AKEL ON EU COHESION FUNDS

Statement be Costas Christodoulides, Head of the International and European Affairs Department of the C.C. of AKEL

 

Today the plenary session of the European Parliament approved the new regulations for the Cohesion Policy of the European Union concerning the seven year term from 2014-2020.

 

As regards Cyprus, we consider connecting the social cohesion funds with the implementation of Memoranda reforms is unacceptable. No additional amount whatsoever is provided by the EU to Cyprus which is in the midst of a deep and worsening economic crisis due to the imposition of the Memorandum.  On the contrary, even the amounts for the previous period, are in question.

 

The overall philosophy of the European Union’s Funds is governed by the “laws” of the sustainability of businesses and competitiveness of the market. We just point out that as far as the SMEs are concerned, all those businesses employing up to 250 employees are included. Clearly the comparison made is linked to the economic situation of the big enterprises and does not refer in any way to truly small businesses, which are constantly struggling to survive or have been driven by the monopolies to close down.

 

We raise the question the following question: with what funds will the Government supplement the amount of its contribution, given that we are burdened by a suffocating framework, tied as a country by the Memorandum? Even with the increase in the percentage of the EU’s contribution, other tough parameters must be taken into account for programmes to be effective which are not sufficient.

 

AKEL voted against the philosophy of the Structural Funds for restoration because they have to do with the same failed neoliberal policies that led to the intensification of capitalist crisis. However, we voted for the programs, stating our own different position.