The European Union ushered in a new era of relations with Libya Tuesday with plans to boost imports of Libyan products and ease visa restrictions under a deal that won the release of six foreign medics.
Following a commitment to Libyan leader Moamer Kadhafi to "further normalise relations", the European Commission said it wanted to set up a border surveillance scheme and offer scholarships to Libyan students.
But financial aspects of the deal with Tripoli remained unclear, although Brussels seemed to have committed to finding millions of dollars to reimburse Libya the compensation it paid to the victims and their families.
"It is now that this tragic case is solved ... that we can think about a new era of relations," EU External Relations Commissioner Benita Ferrero-Waldner said here after returning to Europe with the six medical personnel.
She unveiled a two-page "memorandum" that she said would serve as a framework for the EU's 27 member countries to green light projects as they re-examine ties with Libya.
The EU has no bilateral agreements with Tripoli. It imposed sanctions over the 1988 Lockerbie bombing and has not started talks on an accord since it lifted its sanctions in late 2004.
But Libya has recently come a long way from being a pariah state linked to international terrorism, and it won significant concessions from the EU for the release of the six. Under the memorandum, measures would be taken to ease Libya's access to European markets, notably in the fisheries and agriculture sector.
It would set up a surveillance system on the north African country's borders to confront illegal immigration, a problem with heavy fallout for Europe. Schengen open borders area visas would be granted to Libyan nationals in exchange for dropping visas for European citizens wishing to travel there.
Technical and financial aid would be provided for archaeology and restoration. Students would also receive scholarships and training at European universities.
Ferrero-Waldner warned that the package contained no guarantees. "There are quite a number of elements that are there and we will have to see, and to find the right way," she said.