Investing in knowledge today to be competitive tomorrow.

In today's globalised world there is no greater resource than knowledge, gathered through education, research and innovation. Today's complex world further requires constant learning, hence the importance of the lifelong learning programme. It is therefore of great importance that the new generation of EU programmes has been included in the EEA Agreement. This opens tip a wide variety of opportunities for EFTA citizens to participate in programmes that cover diverse areas such as public health, the environment, youth, culture, civil protection, energy and gender equality.

In our debate on the EEA Agreement, we tend to focus our attention on Internal Market issues, but less on activities that fall outside the scope of the four freedoms. In looking at the different programmes and activities within them, it becomes clear that these involve people more directly than other aspects of the EEA Agreement. The research and development part of the programmes is now well established. This element of the EEA Agreement was from the outset very well received and appreciated, even among those doubtful of the advantages of the Agreement in general.

Early on we also came to appreciate the student exchange programmes. It is essential for the close cooperation between our countries to have a good understanding of the variety of cultures and languages around Europe. I understand that more than 15 000 students from EEA EFTA countries have made use of the Erasmus programme and studied a semester abroad. Contrary to our experience in the beginning, we now have more students coining to Iceland through the exchange programmes than Icelandic students going abroad, which is an excellent development.

One of the many underlying factors of the unprecedented economic growth in Iceland today is the high number of Icelandic students studying abroad and returning, not only with their degrees but with valuable experience and language skills.

Another underlying and important factor in the Icelandic success story was the establishment of the European Economic Area in 1994. Although Switzerland did not join the rest of us in the EEA, we very much value Switzerland's contribution to EFTA. The experience of the EFTA States demonstrates that being small is no barrier to success in times of ...