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EU funds for roads - CEDR

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- The<br />

Page 46 / 80<br />

After discussions with stakeholders in partner countries, country strategy papers are<br />

presented to representatives of all <strong>EU</strong> member states, who have to give their consent be<strong>for</strong>e<br />

the Commission can make a final decision.<br />

Aid is finally agreed and provided in a number of ways: through specific projects, via a sector<br />

approach or by budget support to recipient governments.<br />

In particular:<br />

Commission follows the project approach to support initiatives outside the public<br />

sector, such as through civil society and the private sectors. Projects are also<br />

implemented where conditions do not yet permit the adoption of a sector approach or<br />

budget support. These projects are tendered by the EC Services (EC Delegations or<br />

EuropeAid)<br />

- The Commission promotes the sector approach <strong>for</strong> work with partner countries, other<br />

donors, and stakeholders. This method of aid delivery has become increasingly<br />

important 60 in recent years. According to this method, the <strong>EU</strong> contribution is provided to<br />

a sector programme prepared by the recipient government, either through a Sector<br />

Policy Support Programme 61 (SPSP) or through a Programme-Based Approach 62 (PBA).<br />

Obviously, these national programmes are finally implemented through projects, which<br />

are designed, tendered, and managed by the recipient government authorities (under the<br />

monitoring/evaluation of the EC).<br />

60 The sector approach gives partner governments greater ownership of development policy and financing<br />

compared to the project approach. The end result is greater coherence between the allocation of internal and<br />

external resources, spending, and expected results.<br />

61 The following <strong>for</strong>ms of financing may be used under an SPSP:<br />

• Sector budget consisting of a transfer of <strong>funds</strong> to the partner government national treasury to be used in<br />

pursuit of an agreed set of sector outputs and outcomes.<br />

• Common pooled <strong>funds</strong> or common basket funding (resources from a number of donors pooled, using one<br />

agreed set of procedures) in support of a specific set of activities in the sector programme. Usually one<br />

donor will take responsibility <strong>for</strong> coordinating and managing the pooled <strong>funds</strong>. Funds are released by the<br />

donor to government according to agreed criteria.<br />

• E. Commission procedures that follow contracting and procurement rules.<br />

62 This is a loose and flexible way of engaging in development cooperation, based on the principle of coordinated<br />

support, <strong>for</strong> a locally owned programme of development. It should involve leadership by the host country, a single<br />

comprehensive programme and budget framework, as well as a <strong>for</strong>malised process of donor coordination and<br />

harmonisation of donor procedures <strong>for</strong> reporting, budgeting, financial management and procurement. Another<br />

important feature is that it includes ef<strong>for</strong>ts to increase the use of local systems <strong>for</strong> programme design and<br />

implementation, financial management, monitoring, and evaluation.<br />

<strong>EU</strong> <strong>funds</strong> <strong>for</strong> <strong>roads</strong>

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