2004/518/EC:Council Decision of 14 June 2004 on the principles, priorities, and conditions contained in the European Partnership with the former Yugoslav Republic of Macedonia
Date: 2004-06-14
Institutions: Council of the European Union
Subjects: European Union, North Macedonia, aid policy, association agreement (EU), cooperation policy, economic and social cohesion, economic stabilisation

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II

(Acts whose publication is not obligatory)

COUNCIL

COUNCIL DECISION

of 14 June 2004

on the principles, priorities, and conditions contained in the European Partnership with the former
Yugoslav Republic of Macedonia

(2004/518/EC)

THE COUNCIL OF THE EUROPEAN UNION,

(4)

to prepare for further

In order
integration into the
the former Yugoslav Republic of
European Union,
Macedonia should develop a plan with a timetable and
details
the former Yugoslav
Republic of Macedonia intends to take to this end,

in terms of measures

HAS DECIDED AS FOLLOWS:

Article 1

In accordance with Article 1 of Regulation (EC) No 533/2004,
the principles, priorities and conditions in the European Part-
nership with the former Yugoslav Republic of Macedonia are set
out in the Annex hereto, which forms an integral part of this
Decision.

Article 2

The implementation of
the European Partnership shall be
examined through the mechanisms established under the stabi-
lisation and association process.

Article 3

This Decision shall take effect on the third day following its
publication in the Official Journal of the European Union.

Done at Luxembourg, 14 June 2004.

For the Council

The President

B. COWEN

Having regard to the Treaty
Community,

establishing the European

Having regard to Council Regulation (EC) No 533/2004 of
22 March 2004 on the establishment of European partnerships
in the framework of the stabilisation and association process (1)
and in particular to Article 2 thereof,

Having regard to the proposal from the Commission,

Whereas:

(1)

(2)

(3)

The Thessaloniki European Council of 19 and 20 June
2003 endorsed the ‘Thessaloniki Agenda for the western
Balkans: moving towards European integration’ where the
drawing-up of European partnerships is mentioned as
one of the means to intensify the stabilisation and asso-
ciation process.

Regulation (EC) No 533/2004 sets out that the Council is
to decide, by a qualified majority and following a
proposal from the Commission, on the principles, prio-
rities and conditions to be contained in the European
Partnerships, as well as any subsequent adjustments. It
also states that the follow-up of the implementation of
the European partnerships will be ensured through the
mechanisms established under the stabilisation and asso-
ciation process, notably the Annual Reports.

The 2004 Commission's Annual Report presents an
analysis of the former Yugoslav Republic of Macedonia's
preparations for further integration into the European
Union and identifies a number of priority areas for
further work.

(1) OJ L 86, 24.3.2004, p. 1.

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ANNEX

1.

INTRODUCTION

The Thessaloniki Agenda identifies ways and means of intensifying the stabilisation and association process, inter
alia, through the introduction of European partnerships.

Based on the Commission's Annual Report, the purpose of the European Partnership with the former Yugoslav
Republic of Macedonia is to identify priorities for action in order to support efforts to move closer to the European
Union within a coherent framework. The priorities are adapted to the former Yugoslav Republic of Macedonia's
specific needs and stage of preparation and will be updated as necessary. The European Partnership also provides
guidance for financial assistance to the former Yugoslav Republic of Macedonia.

It is expected that the former Yugoslav Republic of Macedonia will adopt a plan including a timetable and details in
terms of how they intend to address the European Partnership priorities. The plan should also indicate ways to
pursue the Thessaloniki Agenda, the priorities on fighting organised crime and corruption identified at the 2002
London Conference and at the Ministerial meeting held in Brussels on 28 November 2003 in the framework of the
EU western Balkans Forum and the measures presented by each of the western Balkan countries at the meeting of 5
November 2003 in Belgrade as a follow-up to the Ohrid Conference on integrated border management.

2.

PRINCIPLES

The stabilisation and association process remains the framework for the European course of the Western Balkan
countries, all the way to their future accession.

The main priorities identified for the former Yugoslav Republic of Macedonia relate to its capacity to meet the
criteria set by the Copenhagen Council of 1993 and the conditions set for the stabilisation and association process,
notably the conditions defined by the Council in its conclusions of 29 April 1997 and 21 and 22 June 1999, the
content of the final declaration of the Zagreb Summit of 24 November 2000 and the Thessaloniki Agenda.

3.

PRIORITIES

The Commission's Annual Report assesses progress made and notes areas where the country needs to increase its
efforts. The priorities listed in this European Partnership have been selected on the basis that it is realistic to expect
that the former Yugoslav Republic of Macedonia can complete them or take them substantially forward over the
next years. A distinction is made between short term priorities, which are expected to be accomplished within one
to two years, and medium term priorities, which are expected to be accomplished within three to four years.

The European Partnership indicates the main priority areas for the former Yugoslav Republic of Macedonia's
preparations for further integration into the European Union, based on the analysis in the 2004 Annual Report.
It should be recalled that where legislation is concerned, incorporation of the EU acquis into legislation is not in
itself sufficient; it will also be necessary to prepare for its full implementation.

3.1. SHORT TERM

Political situation

Democracy and rule of law

E n s u r e t h e f u n c t i o n i n g o f S t a t e i n s t i t u t i o n s i n a l l t h e t e r r i t o r y .

t h e O h r i d F r a m e w o r k A g r e e m e n t — Implement the legislation already adopted to
I m p l e m e n t
implement the Framework Agreement (FA). Adopt remaining legislation required by the FA, in particular adopt and
implement the Laws on the Territorial Organisation, Municipal Finance and the City of Skopje. Achieve rapid
progress in the implementation of the decentralisation process to allow proper local elections as scheduled,
in
particular strengthening the municipalities’ capacity in financial management and management of transferred compe-
tences and assets through training, consultancy and provision of equipment. In parallel, strengthen administrative
capacities to supervise and facilitate the decentralisation process,
in particular of the
Ministry of Local Self-Government and of the Ministry of Finance in relation to fiscal decentralisation as well as
the line ministries in their own areas of competence. Ensure that appropriate budgetary resources are allocated in
order to ensure a smooth transfer of competencies. Adopt a medium term strategic plan for equitable representation
of minorities, including adequate budgetary means, and ensure speedy implementation. Take further measures to
ensure the implementation of the FA provisions on the use of language and on community symbols. Improve the
monitoring and evaluation capacity of the central government. Enhance efforts to revitalise former crisis areas.

including at central

level,

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t h e p u b l i c a d m i n i s t r a t i o n — Implement fully the Law on Civil
I m p r o v e t h e f u n c t i o n i n g o f
Servants. Further develop the Agency for Civil Servants. Develop appropriate strategic planning and related allo-
cation of resources in all Ministries and at Governmental level. Implement the Strategic Development Plan of the
General Secretariat. Complete ongoing functional analyses in all public bodies and take measures to implement their
recommendations, taking into account the decentralisation process. Improve administrative transparency and adopt a
law on public access to information. Reform the administrative procedures and administrative disputes laws in order
to strengthen the enforcement of citizens' rights. Implement fully the 2003 Law on the Ombudsman and complete
the reform of the Ombudsman's office. Ensure that the Ombudsman's recommendations are followed up. Encourage
the development of civil society including social partners' organisations and their active participation in the decision
making processes.

S t r e n g t h e n t h e j u d i c i a l s y s t e m — Prepare a comprehensive reform of the Judiciary. Review the current
system of selection, appointment and promotion of judges and prosecutors with a view to ensuring political
independence, irremovability of judges and career development based upon merit. Prepare necessary constitutional
and legislative amendments to guarantee the independence of the body in charge of their selection and career
development. Simplify court procedures. Improve the enforcement of the courts' decisions. Introduce alternative
dispute resolution mechanisms including arbitration and mediation in criminal matters. Ensure the appropriate
enforcement of property rights and court rulings in the area of civil law. Strengthen the institutional capacity to
train judges and prosecutors and prepare the setting up of a national school for magistrates. Provide for adequate
initial and vocational training schemes.

I m p r o v e t h e f i g h t a g a i n s t c o r r u p t i o n — Implement the strategy for the fight against corruption.
Increase institutional capacity to investigate and prosecute corruption. Improve coordination and ensure cooperation
Improve
between the law enforcement agencies and the State Commission on the Prevention of Corruption.
exchange of intelligence on corruption related cases between the services in charge of identifying,
investigating
and prosecuting established cases. Strengthen and implement the rules applying to officials' declaration of assets,
conflict of interest, transparency in public procurement and internal and external control of the administration.
Adopt appropriate legislation on financing of political parties.

Human rights and the protection of minorities

t h e

r e s p e c t o f h u m a n r i g h t s b y l a w e n f o r c e m e n t b o d i e s — Ensure full
I m p r o v e
compliance with the European Convention on Human Rights, the Convention for the Prevention of Torture and
Inhuman and Degrading Treatment or Punishment and other relevant international conventions. Implement the
Code of Ethics and ensure that irregularities are prosecuted. Deal with previous mistreatment cases through appro-
priate prosecutions. Upgrade internal controls and enforcement of professional standards in all law enforcement
agencies and judiciary and prison administrations. Respect pre-trial detention rules. Promote police, judges, prose-
cutors and other law enforcement bodies awareness of their obligations in terms of human rights, and ensure that
they implement them in accordance with international requirements.

P r o m o t e f r e e d o m o f e x p r e s s i o n a n d m e d i a — Review the legal framework for broadcasting to
prevent political interference. Take concrete steps to ensure the independence of media regulatory bodies. Review the
legislation on defamation to reflect European standards and the jurisprudence of the European Court of Human
Rights.

E n s u r e r e s p e c t o f m i n o r i t y r i g h t s — Ensure that the process of establishing a third State university in
Tetovo is completed in a way that creates synergy with the South East European University and provides for
academic standards in line with the Bologna declaration.

Regional cooperation and international

cooperation

P r o m o t e r e g i o n a l c o o p e r a t i o n — Comply with the stabilisation and association process requirements
and Thessaloniki commitments in terms of regional cooperation. Ensure implementation of all regional free trade
agreements. Pursue the conclusion of agreements with neighbouring countries, including on cross border coop-
eration as regards the fight against organised crime,
judicial cooperation, border
management, environment and energy, and ensure their effective implementation.

trafficking and smuggling,

E n s u r e p r o p e r
( S A A )
r e g i o n a l
bilateral convention on regional cooperation.

i m p l e m e n t a t i o n o f

f i e l d o f

i n t h e

t h e S t a b i l i s a t i o n a n d A s s o c i a t i o n A g r e e m e n t
c o o p e r a t i o n — Conclude negotiations with Croatia on the

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A d o p t
C r i m i n a l T r i b u n a l f o r t h e f o r m e r Y u g o s l a v i a .

a n a p p r o p r i a t e

l e g a l

f r a m e w o r k o n c o o p e r a t i o n w i t h t h e

I n t e r n a t i o n a l

I m p l e m e n t
i n t e r n a t i o n a l a g r e e m e n t s c o n c l u d e d b y t h e f o r m e r Y u g o s l a v R e p u b l i c
o f M a c e d o n i a — Guarantee the respect of commitments undertaken by the former Yugoslav Republic of
Macedonia in the framework of its relations with the EU.

Economic situation

Free market economy and structural reforms
S u s t a i n m a c r o e c o n o m i c s t a b i l i t y — Maintain a stable macroeconomic framework in the context of
the International Monetary Fund programme. Conclude an agreement on a follow-up programme.

P u r s u e e c o n o m i c r e f o r m s — Introduce comprehensive market oriented reforms aimed at reducing the
role of the State in the economy, and establish a level playing field for all economic actors allowing them to operate
in a stable and predictable environment. Clarify and enforce property rights, including in the context of privatisation.

I m p r o v e t h e b u s i n e s s e n v i r o n m e n t — Adopt and implement an improved legal framework on
company law. Upgrade the efficiency of the administrative and judicial system and streamline the efficiency of
bankruptcy procedures. Develop a programme to simplify and reduce licensing procedures and improve the trans-
parency of all administrative procedures impacting on enterprises.

E m p l o y m e n t p o l i c y — Develop and implement a comprehensive strategy to promote employment and
reduce unemployment, in particular with regard to vocational training and labour market reforms, involving all
relevant actors in all ethnic communities. Respect core labour standards and ensure their effective enforcement
(including freedom of association and right to collective bargaining, non-discrimination in employment and occu-
pation).

Management of public finances
I m p r o v e p u b l i c f i n a n c e m a n a g e m e n t — Implement fiscal decentralisation.
Implement the wage
decompression of civil service salary structure. Strengthen internal control and audit capacity in the Ministry of
Finance and broaden controls applied to the public administration as a whole. Review the Law on State Audit to
align it to EU standards and strengthen the State Audit Office as an independent State institution with an inde-
pendent budget. Exert greater control and supervision of expenditure of extra-budgetary funds. Establish an effective
Treasury Bill and Bond market.

EU Standards

Internal Market and Trade

I m p l e m e n t p r o p e r l y t h e P r o t o c o l o n t h e a d a p t a t i o n o f t h e S A A t o t a k e a c c o u n t o f
E U e n l a r g e m e n t
M o v e m e n t o f g o o d s — Make further progress on adopting European technical norms and standards.
Implement the 2002 legislation on standards certification, metrology and conformity assessment,
including the
adoption of secondary legislation and the strengthening of administrative capacity to ensure enforcement. Progress
with regard to the utilisation of the Combined Nomenclature.

F i n a n c i a l s e r v i c e s — Improve prudential regulatory framework and supervision of this sector.

P e r s o n a l d a t a p r o t e c t i o n — Amend the legislation on protection of personal data in line with EU
standards and set up an independent authority charged with the supervision of its implementation.

C u s t o m s — Achieve significant results in the fight against fraud, smuggling and trafficking. Further strengthen
the customs administration and ensure its proper functioning in order to reach EU standards. Carry forward the
reform process and ensure the proper implementation of the Strategic Plan 2004 to 2008. In particular, ensure the
proper operation of the new Professional Standards Unit and prosecute corruption cases within the customs Service.
Strengthen administrative cooperation in the customs sector. Strengthen the services involved in the implementation
of trade agreements and in particular with regard to the control of preferential rules of origin.

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T a x a t i o n — Start reviewing the present tax legislation and the administrative procedures in order to ensure
effective and non-discriminatory enforcement of tax legislation. Eliminate the present different excise duty rates for
tobacco products based on the origin of the goods (domestic or imported). Proceed with the ongoing reform of the
tax administration, and in particular strengthen its capacity at local level for collection and control of the tax due.
Address the problem of the increasing level of VAT refund arrears. Commit to the principles of the Code of Conduct
for business taxation and ensure that new tax measures are in conformity with these principles.

C o m p e t i t i o n a n d S t a t e a i d — Adopt legislation against the restriction of competition. Entrust the
competition authority with efficient means to directly enforce the law and impose sanctions. Promote transparency
and basic enforcement of State aid principles. Promote competition policy by fostering liberalisation, improving
public procurement practices, ensuring a pro-competitive approach to privatisation. Adopt secondary legislation on
state aid and strengthen the administrative capacity to implement the legal framework.

P u b l i c p r o c u r e m e n t — Improve the current legal framework on public procurement in line with the EU
acquis and set up an Agency for Public Procurement able to ensure the implementation of the legal framework.

I n t e l l e c t u a l ,
relating to the Law on Industrial Property and implement
copyright and related rights.

i n d u s t r i a l a n d c o m m e r c i a l p r o p e r t y r i g h t s — Adopt secondary legislation
legislation

the law. Continue improvement of

Sectoral policies
I n d u s t r y a n d S M E s — Adopt the restructuring and conversion programme for the steel industry in line with
Implement the principles of the
the competition related EU acquis to create efficient and competitive firms.
European Charter for Small Enterprises and implement
Improve access of small and
medium-sized enterprises to financial and non-financial services. Continue preparation of a national guarantee fund.

targets set

for 2004.

E n e r g y — Develop the newly-established Energy Regulatory Commission in order to meet EU guidelines and
avoid a monopolistic situation emerging in the energy sector. Amend the Energy Law establishing the transmission
system operator and addressing the public service obligations. Pursue reforms (privatisation) in the electricity sector.

T e l e c o m m u n i c a t i o n — Ensure that the electronic communications sector is liberalised effectively including
the strengthening of regulatory bodies and the adoption of suitable laws and policies for the sector.

E n v i r o n m e n t — Adopt laws on environment, waste management, water management, protection of natural
resources and air quality in line with EU standards. Develop a national strategy for sustainable development, in line
with the acquis, including a comprehensive plan for the implementation of the recommendations set out in the
conclusions of the United Nations World Summit on Sustainable Development in Johannesburg 2002.

Cooperation in justice and home affairs
B o r d e r m a n a g e m e n t — As a follow up to the Ohrid regional Conference on border security and
implement the short term measures which were adopted by the Government and
management in May 2003,
presented at the meeting of
JHA ministers within the framework of the EU-Western Balkans Forum on 28
November 2003. Implement the Integrated Border Management Strategy adopted in December 2003 in cooperation
between the agencies concerned. Strengthen the coordination between the Ministry of Interior and the Ministry of
Defence to facilitate the transfer of competences on border control to the border police, and ensure the institutional
development of border police service.

M i g r a t i o n a n d a s y l u m p o l i c i e s — Implement the 2003 Law on Asylum. Establish an independent and
transparent appeal and review panel for asylum seekers. Adopt appropriate by-laws for the implementation and
development of reception policies and facilities. Revise the migration legislation, in particular review the legislation
related to legal and illegal immigration and trafficking in human beings. Establish a common strategy to fight illegal
immigration and the trafficking of human beings,
integrating the regional dimension. Adopt a new Law on
Foreigners.

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P o l i c e — Ensure that the police services, in particular the special police forces, behave according to international
standards and practices. Clarify the respective roles of the Ministry of Interior and the Ministry of Defence in crisis
management situations in line with EU practices. Adopt and implement an Action Plan for the reform of the police,
taking into consideration equitable representation at all levels, and plan the necessary resources for its implemen-
tation. Take urgent measures to reform human resources management. Improve cooperation with the Judiciary.
Enhance training capacities and ensure the proper functioning of the Police Academy, including the proper allo-
cation of budgetary resources. Reduce corruption and irregular behaviour within police ranks. Promote cooperation
with Interpol and other international law enforcement organisation, in particular through improved consultation of
their databases.

t r a f f i c k i n g , d r u g s , m o n e y l a u n d e r i n g a n d t e r r o r i s m — Implement
O r g a n i s e d c r i m e ,
the action oriented measures that have been adopted by the Government and presented at the EU-western Balkans
JHA ministerial meeting of 28 November 2003. Complete the ratification of the 2002 UN Convention on Organised
Crime and its related protocols on small arms, trafficking in human beings and smuggling of migrants, and ensure
implementation. Enhance coordination between law-enforcement bodies involved in fighting organised crime.
Enhance intelligence and risk analysis and set up a central criminal
intelligence unit, working in cooperation
with all law enforcement agencies. Adopt the legislative changes needed to allow for the use of special investigative
means. Develop witness protection programmes. Increase capacity to fight against drug trafficking. Develop a
national drugs strategy in line with the EU Drugs Strategy and Action Plan on Drugs. Clarify the respective roles
of the Directorate against Money Laundering (DML) and of the Financial Police and upgrade the DML to the level of
a financial intelligence unit in line with EU standards. Take the necessary steps to prepare for the conclusion of an
agreement with Europol. Increase international cooperation and implement relevant international conventions on
terrorism. Improve cooperation and exchange of information between police and intelligence services within the
State and with other States. Prevent the financing and preparation of acts of terrorism.

3.2. MEDIUM TERM

Political situation

Democracy and the rule of law

t h e F A — Implement the strategic plan for equitable representation of minorities. Ensure the
I m p l e m e n t
proper functioning of the decentralised levels of government. Sustain efforts in revitalising former crisis areas.

F u r t h e r i m p r o v e t h e f u n c t i o n i n g o f t h e a d m i n i s t r a t i o n — Further promote independence of
the administration, transparency in recruitment procedures and career development based on merit, professionalism
and equitable representation of all communities. Pursue the reform of the public administration, in particular in view
of the outcome of the ‘functional’ analysis. Further develop the capacity of Ministries to perform a range of common
functions needed to support the coordinating role for the General Secretariat and other central agencies (policy
development, strategic planning, financial management, personnel management,
information technology). Ensure
that the sectors in the administration responsible for the implementation of the SAA provisions are duly equipped to
carry out their duties. Further encourage the development of civil society including social partners organisations and
their participation in the decision making process.

s t r e n g t h e n t h e j u d i c i a l

s y s t e m — Implement a comprehensive reform of the judicial
F u r t h e r
system,
including the necessary changes in the Constitution and in the legal framework, and strengthen the
overall capacity of the judicial system. Ensure the effective functioning of the National School for Magistrates.
Enhance training on EU legislation, cross border cooperation in criminal matters and practices. Decrease the
backlog of cases in all courts. Ensure provision of appropriate equipment and well trained and specialised admin-
istrative staff with the appropriate status. Ensure sufficient budgetary resources to guarantee access to justice and
legal aid. Increase salaries.

t h e

f i g h t

a g a i n s t

i m p r o v e

c o r r u p t i o n a n d o r g a n i s e d c r i m e — Achieve
F u r t h e r
levels, through adequate legislation and the
significant, tangible results in the fight against corruption, at all
proper implementation of the national programme against corruption. Facilitate the placement of liaison officers,
seconded by EU Member States in the relevant State bodies involved in the fight against organised crime. Provide
six-monthly reports to the EU on tangible results achieved in the judicial pursuit of organised crime related activities
under the terms of the United Nations Convention on transnational organised crime, known as the Palermo
Convention.

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Human rights and the protection of minorities
E n s u r e t h e r e s p e c t o f h u m a n r i g h t s b y l a w e n f o r c e m e n t b o d i e s — Ensure that the police,
judges, prosecutors and other law enforcement bodies are fully aware of their obligations and that they are
implemented. Ensure that human dignity is respected in detention centres and prisons.

F u r t h e r p r o m o t e f r e e d o m o f e x p r e s s i o n a n d m e d i a — Ensure that the laws in the media sector
are in line with the EU standards and are properly implemented.

F u r t h e r p r o m o t e t h e p r i n c i p l e o f n o n - d i s c r i m i n a t i o n a n d e q u a l
r e p r e s e n t a t i o n
— Foster employment opportunities for all ethnic communities and facilitate access to education. Promote
higher education for minorities and ensure that higher education in Albanian respects EU standards as defined in
the Bologna declaration.

Regional and International Cooperation

F u r t h e r p r o m o t e r e g i o n a l c o o p e r a t i o n — Maintain a constructive and balanced regional policy
which promotes dialogue, stability, good neighbourhood and cooperation. Implement the Memorandum of Under-
standing of the South East Europe (SEE) Core Regional Transport Network. Implement the commitments undertaken
in the framework of the 2003 Athens Memorandum of Understanding on the Regional Energy Market in SEE, and
prepare for the establishment of the Integrated Regional Energy Market.

I m p l e m e n t
i n t e r n a t i o n a l a g r e e m e n t s c o n c l u d e d b y t h e f o r m e r Y u g o s l a v R e p u b l i c
o f M a c e d o n i a — Fully implement international agreements and conventions ratified by the former Yugoslav
Republic of Macedonia, in particular conventions in the fields of justice and home affairs, human and minority rights
and trade.

Economic situation

Free Market Economy and Structural Reforms

E n s u r e s u s t a i n a b i l i t y o f e c o n o m i c r e f o r m s

F u r t h e r i m p r o v e t h e b u s i n e s s e n v i r o n m e n t — Ensure effective implementation of main interna-
tional and EU standards on company law, accounting and auditing. Further upgrade the efficiency of the admin-
istrative and judicial system, fully implement the programme to simplify and reduce licensing procedures and further
improve the transparency of all administrative procedures impacting on enterprises. Ensure the enforcement of
creditors' rights within a transparent legal framework and through reforming the cadastre. Promote the implemen-
tation of a code on corporate governance.

E m p l o y m e n t a n d s o c i a l p o l i c y — Develop a social policy to promote social cohesion, effective social
protection systems,
improve social standards and address poverty and social exclusion. Further develop an
employment policy, involving all relevant actors.

Management of public finances

i m p r o v e p u b l i c f i n a n c e s a n d t h e i r m a n a g e m e n t — Enhance public internal and
F u r t h e r
external financial control. Remove the main obstacles for the development of the second pillar of the pension
system, in particular the financing of the transition from a solidarity system to a mandatory accumulation system.

F r a u d — Establish effective procedures for the detection, treatment and follow-up of cases of (suspected) fraud
and other irregularities affecting national and international funds.

EU standards

Internal market and trade
M o v e m e n t o f g o o d s — Reinforce the Government's capacity to implement the SAA, in particular through
developing internal expertise to assess whether draft legislation is in line with the EU acquis.

F i n a n c i a l s e r v i c e s — Ensure effective implementation of independent and well trained supervisory autho-
rities in accordance with internationally recognised standards.

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P e r s o n a l d a t a p r o t e c t i o n — Continue institutional strengthening of the data protection authority in line
with EU standards and practices.

C u s t o m s — Further strengthen the customs administration and ensure its proper functioning in order to reach
EU standards. Implement the Strategic Plan 2004 to 2008.

T a x a t i o n — Continue strengthening the tax administration, in particular tax collection and control, and ensure
its proper functioning in order to reach EU standards. Develop an audit strategy and adequate IT systems.

C o m p e t i t i o n a n d S t a t e a i d — Implement the legislation against the restriction of competition. Further
strengthen the competition authority by giving the power to enforce the law and pronounce sanctions. Further
promote transparency in State aid.

P u b l i c p r o c u r e m e n t — Achieve fully operational public procurement structures which ensure the conduct
of public procurement procedures in full accordance with the law and SAA principles.

I n t e l l e c t u a l p r o p e r t y r i g h t s — Ensure the implementation of
industrial property.

the legislation on intellectual and

Sectoral Policies
I n d u s t r y a n d S M E s — Implement the restructuring and conversion programme for the steel
industry.
Complete the implementation of the strategy for the implementation of the European Charter for Small Enterprises.
Promote SMEs' access to credit facilities. Further develop experience of non-financial SME support mechanisms (i.e.
clusters and technology parks). Implement the FIAS action plan on reduction of barriers to investment.

T e l e c o m m u n i c a t i o n — Transpose and implement the new EU framework for electronic communications.

A g r i c u l t u r e — Adopt and implement structural reforms in the field of agriculture. Adopt and implement
comprehensive reform including border and internal inspection services and practices regarding plant and animal
health, policy analysis, sector information systems and statistics and coordination functions for existing public- and
private-sector institutions and services.

E n v i r o n m e n t — Further approximate legislation with EU standards.
the legislation adopted.
Improve environmental monitoring and further build administrative capacity. Integrate environmental concerns in
impact assessments in line with EU standards.
various policies,

in particular through developing environmental

Implement

Cooperation in Justice and Home Affairs
B o r d e r m a n a g e m e n t — Complete the implementation of the Integrated Border Management Strategy in
cooperation between the competent agencies.

M i g r a t i o n a n d A s y l u m p o l i c i e s — Strengthen the development of national asylum structures in line
with international and European standards to enable them to provide appropriate protection and assistance to
asylum seekers and refugees. Implement the strategy to fight illegal immigration and trafficking of human beings.

P o l i c e — Complete the implementation of the reform of the police. Enhance training to fight new forms of
criminality, including computer and trans-border crime. Further improve police information systems.

t r a f f i c k i n g , d r u g s , a n d m o n e y l a u n d e r i n g — Achieve significant results
O r g a n i s e d c r i m e ,
in the fight against organised criminality. Ensure the implementation of the UN instruments against organised crime.
Further improve the State's capacity to prevent and combat crime, through coordination between law enforcement
agencies and with the judiciary, increased analytical capacity to deal with criminal intelligence and further training in
new forms of criminality. Decrease the number of illicit small arms and light weapons. Ensure the full operation of
the financial intelligence unit in line with EU standards. Implement the national drugs strategy. Reinforce the fight
against economic and financial crime (including money-laundering and counterfeiting of currencies) and fraud as
well as improve the related national legislation.

L 222/28

EN

Official Journal of the European Union

23.6.2004

4. PROGRAMMING

Community assistance under the stabilisation and association process to the western Balkan countries will be
provided by the relevant financial instruments, and in particular by Council Regulation (EC) No 2666/2000 of 5
December 2000 on assistance for Albania, Bosnia and Herzegovina, Croatia, the Federal Republic of Yugoslavia and
the former Yugoslav Republic of Macedonia (1); accordingly, this Decision will have no financial implications. In
addition the former Yugoslav Republic of Macedonia will have access to funding from multi-country and horizontal
programmes. The Commission is working with the European Investment Bank and the International Financial
Institutions, in particular the European Bank for Reconstruction and Development and the World Bank, with a
view to facilitate the co-financing of projects relating to the stabilisation and association process.

5. CONDITIONALITY

Community assistance under the Stabilisation and Association process to the western Balkan countries is conditional
on further progress in satisfying the Copenhagen political criteria. Failure to respect these general conditions could
lead the Council to take appropriate measures on the basis of Article 5 of Regulation (EC) No 2666/2000.

Community assistance shall also be subject to the conditions defined by the Council in its Conclusions of 29 April
1997,
in particular as regards the recipient's undertaking to carry out democratic, economic and institutional
reforms, taking into account the priorities set out in this European Partnership.

6. MONITORING

The follow-up of the European Partnership is ensured through the framework of the mechanisms established under
the stabilisation and association process, notably the Annual Report on the stabilisation and association process.

(1) OJ L 306, 7.12.2000, p. 1. Regulation as amended by Regulation (EC) No 2415/2001 (OJ L 327, 12.12.2001, p. 3).