BF-FieldManual-FEB13 -3.pdf - Bertelsmann Foundation

means to achieve it (the so-called “3 Ms”of providing better access to money,European markets and mobility to theregion) and a methodology (“more formore”, or a more serious attempt atenforcing conditionality when providingaid). 23 A later joint communication 24in May 2011 outlined the results of theENP review, and promised an additional€1.2 billion of funding, on top of €5.7billion already budgeted, for the 2011–2013 period. 25 Looking ahead, the EU willcontinue to rely on an expanded ENP asits main tool to support the process oftransition in the Middle East and NorthAfrica. The ENP’s budget is slated toreach €18.2 billion for the 2014–2020period, or a 40 percent rise from theamount available for 2007–2013. 26Recommendations for 2013Both Europe and the US care aboutthe Middle East and North Africa,but the US has more vital interests inthe Middle East whereas Europe hashigher stakes in the future of NorthAfrica. Both allies agree that economicand political progress are interrelatedwhen it comes to democratization inthe Arab world, but Washington putsmore stress on economic developmentas opposed to Brussels’ commitmentto political reform. 27 Europe tendsto favor government-to-governmentcooperation, while the US is morewilling to work directly with civil societyorganizations. But these divergencescan be an opportunity, rather thana challenge. By working togetherEurope and the US can offer betterlong-term policies towards the Arabtransition precisely because they havecomplementary, rather than identical,approaches. Building on existingcooperation, especially at the groundlevel, by exchanging best practices andexpertise, Europe and the US can avoidunnecessary duplication and offer awider toolkit of approaches to their Arabpartners.1. Promote regional integration,starting with North Africa:The autocratic regimes that dominatedNorth Africa helped to create closedIn Millions of USD (2009-2010)450400350300250200150100500Algeria Egypt Jordan Libya Morocco TunisiaUnited StatesFrancesocieties, with often very negativeeconomic and political consequences.The trans-Atlantic partners can helpundo that legacy by promoting widerregional integration, with the EU takingthe lead because of its existing tieswith the region. The US should activelysupport Brussels’ efforts to establishcloser cooperation between NorthAfrican states. Doing so will providemuch-needed help to revitalize andexpand intra-North African trade, andwith a clear focus on projects that wouldinvolve multinational cooperation.Official Development AssistanceTrade with the EU 27(% of total trade)Source: OECD, foreignassistance.govEU InstitutionsGermanyMoreover, the US should encourage theEU to redefine its trade relations withNorth Africa in a way that further benefitsthe latter’s development. In particular,the US can push the EU to open up itsagricultural market to North Africanproducts and increase investments inareas, such as solar energy, that couldhelp create jobs. Washington can alsosuggest that Brussels extend its widercustoms union with Turkey to countriesalong the southern Mediterranean coast,which would help to boost intra-regionaltrade in North Africa. 282010 Trade with North African StatesTrade with the US(% of total trade)Trade with the restof North Africa(% of total trade)Algeria 50% 16.5% 2.7%Egypt 31.9% 8.2% 3.9%Libya 64.9% 4.2% 5.4%Morocco 53.1% 6% 3.8%Tunisia 69.7% 2.6% 8.4%Source: European Commission Trade Statistics, 20103 4The Arab Uprising