Development problems and Objective 1 structural assistance in Germany. Report

The rate of unemployment in the new German Länder was a particular cause for concern to the Committee on Regional Policy (chairman: Mr Roberto SPECIALE (PSE, I)) which adopted the report by Mr Gerhard BOTZ (PSE, D) on development problems linked to European structural measures introduced in Germany. In view of this situation, the report calls for greater effort to create and preserve jobs. The lack of an adequate capital base for SMEs was hampering the creation of jobs throughout Germany. In order to support SMEs in their key role, the report advocates use of the structural funds, which could help to supply risk capital. It also called for better management of Community assistance, in particular closer coordination of the different funds, and for the Commission's administrative procedures to be simplified. Finally, the report emphasized the importance, in accordance with the principle of partnership, of involving the economic and social partners in the implementation of Community aid.�