JOINT REPORT TO THE EUROPEAN PARLIAMENT AND THE COUNCIL on Serbia's progress in achieving the necessary degree of compliance with the membership criteria and notably the key priority of taking steps towards a visible and sustainable improvement of relations with Kosovo(
Date: 2013-04-22
Institutions: European Commission, High Representative of the Union
Subjects: Kosovo question, Serbia, accession criteria, accession negotiations, anti-discriminatory measure, corruption, judicial reform, pre-accession strategy

EUROPEAN 
COMMISSION 

HIGH REPRESENTATIVE OF THE
EUROPEAN UNION FOR
FOREIGN AFFAIRS AND
SECURITY POLICY

Brussels, 22.4.2013  
JOIN(2013) 7 final 

JOINT REPORT TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 

on Serbia's progress in achieving the necessary degree of compliance with the 
membership criteria and notably the key priority of taking steps towards a visible and 
sustainable improvement of relations with Kosovo∗ 

∗ 

This designation is without prejudice to positions on status, and is in line with UNSCR 1244/1999 and 
the ICJ Opinion on the Kosovo declaration of independence.

EN 

   EN 

 
 
 
 
  
                                                 
 
JOINT REPORT TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 

on Serbia's progress in achieving the necessary degree of compliance with the 
membership criteria and notably the key priority of taking steps towards a visible and 
sustainable improvement of relations with Kosovo∗ 

1. 

INTRODUCTION 

In  its  Opinion1  on  Serbia's  application  for  membership  of  October  2011,  the  European 
Commission  concluded  that  "Serbia  is  well  on  its  way  towards  sufficiently  fulfilling  the 
political criteria set by the Copenhagen European Council in 1993 and the conditions of the 
Stabilisation  and  Association  process,  provided  that  progress  continues  and  that  practical 
solutions  are  found  to  the  problems  with  Kosovo"  and  recommended  that  "negotiations  for 
accession to the European Union should be opened with Serbia as soon as it achieves further 
significant  progress  in  meeting  the  following  key  priority  [of  taking]  further  steps  to 
normalise  relations  with  Kosovo  in  line  with  the  conditions  of  the  Stabilisation  and 
Association Process […]". Further to the Commission's recommendation and on the basis of 
initial  progress  in  improving  relations  with  Kosovo,  the  European  Council  granted  Serbia 
candidate country status in March 2012. 

In the light of the progress made in the EU-facilitated dialogue between Serbia and Kosovo, 
under the auspices of the High Representative of the European Union for Foreign Affairs and 
Security  Policy/Vice-President  of  the  Commission,  and  with  the  perspective  of  further 
substantial  progress  being  achieved  in  the  first  part  of  2013,  the  Council  agreed  in  its 
conclusions of 11 December 2012 to review during the Irish Presidency the progress made by 
Serbia on the basis of a report presented by the Commission and the High Representative in 
the Spring 2013, with a view to a possible decision of the European Council to open accession 
negotiations with Serbia. 

This report herewith presents the additional progress made by Serbia between 11 December 
2012  and  15  April  2013.  It  assesses  steps  taken  to  address  the  key  priority  of  improving 
relations with Kosovo, both in terms of latest results achieved in the high level dialogue and 
in terms of actual implementation of the agreements reached in 2011 and 2012.  

The  report  also  presents  and  assesses  recent  efforts  to  step  up  the  EU  reform  agenda  and 
examines  with  particular  attention  the  latest  developments  in  the  areas  of  rule  of  law, 
particularly  judicial  reform,  anti-corruption  policy  and  the  fight  against  organised  crime, 
independence  of  key  institutions,  media  freedom,  anti-discrimination  policy,  protection  of 
minorities  and  improvement  of  the  business  environment.  The  report  finally  takes  stock  of 
recent initiatives by Serbia to play a constructive role in the region and improve relations with 
its neighbours.  

∗ 

1 

This designation is without prejudice to positions on status, and is in line with UNSCR 1244/1999 and 
the ICJ Opinion on the Kosovo declaration of independence. 

COM(2011) 668 final. 

3 

 
 
                                                            
The  assessment  in  this  report  takes  into  account  information  gathered  and  analysed  by  the 
Commission  and  the  High  Representative,  including  inputs  provided  by  the  Serbian 
authorities, findings of expert missions as well as information shared by EU Member States 
and  international  organisations  and  civil  society  organisations.  The  final  part  of  the  report 
draws conclusions and makes recommendations. 

2. 

IMPROVEMENT OF RELATIONS WITH KOSOVO 

The dialogue between Belgrade and Pristina, following the Serbian elections, was upgraded to 
a high level political process with the facilitation of the High Representative. 

A series of high level meetings between the two prime ministers started in October 2012. The 
HR was very clear with the two sides from the start on the concept of the process: it would be 
a step by step process, going from easier to more complicated issues and it would not be open 
ended.  The  objective  was  the  gradual  normalisation  of  the  two  sides'  relations,  without 
prejudice  to  the  two  parties'  positions  on  status,  and  achieving  progress  for  both  in  their 
respective EU path. 
Ten meetings have taken place between October 2012 and the end of April 20132. A meeting 
also took place on 6 February between Presidents Nikolic and Jahjaga. 

In the first part of the high level dialogue until December 2012 the discussions dealt with the 
set of what was considered easier issues such as completion of IBM implementation, religious 
and  cultural  heritage,  liaison  arrangements.  Some  first  significant  results  were  already 
achieved in those first months.  

The  most  important  was  IBM  implementation.  By  the  end  of  December  2012  four  Gates, 
including the two Gates in northern Kosovo, were operational and, since the end of February 
all six Gates between Serbia and Kosovo are operational. In the context of the implementation 
discussions, the two sides also agreed to start customs collection and to establish a Fund for 
the development of northern Kosovo. Regarding free movement, the ID card travel regime is 
operational and works well. The agreement on customs stamps continues to be implemented 
by  both  sides.  There  was  good  progress  on  civil  registry  and  implementation  should  be 
completed by January 2014. Regarding cadastre, both sides are still in the process of taking 
the  necessary  preparatory  steps.  The  agreement  on  acceptance  of  university  diplomas  is 
proceeding  smoothly.  Serbia’s  cooperation  with  EULEX  has  continued  to  improve  in  a 
number  of  areas.  This  will  need  to  intensify  as  the  normalisation  between  both  parties 
intensifies.  Direct  high-level  contacts  and  regular  contacts  at  operational  level  continue  to 
facilitate cooperation, including in the fight against organised crime. Serbia is committed to a 
full implementation of the police protocol with EULEX. 

Other  significant  results  achieved  by  the  two  Prime  Ministers  are  the  agreement  on  setting 
liaison  arrangements  and  the  agreement  on  the  improvement  of  protection  of  religious  and 
cultural heritage sites (creation of special/multi-ethnic police unit in Kosovo). 

In  the  second  part  of  the  high  level  dialogue,  since  January  2013,  the  meetings  of  the  two 
Prime  Ministers  focused  on  northern  Kosovo  and  delivering  structures  which  meet  the 
security and justice needs of the local population in a way that ensures the functionality of a 

2 19 October, 7 November, 4 December and 17 January, 20 February, 4 March, 20 March, 2 April, 17 April and 
19 April 

4 

 
 
                                                            
single  institutional  and  administrative  set  up  in  Kosovo,  in  line  with  the  December  2012 
Council Conclusions.  

During their talks, the two sides agreed that the outcome of their discussions should be a set 
of principles and arrangements that would give the Kosovo Serb community a new vision of 
their  future,  by  addressing  their  concerns  and  needs  but  in  a  way  that  preserved  the 
functionality of the Kosovo institutions and legal framework. 

Throughout  the high  level  process  the  two sides  showed commitment  and  engagement. The 
two  Prime  Ministers  in  particular  established  a  good  working  relationship  and  showed 
political courage and maturity in discussing issues of great sensitivity and complexity, often 
with  a  difficult  political  atmosphere  in  the  background.  They  should  be  commended.  In  the 
last  phase  of  the  dialogue  Deputy  Prime  Ministers  from  both  sides  joined  the  meetings  and 
their presence brought an additional element of local political legitimacy and expertise to the 
table. 

The  discussions  on  northern  Kosovo  and  the  Kosovo  Serb  community  concerns  were 
concluded  on  19  April  with  the  initialling  of  a "First  agreement  of  principles  governing  the 
normalisation of relations".  

The  agreement  provides  for  the  establishment  of  an  Association/Community  of  Serb 
municipalities in Kosovo which will function/operate within the existing legal framework of 
Kosovo. The Association/Community will have a statute and its own bodies on the basis of 
the  other  existing  Association  in  Kosovo  and  will  have  a  representative  role  to  the  central 
government.   

On police, the text of the agreement affirms the principle of a single police force in Kosovo 
and the integration of all police in northern Kosovo to the Kosovo Police. A regional Police 
commander is appointed for the four northern municipalities. He is nominated by the Ministry 
of Internal Affairs of Kosovo from a list provided by the four mayors. This means that it was 
agreed  that  the  four  mayors  of  the  northern  Serb  majority  municipalities  would  consult  the 
Association/Community and submit a list to the Ministry of  Internal Affairs who will make 
the nomination from this list. 

On  judiciary,  the  text  affirms  the  principle  of  integration  and  functioning  of  all  judicial 
authorities within the Kosovo legal framework.  An Appellate Court in Pristina is established 
to  deal  with  all  Kosovo  Serb  majority  municipalities  and  a  division  of  this  Court  will  sit 
permanently in northern Mitrovica. 

Municipal  elections,  according  to  the  agreement  will  be  organised  in  the  northern 
municipalities in 2013 with the facilitation of the OSCE. 

The  text  of  the  agreement  also  provides  for  concluding  the  discussions  on  energy  and 
telecoms by mid-June. 

The  two  parties  have  agreed  that  neither  side  will  block,  or  encourage  others  to  block  the 
other side's progress in their respective EU paths.  

As to next steps, the two parties agreed to adopt an implementation plan by 26 April and to 
establish an implementation committee with the facilitation of the EU.  

The  EU  also  expects  that  the  two  parties,  in  the  spirit  of  the  new  understanding/relation 
between them and without prejudice to the positions on the status of Kosovo, will continue to 
work  further  for  the  normalisation  of  relations  between  them  and  in  this  framework  will 
address, among other issues, Kosovo's integration/participation in international bodies. 

5 

 
 
3. 

RECENT PROGRESS IN COMPLIANCE WITH THE MEMBERSHIP CRITERIA   

3.1. 

Introduction 

In recent months, Serbia has taken steps to reinvigorate the country's EU reform agenda. In 
line  with  its  stated  objective  since  it  took  office  in  July  2012,  the  Serbian  government  has 
stepped  up  the  coordination  of  the  EU  reform  agenda.  It  has  started  to  implement  the 
comprehensive Action Plan it adopted in December 2012 to follow up on all findings of the 
Commission's 2012 Progress Report and intends to publish periodical reports on its execution 
in  April,  June  and  September  2013.  An  important  milestone  was  the  adoption  by  the 
government on 28 February 2013 of a National Plan for the Approximation with the Acquis 
(NPAA)  for  the  period  2013-2016.  The  NPAA  is  a  detailed  planning  document  of  all 
legislation  to  be  adopted  by  Serbia  to  implement  obligations  from  the  Stabilisation  and 
Association  Agreement  (SAA)  and  prepare  itself  for  further  aligning  with  the  acquis.  The 
NPAA  includes  a  detailed  plan  for  legislative  alignment  in  2013  with  corresponding 
budgetary resources. The document also offers a basis to ensure effective scrutiny of related 
activities and better involvement of relevant stakeholders. 

The  Serbian  government  has  been  committed  to  improving  the  rule  of  law  despite  the 
setbacks of 2012, in particular in the areas of judicial reform and the fight against corruption. 
Draft  strategies  are  in  preparation  in  several  key  areas  and  their  adoption  is  foreseen  in  the 
first  half  of  2013.  While  it  agreed  to  consult  widely  in  certain  fields  and  requested 
corresponding  EU  expertise, the Serbian government still needs to improve the consultation 
process  with  all  stakeholders  including  by  leaving  sufficient  time  in  parliament  for  the 
necessary scrutiny of draft legislation.   

3.2. 

Developments in implementation of reforms 

Regarding  the  rule  of  law,  a  first  set  of  legislative  changes  was  adopted  in  December  2012 
upon proposals from the working groups set up in September 2012 with the participation of 
key  stakeholders.  The  laws  on  judges  and  prosecutors  were  amended  to  grant  permanent 
tenure  to  some  900  magistrates  that  were  recruited  in  2009  on  a  probationary  basis.  Three 
important  changes  were  introduced  in  the  Criminal  Code:  criminalisation  of  facilitators  of 
abuses of the right to asylum in a foreign country; decriminalisation of defamation, together 
with  decriminalisation  of  "unauthorised  public  comments  on  Court  proceedings";  and 
recognition as aggravating circumstance of certain "hate" crimes motivated on grounds such 
as  ethnic  origin,  religion  or  sexual  orientation.  The  offence  of  "abuse  of  office"  was  also 
amended  to  redefine  how  it  applies  to  private  operators.  Open  cases  under  Art.  359  of  the 
Criminal Code need now to be re-qualified, on a case by case basis, under new offences of the 
economic crime section of the Criminal Code. This part of the Criminal Code is planned to 
undergo a comprehensive review for further amendments in the future. Implementation of the 
new Criminal procedure Code needs to be carefully prepared. 

Regarding  the  judicial  reform,  the  new  Serbian  government  has  been  confronted  with  a 
formidable  challenge  following  the  decision  of  the  Constitutional  Court  in  July  2012  to 
overturn  the  reappointment  of  judges  and  prosecutors,  creating  an  immediate  practical 
difficulty with the need to reintegrate some 800 magistrates (representing one third of the total 
number). This situation also meant that the initial focus from the Serbian authorities was to 
adopt urgent measures in December 2012 before it could start to develop the medium to long 
term  vision  including  preparation  of  a  comprehensive  strategy  that  would  ensure  structural 
and sustainable changes towards an impartial, independent and efficient judiciary. 

6 

 
 
the  previously  non-reappointed 

Following  the  July  2012  rulings  of  the  Constitutional  Court,  the  High  Judicial  and  State 
judges  and 
Prosecutorial  Councils  re-appointed  all 
prosecutors,  in  line  with  the  60  days  deadline  required  by  the  Constitutional  Court.  So  far, 
magistrates were re-appointed into the Courts where they were before or into the jurisdictions 
that replaced them. Adjustments to the Court and Prosecutorial office networks are currently 
planned  and  are  aimed  at  ensuring  an  optimal  allocation  of  the  re-appointed  magistrates, 
balancing their individual wishes and constitutional rights not to be moved from one place to 
another  without  their  consent  with  the  needs  of  the  whole  judiciary  in  terms  of  access  and 
proximity.  There  are  still  major  imbalances  in  the  workload  of  judges  and  length  of 
proceedings  remains  excessive  in  many  cases.  Further  reform  of  the  court  network 
necessitates  a  comprehensive  analysis  of  the  functioning  of  the  current  network  in  terms  of 
cost, efficiency and access to justice. An important issue to ensure sustainability of reform is a 
medium to long term strategy on the judiciary.  

For the period 2013-2018, the Ministry of Justice and Public Administration is drafting a new 
strategy with the support of working groups meeting on a regular basis and on the basis of a 
consultative  process  involving  key  stakeholders.  The  government  aims  to  finalise  it  in  the 
course of the spring. It will take stock of the problems encountered in the implementation of 
the  previous  strategy  of  2006  and  be  built  around  the  key  principles  of  independence, 
impartiality and quality of justice, competence, accountability and efficiency of the judiciary. 
It should aim to strengthen the High Judicial and State Prosecutorial Councils, as the bodies 
mandated  by  the  Constitution  to  guarantee  the  independence  of  the  judiciary.  The  strategy 
also  needs  to  address  the  lack  of  real  judicial  independence  seen  in  many  features  of  the 
current system. The system of appointment and promotion of judges is not yet independent of 
either  the  executive  or  the  legislative.  Moreover,  the  Councils  need  to  become  more 
transparent in their functioning and their members should be accountable. A comprehensive 
strategy  which  builds  on  a  full  analysis  of  the  gaps  in  the  current  framework  is  a  key 
objective. It should rely on an inclusive process with all stakeholders and make full use of the 
available assistance.  

The strategy should also aim at reinforcing the institutional capacity of the Judicial Academy 
for  merit  based  recruitments  as  well  as  initial  and  continuous  training  of  judges  and 
prosecutors.  The  strategy  needs  to  be  further  developed  and  include  detailed  plans  for  the 
strengthening  of  the  framework  for  recruitment,  evaluation  and  discipline  as  well  as  for 
monitoring  and  measuring  progress,  identifying  responsible  institutions,  defining  adequate 
financial and human resources and a clear timeline for its implementation.  

Another  priority  goal  is  to  establish  a  functioning  accountability  system  in  the  judiciary.  In 
this  respect,  the  State  Prosecutorial  Council  is  conducting  a  consultation  process  on  draft 
professional  evaluation  rules  issued  in  February  2013.  A  consultation  process  was  also 
launched  by  the  High  Judicial  Council  on  draft  evaluation  rules  for  judges  and  Court 
presidents.  Implementation  of  the  draft  ethical  code  for  prosecutors  issued  in  March  2012 
should  start  soon.  The  code  of  ethics  for  judges  remains  to  be  more  systematically  applied. 
Only a few final decisions were taken under disciplinary rules adopted by the High Judicial 
Council three years ago. Following the adoption of disciplinary rules in July 2012 by the State 
Prosecutorial Council, first disciplinary proceedings should be launched soon. 

The fight against corruption has been a central element of the government's activities since its 
inception, underpinned by a "zero tolerance" message.  A number of investigations have been 
launched,  including  into  high  level  corruption,  in  part  on  the  basis  of  the  problematic 
privatisations  cases  identified  in  the  past  by  the  Anti-Corruption  Council.  Serbia  has  also 

7 

 
 
made  certain  progress  in  combating  organised  crime.  Operational  coordination  and 
cooperation between law enforcement authorities remains satisfactory. Serbia's track record in 
effectively investigating, prosecuting and convicting perpetrators of corruption and organised 
crime  needs  to  be  further  improved,  and  additional  human  and  financial  resources  made 
available, including in the fields of witness  protection, financial intelligence and the special 
prosecution for organised crime.  

A draft strategy is being prepared on the fight against corruption for the period 2013-2018. Its 
preparation encompasses all involved institutions and relevant stakeholders and is taking into 
consideration positive examples from the region. It aims at both a structural approach dealing 
with issues such as good governance, independent institutions, internal and external audit and 
control, protection of whistle-blowers, and a sectorial one, addressing corruption in sensitive 
sectors  such  as  urbanism  and  spatial  planning,  judiciary,  police,  education  and  health.  The 
complementary roles of the Anti-Corruption Agency and Anti-Corruption Council should be 
better defined for the implementation and monitoring of the strategy and inter-institutional co-
operation should be facilitated. The government aims to finalise the strategy in the course of 
the spring. Preparations of an action plan are to begin following the public consultation on the 
draft strategy. 

Regarding the respect for the role and independence of key institutions, there is still room for 
improvement.  Reports  and  recommendations  of  independent  institutions  did  not  receive 
sufficient  political  consideration  and  appropriate  follow-up.  Respect  for  their  role  and 
independence  also  needs  to  be  evidenced  with  the  provision  of  sufficient  and  stable 
ressources. The Ombudsman and the Commissioner for free access to information of public 
importance  and  data  protection  have  started  to  cooperate  with  the  recently  established 
parliamentary  committee  for  civilian  oversight  of  security  services,  and  following  their 
recommendations, parliament adopted in February 2013 amendments to the Law on Military 
Security  and  Military  Intelligence  Agencies  regarding  state  security  interceptions  of 
communications. Serbia should ensure that its legal framework clearly distinguishes between 
interception  for  criminal  investigations  and  interception  for  state  security,  in  line  with 
European best practices. 

Regarding  freedom  of  the  media,  the  decriminalisation  of  defamation  (see  above)  was             
a significant development. In addition, an ad hoc commission, composed of journalists, police 
and security-information agency representatives was set up in January 2013 and tasked with 
shedding light on the cases of unsolved murders of journalists. Regarding the implementation 
of  the  media  strategy,  a  working  group  was  set  up  aiming  at  harmonising  the  legislative 
framework in order to eliminate existing contradictions on establishment and financing of the 
media.  Two  laws  are  under  preparation:  the  law  on  public  information  and  media,  which 
would cover the fields of public information, media ownership and concentration as well as 
accreditation of foreign correspondents – and the law on electronic media, which would cover 
electronic  media  and  public  broadcasters.  A  first  step  has  already  been  taken  with 
amendments to the law on public companies ending the possibility for public authorities at all 
levels to establish public companies in the media sector. The draft law on public information 
and media is currently under public consultation; it should guarantee transparency of funding 
and regulate media concentration, introduce thresholds and ceilings and give the Commission 
for Protection of Competition a role in the process. In general, it needs to be noted that media 
reports  continue  to  be  insufficiently  analytical  and  balanced  and  self-censorship  remains 
widespread. 

8 

 
 
Some progress can also be noted in the field of anti-discrimination policies where the overall 
legal framework is broadly in place but its implementation as well as enforcement remain to 
be  improved  on  the  basis  of  consistent  efforts  of  the  authorities,  including  in  generating          
a  more  favourable  climate  in  the  society.  The  recognition  as  aggravating  circumstance  of 
certain  "hate"  crimes  motivated  on  grounds  such  as  ethnic  origin,  religion  or  sexual 
orientation  (see  above)  is  a  welcome  development.  A  comprehensive  Strategy  on  fighting 
discrimination  for  the  period  2013-2018  is  being  prepared  and  actively  consulted  with 
stakeholders  with  a  view  to  an  adoption  in  the  second  quarter  of  2013,  to  be  followed  by 
Action  Plans  for  its  implementation.  The  Commissioner  for  protection  of  Equality  issued  a 
publication  on  "Court  civil  protection  from  discrimination"  and  a  "Manual  for  the  fight 
against  discrimination  at  work"    aimed  to  equip  legal  professionals  and  other  stakeholders 
with  relevant  reference  materials.  A  number  of  provisions  of  the  2009  Serbian  Anti-
Discrimination  Law  are  not  in  line  with  the  EU  2001  Anti-Discrimination  Directive  and 
preparations  for  such  alignment  have  started. Regarding  the  protection  of  the  Lesbian,  Gay, 
Bisexual  and  Transsexual  (LGBT)  population,  activities  have  stepped  up.  There  has  been 
overall a more active processing of discrimination cases against LGBT population, thanks to 
police  training,  the  development  of  Court  practices  and  improved  cooperation  with  LGBT 
population as witnesses. A first ruling from the Novi Sad Appellate Court has been delivered 
regarding discrimination in the work place based on sexual orientation. The Commissioner for 
Equality remained particulary active in the promotion of LGBT population rights. Overall, a 
number  of  awareness  raising  activities  were  organised  on  anti-discrimination  issues  and 
specifically  on  LGBT  rights,  targetting  particularly  law  enforcement  officers  and  social 
workers.  A  first  seminar  in  the  framework  of  a  2012  Council  of  Europe  LGBT  regional 
project  was  held  in  December  2012  in  Belgrade.  Preparations  for  the  2013  Belgrade  Pride 
Parade  have  started.  Such  efforts  need  to  be  further  developed  and  supported  by  visible 
political  committment  in  order  to  promote  a  better  inclusion  and  protection  of  LGBT 
population and improve tolerance and understanding across the Serbian society.  

Regarding  the  protection  of  minorities,  Serbia  has  undertaken,  in  preparation  of  the  2014 
elections  to  the  Minority  Councils,  a  revision  of  the  2009  Law  on  the  National  Minority 
Councils,  in  order  to  address  some  of  the  shortcomings.  This  follows  the  recommendations 
made  by  the  Ombudsman  and  the  Commissioner  for  free  access  to  information  of  public 
importance  in  particular  regarding  the  electoral  process  and  the  rules  governing  the 
constitution of the Councils. Serbia also took steps to improve the implementation of the legal 
framework  throughout  its  territory.  Measures  have  been  implemented  to  broadcast  TV 
programmes  in  Romanian  in  Eastern  Serbia  and  official  instructions  have  introduced  an 
optional  Romanian  language  class  with  elements  of  culture  as  from  the  next  school  year, 
preceded  by  pilot  classes  starting  in  April  2013.  The  government  has  called  on  the  Serbian 
Orthodox Church to engage in a dialogue with the Romanian Orthodox Church but there was 
still no progress on the issue of access to religious services in Romanian. In the Sandzak area, 
primary  level  and  high  schools  have  started  teaching  classes  in  the  Bosniak  language.  In 
South  Serbia,  following  the  recent  tensions  surrounding  the  erection  and  removal  of  a 
monument  in  Presevo,  there  have  been  renewed  efforts  to  restore  an  effective  dialogue 
between  the  central  governement  and  local  authorities  in  order  to  tackle  all  issues  on  the 
agenda, including the socio-economic development of the region. Additional textbooks have 
been  provided  for  classes  in  Albanian  in  South  Serbia.  Internship  opportunities  in  the  state 
administration have been made available as of September 2012 for members of the Albanian, 
Bosniak  and  Roma  minorities.  Serbia  needs  to  continue  its  efforts  to  implement  more 
effectively  the  legal  framework  across  the  country.  The  Commission  will  closely  monitor 
progress in this area. 

9 

 
 
Regarding the Roma, Serbia continues to actively follow up the operational conclusions of the 
joint Serbia-Commission Roma seminar of June 2011. A follow-up seminar is being planned 
to take place later in the spring. On civil documentation, the two necessary laws to ensure the 
registration or subsequent registration of "legally invisible" persons are now in place and new 
procedures  for  their  registration  have  started  as  of  December  2012.  Affirmative  action 
measures have increased in the education sector and further development of the pedagogical 
assistants  system  -  175  persons  so  far  -  is  being  considered.  Measures  on  supporting 
employment opportunities for Roma have continued. Regarding health care, 75 Roma women 
health  mediators  are  working  under  the  Social  affairs  and  Labour  Ministry  framework  and 
Roma can now register at the social care centre if they do not have a permanent address. With 
regards to housing and forced evictions, Serbia has started preparations to incorporate into the 
national  legislation  the  relevant  international  standards.  Further  sustained  efforts,  including 
financial,  are  needed  to  ensure  the  full  implementation  of  the  Serbian  Roma  Strategy  and 
address  the  difficult  situation  of  the  Roma  population  who  are  frequently  victims  of 
intolerance, hate speech and even physical attacks. 

The Serbian government has also carried on with reforms aimed at improving the economic 
and  business  environment.  A  significant  and  positive  development  was  the  adoption  of  the 
new  Law  on  Public  Procurement  at  the  end  of  2012.  This  law  further  aligns  Serbian 
legislation  with  the  acquis  and  generally  improves  the  efficiency  of  public  procurement 
procedures, for example by centralising public procurement. It strengthens the institutions in 
charge of the enforcement and monitoring of the public procurement rules. New rules for the 
prevention  of  corruption  and  conflict  of  interest  were  introduced.  Overall,  this  law  should 
result  in  more  transparent  and  efficient  procurement  procedures,  and  increased  competition. 
The  government  has  adopted  other  measures  aimed  at  improving  the  business  environment, 
including  abolition  of  more  than  130  parafiscal  charges  and  fees  weighing  on  business 
activity,  amendment  of  the  VAT  law  and  adoption  of  a  law  limiting  the  deadline  for 
settlement  of  cash  liabilities.  A  long  overdue  reform  of  socially-owned  companies  was 
launched  in  December  2012,  imposing  an  18-month  deadline  for  completing  their 
restructuring. The amendments to the Law on Internal Trade adopted in January 2013 aim at 
reducing market entry barriers for retailers.  

Serbia  started  to  implement  the  Interim  Agreement  on  trade  and  trade-related  matters  on        
1  January  2009.  Serbia  has  built  a  satisfactory  track  record  in  implementing  its  obligations 
under the Interim Agreement and is committed to discuss and address any open issues. Serbia 
is also engaged in good faith in the SAA adaptation exercise ahead of Croatia's accession to 
the EU. Issues remain in the field of State aid and intellectual property rights. In particular, 
the  independence  of  the  Commission  for  State  aid  control  must  be  further  demonstrated, 
confirmation  received  that  all  State  aid  measures  are  notified  to  this  Commission  and 
approved by it and adjustment of existing aid schemes must be pursued.  

3.3. 

Regional cooperation and bilateral relations  

Following  some  difficulties  in  the  first  months  of  its  taking  office,  the  Serbian  government 
stepped  up  high-level  contacts  with  neighbouring  countries  in  recent  months  in  an  effort  to 
restore a positive contribution to regional cooperation. 

Regarding relations with Croatia, a landmark visit of the Croatian Prime Minister to Belgrade 
took place on 16 January 2013, on which occasion he agreed with the Serbian Prime Minister 
to work towards further improvement of relations and to enhance cooperation and joint work 
on  a  number  of  issues,  including  EU  integration,  economy,  refugees,  border  demarcation, 
missing persons, and war crimes. A number of meetings also took place at ministerial level, in 
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particular  the  visit  to  Zagreb  of  the  Serbian  Foreign  Affairs  Minister  in  March,  and  an 
agreement  on  cooperation  on  EU  integration  is  in  preparation.  Relations  with  Bosnia  and 
Herzegovina  (BiH)  remained  good.  The  Serbian  Prime  Minister  visited  Sarajevo  in  January 
2013 and the Chairman of the BiH Council of Ministers was in Belgrade in February 2013. In 
December 2012, the Serbian President received the Chair of BiH Presidency in Belgrade. A 
Memorandum of Understanding for cooperation on EU integration was signed in December 
2012 by the two Foreign Affairs Ministers. A Protocol on Cooperation in the prosecution of 
perpetrators of war crimes, crimes against humanity and genocide was signed in January 2013 
between the Serbian war crimes prosecutor and the Office of the prosecutor of BiH. Relations 
with Montenegro have improved. A visit of the Serbian President took place in January 2013 
in  a  positive  atmosphere,  where  he  stressed  the  respect  of  Montenegrin  sovereignty  and 
territorial  integrity.  Relations  with  the  former  Yugoslav  Republic  of  Macedonia  have 
improved and the Serbian Prime minister visited Skopje in January  2013, with a meeting of 
the Ministers of Justice taking place on the same occasion; it was also agreed to hold a joint 
session  of  the  two  governments  in  May  2013  in  Belgrade.  The  Serbian  Foreign  Affairs 
minister visited Skopje in February 2013 and signed an agreement on cooperation in the EU 
integration  process  with  his  counterpart.  In  addition,  Serbia  has  made  progress  in  restoring 
good  relations  with  Turkey.  The  importance  of  Serbia-Turkey  relations  for  the  region  was 
reaffirmed  during  President  Nikolic’s  visit  to  Ankara  in  early  February  2013;  this  trip  was 
preceded by a visit of the Turkish Foreign Affairs Minister to Belgrade.  

Serbia’s  relations  with  neighbouring  EU  Member  States  Bulgaria,  Hungary  and  Romania 
remained  good.  On  the  occasion  of  the  visit  of  the  Bulgarian  Foreign  Affairs  minister  to 
Serbia in December 2012, a social security agreement was finalised and it was also agreed to 
prepare  an  agreement  on  good  neighbourly  relations.  A  joint  contact  centre  for  police  and 
customs  cooperation  at  the  border  check-point  Kalotina  was  established.  The  Serbian  and 
Bulgarian  Prime  Ministers  signed  an  agreement  on  the  implementation  of  the  gas 
interconnection between Serbia and Bulgaria. The visit of the Serbian President to Hungary in 
November  2012  took  place  in  a  positive  atmosphere.  Serbia  and  Hungary  have  stepped  up 
their  cooperation  in  internal  affairs  as  part  of  the  measures  taken  to  curb  the  increase  of 
unfounded asylum in the EU. Serbia and Romania continued cooperation on the protection of 
minorities in line with their Joint Protocol of March 2012. Consultations continued under the 
auspices  of  the  OSCE  High  Commissioner  on  National  Minorities  and  conclusions  were 
reached on a number of steps taken or to be taken in the areas of media and education, while 
the issue of religious services remained pending.  

4. 

CONCLUSIONS AND RECOMMENDATIONS 

Serbia  has  taken  very  significant  steps  towards  visible  and  sustainable  improvement  in 
relations  with  Kosovo,  in  line  with  the  Council  conclusions  of  December  2012.  Serbia  has 
actively and  constructively engaged in  the EU-facilitated dialogue with Pristina and entered 
discussions  on  the  whole  range  of  issues  necessary  to  achieve  visible  and  sustainable 
improvement in relations with Kosovo. 

The dialogue between Belgrade and Pristina, following the Serbian elections, was upgraded to 
a  high  level  political  process  with  the  facilitation  of  the  High  Representative.  Ten  meetings 
have taken place between October 2012 and the end of April 2013. A meeting also took place 
on  6  February  between  Presidents  Nikolic  and  Jahjaga.  Implementation  of  agreements 
reached  in  the  dialogue  to  date  has  also  continued.  Implementation  of  the  agreement  on 
representation  of  Kosovo  in  regional  fora  was  generally  ensured,  with  the  admission  of 
Kosovo as fully-fledged member of the Regional Cooperation Council in February 2013 as a 
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landmark.  On  Integrated  Border  Management,  joint  interim  crossing  points  were  opened  on 
all  six  gates  and  they  are  up  and  running.  The  agreement  on  protection  of  religious  and 
cultural  heritage  sites  of  December  2012  is  being  implemented.  The  agreement  on  customs 
stamps continues to be implemented by both sides. There was good progress on civil registry 
and implementation should be completed by January 2014. Regarding cadastre, both sides are 
still in the process of taking the necessary preparatory steps. The agreement on acceptance of 
university diplomas is proceeding smoothly. Serbia’s cooperation with EULEX has continued 
to improve in certain areas. 

The  two  sides  also  agreed  to  start  customs  collection  and  to  establish  a  Fund  for  the 
development of northern Kosovo. In the second part of the high level dialogue, since January 
2013,  the  meetings  of  the  two  Prime  Ministers  focused  on  northern  Kosovo  leading  to  the 
initialling of the agreement of 19 April 2013 on a "First agreement of principles governing the 
normalisation of relations". This agreement foresees inter alia that discussions on Energy and 
Telecoms will be intensified by the two sides and completed by June 15 2013.  

On this basis, the Commission considers that Serbia has met the key priority of taking steps 
towards a visible and sustainable improvement of relations with Kosovo. 

Serbia has also undertaken to reinvigorate the momentum of reforms in the key areas of the 
rule  of  law,  particularly  judicial  reform  and  anti-corruption  policy,  independence  of  key 
institutions, media freedom, anti-discrimination policy, protection of minorities and business 
environment.  The  Serbian  authorities  have  given  renewed  attention  to  all  these  areas  for 
which they have started developing a comprehensive and long term vision. Reforms in these 
areas are in the making, focusing notably on the preparation of strategies, related action plans 
and  draft  legislation.  Progress  in  these  areas  will  have  to  be  sustained  over  time.  This  is 
particularly the case in the judiciary which represents a formidable challenge. 

The  Serbian  government  has  demonstrated  in  recent  months  its  commitment  to  a  positive 
contribution  to  regional  cooperation,  which  was  underpinned  by  a  number  of  high-level 
contacts with neighbouring countries. 

Recalling  its  findings  and  conclusions  set  out  in  its  Opinion  on  Serbia's  membership 
application of October 2011, in the Strategy paper of October 2012 and in the 2012 Progress 
report on Serbia, the Commission concludes that:  

Serbia now sufficiently fulfils the political criteria and the conditions of the Stabilisation and 
Association Process.  

The  Commission  also  maintains  its  assessment  regarding  the  economic  criteria,  obligations 
under  the  Stabilisation  and  Association  Agreement  and  the  Interim  Agreement  and  Serbia's 
preparedness to take on obligations of membership. 

The Commission therefore recommends that negotiations for accession to the European Union 
should be opened with Serbia.  

The  Commission  will  continue  to  monitor  Serbia's  progress  in  complying  with  the 
membership  criteria  and  the  conditions  of  the  Stabilisation  and  Association  Process.  The 
Commission  recalls  its  recommendation  of  October  2012  that  the  steps  leading  to  the 
normalisation  of  relations  between  Belgrade  and  Pristina  should  also  be  addressed  in  the 
context of the framework for the conduct of future accession negotiations with Serbia.  The 
Commission will continue during the  accession  negotiations to closely monitor reforms and 

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their implementation in the area of rule of law and fundamental rights, especially the judicial 
reform, the fight against corruption and anti-discrimination policy. It will make full use of the 
tools available at all stages of the accession process, in particular the new approach endorsed 
by  the  December  2011  European  Council  as  regards  the  chapters  on  judiciary  and 
fundamental rights and justice, freedom and security. 

13