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Annals of the University “Constantin Brâncuşi”of Tg-Jiu, No. 1/2008, Volume 2,<br />

ISSN: 1842-4856<br />

The last decade has been an important period in the progressive involvement of tourism in<br />

programmes supported by the European Community. While the absence of a specific tourism<br />

budget for direct tourism activities means that DG Enterprise's Tourism Unit is unable to provide<br />

any funding for individual projects, numerous tourism initiatives have received support from other<br />

EU programmes.<br />

There are many different schemes which provide funding for suitable proposals. Sources of<br />

possible funding for tourism projects are as follows (Ratz, 2004):<br />

• The major funds for promoting regional, economic and social development in the Union (the<br />

Structural Funds).<br />

• Programmes and actions in various policy fields (e.g. environment, training, research and<br />

development, promotion of cultural heritage). These often require co-operative efforts between<br />

organisations in two or more Member States.<br />

• Loans from the European Investment Bank.<br />

The only largest source of European Union funding for tourism, in particular in the less<br />

prosperous regions, are the Structural Funds. The support available through the Structural Funds is<br />

essentially aimed at economic development goals. Therefore, economic and social criteria are<br />

crucial in deciding where and how resources are allocated. In general, the Funds are targeted locally<br />

and the operational programmes are managed by the Member States.<br />

The Structural Funds are used in three main ways to enable the underdevelopment regions to<br />

advance through their tourism industries:<br />

- direct investement in tourism facilities: co-financing projects such as marinas,<br />

conferences centres, SPAs, hotels, restaurants etc.<br />

- investment in infrastructure directly linked to the tourism sector: co-financing<br />

transport, communications and environmental projects which may improve the<br />

accessibility of undeveloped regions;<br />

- investement in projects to upgrade the cultural and historical resources of less<br />

developed regions, making them more attreactive to potential tourists.<br />

There are individual projects selected by regional and national bodies in each Member State<br />

under the supervision of a joint monitoring committee in which the European Commission is<br />

represented. The financial aid provided by the Structural Funds therefore usually reaches the user<br />

through national or regional schemes managed by the national authorities.<br />

Usually, this support is provided for activities that contribute to furthering the cooperation<br />

between organisations in different Member States as well as dealing with particular issues. This<br />

means that a tourism project could be eligible for support under a particular programme if it<br />

involves partners from other Member States and contributes to the specific objectives of a particular<br />

programme. In practical terms, this usually means working in international partnerships involving<br />

participants from two or more Member States.<br />

Besides the Structural Funds, there are others 60 EU programmes and actions which may<br />

provide financial support to the tourism sector. One of this programmes is PHARE, establish in<br />

1989, for the process of economic and social reform in Central and Eastern Europe. It works as nonreimbursable<br />

grants for programmes in different fields, such as privatisation, agriculture, education<br />

and training.<br />

Potential applications to tourism include the financing of tourism-related studies, tourism<br />

action plans, policy advice, technical aexpertise and training. Even if the PHARE programme was<br />

originally set up for Polond and Hungary, it was extended in other countries, like: Bulgaria,<br />

Romania, Czech Republic, Slovakia, the Baltic States, Albania Macedonia, FYR etc.<br />

A renewed European tourism policy<br />

218

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