Select Committee on European Scrutiny Fifth Report


14 Stabilisation and Association Agreement with Bosnia and Herzegovina

(25097)

15242/03

COM(03) 692

Commission Report on preparedness of Bosnia and Herzegovina to negotiate a Stabilisation and Association Agreement with the European Union

Legal base
Document originated18 November 2003
Deposited in Parliament28 November 2003
DepartmentForeign and Commonwealth Office
Basis of considerationEM of 11 December 2003
Previous Committee ReportNone
Discussed in Council9 December 2003
Committee's assessmentPolitically important
Committee's decisionCleared

Background

14.1 The Commission has produced this Feasibility Study on the preparedness of Bosnia and Herzegovina (BiH) to open negotiations for a Stabilisation and Association Agreement (SAA) as part of the EU's Stabilisation and Association Process (SAp) for the Western Balkans. Feasibility reports were introduced as a prelude to the negotiation of an actual SAA for countries with limited administrative capacity and where widespread reform was necessary for EU integration to become a reality.

The Commission report

14.2 This Feasibility Study was based on a six-month dialogue between the European Commission and Bosnia and has helped the Bosnian authorities to better understand the requirements, far-reaching and often deeply technical, of EU integration.

14.3 The report finds that Bosnia has made considerable progress since the conflicts of the 1990s were brought to an end. It is a member of the Council of Europe, has established normal relations with its neighbours and is a strong supporter of regional cooperation. Many refugees have returned and most property claims have been settled. Democratic elections have been held and the infrastructure has been largely restored. The currency is stable, inflation is low and steps have been taken to strengthen the judiciary. However, the country is still in the process of establishing a self-sustaining state and many fundamental reforms are still required. Bosnia has not yet assumed full responsibility for government.

14.4 The report identifies the key reform priorities for 2004, including full cooperation with the International Criminal Tribunal for former Yugoslavia (ICTY) by some of the BiH's governmental institutions, particularly those in Republika Srpska, more effective public administration, a stronger fight against organised crime and a stronger judiciary, a genuine internal economic space, budgetary, customs and taxation reform, and reform of public broadcasting. According to the report, BiH is also engaged in a number of other crucial reforms essential to the stabilisation of peace under the Dayton-Paris Peace Accords. These include reforms to the defence and intelligence services and the administration of the city of Mostar. These reforms will have a fundamental bearing on Bosnia's ability to function as a modem, democratic state and as a potential candidate for membership of the EU.

14.5 Bosnia should be able to address all these priorities in the course of 2004, provided further sustained efforts are made, if not stepped up. As soon as the Commission has ascertained that significant progress has been made, it will decide on a recommendation for a Council Decision to open negotiations for an SAA. It hopes that this will be possible in the latter part of 2004, but the timing will depend on the Bosnian authorities' own efforts. The Secretary of State for International Development (Mr Hilary Benn) comments that the Government understands that the Commission's SAp report in spring 2005 is a more likely scenario. If progress is insufficient, the Commission will recommend further reform rather than the opening of negotiations

14.6 In order to galvanise reform, the Commission will hold regular meetings of the EU-Bosnia Consultative Task Force to supplement its regular annual SAA progress reports, the European Partnership to be published in spring 2004, and the Community Assistance for Reconstruction, Development and Stability (CARDS) financial assistance programme for strengthening key public institutions.

The Government's view

14.7 The Minister (Mr Denis MacShane) says that the UK welcomes the Feasibility Study. It represents a real opportunity for Bosnia as the Commission has made clear what more needs to be done if negotiations are to open on a Stabilisation and Association Agreement. He says:

"The pace of progress is now in Bosnia's hands. We are encouraging Bosnia to grasp this opportunity and redouble reform efforts, in particular [by] improving co-operation with ICTY —where Republika Srpska's record is still poor."

Conclusion

14.8 This Feasibility Study provides a useful insight into what Bosnia and Herzegovina has to do before it is in a position to enter into negotiations on a Stabilisation and Association Agreement with the EU. The Commission, as so often in its reports, urges greater efforts, whilst expressing optimism at the speed at which progress might be made. We note that the Government believes it more likely that the Commission will report again to the Council in spring 2005, rather than in late 2004, as suggested in this report.

14.9 We now clear the document.


 
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Prepared 29 January 2004