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Achievements of the Stability Pact for Southeast Europe
THE WHITE HOUSE
Office of the Press Secretary (Istanbul,
Turkey)
For Immediate Release
November 18, 1999
FACT SHEET
Achievements of the Stability Pact for Southeast
Europe
States participating in the Stability Pact launched by President
Clinton and European leaders at the Sarajevo Summit last July met today to
assess progress made towards building a more stable and prosperous Southeast
Europe. Initiated by the EU with strong U.S. support and placed under the
auspices of the Organization for Security and Cooperation in Europe (OSCE), the
Pact aims to strengthen democracy, economic development and security throughout
the region. Efforts to translate the principles endorsed at Sarajevo into
substantive work began in September with a successful Regional Trade meeting.
It was followed by Working Table meetings to develop specific initiatives on
democratization, economic revitalization and security.
At the invitation of the OSCE Chairman-in-Office, Norwegian
Foreign Minister Vollebaek, and in preparation for the Summit, Ministers
endorsed the accomplishments of the Stability Pact thus far and discussed
priorities for the next six months. Key achievements include:
Advancing Economic Development
Improving the Investment Climate
Recognizing that trade and investment, even more than donor
assistance, will fuel long-term economic growth in Southeast Europe, Stability
Pact participants developed an "Investment Compact" to assist countries in the
region in promoting private sector development and attracting foreign
investment. Under the Compact, countries in the region pledge to intensify
efforts to create a predictable and fair business environment, fight corruption
and crime and implement market-oriented reforms. In exchange, countries outside
the region commit to work with international financial institutions (IFIs) to
mobilize private finance. Stability Pact participants, the Organization for
Economic Cooperation and Development (OECD) and other international
institutions, in conjunction with Economic Task Forces in each country
comprised of donors and host country officials, will analyze existing policies
on investment and formulate recommendations for reform. The United States plans
to contribute $100,000 to the OECD to jumps tart the implementation process;
other OECD members are also contributing.
Strengthening Regional Infrastructure and Private Sector
Development
Donor nations and IFIs have launched a process to review,
prioritize and mobilize financing for viable regional projects aimed at
strengthening the infrastructure and economies of southeastern Europe. Sectoral
experts will review the projects and report their recommendations by the end of
the year to the High Level Steering Group of donors and international financial
institutions. A Regional Donors' Conference will be held in February/March
2000.
Tapping Private Sector Expertise
A Business Advisory Council (BAC) to the Stability Pact is
being established to advise the Economic Working Table on a variety of issues,
including steps to improve the investment climate and eliminate corruption. The
Council will be composed of leading executives from U.S., European and
Southeast European countries. The inaugural meeting of the Council will take
place before the end of the year.
Reducing Regional Trade Barriers
The countries of Southeast Europe, led by Macedonia, have
launched an initiative aimed at reducing trade barriers in the region. Work is
under way and an action plan will be announced at the next meeting of the
Economic Working Table.
Fighting Crime and Corruption
Combating Corruption
Stability Pact countries have developed the Southeastern Europe
Anti-Corruption Initiative. Governments in the region have agreed to pursue a
wide range of anti-corruption objectives, including bringing domestic
government procurement laws in line with WTO standards, taking specific
measures to promote public service integrity and establishing review bodies to
monitor integrity in the administration of foreign aid programs and national
anti-corruption efforts. Governments outside the region have agreed to
coordinate their technical assistance programs to help implement these
anti-corruption programs.
Cooperating Regionally to Fight Organized Crime
The countries participating in the Southeast European
Cooperative Initiative (SECI), which signed an agreement in May to cooperate
with each other in combating cross-border crime, have established a center in
Bucharest to facilitate the sharing of relevant information. Stability Pact
participants have agreed to use this Center as the central regional
clearinghouse on cross-border crime. Construction of the Center has been
completed, and it is expected to be operational by March 2000.
Promoting Democratization and Human Rights
Examining the Teaching of History
Southeast European and other countries have agreed to form a
Regional Coordinating Committee on History and the Teaching of History. The
Committee will be comprised of distinguished historians and other notable
personalities from the region, other parts of Europe and the United States. It
will facilitate cooperative efforts among the countries of the region to
examine their history materials and teaching materials. The first meeting of
the group will take place next month.
Developing an NGO Partnership
Efforts are being made to develop a strong partnership between
the Stability Pact and non-governmental organizations (NGOs), in recognition of
the contributions they are making to the goals of the Stability Pact. Such
cooperation can lead, for example, to the development of a network of NGOs
throughout Southeast Europe committed to the promotion of democracy, human
rights, tolerance and other foundations of civil society.
Encouraging and Protecting a Free Media
Regional and international media representatives have worked
with the Stability Pact Task Force on Media Issues to draft a charter on the
protection of free media in the region. The Charter commits the countries of
the region to: (a) defend freedom of expression and information; (b) encourage
the development, both in the public and private sector, of media that is
independent of governments and operates according to high standards of
professional journalism and impartial and objective rules; and(c) provide a
legal environment that is compatible with the needs of free and independent
media. The draft will be finalized before the end of the year, after further
consultation with media associations.
Promoting Democracy in Southeast Europe
An October Stability Pact conference in Szeged, Hungary, with
opposition mayors from the Federal Republic of Yugoslavia (FRY) launched an
effort to promote "Sister City" relationships with Serb cities governed by the
democratic opposition. Hungary has earmarked $1.5 million for this effort. A
follow-up meeting is planned for the first half of 2000.
Promoting Cooperative Security
Reducing Small Arms and Light Weapons
Countries of the region agreed to intensify efforts to seize
illicit transfers of small arms and light weapons, destroy weapons seized by
interdiction or that exceed legitimate defense needs, and take all necessary
measures to secure small arms and light weapons stockpiles necessary to their
defense. They invited the OSCE to monitor destruction of these weapons and
agreed to work together to identify assistance requirements for destruction and
storage.
Implementing CWC Commitments
Countries of the region agreed to identify chemical weapons as
a security concern in the region, to implement fully their commitments as
states party to the Chemical Weapons Convention, and to urge the FRY to accede
to that Convention.
Supporting Humanitarian Demining
The Stability Pact endorsed the Slovenian Humanitarian Demining
Trust Fund, and donors have committed to fulfill approximately $14 million in
pledges to the fund. Over $10.7 million of these pledges have already been
received by the Trust Fund. The United States will match the first $14 million
of donations received by December 9, dollar for dollar. The same amount of
matching U.S. funds will be available next year, not to exceed the total amount
matched in 1999.
Regulating Arms Sales
The Stability Pact endorsed a Regional Conference on Arms
Transfer Issues, which will be hosted by the United States and Bulgaria in
December 1999, to identify methods of strengthening and implementing
responsible arms transfer policies. The Conference will work towards producing
a regional declaration establishing standards of restraint on arms sales and
development of a common end-user certificate.
The Way Forward
Today's meeting of Stability Pact participants reaffirmed their
strong support for the goals of the Pact and set the stage for intensified work
during the next few months. With evaluation of regional infrastructure, energy
and environmental projects under way and the development of a comprehensive
regional development strategy begun by the World Bank and the EU, adequate
preparation for the Regional Donors' Conference in February/March 2000 is now
essential. Successful development of these projects, as well as initiatives in
the democratization and security area, can make a visible difference in the
daily lives of people in the region. The growing availability of financing and
insurance for the region from the IFIs, the European Union, United States and
others, combined with implementation of the Investment Compact and the
Anti-Corruption Initiative, including the political and economic reforms they
entail, can attract the private investment needed for long-term economic
growth. Faster trade liberalizatio n, both in terms of reducing barriers
within the region and with Europe and the United States, can also spur such
growth. Perhaps most important, Southeast Europe's own efforts in these areas
will forge the kind of regional cooperation that is essential to lasting
stability and prosperity.