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COHESION FUND – is one of the instruments of the EU cohesion policy. The goal of the CF is to reduce economic and social disparities and promote sustainable development. It was established by the TEU and implemented by the Council of the EU Regulation of 1994. Unlike other cohesion policy instruments (→European Regional Development Fund and European Social Fund), CF is implemented at the level of states rather than regions. When determining allocation of funds from the CF for the given country, the population, GNI per capita, country area and other socio-economic factors (e.g., transport infrastructure deficit in the recipient country) are taken into consideration. Funds from the CF can only be received by those member states whose GNI per capita does not exceed 90% of the EU average. In the years 2014-2020, the following countries are taking advantage of the funds from CF: Bulgaria, Croatia, Cyprus, Czech Republic, Estonia, Greece, Lithuania, Latvia, Malta, Poland, Portugal, Romania, Slovakia, Slovenia and Hungary. Within the framework of CF investment projects are being financed in the field of transport and environmental protection. Financial aid from the CF may be withheld by a decision of the Council if the member state exceeds the permitted public deficit limit and if it does not resolve the problem or does not take appropriate measures to address it. The help from the CF with transfers from the Structural Funds should not exceed 4% of the GDP of the beneficiary country [ K. Tomaszewski ].
