LOCAL PRESS
Contribution to peace in the world (RTS/Tanjug/RTV/Danas/Beta)
Mutual interest for continuing and developing very successful cooperation, established in the past period, was expressed at the meeting between Serbian Defense Minister Aleksandar Vulin and the Head of the UN Office in Belgrade Simona-Mirela Miculescu. The topics of the meeting were Serbia’s participation in the UN peacekeeping operations and support in the peace efforts of the world organization, regional security issues and the migrant crisis. Stressing full commitment to peaceful resolution of all disputable issues in the region, Minister Vulin pointed to the importance of the dialogue with the provisional institutions of self-government in Pristina towards a better life for all the people of Kosovo and Metohija, with the protection of sovereignty and territorial integrity and full respect of Resolution 1244 and the Military-Technical Agreement. Minister Vulin underlined Serbia’s dedication to the UN peace efforts, which can be seen quite clearly in the constantly growing participation of the Serbian Army in peace operations under the mandate of the world organization and the European Union. The establishment of the Balkan military-medical forces is a new contribution to regional cooperation and trust, but also practical benefit to all the participating states and, potentially, other endangered regions.
When it comes to the resolution of problems regarding the migrant crisis, Serbia is acting as a responsible member of the international community and it is undertaking a significant portion of the burden. Significant contribution of the Joint Forces of the Serbian Army and the Interior Ministry in securing the state border towards Bulgaria and Macedonia is also visible.
They jointly agreed that Serbia attaches great importance to the values and activities of the UN in preserving world peace, resolving conflicts, respecting rights to equality and equal participation and representation of women and men in all fields of social life.
Thaci: Historical agreement on reconciliation by accepting the reality (Tanjug)
I believe that a historical treaty on normalization of relations and reconciliation between Kosovo and Serbia can happen soon, with the final goal of recognition of reality, Kosovo President Hashim Thaci said in an interview to Tanjug. Thaci emphasized that this could be unpopular for him and Serbian President Aleksandar Vucic, but it would be good for both Kosovo and Serbia. When asked what he based his optimism on that the dialogue would end soon, considering the fact that Pristina was delaying the implementation of the agreements for five years, and that a large number of disputed questions between Serbia and Kosovo was not on the list of the Brussels dialogue, Thaci responded that several agreements should be concluded before that, but that many were reached and majority was realized, so these would be the basis for “a historical treaty” he was expecting. He said that he was aware that Serbia could not recognize Kosovo in the next few days, months or years, but the important thing was that Kosovo would become a part of all international organizations. Thaci emphasized that, until Serbia should get free of “Kosovo burden”, the country would not be able to become a part of EU. “And Serbia should decide whether the country should look towards the safe European future or live in myths and the past”, he said.
He claimed that Community of Serb Municipalities “will be formed in the future in accordance with the Constitution, Kosovo laws and Brussels Agreement”. After insisting to specify when this would happen, Thaci said that this would be done as soon as new Kosovo government was formed and promised that he would personally insist on it. “Serbs in Kosovo are a reality of Kosovo and I respect Serbia’s legitimate interest in them. Association should be formed as soon as possible, because this is in the interest of Kosovo”, he emphasized. Thaci added that the Association would not have an executive or legal character.
When asked if the dialogue in Brussels would continue on presidential level, considering that none of the candidates for Kosovo Prime Minister agreed with that, claiming that the review of the dialogue would be necessary, Thaci said that EU determined that level of negotiations.
He announced continuation of the dialogue for late August, when the new stage of the dialogue should be expected. Thaci explained that this new stage would not be a competition between
Serbia and Kosovo, but focusing on how partnership should be reached that would lead to normalization and reconciliation. Thaci said that Vucic and he had a lot of disputes, but they were also talking over the phone, so they would not surprise one another “such as the case of the train, or the case of the wall”.
When asked whether he would first visit Belgrade or Vucic Pristina, Thaci said that he believed that Vucic would come first, because “Pristina’s heart is more open, more responsible and wants to build good-neighbor relations more”. Thaci invited Vucic to visit Pristina at his leisure. He also stated that he was prepared to come to Belgrade, but “there is no invitation”. A possibility that the case of his responsibility would be among the first cases in Special Court for War Crimes in Kosovo, which was expected by the public in Serbia, Thaci avoided commenting specifically.
Musliu: Serbia cannot advance to Europe while Albanian rights are threatened (Beta)
The President of the Albanian National Council Jonuz Musliu said on July 20 at a meeting with members of the Council of Europe’s Monitoring Commission in Bujanovac that Serbia could not advance toward the EU while the rights of Albanians were threatened. He told Beta that he had informed the members of the commission that dialogue between the political representatives of Albanians and state bodies had been frozen for three years. Musliu said that he had acquainted all the members of a Commission delegation with the problems facing the Albanian community in the Presevo valley – the lack of textbooks in Albanian, the non-recognition of diplomas of the University in Pristina, large-scale unemployment, a lack of investment and the banning of the use of national symbols. “Before Bujanovac the members of the monitoring commission visited Belgrade where they discussed all of these topics with the state bodies, with the prime minister and ministers, but they heard an entirely different story from them, and were able to see an entirely different situation here,” Musliu said. He further said that he had asked members of the commission to just look at the rights that the Serbs have in Kosovo as well as that all Albanians in the Presevo valley should have the same rights in the form of reciprocity.
The members of the commission also met with Bujanovac Mayor Shaip Kamberi.
Representatives of Serbia invited to attend inauguration of President of Iran (Beta/Tanjug/RTS)
Serbian Foreign Minister Ivica Dacic and Ambassador of the Islamic Republic of Iran Hosein Mol Abdolah in talks confirmed the readiness to intensify overall bilateral relations, especially economic cooperation. Abdolahi conveyed congratulations from Iranian Foreign Minister Mohammad Javad Zarif to Dacic for re-election to the post. He also invited representatives of the Republic of Serbia to the inauguration of President Hassan Rouhani on 5 August in Tehran.
In the talks, special attention was paid to strengthening bilateral political dialogue and preparing the forthcoming visit of the Minister of Foreign Affairs of Iran to Serbia.
Petrovic: All Serbia’s policies for Kosovo are party (Blic)
Depending on the circumstances and the current position of the needle on the political compass of the Serbian government concerning Kosovo, Slobodan Petrovic, the founder and leader of the Independent Liberal Party (SLS), is sometimes a patriot and sometimes a traitor. Following the recent elections in Kosovo, where the Serbian government openly supported the Serb List that received nine MP seats out of nine, the only party that independently won the tenth mandate is the one led by Petrovic. His comment of the current political atmosphere in Kosovo concerning Serb politics: “We received nine representatives of the Serbian government and one representative of the Serbs in Kosovo in the Kosovo Assembly. The Serbian government supported the Serb List and the problem is that this was done by the state, and not by some party. Many people lost their jobs after that.”
Why?
“Because they wanted to have their stand at the elections and didn’t accept for anyone to tell them what and how to do. When I hear how Serbian government representatives speak about victory, I ask myself whose victory is it. Whom did they beat? The Serbs? We were never opposed to either the Serbian government or our state and our nation. That would be sick.”
Still, you have been represented that way in the public over the participation in the Kosovo institutions?
“This depends on the situation. For example, we were patriots at the last elections because we took part with those who are now branding us. I am afraid this will be the beginning of a serious crisis inside the Serb community in Kosovo since the political atmosphere among the Serbs in Kosovo has been disturbed after these elections and relations among the political factors are more than bad. The worst thing is that nobody else has done this, we participated in it ourselves.”
What is, in your opinion, the Serbian government policy for Kosovo and how do you see it?
“The biggest problem is that there is no policy towards Kosovo and not only of this government, but of all previous ones. All policies concerning Kosovo are primarily party and lead to narrow party interests. We don’t know what Serbia’s policy is. We have patriotic statements, demagogic slogans, but we don’t have quality activity that would be directed towards the survival of the Serb community.”
What would be the strategic interest of the Serbian state for Kosovo?
“For the Serbs to survive in this region. If we don’t physically survive, then all other battles are lost. It is important for Belgrade to listen to the Serbs here, and not vice versa; to hear that people who live here and who know better what is in their interest than those who heard only something about Kosovo.”
REGIONAL PRESS
Izetbegovic: SDA will continue to resist all divisions of B&H, its institutions, territory and society (Dnevni list)
Bosniak member of the B&H Presidency Bakir Izetbegovic, asked by the daily why citizens of B&H should be optimistic about the future if they know that nothing changes apart from reasons that cause quarrels among political leaders. Izetbegovic replied by saying that reasons that lead to quarrels are in fact insistence on achieving wartime goals, especially by the side led by Republika Srpska (RS) President Milorad Dodik. Izetbegovic noted he is sorry he is sometimes forced to take part in the quarrels that lead to nowhere, arguing that “my silence would encourage and intensify other sides’ campaigns”. In this context he said SDA will continue to resist all divisions of B&H, its institutions, territory and society. Izetbegovic went on to say that B&H is going towards membership in the EU and NATO, as well as achieving better standard of living, arguing that “we are heading that way, but too slow”. Asked whether pre-election campaign for the 2018 elections has already started, Izetbegovic said that a premature campaign has already started “and that is the selfishness of politicians I am talking about”. “Work of governments will be destabilized, projects will be stopped as well as reforms that this country and the citizens desperately need,” added Izetbegovic.
Izetbegovic: Covic acts in line with “all or nothing” principle and in the end he will get “nothing” (Dnevni list)
Bosniak member of the B&H Presidency Bakir Izetbegovic asked if SDA will start new negotiations with HDZ B&H regarding changes to the Law on Elections, replied: “The elections must be held and will be held. Let’s wait and see what the destiny of HDZ’s proposal is. It is almost certain it will not pass in the B&H House of Representatives. SDA will, after that, offer its own proposal, which will implement the decision of the Constitutional Court of B&H in the case Ljubic, respecting the Constitution of Federation of B&H and the 1991 census in the process”. Asked if he can reach an agreement with HDZ B&H leader Dragan Covic regarding election of authorities since Covic is insisting that one people cannot elect representatives of other peoples, Izetbegovic noted that “colleague Covic is too hard a negotiator, that he acts in line with the “all or nothing” principle and that in the end he will get “nothing” as always before”. Asked if local elections will take place in Mostar in 2018, Izetbegovic said Croats and Bosniaks are almost equal in numbers in Mostar, which is why solutions that do not allow domination of any one side must be agreed upon. “Relative winner in the elections cannot rule over everyone. A solution could be in restoring the post of Deputy Mayor of introduction of some sort of protective mechanism during adoption of important decisions, such as disposal over construction plots,” noted Izetbegovic.
RS remains on EU path (Srna)
Republika Srpska (RS) President Milorad Dodik told Genoveva Ruiz Calavera, the director for the Western Balkans at the Directorate-General for European Neighborhood Policy and Enlargement Negotiations of the European Commission, that RS remains on the path to European integration respecting and applying the coordination mechanism and visibility of RS on this path. During the meeting held in Banjaluka, Dodik and Calavera agreed that the issue of signing a Transport Community Treaty and the adoption of the Law on Excise Duties should be solved as soon as possible, announced the Office of RS president. Dodik has said that the basic text of the Transport Community Treaty is not questioned, but that the problem arose because there was no coordination at the level of B&H, adding that the entities were excluded from that particular process. The Law on the Court of B&H was also discussed at the meeting, while Dodik and Calavera agreed that political influence in the B&H courts should be omitted and that the Law on the Court of B&H should guarantee legal certainty. The President of RS has emphasized that he is ready to resolve the issue of the Law on B&H Court, which should not have two-instance competencies but only deal with cases within its competence, while the entity’s judiciary would be fully autonomous.
The meeting was attended by Michael Matuella, the head of the Department for B&H in the EU Enlargement Directorate, Lars-Gunnar Wigemark, the head of the EU Delegation and EU Special Representative to B&H, and Anton Kasipovic, the Minister of Justice of RS.
Dodik: RS government will be deciding about Sarajevo-Belgrade speedway’s part of route in RS (RTRS)
Commenting proposals from the Federation of Bosnia and Herzegovina regarding the future route of Sarajevo-Belgrade speedway, Republika Srpska (RS) President Milorad Dodik stated on Thursday that these proposals represent an attempt of “rehabilitation of Green Transversal.” He added that the RS Government will be deciding about the speedway’s route on territory of the RS. Dodik went on saying that according to plan of the RS authorities, this route will connect Visegrad, Rogatica and Pale, adding that one of its legs will lead to Istocno Sarajevo and Sarajevo and further towards Sokolac and Zvornik. “This is the plan we will not give up on”, explained Dodik. He also underlined that if someone wants to construct this road, they will have to accept decisions of the RS government regarding the route on territory of the RS. Also, RS Prime Minister Zeljka Cvijanovic stressed that it is necessary to have talks about the route of the aforementioned speedway. She added that the route defined by the Transport Strategy of the RS is priority for the RS Government. Cvijanovic said that she does not know if Turkey has any influence regarding selection of the route.
Delegation of Montenegrin parliament pays visit to B&H (FTV)
A parliamentary delegation of Montenegro, led by speaker of Montenegro parliament Ivan Brajovic paid a two-day working visit to B&H on Thursday. Officials of Montenegro met with MPs in B&H, Chairman of B&H Council of Ministers (CoM) Denis Zvizdic and members of B&H Presidency. After meeting MPs in B&H, officials from both countries stated that there are no limits in good cooperation between Montenegro and B&H. Speaker of B&H House of Representatives (HoR) Sefik Dzaferovic expressed discontent with lack of infrastructural and road connection between Montenegro and B&H. Dzaferovic expressed strong support to construction of the road from Sarajevo, over Scepan Polje to Podgorica and construction of railroad from Capljina, over Trebinje to Niksic. Officials of B&H congratulated to Montenegro’s officials on big political success of the country that brings peace and stability for the entire region; i.e. getting NATO membership only 11 years after the country declared its independence. Officials of B&H also congratulated for success of Montenegro on the road to the EU, with opening 28, out of 33 Chapters. Brajovic underlined that the Western Balkan cannot remain outside of the EU and offered assistance of Montenegro on B&H’s path towards the EU.
Mogherini: Southeastern enlargement is EU’s priority (Hina)
EU High Representative Federica Mogherini visited Zagreb on Thursday. She met with top officials of Croatia and among other things the officials discussed the EU integration of South East Europe (SEE). The integration of southeastern European countries into the European Union is an important issue and Croatia is an important factor in this joint European project, EU High Representative for Foreign Affairs and Security Federica Mogherini said during a visit to Zagreb on Thursday. Croatian Prime Minister Andrej Plenkovic and Mogherini agreed that building of a joint European foreign, security and defence policy gives an additional weight to the upgrading of the European Union’s role as a global actor. After meeting Croatian Minister of Foreign and European Affairs Marija Pejcinovic-Buric, Mogherini stated that priority of the EU is enlargements towards SEE. According to Mogherini, Croatia is the key factor on the joint path of the SEE towards the EU. Mogherini also expressed her optimism by saying that dialogue among countries of SEE is more dynamic over the past few months. According to Mogherini, reconciliation and stability are very important for enlargement of the EU. Pejcinovic-Buric stated that Croatian supports the EU path of all countries of SEE, especially B&H, as the two countries share around 1,000 kilometers of border. Besides, she added that Croatian Constitution stipulates a special approach towards B&H.
Slovenia: In order to avoid incidents, Croatia should signal it will implement arbitration decision (Jutarnji list)
Slovenian President Borut Pahor said that the Croatian government should give a “discreet signal” that it was ready to implement the arbitration decision on the border dispute, despite the official position that it will not recognize it and that the decision has no legal effect on Croatia. In that case, unwanted incidents at the border could be avoided. “I think Croatia understands that it is fair to respect the arbitration agreement that it has signed and the verdict which the arbitrators gave, considering that the Slovenian arbitrator and the Foreign Ministry official did not significantly violate the arbitration agreement,” said the Slovenian President. “Croatia will understand, sooner or later, that the international community wants this border dispute to be resolved once and for all and that there is no other solution except respecting the arbitration decision and international law,” added Pahor who, as then Slovenian Prime Minister, signed the arbitration agreement which was a condition for Croatia to enter the European Union. Pahor rejected the opinion of some Slovenian lawyers that the implementation of the verdict should be conducted very cautiously, even if that meant that the decision would not be implemented within six months, as intended by the government led by Prime Minister Miro Cerar. “Slovenia is obliged to mark the land border and apply the border at sea during the next six months,” said Pahor. He added that he was astonished by the opinion of Constitutional Court member Ernest Petric, his former professor at the Faculty of Political Sciences in Ljubljana, that the process of implementation could last for ten years, but that Slovenia should in the meantime make a permanent diplomatic pressure and warn international community about incidents that Croatia is provoking at sea, as he explained in an interview with the Slovenian Television earlier this week. “The incidents can be avoided if Croatia sends an official or discreet message that it is in general, at least in the long run, ready to respect the arbitration decision. Without the consent of Croatia, the implementation of the verdict would be a one-sided step to which Croatia could react with countermeasures,” said the Slovenian President.
Supreme Commander of NATO: VCG achieved all high military standards (CDM)
The Armed Forces of Montenegro (VCG) has achieved high military standards and shown its full readiness to affirm all NATO values aimed at preserving peace and stability, said Curtis M. Scaparrotti, NATO supreme allied commander for Europe. Scaparrotti is staying in an official visit to Montenegro today. He met President Filip Vujanovic in the Gorica Villa. Scaparrotti emphasized the importance of Montenegro’s participation in peacekeeping missions. He is sure that the country will continue fulfilling this important task of NATO as a new alliance member.
Vujanovic said that Montenegro’s full NATO membership sent a clear message that it has the possibility of rapid integration, also showing that it is capable of accelerating European integration. “Montenegro’s membership in NATO is viewed as a contribution to the stability of the region, but also to the value and significance of the NATO alliance,” Vujanovic said and expressed the belief that NATO membership would affirm the overall development opportunities of Montenegro, including the prospect of its economy.
Thanks NATO, 400 Euros for firefighters (RTCG)
The Montenegrin government thanked NATO and partner states for their quick reaction and help, while saying that Montenegro would know how to appreciate it. The government has allocated 400 Euros for all firefighters in the field. “The government expressed special gratitude to the NATO Emergency Response Center for Rapid Response, the European Union Civilian Protection Mechanism, the countries participating in the fire-fighting activities – Ukraine, Switzerland, Bulgaria, Israel, as well as states that expressed their readiness to help in this situation,” Minister Nuhodzic said after the cabinet meeting.
US State Department: Macedonia’s capacity fighting terrorism must be strengthened (Meta)
Due to the military pressure of extremists from the ISIS, in 2016, Europe was targeted by massive terrorist threats, US State Department said in a report on terrorism, adding that threats continue to the present day. In the report on Macedonia it is stated that the Macedonian authorities estimate that ISIS members and supporters are still in the country. The State Department recalls that in 2016 Macedonia carried out three different anti-terrorist actions, one in coordination with the authorities of Albania and Kosovo, which led to the arrest of 23 people in Albania, Kosovo and Macedonia. “In March, the government adopted a national anti-terrorism strategy. It says in the strategy, there is a part committed to protect against violent extremism, but there is no specific national strategy to combat violent extremism and protect it. The government drafted a national anti-terrorism action plan and submitted it for review to the European Commission, in November. However, the action plan lacks implementation markings, financial estimation, as well as mechanisms for supervision and evaluation”, says the report. The State Department says it is necessary to strengthen Macedonia’s capacities for detecting and preventing terrorist acts without international support. The report also states that the country lacks a legal framework to combat money laundering and financing terrorism, as well as the criminalization of financing terrorism, and there are no clear mechanisms for implementation of UN measures. Another problem is that the country’s regulations are too complicated for freezing and confiscating assets from terrorist, which is based on a court verdict. According to the State Department, Macedonia has a seized asset management agency, but it has limited capacity and activities and requires additional training.
NATO sees Macedonia’s commitment to reforms, resolve name dispute (MIA)
NATO Assistant Secretary General for Public Diplomacy Tacan Ildem who pays visit to Macedonia, sees government’s commitment to implement a number of reforms and says that the intense pace of the political process will provide high standards that will bring the country closer to NATO membership. He adds that besides reforms also finding mutually acceptable solution for the name dispute is essential for the country to be invited to join NATO. We continue to support your country on the path to join the Alliance. As for all aspirant countries, it is important to remain focused on the reform agenda and to ensure political stability. All my meetings with Macedonian politicians are a confirmation of the fact that there is political will and I am glad that I know that, said Tacan at Thursday’s joint press conference with the Foreign Minister Nikola Dimitrov. Ambassador Tacan reiterated NATO’s support for Macedonia, expressed at the meeting of Secretary General Jens Stoltenberg with Prime Minister Zoran Zaev. He conveyed NATO’s support and appreciation for the commitment and enthusiasm for reforms shown by the Macedonian government. I encouraged all the interlocutors to keep the intense pace in this political process because it is necessary to provide high standards that will bring your country closer to NATO membership, Tacan said. He said that the regional cooperation is fundamental to resolving open issues with the neighbors. By playing active role in initiatives as the British Charter you are already becoming de facto provider of stability and security. I am glad to see government’s efforts in dealing with difficult issues of the past and to resolve them with seriousness they deserve, Tacan underlined. Answering journalist question in regard to removal of obstacle for Macedonia’s NATO membership, he said that finding mutually acceptable solution to the name dispute is important but also the Warsaw Summit declaration underlines the importance of the reforms. We have standard procedures for completion of NATO accession. The invitation for membership of a candidate country is assessed according to all the criteria that included in the declaration, Tacan said. What we need to see is achieving mutually acceptable solution between the parties involved. What we can see is determination to deal with these difficult issues. We can see the political will for this and the real interest of your government to deal with issues that are not only relevant to your relations with Greece, but with other neighboring countries. It will also bring positive results in a regional context. Therefore, I referred to the importance not only of resolving these bilateral issues, but also of all good initiatives to contribute to regional cooperation, Tacan said. Dimitrov on the other hand underlined that Tacan’s visit to Macedonia after a long period of time is an important step in the process of revival of relations between Macedonia and NATO, return to regular political dialogue and practical cooperation which had significantly dropped in the past years due to the crisis. Dimitrov emphasized that they had constructive talks. They agreed to work together on increasing Macedonia’s visibility to NATO and NATO in Macedonia, to expand cooperation projects in different fields. It is clear that there is a lot of work to be done at home, but also together with NATO to make up for lost time and bring Macedonia back on the path to NATO integration, Dimitrov said. He said that he assured the ambassador that the new government will double its reform efforts and that it’s actively working to eliminate all obstacles or tasks from the NATO summit in Warsaw. In that direction is the implementation of the Membership Action Plan, we are soon completing the 17th cycle and we are starting the 18th, Dimitrov said, adding that the government’s 3-6-9 plan will help in this regard as well.
Government objectives for the first 100 Days (ADN)
Prime Minister Edi Rama has a clear plan with ten points what government will do within its 100 first days. But despite this fact, he asked publicly on Thursday all the Albanian citizens to give their opinions if they agree with it or not. The main objectives of the new government will be the drastic change of the Public Administration, war again cannabis cultivation, public hearings all over the country for the new state budget, food security controls, war against air pollution, national cleaning process all over the country, and a new war against informality.
INTERNATIONAL PRESS
Serbia’s credit risk is lower than the rating agencies suggest (euromoney, by Jeremy Weltman 21 July 2017)
The economy is on the mend and it is high time the raters take notice.
Serbia’s risk score has improved by more than two points on a year-on-year basis in Euromoney’s latest country risk survey, to almost 44 points out of a maximum 100 – as of Q2 2017 – the highest tally since 2010. Climbing eight places in the global risk rankings, five in total from January to June, Serbia is 76th (out of 186 countries), and moving towards the high end of the tier-four sovereigns commensurate with a B- to BB+ rating. That makes it ripe for an upgrade, as presently the country is rated BB-/Ba3 by all three main credit rating agencies. Only S&P has its rating on a positive outlook; the other two are stable.
Economic fairy tale
The story is largely one of an improving economy, with all five of Serbia’s economic risk indicators upgraded by the survey’s experts. GDP growth accelerated from 0.8% in 2015 to 2.8% last year. The IMF is predicting it will rise to 3% in 2017 and 3.5% in 2018, with a similar profile depicted by the European Commission. In its latest country review, the IMF says the fiscal deficit will narrow to 1.1% of GDP this year, its lowest since 2005, and public debt is falling faster than expected. The general government debt burden should fall below 70% of GDP by 2018 according to projections by the European Commission. Unemployment is declining, investment spending is improving and the commercial banks’ non-performing loan book is diminishing. Inflation increased this year, but it is a one-off, and is still within the central bank’s 3% +/- 1.5% target range.
Overcoming the negatives
Of course, there are still numerous problems to resolve. The unemployment rate remains in double digits, and a labour dispute over pay and other workers’ demands at the Fiat Chrysler plant in Kragujevac – which has just been resolved – underlines the risks to exports and the current-account deficit, which remains too high. Serbia’s future is uncertain too. There are divisions among political leaders between cosying up to Russia, on the one hand, or the EU on the other. And then there is a large and inefficient public sector to be reformed, seen as a key issue by Marko Malovic, a professor at the Institute of Economic Sciences Belgrade, who is one of the survey contributors. “There are huge inefficiencies and losses in public– majority or fully state-owned – enterprises,” he says. “They include quasi-fiscal deficits hidden in the books of municipalities and other local self-governance authorities which were excluded from the picture after certain changes in public finance accounting took place a couple of years ago.” Plus, the government has had to endure popular protests from those believing the election of the Serbian Progressive Party leader Aleksandar Vučić as president in April represented a step towards authoritarian governance. Still, with a budget surplus in sight, and an economy improving, Serbia’s credit ratings are beginning to look quite dated. This article was originally published by ECR. To find out more, register for a free trial at Euromoney Country Risk.
Macedonia NATO accession issue may be resolved in 3-4 months (Sputnik, 21 July 2017)
The talks on Macedonia’s NATO accession had accelerated sharply, and were expected to end in three or four months in autumn, Russian agency ‘Sputnik’ reports, citing a European diplomatic source. “The issue of Macedonia choosing a provisional name and its NATO accession may be resolved in three or four months” a European diplomatic source told Sputnik. The source told Sputnik that the talks had accelerated sharply, and were expected to end in three or four months in autumn. The issue of Skopje’s accession to the alliance will be resolved simultaneously. According to the source, the United States expedited the talks.
