[Documents/Docheader.htm]Parliamentary contribution to the implementation of the Stability Pact in South-East Europe
Doc. 10349
20 October 2004Report
Political Affairs Committee
Rapporteur: Mr Latchezar Toshev, Bulgaria, Group of the European People’s PartyFor debate in the Standing Committee — see Rule 15 of the Rules of Procedure
Summary
Five years after the establishment of the Stability Pact in South-East Europe, the Parliamentary Assembly takes stock of its achievements and failures and identifies the Assembly’s priorities for its 2005 Chairmanship of the parliamentary Tro�ka.
The situation in the region has changed considerably and the process of stabilisation and democratisation have been advancing continuously. The notion of regional co-operation is firmly ingrained. All countries of the region have joined the Council of Europe and they are at different stages of co-operation with the European Union.
In this context, the role of the Stability Pact should focus on ensuring the implementation, at national level, of processes for which agreement has already been secured. This implies an increased role for national parliaments in the region.
The Parliamentary Assembly calls on the national parliaments to get more involved in the Stability Pact activities, assume full responsibility for the parliamentary scrutiny of the Stability Pact and step up the co-operation at parliamentary level, and declares its readiness to support them in this task.
I. Draft resolution [Link to the adopted text]
1. The Parliamentary Assembly recognises that during the five years of its activities, the Stability Pact has proven to be an important and useful instrument in the process of stabilisation and democratisation in South East Europe. Since the establishment of the Stability Pact, all countries of the region have become members of the Council of Europe and have the prospect of integrating into the European Union.
2. The region of South East Europe is composed of states at different stages of development and approximation to the European standards. Some of them are already members of the European Union, Bulgaria and Romania are committed to becoming full members of the EU on 1 January 2007 and the other states are participants in the Stabilisation and Association process of the EU or are on the point of joining.
3. The Assembly notes that the Stability Pact was unable to meet the high expectations of the countries from the region which expected that the Pact would be a new Marshall Plan, whereas it is a process based on the good will and solidarity of its participants.
4. Since the creation of the Stability Pact, the region has passed through the crises in Kosovo and in “the former Yugoslav Republic of Macedonia” but since then the overall security situation, with the exception of Kosovo, has improved considerably. The Assembly condemns the violence which took place in Kosovo in March 2004. Those regrettable events constituted a serious setback to development in Kosovo and to the entire region from an international perspective.
5. The notion of regional co-operation is firmly enshrined and it encompasses numerous areas, including the process of the creation of a regional single market, liberalisation of electricity markets, the combat against organised crime and corruption, the implementation of regional arms control mechanisms and many other fields.
6. One of the examples of co-operation is the return of over two million refugees to several countries of the region, despite a strong initial hesitation on behalf of the governments concerned.
7. The Stability Pact, which plays a matchmaking role between donors and beneficiary countries, has been instrumental in setting priorities, avoiding duplications and consequently laying down economic foundations in the region.
8. However, despite these unquestionable achievements, the overall economic situation in the area still remains precarious. In particular, the sustainability of economic growth, massive unemployment, especially in the Western Balkans, and poor development raise much cause for concern. The Assembly appreciates the support provided by the Stability Pact to the infrastructural projects which could facilitate the relations between the people in the region. In this context, the accomplishment of the work on the pan-European Corridor 8 is of special importance.
9. Furthermore, the Assembly believes that it is of utmost urgency to focus on the concept of social and economic cohesion and reconciliation between the groups involved in the conflicts which has been unfortunately neglected over the last five years in the countries concerned.
10. The state of public administration presents another problem: public governance is weak and lacks the confidence of the people. There are examples where it has been influenced by narrow nationalistic and populist interests. Its efficiency must be improved significantly.
11. Insufficient respect of the rule of law in some countries in the region is also worrying despite efforts undertaken at the regional level. The fight against organised crime and corruption are among key issues which must be addressed.
12. The Assembly regrets that, despite the recognition that parliaments are an essential component in the democratic process, they have played a limited role in scrutinising the assistance given by the international community to the governments of South East Europe. The parliaments of the region have not been involved enough in the process and often the participation of parliamentarians was just formal. In order to increase the efficiency and transparency of the governing structures in the region, more attention should be paid to building legislative capacity and to enhancing parliamentary co-operation between the countries.
13. In this context, the role of the Stability Pact should be considered in a different perspective. The Stability Pact is constantly adapting to the changing situation in South East Europe. Its main task today is to ensure the implementation of many important processes for which an agreement has already been secured. Activities facilitating co-operation between states and activities inside the countries aimed at promoting political and ethnic tolerance are still one of the mainstreams of the Stability Pact, especially in the Western Balkans.
14. The Assembly recognises that the role of the Stability Pact has now changed. As the basis for further co-operation and development has been laid down, its main task today is to ensure the implementation of those processes for which an agreement has already been secured.
15. The Parliamentary Assembly is of the opinion that along with the ongoing normalisation and stabilisation process in the region, the task of the Parliamentary Tro�ka has been fulfilled to a large extent. Now it should rather play a complementary role than a leading role which would aim at promoting and supporting national initiatives towards bilateral and multilateral regional co-operation and the creation of joint bilateral or multilateral committees, working groups or other bodies for co-operation on parliamentary level between the states from the region.
16. The Assembly’s Chairmanship of the Parliamentary Tro�ka, which starts on 1 January 2005, should provide an adequate platform for making contacts and be focused on encouraging and supporting national parliamentary initiatives.
17. The Assembly’s committees should be instrumental in inspiring and promoting regional parliamentary initiatives and co-operation by organising, in their respective fields of competence, conferences, seminars and round tables on co-operation with relevant committees in national parliaments of the region.
18. It is highly desirable that the local and regional authorities from the region co-operate through the activities of the Congress of Local and Regional Authorities, as a body of the Council of Europe, and interaction with the national parliaments and the Assembly, encouraging trans-border co-operation, especially through the establishment of trans-border Euro-regions.
19. The Assembly underlines and supports the role of the Stability Pact Gender Task Force (GTF) where remarkable initiatives have been realized in the last years regarding parliamentary activities in promoting equality and better representation of women in political life.
20. The Assembly therefore calls on all parliaments of the region to:
i. assume full responsibility for the parliamentary scrutiny of the Stability Pact activities in their respective countries;
ii. elaborate and promote concrete projects and initiatives which could subsequently be developed and financed in the framework of the Stability Pact;
iii. organise conferences, seminars and round tables which contribute to the setting of priorities, and proposal of solutions;
iv. step up co-operation with other parliaments in the region with a view to contributing to Stability Pact action;
v. establish links between counterpart committees in different parliaments in the region, organise, between the parliaments, exchanges, internships and twinning initiatives and the creation of joint committees and working groups on bilateral or multilateral basis.
21. Furthermore, the Assembly calls on the Stability Pact co-ordinators to:
i. pay more attention to the role of national parliaments in the process of further stabilisation and democratisation in the region;
ii. introduce parliamentary discussion in all Stability Pact Task Forces in order to efficiently connect it to substantive issues;
iii. elaborate projects aimed at a reinforcement of the capacity of national parliaments concerned which would facilitate the carrying out of their obligations linked to the Stability Pact activities.
22. The Assembly invites its relevant committees to:
i. consider the possibility of taking stock and assessing achievements and planned activities of the Stability Pact on a country-by-country approach within the area of their respective competence in close co-operation with the competent committees of the parliaments concerned;
ii. promote regional parliamentary co-operation in their respective fields of competence by organising meetings, conferences and seminars jointly with national parliaments;
iii. develop an assessment system for the results of the implementation of specific projects of the Stability Pact.
23. The Assembly resolves to contribute to the increase in the role of national parliaments in the region by:
i. supporting local initiatives in this respect;
ii. stepping up its assistance in the field of reinforcement of the capacity of national parliaments concerned, in particular in the following areas:
a. assistance to committees in preparing and reviewing legislation;
b. approximation of the legal systems and competences of local authorities in order to eliminate legal obstacles to the implementation of decentralised trans-border co-operation;
c. assistance with drafting, adopting, ratifying and controlling the implementation of legislation;
d. effective use of parliamentary procedures;
e. developing relations between parliaments and civil society.
II. Explanatory memorandum
A. Introduction
1. The Stability Pact for South-Eastern Europe (SP)[1] was signed in Cologne by the Ministers of Foreign Affairs of the European Union on 10 June 1999. It was officially launched at the Sarajevo Summit in July 1999 as a collective effort of the European Union, the G8 (the eight countries of the region[2]) and the key international organisations including the Council of Europe, to address the post-war problems of the region.
2. The project was aimed at the stabilisation of the Balkans through three areas of activities: democratisation, economic reconstruction and security. It was designed in such a way as to encourage interaction and co-operation between countries in the region, to remove mistrust, eliminate hatred, help economic integration and the development of an infrastructure and promote confident-building measures through bringing people together and involving them in activities of common interest. The mechanism which has been established under the auspices of the Stability Pact provides an effective platform for a regionally coordinated reform effort.
3. The Stability Pact does not have its own funds. Its role is essentially limited to removing obstacles to regional co-operation on a political level and bringing projects and donors together. In order to qualify for the Stability Pact, the project should be regional in character and involve two, three or more countries. Project implementation and financing however is outside of the Pact’s competence and remains entirely in the hands of donors.
4. The Stability Pact which has a regional office in Brussels and two regional sub-offices in Skopje and Sarajevo, is structured in a Regional table: the highest body consisting of representatives of all participating countries and organisations, meeting twice a year and reaching decisions by consensus, and three working tables designed as tools to improve good neighbourly relations between the countries of the region: Working Table I on Human Rights and Democratisation; Working Table II on Economic Reconstruction, Development and Co-operation, and Working Table III on Security Issues.
5. The activities of the Stability Pact fall into approximately 25 areas which include economic co-operation, free trade and investment, local democracy and cross-border co-operation, energy market, fighting organised crime, migration, asylum and refugee returns, media, education and some others.
6. The Council of Europe has been involved in many activities of the Stability Pact. In particular, the Council of Europe has been given specific responsibilities as sponsor of the task force on good governance of the Working Table I, and primary responsibility in the Task Force on minorities. It is also considered as a leading agency for two main projects of Working Table II, namely on functioning of an independent judiciary and on the fight against corruption and organised crime.
7. The Parliamentary Assembly held a conference on the parliamentary contribution to the Stability Pact in November 1999 in Sofia. As a follow up to this conference, the Assembly adopted Recommendation 1452 (2000) on the Parliamentary contribution to the implementation of the Stability Pact (Rapporteur: Mr B�rsony).
8. In 2001, following an invitation from the then Special Coordinator, Mr Hombach, to sponsor the parliamentary dimension of the Stability Pact, the Parliamentary Assembly agreed to participate, together with the OSCE Parliamentary Assembly and the European Parliament in the activities of the
Stability Pact. Thus the Parliamentary Tro�ka on the Stability Pact was set up. Its rotating chairmanship runs for twelve months and on 1 January 2005 the Parliamentary Assembly will assume this role.
9. Since its establishment, the Tro�ka has organised four parliamentary conferences, under the initiative of the corresponding Chairmanship, with a view to establishing political guidelines and priorities for South East Europe and promoting inter-parliamentary exchange of views. These conferences aimed also at reinforcing the role of Parliaments in creating stability and sustainable political and economic development in the region. The fifth parliamentary conference on the Fight against organised crime in South Eastern Europe will be organised by the Tro�ka’s current Chair, OSCE PA, in Sofia on 11-12 November 2004.
10. Other initiatives aimed at promoting multilateral parliamentarian dialogue like seminars, networking meetings, visits to the countries etc. also took place under the initiative of each chairmanship of the Tro�ka.
11. This report which coincides with the Assembly’s Chairmanship, intends to take stock of what has been achieved over five years of the Stability Pact’s activities, and to identify the Assembly’s priorities for 2005 chairmanship.
B. Achievements over the last five years
12. The situation in South Eastern Europe has changed over the last five years in a considerable way. The process of stabilisation and democratisation has been continuously advancing with successful democratic elections repeatedly held in all countries concerned. Formerly hostile ethnic groups are now co-operating and jointly addressing common problems. The focus on the security area has clearly moved from military to justice and home affairs issues. The economic situation in the area still remains a concern, but important foundations have been laid and growth rates in all countries concerned have risen substantially. Other indications of stabilisation are also satisfactory, and thus the main aim of the Stability Pact has been achieved.
13. The notion of regional co-operation is firmly ingrained and has gained clear support in all beneficiary countries, encouraged as a precondition for further European integration. In particular, the increasing role of the South-East European Co-operation Process is very promising. Furthermore, the international community, including financial institutions, has accepted to increasingly use this regional approach for large parts of their programming. It is necessary to ensure that these achievements are sustainable, and here the role of the Stability Pact is to continue its efforts in this direction.
14. The concept of peer-review and peer-pressure has had a significant impact on the success of many regional activities under the aegis of the Stability Pact. Comparisons of the progress between different countries has turned out to be an important incentive to intensify own reform efforts.
15. Matchmaking is another area where the Pact is also active. Bringing together donors and beneficiary countries, available funds and possible projects, setting priorities and avoiding duplications in the framework of balanced overall development has proved to be successful.
16. One of the examples of the success of the Stability Pact activities is the return of refugees. Despite strong initial hesitations, the Stability Pact has brought the relevant governments of Croatia, Serbia and Montenegro and Bosnia and Herzegovina together and facilitated close co-operation to allow for the return of refugees between these three countries. In all over two million people have been concerned.
17. Another good example of regional co-operation is the network of free trade agreements throughout the region. The Stability Pact has helped the region to make serious progress towards creating a single market of fifty five million people. As of 30 March 2004, twenty seven free trade agreements (FTAs) have been signed under the aegis of the Stability Pact’s Working Group on Trade Liberalisation and Facilitation, and the majority of these are already in force. The Group is now focused on the issue of identifying and reducing non-tariff barriers to trade.
18. The Stability Pact Regional Energy Market Initiative (REM) has been working for creation, by 2005, of a liberalised electricity market along the lines of the EU legislation. At the same time, the Stability Pact should assist to diminish the unemployment which is expected as a consequence of the parallel projects for the creation of working places following social negotiations.
19. Regional ownership for Stability Pact has launched activities such as combating organised crime (SPOC), fighting corruption (SPAI), and regional arms control (RACVIAC).
20. The question of borders is tackled in the framework of the Ohrid Process on Border Management and Security which is a platform for discussion for all countries of the region. Furthermore, the countries concerned have signed a number of agreements concerning the activities of a cross-border nature, for example, on the joint management, protection and promotion of the Sava River basin.
C. Outstanding problems
21. The Stability Pact was unable to meet the high expectations of the countries in the region, and of the people in South East Europe who had expected this initiative to lead to the establishment of a kind of new Marshall Plan, which the Stability Pact was not. It is not even an international agreement, but a declaration based on the goodwill of its parties.
22. The insufficient ability and mechanisms to compare the results and expectations of the projects and goals are still an open problem. The first goal: to bring people together, and to serve as a forum for discussions and negotiations, including on parliamentary level, was achieved. However, according to the Rapporteur’s assessment, in many cases the participation was formal.
23. In the eventual case of a reduction of resources and contributions coming from non-European participants to the Stability Pact, which would prefer to allocate them to other regions, the Stability Pact would be transformed more and more into a supplement to the Stabilisation and Association Process of the European Union.
24. There are also some reasons for concern: the rate and sustainability of economic growth are probably the biggest problems. This is exacerbated by high unemployment and, in parts, by a severe lack of investment. Since 2000, in terms of attracting investment, a gap has opened in South Eastern Europe. In 2003, Bulgaria, Romania, Croatia and Serbia and Montenegro secured approximately four billion Euros in foreign direct investment; the four remaining Stability Pact beneficiary countries have just managed to secure one billion Euros together.
25. It is of utmost urgency to focus on the concept of social and economic cohesion which has unfortunately been neglected over the last five years. Today, there are two main threats to stability in the countries of the region: emigration of unemployed people and social-economic decline.
26. The state of public administration is another matter for concern: public governance is weak and lacks the peoples’ confidence. It is often influenced by narrow nationalistic and populist interests. Furthermore, it is expensive and not effective.
27. Insufficiency of respect of the rule of law also raises concern despite efforts undertaken at the regional level. The fight against organised crime and corruption are key issues which must be addressed.
28. The violence in Kosovo last March obviously raises cause for much concern. This was a serious setback for the development of Kosovo and for entire region internationally.
29. Despite the recognition that parliaments are an essential component in the democratic process, the international community has, in the past, focused most on its assistance to governments of South Eastern Europe. The Rapporteur is of the opinion that in order to increase the efficiency and transparency of the governing structures in the region, more attention should be paid to building legislative capacity and to enhancing parliamentary co-operation between countries.
D. Future prospects
30. Since the establishment of the Stability Pact, all countries of the region have joined the Council of Europe. The situation has furthermore evolved along with the EU enlargement process. Bulgaria and Romania have been given a tentative date for accession. The Feira European Council in 2000 recognised Albania, Bosnia and Herzegovina, Croatia, “the former Yugoslav Republic of Macedonia and Serbia and Montenegro as potential candidates for EU membership. The EU Summit in Thessaloniki in 2003 reaffirmed that “the Balkans will be an integral part of a unified Europe”. Following the positive opinion of the European Commission regarding the Croatian EU membership application, the EU has decided to commence negotiations for membership, which is an encouraging development for the region as a whole. The recent application submitted by “the former Yugoslav Republic of Macedonia” to the Irish Presidency for EU membership must be seen as a commitment by Skopje to further reform.
31. The prospect of “full integration” into the EU has proved to be a powerful incentive for reconciliation, co-operation and internal reforms in the region and has considerably facilitated the implementation of the Stability Pact activities. In recent years, the countries of the region have made great efforts to introduce wide-ranging political, economic and social reforms in order to achieve convergence with the Union. They have all signed Stabilisation and Association Agreements with the Union.
32. In this context, the role of the Stability Pact should be considered in a different perspective. The Stability Pact is constantly adapting to the changing situation in South Eastern Europe. Its main task today is to ensure the implementation of many important processes for which an agreement has already been secured. Activities facilitating co-operation between states and activities inside the countries aimed at promoting political tolerance are still one of the mainstreams of the Stability Pact, especially in the Western Balkans
33. Furthermore, the Stability Pact has also focused on a narrower range of activities than in earlier times. Whilst the early phase of the Pact sought to bring all activities in South Eastern Europe under one umbrella, the aim now is focused on those areas of a regional nature where the Pact can bring added value.
34. As the basis for further co-operation and development have been laid down, the main task should focus on the correct implementation of different ranges of activities at national level.
E. Importance of the parliamentary contribution
35. This implies an increased role for national parliaments of the countries concerned which should assume full responsibility for the parliamentary guidance and control over the Stability Pact activities acting in co-operation with other assemblies in the region and supported by the parliamentary Tro�ka.
36. The need for increased parliamentary involvement and co-operation at the regional level has been acknowledged at the meeting of the Regional Table in Tirana in December 2003. It was agreed that an in-depth study should be conducted in order to identify the needs of the parliaments concerned and to clarify how parliamentary co-operation could be promoted and supported by the Stability Pact.
37. The study, prepared by Ms Petra Bl�s, former Vice-President of the German Bundestag, on the basis of the contacts with all the parliaments concerned as well as with the assemblies of the Tro�ka has confirmed that there is a strong regional demand for support mechanisms to be put in place in order to increase the efficiency of parliaments.
38. The work of the regions’ parliaments is faced with many similar problems, and thus a long-term, regional approach would be most appropriate. Future programmes should pursue substantive issues thoroughly, whilst at the same time respecting the specific legislative needs of each country.
39. The Stability Pact activities should focus on enhancing the exchange of information on parliamentary co-operation activities, developing links between committees of different parliaments dealing with similar issues, institutionalising training programmes for newly elected MPs and parliamentary staff and promoting twinning between parliaments.
40. The role of the Parliamentary Tro�ka now should be rather a complementary one rather than a leading one, which is aimed at promoting and supporting national initiatives towards bilateral and multilateral regional co-operation.
41. Consequently, the Rapporteur considers that the Parliamentary Assembly’s priorities for the forthcoming chairmanship should be focused on encouraging and supporting local initiatives at the parliamentary level.
42. Now that all countries of the region are fully-fledged members of the Council of Europe, the Parliamentary Assembly constitutes a good platform for developing contacts, elaborating initiatives and ideas which will materialise in regional co-operation at the parliamentary level. The last Conference of Speakers held in Strasbourg in May brought together the Presidents of all the Parliaments concerned, and provided them with a good opportunity to discuss further co-operation.
43. The Assembly’s committees should be instrumental in promoting regional parliamentary co-operation in their respective fields of competence by organising meetings, conferences and seminars together with local parliaments. Such events could also be used as platforms for contacts between potential sponsors to projects of public importance representing for example financial institutions or multinational corporations, and organisations or institutions lobbying these projects.
44. Reinforcement of the capacity of the national parliaments concerned to carry out their obligations linked to the Stability Pact activities would seem to be a necessary condition. Practical measures such as training of the newly elected parliamentarians in effective use of parliamentary procedures and increasing the professional qualities of parliamentary staff should be undertaken. The Parliamentary Assembly could certainly offer its assistance in this respect. Furthermore, staff exchanges between parliaments in the region, internships and twinning initiatives would be appropriate.
45. The approximation of the legislation empowering local and regional authorities to facilitate trans-border co-operation including the establishment of trans-border Euro-regions could be an appropriate goal for joint parliamentary action within the framework of the Parliamentary Assembly of the Council of Europe. In this process, co-operation with the Congress of Local and Regional Authorities in Europe and the UNDP could be most welcome.
46. The year 2005 had been declared by the Council of Europe as a Year of Democratic Citizenship based on education. The Stability Pact could co-operate efficiently in the implementation of this programme in the countries of South East Europe.
47. Parliamentary co-operation should be linked to the Stability Pact’s other Task Forces in order to be efficiently connected to substantive issues. At the same time it should be supported by the projects in the area of assistance to committees in preparing and reviewing legislation, assistance with drafting, adopting, ratifying and controlling the implementation of legislation; effective use of parliamentary procedures, developing relations between parliaments and civil society and others.
F. Conclusions
48. When the previous report on the subject was presented by Mr B�rsony in 2000, the Stability Pact was at a difficult stage. A multitude of projects and proposals had been put forward, but the important step of transforming them into action had not been taken yet. Four years later, the Stability Pact has contributed to the political stabilisation in the region.
49. In view of a progressive European integration of the region, the Stability Pact can still play an important role by keeping its complementary approach to the Stabilisation and Association process and by further reinforcing co-operation among the countries concerned. It could still play an important role as a process of stabilisation and reinforcement of administrative capacity, the fight against corruption and building a civil society, creating a legal framework in accordance with European Standards and developing economic co-operation between the states and people which were previously in conflict. The need to accomplish the project for Pan-European Corridor 8 and other infrastructural projects connecting the people from the region should be specially underlined.
50. Furthermore, the parliaments of the region should also be partners and beneficiaries of the Pact; initiators and targets of different activities.
Reporting Committee: Political Affairs Committee
Reference to Committee: Order 564 (2000)
Draft Resolution unanimously adopted by the Committee on 7 October 2004
Members of the Committee : Jakic (Chairperson), Margelov (Vice-Chairperson), Spindelegger, (Vice-Chairperson), Ates (Vice-Chairperson), Aguiar, Arzilli, Atkinson, Azzolini, Beneš, Berceanu, Bianco, Blankenborg, Bokeria, van den Brande, Brestensk�, Cekuolis, Curiel Alonso, Davern, Dreyfus-Schmidt, Druviete, Duivesteijn, Durrieu, Elo, Goerens, Goulet, Gross, Hedrich, Henry, H�rster, Iwinski (alternate: Jaskiernia), Jahic, Jovaševic, Judd, Kalezic, Karpov, Ko�i, Kosachev, Kostenko, Lindblad, van der Linden, Lloyd, Loutfi, Magnusson, Marty, Matušic, Medeiros Ferreira, Meimarakis, Mercan, Mignon, Mihkelson, Narochnitskaya, Nemcova (alternate: Curdova), N�meth, Oliynyk, Pangalos, Petrova-Mitevska, Petursdottir, Pintat Rossell, Pourgourides, Prentice, Prijmireanu, Prisacaru, Puche, de Puig, Pullicino Orlando, Ranieri, Roth, Rzymelka, Severin, Severinsen, Seyidov, Slutsky, Szab�, Tekelioglu, Torosyan, Toshev, Tritz, Vakilov, Wielowieyski, Wohlwend, Wurm (alternate: Muttonen), Zacchera.
Ex-officio: E�rsi, Einarsson, Russell-Johnston
N.B: The names of the members who took part in the meeting are printed in bold
Head of the Secretariat: Mr Perin
Secretaries to the Committee: Mrs Nachilo, Mr Chevtchenko, Mr Dossow
[1] The Stability Pact for South Eastern Europe is sometimes confused with the Stability Pact of the European Union which is linked to the budget of the European Union and should be clearly distinguished from the stabilisation process going on in the Balkans.
[2] Albania, Bosnia and Herzegovina, Bulgaria, Croatia, “the former Yugoslav Republic of Macedonia”, Moldova, Romania and Serbia and Montenegro.