JOINT REPORT TO THE EUROPEAN PARLIAMENT AND THE COUNCIL on Kosovo's( progress in addressing issues set out in the Council Conclusions of December 2012 in view of a possible decision on the opening of negotiations on the Stabilisation and Association Agreement
Date: 2013-04-22
Institutions: European Commission, High Representative of the Union
Subjects: Kosovo, negotiation of an agreement (EU), stabilisation and association agreement

EUROPEAN 
COMMISSION 

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

Brussels, 22.4.2013  
JOIN(2013) 8 final 

JOINT REPORT TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 

on Kosovo's∗ progress in addressing issues set out in the Council Conclusions of 
December 2012 in view of a possible decision on the opening of negotiations on the 
Stabilisation and Association Agreement 

∗ 

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 Kosovo's∗ progress in addressing issues set out in the Council Conclusions of 
December 2012 in view of a possible decision on the opening of negotiations on the 
Stabilisation and Association Agreement 

1. Introduction 

In  October  2012,  the  Commission  issued  a  Feasibility  Study  for  a  Stabilisation  and 
Association Agreement between the European Union and Kosovo.1 The study concluded that 
Kosovo is largely ready to open negotiations for a Stabilisation and Association Agreement. It 
also  suggested  that  the  Commission  would  propose  negotiating  directives  for  such  an 
agreement,  once  Kosovo  takes  a  number  of  specific  steps  on  the  rule  of  law,  public 
administration, protection of minorities and trade. 

The  Council  Conclusions  of  December  2012  took  note  of  the  feasibility  study  and  of  the 
Commission's  intention to  propose negotiating directives for  a Stabilisation and Association 
Agreement once Kosovo meets these short-term priorities. The Council also called on Kosovo 
to  continue  implementing  in  good  faith  all  agreements  reached  in  the  dialogue  between 
Belgrade and Pristina to date and to engage constructively on the full range of issues. 

In addition to the dialogue between Belgrade and Pristina and the short-term priorities of the 
feasibility  study,  the  Council  Conclusions  put  emphasis  on  efforts  to  strengthen  public 
administration reform and consolidate the rule of law, in particular by providing evidence of 
the fight against organised crime and corruption, judicial reform and freedom of expression. 
The  Conclusions  confirmed  that  the  initiatives  launched  by  the  Commission,  including  the 
Structured Dialogue on the Rule of Law, the visa liberalisation dialogue and the Stabilisation 
and Association Process Dialogue play an important role in guiding Kosovo's reform efforts 
on these priority areas.  

The  Council  underlined  the  importance  for  Kosovo  to  strengthen  its  close  cooperation  with 
EULEX  and  respect  the  renewed  mandate  of  the  mission.  The  Conclusions  welcomed  the 
Commission's on-going efforts to negotiate a framework agreement with Kosovo concerning 
its participation in Union programmes. The Council also noted Kosovo's membership of the 
European  Bank  for  Reconstruction  and  Development  and  the  possibility  for  the  European 
Investment Bank to enhance its role in Kosovo. 

With  a  view  to  a  possible  decision  to  open  negotiations  for  a  Stabilisation  and  Association 
Agreement  with  Kosovo,  the  Council  made  a  commitment  to  examine  progress  on  all  the 
above issues. The Council also committed itself to examine the report during this Presidency 
and – provided the assessment is positive – to adopt the negotiating directives. 

∗ 

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(2012) 602 final 

2 

 
 
 
 
 
 
 
 
                                                            
Taking these elements into consideration, this report is divided into three parts. The first part 
analyses Kosovo's progress in addressing the short-term priorities identified in the feasibility 
study.  The  second  part  looks  at  all  the  other  issues  identified  in  the  December  Council 
Conclusions,  including  the  political  dialogue  between  the  Prime  Ministers  of  Kosovo  and 
Serbia  facilitated  by  the  High  Representative  of  the  Union  for  Foreign  Affairs  and  Security 
Policy,  and  implementation  of  the  agreements  reached  to  date.  The  final  part  of  the  report 
draws conclusions. 

2. Kosovo addressing short-term priorities of the feasibility study 

According to the feasibility study, Kosovo needed to take further steps on rule of law, public 
administration,  protection  of  minorities  and  trade  before  the  Commission  would  propose 
negotiating directives for a Stabilisation and Association Agreement. 

• 

Rule  of  law:  demonstrate  a  clear  commitment  to  deliver  results  in  the  fight  against 
organised  crime  and  corruption,  including  launching  investigations  and  ensuring 
continuous  good  cooperation  with  EULEX.  Support  the  work  of  the  Special 
Investigative Task Force. While implementing the new structure of courts, ensure  that 
the  Special  Prosecution  responsible  for  cases  of  organised  crime,  war  crimes  and 
corruption  maintains  its  competencies.  Adopt  the  legislation  on  confiscation  of  assets 
and revise the law on prevention of money laundering and financing of terrorism. Adopt 
a new anti-corruption strategy. 

Kosovo's political leaders and law enforcement and judicial authorities have maintained their 
commitment  to  the  fight  against  organised  crime  and  corruption.  Kosovo  authorities  and 
EULEX work in partnership on practical operational matters on a daily basis, either through 
mentoring  and  advising  activities  or  'peer-to-peer  cooperation'  in  joint  investigations. 
Cooperation  between  Kosovo  and  EULEX  is  good.  The  results  of  the  partnership  are 
becoming  more  evident.  An  important  recent  example  is  the  dismantling  of  a  human 
smuggling  criminal  network  across  Europe  at  the  end  of  January.  Joint  EULEX-Kosovo 
police efforts contributed to the arrest of 103 persons in ten different countries across Europe, 
including  Kosovo.  Since  October  last  year,  the  Kosovo  Special  Prosecution  has  launched 
investigations into six cases of corruption (two cases are handled by local special prosecutors) 
and six organised crime cases (four with a cross border dimension, two cases are dealt with by 
local special prosecutors). Cooperation between EULEX prosecutors and local prosecutors in 
the  Special  Prosecution  office  has  intensified  over  the  reporting  period.  The  special  anti-
corruption  department  of  the  Kosovo  police,  in  cooperation  with  EULEX,  launched  eight 
investigations during the period of October 2012 – January 2013 covering criminal acts such 
as organised crime, abuse of official duty, giving and receiving bribery, and fraud. 

Within  the  framework  of  the  Joint  Rule  of  Law  Coordination  Board  based  in  Pristina,  the 
three co-chairs of the Board (Deputy Prime Minister and Minister of Justice, the EUSR/Head 
of  EU  Office  and  Head  of  EULEX)  signed  a  document  ('Compact')  on  9  November.  This 
document  provides  a  framework  setting  out  key  rule  of  law  principles  and  joint  objectives, 
and identifies the means by which they are to be implemented. The Board intends to review 
its  implementation  regularly.  At  its  meeting  on  7  March,  it  had  a  first  discussion  on  a 
Compact  Tracking  Mechanism.  Kosovo  authorities  have  invited  EULEX  to  monitor  the 
recruitment of officials in senior positions in key rule of law institutions including the police 

3 

 
 
 
 
 
 
 
 
and the judiciary. Practical cooperation as well as strong political commitment by the Kosovo 
authorities to support the work of EULEX and the implementation of its mandate need to be 
maintained. 

Kosovo  authorities  continue  to  be  willing  to  support  the  work  of  the  Special  Investigative 
Task  Force.  The  new  court  structure  was  introduced  on  1  January  2013  and  its 
implementation  has  started  successfully.  The  outcome  of  the  implementation  of  the  judicial 
reform  can  only  be  fully  appreciated  once  the  process  has  been  completed.  In  this  context, 
Kosovo  has  maintained  the  competences  of  the  Special  Prosecution,  in  line  with  its 
commitments  following  the  feasibility  study.  If  the  on-going  implementation  of  judicial 
reform  proves  to  be  effective  and  confirms  the  need  and  after  a  thorough  review  in  close 
coordination  with  the  EU,  Kosovo  and  the  EU  may  begin  a  joint  reflection  on  how  to  best 
adapt the Special Prosecution's competences to the restructured criminal justice system.  

During  the  second  half  of  2012,  Kosovo  adopted  new  strategies  and  action  plans  against 
organised  crime,  narcotics  and  terrorism.  It  also  has  a  strategy  and  an  action  plan  against 
trafficking in human beings. The anti-corruption policy framework was completed by a new 
anti-corruption  strategy  accompanied  by  an  action  plan  adopted  on  11  February.  The 
Assembly  also  approved  a  law  on  the  confiscation  of  assets  and  revised  the  law  on  the 
prevention  of  money  laundering  and  financing  of  terrorism.  This  legislation  and  these 
strategies have improved both the policy and legal frameworks for the fight against organised 
crime and corruption, and Kosovo needs to continue their implementation. 

•  Public  administration:  adopt  the  necessary  secondary  legislation  of  laws  on  civil 
service and on salaries for the civil service. Allocate premises to the Ombudsperson 
Institution and ensure its budgetary independence through obliging the government to 
include  the  Ombudsperson's  draft  budget  proposal  into  the  global  draft  budget 
submitted to the parliament without changes. 

Since the adoption of the feasibility study, Kosovo has enacted secondary legislation of laws 
on  the  civil  service  and  on  salaries  for  the  civil  service  necessary  for  their  implementation. 
This includes the regulation on civil servants' career promotion, the regulation on conditions 
for restrictions on the right to strike in specific services in the civil service, the regulation for 
care  procedures  for  civil  servants  due  to  disability  and  health  problems,  the  regulation  on 
allowances  in  salaries  and  other  compensations  for  civil  servants,  and  the  regulation  on 
working hours and compensation for civil servants of the Assembly.  

On  3  December,  in  agreement  with  the  Ombudsperson  Institution,  the  Ministry  of  Public 
Administration issued a decision allocating the current premises of the Constitutional Court to 
the Ombudsperson. The Constitutional Court is to move to the EU-funded Palace of Justice 
upon  its  completion  later  this  year.  The  new  premises  and  their  location  are  appropriate  for 
the  Ombudsperson  Institution  and  ensure  easy  access  for  the  general  public.  The 
Ombudsperson Institution proposed its budget in June 2012. The government included it into 
the global draft budget, which was submitted to the Assembly without modifications.  

4 

 
 
 
 
 
 
 
 
 
 
•  Protection  of  minorities:  ensure  existence  of  a  body  enabling  direct  consultation  on 
the  promotion  and  protection  of  religious  and  cultural  heritage  with  religious 
communities, notably the Serbian Orthodox Church. 

The Minister of Environment and Spatial Planning adopted the administrative instruction on 
establishing the Implementation Monitoring Council (IMC) on 12 February. The Council has 
five members: representatives of the Serbian Orthodox Church, Ministry of Environment and 
Spatial  Planning,  Ministry  of  Culture  Youth  and  Sport,  OSCE  and  EU.  The  Ministry  of 
Environment and Spatial Planning and EU representatives co-chair the IMC. The IMC held its 
first  working  meeting  on  26  February  when  all  parties  have  confirmed  their  strong 
commitment  to  this  process.  The  second  meeting  addressing  concerns  of  the  Church  took 
place on 3 April. 

•  Trade:  implement  the  government  decision  on  the  restructuring  of  the  Ministry  for 
Trade  and  Industry,  put  in  place  a  mechanism  to  lead  and  coordinate  negotiations 
within Kosovo and prepare an impact analysis of trade aspects of a Stabilisation and 
Association Agreement. 

Kosovo  has  completed  the  restructuring  of  the  Ministry  of  Trade  and  Industry.  The  new 
organisational  structure  of  the  Ministry  ensures  an  effective  organisation  of  the  bodies  in 
charge of negotiating the trade related parts of the Stabilisation and Association Agreement. 
Appointments to key positions have been made.  

Stakeholders,  including  economic  operators,  can  provide  their  input  into  Kosovo's  trade 
policy through formal and regular consultations. These consultations are held in the economic 
council, the inter-ministerial council on trade policy and the trade policy working group, and 
in its five sub-groups (trade agreements, trade facilitation, industry, agriculture and services). 
In  February,  the  Kosovo  government  adopted  a  decision  on  the  structure  of  the  negotiating 
team for the Stabilisation and Association Agreement. Within this structure, the Ministry of 
Trade and Industry will lead the technical group supporting the negotiations on trade related 
aspects of the Agreement. 

The Ministry of Trade and Industry has completed its first impact analysis of trade aspects of 
a Stabilisation and Association Agreement. The analysis includes an assessment of the effects 
of trade liberalisation on trade flows, public finance, output and employment. It is clear that 
this document needs to continue evolving, taking into account new and updated data. At the 
same time, the proposed methodology and the first results of the analysis provide a good basis 
for Kosovo to prepare for the negotiations. 

3. Other issues of December Council Conclusions 

Engagement of Kosovo in the dialogue between Pristina and Belgrade and implementation of 
the agreements 

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. 

5 

 
 
 
 
 
 
 
 
 
 
 
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 
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 

2  

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

6 

 
 
                                                            
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. 

Public administration reform 

The  feasibility  study  concluded  that  the  legal  framework  necessary  for  a  stable  and 
professional public administration is largely in place. By meeting the short-term priorities set 
out  in  the  study,  Kosovo  has  further  improved  its  legal  framework  and  has  created  the 
conditions for the implementation of the laws on civil service and on salaries of civil servants. 
Kosovo  has  now  started  focusing  its  efforts  on  implementing  legislation,  the  public 
administration reform strategy and its action plan. 

7 

 
 
  
 
 
Kosovo  has  also  made  good  efforts  to  strengthen  the  Ombudsperson  Institution.  Its  budget 
approved by the Assembly for this year has increased from last year's €636,000 to just above 
€1 million. This allows an increase of staff from 48 to 60 employees.  

Public administration reform is a long term effort. Other Western Balkan countries benefitting 
from  Stabilisation  and  Association  Agreements  continue  to  face  this  challenge.  Kosovo's 
progress to date provides for the necessary basis (legislative and policy frameworks) to move 
forward in this important area. 

Consolidating rule of law  

The feasibility study concluded that the core institutional and legal framework to ensure the 
rule of law in Kosovo is in place. On a number of occasions, Kosovo leaders have reiterated 
their political commitment to the fight against organised crime and corruption. This political 
commitment provides a good basis for the law enforcement and judicial authorities in Kosovo 
to  further  improve  their  performance,  notably  as  regards  providing  evidence  of  the  fight 
against organised crime and corruption. Kosovo needs to continue implementing measures to 
prevent and combat trafficking in human beings, drugs and weapons. 

Some  important  cases  have  been  brought  to  trial  by  the  prosecution.  Last  November,  the 
District  Court  of  Pristina  confirmed  the  indictment  filed  by  the  prosecution  for  charges  of 
abuse of official position or authority, and fraud against former ministers; the court procedure 
is on-going. In November 2012, the District Court of Pristina also confirmed the indictment 
against  the  former  manager  of  the  Pristina  municipality  procurement  office  and  five  other 
officials for abuse of official position or authority.  

The municipal court in Pejë/Peć in October and November 2012 convicted and sentenced 34 
individuals, including high officials of the Business Faculty in Pejë/Peć, on charges including 
abuse  of  official  position  or  authority,  misappropriation  in  office,  fraud  in  office  and 
falsifying official documents. The court judgment also prohibits the exercise of official duty 
for  these  sentenced  and  convicted  officials.  In  January  2013,  a  mixed  panel  of  Kosovo  and 
EULEX judges at the Basic Court of Pejë/Peć convicted nine defendants of offences relating 
to smuggling of migrants. Overall, in 2012  Kosovo courts have resolved 183 cases regarding 
'abuse of official position and authority', 6 cases of organised crime, 22 cases of trafficking in 
human  beings,  186  cases  of  narcotic  related  offences  and  24  cases  of  weapons  related 
offences.  

These  concrete  results  of  joint  efforts  of  Kosovo  and  EULEX  demonstrate  the  closeness  of 
their practical cooperation. At the same time, the fight against organised crime and corruption 
remains  a  challenge  and  Kosovo  needs  to  continue  making  progress  in  this  area  both  on  its 
own and in cooperation with EULEX. 

The  feasibility  study  concluded  that  the  basic  institutions  of  the  judiciary  have  started  to 
perform their role, and that legislation provides for strong guarantees of the independence of 
the  judiciary.  On  1  January,  the  laws  on  courts  and  on  prosecution  entered  into  force, 
introducing  a  new  court  and  prosecution  structure.  It  replaces  the  former  structure  of 
municipal  and  district  courts  by  seven  basic  courts  and  one  court  of  appeal.  Its 
implementation has started without major difficulties. The new legal framework contributes to 

8 

 
 
 
 
 
 
 
 
 
the  independence,  effectiveness,  accountability  and  impartiality  of  the  judicial  system  in 
Kosovo and its implementation will be subject to further review in the future. 

The new criminal code and criminal procedural code entered into force at the same time as the 
laws on courts and prosecution. This has brought about a major overhaul of Kosovo's judicial 
and  criminal  justice  system.  The  new  criminal  code  contains  provisions,  inter  alia,  on  the 
smuggling of migrants, trafficking in human beings, the production and trafficking of drugs, 
organised  crime,  corruption  and  arms  trafficking.  Its  provisions  respect  the  exclusive  and 
subsidiary competences of the Special Prosecution. It is too early in the process to qualify the 
practical impact of these judicial reforms, as their implementation has only just started. It is to 
be expected that the practical implementation of such complex reforms will necessitate further 
legislative modifications. 

The feasibility study confirmed that freedom of expression is guaranteed in the constitution. 
Kosovo  abrogated  the  two  articles  on  criminal  liability  and  protection  of  journalist  sources 
from the criminal code in October last year. The new criminal procedural code also includes 
journalists in the category of witnesses exempt from the duty to testify. As a result, media are 
not  criminally  liable.  On  28  February,  the  relevant  committee  of  the  Assembly  organised, 
with the support of the OSCE, a public hearing for representatives of journalist associations. 
At  the  hearing,  issues  that  affect  media  freedoms,  in  particular  physical  attacks  and  threats 
against journalists, were discussed. At the end of last year, Kosovo police, in cooperation with 
EULEX,  launched  an  investigation  into  threats  to  members  of  a  non-governmental 
organisation, which had issued a magazine on LGBT issues. 

Kosovo authorities continue to be regularly challenged in the Assembly, the media, by civil 
society or by public protests. Kosovo needs to continue creating an environment conducive to 
freedom  of  expression  and  needs  to  ensure  that  attacks  on  journalists  are  thoroughly 
investigated. 

Toolbox supporting Kosovo in its reform efforts 

To  guide  Kosovo's  reform  efforts,  the  Commission  has  developed  a  number  of  instruments. 
The  Stabilisation  and  Association  Process  Dialogue,  launched  following  the  2009 
Commission Communication Kosovo – Fulfilling its European Perspective,3 has proven to be 
an essential tool in mobilising, discussing and prioritising Kosovo's overall European reform 
agenda. The Structured Dialogue on the Rule of Law is setting common EU-Kosovo priorities 
to  tackle  rule  of  law  challenges.  It  provides  for  strong  political  guidance  on  reform  to 
consolidate  the  rule  of  law.  The  visa  liberalisation  dialogue  with  Kosovo  was  launched  in 
January  2012  and  as  in  the  other  countries  of  Western  Balkans,  it  is  a  core  framework  for 
Kosovo  to  adopt  and  implement  reforms  in  the  rule  of  law  area.  In  all  these  processes,  the 
Ministry of European Integration is playing an important role. It has set-up solid mechanisms 
within Kosovo to prioritise, coordinate and ensure the delivery of results.  

3  

COM(2009) 534 final 

9 

 
 
 
 
 
 
 
 
 
 
 
                                                            
Other elements of Kosovo's European perspective of the December Council Conclusions 

In  December,  the  Council  recalled  the  EU's  willingness  to  assist  the  economic  and  political 
development  of  Kosovo  through  a  clear  European  perspective,  in  line  with  the  European 
perspective of the region. It again underlined the need to take concrete steps to this effect. In 
its 2009 Communication on Kosovo, the Commission proposed to examine the opportunity of 
a  framework  agreement  with  Kosovo  on  the  general  principles  of  its  participation  in  EU 
programmes. In October 2012, the Council authorised the Commission to negotiate such an 
agreement. At the beginning of this year, the Commission concluded the negotiations and it 
intends  to  adopt  proposals  for  Council  decisions  on  the  signature  and  conclusion  of  a 
framework agreement with Kosovo shortly. 

Kosovo  became  a  member  of  the  European  Bank  for  Reconstruction  and  Development 
(EBRD) and a Country of Operations in December 2012. The EBRD is preparing a three year 
country strategy. This will allow the Bank to broaden and diversify its intervention in support 
of  Kosovo's  socio-economic  development.  An  EBRD  mission  visited  Kosovo  in  December. 
The  Bank  offices  in  Pristina  moved  to  larger  premises  with  a  view  to  increasing  its  staff  in 
Kosovo. The President of the Bank visited Kosovo on 8 February. 

The  European  Investment  Bank  is  currently  discussing  a  framework  agreement  with  the 
government  of  Kosovo.  The  parties  need  to  agree  areas  in  which  the  Bank  will  invest.  The 
intention  is  to  approve  and  sign  the  agreement  in  spring.  EIB  operations  can  start  soon 
thereafter. A joint EIB-Commission mission visited Kosovo in December 2012. The EIB does 
not plan to have a permanent presence in Kosovo. 

4. Conclusions  

Since  the  adoption  of  the  feasibility  study  in  October  2012  and  the  Council  conclusions  of 
December 2012, Kosovo has met all the short-term priorities identified in the study.  

Kosovo has demonstrated its commitment to the fight against organised crime and corruption. 
It  has  adopted  the  necessary  legislation  and  strategic  documents,  and  maintained  the 
competences of the Special Prosecution. A number of investigations into organised crime and 
corruption  have  been  launched.  Kosovo  has  maintained  good  cooperation  with  EULEX  and 
continues to be willing to support the work of the Special Investigative Task Force. 

New  premises  have  been  allocated  to  the  Ombudsperson  Institution.  The  government 
refrained  from  modifying  the  proposed  budget  of  the  Ombudsperson  prior  to  submission  of 
the  draft  general  budget  to  the  Assembly.  The  secondary  legislation  necessary  for  the 
implementation of the public administration reform has also been adopted.  

The  new  Implementation  and  Monitoring  Council  bringing  together  Serbian  Orthodox 
Church,  Kosovo  authorities,  the  EU  and  the  OSCE  was  put  in  place  and  has  started  to 
function. 

The Ministry of Trade and Industry has been restructured and appointments to key positions 
have  been  made.  A  mechanism  to  lead  and  coordinate  negotiations  on  trade  issues  in  the 
context  of  a  Stabilisation  and  Association  Agreement  is  in  place.  Kosovo  will  be  able  to 

10 

 
 
 
 
 
 
 
 
 
 
 
define  its  negotiating  position  on  the  basis  of  the  impact  analysis  of  trade  aspects  of  a 
Stabilisation and Association Agreement. 

As  a  result,  the  Commission  submits  its  proposal  for  a  Council  decision  authorising  the 
opening of negotiations on a Stabilisation and Association Agreement between the European 
Union and Kosovo.4 

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

The dialogue 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.  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.  

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".  

On  this  basis,  the  Commission  considers  that  Kosovo  has  engaged  seriously  and 
constructively in taking steps towards a visible and sustainable improvement of relations with 
Serbia. 

4  

COM(2013) 200 final 

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