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Borders used to be an emblem of division. Within the European Union integration process, we witness the emergence of a new policy transforming internal borders into a valuable place for integration. Cross-border co-operation between France and Italy is a good illustration of this new dynamics. It shows the interplay and the positioning of different territorial actors in this process. It offers a good example of the rise of infra-national development policies. In Italy, the expression sistema paese, “countrysystem”, means an evolving understanding of this institutional setting. Cross-border co-operation is a remarkable pattern of adaptation and transformation of territories in an international context, producing windfall gains and stimulating effects.