The Courier

Additionally, since Timor ratified the Cotonou Agreement – which governs relations between the EU and ACP – it has also been eligible for aid from the European Development Fund (EDF). In total, the EU has allocated more than €200 million to Timor from 1999 to 2006. Europe’s total aid for this period (from the EU and individual Member States) was half of all the aid to Timor, a total €600 million.

EU contributions to the trust funds created by different donors through UN agencies came to €85.5 million, with humanitarian aid for emergencies, assistance and rehabilitation reaching €56.5 million. That sum included €44 million for the EU’s humanitarian aid office (ECHO), €6 million for stockpiling food and the remainder (€6.5 million) to NGOs. Rural development received €34.5 million, the health sector €24.5 million and a further €2.5 million went to the improvement of ministry operations and to bolstering the education, justice and tourism sectors as well as support for women’s leadership and election administration.

Between 1999 and Timor’s formal independence in 2002, EU aid concentrated on three key issues: post-emergency action, rehabilitation and development.

Following Timor’s involvement in the Cotonou process, it put into place – in association with the European Union – a transitional programme designated for the ALA countries and those of the ACP countries (EDF). This was set out in a strategy document presented in June 2006 and given a budget of €18 million.

Two priority sectors

EU aid within this framework is concentrated in two specific sectors.

First, three projects aimed at strengthening institutional capabilities:

-Creating an office of the National Authorising Officer – the local government representative responsible for managing the aid.

-Support in holding presidential, legislative and municipal elections. This in association with the United Nations Development Programme (UNDP).

-Support to assist the country deliver on its budget in association with the World Bank programme.

Second, rural development. The ALA have completed back-to-back programmes dedicated to rural development and the EDF will be running a third, focused mainly on infrastructure creation (roads, bridges, canals) and methods of bringing agricultural products to market.

A programme that fits into the framework of the 10th European Development Fund (2008-2013) is currently being prepared with an initial allocation of €63 million planned for Timor. Again this will be concentrated on rural development and strengthening institutional capabilities as well as health.

In rural development, emphasis will focus on the quality of agricultural products and services, including training. Support for institutional capabilities will once again concentrate on the justice system – the weakest link in the Timorese administration – as well as the strengthening of the Timorese Parliament. Europe’s aid for the health sector will be in conjunction with other donor countries such as Australia and support for budgetary control may be included at a later date.

It was during the latter years of the Indonesian occupation that Europe’s institutions first showed an interest in Timor-Leste. This began with the European Parliament’s award of the ‘Sakharov Prize’ for human rights to Xanana Gusmão, hero of the Timorese struggle for independence, now the country’s Prime Minister.

As for the European Commission, its President, José Manuel Barroso, has always shown a particular interest in this small Asian country. Stressing this, and following the crises of April, May and June 2006, Barroso sent a special envoy, Miguel Amado, to evaluate the political, economic and social situations in the country. Subsequently, the Commission decided to open a delegation in Dili, where previously it had been represented by only a technical office.

However, the EU’s activities were already considerable and its head, Guglielmo Colombo, played an active role in the implementation of the Commission’s aid programmes and coordination with the representatives of the EU Member States in the Timorese capital. For those asking why there is a need for an EU delegation in such a small country at a time when others are being closed, Colombo stresses the geopolitical importance of this small country that lies so strategically between Australia and Indonesia. That geographic accident is attracting the interest of many, including China, the United States and Japan.

Could it perhaps be a sign of an emerging geopolitical policy on the part of the European Union?

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