27 October 2006

Co-chairs’ conclusions

1. The Financial Working Group (FWG) met for the second time in Vienna on 27 October 2006, under the co-chairmanship of the SEECP CIO, Ambassador Grigic, and the SP Secretariat Head of Cabinet, Gregor Koessler. All SEECP countries as well as UNMIK/Kosovo were represented.

2. The discussion focused on a proposal tabled by one of SP partner in the region, based on dividing the countries in four sub-groups according to their economic size, and assigning different shares to each sub-group.

3. After adjustments to the original proposal the FWG reached consensus on a refined cost sharing proposal to cover one million Euro, the agreed annual contribution by the region to the RCC Secretariat. The precise composition of the four groups, percentages and shares assigned to each group and country are provided in the annex of these conclusions. The FWG agreed that commitment to this formula will last for the first three years of functioning of the Regional Co-operation Council.

4. This decision of the Financial Working Group will be submitted to Regional National Co-ordinators, SEECP and the Regional Table meeting in Bucharest on 16 November 2006 for final approval.

5. One delegation had to clarify clearance of the incremental increase of 1%, which will be completed ASAP, at the latest before the start of the WT/RT meetings on 15 November in Bucharest

ANNEX

Regional Co-operation Council Secretariat: agreed regional annual contribution(valid for the 2008-2010 period)

                                                                        Total    1.000.000€