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Somalia Joint Strategy Paper for the Period 2008

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Somalia Joint Strategy Paper for the period 2008 - 2013 GENERAL PROVISIONS ___________________________________________________________________________ (1) Being without an international recognised national government since the beginning of the 90s, Somalia did not ratify the ACP-EC partnership Agreement and there has been no functioning National Authorising Officer (NAO). In accordance with the conclusions of the ACP-EC Council of Ministers adopted on 18 November 1992, the Chief Authorising Officer (CAO) of the European Development Fund was entrusted with the authority of the National Authorising Officer, "acting on behalf of the Somali people". Given the uncertainty regarding the overall political evolution and in particular the degree and geographic spread of the international political authority of the Transitional Government, it has been decided to maintain this arrangement1. (2) Similarly, Somalia does not at present have the necessary functioning institutions to sign and ratify the Cotonou Agreement signed in Cotonou on 23 June and revised in Luxembourg on 25 June 2005. Therefore, access to resources for development finance cooperation under the 10th European Development Fund has been granted to Somalia by the ACP-EU Council of Ministers1 under article 93.6 of the ACP-EU Partnership Agreement. (3) As regards the which the Community plans to make available to for the period 2008- 2013, an amount of € 212 million is scheduled for the allocation referred to in Article 3.2(a) of Annex IV to the ACP-EC Partnership Agreement (A allocation) and of € 3.8 million for the allocation referred to in Article 3.2(b) (B allocation). These allocations are not entitlements and may be revised by the Joint Council of Ministers in accordance with Article 92.6 to the ACP-EC Partnership Agreement. (4) The A allocation is intended to cover macroeconomic support, sectoral policies, programmes and projects in support of the focal or non-focal areas of Community assistance. The Somalia Special Support Programme in Part 2 concerns the A allocation. It also takes into consideration financing from which benefits or could benefit under other Community resources. It does not pre-empt financing decisions by the Commission. (5) The B allocation is intended to cover unforeseen needs, such as emergency assistance where such support cannot be financed from the EU budget, contributions to internationally agreed debt relief initiatives and support to mitigate adverse effects of instability in export earnings. The B allocation will be triggered in response to specific mechanisms and procedures and therefore does not yet constitute a part of the Indicative Programme. (6) Resources can be committed within the framework of this Joint Strategy Paper and Somalia Special Support Programme upon the entry into force of the 10th EDF multi- annual financial framework for the period 2008-2013 of the revised ACP-EC 1 2 Partnership but not before the decision by the ACP-EU Council of Ministers regarding the 10th EDF allocation to Somalia. Financing decisions for projects and programmes can be taken by the Commission within the limits of the A and B allocations referred to in this document on the basis of Article 4(5) of Annex IV to the ACP-EC Partnership Agreement. Financing decisions can also be taken on the basis of Article 15(4) in conjunction with Article 4(1) (d) of Annex IV to the ACP-EC Partnership Agreement for support to non-State actors or on the basis of Article 72(6) of the ACP-EC Partnership Agreement for humanitarian and emergency assistance funded from the B allocation. Financing decisions will be taken and implemented in accordance with the rules and procedures laid down in the EC Council Regulations on implementation of the 10th EDF and in the Financial Regulation applicable to the 10th EDF and in Annex IV to the ACP-EC Partnership Agreement. (7) The European Investment Bank may contribute to implementation of this Joint Strategy Paper by operations financed from the Investment Facility and/or from its own resources, in accordance with Articles 2(c) and 3 of Annex Ib to the ACP-EC Partnership Agreement regarding the 10th EDF multi-annual financial framework for the period 2008-2013. (8) In line with Article 5 of Annex IV to the ACP-EC Partnership Agreement, the EC Special Envoy/Head of the Somalia Operations Unit will undertake an annual operational review of the Indicative Programme and the Somalia Special Support Programme and mid-term and end-of-term review of the Joint Strategy Paper and the Somalia Special Support Programme in the light of needs and performance at the time. The mid-term review will be undertaken in 2010 and the end-of-term review in 2012. 3 Key data on Somalia Surface area (sq. km)1 637, 660.0 Total population (million) 2 2006 7.7 South Central Somalia 4.9 Somaliland 1.1 Puntland 1.7 Population growth (annual %) 2006 2.9 Average per capita income ($ PPP) 3 2005 226.0 Percentage of population living below $1/day (PPP) 2002 43.2 Percentage of population living below $2/day (PPP) 2002 73.4 Income inequality – Gini Index4 2002 39.7 Life expectancy at birth (years) 2002-2005 46.2 Under-five mortality rate (per 1000 live births) 2004 225.0 Physicians per 100,000 people5 2000-2004 4 Prevalence of HIV (% of population aged 15– 49 years) 2006 < 1.0 Population with sustainable access to an improved water source 2004 29.0 (%)6 Population with sustainable access to improved sanitation (%) 2004 26.0 Primary school gross enrolment rate (% of school age children 2003-2004 22.0 in school) South Central Somalia 16.0 Puntland 24.0 Somaliland 33.0 Internally Displaced Persons7 2005 400,000.0 Refugees 400,000.0 UNDP Human Development Index ranking (out of 163 2001 161.0 countries) 1 World Bank Development Indicators Database http://devdata.worldbank.org/data-query/ 2 RDP – note however that population figures are extrapolations, and are highly contentious 3 World Bank Interim Strategy Note for Somalia 4 WB/UNDP 2002 Socioeconomic survey of Somalia 5 Human Development Report 2007/08 http://hdr.undp.org/hdr2006/statistics/countries/data_sheets/cty_ds_SOM.html 6 Human Development Report 2006 http://hdr.undp.org/hdr2006/statistics/countries/data_sheets/cty_ds_SOM.html 7 UNHCR Statistical Yearbook 2004 http://www.unhcr.org/statistics/STATISTICS/44e96c842.pdf 4 Table of Contents Executive Summary ................................................................................................................. 6 STRATEGIC CONTEXT AND COUNTRY ANALYSIS ................................................... 7 CHAPTER I: FRAMEWORK FOR RELATIONS BETWEEN THE EC, EU ACTORS, NORWAY AND SOMALIA ................................................................................................... 7 I.1. General objectives of JSP Partners.................................................................................. 7 I.2. Strategic objectives of cooperation with Somalia ........................................................... 7 I.3 Bilateral Agreements.......................................................................................................... 9 CHAPTER II: COUNTRY DIAGNOSIS............................................................................... 9 II.1. Analysis of the political, economic, social and environmental situation ................. 9 II.2. Poverty reduction analysis......................................................................................... 17 II.3. The Somalia development strategy............................................................................... 18 II.4. Analysis of the viability of Somalia policies and the medium-term challenges .... 18 CHAPTER III: OVERVIEW OF PAST AND PRESENT COOPERATION, COMPLEMENTARITY AND CONSISTENCY................................................................ 19 III.1 Other instruments ...................................................................................................... 20 III.3 Description of the political dialogue between the donors and Somalia................. 21 III.4 Description of the state of the partnership with Somalia and progress towards harmonisation............................................................................................................. 22 CHAPTER IV: RESPONSE STRATEGY ........................................................................... 25 IV.1 Background .................................................................................................................... 25 IV. 2 Response Strategy......................................................................................................... 25 IV. 3 JSP strategic response to the RDP pillars .................................................................. 26 IV.4 Cross-cutting issues........................................................................................................ 30 IV.5 Opportunities and Risks................................................................................................ 32 IV. 6 Implementation and financing mechanisms............................................................... 33 5 Executive Summary Policy Framework and Objectives The strategy is based on the ACP-EU Partnership Agreement, the European Consensus on Development, the EU Strategy for Africa, the OECD/DAC Guidelines for International Engagement in Fragile States and the Somalia Reconstruction and Development Programme. The overall objective is to help establish a peaceful and secure environment in Somalia, and to reduce poverty by providing basic social services
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