to improve the islands' infrastructure in order to boost tourism development, internal trade, and promote a balanced development between the islands of the Territory.

Montserrat, €11 million

Activities will seek to boost trade in services through the development of essential infrastructure, promotion of private sector development and ICT development. Actions should contribute to a substantial recovery after the latest volcanic eruption on the Island.

Additional information on the EU relations with the OCT at:

http://europa.eu.int/comm/development/oct/index_en.htm

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