,3 Brussels, 3 October 2001

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7KH&RPPLVVLRQKDVWRGD\DSSURYHGDSURJUDPPHIRU¼PLOOLRQIRUWKH UHWXUQ RI UHIXJHHV DQG GLVSODFHG SHRSOH LQ &URDWLD  7KHVH IXQGV DUH WKH ODWHVWRIDQRYHUDOOFRQWULEXWLRQE\WKH&RPPLVVLRQRIPRUHWKDQ¼PLOOLRQ WRWKHUHIXJHHUHWXUQSURFHVVLQWKHFRXQWU\7KHPRQH\DQQRXQFHGWRGD\ VKRXOG DOORZ  SHRSOH WR UHWXUQ WR WKHLU SUHZDU KRPHV DV ZHOO DV VWLPXODWLQJHFRQRPLFDFWLYLW\LQWKHDUHDVRIUHWXUQ Welcoming the programme, the Commissioner for External Relations, Chris Patten, said, “This programme is a further example of the EU’s commitment to Croatia, and to the whole region”. The programme for the return of refugees and displaced persons will be financed by CARDS funds from the 2001 budget. The total amount of the programme is ¼ million, with two sub-components: reconstruction and related measures (¼PLOOLRQ and economic sustainability of returns (¼PLOOLRQ 7KLVSURJUDPPHLVWKHILUVWSDUW of the total allocation of ¼PLOOLRQ&URDWLDZLOOEHUHFHLYLQJIURP&$5'6XQGHUWKH 2001 budget. The UHFRQVWUXFWLRQ sub-component is an integrated package of measures comprising the reconstruction of housing, the rehabilitation of public and social infrastructure, the provision of basic sustainability support for returnees and the development of civil society. The intention is to provide the whole package of measures to each assisted municipality, to ensure a comprehensive support. This package will be complemented by measures to remove legal and procedural obstacles to return, and mine-clearance when necessary for the realisation of the reconstruction/rehabilitation and economic projects. The HFRQRPLF VXVWDLQDELOLW\ sub-component is an essential complement to the reconstruction sub-component since the sustainabilityof returns depends on the long term opportunities for economic activity and employment. To achieve economic sustainability in return areas, municipalities will be assisted to plan their own long- term economic development. Strengthening the capacity of municipalities and local service providers will enable them to develop local economic development plans. Additional support to SMEs in the return areas will be through donations in kind, a guarantee fund and technical advice and training. The regions benefiting from this programme are Eastern Slavonia, Western Slavonia, Lika and Northern Dalmatia, Banovina and Kordun. The Commission will continue to GHOLYHU LWV VXSSRUW through the well-established and widely-recognised “European Union Reconstruction Programme for Return” (EUPOP: Europska Unija Program Obnove za Povratak) in co-operation with NGOs already experienced on the ground and familiar with the concept.