A Conservative MEP has stepped up his calls for EU funding to encourage the spread of democracy and human rights in the Middle East.

Ahead of his departure on a visit to Algeria on Tuesday, Edward Mcmillan-Scott called for a wider debate on plans for reform in the region.

His comments come amid growing pressure for reform.

The US has urged greater democracy across the region, blaming repressive regimes for prompting the increased popularity of Islamic fundamentalism.

However a recent meeting of the Arab League was scrapped amid disagreements among member governments on how to address the need for increased freedom and openness.

Mcmillan-Scott, who founded an EU democracy programme in 1992 aimed at the ex-Soviet bloc, called for it to be extended to the "arc of instability" surrounding Europe, and particularly the Arab world.

The "EU 136 M Euro democracy programme" encourages democratic change, the rule of law, human rights and a free media. It is also unique among EU aid funds in not requiring host government consent.

Discussion

A report by the MEP on the programme is currently under discussion in Brussels.

"I intend to widen the debate beyond Council and Commission and use this opportunity to continue my discussions with NGOs active in the fields of human rights and democracy, about the best means of the programme's delivery from a grass-roots perspective," he said.

"All the evidence I have heard so far points to the programme's failure. It has become safe, bureaucratic and ineffective."

As part of a dispute between the parliament and the Council and Commission, funding has so far been blocked for the 2005/06 programme.

"Europe must be prepared to respond swiftly and positively to the demand from the 280 million people of the Arab world, none of whose countries, according to the UN, is a democracy," said Mcmillan-Scot.

"We must step up our efforts particularly in those countries which are a direct threat to our own security.

"At present out of the €700 million that the EU spends each year on environmental, social and economic aid in the Arab countries, only €7 million is currently devoted to promoting democracy and human rights."

And writing in the latest issue of the Parliament Magazine, he added that the Arab world "stands at a crossroads".

"It is now in a 'Liepzig 1989' mode - ready for transition. Yet the EU is apparently still deaf to the region's demands for change," the MEP argued.