Chapter 31EUROPEAN COMMUNITY (EC)
31.1 The EC has been extending economic assistance to India since 1976. The EC assistance to India is entirely in the form of grants and can be used to finance the rupee as well as foreign exchange cost of identified projects. In the area of Development Cooperation, the cumulative total of EC's financial and technical assistance since 1976 is around ECU 1.60 billion.
31..2 Presently, EC assistance is being provided to projects in the sectors of Watershed Management, Irrigation, Forestry, Education and Health. There is an ongoing Education Sector Programme (District Primary Education Project ) with a total contribution of ECU 150 mln. In 1996-97, a commitment of ECU 200 mln, approximately Rs 900 crores, has been made for the Health sector programme.
31.3 During the Indo-EC Sub Commission Meeting in Jan 1999, it was agreed that priority should be accorded to sectoral programmes with environment as new focal area in addition to primary education and health.
31.4 The disbursement of EC assistance for ongoing development cooperation projects during 1998-99 was Euro 25.003 million.
31.5 The details of Loans and Grants are given in Annexure I and II respectively.