Proposal for a Council Decision on the principles, priorities and conditions contained in the European Partnership with Bosnia and Herzegovina and repealing Decision 2006/55/EC
Date: 2007-11-06
Institutions: European Commission
Subjects: Bosnia and Herzegovina, association agreement (EU), cooperation agreement (EU), democracy, economic stabilisation, enlargement of the Union, rule of law, structural policy

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 6.11.2007 
COM(2007) 657 final 

Proposal for a 

COUNCIL DECISION 

on the principles, priorities and conditions contained in the European Partnership with 
Bosnia and Herzegovina and repealing Decision 2006/55/EC 

(presented by the Commission) 

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EXPLANATORY MEMORANDUM 

The  Thessaloniki  European  Council  of  19  and  20  June  2003  endorsed  the  "Thessaloniki 
Agenda for the Western Balkans", which introduced the partnerships as a means of realising 
the European perspective of the Western Balkan countries.  

On  30  January  2006  the  Council  adopted  the  revised  European  Partnership  for  Bosnia  and 
Herzegovina,  based  on  the  Commission's  proposal  presented  on  9  November  2005.  The 
partnerships  contain  short–term  and  medium–term  priorities.  The  countries  are  expected  to 
fulfil the short–term priorities in one to two years.  

Therefore  the  Commission  considers  it  appropriate  to  present  a  proposal  for  an  updated 
partnership for Bosnia and Herzegovina. This renewed partnership is based on the provisions 
of Council Regulation (EC) No 533/2004 of 22 March 2004 and takes into account the new 
developments  as  described  in  the  2007  Progress  Report.  It  lists  short-  and  medium-term 
priorities for the country’s preparations for further integration with the European Union.  

In  order  to  respond  to  the  European  Partnership,  the  competent  authorities  in  Bosnia  and 
Herzegovina  should  develop  a  plan  with  a  timetable  and  specified  measures  Bosnia  and 
Herzegovina  intends  to  take  to  this  end.  The  Commission  will  monitor  progress  in 
implementing the priorities regularly. 

The European Partnership priorities form the basis for programming the financial assistance 
of the Community, which will continue to be provided under relevant financial instruments, in 
particular Council Regulation (EC) No 1085/2006 of 17 July 2006 establishing the Instrument 
for Pre-Accession Assistance (IPA). 

The  proposed  Council  Decision  has  no  financial  implications.  In  view  of  the  above,  the 
Commission invites the Council to adopt the attached proposal for a Council Decision. 

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Proposal for a 

COUNCIL DECISION 

on the principles, priorities and conditions contained in the European Partnership with 
Bosnia and Herzegovina and repealing Decision 2006/55/EC 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty establishing the European Community, 

Having  regard  to  Council  Regulation  (EC)  No  533/2004  of  22  March  2004  on  the 
establishment of partnerships in the framework of the Stabilisation and Association Process1, 
as amended, and in particular Article 2 thereof, 

Having regard to the proposal from the Commission, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

(5) 

1 

2 

3 

The Thessaloniki European Council of 19 and 20 June 2003 endorsed the introduction 
of the European Partnerships as a means to materialise the European perspective of the 
Western Balkan countries. 

Regulation (EC) No 533/2004 provides that the Council is to decide on the principles, 
priorities and conditions to be contained in the partnerships, as well as any subsequent 
adjustments.  It  states  also  that  the  follow-up  to  the  European  Partnerships  will  be 
ensured  through  the  mechanisms  established  under  the  Stabilisation  and  Association 
Process, notably by the annual progress reports. 

On 30 January 2006 the Council adopted the second European Partnership with Bosnia 
and Herzegovina2. 

The  Commission's  Paper  on  enlargement  strategy  and  main  challenges  2006–2007 
indicated that the partnerships would be updated at the end of 2007. 

On 12 June 2006 the Council adopted Regulation (EC) No 1085/2006 establishing an 
Instrument  for  Pre-accession  Assistance  (IPA)3,  which  renews  the  framework  for 
financial assistance to pre-accession countries. 

OJ  L  86,  24.3.2004,  p.  1.  Regulation  as  last  amended  by  Regulation  (EC)  No  269/2006  (OJ  L  47, 
17.2.2006, p. 7). 
Council Decision 2006/55/EC of 30 January 2006 on the principles, priorities and conditions contained 
in  the  European  Partnership  with  Bosnia  and  Herzegovina  and  repealing  Decision  2004/515/EC 
(OJ L 35, 7.2.2006, p. 32). 
OJ L 210, 31.7.2006, p. 82. 

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(6) 

(7) 

It is therefore appropriate to adopt a revised European Partnership which updates the 
current partnership in order to identify renewed priorities for further work, on the basis 
of the findings of the 2007 Progress Report on Bosnia and Herzegovina's preparations 
for further integration with the European Union. 

In  order  to  prepare  for  further  integration  with  the  European  Union,  the  competent 
authorities  in  Bosnia  and  Herzegovina  should  develop  a  plan  with  a  timetable  and 
specific measures to address the priorities of this European Partnership. 

(8) 

Decision 2006/55/EC should therefore be repealed, 

HAS DECIDED AS FOLLOWS: 

Article 1 

The  principles,  priorities  and  conditions  in  the  European  Partnership  with  Bosnia  and 
Herzegovina are set out in the Annex. 

Article 2 

The implementation of the European Partnership shall be examined through the mechanisms 
established under the stabilisation and association process, notably the annual progress reports 
presented by the Commission. 

Decision 2006/55/EC shall be repealed. 

Article 3 

Article 4 

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

Done at Brussels,  

For the Council 
The President 

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ANNEX: BOSNIA AND HERZEGOVINA 2007 EUROPEAN PARTNERSHIP 

1. 

INTRODUCTION 

The European Council endorsed the introduction of the European Partnerships as a means to 
realise  the  European  perspective  of  the  Western  Balkan  countries.  The  proposed  revised 
partnership  updates  the  second  one,  on  the  basis  of  the  findings  of  the  2007  Commission 
Progress  Report  on  Bosnia  and  Herzegovina.  It  identifies  new  and  remaining  priorities  for 
action. The new priorities are adapted to the country’s specific needs and stage of preparation 
and  will  be  updated  as  necessary.  Bosnia  and  Herzegovina  is  expected  to  develop  a  plan 
including  a  timetable  and  specific  measures  intended  to  address  the  European  Partnership 
priorities. The partnership also provides guidance for financial assistance to the country. 

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 priorities identified 
for  Bosnia  and  Herzegovina  relate  to  its  capacity  to  meet  the  criteria  defined  by  the 
Copenhagen  European  Council  of  1993  and  the  conditions  set  by  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  final  declaration  of  the  Zagreb  Summit  of 
24 November 2000 and the Thessaloniki Agenda. 

3. 

PRIORITIES 

The  priorities  listed  in  this  European  Partnership  have  been  selected  on  the  basis  that  it  is 
realistic to expect that Bosnia and Herzegovina can complete them or take them substantially 
forward over the next few 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  priorities  concern  both 
legislation and its implementation. 

In view of the need to set priorities, clearly there are other tasks for Bosnia and Herzegovina 
to complete which may become priorities in any future partnership, also taking into account 
future progress made by Bosnia and Herzegovina. 

Among the short-term priorities, the key ones have been identified and grouped together at the 
beginning  of  the  list.  The  order  of  these  key  priorities  does  not  imply  a  ranking  in  their 
importance. 

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3.1. 

Short-term priorities 

Key priorities 

–  Adopt  police  reform  legislation  at  State  and  Entity  levels  in  line  with  the  three  EU 

principles and begin to implement the police reform. 

–  Fully  cooperate  with  the  International  Criminal  Tribunal  for  the  former  Yugoslavia 
(ICTY), including by playing a proactive role in apprehending all ICTY indictees at large.  

–  Adopt the required public broadcasting legislation at the level of the Federation of Bosnia 

and Herzegovina. Implement public broadcasting reform.  

–  Implement  the  2006  strategy  for  public  administration  reform  and  ensure  that  State-level 
ministries  and  institutions  are  adequately  financed,  operational  and  properly  equipped, 
especially in terms of premises and staff.  

–  Strengthen  administrative  capacity  in  preparation  for  implementing  Stabilisation  and 

Association Agreement (SAA) and Interim Agreement (IA) commitments. 

–  Pursue efforts aimed at reconciliation between citizens of the countries in the region and 
enhance efforts to find definitive solutions to pending bilateral issues, in particular border 
issues. 

–  Make substantial progress on creating a single economic space in Bosnia and Herzegovina 

supporting the free movement of goods, capital, services and persons. 

–  Reduce structural rigidities that distort the functioning of the labour market, in particular 
the taxation of labour, levels of social transfers and wage-setting mechanisms in order to 
increase the participation and employment rates. 

–  Take  measures  to  achieve  more  functional  and  sustainable  institutional  structures  and 
better  respect  for  human  rights  and  fundamental  freedoms,  including  by  agreeing  and 
adopting changes to the constitution of Bosnia and Herzegovina, as necessary. 

Political Criteria 

Democracy and the rule of law 

Constitution/ Governance 

–  Take  further  steps  to  provide  Bosnia  and  Herzegovina’s  parliamentary  assembly  with 

sufficient technical resources and personnel. 

–  Ensure  structured  and 

institutionalised  State/Entity  coordination  by  establishing 
functioning  mechanisms  for  political,  legislative  and  technical  coordination  between  the 
State and the Entities. 

–  Ensure  due  follow-up  to  the  reports  issued  by  Bosnia  and  Herzegovina’s  supreme  audit 

institutions and take measures against those responsible for irregularities. 

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Parliament/ Elections  

–  Amend electoral legislation regarding members of the Bosnia and Herzegovina Presidency 
and House of Peoples delegates to ensure full compliance with the European Convention 
on Human Rights and the Council of Europe post-accession commitments. 

Public administration  

–  Provide  the  Public  Administration  Coordinator’s  Office  with  the  human  and  material 

resources necessary to carry out its work. 

–  Further  improve  recruitment  procedures  based  on  objective  and  merit-based  criteria, 

ensuring transparency and prompt appointment of sufficiently qualified civil servants. 

–  Harmonise  the  civil  service  laws  in  order  to  build  an  accountable,  efficient  civil  service, 

based on professional career development criteria. 

–  Complete the merger of the State and Entity ombudsmen and ensure that the State -level 

office has the resources necessary to function properly. 

Judicial system  

–  Reinforce  the  independence  and  accountability  of  the  judicial  system  and  improve  its 

effectiveness, including by reducing the backlog of cases. 

–  Adopt and start implementing a strategy for development of the judicial sector. 

–  Ensure adequate training of the judiciary, in particular as regards human rights legislation 

and issues related to implementation of the Stabilisation and Association Agreement. 

Anti-corruption policy 

–  Adopt and implement a detailed action plan against corruption, based on the national anti-

corruption strategy. 

–  Implement  the  recommendations  made  by  the  Group  of  States  against  Corruption 

(GRECO) and the obligations resulting from international conventions on corruption. 

–  Prosecute corruption vigorously and adopt a zero-tolerance policy towards corruption. 

–  Ensure proper implementation of the law on conflict of interests. 

Human rights and protection of minorities 

–  Remove provisions on the death penalty from the Republika Srpska constitution. 

–  Improve  implementation  of  the  international  conventions  ratified  by  Bosnia  and 

Herzegovina, including reporting requirements.  

–  Agree  on  a  comprehensive  penitentiary  reform  and  ensure  construction  of  a  State  level 

prison. 

–  Further improve the legal framework on minorities so that it fully meets the requirements 
of  the  Council  of  Europe  Framework  Convention  on  National  Minorities  and  ensure 
implementation throughout Bosnia and Herzegovina. 

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–  Ensure proper operation of the Council of National Minorities of Bosnia and Herzegovina 

and the corresponding bodies at Entity level.  

–  Develop and implement all the sectoral action plans under the national strategy for Roma 

as part of a comprehensive strategy on poverty alleviation and social inclusion. 

–  Continue de-institutionalisation, community-based services and aid to dependent persons, 

including in the field of mental health. 

Regional issues and international obligations 

–  Contribute  to  strengthening  regional  cooperation,  reconciliation  and  good  neighbourly 
relations, including by promoting the transition from the Stability Pact to a more regionally 
owned cooperation framework and effective implementation of the Central European Free 
Trade Agreement (CEFTA). 

–  Enhance  cooperation  with  neighbouring  countries,  notably  on  cross-border  cooperation, 
the  fight  against  organised  crime,  trafficking  and  smuggling,  judicial  cooperation  and 
border management. 

–  Contribute to solution of the outstanding border issues with neighbouring countries. 

–  Ensure that the refugee return fund is properly funded and fully operational; contribute to 
full  implementation  of  the  Sarajevo  Declaration;  complete  the  process  of  refugee  return 
and achieve significant progress towards their economic and social integration.  

Economic criteria 

–  Strengthen  macroeconomic  stability  by  ensuring  a  sustainable  fiscal  stance  and  using 
prudential  policy  instruments  to  preserve  financial  stability  in  the  light  of  rapid 
development in financial intermediation. 

–  Accelerate  the  privatisation  process,  with  the  objective  of  transferring  5-10%  of  the 
publicly owned capital to the private sector, with the Federation targeting the upper limit. 

–  Develop fiscal surveillance mechanisms based on fiscal rules and institutional cooperation 
that  promote  fiscal  discipline  within  Entities  and  between  Entities  and  State  institutions; 
ensure  the  adequate  environment  for  institutional  cooperation  within  the  framework  of  a 
properly functioning National Fiscal Council. 

–  Finalise  the  reconciliation  of  domestic  claims  in  line  with  the  repayment  capacity  of  the 

budget and put public debt on a sustainable and declining trend. 

–  Improve corporate governance by achieving substantial progress with the restructuring and 

liquidation of loss-making publicly owned enterprises. 

–  Ensure  that  the  commercial  courts  function  properly  and,  in  particular,  enhance  the 
capacity of courts to process corporate bankruptcy/liquidation procedures more efficiently.  

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European standards 

Internal market  

Free movement of goods  

–  Improve and implement the legal framework for standardisation, metrology, accreditation 
and  certification  of  products  to  bring  it  into  line  with  EU  standards  and  best  practice; 
further approximate technical regulations with those of the acquis; enhance the capacity of 
the  quality  infrastructure  and  institutions,  and  create  the  legal  basis  for  conformity 
assessment procedures.  

–  Ensure continuing progress in adopting European standards (ENs). 

–  Establish an internal consultation and notification mechanism for new technical regulations 

prior to adoption of measures with an impact on trade. 

–  Ensure that the market surveillance agency is fully functioning and continue to take steps 
to establish a market surveillance structure responding to the requirements of the acquis on 
free movement of goods. 

–  Adopt  the  State  law  on  pharmaceutical  and  medical  devices  and  establish  the  State 

Pharmaceutical Agency. 

Movement of persons, services and right of establishment  

–  Bring banking supervision to State level (together with the ancillary supervision activities) 
and ensure that this supervisory authority functions effectively, in line with the Basel core 
principles for effective banking supervision. 

–  Adopt the State level laws on obligations. 

–  Ensure  that  the  insurance  agency  of  Bosnia  and  Herzegovina  functions  properly  and 

guarantees the existence of a single internal insurance market.  

–  Create a consistent legislative and regulatory framework for the capital markets to ensure 
the  existence  of  a  single  economic  area  and  create  an  adequate  institutional  setting  for 
coordination of capital markets policies and legislation. 

Free movement of capital 

–  Make further progress on the elimination of restrictions on outward transfers of capital. 

Customs and taxation 

–  Further approximate customs and tax legislation and procedures with the acquis and ensure 
that  the  Bosnia  and  Herzegovina  tariff  is  timely  updated  on  the  basis  of  the  most  recent 
Combined Nomenclature. 

–  Ensure  that  the  legal  framework  for  free  zones  is  compatible  with  EU  standards  and 

guarantees adequate supervision of free zones.  

–  Ensure proper implementation of rules of origin, including diagonal cumulation.  

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–  Implement  customs  valuation  rules  in  accordance  with  international  standards  and 

practices. 

–  Dismantle  taxes  with  an  effect  equivalent  to  a  customs  duty  (customs  fees  for  the 

processing of customs declarations). 

–  Further improve the administrative capacity to implement customs and tax legislation and 

to fight against corruption, cross-border crime and fiscal evasion. 

–  Agree  on  a  permanent  formula  for  allocation  of  indirect  tax  revenue  between  the  State, 

Entities and Brčko district. 

–  Commit to the principles of the Code of Conduct for business taxation and ensure that new 

tax measures are in compliance with these principles. 

Competition 

–  Improve existing anti-trust legislation in line with the requirements of the Stabilisation and 
Association  Agreement  and  strengthen  the  administrative  capacity  of  the  Competition 
Council. 

–  Accelerate  preparations  in  the  field  of  state  aid,  notably  by  adopting  the  necessary 
legislation,  by  establishing  an  operationally  independent  public  state  aid  monitoring 
authority and by ensuring the transparency of all aid granted in Bosnia and Herzegovina.  

Public procurement  

–  Ensure that the single public procurement system functions properly and implement public 
procurement legislation and procedures. Continue developing administrative capacity. 

Intellectual property law 

–  Make  the  Institute  for  Intellectual  Property  fully  operational  so  that  it  can  carry  out  its 

tasks effectively and implement and enforce the current legal framework. 

–  Prepare  an  action  plan  for  building  the  necessary  capacity  to  implement  and  enforce 
intellectual property laws, with particular focus on the need to provide specialised training 
for law enforcement bodies, judges, prosecutors and customs officials. 

–  Improve cooperation among law enforcement bodies and between all relevant stakeholders 
with  the  aim  of  strengthening  enforcement  and  start  developing  public  awareness 
campaigns. 

Employment and social policies 

–  Further develop social inclusion and social protection policies.  

–  Develop mechanisms for a social dialogue. 

–  Make further efforts improve the situation of persons with disabilities. 

–  Develop  adequate  administrative  structures  and  capacity  in  the  field  of  consumer  and 

health protection. 

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Education and research 

–  Implement the State level Law on higher education, paving the way for implementation of 
the main components of the Bologna process and the Lisbon Recognition Convention. 

–  Resolve  fragmentation  of  the  educational  system  and  the  overlap  of  functions  between 
different  levels  of  organisation.  Strengthen  policy  development  and  strategic  planning  to 
improve the quality of education 

–  Take measures to prevent segregation of children along ethnic lines at school.  

–  Sign and ratify the UNESCO Convention on the Protection and Promotion of the Diversity 

of Cultural Expressions. 

–  Start designing an integrated research policy. 

WTO issues 

–  Continue the reforms necessary to comply with  WTO  rules  and  obligations  and  continue 

the work towards achieving WTO accession. 

Sectoral policies 

Industry and SMEs 

–  Create  a  coherent  legal  and  institutional  framework  for  SMEs  in  order  to  implement  the 

SME Charter properly. 

–  Adopt the proposed country-wide strategy on SME's and set in place the required minimal 
capabilities  at  the  State  level  to  ensure  a  coherent  and  coordinated  SME  policy  in  the 
whole  country,  including  a  national  SME  Agency  and  a  forum  for  dialogue  and 
consultation with SMEs. 

–  Develop a comprehensive industrial policy. 

Agriculture and fisheries 

–  Adopt the Law on Agriculture, Food and Rural Development and ensure an adequate legal 
framework  for  harmonised  implementation  of  agricultural,  food  and  rural  development 
policies. Develop a comprehensive agricultural strategy at State level. 

–  Strengthen  administrative  capacity  at  State  level  as  regards  agriculture,  food  and  rural 
development  in  order  effectively  to  coordinate  implementation  of  market  and  rural 
development policies throughout the whole country. Work towards the establishment of a 
State level Ministry of Agriculture, Food and Rural Development with sufficient resources 
to implement its tasks. 

–  Ensure  adoption  of  legislation  compliant  with  the  European  standards  in  the  food  safety, 

veterinary and phytosanitary sectors and start to implement it. 

–  Enhance laboratory and inspection capacity in the food safety, veterinary and phytosanitary 
sectors,  establish  reference  laboratories  and  develop  sampling  procedures  in  compliance 
with EU requirements. 

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–  Improve the system for identification of bovines and registration of their movements and 

start identification of pigs, sheep and goats and registration of their movements. 

Environment 

–  Adopt  a  State  environmental  law  to  create  the  framework  for  nationwide  harmonised 

environmental protection. 

–  Further implement legislation on environmental impact assessment. 

–  Ratify and start implementing relevant international conventions, including the Aarhus and 

Espoo Conventions. 

–  Establish and ensure proper functioning of the State Environment Agency.  

–  Further  strengthen  the  administrative  capacity  of  the  environment-related  institutions,  in 
particular  at  State  level,  and  improve  communication  and  coordination  between  those 
institutions. 

Energy 

–  Fulfil  the  obligations  arising  from  the  Energy  Community  Treaty  since  1st  July  2007  as 
regards the full implementation of the acquis on the internal gas and electricity market and 
on cross-border exchanges in electricity.  

–  Develop and adopt a comprehensive energy strategy. 

Transport policy 

–  Continue  the  implementation  of  the  requirements  of  the  Memorandum  of  Understanding 
on the Development of the South East Europe Core Regional Transport Network, including 
the  Addendum  on  a  SEE  Rail  Transport  Area  Coordinate  and  consolidate  at  State  and 
Entities level the transport infrastructure planning in view of a consistent prioritisation of 
transport projects along the South East Europe Core Regional Transport Network. 

–  Approximate to the road transport acquis (technical and safety standards, social rules and 

access to the market).  

–  Fully implement the State Law on Railways. Prepare railway network statement for open 

access to infrastructure use. 

–  Implement commitments taken under the first transitional phase of the European Common 
Aviation  Area  Agreement,  including  the  implementation  of  the  relevant  aviation 
legislation. 

Information society and media 

–  Adopt the Law on the Information Society Agency and establish the Agency. 

–  Implement and enforce the regulations on telecommunications/electronic communications 
aiming at a fully liberalised and competitive market. Introduce the necessary competitive 
safeguards in the market.  

–  Maintain  the  independent  position  of  the  Communications  Regulatory  Authority. 

Strengthen its administrative capacity. 

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Financial control 

–  Develop and adopt a public internal financial control strategy. 

–  Adopt and implement legislation on public-sector internal control and audit. 

Statistics 

–  Implement the agreement between the Entities in the statistical system on improvement of 
the  work  of  the  Central  Statistical  Agency  in  Bosnia  and  Herzegovina  and  improve  the 
range and quality of statistics, in particular at State level.  

–  Improve  the  collection  and  processing  of  agriculture  statistics  in  line  with  EU  standards 

and methodology. 

–  Improve the quality and coverage of statistics on consolidated government accounts. 

–  Establish  the  legislative  framework  necessary  for  carrying  out  the  population  census. 

Agree on a target date for the census and start preparations for implementing it. 

Justice, freedom and security 

Visa, border control, asylum and migration 

–  Provide  adequate  staffing  for  the  migration  section  within  the  Ministry  of  Security  and 
adequate  facilities,  equipment,  staffing  and  training  for  the  Department  for  Foreigners 
Affairs.  

–  Adopt a State level migration strategy and the new Law on movements and stays of aliens.  

–  Implement  the  EC/Bosnia  and  Herzegovina  readmission  agreement  and  negotiate 

readmission agreements with the countries of origin of transiting migrants. 

–  Ensure  that  reception  centres  meet  international  standards  and  assume  full  ownership  of 

their financing and management. 

–  Adopt  and  implement  the  revised  national  strategy  on  integrated  border  management 
(IBM),  based  on  the  IBM  guidelines  for  the  Western  Balkans,  plus  the  corresponding 
national action plan. 

–  Further improve border crossing points. 

Money laundering 

–  Fully staff the Financial Intelligence Unit.  

–  Further  improve  legislation  against  money-laundering,  including  implementation  and 

enforcement.  

Drugs 

–  Develop a State level drugs policy in compliance with European standards. 

–  Ensure full functioning of a Statelevel office for narcotics. 

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Police  

–  Further  strengthen  the  State  Investigation  and  Protection  Agency,  notably  by  completing 

recruitment of its staff.  

Fighting organised crime and terrorism 

–  Prepare and implement all the action plans provided for by the national strategy to combat 

organised crime. 

–  Update and implement the national action plan for combating trafficking of human beings. 

–  Ratify the Council of Europe Convention on action against trafficking in human beings. 

–  Reinforce  the  fight  against  organised  crime  and  international  cooperation  with  law 

enforcement agencies. 

–  Take  additional  measures  to  protect  victims  of  trafficking  and  ensure  adequate 

implementation of the witness protection legislation. 

–  Enhance the capacity of the State Investigation and Protection Agency in the fight against 
terrorism and reinforce international cooperation in this area, including by means of proper 
implementation of international conventions. 

Protection of personal data 

–  Establish  an  independent  supervisory  authority  (data  protection  agency)  with  sufficient 

powers and sufficient financial and human resources. 

3.2.  Medium-term priorities 

Political criteria 

Democracy and the rule of law 

Constitution/ Governance 

–  Continue  the  process  to  agree  on  and  adopt  changes  to  the  constitution  of  Bosnia  and 
Herzegovina  that  will  contribute  to  creating  more  functional  and  fiscally  sustainable 
institutional  structures,  improving  respect  for  human  and  fundamental  rights  and 
supporting the process of European integration. 

–  Ensure  continued  progress  with  taking  full  national  responsibility  for  policy  formulation 

and decision-making.  

Public administration 

–  Implement  the  public  administration  reform  and  ensure  its  sustainability.  Increase  the 

capacity for progressive legal harmonisation and implementation of the acquis.  

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Judicial system 

–  Implement the strategy for development of the justice sector, consolidate an independent, 
reliable and efficient judiciary that guarantees the rule of law and equal access of citizens 
to  justice  and  guarantee  that  courts  have  the  technical  equipment  and  financial  means 
necessary to impart justice efficiently and properly.  

Human rights and protection of minorities 

–  Ensure that the national legislation is fully compatible with the European Convention for 

Human Rights.  

–  Ensure  protection  of  minorities  in  accordance  with  EU  and  international  standards;  fully 
implement the national strategy for Roma and its sectoral action plans; develop data that 
can serve as sound basis to foster further developments of social inclusion strategies, action 
plans and their evaluation. 

Regional issues and international obligations 

–  Further promote regional dialogue, stability, good neighbourliness and cooperation. 

–  Bring  the  agreement  concluded  with  the  USA  regarding  the  conditions  of  surrender  of 
people to the International Criminal Court into line with the EU guiding principles adopted 
by the European Council in September 2002. 

Economic criteria 

–  Improve  the  quality  of  public  finances  by  reducing  public  expenditure  relative  to  GDP, 
restructuring  spending  towards  growth-enhancing  categories  and  strengthening  the 
economic policy planning capacity. 

–  Complete  the  privatisation  process  and  liquidate  the  remaining  loss-making  publicly 

owned enterprises that cannot be sold. 

–  Improve  participation  in  the  formal  economy  by  reducing  social  contribution  rates  and 

reforming the pension system and facilitate the mobility of labour across the country.  

–  Step up the unbundling of network industries in order to  open  up  the electricity, gas and 
telecommunications markets to additional suppliers with a view to increasing competition 
and efficient allocation of resources. 

–  Continue  reforms  in  the  areas  of  registration  of  property,  enforcement  of  contracts, 
bankruptcy  procedures,  registration,  taxation  and  licensing  of  businesses  in  order  to 
improve  the  business  environment  and  promote  entrepreneurship.  Eliminate  overlapping 
regulations imposed by different levels of government and inter-entity double taxation for 
companies. 

EN 

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European standards 

Internal market  

Free movement of goods 

–  Continue with the establishment of the quality infrastructure, with the approximation of the 
legislation in the areas of standards, certification, metrology, accreditation and conformity 
assessment to the acquis, and  with the transposition of new and global approach and old 
approach directives. 

–  Make  further  progress  in  adopting  European  standards  and  speed  up  efforts  to  become  a 
full member of the European Committee for Standardisation, of the European Committee 
for  Electro-technical  Standardisation  and  the  European  Telecommunications  Standards 
Institute. 

–  Establish a market surveillance system compliant with European standards. 

Customs and taxation 

–  Ensure  continued  approximation  of  customs  and  taxation  legislation  to  the  acquis  and 
further  increase  administrative  capacity  to  implement  this  legislation  and  to  fight 
corruption, cross-border crime and fiscal evasion. 

–  Improve the transparency and exchange of information within the region and with the EU 
in order to facilitate enforcement of measures preventing avoidance or evasion of taxes. 

Competition 

–  Implement state aid legislation and ensure that the state aid monitoring authority functions 

effectively. 

–  Produce a comprehensive state aid inventory. 

Public procurement 

–  Ensure that the legal framework for public procurement is compatible with the acquis and 

that public procurement procedures are implemented properly. 

Employment and social policies 

–  In  the  area  of  mental  health,  develop  community-based  services  as  an  alternative  to 
institutionalisation,  taking  into  account  allocation  of  sufficient  financial  resources  for 
mental health care. 

Education and research 

–  Take  measures  to  improve  the  education  system,  including  primary  education,  and  to 

create a modern vocational education and training system.  

–  Promote the regional cooperation in the field of higher education. 

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Statistics 

–  Develop  reliable  economic  statistics  and  build  up  institutional  capacity  to  produce  and 
publish basic statistical data harmonised with European standards, in particular in the areas 
of  national  accounts,  agricultural,  macro-economic  and  business  statistics,  and  social 
statistics, including education, labour and health statistics. 

–  Carry out the population census. 

Sectoral policies 

Industry and SMEs 

–  Ensure implementation of the SME Charter. 

–  Ensure implementation of the industrial policy. 

Agriculture and fisheries 

–  Implement  the  comprehensive  State  level  agricultural  strategy  throughout  the  whole 

country.  

–  Further  strengthen  the  State  level  capacity  for  coordination  and  harmonisation  of 
agricultural, food and rural development policy, reinforce implementation mechanisms and 
further approximate with the acquis. 

–  Continue adoption of compliant legislation in the food safety, veterinary and phytosanitary 

sectors and develop an effective system of controls. 

–  Assess the compliance of agri-food establishments with EU requirements and prepare and 

start a programme for upgrading those establishments. 

Environment 

–  Continue  work  on  progressive  transposition  of  the  acquis,  with  particular  emphasis  on 
waste  management,  water  quality,  air  quality,  nature  protection  and  integrated  pollution 
prevention and control. 

–  Implement  strategic  plans,  including  investment  strategies,  and  increase  investments  in 
environmental  infrastructure,  with  particular  emphasis  on  waste  water  collection  and 
treatment, drinking water supply and solid waste management. 

–  Ensure 

integration  of  environmental  protection  requirements 

into  definition  and 

implementation of other sectoral policies. 

Transport policy 

–  Create  the  conditions  for  competition  on  the  railway  track,  including  rail  regulatory  and 

safety institutions. 

–  Ensure  further  approximation  of  legislation  to  the  transport  acquis,  notably  as  regards 
technical  and  safety  standards  (including  the  implementation  of  the  digital  tachograph), 
social standards and market liberalisation. 

EN 

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–  Implement  commitments  taken  under  the  second  transitional  phase  of  the  European 

Common Aviation Area Agreement. 

Energy 

–  Accelerate  the  reform  of  energy  utilities,  in  particular  in  the  power  and  gas  sectors, 
implement  the  Entities’  action  plans  for  restructuring  the  power  sector,  develop  and 
implement concomitant plans regarding reform of the coal sector, establish a transmission 
system operator and distribution system operators in the gas sector and develop the internal 
gas market. 

–  Ensure a consolidated system of regulation of power and gas, ready to include other energy 
sectors,  in  line  with  the  Energy  Community  Treaty  and,  in  parallel,  ensure  that  issues 
related to socially vulnerable customers are addressed. 

Information society and media 

–  Fully implement public broadcasting legislation and complete the structural reform of the 

public broadcasting sector. 

–  Align  legislation  with  the  EU  regulatory  framework  for  electronic  communication 

networks and services and ensure implementation and enforcement. 

–  Align  with  the  European  Convention  on  Trans-frontier  Television  and  the  Television 

without Frontiers directive. 

Financial control  

–  Implement the public internal financial control policy paper and action plan. 

–  Strengthen  the  operational  and  functional  capacity  and  financial  independence  of  the 

supreme audit institutions. 

–  Develop procedures and administrative capacity to ensure effective protection of the EU’s 

financial interests. 

Justice, freedom and security 

Visa, border control, asylum and migration 

–  Implement visa, asylum and migration policies in compliance with EU standards. 

–  Further  improve  border  management,  with  special  emphasis  on  border  infrastructure  and 

surveillance of the green border. 

Money laundering 

–  Ensure continued improvement of the enforcement record regarding money laundering. 

Drugs 

–  Ensure  that  law  enforcement  bodies  are  properly  equipped  to  fight  drug  trafficking. 
Achieve  satisfactory  inter-agency  and  international  cooperation,  leading  to  considerably 
improved results in this area. 

EN 

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Police 

–  Fully implement police reform. 

Fighting organised crime and terrorism  

–  Achieve  significant  results  against  organised  crime,  all  types  of  trafficking  and  terrorism 

and ensure proper prosecution. 

Protection of personal data 

–  Implement the national law on personal data protection in line with the acquis and ensure 

efficient monitoring and enforcement. 

4. 

PROGRAMMING 

Community assistance under the stabilisation and association process to the Western Balkan 
countries will  be provided under the existing financial instruments,  in particular by Council 
Regulation  (EC)  No  1085/2006  (IPA),  and  for  programmes  adopted  before  2007,  Council 
Regulation  No  2666/2000  of  5  December  2000  (CARDS  regulation)4  The  financing 
agreements  serve  as  legal  basis  for  the  implementation  of  the  concrete  programmes. 
Accordingly, this Decision will have no financial implications. Bosnia and Herzegovina can 
have access to funding from multi-country and horizontal programmes. 

5. 

CONDITIONALITY 

Assistance  to  the  Western  Balkan  countries  is  conditional  on  progress  on  satisfying  the 
Copenhagen  criteria  and  on  meeting  the  specific  priorities  of  this  European  Partnership. 
Failure to respect these conditions could lead the Council to take appropriate measures on the 
basis  of  Article  21  of  Council  Regulation  (EC)  No  1085/2006  or,  in  the  case  of  pre-2007 
programmes,  on  the  basis  of  Article  5  of  Regulation  (EC)  No  2666/2000.  The  assistance  is 
also subject to the conditions defined by the Council in its conclusions of 29 April 1997, in 
particular  as  regards  the  recipients’  undertaking  to  carry  out  democratic,  economic  and 
institutional reforms. Specific conditions are also included in individual annual programmes. 
The  financing  decisions  will  be  followed  by  a  financing  agreement  signed  with  Bosnia  and 
Herzegovina.  

6. 

MONITORING 

Implementation of the European Partnership will be examined by the mechanisms established 
under the Stabilisation and Association Process, notably the annual reports presented by the 
Commission. 

4 

OJ L 306, 7.12.2000, p. 1. Regulation as last amended by Regulation (EC) No 2112/2005 (OJ L 344, 
27.12.2005, p. 23). 

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