EU’s Western Balkans Growth Plan: A Path to Prosperity or a Road Full of Challenges?
Petra Bošková
On October 16, 2023, the European Union introduced a new growth plan for the Western Balkans, offering a pathway to deeper integration with the EU in exchange for substantial reforms. This initiative, discussed during a summit held in the capital of Albania as part of the Berlin Process, aims to pave the way for the full membership of Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia, and Serbia in the European Union. This move comes in response to the pressing need for a united response to challenges such as Russia’s war in Ukraine and lingering regional conflicts, underlining the EU’s commitment to the region.
Leaders from EU and Western Balkans countries family photo. Source: Newsroom – European Council
The Role of the Berlin Process
The historic summit in Albania, hosted for the first time in a non-EU member country, symbolizes the EU’s resolute commitment to fostering prosperity and stability in the Western Balkans. In a world grappling with complex challenges, the region’s unity and strong partnerships are vital. As the Western Balkans embark on their journey toward deeper integration with the EU, they have the opportunity to shape a more prosperous and stable future for their people.
Moreover, the EU’s approach through the Berlin Process has been instrumental in facilitating the Western Balkans‘ progress. This platform, established in 2014, serves as a mechanism for high-level cooperation between the Western Balkan Six (WB6) and Berlin Process host countries. The initiative also involves the EU institutions, international financial institutions, the region’s civil society, youth, and businesses.
The Berlin Process was launched with the aim of harnessing the potential of enhanced regional cooperation in the Western Balkans. It sought to promote specific projects that would increase connectivity in the region, foster good neighbourly relations, and support EU integration. The process of annual summits and related meetings brought high-level politicians from the EU and the Western Balkans into close interaction, effectively placing the region’s challenges on the EU’s agenda.
A key feature of the Berlin Process has been the conditioning of infrastructure investments by implementing „soft measures.“ This approach encouraged the WB6 to enact legal and regulatory reforms in alignment with EU standards. This strategy facilitated their convergence with the EU and maintained the transformative influence of the Union in the region.
The Berlin Process also played a vital role in promoting regional cooperation to address common challenges. These challenges encompassed areas such as closing infrastructure gaps, combating youth unemployment, enhancing economic competitiveness, addressing reconciliation issues, resolving bilateral disputes, advancing education and research, lifting up disadvantaged groups, and addressing environmental concerns.
Furthermore, the Berlin Process galvanized regional cooperation and initiated new forms of collaboration, providing a consistent framework for all six Western Balkan countries. Initiatives like the Common Regional Market and the Regional Youth Cooperation Office (RYCO) are notable examples of the progress made. This approach has empowered the WB6 governments to take on greater responsibility for the Process in the region.
Originally intended to last four years, the Berlin Process has extended beyond the initial timeframe and continues to evolve. The number of EU member states participating in the Process has grown each year, demonstrating its ongoing significance. At the moment, there are 9 EU member states involved, with six WB6 and the United Kingdom. Poland hosted the 2019 Summit, and Bulgaria co-hosted the 2020 Summit alongside North Macedonia. These developments underscore the sustained commitment to fostering cooperation and integration in the Western Balkans.
Local dancers performing in Tirana. Source: Newsroom – European Council
The Western Balkans‘ Road to EU Integration
The Western Balkan countries find themselves at varying stages of integration into the European Union. Serbia and Montenegro initiated membership negotiations a few years ago, while Albania and North Macedonia embarked on this journey just last year. Bosnia and Herzegovina and Kosovo, on the other hand, are still in the initial phases of the integration process. Recognizing the importance of regional cooperation and the urgency of full integration, the EU has revitalized the enlargement process, which had stalled since Croatia’s accession in 2013.
The EU has made it clear that Western Balkan countries must undertake comprehensive reforms in their economies and political institutions before they can achieve EU membership. These reforms include enhancing the regulatory framework for businesses, combating corruption, and eradicating organized crime. The European Commission President, Ursula von der Leyen, stressed the importance of these reforms during the recent summit in Albania.
A Conditional Approach
One of the core elements of the EU’s new growth plan is a conditional approach to integration. Western Balkan countries will have the opportunity to access parts of the EU single market on a case-by-case basis in exchange for demonstrating significant reforms. This conditional approach will grant them entry into the EU market for goods and services, road transport, energy, electricity, customs cooperation, e-commerce, cashless payments, and more. The key aspect to highlight is the reciprocity between reforms and market access.
To further incentivize swift compliance with requested reforms, the EU leaders have proposed a substantial investment package. This package includes 6 billion EUR in investment, comprising 2 billion EUR in grants and 4 billion EUR in loans. These funds will be allocated based on the successful delivery of reforms, making them a crucial driver for progress in the Western Balkans.
From left to right: Edi RAMA (Prime Minister of Albania, Albania), Charles MICHEL (President of the European Council, EUROPEAN COUNCIL)
Overcoming Regional Conflicts
While the path to EU integration for the Western Balkans holds great promise, it is not without its challenges. The ongoing dispute between Serbia and Kosovo remains a significant concern for the EU. Efforts to normalize ties through an EU-facilitated dialogue have faltered, and recent violence in the region has escalated tensions. The EU emphasizes the need for both countries to return to the negotiating table and work together to overcome antagonism. This is particularly critical in the face of Russia’s aggression in Ukraine, which has brought regional stability to the forefront of the EU’s agenda.
Looking Ahead
The new growth plan, if effectively implemented, has the potential to bring about substantial economic growth in the Western Balkans. It not only promises economic benefits but also represents a strong incentive for the countries in the region to work collaboratively towards the full EU membership. Albanian Prime Minister Edi Rama expressed optimism about the plan, highlighting its potential to double the size of the Western Balkan economy. The EU envisions the Western Balkans at the heart of the European Union, but progress will depend on the region’s commitment to implementing necessary reforms and fostering regional cooperation.
The historic summit held in Albania signifies the EU’s dedication to ensuring the prosperity and stability of the Western Balkans. This commitment is crucial in a world grappling with complex challenges, where regional unity and strong partnerships are essential. As the Western Balkans embark on their journey toward deeper integration with the EU, they have the opportunity to shape a more prosperous and stable future for their people.
Sources:
- German Cooperation, “Conclusions and Agreements – Berlin Process Summit 2023 in Tirana”, https://www.berlinprocess.de/en/the-berlin-process-is-coming-back-to-berlin
- German Cooperation, “The achievements and the future of the Berlin Process”, https://www.berlinprocess.de/en/the-achievements-and-the-future-of-the-berlin-process-40”
- LLAZAR SEMINI, AP News, “European Union offers a new growth plan to Western Balkans that partly opens access to the single market”, https://apnews.com/article/western-balkans-berlin-process-eu-membership-integration-4ffc700555c0b00962c43f67a2117ebe”
- ABC News, “European Union offers a new growth plan to Western Balkans that partly opens access to the single market”, https://abcnews.go.com/Business/wireStory/european-union-leaders-hold-summit-western-balkans-nations-104002883
- European Commission, “President von der Leyen travels to Tirana, discusses accession process, new Growth Plan for the Western Balkans, and participates in the Berlin Process Summit”, https://neighbourhood-enlargement.ec.europa.eu/news/president-von-der-leyen-travels-tirana-discusses-accession-process-new-growth-plan-western-balkans-2023-10-13_en
Petra Bošková is a Project Manager and Researcher at Strategic Analysis Think Tank.
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