UNUnited Nations Economic Commission for Europe

Press Releases 1997

[Index]

A good start for the Southeast European Cooperative Initiative (SECI)

30 January 1997

Six projects to be implemented

"The Southeast European Cooperative Initiative (SECI) started its work very efficiently", said Mr. Yves Berthelot, Executive Secretary of the United Nations Economic Commission for Europe (UN/ECE). "During this one-day meeting participating countries showed a great willingness to cooperate and were able to decide to launch six projects related to border crossing, transport and infrastructure, investment promotion, energy and environment."

SECI, which was launched a few months ago by the United States of America under the leadership of Ambassador Richard Schifter, Special Adviser to the President of the United States, held its first Agenda Committee meeting on 29 January 1997 under the Chairmanship of Dr. Erhard Busek, former Vice-Chancellor of Austria who has been named coordinator for SECI. More than 50 high level representatives attended the meeting. They came from: Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Greece, Hungary, the Republic of Moldova, Romania, Slovenia, The Former Yugoslav Republic of Macedonia, Turkey, as well as the Russian Federation, the United States of America, the European Union and the European Commission, the European Bank for Reconstruction and Development (EBRD), and the World Bank.

"These projects aim at contributing, in a modest way, to the re-establishment of durable peace in south eastern Europe. It is indispensable that the concerned populations learn to live and work together once again by trading goods and services, by opening their borders and helping one another to heal the wounds of war," concludes Mr. Yves Berthelot.

ANNEX

The following projects were agreed upon at the SECI meeting of 29 January 1997:

Trade facilitation: actions to overcome operational difficulties

Problem areas that impede business development in the SECI region include border-crossings and trade administrative barriers. The aim of the project would be to expedite the movement of goods and eliminate border congestion. It will require effective procedures and simplified information exchange. Because of the cross-sectorial nature of this problem, the involvement of governmental agencies as well as of the private sector is necessary.

Transport infrastructure: identification of bottlenecks along main international corridors in the SECI region and short-term measures to remove them

Many SECI countries suffer from inadequate road and rail transport infrastructures including those along the main international corridors. This results in lower efficiency and increased costs of national and international transport, and, ultimately, in lower economic development and competitiveness as well as lower level of integration of SECI countries. This project would aim at helping them develop infrastructure networks for road, rail and combined transport.

Financial policies to promote SMEs through microcredit and credit guarantee schemes

SMEs are recognized as an engine of economic growth and a source of sustainable development. Within this sector micro and small-enterprises are of special importance because they are considered as the cradle of entrepreneurship, particularly in countries facing high unemployment and poverty. The estimated number of registered unemployed in the SECI region is more than 4.5 million. The setting up of SMEs can secure job creation and self-employment. The project includes the review of the development of legislation and data on financial facilities in SECI countries based on the existing questionnaire developed in cooperation with EBRD, and the preparation of an evaluation of existing experiences on credit associations schemes. On the basis of the above innovative microcredit facilities and/or credit guarantee schemes for SMEs will be set up with the support of international donor agencies and the business community.

Energy efficiency demonstration zones network in south eastern Europe

Efficient and reliable energy systems are essential for enhancing environmental conditions and for achieving economic transition in south eastern Europe. For some countries of the sub-region, energy conservation measures are used to cope with severe restrictions in energy supply. The project seeks to address energy efficiency problems by establishing favourable conditions for private sector business initiatives and investment opportunities in city scale projects. It will establish a network of energy efficient demonstration zones to accelerate progress in this area.

Interconnection of natural gas networks, diversification of gas supply and improvement of security of supply in south eastern Europe

Opposite to the prevailing situation in developed market economies where gas markets are served from three, four or more different sources, natural gas markets in the southern European countries rely mostly on one natural gas supplier. Furthermore, natural gas networks are usually not interconnected with neighbouring markets. Even in countries where such interconnections exist they are part of an international transit system rather than a well thought-out, efficient interconnected network. The objective of the project is to promote investment in the extension of natural gas network systems and international pipeline interconnections as well as to diversify sources of supplies for countries in south east Europe.

Danube recovery programme

Despite major international efforts since 1989 little had been achieved in financially assisting Danube countries in transition to build new or upgrade existing waste water treatment plants and to install environmentally sound process technology aiming at complying with relevant provisions of transboundary river protection conventions signed and/or ratified by these countries. Although funds would had been available in a number of cases their use was made dependent on severe conditions which were unacceptable to the receiving countries. Therefore, under the Convention on Cooperation for the Protection and Sustainable Use of the Danube River, a working group is preparing for setting-up a Danube Recovery Programme (DRP) and developing a concept for blending funding packages in such a manner that donors and receivers could find agreement on conditions and arrangements. Thus, DRP intends to break the vicious circle, accelerate the process of self-reliance and integration into market-economy, and contribute to confidence building, conflict prevention, security and stability in the region. SECI's role would be to provide political support for this crucial first phase of DRP and for the following operational phases. ECE would substantially contribute in close cooperation with the Danube Convention secretariat to this process and provide for advisory services, workshops, and training if necessary and programme/project formulation and implementation. ECE will also provide a platform for DRP to coordinate with other initiatives of relevance to DRP, such as the Black Sea Economic Cooperation, Mediterranean Regional Seas Programme, Central European Initiative.

For more information, please contact:

Information Officer
United Nations Economic Commission for Europe
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