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Synthesis Report Ex-post Evaluation of the ERDF 2000-2006 Nevertheless, if Norte which suffered from special problems, is left to one side, the implementation of cohesion policy over the programming period was accompanied by a narrowing of regional disparities in GDP per head, following a widening over the preceding period. Growth in Centro, Alentejo and Açores, regions with the lowest levels of GDP per head in 2000 along with Norte, outstripped that in the rest of the country, especially in Lisboa, between 2000 and 2006, though, of course, this cannot necessarily be assumed to be the direct result of policy. Beyond the economic, social and territorial effects, cohesion policy also led to more efficient policy-making, Substantial progress was made during the period in the monitoring, follow-up and evaluation of projects, which fed into the preparation of the plans for the 2007-2013 period and led to increased accountability, transparency and, consequently, more effective and efficient policy measures. Greece GDP per head in Greece converged towards the EU average over the programming period to a major extent, as indicated in Chapter 2. According to the macroeconomic models described above, the significant amount of assistance provided by the Structural Funds greatly contributed to this. At the same time, growth was largely concentrated in the Attiki region, in Athens and the surrounding area. Regional disparities, therefore, widened over the period. Growth was fuelled, in addition to EU funding, by an expansionary fiscal policy, to a large extent associated with preparing for the Olympic Games in Athens in 2004. The need to complete the stadiums and related infrastructure in time for the Games served to accelerate expenditure and to overcome the lengthy delays characteristic of the construction of large projects in the past. The expansion of spending led to a substantial budget deficit, which averaged almost 6% of GDP over the period 43 . Cohesion policy contributed considerably to improvements in the transport network (mainly roads) which occurred over the period and which absorbed some 45% of total expenditure cofinanced by the ERDF. This continued the emphasis on strengthening the transport system, evident in previous programming periods, which was regarded as a precondition for increasing access to markets in Central Europe and the Balkans as well as for improving internal connections between cities in the country. The tangible outcome of this investment was: • the construction of 2,115 kms of the trans-European road network, in particular the Patra-Athens-Evzonoi and Egnatia motorways, as well as road links on the islands of Kriti, Rodos, Lesvos and Kerkira; • the time taken to travel between major cities was reduced by 16%; • the capacity of the four main ports in the country was increased by 22% in terms of freight and by 1.5 million a year in terms of passengers; • the completion of the Athens metro. 43 According to the Eurostat figures at the time the present evaluation was completed, though it may have been even larger. The large budget deficit was reflected in a balance of payments deficit which averaged 12% of GDP. 122
Ex-post Evaluation of the ERDF 2000-2006 Synthesis Report In other policy areas, ERDF support helped to equip almost all primary and secondary schools with Internet connections and to install specialised ICT equipment in over two-thirds of special schools. In addition, funding contributed to the upgrading and modernisation of health services across the country. Although much of the ERDF support went to Attiki (30% of the total), it was still less than the share of the region in total population (36%). The difference, however, was not large in relation to the substantial difference in prosperity between Attiki and the other Greek regions (GDP per head in Attiki was almost 50% higher than in the other regions taken together). Nevertheless, there was some attempt to improve regional balance by directing funding towards less-favoured rural areas (some 38% of the ERDF was spent in NUTS 3 regions classified as being remote, which accounted for 31% of population). This resulted in: • some diversification of economic activities, such as the development of agri-tourism, and less dependence on agriculture; • the increased connection of households to wastewater treatment systems; • the revitalisation of cultural activities and social services that helped to maintain population in the areas concerned. The physical features of the regions concerned, however, in particular the mountainous terrain and the fact that many of them are islands, as well as the lack of large towns or cities to act as growth centres, limited what was achieved in terms of economic development. Cohesion policy is reported to have had a much wider effect than the simple provision of funding. In particular, in the absence of EU intervention, it is considered unlikely that attention would have been paid to gender equality and to developing integrated urban strategies or that there would have been the same focus on the structural problems of the economy. In addition, cohesion policy helped to create a culture of programming and planning, mechanisms for the design and implementation of policy measures and encouragement for the involvement of local and regional authorities and other interested parties in the development process. However, despite the improvements over previous periods, there remained a lack of a coherent overall development strategy and of effective means of coordinating the activities of various departments and authorities involved in development policy. Though the Ministry of Economy and Finance played a coordinating role, the approach adopted to planning and implementation was largely sectoral with responsibility divided between many different Ministries. Monitoring and implementation systems were improved over the period, as reflected in the relatively high level of expenditure at the end of 2008 as compared with the allocation of funding. Nevertheless, despite the increased use of technical assistance, only limited evidence was compiled on the effectiveness of expenditure over the programming period which could inform the future design of policy. Few evaluations were carried out and, in many cases, those that were undertaken were limited, delayed and often not open to public scrutiny. Moreover, the focus of monitoring programmes was largely on financial and contractual aspects rather than on physical indicators of progress, which tended to be inconsistent, unreliable and incomplete. For the situation to improve, however, it is not simply a matter of devising more effective procedures and better indicators. There also needs to be a fundamental change in the official attitude towards evidence-based policy-making, which was unsympathetic throughout the programming period, and an acceptance of its critical importance. 123
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