UNCORRECTED TRANSCRIPT OF ORAL EVIDENCE To be published as HC 1121-iii

House of COMMONS

MINUTES OF EVIDENCE

TAKEN BEFORE

FOREIGN AFFAIRS COMMITTEE

 

 

Western Balkans

 

 

Tuesday 26 October 2004

DR OTHON ANASTASAKIS and DR NICHOLAS WHYTE

MR MISHA GLENNY

Evidence heard in Public Questions 99 - -164

 

 

USE OF THE TRANSCRIPT

1. This is a corrected transcript of evidence taken in public and reported to the House. The transcript has been placed on the internet on the authority of the Committee, and copies have been made available by the Vote Office for the use of Members and others.

 

2. The transcript is an approved formal record of these proceedings. It will be printed in due course.

 


Oral Evidence

Taken before the Foreign Affairs Committee

on Tuesday 26 October 2004

Members present

Donald Anderson, in the Chair

Mr David Chidgey

Mr Eric Illsley

Mr Andrew Mackay

Andrew Mackinlay

Mr John Maples

Mr Bill Olner

Mr Greg Pope

Ms Gisela Stuart

________________

Memorandum submitted by Dr Othon Anastasakis

 

Examination of Witnesses

Witnesses: Dr Orthon Anastasakis, Director, South East European Studies Programme, Head, South East Europe Programme, SSt Antony's College, University of Oxford, and Dr Nicholas Whyte, Head, Europe Programme, International Crisis Group, examined.

Q99 Chairman: The Committee is continuing its inquiry into the Western Balkans. Today, for the first group of witnesses, we have Dr Orthon Anastasakis, Head of the South East Europe Programme at St Antony's College, Oxford. We also have Mr Nicholas Whyte, who is Head of the Europe Programme in the International Crisis Group. Dr Whyte, we do draw frequently on the work of your group and find it very relevant indeed in a wide range of areas. Gentlemen, just to give a general setting of the scene, it would be helpful if both of you were to comment on the strategic significance of the Western Balkans, both in itself and as a source of international contention. It is a relatively small group of countries, containable. How would you put it its strategic significance?

Dr Whyte: The two important factors about the Western Balkans both stem from the geography of the region. First, it is across a main transport route by land from Western Europe to the Middle East, and that is something we cannot get away from. All of the main roads, the famous Corridor X, of the pan-European corridors go through Belgrade, either south to Thessaloniki or south and east to Istanbul. That is just a plain fact of where it happens to be. The second point from the more political side is that the Western Balkans are right inside the enlarged European Union, once Bulgaria and Romania join, as they are programmed to do in 2007. Then you have an island of territory completely surrounded by EU Member States with which the EU is going to have to come to significant terms sooner rather than later, whose stability is crucial. It now becomes an internal rather than external issue for the European Union.

Dr Anastasakis: Thank you for inviting me here. I intend to make the most of the experience in discussion with you. I am also very glad that you are so interested in the Western Balkan region because, as it happens right now, international attention, especially EU attention, is diverting towards Bulgaria and Romania where there is a commitment for 2007. There is also a lot of discussion about Turkey now which is dominating the picture. There is a risk that the Western Balkans, which is becoming smaller and smaller as we see now it is minus Croatia, will become an island of instability. I would agree with Nicholas Whyte on his presentation of this as an island of stability. I think it is of great strategic significance to the European Union because, as we know from the 1990s, whatever happens in the region affects directly or indirectly the rest of Europe. In that sense, the EU has to learn some of the examples of the 1990s and its own failures and try to incorporate the region. I am happy that you are putting forward the question on the Western Balkans today and that you are showing there is an increasing interest in this region.

Q100 Chairman: Gentlemen, in all the key hotspots of this small but significant area both the United States and the European Union are involved. We see it particularly dramatically when EUForOR will take over in Bosnia in a couple of months' time. What differences of strategic perception are there, in your judgment, between the United States and Europe in this area?

Dr Whyte: It is very simple. None of these countries in the Western Balkans is likely to become the 51st through 55th state of the United States - -it is going to stay pretty much where it is at 50 - -whereas the European Union has actually made the promise of future membership to every single one of the territories in the Western Balkans. From that point of view, the quality of engagement is very different. For the United States, it can only ever be a security issue with a certain nod towards economic stabilisation, but that too is in the security context. For the European Union it is much more than a security issue. This is a question of ensuring the economic stability as well as the military stability of a territory that actually borders on the EU itself.

Q101 Chairman: Given the long-term implications for Europe of stability or instability in that area, and perhaps the other pressures on the United States in terms of over-stretch, do you see, over time, the commitment of the US to the area diminishing and that of the European Union increasing?

Dr Anastasakis: I think we are already seeing that. There has been a decreasing commitment since the beginning of this new century. WeIf should also consider that during the 1990s there was very reluctant involvement by the United States, due to the inability of the European Union basically to deal with this kind of security question. We realise now that this is going to be a big issue for the European Union. ItThe EU has to prove that it is able to bring about stability and security in that area and also economic prosperity. In that sense, I think this is the big gamble for the European Union. It has to prove to itself and to the region that it has commitment and that it can also stabilise the situation. As I write in the paper memorandum which I distributed yesterday, I think that the EU is the only game in town for them and in that sense it is particularly important.

Q102 Chairman: But it is not the only game in town because the US is there and the US has a substantial commitment of troops. We are told, for example, that the US has far great clout in a key area like Kosovo. To what extent is it imperative for us as Europeans that the US commitment is maintained to that area and at what level?

Dr Anastasakis: To follow up, I think it is important that those two co-operate as smoothly as possible in that region, and I think they have done so. In the Western Balkan area, the way the United States and the EU have worked together has proved that they can do it without any major problems. The region is very significant for the United States in terms of terrorism and also as a transit route for illegalterrorist traffic and organised crime. In that sense, I think it is of strategic significance for the United States, and it will continue to be, but there is commitment on the part of the United States elsewhere in other parts of the globe. In that sense, it is decreasing, and the fact that the EU is now becoming the major force in terms of a police mission and military mission, that proves it has to take the upper hand in that.

Q103 Chairman: And why we should beware of the precipitated US withdrawal from the area?

Dr Whyte: As Dr Anastasakis Othon has already said, we are seeing that to a certain extent; but we will never see it happen completely. At one point the catch phrase of the trans-Atlanticists in this debate was "In together, out together". There is no out for the European Union in the Western Balkans. There potentially is for the United States, at least in military terms. However, it is impossible to see the United States as a permanent member of the UN Security Council, as a member of the Six Nation Contact Group, disengage completely. The United States will remain politically engaged, I think, whatever happens on 2 November. Certainly it will remain sufficiently politically engaged to be playing the key role in the resolution of the Kosovo final status, which is going to be the big question that comes up in the next 12 months.

Q104 Chairman: As we have seen in Bosnia, are we likely to see the US increasingly seeking to disengage?

Dr Whyte: Absolutely, and that is my understanding from conversations in Washington, that the Pentagon basically has other priorities at the moment. We can see that by watching the news. There is no great desire in the United States to keep troops in the Balkans any longer than they feel is necessary. Who defines what is "necessary" is a different question.

Q105 Mr Illsley: Following along that at theme, you mentioned that the European Union surrounds the Western Balkans. We are looking at Bulgaria and Romania in terms of accession countries. The European Union throughout the Nineties did not exactly give a united front towards the Western Balkans. What can be done to re-engage the European Union in this and take a more immediate and more urgent view of the area?

Dr Whyte: The first thing that happened was the very failure of the EU in the 1990s caused a great deal of sober reflection among heads of government. It is often said that Slobodan Milosevic did more to build the European common foreign security policy than any other individual because he demonstrated the failures of the previous system. We do now have things we did not have in the EU. We do now have Javier Solana. We have a whole set of structures within the European Council Secretariat which simply did not exist before. Now the EU can actually put several thousand troops on the ground in Bosnia. That was unthinkable even two years ago, let alone ten. Things have progressed in the last ten years.

Dr Anastasakis: I agree that there has been, in the last four years, an increasing and growing engagement and commitment on the part of the European Union, but there is also a difficulty in that disengagement has to be successful in the end, not just engagement and a growing one; it has to be effective and successful. This is a real test area for the European Union because it is engaged in many ways in the Western Balkan region. It is engaged in military terms. It is engaged in reconstruction efforts, in co-operation and reconciliation efforts, and also in transition. This is the major difference with central and eastern European countries, and this is also the major innovation for the European Union that it has to deal in multiple ways in that particular part of Europe.

Q106 Mr Illsley: Is the Stability and Association process model working effectively within the Balkans? Does that need to be altered? Does it need to be bolstered? Is there anything the British Government could do to try and encourage our European Union partners to improve the SAp process?

Dr Whyte: The SAp process works well where you have well-functioning states on the other end to work with, and that clearly applies to Croatia, and I would argue that most of the time it applies to Macedonia as well. It has run into real problems in Albania, due really to the failure and unwillingness of the Albanian Government to undertake the necessary reforms. I think it has clearly had a beneficial effect in Bosnia along with all the rest of the international efforts. It has certainly increased the credibility of the Bosnian state. But I think it has shown almost no tangible results in the case of Serbia, Montenegro and Kosovo because that state is not really a state, it is three different states, which happen to be bunched together internationally, and the SAp has almost had a negative effect rather than a positive effect over the last three or four years there.

Dr Anastasakis: To continue, and I agree with it, the EU has been used to dealing with the central authorities. In that way, that particular area of Serbia, Kosovo and Montenegro is a new territory for it because of the unclear borders and the non legitimate authorities basically. The SAp process has been a good step in the right direction. It is just that the priorities have to be adjusted to the specificities and the needs of the particular countries. I think that has been acknowledged by the EU, especially lately, and they are trying to be as specific as possible, focusing on the particularities of each country. There is the wider discussion about how technical the understanding of the EU is and how technical it should be because there are other developmental needs for instance in the region that are not adequately addressed by the European Union through the Stabilisation Association process in particular.

Dr Whyte: Could I add two points? You asked for improvements that could be made and the two that I would suggest are, first of all, that the process needs to include a better perspective for economic development. At the moment, it is aimed very much towards institution‑building. It is all very well to have a well-functioning parliament built in Sarajevo but it still takes three hours to drive there from anywhere else. If that corridor Vc were to be improved, then Bosnia would be opened up much better to the world. The second thing, and I think this may be a bit more controversial, is the question of the visa policy. The mean spiritedness of Western Europe in its approach to the Western Balkans is exemplified best by the restrictive visa policy that exists. The current policy empowers people-traffickers and penalises honest travellers. If we want to send a real signal to these people that they are considered as Europeans, we have to allow them to travel here.

Q107 Mr Illsley: Is there anything in the idea that maybe some countries within the region are looking at European Union accession and the SAp process as the be- all and end- all and that they are representing to their own countries that they have done enough because they have got within that process?

Dr Whyte: You would have to bracket that also with NATO accession, which, as we know, on the ground is of less dramatic effect but symbolically is of equally dramatic effect. Certainly, in terms of national goals, I think one could do worse than have that.

Q108 Chairman: On that, would it be fair to say that although all the countries want to join the Euro-Atlantic structures, NATO would just be seen by them as a first step on the route?

Dr Anastasakis: I think we do tend to put those two together but they are very different. The aim of NATO is different from the aim of the EU. NATO is a security organisation and in that respect it is much easier for NATO to commit and to engage those countries within its own ranks. For the EU it is a much more complex organisation and it has its economic dimension and also it has a growing political dimension as well. In that respect, the process which brings those countries closer together is much more complicated. I think there is a differentiation between the two and how easily the countries can become members of the organisations.

Q109 Mr Olner: On the EU accession point, and I can understand all the choreography of the dance to join the EU, I just wonder whether we are going to be faced with the same difficulty that we have with Cyprus joining the EU where there was a promise of an amalgamation and a joining and the reality, at the end of the day, is that they are not joining now. I would hope that the EU is not going to face the same problem in the Western Balkans.

Dr Anastasakis: This is a very interesting comparison. I have been thinking a lot about Cyprus lately and why the EU, in the end, has not been so effective or maybe it has been effective in some ways that we do not see and we might see in the future in that it is now gradually engaging with the north of the island. That seems to be an unavoidable pathway for the north to be integrated into the EU. Maybe there are differences because the EU did make mistakes with Cyprus in that it never held out any stick to Cyprus. It only gave the carrot of membership without usdoing its conditionality. It also left the Turkish Cypriots completely outside the processgame. In that respect, there was a different kind of situation there when we compare it with the Balkans where all the different parts are really engaged in the process, but in a different ways.

Q110 Mr Pope: I certainly agree with that analysis on Cyprus where the Committee is going in a couple of weeks. I wanted to ask, though, about the European Union's reconstruction and development funds. The EU has allocated over €4 billion to 2006. It struck me that that did not seem a great deal of money, given the scale of the problem. If economic stability and political stability go hand-in-hand, it seems to me that there is at least a case to be made for saying that the EU is trying to do this on the cheap and that it should allocate some more money. I wonder what your view is?

Dr Whyte: I would agree with that in terms of development. As I said earlier, I think there is a lack of an economic development aspect to the SAp, indeed to the EU's whole approach to the region. On reconstruction, on the other hand, I would give the EU quite good marks for the last few years. The European Agency for Reconstruction has been a good model of how to do it - -a decentralised agency accountable to Brussels eventually but set up very much based in the region. I think it has a very good rate of disbursement of funds. If you look at €4 billion as a reconstruction budget, that is probably about right, considering the absorptive capacity of the region, but, on development, you are quite right.

Dr Anastasakis: I agree with you that there should be more money but there is one qualification: what do you do with this money? There can be too much money. I come from a country, Greece namely, where there was too much money coming from the European Union and basically we did not know how to spend it. The issue about absorptive capacity is very significant in the Western Balkan countries. There definitely has to be money directed towards developmental aims but there is one problem, I understand, from the regional side in that where the money can be spent on projects is always decided by the European Union. There is very little consultation with local actors, those really involved in that business.

Q111 Andrew Mackinlay: You mentioned the meanness of the European Union states with regard to the visa regime. Are you saying there should be a relaxation in the visas, and perhaps not a visa required, or are you saying there should be full mobility of labour extended to this region by the European Union before they come in?

Dr Whyte: I think you could certainly look at the latter alternative. I would be very surprised if the costs outweighed the benefits. If that is considered too radical a move, as I suppose it probably would be, let us consider what the consequences of the current policies are. Currently, Croatia and Bulgaria both actually enjoy visa-free access to the EU. It is very easy for most Bosnian citizens also to get Croatian citizenship; this undermines Bosnian statehood. It is very easy for Macedonian citizens to get Bulgarian citizenship; this undermines Macedonian statehood. The existing policy is actually making things worse.

Q112 Andrew Mackinlay: As we know from experience, despite what the newspapers have said, the whole of central Europe did not move here on 2 May, did they?

Dr Whyte: Certainly I did not see them coming.

Q113 Mr Mackay: Can I move you on to the International Tribunal? We note and are perhaps slightly puzzled that the European Union and NATO seem to set slightly different standards in respect of the various Western Balkan states complying with the Tribunal. Would you like to comment on that and, in commenting, which end of the scale should we be on: the rather more relaxed view that the EU seems to take or the more stringent NATO view probably backed by American pressure?

Dr Whyte: It is perhaps not fair to characterise it in precisely that way. First, I would say the view that should be taken is the hard line that is taken by the British Government inside both organisations, inside both NATO and the EU, and that tough line consisting of full compliance with the internationally mandated tribunal is the right one to take. What the EU has done is to promise a feasibility study on whether or not further integration is possible with the EU to Serbia and Montenegro. It seems, on present form, that that feasibility study will be negative because there is no co-operation from Serbia with the War Crimes Tribunal, apart from cosmetic things like the arrest of somebody from Srebrenica who nobody much had heard of. That simply is cosmetic. Until that happens, ultimately the answer from both is gong to be the same. Of course NATO's cut-off point comes a little bit sooner because of Partnership for Peace specifically dealing with the army of Serbia and Montenegro, and you cannot have a situation where you have indicted war criminals participating in joint exercises with NATO troops. Obviously, the wall has been hit a little bit sooner in that case but I think it is in the same place in both cases.

Dr Anastasakis: I agree, and I think everybody agrees, that there has to be a hard line. One also has to be careful, especially in the case of Serbia because the people there really feel that they are discriminated against on that particular aspect, that there is a lot of punishment addressed to them, that everything revolves around that, and that their sensitivities are not taken so much into account. As far as linking feasibility studies is concerned, which and that is a technical process leading towards the start of the Stabilisation Association process, with whether they are sending a war crime criminal to tThe Hague or not does not tell us much about how able they are to adopt and implement standards. There is this kind of discrepancy. It is, of course, part of the political conditionality but there are other conditions that have to be looked as well here.

Q114 Mr Mackay: Are they high profile alleged war criminals, and obviously there are Karadzic and Mladic? Are they just symbols and are they very important or should it run deeper? Presumably, Mr Whyte, when you are trying somebody fairly obscure, and this is Beara who was picked up recently, and this is a question for both of you: is this all just symbolic - -let us get one or two big fish, and then all will be well - -or should it run much deeper? What is realistic and practical?

Dr Whyte: This is a part of the world where nothing is just symbolic, where symbols are of extreme importance, and there is an operational security issue as well in that as long as Karadzic and Mladic continue to be at liberty, then we cannot say that the security mission in Bosnia has been completed. That is an operational question but the symbolism is very important as well, the symbolism of coming to terms with what was done in the name of the Serbian people during the entire period of the 1990s. Does it matter? Yes, I think it does. Whether or not you then repatriate some of the war crimes trials to Serbia or not, that is a decision that is up to the Tribunal and it is fairly clear that the Tribunal will increasingly want to repatriate trials to Croatia, to Serbia and to Bosnia, but it must go through them first. I do not think there should be a short-cut to that.

Dr Anastasakis: I think that apart from the issue of punishment, which is a fair thing to do, if done in the right way, - and what I am saying is very vague - the Serbian people have to come to terms with their own past and in fact during the 1990s many of them were really unaware of what was going on outside their own country. I think that process of bringing those people to justice will also help them in some ways to come to terms with the past and acknowledge mistakes.

Q115 Mr Mackay: Finally, the repatriation of some of these trials is clearly, at least in theory, a good idea because The Haguethe Hague is a very long way away and we have seen elsewhere in the world that it is often better to have such trials on site, so to speak. It seems to me that there might be very real difficulties about intimidating witnesses and putting pressure on witnesses actually in Serbia or Kosovo, Bosnia as well, that there would not be at The Haguethe Hague. Can that be overcome? There is a balance I am trying to weigh, is there not, between keeping it local, which I am in favour of, and not pressurising and intimidating witnesses, which obviously I am against, and how should the balance sway?

Dr Whyte: This of course is why the Tribunal was set up in The Haguethe Hague in the first place because it was feared that local judicial structures were not up to it. I think it is a developing process and it should be the Tribunal's call as to whether or not local conditions have matured to the point where repatriation of such trials is possible.

Q116 Chairman: Gentlemen, I am turning to Kosovo. We now have the result of the elections of last Saturday. It is very difficult to put any positive gloss or spin on them. So far as the Serbs are concerned, there was a massive boycott of those elections. Of the 108,000 possible Serb electors, both in Kosovo itself and the refugees in Serbia proper, only just over 500 actually voted. That seemed to be a response of the Serb community, as it were, denying the legitimacy of the institutions which are currently in Kosovo, and I suppose also responding to the appeal of Premier Kostunica, ignoring the appeal of the more moderate President, and really casting a question mark over the effectiveness of the work of the United Nations over the past four years or so in putting a massive block on any move towards a multi-ethnic community, which is the declared aim. Can you give me any glimmer of hope which arises from the elections last Saturday?

Dr Anastasakis: I think tThe only glimmer of hope, because I do share your pessimism, is that they were done in a peaceful way; there were not any conflicts or riots, or worse than that. I do agree with you that that shows us how much Serbia proper is divided on the issue when differentthere are those main political factions adviseing on different directions. I would also add to what you have said the fact that there was a very low turnout from the Kosovo Albanian community as well.

Q117 Chairman: It was 53 per cent of the total, which is not disastrous in Western European terms. We only had 59 per cent in our last general election in the UK.

Dr Anastasakis: If you look at it that way, it is just over 50 per cent. What I meant to say by that is that the legitimacy of those electors in the eyes of the Albanian community is something that has to be looked at, and not just the Kosovo people; this kind of political apathy is a general trend in the Western Balkans in general. There are regular elections everywhere, more elections than anyone can imagine basically, but people fail to go because they are not interested and there is a certain point of political apathy in that process.

Q118 Chairman: Mr Whyte, does it signal a failure of the UN effort over the past four years, in spite of all the expenditure of money and a disastrous blow to prospects of a multiethnic community?

Dr Whyte: You asked for a glimmer of hope, Mr Chairman. I think I would like to depress you still further just for a moment. I would say within the Albanian community, look at what happened to the one Albanian politician who had started from a very hard line position and had consistently tried to moderate his line, particularly by making overtures towards the Serb community. Hashim Thaçi, the leader of the PDK[1], saw some of his vote fragmenting off to the new party led by Veton Surroi; he saw other parts of his vote splintering off to the more hard line political realities of President Rugova. The Kosovo Albanian results were in fact even more depressing than you have portrayed them.

My glimmer of hope is that I think this clarifies the issue. We have got two very hard line positions. Yes, the UN was unable, through five years of enlightened government, to persuade passions to cool and more moderate alternatives to emerge, but anybody who believed that was going to be the case in 1999 was engaging in very wishful thinking indeed, given the history of the region, and indeed given the history of UN interventions.

If the UN was supposed to deliver liberal politicians in Kosovo, it obviously failed, but I do not think it was ever going to achieve that. I would say that we have now got a situation where the Kosovo Alabanmians have supported a very firm and robust line on independence and where the Kosovo Serbs have clearly placed their faith in Belgrade rather than in their local representatives. That is simply the situation we must deal with. It is going to require serious and sustained engagement by the international community to bring about a settlement. They cannot just get on with it on their own.

Q119 Chairman: The policy of Belgrade is clear, that there was the vote in July in the Serbian Parliament in favour of this so-called decentralisation proposal, rather Bantustan like, of having a list or group of dots on the map grouping together the various Serb communities on an ethnic basis. Is this the end of the attempt to form a multiethnic society?

Dr Anastasakis: Relating to what you are asking and on the previous comment, I was just wondering to what extent the involvement of the international community is really geared toward creating multiethnic, multicultural societies. This is a question that can be discussed both politically and practically.

Q120 Chairman: It is the declared aim.

Dr Anastasakis: It seems to me that the way things are going is not creating a multicultural or multiethnic society but rather trying to divide them. I definitely think, particularly in Kosovo, it had to do with the fact that the international community was not able to deal effectively with the creation of this kind of multiethnic society and it also turned the Kosovo population against it. That was a very different development. In the end, people turned against the international community.

Q121 Chairman: Should the result of the election lead to a fundamental re-think by the international community? Is the plan put forward by the Secretary- General of the UN Special Representative, Ambassador Kai Eide, now no longer relevant in the light of these elections?

Dr Whyte: No, I think it is even more relevant. I think Ambassador Eide identified very skilfully a number of key problems facing Kosovo at the moment. The fact is that while the final status question remains unresolved, all the other issues are going to be held hostage to that, including particularly the issue of interethnic relations. Basically, any concession to Serbs as citizens of Kosovo is seen by Albanians as a concession against their own future independence and vice versa as well. At the moment it is purely a zero sum game. Until you have a credible process that is going to resolve the final status of Kosovo, you cannot expect ethnic tensions to become calmer.

Q122 Chairman: The Serbs are just not going to participate in such a process?

Dr Whyte: Which Serbs?

Q123 Chairman: Only 500 odd people of the total Serb community bothered to vote. Even with possibly some intimidation, that does suggest a massive lack of legitimacy of the institutions in the eyes of the local Serbs?

Dr Whyte: That is absolutely right but it means, as I read it, that local Serbs have effectively given the mandate to Belgrade to negotiate on their behalf rather than to their own locally‑elected officials. That is how I see it. The Serbs will be involved but it will be Belgrade rather than the local representative.

Dr Anastasakis: What seems clear is that Belgrade is guiding the whole game here. As far as discussions on the status are concerned, as you pointed out, the only unhappy thing is that the policy of standards before status is basically a failure because there is going to be a discussion on status without having made any progress on standards basically. In that respect, I find this even more pessimistic than anything else.

Q124 Chairman: Before turning to Mr Illsley and Bosnia, a few questions in respect of Macedonia: I concede that because the result of the referendum is not now known, it is very difficult to speculate, but how significant do you believe is the referendum and the prospect of a "yes" vote, which some claim would undermine the Ohrid framework agreement?

Dr Whyte: First of all, one lesson that comes out of this is that when you are writing peace agreements, look out for loopholes that can be exploited by other people, and that is what has happened in this case. It was not foreseen that a referendum could actually overrun minority guarantees that were inserted into the Ohrid peace agreements, but that nonetheless is what happened.

Yes, the referendum is very significant. It is effectively a poll on one part of the peace agreement rather than the entire package, and this of course is very dangerous. If it is passed, at the very best it will mean a delay of at least a year in implementing the reform of local government, which was a key part of the peace agreement. That is the best possible result, without which further progress into EU and NATO integration for Macedonia is not possible. It will also, of course, result in a certain increase of internal tensions within Macedonia. That goes without saying, whatever the result of the referendum.

Q125 Chairman: How significant is it?

Dr Anastasakis: One aspect is that there will be a lot of internal tension, which is something which can go to unpredictable levels. The second is that EU integration will also be delayed. FYR Macedonia in particular is an interesting case in that it would act as a model for the other countries where you do have two different ethnic communities and there is an overall consensus as far as the EU goal is concerned. In that respect, I think especially the Macedonian case would be particularly critical to what happens with other divided societies as in the Western Balkans.

Q126 Chairman: The US Ambassador in Skopje has warned, and perhaps an interesting intervention in the domestic affairs of Macedonia, that if there were to be a "yes" vote, that would put back the prospects of Macedonia joining NATO beyond the next possible opening of the door in 2007, possibly for many more years. Is that a message which, in your judgment, is getting through to the electorate in Macedonia?

Dr Whyte: As far as I can tell, yes. There is still another two weeks to go in this campaign but it is very interesting to follow the comments in the Macedonian press. The Ambassador's statement I think is absolutely unchallengeable. If Macedonia has to wait another year, then they basically miss the window that is currently opening for them, Albania and Croatia to join NATO.

Q127 Chairman: In 2007?

Dr Whyte: Precisely, and if they are not ready to join by the middle of next year, which they will not be if the referendum passes, then they do miss that opportunity. It is a straight statement of fact.

Dr Anastasakis: I would say yes in principle, but in reality I would look differently at this and to what extent a factor such as NATO or the EU can be a gear, not just for people voting in a certain direction but also for reform. I think this is much more complicated, especially when one is inside this kind of society which is going through unemployment and poverty. Those issues are really important to the people. NATO and the EU are there as a long-term goal, and that means prosperity and strength and all that for them, but I think when people are in a referendum frame of kind, that kind of blackmail can have an adverse effect. If you blackmail them and say "you are not going to get into the EU or into NATO", that can have the opposite effect, as the case of Cyprus teaches us.

Chairman: I think President Mitterrand said the French always answer the wrong question in a referendum. That may be the same.

Q128 Mr Illsley: I have a couple of questions relating to Bosnia and the hand-over from the NATO stabilisation force to the European Union force in December. There is a suggestion that because of the situation in 1992-95 the Bosnian perception is that the European Union will not act militarily or does not wish to act militarily. What implications does that have for the hand-over in December?

Dr Whyte: The clear implication is that there will be a trial of strength at quite an early date, I would anticipate. Of course, things are very different in Bosnia now from ten years ago. This is no longer a country at war. This is a country that has at least a sullen peace for the last nine years. On the other hand, if the EU does come into it, despite the improvements that we have both referred to earlier, with this very unfortunate legacy of failure, we can expect that people will be putting it to the test, so it has to be ready to face those tests and to pass them.

Q129 Mr Illsley: What exactly does it have to do to face them?

Dr Whyte: What form it takes we cannot precisely predict right now but I would have thought that there will certainly be challenges to the EU military authority of some kind, whether that is through rioting - -rioting is a strong term - -or through some other form, we cannot quite tell yet.

Dr Anastasakis: WI think when the EU takes over militarily it has to do that with a different frame of mind this time because it is not an immediate post-war situation; the security threats are different now from what they were in the 1990s. It is not just about the ethnic conflict and trying to keep those communities apart so that they do not slaughter each other; there are also issues of organised crime. There are issues of security but the agenda is much wider and I think that the EU will have to adjust to this new type of environment. The other thing that I would also suggest is that it is not just for the EU to prove that it can act militarily in a similarly satisfactory way as the United States or to prove to itself that it can do the job; it also has to know what the situation is on the ground basically and be able to help and act in synergy with other organisations involved in Bosnia and Herzegovina.

Dr Whyte: Can I raise a slight technical point on this? I do not know whether this committee has considered this in the past but the EU force will not just be an EU force; it will include at least I think 11 other countries that I have seen listed as likely participants. I am a bit concerned about the lines of command and control in this case when you have Moroccan or Canadian or Turkish soldiers under EU command in an operation that is run by the Political and Security Committee in Brussels on which there are no Canadian, Moroccan or Turkish representatives, but there are indeed representatives of Denmark and Luxembourg, two countries which will not be participating. I think there is an issue of accountability there which I hope does not become a political crisis point but I can see that is a possibility.

Q130 Mr Illsley: Are there likely to be difficulties within the EU as well between EU members and is there any likelihood - -and this all depends on how smooth the transition is - -of any conflict between NATO and the EU in terms of the hand-over?

Dr Whyte: I think people are bending over backwards to try and prevent any such conflict, and this is why the two main military officers in charge of it are British. This is clearly an attempt to finesse the differences between the EU and NATO. There were problems in Macedonia when a similar situation was applied, with a much smaller force, specifically to do with what exactly the role of the NATO AFSOUTH[2] in Naples was to be within the command structure. I understand that they are working on that as we speak in Brussels to make sure it does not happen again. There will always be unforeseen problems.

Q131 Mr Illsley: Given that the two forces are likely to have different mandates, would that make it easier for EUForOR? Does the fact that the European Union has development assistance as well as a military force, the carrot and the stick approach, make it any easier for EUForOR or does it not have that effect?

Dr Whyte: Yes, provided that there is joined-up thinking, and I think the prospects for joined-up thinking are fairly good in this particular case. As a general point, I think it is a bit unfortunate to separate civilian and military lines of command, as has been done in the Bosnian case. In general for any intervention, I would have thought it would make more sense to have parallel and converging lienes of command in a particular country.

Q132 Chairman: Before Ms Stuart, Dr Anastasakis, you made the point that we are in a very different security environment now than we were four years or so ago. Is it therefore important that the European Union is able to bring together a whole wider range of instruments to bear on the problem in Bosnia and Herzegovina? Is it appropriate therefore, in terms of its possibilities of the instruments, that the EU is there now rather than with a narrower focus of NATO?

Dr Anastasakis: Yes, and the EU is involved in a broader way in Bosnia and Herzegovina through its feasibility report and on all the particular points it has been advising the government to work on. Of course, the problem with Bosnia is that because of its protectorate situation, it is difficult to expect the government to act in a very active and passionate way on the demands by the European Union. I think it is high time for the EU to act in a much more broad way and deal not just with reconstruction or reconciliation, because I would say that has evolved in quite a satisfactory way, but also with development issues, which are particularly acute in that part of the Western Balkans.

Dr Whyte: One specific security issue that we are facing in Bosnia in the next few months is the question of police reform. You may be aware that Lord Ashdown has set up a special commission to look at this. I would not be surprised, in fact I would welcome it, if his recommendation turns out to be a kind of nationalising of the Bosnian Police, removing security responsibilities from the entities; in other words, a greater incentive---

Q133 Chairman: On the precedent of the Ministry of Defence, on a statement?

Dr Whyte: Precisely, yes. One does find other countries where the main police force is national rather than local, particularly if, as there is in Bosnia, there is a problem with local competence, local corruption of the police force that happened to be on the ground. I think that could be a very interesting development and that could well be the crisis point where we see the EU's courage being put to the test.

Q134 Ms Stuart: I would like to take you back to Serbia and Montenegro in particular and turn to something which you started to address in your answer earlier to my colleague Mr Illsley and also to Mr Mackay and that is around the whole Stability and Association Agreement and the divergence between the progress the two countries are making. Do you think the new twin-track approach will actually help that or is there simply just such a big gap to be caught up on that it just leaves them behind?

Dr Whyte: That is a really good question. I think that the twin-track approach recognised the reality that the attempts to make Serbia and Montenegro integrate with each other before joining the EU simply was not working and, in a sense, the EU thus avoided making one of the several Cyprus mistakes that my colleague referred to earlier. I think you are quite right to say that the interests of Serbia and Montenegro remain very divergent. I understand that the Montenegrins now plan to make the best go they can of proving their European credentials within the framework of the new proposed feasibility study, and they hope to be in a position to be able to turn around to their own voters and say, "Look, Serbia is holding us back from our European integration", and that will then be used as an argument for separation. Doubts are sometimes expressed about the capacity of the Montenegrin Government to deliver on this strategy but it is certainly an interesting approach for them to take.

Dr Anastasakis: I also think this is an interesting development because it shows a genuine attempt by Chris Patten and the Commission to understand what exactly the problem is. My deep conviction is that the understanding on Serbia is still a bit underdeveloped. The centrality of Serbia in the Western Balkans is really crucial. I think one has really to try and approach this country in the right way in order to be able to have positive side effects in the other parts also. In that respect, I think maybe they recognise that this kind of (Solana) state was a kind of failure and they had to make up for it. Showing this kind of flexibility will definitely create this kind of competition between the two and end the antagonism in trying to approach the standards of the EU. We all know of course that in Serbia there is still this kind of polarisation and we do have a more clear distinction between the reform forces on the one hand and the more nationalistic forces on the other. There is a real battle going on between those two sides in Serbia.

Q135 Ms Stuart: We have talked a lot about outside players and whether they have failed or succeeded. Something which struck me through the whole evidence session was that you talk about what the US does, what NATO does and what the EU does. Is there not an argument made that the people on the ground need to take a bit more responsibility? There is another outside player, which no-one has mentioned so far in particular in relation to Serbia, and it strikes me that could play more of a role and that is actually Russia?

Dr Anastasakis: I agree with you. The international factor is always the easiest target to which to address criticism and to attack, but, by being critical towards local actors, and even sometimes being very critical towards them, one also shows them respect because that is how they should be treated. It is definitely the case, and that is why I tried to indicate this in my previous remark, that there is this kind of polarisation between the Serbian forces themselves. This is a country with a background and with human capital and really able people who can deal with the international environment. If the international community wants to work with people in Belgrade, they can find people who are really interesting and who know their way about. In that sense, the Serbian people, yes, and from my contact with them, do have a strong victim attitude and it is sometimes over-emphasised because that explains for them why their situation is not better. There is definitely a lot of work that needs to be done within the local actors themselves.

Dr Whyte: I would just like to make two points in addition. One of them is that engagement by Western political figures with the local actors on a continued and sustained basis is the only thing that will work. For instance, Mr Chairman, it would be great if this Committee's report, when it is finalised, were to be launched in the Western Balkans as well as published here. I think it would be very interesting for the local media to pick up on that. It would certainly be a sign that you were taking them seriously, and they will take you very seriously, whatever you say. It will be a sign of respect in the other direction.

My second point on Russia, Ms Stuart: the Russian attitude, I am afraid, is, frankly, irresponsible at the moment. On the one hand, they call for the United Nations to crack down more heavily on Kosovo. On the other hand, they have withdrawn their own troops, thus fighting to the last drop of somebody else's blood, in other words. On the one hand, the Russians describe the Kosovo authorities (dubious as they may be but legitimately elected under UN mandate and by UN structures) as terrorists and thugs; on the other hand, Russia continues to support separatist regimes which have much less legitimacy, in South Ossetia, Abkhazia and Nagorno-Karabakh and Transnistria. There is a real problem there. It will take sustained attention from the Kremlin, not from the Russian Foreign Ministry, and at the moment the Kremlin has other things to think about.

Dr Anastasakis: It goes further. Russia is going through an interim period because of its own problems within its own country. I think the importance of the Balkans for Russia is decreasing and will now be seen to be decreasing.

Chairman: Gentlemen, you have contributed much to our own study of this fascinating area. We thank you both for giving us of your expertise.


Witness: Mr Misha Glenny, Balkans analyst, examined.

Q136 Chairman: Mr Glenny, we welcome you back as a young, old friend of the Committee! We have read your many commentaries with great interest and we now look forward to hearing from you with your perspective on the Western Balkans, the subject of our inquiry. Perhaps we can begin, as we began our last session, if you could give some indication of the strategic importance which you think the area has? We will then turn to Mr Maples.

Mr Glenny: I have always considered it to have considerable strategic importance, firstly for the reason that Nicholas Whyte mentioned - -its geography and its position. It is the main overland transit route between Western Europe and the Middle East. I would say that it has another strategic importance, and that is in terms of the European Union's identity and the European Union's capacity to deal with a region that is distressed and traumatised but is, as Dr Anastasakis Othon said, soon to be surrounded by the EU. It is not, in terms of population, a very large region. To my mind it would actually be quite simple to sort things out in the Western Balkans, but it requires an imagination which I have not yet identified on the part, regrettably, of the European Union and some of the local actors.

Q137 Mr Maples: Inevitably I will cover some of the same ground that we have covered already, but we are interested to know your views on some of these things too. In that context, the role of Russia in the West Balkans; what is your view there? Do you think they are troublesome and irresponsible?

Mr Glenny: I do not think that Russia has political ambitions in south-eastern Europe. It has considerable economic ambitions in the region. Just as a pointer, Bulgaria's single most important contributor to its revenue earning annually in terms of taxes is Lukoil, and you will find Lukoil and Gascom with a very significant presence all over the region. But in political terms Russia's only interest in the Balkans that I can identify is Kosovo, and that pretty much as a bargaining chip which it uses in a similar but less intense fashion as it does the regime in Transmistria; and it will continue to hold those chips, particularly if it feels aggrieved about the United States' influence in Georgia and places like that, until it feels it has a political incentive to do something about it. I have just spent some time in Russia discussing these issues, amongst others, and there is no popular sentiment of any particular significance in support of Serbia, and inside Serbia itself there is a realism that Russia is not somehow going to come to its rescue under any circumstances; but also the Serbs do understand that in terms of Kosovo Russia will not give it away for nothing, if push comes to shove, on the issue of independence.

Q138 Mr Maples: You and our previous witnesses mentioned in the context of, is this region of strategic importance to us and the United States - -and let us talk about Europe in this context because your view is probably similar on the United States, but it is to a degree removed from them - -you all mentioned this question of this line of main road surface transport links from Europe to the Middle East. I can see that is important, but does it really matter to Western Europe if these problems go on? Are they likely to spill over to us in an uncontainable way?

Mr Glenny: My answer is very clearly yes. What we are looking at at the moment is a problem in Kosovo, which is extremely severe. If the problem in Kosovo were to get out of control it would impact on the stability of Macedonia, Serbia, Bosnia and Herzegovina, Montenegro and possibly the Republic of Albania as well. We have seen in March the capacity for very serious civil unrest in Kosovo. We have also seen in March the incapacity of KForOR to deal with very serious civil unrest in Kosovo. If - -and as far as I can see that is the trajectory we are heading at the moment, but I may elaborate on that later - -there were a social explosion, the like of which we saw in March, again in Kosovo, it would be much harder to contain on this occasion, and at the moment I am not sure if Western Europe and/or the American states has the military capacity to deal with something like this.

Q139 Chairman: You do not think that the military authorities in Kosovo have learnt the lessons in terms of smaller, more deployable, more flexible units, so that if a March situation were to recur that they would be better prepared?

Mr Glenny: The proof of the pudding will be in the eating, regrettably, but I accompanied Denis MacShane to Kosovo just after the March events and we both saw the video of the Irish Battalion making a very good job of trying to contain an extremely large and unruly crowd. The Irish battalion, who we spoke to, said very clearly, "We do not have the equipment, we do not have the capacity for crowd control and riot control and this is what we are dealing with. We have effectively been deployed here in order to prevent the aArmy of Serbia and Montenegro from invading; we have not been deployed to deal with these types of social situations." They did a very good job. There were other battalions of KForOR who did a lamentable job in March, and who were actually caught on film running away from the mob. As far as I understand, we have not had a major reorganisation of the capacity and the nature of deployment and the equipping of KForOR in the meanwhile.

Q140 Mr Maples: If something like what happened in March flared up again, are you saying that you think that fForces from Serbia and Montenegro would intervene and, if so, how far would they go?

Mr Glenny: No, it would depend on how it would develop, but I am extremely concerned that the international community, both as it is deployed politically and militarily, will find it very hard to deal with a return match of March, and that certainly if you had large numbers of Serbs being killed then in that event there would be tremendous pressure from Serbia and Montenegro to respond militarily.

Q141 Mr Maples: Might they act militarily themselves? Do they have the capability to do so, and would that just involve the northern and Mitrovica part?

Mr Glenny: I think it would just involve the northern part. One of the things that the Serbs do not fully understand, have not taken in about Kosovo - -and indeed it needs to be stressed - -is that a majority of the Serbs in Kosovo live south of the Ibar River, i.e. south of North Mitrovica, and a majority of those Serbs living south of the Ibar River live in mixed communities with Albanians. They are actually relatively well integrated, and this is something that is little understood; that there are large areas of Kosovo where Serbs and Albanians are integrating rather successfully. The idea of enclaves and also the prospect of the military intervention from Serbia and Montenegro would leave these Serbs, in my opinion, extremely vulnerable to revenge attacks.

Q142 Chairman: Before I come on to the recent elections, a question about the Russian motives and the Russian background. To what extent do you think Russian authorities are constrained by public opinion in Russia itself and also of the ramifications of any settlement in Kosovo and Chechnya?

Mr Glenny: The first issue, I do not think that they are constrained at all by this. Really my sense in Russia, talking to politicians, diplomats, journalists and ordinary folk was that Kosovo is a very far away place, of which they know nothing, and in which they are little interested. The same, incidentally, would go for Serbia as well. But in terms of its strategic importance vis-à-vis Chechnya, I think you may have a more serious point, that it sets a poor precedent as precedent for Putin. On the other hand, I do not think that Putin always sees precedents from other parts of the world as necessarily applicable to the Russian Federation. My strong sense is that Kosovo is a chip which they may decide to use, they may play with, they may not, but they are not desperately wedded to it.

Q143 Andrew Mackinlay: Mr Glenny, with Serbia and Montenegro, it seems to me, it might be more sensible for us at least not to be in any way trying to bolster what I deem to be a wholly artificial federation; that Montenegrin independence not only has some justice but also you could offer advance membership into the European Union for Montenegro - -it could be absorbed, it is twice the population of the London bBorough of Wandsworth, and it also might make it easier to deal with an independent Serbia and also perhaps even the final status of Kosovo if this rump of the Yugoslav Federation was broken and you start from scratch. I really wanted to bounce that off you.

Mr Glenny: It is difficult for me to reply without looking at the totality of Serbia, Montenegro and Kosovo, but essentially my assessment has been for a long time that there are two regional motors of growth and stability in the entire region, which are Croatia and Serbia, and that the dispute between Serbia and Croatia in the early 90s was what provoked the war. In order to reintroduce stability you have to guarantee the stability of those two territories. For Serbia it is more complicated because Croatia was only involved with Bosnia and Herzegovina as another territory. With Serbia there is the relationship with Montenegro and there is the relationship with Kosovo. I feel very strongly that the key relationship for the European Union in this region now is Serbia; that because Montenegro is so small that absorbing it into the European Union actually would not make much difference. It would probably be very easy to do it, although it is still a pretty highly criminalized state, and so on and so forth, and there are problems in association with it.

Q144 Andrew Mackinlay: Which I accept.

Mr Glenny: Rather than concentrating on a swift way to get Montenegro into the EU I would be looking very much at what is the quickest way to get Serbia moving towards the European Union. So it is looking at a different point of view. That may well mean jettisoning the relationship with Montenegro and it might mean jettisoning a relationship with Kosovo - -for Serbia, that is. What Serbia needs in order to do that is a system of incentives and at the moment there are no incentives.

Q145 Andrew Mackinlay: You said that the trajectory which we are now on - -and I noticed you said those words - -is not going to provide a solution, and you also said, "I think it could be resolved but I do not see any players who can resolve it." It tantalisingly invites me to pick up from where you left off because I think it would be very useful if you did see the present precipice we are heading for - -which is probably slightly out of line - -but also if you were given a free hand today how you would be steering things?

Mr Glenny: I will get to the core of the matter and I will address the Kosovo election issues. First of all, you have to look at the social reality of Kosovo. With the exception of Transmistria this is the only territory in Europe at the moment which registers a negative economic growth. The difference between Transmistria and Kosovo is that Transmistria's economic growth is in consequence of the population having halved over the last ten years. Kosovo has a growing and very young population and every year 50,000 young people come on to a non-existent job market. Another reason why the economic growth is negative is that there is further pressure from refugees from Western Europe being sent back to Kosovo because they no longer want to be maintained by the host country, and that means a reduction in remittances, which are very, very important in Kosovo's economy. What happened in March was that finally people had had enough. With youth unemployment running at 70 per cent, with no movement on the status issue, but also a government (UNMIK) which, frankly, has been lamentable in its failure, its economic record is simply unspeakable. I could go into details but for the moment take that as read. It has alienated the population. The Serbs were the first targets in March because they are very identifiable sitting ducks. KForOR and UNMIKIK police vehicles and personnel were attacked, but also the Albanian political elite, from the PDK and the LVK, were actually frightened by the mob because they knew that they were identified with a government system which had brought the population absolutely nothing. That is at the heart of what we are facing, combined with a political issue of the Albanian elite having absolutely no idea of what is going on in Belgrade - -and I can testify to that because as soon as I visit Prishtina the political leaders I meet, all they want to know is what is happening in Belgrade? At the same time in Belgrade there is a complete and utter ignorance of the social reality of Kosovo. So the only political incentive that the elites have is to take a maximalist position because they are frightened. The Foreign Office and Denis MacShane came up with an idea earlier this year that when Harri Holkieri would be replaced that there would be a second post inaugurated of an envoy who is mandated solely to Prishtina and Belgrade so that there is some form of communication. At the moment there is nothing. Given the social reality in Kosovo, given that the Serbs do not feel as though there is an incentive to vote at the moment - -although in local elections you will find it is a very different issue - -what you are going to have is a further deepening of the crisis which led to an explosion in March. If you want to get a short to mid-term solution you have to find a way of persuading Serbia to give up Kosovo. So what are the ways that one might persuade Serbia to give up Kosovo? Going there now and telling Serbian politicians that they have to support the idea of a final status which is likely to result in independence of Kosovo is turkeys voting for Christmas. It is no good asking Serbian politicians to do that. And do we want to have another situation where a Prime Minister or President of Serbia is pushing through, with the encouragement of Western Europe and the United States, unpopular policies and, eventually, whoever knows which one it was, is shot as a consequence? Because there are very few more Zoran Djindics around. Boris Tadic happens to be one, but Tadic is dealing with a very, very difficult situation domestically and there is a wide recognition privately amongst the Serbian political elite that they will have to come up with some pretty dramatic and radical solutions. What they need vis-à-vis Kosovo are the tools to sell this to their own population, and at the moment we are asking them to do all sorts of tough things but we are also not giving them the necessary tools.

Q146 Andrew Mackinlay: The tools being what?

Mr Glenny: The tools, I would suggest, being a much clearer vision of how Serbia - -and not Macedonia, not Kosovo, not Albania - -moves towards the European Union. Also, any solution that involves the possibility of independence for Kosovo when it comes to final status, this has to be like the Austrian State Treaty of 1955; there is no way under any circumstances that Kosovo's borders can shift.

Q147 Chairman: But Tadic urged the minority in Kosovo to vote. Kostunica and the church urged them not to vote. Surely the result of the vote, this massive boycott, was a disavowal of Tadic?

Mr Glenny: No, it is not a disavowal of Tadic, it means that on certain issues, firstly in Northern Mitrovica - -I would refer you to a quote of Reuters in their news report from two days ago, when a Serb was asked whether he was going to vote and his response was, "Are you kidding, they would knee cap me?" - -the local Serbs feel as they do not have any purchase within the political process or within the Assembly in Prishtina. Tadic spent a lot of capital asking them to go and vote but essentially they had to makde a decision between Tadic and Kostunica, and for the moment they went for Kostunica, but that is partly because they are dependent, remember, economically on Belgrade, Mitrovica in particular. The entire economy is financed by Belgrade.

Q148 Chairman: I can understand that argument in respect of Mitrovica and the northern border areas, but you said to the Committee earlier that the greater part of the population in the south of that - -and indeed you went further and said that they were a community of Serbs who were well integrated and indeed integrating rather successfully. How do you square that with individuals feeling that they would be kneecapped in this vote?

Mr Glenny: Because they are integrated into the municipalities and the local structures. They serve on the municipalities as deputy mayors, and so on and so forth, depending on where you go. I run a project called GPKT, which brings together municipalities from eastern Kosovo, southern Serbia and northern Macedonia, which all have minority issues that have been resolved through integrating the minorities, whether Albanian, Serb or Macedonian, into the political process. They will come out every time and vote for those local councils because they feel they have a stake, and they feel they have absolutely no stake in the political process in Prishtina as it is currently structured. When Western Europe and the United States come in and say, "You must go out and vote," their response to that is, "Why? What do we get out of this?" because what their immediate memory of the political process inside Kosovo is, is March; that is their immediate memory. They do not see any tangible benefits at the moment through cooperation.

Q149 Chairman: What would be your advice to the British government and other EU countries in seeking to get over this obstacle?

Mr Glenny: My first advice would be to accelerate the dismantling of UNMIK, to give ---

Q150 Chairman: A transfer to the EU or local ---

Mr Glenny: No, transfer to the Kosovo Assembly but insisting upon a real transfer of powers from Prishtina to the municipalities and so that there is a primitive system of accountability in that political process. At the same time this would have to be tracked with a vigorous attempt by the international community to establish a proper dialogue and not, frankly, the excuse for a dialogue that we have at the moment, identifying those people in the Serbian and the Kosovo elite who are prepared to talk and deal in terms of compromises and move towards serious solutions. The other thing for the Serbs is to get serious about refugee return; there is a lot of pressure inside southern Serbia to move refugees back. This is one thing that we are doing in Gilan in eastern Kosovo, supporting the local Albanian mayor, who is appealing for Serbs from the Nish area to come back and integrate into Kosovo. The problem we have is not political in many of these areas where the Serbs are considering returning, the problem is economic because what happens is they return to Kosovo and then there are no jobs and they no longer get the support as IDPs[3] that they receive in southern Serbia. So one of the things that the people I am working with, including local mayors, what we are doing is trying to appeal to the international community to set up programmes of economic sustainability and refugee return, so the Serbs can see that something is actually being done to assist their integration.

Q151 Chairman: But we have the reality of the election result. How serious a blow, in your judgment, was that to prospects of progress in a multi-ethnic direction?

Mr Glenny: It is a serious blow but I cannot see at the moment how the idea of partition or the idea of creation of enclaves is going to work, and the reason for this emerges from the population distribution that I mentioned early on, and to which you referred again, and that is if you want to do that you have to start this operation by moving up to 40,000, 45,000 Serbs physically from disparate parts of Kosovo into these enclaves. It is a population transfer which began in '23 with the Greek/Turkish Agreement inwith Geneva, but which I see as a very poor precedent. We went there in order to support multi-cultural solutions in Kosovo and south eastern Europe, and we will be presiding over the transfer of population out of the territory where they live into another territory. The implications for southern Serbia and the Albanian population there are severe and the implications for Macedonia are severe.

Q152 Mr Chidgey: Mr Glenny, I was rather intrigued by your remarks regarding accelerating Serbia's accession to the European Union in the context of Kosovo - -and you also mentioned Croatia, I believe. I rather want to know what you perceive as the outcome of that, why is it such an important issue? Plus, of course, recognising the fact that the acceleration of any applicant state to join the EU is something which is a hostage to fortune. Also bearing in mind that we are already having problems with some of the new applicant countries because of their continuing appalling record on many of the basic principles that any applicant must show to be subscribing to before any application can be properly considered. So there is the problem of meeting the criteria, and are we supposed to drop the criteria, reduce them? Are we supposed to change the process? Is it a situation now in which Serbia and Kosovo are looking for employment opportunities outside of the country through accession to the EU as a way of resolving their economic problems? I do not quite see why it is the panacea.

Mr Glenny: I am not suggesting that this be done immediately. I would reiterate what you said, that if you look at the current enlargement of ten that there is barely a country there where we have not lowered the standards of certain criteria. So this is not without precedent, the way that we do this. In terms of political perceptions inside Serbia vis-à-vis the European Union, the Croatian case is difficult as well because of the Gotovina issues. The fact of the matter is Gotovina is not in The Haguethe Hague. Croatia was given a clean bill of health by Carla del Ponte, but, as I understood it from the Foreign Office, before the clean bill of health was given the deal was Gotovina in the Hague. Positions were then switched - -why, I do not know. Serbia, it is basically down to Mladic and the four generals. But what they do is to look at Croatia and they look at the Gotovina issue and they say, "Can we not do a deal on Mladic and on Gotovina, and maybe we can deal with The Haguethe Hague?" So you have different messages going through to Serbia and the key thing about Gotovina is that the resolution of that situation allowed EU membership. So Serbia is very sensitive about that. But the real reason is this issue of incentives. At the moment, basically, Serbia is told, "You have to do this, you have to do that, you have to go into a state with Montenegro, despite possessing two economic systems and having real difficulties on trade issues, vis-à-vis your relationship with the EU. You have to hand over the war criminals and you have to start getting serious about Kosovo and final status. And, by the way, no, you cannot have better visa access into Schengen." The issue of labour movement here is very, very important. One does not have to open the doors of south eastern Europe to the labour markets of the European Union. However, there are schemes which would be welcomed in south eastern Europe, whereby individual workers can go for six to nine months, or something, on a sponsored workplace system whereby we need the labour in western Europe, particularly for seasonal work, and you get remittances back there, you get some level of training - -it is a very, very fruitful area of exploration, in my opinion. But at the moment there is none of that and already Serbs can no longer travel to Romania and Bulgaria unrestricted. Macedonians can barely travel anywhere. They are told all the time that they have to do this for Europe, this for Europe, thatis for Europe, and what do they get out of it? - -declining living standards, they cannot go anywhere any more and they are seen as an habitual boil on the body politic of Europe. With the best will in the world we have to think of ways of explaining to them that, yes, they are part of Europe and, yes, we do want to assist them, and the CARDS[4] programme and similar, unfortunately, are not things which generally penetrate the minds of ordinary voters and it is ordinary voters that we have to think of in terms of persuading the political actors.

Q153 Mr Chidgey: It is not just about war criminals though, is it, the deal being done? The most important thing, surely, for EU entrance is that you do not just pass the laws that give you the rule of law, which give you human rights, which give you equality and so forth, you actually implement the laws so that the population does benefit from the same society that we cherish and protect, if I may say so? My concern is that you sign on the dotted line, you exchange war criminals but you do not actually - -and you cannot actually - -change the type of society of the applicant country, which in this case is Serbia, which actually does not take you any further in improving the lot of people?

Mr Glenny: Except that if you look at the impact and the accession on the most recent round of enlargement countries, but also on Romania and Bulgaria - -and also, I would argue, on Ireland, Portugal, Spain and Greece - -the impact has been phenomenal in terms of how people behave. You have specific problems in Bulgaria and Romania associated with corruption and organised crime. Because of their key position, because of the engagement of people like the Crown Agents in Bulgaria and the MOD in both countries, drug liaison officers and so on and so forth, real progress is being made there. There are no similar programmes of that depth going on in the Western Balkans, where one could argue that they are equally needed. But not only that, once they are on the accession process you start to see an increase in investors' confidence, and this is very, very important, that people feel as though once countries are on the European accession road they are going to shift their behaviour because there is an economic incentive to do it, and you have seen a real change in the behaviour of how Bulgarians and Romanians operate since accession became a reality. I think that is the case with NATO accession as well; I do not think one sees NATO accession - -well, the Americans see it as a possibility of getting bases in Romania and Bulgaria - -but NATO accession as far as south eastern Europe is concerned and the Western Balkans is a way of engaging with the West and de-politicising their Army; i.e. it has a real impact on how the societies are structured and behave. The process of accession has an enormous impact, but so long as it remains a vague, unstructured promise then you are going to get situations like Macedonia.

Q154 Mr Illsley: Turning to Bosnia and Herzegovina, the High Representative of Bosnia,
Lord Ashdown, came under strong criticism for his strong-handed approach, although last week in front of this Committee he defended himself reasonably well against allegations of dismissals of certain civil servants and his use of the Bonn powers. Do you think that he is tackling the job appropriately, or do you think the use of those powers is harming the situation in Bosnia or not?

Mr Glenny: I think that Bosnia represents a similar but not identical problem to that of Kosovo - -except it has been going on for longer - -where a culture of political dependency emerges. The lack of incentive for Bosnian politicians to act with any accountability or responsibility remains very high, in my opinion. Lord Ashdown has said that his aim is to try to divest himself as soon as he can of the Bonn powers and get out of Bosnia and Herzegovina. I think that is a very laudable aim. I think he is to some extent caught in the straitjacket of the office and the way the office was established and how it has developed, and that the Ad Hominem attacks I do not think are valuable in any respect at all. I also think that Lord Ashdown is under certain pressures from his political seniors, particularly on the issue of security, which are not always taken into account in terms of how he is behaving on the economic and political level. I am concerned when he uses these powers to dismiss either elected officials or civil servants without any requirement to explain why, which in certain positions it is argued that he does not have to explain why he is doing this. I think he should have to explain why he is doing it, and I would encourage everyone to try to ensure that local instances take over powers wherever possible, but at the moment this does not seem to be happening quite fast enough. In terms of security for Bosnia and Herzegovina, the keys as to whether there is going to be another war or not lie in Belgrade and Zagreb. If Belgrade and Zagreb are hands-off Bosnia and Herzegovina there is not going to be a serious instability in that area in the eventuality of troops withdrawing. If Belgrade and Zagreb are not happy then there is a very strong chance of there being instability when troops withdraw. By "happy" I mean whether they have indicated their intentions to interfere or not. Zagreb I think has pulled out and I think one of the reasons why Zagreb has pulled out and will not do that is absolutely because of the EU accession process, and it is another reason why I would argue that Serbia should be seen as slightly different from the others.

Q155 Mr Illsley: You mentioned incentives on Bosnia's politicians. Can you expand on that? Would that be moving towards European Union accession?

Mr Glenny: No, it means so that they are accountable to their electorates for what they do. I am talking on that level. At the moment there is a strong element of Bosnian politics which has most successfully got the ear of Lord Ashdown. As long as so much power is concentrated in the centre they are not having to address the concerns of their electorate, and this is a key problem in Bosnia and a key problem in Kosovo, because whatever one says about Croatia, Serbia, Macedonia, all the politicians there are actually up for election next time and are held to account for their actions, which is one of the reasons why you see changes in government so dramatically, because there is very little they can do about the economic situation. But it is their responsibility.

Q156 Mr Illsley: Is there anything more the international community could do to try and get the Bosnian entities to hand over people to the War Crimes Tribunal?

Mr Glenny: That is regrettably very difficult. No. It is very difficult to see how to do that. Karadzic is very effectively hidden; nobody knows where he is; they have come close to getting him a few times. I cannot see any way of trying to incentivise the local population; there are already large rewards on these people's heads. Serbia and Mladic is a different business. I do not know if the President or the Prime Minister in Serbia know where Mladic is, but I am sure military intelligence knows where he is. I think Mladic is going to be easier to get, paradoxically, because he is more powerful than Karadzic.

Q157 Mr Illsley: Does there come a time when we have to turn to each other and say, is there any point continuing with this search for these people? Perhaps more Karadzic than Mladic because of the military involvement. Does there come a time when the civilian population do not want to give him up, he has obviously been able to hide, to conceal himself, there are rewards on his head, yet people do not take advantage of that, and is it not time to say, "Let us forget it"?

Mr Glenny: I observed from an article in the Washington Times that I read this morning, that John Bolton in the United States has made strong indications that it is time to wind-up the ICTY. Under the Bush administration it was fairly obvious earlier on that if the Serbs had handed over Mladic and the Bosnians Karadzic then the Americans would have withdrawn their support from the ICTY as a whole. And it now looks as if they are looking into this again with the transfer of cases to Belgrade and to Zagreb and to the local instances. I think that the ICTY has a function but I think that it has become too politicised and I think it has too negative an impact on local politics. If there is some way of reaching a compromise on this issue in terms of devolving the court's powers into local capitals I think it should certainly be explored. There is a long list of people sitting there waiting to be tried in The Haguethe Hague. Are people going to continue funding The Haguethe Hague? I do not know, those are issues for the international community to decide in terms of funding. At the moment there is a huge logjam, there is the whole minor farce around the Miolosevic case and it has had a real blocking effect on political development inside the former Yugoslavia. What were to happen if Carla del Ponte finally unveils her choice of indictees for Kosovo, God only knows.

Q158 Andrew Mackinlay: Some time before the break I want to ask about policing, but when you literally stop there you are saying that we have to anticipate this shopping list of indictees coming up from Kosovo, and you say that is going to be an aggravant?

Mr Glenny: Yes.

Q159 Andrew Mackinlay: The other thing I want to ask you about is, Mr Whyte earlier drew attention to the fact that many of the citizens of Bosnia and Herzegovina will be able to claim Croatian citizenship and if they did do so of course that would diminish from nation building, they would not feel Bosnian, and then presumably the people who cannot claim Croatian citizenship would say, "You are not Bosnian." Presumably this is something which we need to take into account, both in terms of negotiations in accession of Croatia and, again, going back to this whole business of mobility around Europe. We exaggerate this business, points which both Mr Whyte and you have made, the fact we are not going to let people into Europe, we are going to return them, and visas and so on. Would you flag this up fairly high for us to address this, in the sense we address the Foreign and Commonwealth Office?

Mr Glenny: When I learnt about Croatian accession I immediately anticipated that when this gets nearer you will see the first voluntary mass conversion of religion inside the Balkans for 150 years or so, as a lot of people become Catholics in a short space of time. I think there will be an element of that; I think there will be an element of selling Croatian passports inside Bosnia and Herzegovina as well, but the dual citizenship for Serbia and for Croatia was laid down in Dayton and that is not going to stop. Whether the EU can come up with a new formulation saying that only Croats not living in Bosnia and Herzegovina can get in, I do not know, but it seems to be unrealistic. As regards access to labour markets and moving around Europe, the other thing that I am doing at the moment is working at a book on trans-national organised crime, and I can tell you quite categorically that keeping people out of the European Union and keeping them in distressed economic areas is manna from heaven for organised crime syndicates. They provide labour, very cheap labour. The one cultural specificity you can level at the Balkans is that people are good at smuggling there. I do not think that they are congenitally genocidal and I do not think that they are congenitally criminal, but they are good at smuggling because they have been doing it for a very long time, and every time the borders of the EU are raised, the walls go higher, and all you are doing is maximising the profits of organised crime syndicates, who have penetrated our capitals ten years ago. The dam burst on that one a long time ago. So for me, particularly with the issue of the ageing population in Western Europe, the fact that we often cannot fill up the employment places that are there, it seems to me, if I may use the colloquialism, a "no brainer". We have unemployment that leads to instability in south-eastern Europe, we have under-employment. These people have been determined by us as European and candidates for the European Union, and it seems to me an obvious place from where we could consider drawing labour.

Q160 Ms Stuart: Let us take this "no brainer" a little bit further. Most of the issues which I wanted to raise in relation to Serbia and Montenegro you have in many ways answered those points in relation to other questions. Let us look at the FCO's approach to this. I remember when - -it may have been ten years ago - -Timothy Garton Ash developed this theory, or was writing an article that he thought a lot of what was going on in the former Yugoslavia was settling things that in the rest of Europe were settled in 1945, when the populations moved and re-jigged, but somehow that did not happen there. You now have the former Yugoslavia, and when you look at the map of Europe you know that this bit in some way or another has to come into Europe, and this is the kind of "no brainer", that, if we do not, in terms of crime it is all there. If you go back to the structure of the European Union and its balance between large countries and small countries, if you really look at that whole section and at the end process, and you may look and think that Montenegro may be a separate unity to come in, do you realise that you completely destabilise the basis and balance of large and small countries and what comes to countries of membership, your Commissioner, your minimum of four or five MEPs, all that kind of stuff? Have you thought about that one?

Mr Glenny: On that issue, on the issue of representation in the EU, believe you me you could do a deal with this region very, very quickly, for them to say, "Hell's teeth, we will have one Commissioner every five years; we do not care. What we want is structure and cohesion first. We want our economies to have the same kind of incentives and inputs and targeted work and data collection, all the things that happen in Ireland, Greece, Portugal and Spain, and transformed those countries within the space of 20, 25 years." That is what they are looking for. So on that issue I am sure you can do a deal; they are good at making deals, these people, as well. That is another cultural specificity. I agree with you that it is another thing to swallow, particularly after the last ten, and the security arrangements are going to be difficult. Where I think Tim was right ten years ago is what in their murky, hazy, violent way the Serbs and the Croats understood was that the European Union on the whole - -in fact almost exclusively - -takes in coherent nation states, and Yugoslavia was not a coherent nation state, so everyone suddenly was pushing towards nation states equals early European entry, and of course it was a very bloody experiment. Cyprus does not count because Cyprus had the Greeks threatening to veto the whole of the enlargement if they did not come in in their unclear unconstitutional arrangement. There is no one who plays a similar function for the Western Balkans. Another reason why I suggest that Serbia and Croatia are key on this is that Serbia does have a certain tradition of statehood and a certain coherency. Kosovo is currently a basket case; Macedonia is not a whole deal better; Bosnia and Herzegovina also has real difficulties; and Albania has very serious problems as well.

Q161 Ms Stuart: What about Montenegro?

Mr Glenny: It depends what happens. My own feeling is that the Agreement will fall apart after three years; that is my sense. Even if Montenegro does not become a member of the EU straight away it has an economic relationship with parts of the Italian establishment, of various varieties, which will ensure that it becomes a sustainable economy - -but not a terribly dramatic one.

Q162 Ms Stuart: One final question on nationalist feelings, particularly in Serbia. I remember reading an article by a Serbian journalist where he said, "My identity is about to be stolen by a blue flag with 12 golden stars." Is he a single voice or is that a problem over there?

Mr Glenny: If you look at the nationalist vote across Eastern Europe and south-eastern Europe the patterns in Serbia are pretty consistent. The radicals have two sources for their electoral strength. One is poverty and economic decline and the other is nationalism. Personally I think that the economic decline is a more significant percentage of that vote and the radicals will also suffer reverses in fortunes. It looks as though we may well have early elections in Serbia in the Spring. This is the time when Tadic and his party organisation are really on the line and I think this will be an absolutely crucial event. But I think you will see a fairly significant decline in Kostunica's vote. No, I do not think the voice that you read in the article is the defining voice of Serbian political consciousness.

Q163 Chairman: We have not turned to Macedonia. May we have some final reflections on what are the bases of the current instability? Is it essentially economic? I have heard, for example, that in the past the Macedonians had most of the jobs in the bureaucracy; that those have been reduced. The out grouped Albanians became more entrepreneurial; they travelled; they are bringing in money now, causing certain resentments. How do you describe to us the roots of the instability in Macedonia and the prospects, which, since Macedonia appears to be, certainly in respect of NATO, well placed?

Mr Glenny: I think it is partly as you described it there, in an extremely succinct, it seems to me, summary of one of the ESI papers, arguing exactly that. That is part of the problem with the Macedonians and the Albanians, there is no question. The Ochrid Agreement has always had some detractors in the Macedonia population which see it, (a) as selling out to the Albanians, but (b) as having been imposed from the outside. This, given the parlous state of the Macedonian economy, has not been helped by the way that the government has handled the whole rReferendum and the whole decentralisation business. They have acted in a shroud of secrecy; they have not bothered to explain to the population what is going on. But I think one has to also recognise that this is a people, both Albanians and Macedonians, exercising their right to a democratic initiative on what is a very serious issue for them. I do not think that it will succeed and I am pleased if it does not succeed. However, I do not think one wants to be too hectoring, particularly of your EU representative, about the need for the decentralisation package to go through because people will respond negatively to it. I think Macedonia will get over this, but it does point to a serious long-running problem in how the two communities inter-relate at times of economic distress.

Q164 Chairman: So the roots being economic, social or ethnic?

Mr Glenny: Consistently before, during and after the civil war of 2001 opinion polls in both communities in Macedonia put ethnic relations and ethnic tensions down at about fifth and sixth of ordinary citizens' major concerns, after the issues of unemployment, health, education and all those other things which we all recognise from our lives. What happens is that when you have a very weak economy in Macedonia, and what is culturally undoubtedly quite a divided community, when there are political tensions and failures associated with that then the economic tensions are very quickly translated and manipulated into ethnic tensions. On the ethnic issue the current Albanian and Macedonian parties in power have done pretty well, but they are both currently very weak and one hesitates to guess as to what might come after.

Chairman: Mr Glenny, as always, you have been most helpful. Thank you very much.

 



[1] Democratic Party of Kosovo

[2] Allied Forces, Southern Europe (NATO)

[3] Internally Displaced Person

[4] Community Assistance for Reconstruction, Development and Stabilisation programme