Total funds placed by Italy at the disposal of the FRY (not considering Kosovo) amount to 133.35 M€uro. They cover ongoing activities, initiatives being finalised and medium term projects to be started in 2001.

The Italian intervention can be divided in the following three components.

1. Emergency: emergency projects worth 2 M€uros have been implemented in the health sector, supporting hospitals in the Belgrade Municipality.
2. City to City Programme: 6 M€uros are earmarked for Serbia, of which 5 M€uros are allocated by the Italian Co-operation, through UNDP, and 1 M€uro is allocated by Italian local authorities for partnership activities. The intervention areas are the Serb Municipalities of Belgrade, Pancevo, Nis, Kragujevac, Smederevo and Novi Sad in Vojvodina. Collaboration and partnerships already exist between these municipalities and Italian Local authorities. The areas covered include health, social services, education and food aid. The aim is to support the local population directly affected by the fall of the national economy, with a specific focus on vulnerable groups and people in difficulty.
3. In Montenegro, the Italian Co-operation is carrying out a series of emergency initiatives totalling 3 M€uros. Food aid is worth 2.25 M€uros while 0.75 M€uros are for programmes in the social and health sectors.

1. The Italian Co-operation has granted 5 M€uros for the purchase of badly needed food and other priority goods, for the Serb population (specifically flour, sugar, cooking oil, and basic drugs).
2. Emergency projects worth 1.5 M€uros will soon be started with the Municipality of Belgrade, implemented by Italian NGOs already working on site. These funds are earmarked for a programme in aid of about 200 kindergartens, primary schools and social centres.
3. In the environmental field a programme to assist the Municipality of Belgrade in the collection and disposal of solid waste is in the final stages of preparation. Total amount for this project is 0.75 M€uros.
4. The Italian Ministry of the Treasury, Budget and Economic Planning, has granted 20 M€uros to assist the Government in Belgrade in overcoming the serious financial situation of the country. These funds are already available as emergency aid for purchasing heating oil and diesel for transport.

1. Italy has decided to grant 30 M€uros to set up Trust Funds at the World Bank and the European Bank for Reconstruction and Development. The aim is to support the process of reconstructing and developing the Country trough relevant investments projects. These funds will also be available to repay previous outstanding international debts of the FRY, in order to facilitate its re-admission as a member of IFIs.
2. A grant package of 25 M€uros is presently being finalised and will be operational in 2001. An assessment is underway to identify priority sectors for intervention and attention will be given to the pharmaceutical, agricultural and food processing industrial sectors, and to health.
3. In the year 2001, Italy intends to provide additional 35 M€uros in soft loans, to support the FRY’s development programmes, specifically in infrastructure.
4. Following the European Investment Bank’s report on Montenegro – highlighting the need of road rehabilitation works in the Republic – Italy intends to make available 5 M€uros, from the year 2001.