The package was offered to the Turkish Cypriots following the Greek Cypriot government's rejection of a UN peace plan and the accession of the Greek Cypriot section of the Island to the European Union.

However, the aid package has since stalled, as it was tied to a direct trade plan between the EU and Northern Cyprus, which the Greek Cypriot authorities feel constitutes a recognition of the legitimacy of the Turkish occupation.

Speaking earlier this week, UK Foreign Minister Jack Straw revealed that plans to separate the two issues in order to allow the aid package to progress are "under active consideration" following Monday's meeting, and expressed the hope that an interim conclusion can be reached at the foreign ministers' next meeting in December.