Vol. 408 No. 7
55 Mr. J. O'Keeffe asked the Minister for Foreign Affairs if he will outline the proposals in the EC/EFTA discussions on a cohesion fund; and if he will further outline the Irish view on the establishment and financing of such a fund.
In the negotiations presently underway to create a European Economic Area EC and EFTA Ministers have agreed on the importance of the objective of greater cohesion through the reduction of regional economic and social disparities. Policies allowing for greater access in the agriculture and fisheries sectors are expected to make a contribution to this goal. The EC side has in addition proposed the setting up by EFTA of a financial mechanism, or fund, as an essential element in the process. Detailed negotiation on this has not yet taken place. However, at a joint meeting with EC Ministers in Brussels on 13 May EFTA Ministers expressed readiness to consider creation of such a financial mechanism.
In preparation of the Community negotiating position Ireland have emphasised the importance of overall balance in the agreement and therefore of adequate provisions on cohesion. We have made substantial input to the Community proposal for a cohesion fund to be established, financed by the EFTA countries alone and clearly separate from the existing EC Structural Funds. The proposal envisages that the beneficiaries would be primarily those regions of the Community to which objectives 1 criteria of the EC Structural Funds apply.
