COOK ISLANDS EUROPEAN COMMISSION

Transcription

1 COOK ISLANDS EUROPEAN COMMISSION JOINT ANNUAL REPORT!, ' ' j

2 1. Executive Summary The Cook Islads comprises 15 small islads scattered over some 1.8 millio square kilometres of the South Pacific Ocea. The coutry has some of the best MDG idicators i the regio ad is well o its way to achievig the MDG's by The Cook Islads ecoomy is based o tourism, offshore fiacial services, pearl farmig, fishig, ad agriculture. The Cook Islads became sigatory to the Cotoou Agreemet o 23 Jue The 9'" EDF had Outer Islad Developmet as the sigle focal sector. Uder the 9'" EDF, 2 millio were allocated uder the A-evelope ad 0.6 millio uder the B-evelope. No State Actors (NSA), beefitted from 15% of the A evelope. The Outer Islads Developmet Programme (OIDP) objective was to raise the stadard of social services delivery i the outer islads by providig improved ifrastructure, equipmet ad supplies. The programme ra accordig to schedule ad all activities were completed by August As a result of the mid-term review (2004) of the CSP/NIP, a additioal amout of 500,000 became available i support of the developmet of the outer islads. As a result of the Ed of Term Review of the 9'" EDF, a further 400,000 has bee made available to the Cook Islads that will be used together with the 600,000 of the B evelop to build a cycloe shelter i Pukapuka. The 10'" EDF Coutry Strategy Paper ad Natioal Idicative Programme evisages a iitial allocatio of 3.0 millio uder the A-evelope ad 0.3 millio for the B-evelope. It has bee agreed to allocate 85 percet of the A-evelope or 2.55 millio to the focal area of water ad eergy, i particular water ad saitatio. The remaiig 15 percet or 0.45 millio will be used to establish a Techical Cooperatio Facility (TCF). r ' I 2. Update o the political, ecoomic, evirometal ad social situatio 2.1 Update o the political situatio Sice the September 2006 electio the Democratic Party led by Jim Marurai, as Prime Miister, govers the coutry with a 15-9 seat majority. The political settigs i the Cook Islads remai challegig ad recet Stadard ad Poor's Report December 2007 idetifies that the political structure teds to be fragmeted ad drive by populist setimet. This teds to hamper developmet ad reform efforts. There appear to be o uderlyig tesios or issues likely to cause ay political or social urest. 2

3 2.2 Update o the ecoomic situatio The ecoomy cetres primarily o the tourism idustry, which geerates receipts of about 40 percet of gross domestic product (GOP), or aroud $120 millio aually. Tourism cotributes sigificatly to a umber of other idustries icludig retail trade, agricultural productio for the domestic market ad costructio. The other major export idustries are offshore fiacial services, the offshore tua fisheries ad the black pearl idustry, with the latter two together geeratig about five percet of GOP aually. The Half Yearly Ecoomic Review, 31 December 2007 otes that Real Gross Domestic Product data i the Cook Islads is ot as reliable as would be hoped due to data costraits, hiderig calculatios of real GOP ad residet populatio umbers. As a result the two major idicators used to determie short-term ecoomic performace, are Value Added Tax (VAT) receipts ad visitor umbers. VAT receipts for the caledar year to December 2007 are 4.8% higher tha i the correspodig period i 2006 suggestig that spedig remais strog ad give that expediture equals icome it also idicates icreasig output ad the cotiued uderlyig stregth of the ecoomy. The other key idicator, visitor arrivals, has also exhibited growth. I the Caledar Year to Date (CYTD) to November 2007, umbers were up 6.0% compared to the same period i These strog ad cosistet growth rates provide a stable platform for ecoomic growth ad are expected to cotiue i the medium term all thigs beig equal. Aecdotal evidece suggests that busiess cofidece remais positive. This is supported by icreased loas ad i particular buildig cosets, which i 2006 reached 157 a icrease of 51.0% compared to 2005 with a value of $21.5 millio. However, the tred oted i previous ecoomic updates remais, whereby the outlook teds to differ betwee busiesses of differet sizes. The larger ad more experieced operators seem to be doig well, while some smaller ad ewer players struggle to compete, especially where there is a oversupply i the market. Despite the low growth rates for real GOP i 2005 growth is projected to retur to the log-term growth rate of 3.5% i 2008, reflectig solid growth i visitor arrivals ad tax receipts 1. Ecoomic growth was 0.8% i , before returig to 2.5% i The arrowly based ecoomy ad limited huma resources compoud vulerability. Te Kaveiga Nui idetified a umber of challeges that affect the developmet of the ecoomy. These challeges iclude a limited umber of skilled workers i techical ad specialised fields resultig i the eed to import foreig workers, especially i the tourism sector. 1 Ref. ibid. 3

4 I 2006 the mai drivers for growth were costructio that grew 15.4% (0.5% poits), fiacial ad busiess services 6.8% (0.5% poits), trasport ad commuicatio 7.1% (1.0% poits), restaurats ad accommodatio 4.7% (0.6% poits) ad owership of dwelligs 5.7% (0.3% poits). Off-settig these rises were falls i the output of agriculture ad fishig of -4.5% (- 0.6% poits), miig ad maufacturig -8.4% (-0.3% poits), commuity ad persoal services -8.5% (-0.2% poits) ad a margial declie i the retail sector of- 1.6% which due to the size of the sector cotributed -0.4% poits to overall real GDP. Despite the moderate rate of growth i real GDP i 2006 it is projected that growth will retur to the log-term growth rate of 3.5% i 2007, reflectig solid growth i visitor arrivals ad tax receipts. Ecoomic growth is estimated at aroud 2.5% i , before returig to 3.5% i ad the out years. The Cook Islads cotiues to demostrate a strog commitmet to regioal developmet. It has siged the Pacific Islads Coutries Trade Agreemet (PICTA) ad the Pacific Agreemet o Closer Ecoomic Cooperatio betwee PICTA sigatories ad Australia ad New Zealad. These have provided impetus for further tariff reform. The Cook Islads is part of the core group of Pacific ACP Trade Miisters who take the lead i the Ecoomic Partership Agreemet (EPA) egotiatios. Fishig, agriculture, tourism, ivestmet, trade facilitatio ad promotio, as well as trade i goods ad services are areas that have bee idetified by the Pacific as importat to them i egotiatios with the EU Update o the poverty ad social situatio The coutry is well o track to achieve the MDGs by I 2000, the uder five mortality rate (per 1,000 live births) was % of births were atteded by skilled health persoel. Life expectacy at birth was 68 years for me ad 71 years for wome. The ratio of girls to boys i primary educatio was 0.89 ad i secodary educatio 1.03 i year (Source: UNFPA: Cook Islads at a glace). Although the UN is yet to coduct to assess the coutry's huma developmet idex (HDI), the Cook Islads' social developmet idicators are high relative to other Pacific Coutries i terms of health ad educatio stadards 2 However, despite the developmet success of the Cook Islads, it still faces challeges to sustai this positio ad to spread the beefits across the populatio. Cotiual migratio of its people iterally withi the islads ad exterally to New Zealad ad Australia has meat a populatio loss betwee 20% ad 40% sice 1996"- While the atioal birth rate is low i compariso with other Pacific atios, there are eve fewer births i the outer islads because so may youg people have migrated.'. i -~ The Cook Islads culture ecourages idividuals to provide for both their families ad commuities. Traditioally this, ad systems of commual lad teure, have provided a safety et to esure the basic eeds of all members of society are met, icludig those who are uderprivileged. This approach has provided a foudatio for formal ad 2 Draft Cook Islads ad Ecoomic Report: Equity i Developmet(PEIR) Maila, Philippies 2006) 1 Cook Islads Cesus 1996,2001, Quarterly Statistical Bulletis. 4 ADB PEIR Report 2006 p 51 4

5 iformal civil society orgaisatios (CSO's) to flourish. However, there are limited sources of icome for CSO's ad fuds are ofte iadequate to meet demad. The govermet ad civil society do ot officially ackowledge poverty. Istead there are pockets of hardship that are idetified by: Uder developed private sectors i the outer islads. Limited access to basic public services icludig health, educatio, water, trasport ad commuicatio Limited opportuities to egage i formal employmet. The govermet ackowledges that the social costs ivolved i sustaiig outer islads sustaiability is ofte at the expese of urealistic cost recovery mechaisms. The ecoomic cost of ot sustaiig outer islads (each of which is culturally distict from the others) has ot yet bee calculated. Icreasig property ad ecoomic developmet o Rarotoga has the potetial to icrease Rarotoga's depedece o the outer islads for agricultural ad horticultural produce (the 'gardes of the Cook Islads'). The sustaiability betwee Rarotoga ad the outer islads is a iterdepedet relatioship. Educatio Educatio i the Cook Islads is free i primary ad secodary schools ad follows the New Zealad system. Tertiary educatio requires travel to other Pacific coutries ad to New Zealad. The Cook Islads has a total of 32 schools (primary ad secodary). Sice 1996 there has bee a 51(10%) decrease i early childhood erolmets, a 925(31%) decrease i primary rolls ad a 123(6%) decrease i secodary rolls. The overall decrease sice 1996 is 1099(20%). There appears to be a icrease i secodary school rolls sice This may be a idicatio of Natioal Certificate of Educatioal Achievemet icreasig retetio. I 2007 there were 4,461 erolmets at schools i the Cook Islads. 2,913 were o Rarotoga ad 1548 o the Outer Islads. The NSDP recogised that quality educatio is achievable with a stregtheed educatio system throughout the Cook Islads. The govermet aims to produce ot oly equal educatioal opportuities for all Cook Isladers but also a well educated people. Ehacig educatio i the Cook Islads goes beyod those of school age or formal educatio. The Cook Islads Huma Resource Developmet Strategy aims to icrease the basic trade ad foudatioal skills of all people i the Cook Islads. This is achievable by improvig the quality ad accreditatio of o-formal educatio services targetig the vocatioal ad techical traiig eeds of the coutry. Govermet is committed to the delivery of quality health ad educatio services for our people through the implemetatio of the Cook Islads Health Strategy ad the recetly completed Natioal Educatio Master Pla. We will cotiue to brig to fruitio the recommedatios of the Health Maagemet Review by stregtheig the istitutioal 5

6 framework of the Miistry of Health to esure effective ad efficiet delivery of health services. Health A strog health sector is cetral to the developmet of the coutry's huma resources ad the Govermet allocated 12.9% of total expediture to this sector for 2007/08. The NSDP recogised the Cook Islads health system requires stregtheig ad service delivery improvig so that all Cook Isladers receive quality health services. Key health idicators show high rates of immuisatio coverage, icreasig life expectacy, decliig ifat mortality ad improvig materal health. Health care services, particularly i the outer islads, remai poor. Specialised health services ted to require treatmet overseas but door support for Medical Specialist Visits provides a opportuity to provide ecessary expertise. There are govermet strategies i place to address the challeges of evirometal health, commuicable diseases ad the "lifestyle" diseases that result from tobacco ad drugs. Icreasigly, Cook Isladers are also facig problems of escalatig obesity rates ad the prevalece of o-commuicable diseases such as diabetes, heart disease, respiratory disease, cacer ad oral health. Also playig a pivotal role i addressig the health cocers of the atio are the ogovermet orgaisatios (NGOs) dedicated to improvig the well-beig of all our people icludig the vulerable i society. Achievemet of strategic targets i health is desiged aroud cooperatio betwee the Miistry of Health ad related Govermet agecies; ad health-related NGOs. The govermet's aims i the NSDP are to stregthe health prevetative programmes, develop huma resources ad medical persoel, improve health facilities ad equipmet, ad stregthe the Miistry of Health. The NSDP objectives are to: Stregthe the health services o all islads ad icrease accoutability ad effective utilisatio of local ad developmet parter resources. Improve ad protect the health of all Cook Isladers. Ecourage healthier lifestyles ad safer eviromets. Maitai adequate levels of specialist health advice to all Cook Islads people. Support commuity health developmet. Stregthe health ifrastructure ad systems Update o the evirometal situatio -1 The eviromet is oe of the Cook Islads' major assets. The climate, topography, vegetatio, reefs ad lagoos make the coutry a popular tourist destiatio ad provide the base for a pleasat lifestyle for most Cook Isladers. The soils of the volcaic islads are productive, while the reefs, lagoos ad coastal waters are well edowed with fish ad other marie life that have the capacity to meet most of the populatio's aimal protei eeds. 6

7 The Cook Islads' eviromet is relatively fragile ad is beig severely tested by coastal erosio, the impact of developmet growth, ad susceptibility to climate chage. I urba areas, waste maagemet ad water supply are iadequate, maily due to the lack of appropriate cost recovery mechaisms. This presets a serious threat to the health of the urba populatio as well as to the future of the tourism idustry. The Eviromet Service ad the Miistry of Health are workig together to stregthe the legislative framework for evirometal maagemet throughout the Cook Islads. Sice the populatio ad ecoomic activities are cocetrated i the coastal zoes, the Cook Islads is oe of the most vulerable coutries i the world to the effects of climate chage ad sea-level rise. Developmet ad social chages have placed pressure o sesitive evirometal systems ad sectors of the Cook Islads. The adverse impacts of aticipated chages i climate ad sea level rise will further exacerbate the stress o these systems. The costs ad potetial evirometal damage associated with pollutio ad poor waste disposal practices are a major cocer throughout the Cook Islads. The chagig lifestyle of Cook Isladers ad ballooig tourism umbers are the major reasos for the icrease i pollutio ad solid waste. The marie ecosystem i lagoos i the east ad south of Rarotoga is uder extreme stress as a result of pollutio from lad-based sources. This is especially so i the Muri ad Titikaveka lagoo area i the Takitumu Vaka, where the desity of tourist accommodatio ad commercial piggeries is particularly high. Recet outbreaks of illess relatig to pollutio i Titikaveka have highlighted this problem ad the eed for urget actio. The relatively high populatio desity of 182 people per square km exacerbates these factors. To a certai extet, their eviromet is the oly resource the Cook Islads ca rely o i the log term, ad this oly if it remais i its preset fairly clea state. Evirometal degradatio will ot oly kill tourism, but also vital marie resources, ad people's day to day livelihoods. Sufficiet capacity i the water, saitatio ad eergy systems are key to supportig a sustaiable tourism idustry ad commuity developmet. 3. Overview of past od o-goig cooperatio 3.1 Focal sectors OIDP a) Results The Cook Islads joied the ACP group of coutries oly uder the g'h EDF. The CSP evisaged a allocatio of 2 millio uder the A-evelope ad 0.6 millio uder the B evelope. The NIP idetified Outer Islads Developmet as the sigle focal sector, absorbig 100% of the A-evelope. This icluded the No State Actors (NSA), which beefited from 15% of the NIP. The Outer Islads Social Developmet Programme (OISDP) objective was to raise the stadard of social services delivery i the outer islads by providig improved ifrastructure, equipmet ad supplies ad by esurig that the life of these ivestmets 7

8 is maximized by adequate maiteace. The programme also assisted i recruitig ad retaiig teachers ad health workers by providig for adequate housig as a importat icetive. Through the implemetatio of projects aimed at improvig the delivery of social services o the outer islads, the Govermet seeks to address atioal disparities, icrease the overall welfare of the outer islad populatio ad ehace ecoomic growth ad developmet As a result of the mid-term review (2004) of the CSP/NIP, it was decided that the Commuity icreases the fuds available uder evelope A by 500,000. These chages were reflected i a Addedum to the CSP/NIP betwee the Europea Commuity ad Cook Islads ad a rider to the Fiacig Agreemet The Addedum further spells out that the totality of the additioal fuds should support the developmet of the outer islads. Notwithstadig the sigificat outcomes of the OISDP for the developmet of the outer islads, a key lesso leared is that the impact ad visibility of EC's support could be ehaced by stroger cocetratio ad focus of the itervetios. The Programme Estimates focused o the health ad educatio sectors ad icluded upgradig the hospitals ad medical cetres o the outer islads, provisio of equipmet ad resources to primary ad secodary schools as well as the reovatig ad upgradig of, ad establishmet of the Trade Traiig Cetre o Rarotoga for outer islad studets. Programme Maagemet was fuded withi the overall Programme Estimate through the Miistry of Foreig Affairs ad Immigratio for effective maagemet ad implemetatio of the OIDP. Approximately 15 percet of the programme was allocated to projects idetified by o state actor groups both i the outer islads ad o Rarotoga. The followig tables provide a breakdow of each PE: PE1 Budget No. Sector Miistry PE1 %of Total 1 Health Health 355,000 36% 2 Educatio Educatio & Huma Resource Developmet 455,000 46% 3 NSA Fiace ad Ecoomic Maagemet 150,000 15% 4 Maagemet Foreig Affairs ad Immigratio 40,000 4% Total 1,000, %1 8

9 PE 2 Budget No. Sector Miistry From PE1 PE2 %of Total 1 Health Health 93, ,200 2 Educatio Educatio 500,000 3 HRD Huma Resource 18, ,000 Developmet 3 NSA Fiace ad Ecoomic 38, ,014 Maagemet 4 Maagemet Foreig Affairs ad 10,680 45,000 lmmi ratio Sub Totals 161,523 1,608,214 Total 1,769,737 I broad terms, PE1 ad PE 2 were completed by ed December PE 3 Budget 42.85% 31.09% 12.44% 10.82% 2.80% 100% A rider to PE3, allocated a further NZD500,000 to PE3 ad the revised totals are provided i the followig table No. Sector Miistry PE3 %of Total rider Health Health 850,000 41,6 2 Educatio Educatio 487,000 23,8 3 HRD Huma Resource Developmet 225,000 11,0 3 NSA Fiace ad Ecoomic 395,000 19,4 Maagemet 4 Maagemet Foreig Affairs ad Immigratio 82,000 4,2 Sub Totals Total 2,039, % The additioal fudig (icremetal to the PE3 as siged) was allocated as follows: Health: Improvemet to Doctors quarters ad the purchase of a portable detal uit Educatio: Supply of furiture, resources ad reovatio of classrooms NHRD: Additioal support for Outer islads Traiig courses NSA: Additioal support for stregtheig the capacity of the atioal office (CIANGO) ad other project proposals as submitted for approval to the NAO ad HOD. Programme Maagemet: Fees for programme maagemet, icludig assistace with preparatio of the Coutry Strategy Paper. The above represets a icrease of NZD500,000 over ad above the total for PE3 ($1,539,022 as siged) ad brigs to a total fuds committed uder the A evelope of EDF 9 to NZD 4,647,200. 9

10 I view of the icreased allocatio to PE3, closure of PE3 was exteded for six moths util the 1st August 2007, to allow adequate time to esure all fuds are spet, committed ad audited. For idicators see Aex C Utilizatio of resources for NSAs The 15% allocatio ( 0.3 millio) for NSA implemeted activities has focused o educatio/traiig ad health, for the beefit of outer islad commuities, ad was complemetary to the mai Outer Islad Developmet Programme. 3.3 Utilizatio of evelope B A fiacig proposal for the B-evelope ( 0.6 millio) together with 0.4 millio icrease i the A-evelope followig the ETR had bee prepared with the costructio of a cycloe shelter o Pukapuka idetified as beig the focus. The Fiacig Agreemet was siged o 18 October 2007 o the occasio of the sigig ceremoy of the 1Oth EDF Coutry Strategy Papers i Nuku'alofa, Toga. Implemetatio of the project 'Buildig resiliece to atural disaster' will start i 2008 with the procuremet of Techical Assistace to the NAO i order to prepare the tederig for desig ad supervisio, as well as works ad supplies cotracts to costruct the cycloe shelter o Pukapuka Other istrumets/regioal Co-operatio 9 1 " EDF Other istrumets ECHO I respose to a series of cycloes that hit the Cook Islads i 2005, ECHO-fuded a FAO project for cycloe rehabilitatio i outer islads which ecoutered cosiderable delays. The project ivolved support for the re-establishmet of agriculture programs through the provisio of seeds, plats, fertiliser ad other materials. 10

11 The Europea Ivestmet Bak Emphasis has bee laid by EIB upo makig fuds available as widely as possible i the Pacific regio through lies of credit to local fiacial istitutios. I the Cook Islads the EIB cosiders to provide for a lie of credit to the Bak of the Cook Islads uder the secod Pacific Islads Fiacig Facility (PIFF). A widow for microfiace will make a sigificat cotributio by givig borrowers access to the small scale fiacig they eed to start ad maitai icome geeratig busiesses. EC -Regioal Cooperatio The regioal allocatio uder the 9 1 h EDF amouts to 39 millio after three mid term reviews ad icludes three focal sectors "Ecoomic Itegratio ad Trade", "Huma Resources Developmet", "Fisheries" ad a o-focal sector for extesio of the 8th EDF programmes to the 6 ew ACP coutries. The g'h EDF Pacific Regioal Idicative Programme fuded ad exteded a umber of existig projects to the six ew Pacific ACP coutries, icludig Cook Islads. These cosisted of: Pacific ACP Regioal Ecoomic Itegratio Programme (PACREIP) Developmet of Sustaiable Agriculture i the Pacific (DSAP) Pacific Regioal ad OCT Fisheries Programme (PROCFISH) Plat Protectio Programme (PPP) Pacific Regioal Iitiatives for the Developmet of (basic) Educatio (PRIDE) Reducig Vulerability i PACP States- SOPAC Developmet of Fisheries i the Pacific (DEVFISH) Pacific Evirometal Iformatio Network (PEIN) For more details, refer to Aexes with a retrospective character, fiacial situatio for regioal projects. 3.5 Assessmet of performace idicators Please refer to Aex 2, givig precise data o idicators. Idicators cotiued to be collected ad refied durig the programme implemetatio. 4. Policy Coherece for Developmet As the gth EDF OIDP focussed o livig coditios i outer islads with the objective to raise stadards i social service delivery, the programme touched upo the broader areas of employmet ad decet work. Migratio to the mai islad ad further to ew Zealad ad Australia puts a strai o scarce huma resources, i particular i social service delivery. However, migratio to Europea coutries is ot a issue for the Cook Islads. Climate chage is a importat cross-cuttig issue, i particular for the Pacific regio ad major regioal iitiatives are beig cosidered i the cotext of the RIP. I the desig of the cycloe shelter that will be costructed uder the gth EDF 'Buildig resiliece to atural disaster' project, special attetio will be paid to fittigs stadards to resist climate chage related effects such as tidal waves ad frequet cycloes. Equally, i the idetificatio ad desig of itervetios uder the 10th EDF, some specific issues should be bore i mid with regard to reiforcig adaptatio efforts whe addressig water ad saitatio, II

12 for example the possible eed for watershed maagemet, ad alterative productio systems i agricultural activities (eg agro-forestry). Prudet maagemet of the Cook islads fishery is cosidered vital, with a stregtheig programme of the Miistry of Marie resources fuded by NZAID, as well as a umber of programmes fuded uder the RIP. 5. EU Strategy for the Pacific Durig the discussio i the programmig process for the 1 O" EDF, key strategic directios cotaied i the EU Pacific Strategy have bee take ito accout while agreeig o the developmet respose strategy for the Europea Commuity support. I this framework, the EU Strategy's focus o the sustaiable maagemet of atural resources i the Pacific provides a clear, result-orieted opportuity for the Cook lslads EU developmet cooperatio uder the 1 o" EDF with the focal area of water ad saitatio. 6. Door coordiatio ad harmoisatio Aid flows i recet years have averaged aroud NZ$12 millio, excludig aid from the People's Republic of Chia. O average, aroud two thirds of this aid comes from New Zealad ad Australia. The New Zealad ad Australia door fuds were harmoized with effect from 1 September This co-fuded programme is maaged by NZAID ad was expected to provide aid of NZ$12.4 millio i I additio to the cycloe recovery fud, the mai sectors to beefit are educatio (NZ$2.9 millio), outer islads developmet (NZ$2.0 millio) ad huma resource developmet (NZ$1.9 millio). Aid is geerally received i the form of techical assistace, traiig, equipmet ad ifrastructure. The EC Delegatio i Suva is i regular dialogue with the Govermet of the Cook Islads through visits by EC officials ad meetigs with leaders at iteratioal fora. I coordiatio with other doors the EU has bee raisig goverace issues, i particular regardig the Cook Islads commitmets to implemet the stadards of trasparecy ad effective exchage of iformatio for tax matters developed i the framework of the OECD Global Forum o Taxatio. At the Melboure meetig of the OECD Global Forum i 2005, the Cook Islads agai idicated its commitmet to implemetig the OECD tax stadards (i view of the eed to establish a 'level playig field' with miimum stadards) ad also asked for Commissio support or techical assistace i that regard. 7. Dialogue i coutry with the NAO ad NSAs, local authorities ad the Parliamet Dialogue with the NAO ad other atioal authorities ad through the programme maagers, proceeds costructively, focusig both o political ad sectoral issues (educatio, health, fisheries) ad developmet cooperatio matters. Uder the 9 1 h EDF fuded OIDP, the 15% allocatio ( 0.3 millio) for NSA implemeted activities cocered educatio/traiig ad health, for the beefit of outer islad commuities, ad was complemetary to the mai Outer Islad Developmet Programme. NSA activities were maaged by the Cook Islads Associatio of No-Govermetal Orgaisatios (CIANGO) with fiacial reportig co-ordiated through the Aid Maagemet Divisio of the Miistry of Fiace ad Ecoomic Maagemet (MFEM). Whilst the JAR was ot discussed formally with CIANGO, they are well aware of the Commissio programme, sice their activities form a itegral part of it, ad the 12

13 programme maagers i the Miistries maitai close cotact with ClAN GO to esure that they are able to achieve their outcomes ad reportig requiremets. Project proposals were approved by the programme maager before beig referred to the HOD for fial approval. Durig the iitial idetificatio missio for projects ad programmes uder the 1 O'h EDF, cosultatios were coducted with a broad rage of stakeholders i the water ad saitatio sector, icludig NSAs ad local authorities. 8. Coclusios Sice the last electios i September 2006, the Cook Islads have ejoyed a period of political stability ad modest ecoomic growth, based maily o tourism. The coutry has some of the best MDG idicators i the regio ad is well o track to achievig the MDG's by Throughout the reportig period, i coordiatio with other doors, political dialogue as well as policy dialogue i the area of water ad saitatio have improved with the aim of idetifyig the most suitable itervetio areas for the 10'h EDF, while takig ito cosideratio issues related to. the key strategic directios cotaied i the EU Pacific Strategy, the Pacific Pla as well as the Natioal Sustaiable Developmet Pla (NSDP). Climate chage adaptatio efforts will also eed to be take ito accout i the desig of future itervetios i the area of water ad saitatio uder the 10'h EDF. Sigatures: The Natioal Authorizig Officer Ho. Wilkie Rasmusse Miister for Foreig Affairs ad Immigratio Ad Natioal Authorizig Officer Govermet of the Cook Islads Cclot~ NatiomiiA~Oiild l<:ropeadeveloomet'fudci 13

14 ANNEXES Aex A: Coutry at a glace : Cook Islads Table: Ecoomic Idicators Actual Aclua/ Actual/Estimates Projectios Projectios Projectws Nomial GOP ($'000) 259, , , ,600 3 I 7, ,300 %Chage 2.8% 4.2% 5.3% 5.6% 5.6% 5.6% Real GOP (at Costat 2000 Prices, $'000) 216, , , , , ,700 Visitor Arrivals 84,900 89,800 96,400 99, , ,200 %Chage 8.8% 5.8% 7.3% 3.0% 3.9% 3.9% Estimated Visitor Expeditures ($'000) 108, ,400 I 58, ,400 I 76, ,900 Pear! Exports ($'000) 2,900 2,300 2,200 2,400 2,600 2,900 Fish Merchadise Trade Balace ($'000) (98,600) (161,900) (209,300) (22 I,000) (233,400) ( ) Services Trade Balace ($'000) 138, , , ,!00 213, , ,100 14

15 Aex B ype Idicator I Impact Outcome 1. Proportio of populatio below $1 per day' 2. Prevalece of uderweight childre 0 (uder-five years of age) 3. Uder-five mortality rate Net erolmet ratio i primary educatio 98% 99% 5. Primary Completio Rate 6. Ratio of girls to boys i: -primary educatio secodary educatio tertiary educatio 7. Proportio of births atteded by 100 skilled health persoel 8. Proportio of 1 year old childre immuised agaist measles * 9. HIV prevalece amog year old pregat wome 10. Proportio of populatio with sustaiable access to a improved water source 100 *i 2002 Sources: UNFPA: Cook Islads at a glace; Miistry of Educatio; Cook Islads - A situatio aalysis of childre, Youth & Wome, Cl Govermet with assistace from UNICEF A equivalet idicator based o atioal poverty lies ca replace idicator 1, as appropriate. 15

16 Aex C -Itervetio framework -Idicator data ad targets (9 1 " EDF) The Outer Islads Developmet programme has two types of idicators: impact idicators (log-term) based o the objectives of the Cook Islads sector strategies for educatio ad health. They shall be measured at the ed of the programme as part of the fial evaluatio. For Educatio, 3 impact idicators have bee idetified. verificatio will be MoE statistics (collected aually}: For all, the source of 1. Improve studet retetio rate (less drop-outs) i outer islads: The Miistry holds o record of either the author of this idicator or how it has bee calculated ad is therefore uable to provide a update of this statistic. 2. Less positios ufilled by qualified teachers i outer islads: Base lie data (2001): 10 ufilled outer islad positios out of 130 Target by ufilled positios Feb ufilled positio EU target has bee exceeded 3. Improved achievemet rates at the ed of primary school i outer islads The Miistry of Educatio Director of Audit ad Quality Assurace reports that the Grade 4 ad Grade 6 atioal diagostic tests as reported i 2006 JAR were discotiued at the ed of The MOE is ow i the process of developig ad istallig ito schools a much more comprehesive ad useful studet assessmet tool - which will cover all curriculum areas ad all studets from Grade 1 to Year 10. Bi-aual reports from schools will eable MOE to build a picture of studet achievemet across all educatioal learig areas ad for each regio ad atioally. The ext step is to lik this tool to a studet data base. The MOE has established a "trial" base lie for literacy ad umeracy at the ed of last year for Grade 4 ad 3 levels respectively but till we gather data i December this year we caot make ay comparisos. The followig tables are Grade 4 ad Grade 6 tests for 2006 tests which shows improvemets i subject areas of Maori, Eglish ad Mathematics. 16

17 Achievemets i Maori Rarotoqa S. Group N. Graue ' j Achievemets i E I ish Rarotoqa S. Group N. Group Achievemets i Mathematics Rarotoqa S. Group N. Group

18 For Health, also 3 impact idicators have bee idetified. For all, the source of verificatio will be MoH statistics (collected o a regular basis ad compiled aually): 1. Greater accessibility to quality health service i the outer islads, icludig detal ad public health -the preset coverage is 80% ad MoH's aim is to attai 90% by ed Geeral health care coverage i 2004 is cosidered to be 100% Immuizatio coverage: The Public Health is ow coverig childre age 12 moths ad above, whereas i past it used to be childre 5years ad above. The atioal immuizatio coverage is 95%. Detal Care: Accordig to the iformatio provided by the Director of Detal Services, treatmet of school childre as well as adult populatio has improved sigificat sice the istallatio of ew detal chairs o the islad of Aitutaki ad Magaia. The portable detal equipmets have bee a great help to the two flyig detist. 2. Less cases eedig a referral to Rarotoga - the preset average is 110 cases yearly ad the aim is to brig this dow to 80 cases yearly by ed There ow appears to be some discrepacy i the origial base-lie data: Patiet Referrals from 0/lslads to Rarotoga: 2003 = = = 170 The figures for year 2004 have icreased as a result of out-reach activities i the outer islads by visitig specialists. A lot more patiets have bee idetified for further maagemet ad treatmet of various disorders by specialist team that visited outer islads, patiets were referred to Rarotoga for specialized treatmet ot available o islad. 4. Lower crude death rate due to lifestyle diseases - the preset average is 5 to 6 cases per 1000 yearly ad the aim is to brig this dow to 3 to 4 cases per 1000 ed Crude death rate 2003 = = ot available as yet short-term idicators are idetified aually as part of the PE's ad will stem directly from the activities idetified (e.g. so may schools refurbished, so may houses for educatio/health staff built, etc.) 18

19 B) Aexes with a retrospective character: Fiacial situatio for: gth EDF as per closure of the fiacial year 2007 Outer Islads 100% committed Developmet Program 2.5 mill. Disbursemets ( mill.) Buildig resiliece to atural disasters 1 mill. Commitmets ( mill.) 1.0 millio Disbursemets ( mill.) Fiacial situatio for : 9th EDF Regioal projects/eib projects Cooperatio uder the Regioal Idicative Programme 1. "Reducig Vulerability i the Pacific- 8.ACP.RPA.03 Implemetig Agecy: Budget: Fiacig Agreemet Siged: Duratio: Project Closure: SOPAC 7 millio March years December 31' Request to exted till December 31' The Project addresses vulerability reductio i the Pacific ACP States through the developmet of a itegrated plaig ad maagemet system i the sectors impactig o hazards, aggregates ad water ad saitatio. The Project addresses problems such as: uavailability of accurate, soud, ad timely data; weak huma resource base; limited resources (moey ad ifrastructure); ad lack of appropriate maagemet plas, policies ad regulatory frameworks to deal with these three focal areas. Total audited amout spet so far is 2,761, 167. A Mid-Term review of the project was carried out by MWH Europe i November 2005 ad their recommedatios are as follows: o That this EDF8 Project be grated a time extesio i to 31st December 2007 to coicide with the cotract completio date of the EDF 9 Project. That progress o both the EDF 8 ad EDF 9 Projects be reviewed together early i 2007 to esure outputs i accordace with the Logframe ca be achieved. That the Work Pla be urgetly revised with a budgeted ad programmed activity pla to be developed i associatio with stakeholders for the balace of the Project 19

20 That the SOPAC Directorate, together with the Member Coutry Represetatives, provide the ecessary leadership i the promotio of the origial Project purpose, by esurig better coherece of the Project outputs ad associated itegratio of the Project ito respective Govermet plas That cosideratio be give to the defiitio ad itroductio of 3 roles ito the project, amely a Peer Reviewer, Techical Editor, ad Map Server Product Developer to process the backlog of Project reports ad format outputs to be posted with the respective Coutry Data Resource Cetres That the multi-stakeholder Steerig Committees be urgetly coveed to review progress to date agaist the Logframe ad participate i the preparatio of the revised Work Pla That SOPAC develop a trasparet policy o selectio criteria for Project fellowships That Data Resource Cetres be redesiged to esure SOPAC stregthe the Capacity Buildig programme with a focus o sustaiability of the Project That SOPAC Directorate stregthe their capacity to self moitor agaist EU/FORSEC performace measures That the SWATH mappig programme be revised ad the budget be reallocated to cosolidate outputs from activities to date That project commuicatio betwee SOPAC ad the Stakeholders be improved i lie with verifiable idicators i the Project Logframe as follows: Five iformatio brochures published per year Regular (mothly/bi-mothly) press releases writte ews released fortightly Natioal workshops/traiig coveed with at least 20 participats per coutry per year Two Natioal stakeholder meetigs coveed per year Mechaisms eed to be urgetly put i place by the.sopac Directorate to esure project commuicatios betwee SOPAC ad the Stakeholders are improved i lie with the verifiable idicators i the Project Logframe. 20

21 2. Plat Protectio i the Pacific (PPP)- 8.ACP.RPA PTF REG 3 Implemetig Agecy: Budget: Fiacig Agreemet Siged: Duratio: Project Closure: SPC 4,300,000 December years 30 September 2007 The total budget is 5.181millio of which 4.3 millio is sourced from the EDF. Give the importace of agriculture for Pacific Islad coutries, the threat to agriculture posed by plat pests, which reduces yields ad quality of agricultural commodities, likewise poses a substatial threat to regioal ecoomies. The project is desiged as the secod phase of the Pacific Plat Protectio Services project, aimed at facilitatig sustaiable productio ad trade of agricultural produce, by miimizig pests i the ew age of free trade, global quaratie stadards ad icreased ecoomic itegratio. Sice the commecemet of the project traiig has bee udertake i participatig coutries o risks associated with imports, quaratie border operatios ad trade facilitatio workshops have bee udertake. Several pest surveys have also bee carried out. Emergecy Respose Plas were also drafted together with harmoised model quaratie laws. Publicatios have bee produced ad awareess campaigs have bee carried out. Total audited amout used so far is 2,872,891. A Mid-Term review of the project was carried out i May 2005 by Eco-Cosultats, where they recommeded the followig: 1. Quaratie developmet should be cotiued ad plaed i such a way that coutries will become as self-sufficiet as possible, with due cosideratio to cost-recovery ad 'user-pays' systems. Coutries should be ecouraged to use fees charged for quaratie ad quality ispectio services for maiteace of the services ad ot disappear i cosolidated fudig, without further referece to a quaratie budget. 2. O-goig IPM activities should cocetrate o iitiatig ad itroducig participatory methods ad makig extesio staff ready to promote ad foster farmers' empowermet. Topics o had should be prioritised ad work o problems that caot be solved withi the last project year should be reduced or stopped. Similarly, work o rhioceros beetle cotrol should cease for reasos explaied earlier. 3. Weed ad pest surveys ad cotrol activities should be cotiued util all participatig PICTs have bee covered ad data icluded i the PLD. However, the buildig of atioal capacity to cotiue such surveillace i the future should be give very high priority. 4. Promotio of reductio i pesticide use, productio of labels i local laguages ad improved pesticide legislatio should be accelerated. 5. Cotiue work o provisio of iformatio (icludig atioal traiig) ad completio of the PLD to PICTs, as well as stimulate more use of other plat protectio databases, expert systems ad assistace to NGOs. 21

22 6. Promotio of the IPM school/college curriculum i more PICTs could have a log-term impact o attitudes of farmers ad the geeral public, ad should itesify durig this last phase. 7. SPC should cotiue to facilitate the delivery of traiig i basic pest diagostics to NPPSs. Whilst SPC appears to strictly adhere to iteratioal pest idetificatio procedures, ew techologies become available or are updated cotiuously ad should therefore be take ito accout whe developig ad providig traiig o pest diagostics ad idetificatio. Examples of expert systems that could be cosidered i this are those operated by CAB I, EcoPort ad PestNet. 8. Coutries that curretly lack a strog NPPS should be ecouraged to set up a small uit for plat protectio activities icludig IPM developmet attached to the quaratie service (as doe i Vauatu). If research capacity is preset i the coutry, good likig structures eed to be developed betwee these uits to maximise beefits from cooperatio, rather tha the two competig with each other. SPC-PPP should take o a facilitatig role i this process. 3. Developmet of Sustaiable Agriculture i the Pacific - 8.ACP.RPA.10 +BRPA 10 +PTF REG 4 +7RPR 782 Implemetig Agecy: Budget: Fiacig Agreemet Siged: Duratio: Project Closure: SPC 6226,000 m4 November years December 31'' Request for extesio till The purpose of the project is to icrease sustaiable agricultural productio of targeted farm families i participatig coutries. This is to be accomplished through the participatory approach with farmers ad rural commuities i the idetificatio ad adoptio of techologies. The project builds o the foudatio of PRAP 1 ad PRAP 6 ad attempts to address problems faced durig implemetatio of these projects. I the atolls, the approach will be problem idetificatio ad testig of techologies with farmers, to improve the traditioal tree crop-based multi-storey agricultural systems, icludig better itegratio of livestock ito this system. I the low lads, the emphasis will move from research, to idetificatio ad promotio of potetial techologies: improved crop varieties, pest ad disease maagemet, lad coservatio ad agro-forestry techologies. Total audited amout used so far is 1,309,728. A Mid-Term review of the project has bee carried out by Eco-Cosultats ad the 2d draft report received i Jauary is still beig reviewed. Some of the recommedatios withi this draft report are stated below: o The project should promote simple, eco-friedly techologies, usig local, iexpesive or freely available materials wheever possible. 22

23 o o il Comprehesive trials eed to be carried out to develop sustaiable farmig systems for steep lad, where this ca improve the livelihood of existig impoverished commuities, through the icorporatio of permaet crops to avoid frequet tillage is strogly advised. Cosideratio should be give to establishig regular schedules for voice commuicatio by satellite betwee the participatig coutries, for techical advice, iformatio ad iformal discussios. The project should give closer techical support i ursery techiques, maagemet, plat quality ad sales of produce for all DSAP sposored urseries. 4. USP Huma Resource Developmet Project- 8.ACP.RPA.09 Implemetig Agecy: Budget: Fiacig Agreemet Siged: Duratio: Project Closure: USP 5 millio March years 31'' May Closed The mai goal of this project is to icrease huma capital through skills ehacemet i the three key areas of tourism, public sector maagemet ad labour & employmet studies. Tourism sector. A importat costrait o tourism developmet relates to the lack of a adequately educated workforce i the public ad private sectors, especially at middle ad upper maagemet levels. I particular, there is a acute shortage of professioal tourism plaers i the regio. This compoet of the project will deliver hospitality ad tourism maagemet at the degree ad postgraduate level icludig the establishmet of a tourism ceter of excellece. Maagemet ad Developmet. Traiig will focus o the broad themes of good goverace ad corporate goverace. This compoet will focus o topics ragig from public sector reform, private sector developmet, accoutability ad trasparecy. The target group will be miisters, politicias ad seior civil servats. Labour Studies. Policymakers recogise the importace of the private ad iformal sector i employmet absorptio ad ecoomic growth, but the likages of the state to private ad iformal sectors is poorly uderstood. Cosequetly, labour market policies ad itervetios have focused excessively o a arrow base of public sector wage/salaried employmet. This compoet will develop ad participate i a 5-year research programme lookig at iformatio o labour market processes ad istitutios i the Pacific-ACP states. Total audited amout used so far is 1,757,997. A Mid-Term review of the project was carried out by Proma Cosultats i October The recommedatios that emerged are stated below: 23

24 D o USP's cotributio to project costs is itemized by compoet as part of the aual budget ad that expediture agaist budget is moitored. The fuctioig ad membership of the PSC be reviewed. The Uiversity cotiues to build the maagerial capacity to stregthe ad support the efficiet ad effective implemetatio of projects ad academic activities geerally. 5. Fiji School of Medicie Project- 8.ACP.RPA.06 Implemetig Agecy: Budget: Fiacig Agreemet Siged: Duratio: NAO, Govermet of Fiji 7.5 millio March years. Closed 16/01/2007 The total project budget is millio, with 7.5 millio from the EDF. The origis of the Fiji School of Medicie date from the early coloial period. The Fiji School of Medicie has for may years served the traiig eeds of health professioals throughout the Pacific ACP regio. Small islad states i particular are depedet upo the school for traiig. Regioal coutries have shortages of medical persoel ad eed to trai more local health staff. The preset facilities used by the school date from 1970s ad are cosidered to be iadequate for curret ad future demad. The objective of this project is to develop huma resources ad capacity i the health sector i order to provide the skills eeded for log-term developmet of the PACP coutries. This is a ifrastructure project that will expad the physical capacity, teachig facilities ad studet accommodatio at the Fiji School of Medicie. The Fiji School of Medicie buildig has bee completed ad will be opeed by the ed of March Total amout spet as of Jauary 2006: 7,376, Pacific Regioal Oceaic ad Coastal Fisheries Programme 8.ACP.RPA PTF REG2 Implemetig Agecy: Budget: Total Fiacig Agreemet Siged: Commecemet: Duratio: Project Closure: SPC, Noumea 8.1 millio ( RPA.04) 2.4 m ( 8PTF REG m December 2001 March years 1 March 2009 Tua stocks are the most importat reewable atural resource for Pacific Islad coutries (PICs) with aual catches estimated at aroud 1.4 millio toes, with a laded value of aroud 1.5 billio. The log-term sustaiable maagemet of the regio's key reewable atural resource is thus of vital importace. Of equal 24

25 importace are domestic reef resources, which uderpi curret livelihoods ad cotiued food security for the vast majority of Pacific Isladers. This programme aims to address the iformatio gaps i both areas ad, i so doig, will specifically stregthe the log-term sustaiable maagemet of the fisheries resources of the Wester ad Cetral Pacific Ocea (WCPO). The oceaic compoet, will build upo the work udertake i the mai tua species of the 7th EDF assisted South Pacific Regioal Tua Research ad Moitorig Programme (SPR TRAMP) programme, extedig this to iclude the eed for detailed aalysis ad moitorig of "big-eye" tua ad by-catch species. This programme will ru for three years at which time it is plaed to cotiue as a core activity uder the regioal orgaisatio that emerges from the Multilateral High-level Cosultatios (MHLC). The coastal compoet of the programme will ru for five years ad will ivolve a comprehesive comparative assessmet of reef fisheries i the Pacific Islads regio. This will be groudbreakig research as o comparable activity of this kid has ever bee udertake i the Pacific Islads regio. The results of both compoets will provide ivaluable scietific advice to the govermets ad agecies resposible for the sustaiable maagemet of the regio's fisheries resources. Total audited amout used so far is 4,938, 190. A Mid-Term review of the project was carried out by Marie Resources Assessmet Group LTD i March Some of their recommedatios from the review carried out are stated below: ll D The steerig committee should develop a up-to-date logical framework to reflect more accurately what the project is doig while esurig the project activities ad results remai withi those laid out i the fiacig agreemet. The Oceaic Fisheries Programme (OFP) scietists should cosider reportig the state of the fishery i terms of chagers of variables such as catch rates, which give grater relevace to the fishig idustry. The Scietific Committee (uder the ew Commissio) should be ecouraged to develop ad review future projects i more detail rather tha simply developig wish lists. Port samplig traiig should cotiue as it is curretly coducted, developig alog the same lies as plaed for the observer traiig, with greater emphasis o developig competecy i key skills. The project should cotiue its focus o key ACP coastal states, to cosolidate data collectio systems ad cotiue to icrease localizatio of data maagemet skills. 25