By Nicola Smith - 4th March 2004
An EU plan for the reconstrution of war-stricken Iraq may be hampered by security fears, the European Commission said on Thursday.
A €160 million fund, part of a pledge proposed at an international donors conference last year, will aim in 2004 to restore public services and cut poverty, said the European Commission in a statement.
The money will also be channelled into boosting job prospects, strengthening government structures and promoting human rights.
But commission spokesman Emma Udwin said that security still remained a "chief concern" for international aid work.
Just two days ago the Iraqi cities of Karbala and Baghdad were turned into a bloodbath when a series of bomb blasts killed 180 Shia Muslims celebrating a religious festival.
"Security does continue to limit what we can aspire to do and our ambitions with EU aid money," Udwin told a news conference, while stressing that the €160m had not been directly affected.
The sum brings the total aid pledge from the EU budget for 2003 and 2004 to €326 million.
The €160m pledge is currently held in a multidonor trust fund managed by the United Nations, but the EU has a free hand to plan its own projects with the money.
According to a European Commission strategy published on Thursday,€90 million will be used to improve the country's flagging health service and to help cut infant mortality rates and the rise of disease through inadequate sewage systems.
A total of €60 million will be used to combat rising unemployment levels which are contributing to Iraq's current instability.
The final €10 million will assist the fledling interim administration to hold elections and reform the justice system.
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