On 13 January 2020, the Council adopted Decision (CFSP) 2020/20[1].

The Council Decision updates the list of persons and entities involved in terrorist acts as laid down by EU Common Position 2001/931 of 27 December 2001.

The Candidate Countries Republic of North Macedonia, Montenegro, Serbia and Albania[2], the country of the Stabilisation and Association Process and potential candidate Bosnia and Herzegovina, and the EFTA country Iceland, member of the European Economic Area, as well as Ukraine and the Republic of Moldova align themselves with this decision.

They will ensure that their national policies conform to this Council Decision.

The European Union takes note of this commitment and welcomes it.

[1] Published on 14.01.2020 in the Official Journal of the European Union no. L 8I, p.5.

[2] The Republic of North Macedonia, Montenegro, Serbia and Albania continue to be part of the Stabilisation and Association Process.

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The Council today adopted a decision authorising the opening of negotiations for a new partnership with the UK, and formally nominating the Commission as EU negotiator. The Council also adopted negotiating directives which constitute a mandate to the Commission for the negotiations.

The Council has adopted a clear and strong mandate for our negotiator, Michel Barnier. This confirms our readiness to offer an ambitious, wide-ranging and balanced partnership to the UK for the benefit of both sides. The EU is now ready to start negotiations.

Andreja Metelko-Zgombić, Croatian State Secretary for European Affairs

The EU wishes to establish an ambitious, wide-ranging and balanced economic partnership with the UK. The mandate stresses that the future partnership should be underpinned by robust commitments to ensure a level playing field for open and fair competition, given the EU and the UK’s geographic proximity and economic interdependence.

The EU intends to establish a free trade agreement with the UK which ensures that zero tariffs and quotas apply to trade in goods. This agreement should provide for cooperation on customs and regulatory aspects. It should also include effective management and supervision, dispute settlement and enforcement arrangements.

On fisheries, the mandate outlines that the future partnership should uphold the existing reciprocal access to waters as well as stable quota shares. The agreement on fisheries should be established by 1 July 2020, to give time for determining fishing opportunities after the end of the transition period.

The mandate also contains provisions for future cooperation in areas such as digital trade, intellectual property, public procurement, mobility, transport, and energy.

The EU will seek to establish a comprehensive security partnership with the UK. The partnership should comprise law enforcement and judicial cooperation in criminal matters, as well as foreign policy, security and defence. The mandate foresees that the future partnership should be embedded in an overall governance framework covering all areas of cooperation.

Next steps

The Commission will agree with the UK the dates for the first negotiating sessions. The first formal meeting between the EU and the UK negotiators is expected to take place in early March.

Background

The Council decision and the negotiating directives are based on a recommendation presented by the Commission on 3 February 2020. They build on the political declaration agreed by the EU and the UK in October 2019, as well as on the European Council (Art. 50) guidelines on the future EU-UK relationship of March 2018 and April 2017.

On 13 December 2019, EU27 leaders reconfirmed their aim of establishing as close as possible a future relationship with the UK. They invited the Commission to submit to the Council a draft negotiating mandate for a future relationship with the UK immediately after its departure. 

The entry into force of the withdrawal agreement marked the end of the period under Article 50 TEU and the start of a transition period until 31 December 2020. During the transition period, the UK will continue to apply Union law but it will no longer be represented in the EU institutions.

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Consumers will soon be better informed when choosing new tyres for their cars. The Council today adopted a regulation on new rules on the labelling of tyres with respect to parameters such as fuel efficiency, wet grip and noise. The aim of the regulation is to make labels more visible and to give consumers more information to enable them to choose safer, more fuel efficient and quieter tyres. The regulation still needs to be formally adopted by the European Parliament.

The new labels are a tangible benefit for consumers all over Europe and will provide more information on fuel consumption efficiency, safety and external noise. These rules will also have an impact on the reduction of greenhouse gas emissions.

Tomislav Ćorić, Minister of Environment and Energy of Croatia and chair of the Council

The regulation introduces a number of important changes to previous rules. The labels will become more visible and clearer for consumers thanks to new obligations on how to display them and to the deletion of unused performance classes in the scale. Icons for snow and ice grip will be added, and the label’s design will be updated. As any other category of tyres, re-treaded tyres are also covered by the regulation. Requirements for re-treaded tyres will apply once a suitable testing method to measure the performance of such tyres is available. The regulation also includes provisions for adding parameters on mileage and abrasion once suitable testing methods are available. This is expected to help reduce the amount of microplastics getting into the environment due to tyre abrasion. Tyres for trucks and buses will in future also have to carry the label.

Background

The tyre labelling system is aimed at reducing greenhouse gas emissions and noise pollution in the transport sector and increasing road safety. It will enable consumers to obtain more relevant and comparable information on fuel efficiency, safety and noise and to take cost-effective and environment-friendly purchasing decisions when purchasing new tyres.  Tyres, mainly because of their rolling resistance, account for 20-30% of a vehicle’s fuel consumption. A reduction in their rolling resistance therefore contributes to lowering emissions while also providing cost savings to consumers thanks to lower fuel consumption.

The revised regulation was proposed by the Commission in May 2018. A provisional agreement between the European Parliament and the Council was found on 13 November 2019.

Next Steps

Today’s decision means that the Council has adopted its position at first reading. The regulation now needs to be adopted by the European Parliament at second reading before being published in the Official Journal.

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• EUR 10 million local currency support for Kafo Jiginew welcomed by Prime Minister Cissé
• Increase in financial services adapted for needs of rural smallholders, artisans and stallholders
• Partnership to unlock economic opportunities and greater economic inclusion of women
• Technical assistance to further strengthen banking skills of Kafo Jiginew staff

Rural smallholders and low-income entrepreneurs across Mali will benefit from improved access to finance and local currency loans essential for expanding business activity or agriculture following EUR 10 million support from the European Investment Bank, the world’s largest international public bank, formally agreed in Bamako today.

The new support will enable significant expansion of financial services provided by Kafo Jiginew, a leading microfinance institution in Mali. The new support is expected to enable around 60,000 microfinance loans to be provided to smallholder farmers and provide financing for more almost 15,000 people.

“Expanding access to finance is key to sustainable development in Mali.  Kafo Jiginew has an impressive track record supporting new investment by private entrepreneurs and farmers that enables job creation, increased production and social progress. I welcome the new support from the European Investment Bank for private investment in Mali. Sharing technical experience with leading international partners, such as the Bank of the European Union, and strengthening local currency financing contributes to stability and generates economic opportunities here in Mali and across Africa.” said Prime Minister Boubou Cissé.

“Kafo Jiginew is committed to enabling new small-scale investment by its members across Mali. Our microfinance activity helps businesses to grow, farmers to modernise and jobs to be created. The new support from the European Investment Bank will enable Kafo Jiginew to significantly expand activity to benefit people across Mali who cannot access bank finance. Increased microfinance will contribute to economic and social development in Mali and stability in the Sahel.” said Mr David DAO, Chief executive officer of Kafo Jiginew.

“The European Investment Bank is committed to supporting transformational private sector investment with leading financial partners across Africa. We are pleased to once again work with Kafo Jiginew to help expand the impact of their engagement across Mali. The new EU Bank support confirmed today will benefit vulnerable communities vulnerable to climate change and ensure that farmers and entrepreneurs can harness their full potential to contribute to economic and social growth. The impact of the successful partnership that combines the local understanding and expertise of Kafo Jiginew with the strength of the EIB is a model for the Sahel region and Africa. This partnership with Mali reflects the European Investment Bank’s firm commitment to supporting sustainable new investment across the Sahel,” said Ambroise Fayolle, European Investment Bank Vice President.

“This new EIB support to increase the high-impact microfinance provided by Kafo Jiginew demonstrates the broader European Union engagement in Mali and across the Sahel. Enabling farmers and entrepreneurs to access finance contributed to economic growth and stability.” said Bart Ouvry, Ambassador of the European Union to Mali.

The new EUR 10 million support for Kafo Jiginew from the European Investment Bank was formally agreed at a signature ceremonyat Kafo Jiginew headquarters in Bamako earlier today. The European Investment Bank was represented by Jane Feehan, EIB Regional Representative in West Africa.

The new financing follows successful expansion of microfinance activities using the first EIB funding of Kafo Jiginew agreed in 2001.

Unlocking economic and social opportunities

Kafo Jiginew currently provides microfinance loans, adapted to the specific needs of vulnerable low-income groups who cannot access banks, through more than 400,000 members of 19 cooperatives across Mali. Kafo Jiginew has played a key role in helping farmers recover from cotton price changes. Ensuring that smallholder farmers and entrepreneurs can access finance has supported significant social and economic development across the countryin recent years.

Strengthening investment by communities vulnerable to climate change

The new financing will strengthen resilience of agriculture communities and support investment by smallholder farmers whose livelihoods are extremely vulnerable to heavy rains and drought.

Ensuring access to finance is not held back by currency costs

The EIB will provide long-term funding to Kafo Jiginew in local currency, CFA Francs. This will avoid costs and uncertainties of managing a foreign currency loan for local currency lending.

Technical assistance to further strengthen financing across Mali

In the coming months the EIB will also work with provide Kafo Jiginew to strengthen financial risk management and improve skills of Kafo Jiginew banking staff.

EIB commitment to support public and private investment across the Sahel

The EIB has supported public and private investment across the Sahel since 1967. Later this week the EIB is expected to join the Sahel Alliance that will enable increased cooperation with local and international partners to support public and private investment.

In recent years the EIB has supported new water and wastewater investment in Ouagagoudou, Niamay and Bamako, as well as supporting private sector investment in the region.

Last year the European Investment Bank provided more than EUR 3 billion for new public and private investment across Africa.