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Development policy proposals EU Relations with Niue
Niue is a 260 km² island in the southern Pacific Ocean, east of Tonga. With a population of around 1,700, it is the least populated country of the African, Caribbean and Pacific (ACP) states. The economy is dominated by services, while agriculture and fishing are largely subsistence-based and manufacturing is limited. Tourism offers opportunities for development but needs better and regular air services and tourist facilities.
Niue faces several development challenges common to the smaller island-states of the region: its small size and population; isolation within and outside the country, exacerbated by poor communications infrastructure; lifestyle diseases like obesity, stress, heart disease and diabetes; and vulnerability to natural disasters (drought and cyclones) and climate change.
In addition, there is a shortage of skilled labour and outward migration, principally to New Zealand. This situation was worsened by the 2004 Cyclone Heta which devastated the island and left a tenth of the population homeless.
Key issues in EU-Niue relations
Niue became part of the ACP group in 2000. Relations are mostly conducted through the EC delegation based in Suva, Fiji. Under the 10th European Development Fund (EDF), the EU and Niue signed a new Country Strategy Paper for 2008–13 in October 2007, with a budget of € 3 M.
The EU’s partnership with Niue has historically focused on addressing the basic energy needs of the population. Under the 10th EDF, the strategy therefore once again focuses on the water and energy sector, specifically renewable energy. In practice, this will entail the building of operational assets that can generate power from renewable sources, thus reducing the costs of diesel imports and improving energy efficiency. By providing cost-effective and reliable renewable energy, the strategy hopes to improve local livelihoods and contribute to a cleaner environment, one of Niue's most precious assets.
In addition, the strategy under the EDF will continue provide assistance to village economic development. The objective is to improve living standards in Niue’s 14 villages and thus help retain Niueans on the island.
Latest update: 07-04-2008
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