Building Strong States, Economies & Societies in W. Balkans

Building Strong States, Economies & Societies in the Western Balkans

Remarks

Philip H. Gordon
Assistant Secretary, Bureau of European and Eurasian Affairs

Remarks at the Croatia Summit 2012

Dubrovnik, Croatia

July 7, 2012

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As Prepared for Delivery

President Josipovic, distinguished guests, thank you for inviting me to speak to you this morning as part of this important forum for discussing Southeastern Europe. I am delighted to be back in the beautiful city of Dubrovnik. I am pleased to be joined here by Congressmen Gallegly, Green and Long as well as so many prime ministers and foreign ministers from across Europe and the Mediterranean region.

I arrived last night from Paris, where I accompanied Secretary Clinton to the third meeting of the Friends of the Syrian People. She asked me to send her warmest regards to all her counterparts here, and to carry a strong message of support from the United States for your efforts to advance stability, democracy and prosperity in this region.

As you all know – particularly those who were also in Paris yesterday – we are facing a world filled with complex challenges. In addition to Syria, we are preparing for transition in Afghanistan, working to hold Iran accountable to its international commitments, assisting ongoing reform efforts across North Africa, and wrestling with a global financial crisis. This doesn’t lessen U.S. interest in the Balkans, a part of the world where we have invested so much and have so many friends and interests. Indeed, this weekend’s summit provides a welcome opportunity to reaffirm American commitment to ensuring the full integration of this region into Europe. However, it does mean that regional leaders will have to do even more to ensure that the Balkans do not fall behind or off the radar screens. We want strong, stable, democratic and prosperous partners who can help us address these global challenges. But that means overcoming the divisions, narrow nationalism, and inflexible economies that have no place in the 21st century.

I first attended this summit in July 2009, along with then Deputy Secretary of State Jim Steinberg. In the three years since then, the countries of Southeastern Europe have made tangible progress in a number of key areas. Croatia completed its membership negotiations with the European Union. We are delighted that Croatia will become the EU’s newest member next year and hope for timely ratification by all EU members before July 2013. Serbia and Montenegro have become EU candidate countries. Montenegro, only six years after obtaining independence, was just invited to begin EU accession negotiations, and has joined NATO’s Membership Action Plan. Bosnia and Herzegovina also was invited to join MAP, and needs only to register defense property under state ownership in order to activate its membership. NATO reaffirmed at the Chicago Summit that Macedonia can join the Alliance as soon as its name dispute is resolved. And Secretary Clinton reaffirmed her conviction that NATO’s door must remain open to those aspirants, including several who are represented here this morning, who make the needed reforms and are in a position to contribute to our common security.

Another indicator of progress is the extent to which Balkan countries have joined with our EU and NATO partners to become providers rather than consumers of security. Albania, Bosnia, Croatia, Macedonia and Montenegro all have troops serving alongside American and European soldiers in Afghanistan. Last fall, a small group of Adriatic Charter country trainers deployed together – exhibiting a degree of military-to-military cooperation that would have been unimaginable a decade ago. And we appreciate these countries’ commitments to help sustain the Afghan National Security Forces after NATO concludes its combat mission in 2014.

I also want to acknowledge the progress made between Kosovo and Serbia While much more needs to be done, the very fact that the two countries began sitting down together across a negotiating table is itself a step toward the recognition that the only way forward is reconciliation. Agreement was reached on important issues such as cross-border freedom of movement, a customs stamp, recognition of university diplomas, and a range of other issues. We look forward to full implementation of these agreements.

More work needed

While we applaud the considerable efforts across the region to overcome past enmity and reform dysfunctional institutions, we have also seen disappointing setbacks and frustrating intransigence. Clearly more must be done before the whole of Southeastern Europe can be considered fully integrated into the Euro-Atlantic community. Let me be frank about how the United States views the current challenges and opportunities in the countries of the region.

Croatia

Croatia has become a true leader in the region, as its rapid political reform process led to early membership in Euro-Atlantic institutions. Croatia’s success demonstrates the possibility of progress, albeit with hard work and sacrifice, to advance the interests of its citizens. As Secretary Clinton said last June following the completion of accession talks, “Croatia has shown by example that European and Euro-Atlantic integration is not only a worthy goal – but is also attainable – for all Western Balkan countries.” The momentum resulting from Croatia’s transition should be cultivated as a model throughout the region. Croatia’s success after many years should demonstrate to other candidate countries that for all the talk of “enlargement fatigue”, the EU’s Open Door really is open – reform your economies, reconcile with neighbors, meet democracy and human rights standards, and you will ultimately join the Union.

Despite these achievements, we trust that Croatia will not rest on its laurels but continue its efforts to strengthen the rule of law – especially on prosecution of official corruption and remaining war crimes cases – and make necessary reforms to its business and investment climate.

Montenegro

Montenegro has made solid progress toward NATO membership and recently opened EU accession negotiations. The country has also made important improvements in the areas of democratic governance, rule of law and media freedom. However, the fight against corruption and organized crime at all levels of society must continue to be addressed by Podgorica.

Albania

Albania quickly adopted necessary reforms to join NATO. However, the two year political stalemate in the parliament after the 2009 elections has delayed progress toward EU candidacy status. While the opposition’s boycott of parliament has formally ended, lack of political will has prevented the conclusion of parliamentary and electoral reforms. The process by which the parliament elected a new president was a lost opportunity to demonstrate the sort of political consensus that helped Albania gain NATO membership. Such a zero-sum approach to politics is hindering progress on EU integration, as well as internal stability and economic development. After this lengthy period of stasis, it is time for political leaders to move past personal squabbles and brinksmanship in order to make tangible progress on the reform agenda.

Macedonia

Macedonia’s name dispute with Greece continues to thwart its aspirations for NATO membership and the start of EU accession talks. We were disappointed that NATO was unable to welcome Macedonia at the Chicago Summit. But as NATO is a consensus organization, Macedonia and Greece must first resolve their bilateral disagreement before the Alliance can fulfill the membership offer extended at the Bucharest Summit. The U.S. supports the ongoing UN process on this issue and will embrace any mutually acceptable solution that emerges.

The United States has invested heavily in Macedonia’s success, supporting the growth of civil society and strong democratic institutions as well as efforts to institutionalize principles of diversity and inclusion throughout government and society. Although Macedonia has made progress in inter-ethnic relations, we are alarmed by signs of growing tensions between communities. We also remain troubled by developments that affect the independence of the judiciary and the media. We have encouraged the government to redouble its efforts to implement the letter and spirit of the Ohrid Framework Agreement.

Bosnia and Herzegovina

When I spoke at a conference in Sarajevo last June, I said that Bosnia and Herzegovina could only move forward if leaders made progress in three areas: government formation, respect for state institutions and the Dayton Framework, and governmental reform.

The country appeared to be getting back on track earlier this year after a 16 month political stalemate with the formation of a government and adoption of key laws needed to advance its Euro-Atlantic integration. However, there have been troubling signs of regression in recent weeks. Narrow personal and political agendas as well as attempts to stoke ethnic fears are again impeding progress on necessary reforms. Ongoing efforts to reshuffle the state and federation governments are an unwelcome distraction from the economic and political priorities – including EU and NATO membership – that all of the main political parties profess to support.

Work needs to resume immediately on meeting the requirements necessary for submitting a credible EU candidacy application and beginning NATO’s Membership Action Plan this year. In order for Bosnia to keep pace with positive developments elsewhere in the region, it must also be able to function as a state that can deliver results for all its citizens.

Rhetoric challenging Bosnia’s sovereignty and territorial integrity continues to raise doubts about whether Republika Srpska’s leaders are truly committed to the Dayton Agreement and EU integration. The US. strongly supports a framework of one state, two entities, and three constituent peoples. Republika Srpska is, and must remain, a constituent part of Bosnia and Herzegovina.

As we approach the 17th anniversary of Srebrenica, let me be clear: given the well-documented record of atrocities and war crimes, historical revisionism where the victims are to blame will not succeed and cannot be tolerated. Regardless of ethnicity, whoever wins Srebrenica’s election in October will have an obligation to respect the memories of the victims and promote reconciliation for all of Srebrenica’s current residents.

Kosovo and Serbia

Finally, let me turn to Kosovo and Serbia. The United States strongly supports the Euro-Atlantic aspirations of both countries. We were encouraged by the EU’s decision earlier this year to grant candidate status to Serbia, as well as to give Kosovo a roadmap toward visa liberalization and undertake a Feasibility Study for a Stabilization and Association Agreement. In addition, we welcomed the progress made by the two sides as part of the EU-facilitated Dialogue. Despite significant domestic political criticism, leaders reached agreements on a range of issues affecting people’s daily lives. Now we look forward to the full implementation of these agreements.

Our position on the way forward, which has been developed in cooperation with the EU and NATO, is clear: we expect to see Kosovo and Serbia continue to move toward normalizing relations. Neither we nor the EU expect Serbia to recognize Kosovo at this point – it won’t. However, Serbia will have to come to terms with the reality of a democratic, sovereign, independent, multi-ethnic Kosovo with its current borders. We can and will help with this process. To that end, Belgrade must end its support for the illegal parallel security and judicial structures in northern Kosovo and ensure freedom of movement for all. In addition, Belgrade should not block efforts by Kosovo to implement decentralization measures that will give people living there a normal life for the first time in 13 years. Partition is not an option: neither for Serbia and Kosovo nor for any other country represented here today.

We welcome statements by Serbian President Nikolic regarding his desire to maintain Serbia’s path toward the EU and to implement in full the agreements reached in the Dialogue. We hope to build a constructive relationship with the new president and his new administration.

Turning to Kosovo specifically, the country has considerably strengthened its political institutions over the last four years. Having weathered a series of tests to the stability of its constitutional order, Kosovo needs to continue the hard work of building a cohesive state and developing its multi-ethnic, democratic institutions. A vital part of this process includes ensuring respect for the rights of all of Kosovo’s communities – including Kosovo Serbs – and the preservation of their cultural and religious heritage. In addition, Kosovo should continue improving its governance while also tackling unemployment, barriers to investment, corruption and organized crime. We look forward to Kosovo fulfilling the final steps needed to end supervised independence later this year

Conclusion

In closing, let me mention a final over-arching challenge: the global financial crisis. We all know that economic forces are transforming foreign policy realities. The political reforms of the Arab Spring were sparked by the desperate act of a fruit seller; governments across Europe have been toppled by the negative impact of the downturn on voters; and countries are gaining influence due to the growth of their economies rather than the size of their militaries.

There is no doubt that the outstanding political issues that I’ve just outlined are exacerbated by the poor economic situation that is affecting the entire Euro-Atlantic community. However, rather than motivating Balkan leaders to concentrate on these domestic challenges, the crisis has led to a worrying increase in nationalist rhetoric and the re-emergence of chauvinism as a political rallying point.

Instead of wasting time on pan-nationalist pursuits and inflammatory speechifying, political leaders should be focused on explaining the necessity of hard reforms and then making those reforms - particularly on rule of law issues - to promote a stable investment climate. Foreign investors have a wide range of options and will continue to bypass countries plagued by corruption, weak state structures and political instability. By strengthening their economies as well as their political institutions, western Balkan countries will become the kind of democratic, prosperous and capable allies that we need in the Euro-Atlantic community in order to confront today’s pressing global challenges.

The United States, in close partnership with the European Union, still has an important role to play in completing the ‘unfinished business’ of Europe. And we remain committed to staying the course. However, the main responsibility falls on regional actors. Local political leaders must be willing to move past ethnic divisions and personal interests to focus on delivering the genuine reforms and compromises demanded by their citizens. We need partners who share this vision, who are prepared to put the interests of the people ahead of their own, and who are willing to compromise for the greater good. The international community cannot want progress and reform more than the leaders of this region do.

ENDS

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