A Memorandum of Understanding on the use of funds under the Norwegian financial mechanism in Poland was signed today by State Secretary, Deputy Foreign Minister Kim Traavik on behalf of the Norwegian government.

Under the MoU about EUR 278 million, or about NOK 2.3 billion, will be made available for projects in Poland, for example in the health and environmental sectors, over a five-year period. The mechanism was established as a result of the expansion of the EEA Agreement in May this year to include the 10 new members of the EU. The MoU was signed at a Norwegian-Polish conference in Warsaw today, which was attended by over 350 representatives of the business sector, the public sector and NGOs from the two countries, and which, in addition to celebrating the signing of the MoU, launched the start-up of the implementation of the mechanism.

- In addition to reducing economic and social disparities, the financial mechanisms are Norway’s contribution to the integration of the new member countries into the internal market and thus into the EEA co-operation. This is obviously in Norway’s interest, said State Secretary Traavik.

Through the EEA Enlargement Agreement Norway has committed itself to supporting the poorest EU member states. To this end, Norway is contributing a total of EUR 1.134 billion, almost NOK 10 billion, until 2009. About 60 per cent of this, almost NOK six billion, will be going to the new member states in Norway’s neighbouring areas, i.e. Poland, Latvia, Lithuania and Estonia.

-The financial mechanisms will open up possibilities for the Norwegian business sector and other Norwegian actors. This applies especially to areas where we have expertise, experience and products that are attractive to these countries. I am confident that the MoU will strengthen the co-operation between Norway and Poland, said Mr Traavik.