EU BACKS AID PUSH, MONITORS FOR GEORGIA
By David Brunnstrom
Reuters
Sept 15 2008
(Adds Belarus step, naming of EU special representative)
BRUSSELS, Sept 15 (Reuters) – The European Commission said on Monday
it would provide Georgia with up to 500 million euros ($700 million)
by 2010 to aid its recovery after its conflict with Russia and hoped
this would be matched by EU member states.
Separately, EU foreign ministers sought to maintain pressure on
Russia to withdraw its troops from Georgia by rubber-stamping plans
to send at least 200 ceasefire monitors there next month in line with
a ceasefire deal, an EU official said.
As part of EU efforts to bolster ties with neighbours that share a
border with Russia, ministers further held out the prospect of lifting
sanctions on Belarus and increased contacts depending on the conduct
of Sept. 28 elections there.
EU External Relations Commissioner Benita Ferrero-Waldner said the
"stabilisation and growth package" would go towards helping internally
displaced people (IDPs), post-conflict rehabilitation and economic
recovery and towards new infrastructure.
"It will be 500 million of community money and we do hope by the way,
this is normally the case, it will be matched by member states,"
she told a news briefing as European Union foreign ministers met in
Brussels to discuss the Georgia crisis.
"We will want to address the concrete results of the conflict — that
means damage to infrastructure but particularly also help to IDPs and
the knock on effects on the economy…on the economic confidence,"
she said.
Georgia has requested up to $2 billion in international aid to repair
and develop infrastructure in the wake of the conflict in August,
when Russia invaded in response to Tbilisi’s attempt to retake one
of its separatist provinces.
The United States has already pledged $1 billion in humanitarian and
economic assistance to help rebuild Georgia.
The International Monetary Fund has warned of the risk of damage to
investor confidence and has agreed in principle to lend Tbilisi $750
million to soften the economic impact of the conflict, which the
government has said may slash growth to less than half its 2007 rate.
HELP THE NEIGHBOURS
Ferrero-Waldner said EU funding for this year would be 100 million
euros and that the EU executive wanted to help stage an international
donors’ conference for Georgia. Officials see the event taking place
in Brussels next month.
She added it would be necessary to support states whose economies had
been indirectly hit by the conflict, such as Armenia and Azerbaijan,
and Moldova and Ukraine.
"What we do will be crucial in recalibrating the partnership with a
more assertive Russia and in supporting Georgia."
Ministers meeting in Brussels also picked French diplomat Pierre
Morel as EU special representative to Georgia. He already holds the
same post for Central Asia.
Russia sent in troops early last month after Georgian forces tried to
retake South Ossetia, a breakaway pro-Russian region. Moscow said it
acted to prevent "genocide" there, but Western states accused Russia
of a disproportionate use of force.
Russian bombing raids hit mainly military targets, but Georgia also
reported considerable damage to civilian infrastructure and risks to
economic growth and investment.
The EU monitors will initially be stationed in Georgia proper but the
European Union hopes eventually to station them in the separatist
areas of South Ossetia and Abkhazia, which the bloc insists are
part of Georgian territory despite Russian recognitions of their
independence. (Editing by Richard Balmforth)