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EUROPEAN REVIEW

ISSUE 7 - Page 11

We have another stab at explaining things European in

Plain English

6. Agenda 2000

Agenda 2000 confronts three challenges facing the EU: how to strengthen and reform policies , how to negotiate enlargement while preparing all applicant countries and how to put in place a new financial framework for the period 2000-06. The Agenda 2000 communication was adopted by the Commission in 1997 and presented to the European Parliament. Political agreement was reached by EU leaders in March at the European Council held in Berlin.

Which policies must be strengthened and reformed ?
The focus of policy reform in Agenda 2000 is the Common Agricultural Policy and Social and Economic Cohesion e.g. the structural funds for poorer regions. Within the existing EU policies are to be designed for economic growth, employment and quality of life.

What is enlargement ?
On 31 March 1998, the EU began bilateral negotiations with six applicant countries - Cyprus, the Czech Republic, Estonia, Hungary, Poland and Slovenia - on their terms for joining the EU. Five other countries have also applied for membership - Bulgaria, Latvia, Lithuania, Romania and Slovakia - and will start membership negotiations as soon as the reforms they have undertaken are deemed sufficient.

Why a new financial framework ?
Enlargement will entail substantial extra costs for the existing 15 members. The Commission puts the total at €75 billion or 'a veritable Marshall Plan for the countries of Central and Eastern Europe' said ex-President Santer.

Does this mean higher taxes ?
The Commission has concluded that there will be no need to raise the current expenditure ceiling of 1.27% of Member States' gross national product. Projected total spending would rise by 17%, but as they anticipate a 24% rise in the GNP of the EU + applicants, this would leave a cushion of reserves.

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