EU and Ukraine sign $17 million cooperation agreement

EU and Ukraine sign $17 million cooperation agreement

2011-05-17 00:57:09 GMT+7 (ICT)

BRUSSELS (BNO NEWS) -- The European Union and Ukraine on Monday signed a cooperation agreement that will allocate €12 million ($17 million) from EU funds for the next for years.

The Joint Co-operation Initiative for Crimea Financing Agreement will support economic development and contribute to reducing disparities affecting certain regions in Ukraine.

The agreement was signed by EU Commissioner Stefan Füle and Basil Dzharty, Chairman of the Council of Ministers of Crimea. In addition, the two officials also discussed the EU-Ukraine relations and the important reform agenda.

"I am delighted to sign the agreement and to launch this important cooperation," said Commissioner Füle. "The approval of the Cabinet of Ministers of Ukraine to this ambitious program means that we can work together on a new set of concrete measures to support the development of Crimea and Sevastopol."

Under the terms of the deal, the EU will allocate €12 million ($17 million) for the next four years. The funds will be particularly used in two sectors: tourism and attracting foreign investment.

Commissioner Füle added that half of the funding will be used for addressing the social needs in the region such as rebuilding the infrastructure of some of the poorest areas in Ukraine.

"The EU has a long experience of regional development and cohesion policies and I am happy that we can begin to translate some of this experience into our relations with Ukraine," added the EU Commissioner.

The European Commission previously supported Crimea's preparation of its Socio-Economic Development Strategy 2011-2020 and the Regional Operational Plan which was recently adopted by the Parliament of the autonomous republic.

In addition, the EU has two Info Centers operating in Simferopol and in Sevastopol. Recently, the Committee on Crimean affairs in the Verhovna Rada was established and the EU plans to maintain close contacts with it.

"I hope our co-operation with Crimea sets an example for the rest of the Eastern Partnership, where the EU will shortly launch a new platform on Regional Development."

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