Côte d'Ivoire

Since the military coup of December 1999, a major social and political crisis has gripped Côte d'Ivoire. A series of mutinies and forcible takeover attempts marked the ten-month period of transition from military rule that followed the coup. The institutions of the Second Republic that began operating in 2000 were set up at the end of a disputed electoral process marred by bloodshed. Efforts to take power by force continued, and one such attempt, on 19 September 2002, grew into an armed rebellion. Since then, the country has been divided in two. As a result of the continued crisis, public expenditure in priority sectors has dropped dramatically, reducing access to drinking water, health care and education, and more than 1.5 million persons inside the country have been displaced. Economic activity has also been severely affected, with GDP shrinking 2.3% in 2000. It was only in 2002 that GDP once again began to grow (by 1.6% in 2004 and 1.8% in 2005).

In these circumstances it was impossible to implement the National Indicative Programme of the 9th European Development Fund, the focus of which was sustainable rural development and good governance. Given the continuing crisis and the impossibility of predicting how the political and economic situation would develop, the NIP was not signed despite the favourable opinion issued by the EDF committee on 4 February 2002. The B envelope, backed up by transfers from the A envelope, was therefore used to finance any urgent operations. The primary tools for implementing this strategy are: (i) the balances remaining from the NIP of the 8th EDF; (ii) Stabex under the 8th EDF; and (iii) the B envelope of the 9th EDF.

In these conditions, two areas were identified on which efforts would be focused to support economic and social development during the 10th EDF. The first is peace consolidation and good governance. The end of the crisis must be seized upon as an opportunity to lay the foundations of a return to political stability and of economic growth accelerated by improved governance, a more effective judicial system and security sector and a more intensive process of decentralisation. The second area is social cohesion and the revitalisation of social and economic infrastructures. This involves strengthening social cohesion and fighting poverty by emphasising the regeneration of the social sector, in particular in the central, northern and western (CNO) zones, where health, water and sanitation infrastructures have deteriorated significantly. In keeping with the regional indicative programme, infrastructures of economic importance are also to be revitalised, in particular certain strategic main roads.

The indicative amount from the NIP is EUR 218 million. This envelope will be used to cover the operations planned as part of the response strategy and will be allocated as follows:

• Peace consolidation and good governance (EUR 55 million)
• Social cohesion and rehabilitation (EUR 125 million)

Other programmes: (EUR 38 million)

• support for improving the competitiveness of agricultural sectors
• support for regional integration
• support for technical cooperation
• support to Non-State Actors