NFÜ National
Development Agency

Contact

Infoline from Hungary:
06 40 638-638
Infoline from abroad:
+36-1-474-9180 (Hungarian only)

small counter placeholder

Structure and Basic Principles of future Programmes

Regulations regarding the new programming period can only be defined following the approval of the financial frameworks. Community level strategies are defined in the following, which must be adjusted to national development plans, as well as the connecting operational programmes.

The Commission’s proposal – in spite of the re-nationalisation attempts of net contributors – put forth the concept that the cohesion policy and economic and social cohesion should become an increasingly emphasised and visible policy impacting all EU regions. According to the concept, the objectives of the use of funding would also be differentiated in the case of more highly developed and less-developed regions, similarly to the amounts of assistance, according to which developments would focus on promoting competitiveness in the more affluent regions, however, would mainly concentrate on infrastructure developments in the less-developed regions.

Simplification and strengthening the strategic approach were the fundamental considerations of the Commission. Consequently, the general strategic document (Community Strategic Guideline) - to be approved by the Council pursuant to the recommendation of the Commission and having requested the opinion of the Parliament - is to integrated into the programming procedure; this document sets out Community priorities in connection with the cohesion policy, the provisions of which must be taken into account by the member states when compiling their respective national development plans (National Strategic Reference Frameworks).

The most significant „ new concept” of the general draft regulation nevertheless targets the introduction of the so-called mono-fund system, in addition to making it an integral part of the Cohesion Fund (CF) programming structure. Beyond a certain degree of „permeability”, this implies that one OP can only be financed by one fund. Making the Cohesion Fund currently operating on a project basis more programme-oriented is also accompanied by the endeavour of the Commission to apply the N+2 rule in the case of programmes implemented from the CF as well.

Further changes relate to how the Commission – with the exception of ESF – shall, in the following, list non-reimbursable VAT under non-eligible expenditures, referring to how financing state budget is not the objective of Community funding. However, this will cause major difficulties – if the draft regulation enters into force – in view of how the rate of co-financing will decrease according to the rate of VAT charged. Naturally, Hungarian interests support the repeal of regulations negatively impacting use.