EU supports Nuku'alofa reconstruction and ongoing urban planning [1]
Thursday, October 25, 2007 - 18:45. Updated on Sunday, June 15, 2014 - 18:50.
A project to strengthen the Tonga government in the planning and coordination of the reconstruction of Nuku'alofa's CBD as well as some urgent urban environmental interventions is supported with a new European Union grant worth about $4.6 million pa'anga.
At a signing ceremony in Tonga, during the Pacific Islands Forum, last week, the European Commissioner for Development and Humanitarian Aid, Mr Louis Michel and the Tongan Prime Minister, Hon. Dr Feleti Sevele, formally concluded the financing agreement for the EU grant of 1.8 million Euros under the 9th European Development Fund.
They announced that it was, "a significant step towards the reconstruction of the Nuku'alofa Central Business District, including support to building capacity for sustainable long-term urban planning and environmental management."
They stated that the project included the provision of technical assistance and capacity building in environmental management and protection and that it fits in with the focus on sustainable management of natural resources under the new Country Strategy Paper and National Indicative Programme under the 10th European Development Fund.
STABEX Fund
The EU and Tonga Government also agreed on the use of 2.5 million Euros in Stabex Funds
They stated that the funds are EU support for the rural economy, including improved infrastructure, export commodity competitiveness and greater diversification in Tonga.
Stabex (Stabilization of export earnings from agricultural commodities) is an instrument aimed to help the ACP states overcome one of the main obstacles to the sustained growth of their economies, and to enable them to ensure economic and social progress for their people.
"The Stabex transfers aim at enhancing sustainable rural livelihood through support to the rural economy, including improved infrastructure, export commodity competitiveness and greater diversification." they stated.
Stabex funds are allocated to: Export Commodities Promotion and Diversification Programme, Post harvest handling, processing and Market infrastucture, Livestock Development Initiatives, Agro-processing development programme, Project Management and other things.
Country Strategy
During the Forum Meeting the EU and Tonga also signed the "Kingdom of Tonga - European Community Country Strategy Paper and National Indicative Programme."
The agreement signed by Mr Michel and Dr Sevele will pave the way for making a total of 6.8 million Europs of grants available for Tonga from the 10th European Development Fund (EDF).
"By signing the document the Kingdom of Tonga and the European Commission jointly recognize that important environmental issues and sustainable management of natural resources form an essential part of Tonga's development priorities, with which the European Commission will align its response strategy in coming years," they stated.