I S S N 1 8 0 0 -77 6 8 6 European pulse E l e c t r o n i c m o n t h l y m a g a z i n e f o r E u r o p e a n i n t e g r a t i o n - N o . 5 9 , A u g u s t 2 0 1 0 IINNTTEERRVVIIEEWW Executive Director of Belgrade Centre for Euro-Atlantic Studies (CEAS) Jelena Mili} AANNAALLYYSSEESS Why is economic citizenship a problem EEUU CCHHAALLLLEENNGGEESS New Member States' troubles FFOOCCUUSS OOFF TTHHIISS IISSSSUUEE with ambitious How the Government educational goals made a lot of trouble in the process of digitalisation of electronic media F o r e w o r d / C a l e n d a r A u g u s t , 2 0 1 0 Strategy against corruption with Maurer (5 August) - The Government submitted the Anti-Corruption Strategy and Action Plan for the period 2010-2014 to the EU Delegation in Podgorica. These documents are of key importance for the EU acces- sion process, and their contents have already been criticised by some non-govern- mental organisations and civil society. Opposition campaigns for candidate status (6 August) - During the meetings with a number of representatives of EU member states Montenegrin opposition parties will argue in favour of Montenegro acquiring the candidate status, said the president of SNP Sr|an Mili} after a meeting with the UK ambassador to Montenegro Catherine Knight-SSands. Three opposition leaders - Mili}, Andrija Mandi} and Neboj{a Medojevi} are planning working visits for this autumn to London, Paris, and perhaps IIMMAAGGEE other European capitals. ould an MP in Bundestag raise in 10 000 euros across the border (9 August) - Montenegro's Central Bank (CBCG) protest, or would the European W decided that from now on the residents and non-residents can take in and out of the Commission demand an urgent meeting with the representatives of the country up to 10 000 euros in cash (also in other currencies) without reporting it to Government of Iceland, which is a step the police or the customs. Until now, the limit was 2 000. The decision came into ahead of Montenegro regarding EU inte- force on 25 August. "This means further liberalisation on regulations for carrying cash gration, if this tiny republic announced its and is in line with the EU directive on this matter", CBCG said. intention to grant citizenship to investors willing to bring at least half a million Montenegro called to report on economic citi- euros to the country, as they did in zenship (12 August) - Representatives of the Montenegro's case? Ministry of Foreign Affairs and EU Delegation in It's very likely that Iceland would Montenegro have exchanged information regar- never receive such a negative reaction ding economic citizenship, announced the from the international, as well as the speaker of the Delegation Dragan Mugo{a. He national public. The reason, or one of said the Delegation requested a working meet- them, is that Iceland doesn't have the ing, but that it wasn't going to release any pub- image of a corrupt state (cf. BBC and the lic announcements or statements, while the New York Times), although its now Government said they will harmonise each step defunct banks devoured fortunes of tens with EU requirements. Earlier, the Government of thousands British and Dutch citizens. had announced that it will initiate a programme Montenegrin Government is well of "economic citizenship", granting businessmen aware that, to cite its Communication strategy for informing the public about whose "credibility and origin of their capital are EU and preparing the country for mem- unquestionable" a Montenegrin citizenship, after bership, it ought to "invest further efforts they invest at least half a million euros into to improve the international image of the Montenegro. The Government's decision was Dragan Mugo{a country". severely criticised in some EU circles. In the absence of which a single EU member can easily find a reason to block Montenegrin in a peace mission (17 August) - Officer of the Montenegrin Army Montenegro' further progress towards (VCG), second lieutenant Miroslav Radoji~i} is the first officer of VCG to join an EU membership. peace mission. He was appointed for a four-month mandate in the EU peace mis- But the Government needs to sion "EU NAVFOR ATALANTA". He was assigned to the Greek frigate as a naviga- remember that it can't sell a Yugo engine tion officer. as Mercedes. The sketch of a new engine model Everything in writing (24 August) - At a request by the European Commission, Ministry in the shape of European legislation of European Integrations will submit a report on all activities implemented in order to transposed into the Montenegrin one answer the remaining questions from the EC Questionnaire the latest by 6 September, already exists, and it only takes a bit of announced the Ministry after a meeting between Minister for European Integrations will for a variety of institutions to start Gordana \urovi} and the head of the EU Delegation in Montenegro Leopold Maurer. moving. The overview will be formatted according to the chapters of the acquis and will be Removing defunct bits off the Montenegrin car and letting the European accompanied by translations of all laws that have been adopted in the meantime. media know about it would already go a long way towards improving Monte- Remove Balkans from the list of priorities (30 August) - There is no reason for the negro's international image. And would Balkans to remain among the top priorities of EU foreign policy, said Slovenian pres- certainly bring many more healthy invest- ident Danilo Turk. In an interview for the Austrian press agency APA, he said that any ments and investors who aren't into buy- slowdown in the accession negotiations "is mostly to be blamed on the candidate ing Montenegrin passports. V.@. countries". According to him, EU priorities should be aimed primarily towards the EU's strategic partners, especially Russia and Eastern neighbours. E u r o p e a n p u l s e N o 5 9 2 A t t i t u d e A u g u s t , 2 0 1 0 A V I E W F R O M E U Xiz!bsf!FV!jowftupst xbsz!pg!Cbmlbo!dpvousjft //////// an average of eight years. More than 1.5 the government did not stick to its obli- million court decisions have yet to be gations. Both cases contributed to a enforced. This is an unacceptable situa- worsening of the already bad investment estern Ba- tion for those wanting to invest and climate in Macedonia. The unpre- Wlkan cou- work with free competition rules. dictability of the political situation in the ntries are strug- In the last European Commission small country is also a problem. Efforts gling to attract progress report on Serbia and in some to becoming a NATO member and more direct for- expert studies, the state of the judiciary starting EU accession talks are stuck. eign investment in the country was identified as a factor The situation is not better in Kosovo despite big pub- that not only put into question the rule where investigators from the EU rule of of law but also put off potential law mission, EULEX, are looking into by Augustin Palokaj investors. several cases of corruption in big privati- One of the big foreign investors in sation processes. Several big companies lic campaigns in western media, lower Serbia, the German WAZ Media Group, have withdrawn from competing in a call taxes and other incentives. has indicated it intends to withdraw to build a big power plant in Kosovo. The EU is warning the countries from the country. The Committee of In Croatia, the situation is better as that the financial crisis is not the only Eastern European Economic Relations, an the country is getting closer to EU problem. The high level of corruption, illegal state protection of some domes- Western Balkan countries are struggling to attract more direct for- tic tycoons and dysfunctional judiciaries eign investment despite big public campaigns in western media, are also considerable obstacles to lower taxes and other incentives. The EU is warning the countries investment. that the financial crisis is not the only problem. The high level of Several EU governments and the corruption, illegal state protection of some domestic tycoons and European Commission in its annual dysfunctional judiciaries are also considerable obstacles to invest- progress reports have complained that ment. the backlog of cases in the courts, the inability to enforce court decisions and organisation representing German busi- membership. Zagreb recently closed discrimination against foreign companies ness, says it regrets the planned move: negotiations on bringing the country into in public procurement as well as cor- "We hope that the announced line with EU rules on public procure- ruption in the public sector are prevent- withdrawal is a warning signal and leads ment and opened talks in the area of competition. But EU companies can still It is essential for investors to trust that their investment will have face unnecessary informal obstacles in legal protection. This is what they expect also from the countries Croatia. Enforcing court decisions has in Western Balkans where they invest and those countries have to been taking too long and problems with do much more to meet this expectation ownership continue to be a concern. It is essential for investors to trust ing many companies from investing in to an improvement in conditions for that their investment will have legal pro- the region.