REPORT
ON BILATERAL RELATIONS BETWEEN ITALY AND
THE MAGHREB COUNTRIES
ITALIAN MINISTRY OF FOREIGN AFFAIRS
Fall 2003
Italy is actively engaged in helping to foster stability in the Maghreb area and relations with the European Union. Our country has contributed to reviving the 5+5 Dialogue, with the active participation of Libya. It supports initiatives aimed at breathing new life into the U.M.A. (Unione del Maghreb Arabo).
The UMA was established with the 17 February 1989 Marrakech Treaty, and its members include Algeria, Libya, Mauritania, Morocco and Tunisia.
Migratory issues are of particular importance. Italy is in favour of an integrated approach, which means both stopping and preventing illegal immigration and encouraging regular flows and promoting local development. Our country is working to build a model of cooperative security in the area, promoting collaboration between naval forces and other competent bodies on agreements for rescue operations and joint patrols in the fight against organised crime, pollution and illegal migratory flows. Relations with the countries in the area are of the utmost importance, from a political, economic and cultural point of view.
The development of economic cooperation is continuing with Tunisia. The number of Italian businesses there, especially SMEs, is growing, partly encouraged by the stepped up international activity of Italy's regions. Solid bilateral relations have also been fostered by resolution of the traditional divergences in the fishing sector, where development of mixed companies is proving to be the best way of resolving old disputes. Today, relations between Italy and Tunisia are also a model for Europe in the issue of migration. Italy has also persevered its action to strengthen relations with Libya. Our country is working to raise participation of Italian businesses in sectors aside from the oil industry for programmes promoted by the Tripoli government for the modernisation and diversification of the Libyan economy.
Italy will also continue to work to boost prospects for national reconciliation and social and economic revival in Algeria. Our country is following the prospects introduced with policies for privatisation with interest and is working towards the development of SMEs, partly in view of an increase in the number of jobs. Finally, our country intends to foster the process of political and economic reform in Morocco. The frame of reference is the Action Plan for economic-industrial co-operation signed in December 2001 following the visit of King Mohammed VI of Morocco to Italy in May 2002, reciprocated by President of the Republic Ciampi. It opens the way for stronger economic relations and a more forceful presence of Italian businesses in Morocco's economy.
Bilateral Relations between Italy and the Mashreq Countries
Italy's relations with the countries of the Mashreq are marked by a high degree of confidence and co-operation, as underlined during the visits to the area by Prime Minister Silvio Berlusconi and Minister for Foreign Affairs Franco Frattini. Italy is already one of the top commercial partners of Syria, Lebanon, Jordan, Israel and Egypt and is planning to strengthen its political, cultural and trade ties with these countries. Our country is pursuing the new opportunities made available to our businesses by the transformations underway and is viewing at the southern shore of the Mediterranean with growing interest. Italy also intends to foster the area's process of economic and social transformation and political modernisation, directing development cooperation aid in that direction as well.
Our country sees Egypt, Syria, Lebanon and the Palestinian Territories as the prime recipients for intervention in the area, particularly for support of economic reforms and the process of modernisation underway, development of SMEs (particularly in agriculture), and in training, health and water resources. Addressing the problem of migration, Italy intends to intensify cooperation by negotiating specific agreements with Egypt, Syria and Lebanon for the fight against illegal migration.
Relations between Rome and Tel Aviv are growing in intensity. Prime Minister Silvio Berlusconi's visit to Israel in June 2003 and frequent ministerial level contacts have helped strengthen economic and technical cooperation. The agreement on industrial, scientific and technological cooperation, which went into force in 2002, is of great importance. The agreement provides an official framework for developing scientific and technical cooperation and is also an instrument for exchange in the more traditional industrial sectors. Thanks to the Cooperation Agreement signed in October 2002, Italy and Israel have also intensified their activity in the health sector.
Bilateral political relations between Rome and the NPA are traditionally excellent. The Palestinians appreciate the role our country has played in giving full support to their self-determination. Italy is especially convinced that support for Palestinian reform and the economy is the only way to encourage the peace process. In this regard, Italy has an ongoing commitment through the presence of its experts in the European Task Forces and promotion of the "Palestinian Economic Reconstruction and Development Programme", the so-called Marshall Plan. Italy has allocated 77 million euro for this plan, first proposed by Prime Minister Berlusconi and adopted by the Laeken European Council in December 2001.
Relations between Italy and Egypt are based on the utmost mutual trust and cooperation. The visits to Cairo in 2003 by Prime Minister Berlusconi and Minister Franco Frattini, following that of the President of the Republic, Carlo Azeglio Ciampi in October 2002, stressed the excellent relations existing between Italy and Egypt. The periodic Reinforced Consultations have proven to be a useful instrument for strengthening our bilateral relations in all sectors and fostering coordination of our respective political action. The Association Agreement with the EU entering into force will lead to further development of our already outstanding economic-trade relations.
Political relations between Italy and Jordan are outstanding, as underlined by high level visits such as that of Prime Minister Berlusconi in June 2003. Italy is Amman's third largest trade partner and is, as always, committed to alleviating the problems of Jordan's debt. It also plans to continue supporting that country's efforts in carrying out economic, social and political reforms. While Italy's business presence within the country has thus far been limited, it is gradually increasing, partly thanks to bilateral agreements providing our investors with greater guarantees. A bilateral investment promotion and protection agreement has been in force since 2000 as well as an agreement regulating double taxation.
Relations between Italy and Syria have always been solid and are now subject to future consolidation. The visit by Foreign Minister Franco Frattini on 9 June 2003, following that of Syrian President Bashar Assad to Rome in 2002, is an important indication of the excellent relations between the two countries. Economic and cultural relations have been strengthened over recent years, and further Italian investment in the Syrian market is predicted since the agreement for the protection of investments has entered in force. Italy has traditionally played a leading role in providing Lebanon with political and economic support. Efforts to support the country's economy and reconstruction are also being made through close economic and cultural ties. This is confirmed by the frequent high-level visits between the two countries, including Prime Minister Hariri's visit to Rome in March 2002 and that of Foreign Minister Frattini to Beirut in June 2003.
Bilateral Relations between Italy and the Gulf Region Countries
Important developments in the Gulf Region, which includes Saudi Arabia, Bahrain, United Arab Emirates, Iran, Iraq, Kuwait, Oman, Qatar and Yemen, include the fall of the regime of Saddam Hussein, the evolution of Iran's domestic policies and international role, and the beginning of political reform in Saudi Arabia after the resumption of terrorist attacks in that country.
These regional developments have led to a growing role for Italy, seen in our intensification of dialogue and cooperation as well as our determination to make a concrete contribution to the area's stabilisation. Italy's policy in the Gulf Region countries, including Iran, has been aimed at regional cooperation. Our country's efforts are directed towards Iraq's involvement and reintegration in the international community. Italy is also making a real effort to stabilise the country and reconstruct its social and economic fabric.
IRAN Political bilateral dialogue between the two countries has been at a high level ever since Mohammad Khatami was elected President. This is proof of the Italian Government's commitment to supporting the reform movement initiated by the new leadership, a policy shared by the EU. Iranian Foreign Minister Kamal Kharrazi and Minister of Industry Eshaq Jahangiri visited Italy in 2002 and 2003, the latter visit taking place during the 6th Session of the Joint Italy-Iran Economic Commission. In January 2004 Minister Frattini made an official visit to Iran and in February 2004 Minister Kharrazi visited Rome
SAUDI ARABIA Prime Minister Silvio Berlusconi's visit to Jiddah in March 2002 brought about a significant political and economic acceleration in bilateral relations between Italy and the Saudi kingdom. The effects of this acceleration increased during the 9th Joint Commission held in Rome on 31 October 2002. Worth noting are the project for an Italo-Saudi holding company to promote bilateral foreign investments and the visit made by Under-Secretary Alfredo Mantica to Riyadh in May 2002. On 13-15 October 2003, a visit was made by Principe Abdullah Bin Faisal Bin Turki Al-Saud, Governor of SAGIA (Saudi Arabian General Investment Authority). Saudi Arabia has shown interest in collaborating with Italy in the area of security.
IRAQ After the American-British military intervention, important developments included the appointment on 13 July 2003 in Baghdad of the Iraqi Governing Council. These were in keeping with the provisions of UN Resolutions 1483 and 1500 as well as an important step towards constituting a fully representative Iraqi government. There are still numerous unknowns and challenges in the stabilisation of Iraq, particularly after the wave of terrorist attacks that have bloodied Iraq since 7 August 2003. Our country is to take part in international efforts to rebuild the country with a military contingent of 3,000 units deployed in the province of Dhi Quar in southwest Iraq, numerous civil experts serving on the CPA, and a field hospital in Baghdad.
QATAR Efforts are being made to foster and strengthen dialogue between our two countries, particularly regarding of Italian investments and the forging of bilateral agreements to intensify cooperation and create a suitable legal framework.
UNITED ARAB EMIRATES The good economic relations between Italy and the Emirates were witnessed in the visit of Minister for Productive Activities Antonio Marzano to Abu Dhabi in February 2003 to Abu Dhabi. In addition, negotiations for the new Investment Promotion and Protection Agreement are underway. Intergovernmental contacts continued in May 2003 with Under-Secretary for Foreign Affairs Alfredo Mantica's visit to Abu Dhai. Also to be pointed out are the visits by Deputy Minister for Productive Activities Urso this past November and by Minister Martino in December.
BAHRAIN An agreement between Italy and Bahrain was signed in October 2000. An Investment Promotion and Protection Agreement was signed in March 2001. Another positive signal in current bilateral economic and commercial relations was the opening of the Italian Embassy to Manama in February 2002.
KUWAIT Since the American intervention in Iraq, and the subsequent deployment of the Italian contingent in the region, Kuwait has become crucial for our country in the transit of most Italian personnel and materials destined for Iraq. Worthy of note are the visit to Kuwait City by Under-Secretary Alfredo Mantica in May 2002 and the Status of Forces Agreement (SOFA) signed by the two countries to allow transit and logistic support of Italian troops in Kuwait. Kuwait's Foreign Minister Mohammed Sabah Al Salem Al Sabah met in Rome on 10 September 2003 with Foreign Minister Frattini to sign a Memorandum of Understanding reinforcing bilateral consultations between the two countries. High level visits have continued into 2004, with Minister Urso's visit to Kuwait City in January, while the Minister for Trade and Justice of Kuwait visited Italy in February.
YEMEN The focal point in bilateral relations has consisted of development cooperation initiatives, which have been increasing gradually but steadily. The last bilateral meeting between Italy and Yemen took place in July 2003 between the two countries' Ministers of the Interior. As regards the standing of Sana'a on the international scene, after 11 September Yemen accepted the presence of US counter-terrorism specialists in its territory. The Regional Intergovernmental Conference on "Democracy, Human Rights and the Role of the International Criminal Court" was held in Sana'a in January 2004, on witch occasion Undersecretary Mantica made a visit to that country. This event has contributed to inserting Yemen into the process of regional change and reform aimed at fostering the democratisation of the area. It should be pointed out that, during it's duty presidency of the European Union, Italy worked on launching an informal political dialogue with the EU in response to Yemen's request to gain access to the Union's regional dialogue forums.
OMAN The visit of Oman's Foreign Minister Yusuf bin Alawi Bin Maqbulla to Rome in June 2003 is worthy of note. There are good bilateral relations between the two countries at all levels with similar positions on all major international issues. In Oman, the process of democratisation seems to be proceeding successfully and the country has decided to continue in a pro-Western direction, maintaining good relations with the countries in the area.