Montenegro today Living together in Diversities

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Montenegro today (Living together in Diversities)

• Land area 13,812 km2
• Population 620,145
• Capital city Podgorica
• National currency Euro
• Ethnic composition Montenegrins 43
• Serbs 32
• Bosniak 8
• Albanians 5
• Muslims 4
• Other 8
• Religion
• Orthodox Christian 70
• Islamic 21
• Catholic Christian 4
• Other
  5

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Macroeconomic achievements
GDP Growt 2002 1 301 mln 2003 1 433
mln 2004 - 1 535 mln 2005 1 644 mln
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Montenegrian European Integration Chronology

• Zagreb Summit, November 2000
• Consultative Task Force, 2001/02
• Belgrade Agreement, March 2002
• Constitutional Charter of the State Union,
  February 2003
• Thessaloniki Agenda, June 2003
• Law on Action Plan for Harmonisation of the
  Economic Systems of Member-States of The State
  Union of Serbia and Montenegro, August 2003
• Enhanced Permanent Dialogue, 2003/2005
• European Partnership, May 2004
• Action Plan for European Partnership
  Implementation, December 2004
• Twin track aproach, September 2004
• Positive Feasibility report, April 2005
• Stabilization and Assosiation Agrement
  negotaiations, October 2005
• New European Partenrship, 2006

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Montenegrian European Integration Chronology

• 1998 Regional approach EU
• 1999 SAP WB (5 Countries)
• 2000November Zagreb Summit Potential
  candidate,
• 2001/02 Consultative Task Force,
• 2002March Belgrade Agreement,
• 2003-February Constitutional Charter of the
  State Union,
• 2003June Thessaloniki Summit,
• 2003-August Law on Action Plan for Harmonisation
  of the Economic Systems of Member-States of The
  State Union of Serbia and Montenegro,
• 2003/2006 Enhanced Permanent Dialogue,
• 2004-May European Partnership,
• 2004-December Action Plan for European
  Partnership Implementation,
• 2004-Sept./Oct. Twin track aproach,
• 2005-April Positive Feasibility report,
• 2005 Preparation for Stabilization and
  Assosiation Agrement negotaiations
• 2005 Negotiations on SAA
• 2005/2006 The New Europan partnership,

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Serbia and Montenegro - problem for SAP model

• Conditions
• for Feasibility study are
• 1. Full cooperation with ICTY,
• 2. Progress in internal economic harmonisation
  and
• 3. Functioning of the State Union institutions

• Cause and Effect
• 1 Problem for Serbia
• 2 Full implementation of the Action Plan of
  August 2003,
• Mission impossible for both Republics
• Now there is twin tracks
• 3 State Union
• weak institutions without enough responsibility,
• very expensive financing model for state members,
• decision making is complicated,
• time consuming and less efficient process.

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Main current activities

• Action Plan for the implementation of the
  European Partnership priorities (monitoring)
• Harmonisation of national legislation
• Communication Strategy for EU integration
  (implementation through cooperation with NGO and
  media)
• Institutional and administrative capacity
  building (Training Programme)
• EU integration related strategies (Integrated
  Economic Reform agenda, PRSP and EU Integration
  Process)
• Declaration about European integration in MN
  Parliament
• Negotiation team, working groups and platform for
  SAA negotiation
• Opening of the SAA negotiation process
• October 2005 Official ceremony
• November 2005 First Official meeting
• December 2005 First Technical meeting
• February 2006 Second Technical meeting

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CHIEF NEGOTIATOR Dr Gordana Ðurovic, Minister for
Intl. Economic Relations and European Integration
NEGOTIATING TEAM Miodrag Vlahovic, Ministar of
Foreign Affairs Mr Milutin Simovic, Minister of
Agriculture, Forestry and Water Management
Minister of Economy Mr Igor Lukic, Minister of
Finance
NEGOTIATING TEAM SECRETARY Dragan Ðuric,
Assistant Minister for European Integration
WG I
WG II
WG VI
WG III
WG IV
WG V
PREAMBULE, GENERAL PRINCIPLES, POLITICAL
DIALOGUE, INSTITUTIONAL, GENERAL AND FINAL
PROVISIONS
AGRICULTURE AND FISHERIES
FREE MOVEMENT OF GOODS
FINANCIAL COOP.AND OTHER COOP. POLICIES
LEGAL HARMONISATION
FREE MOVEMENT OF PERSONS,SERVICES AND CAPITAL
MoFA, MoJ, MoI, MIEREI Cabinet of the PM JHA
sub-group /MoI,MoFA,MoJ, Anti Money Laund.Dir.,
Anti Corr. Dir., Customs Adm., Cabinet of the
Vice PM for Political System and Internal Affairs
MoAFW MoF MIERIEI MONSTAT Chamber of
Commerce Customs Adm.
MoE MIERIEI MoF MONSTAT Chamber of
Commerce Customs Adm.
MoF MoLSA MoMT MoT MoEPSP MoCM
MoH MoES MoE Central Bank MONSTAT Chamber of
Commerce MIErEI
MoF Ministries Central Bank Customs Admn. MONSTAT
MIEREI MoF MoE MoCM MoEPSP Customs Admn. Chamber
of Comm. Public Procurement Commissiona
Coordination through the Commission for
Coordination of Accession to the European Union
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Working groups for SAA

• 1. Preamble, General principles, Political
  dialogue, Institutional, transitory and final
  provisions
• 2. Agriculture and fishery
• 3. Free movement of goods
• 4. Free movement of people, services and capital
  
• 5. Financial cooperation and other cooperation
  policies
• 6. Harmonization of legislation.

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SCHEME OF THE SCG NEGOTIATING TEAM FOR THE SAA
NEGOTATIONS

EUROPEAN UNION
Twin Track in the Process of SAA Negotiation

NEGOTATIONG TEAM OF MONTENEGRO
WGs OF THE MONTENEGRIN GOV 1. Preambule, ,
gen.principles, political dialogue,
institutional, transitional and final
provisions 2. Agriculture and fisheries 3. Free
movements of goods 4. Free movements of persons,
services and capital 5. Financial coop. and
other coop.policieso 6. Legislation aproximation
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Negotiations have started

• THE STATE UNION OF SERBIA AND MONTENEGRO,
  hereinafter referred to as State Union, its
  constituent member states THE REPUBLIC OF
  MONTENEGRO, hereinafter referred to as
  "Montenegro" and THE REPUBLIC OF SERBIA,
  hereinafter referred to as "Serbia", all together
  hereinafter referred to as Serbia and
  Montenegro.

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PLANNING 35 negotiating rounds

• 7/11/2005 - Belgrade - 1st official round
  Content of the agreement (Preamble, General
  Principles, Political dialogue etc) Financial
  Cooperation
• 20-21/12/2005 - Belgrade - 1st technical meeting
  Movement of goods (industrial, agriculture and
  fishery products, process. agri. prod.) general
  presentation possible first discussions on
  concessions the rest of the cooperation
  policies
• 22-23/2 - Belgrade - 2nd technical meeting
  Movement of goods, supply of services,
  establishment and capital Approximation of laws,
  Law enforcement and competition rules
• 5/4 Belgrade - 2nd official round Justice
  Freedom and Security Movement of workers
  General and Final provisions
• 8/6-9/6 - Podgorica - 3rd technical meeting
  Movement of goods
• 12/7-13/7 - Belgrade - 4th technical meeting
  Various outstanding issues of Community
  competence
• 27/9-28/7 - Podgorica - 5th technical meeting
  Finalise Movement of goods
• 8/11 Belgrade - 3rd - official round
  Institutional provisions, Take stock, possible
  further rounds.

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CARDS Montenegro 2002 - 2004

• Sector 2002 2003 2004 Total
• Building Institutions 3.0 4.0 10.0
  17.0
• Economic recovery 9.5 7.5 4.5 21.5
• Civil Society 0.5 1.5 2.5
  4.5
• Other 2.0 2.0 2.0
  6.0
• Total 15.0 15.0 19.0
  49.0

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Trends
2002 7.3 2003 5.9 2004 8.0 2005 11.4
Twin track Aproach Capacity Development for
Negotiations on SAA
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Structure of the IPA

• Five components
• Transition Assistance and Institution Building
• Regional and Cross-Border Co-operation
• Regional Development
• Human Resources Development
• Rural Development

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The new legal framework for DIS

• The National Aid Coordinator (NAC) and
  secretariat MIEREI - coordination and
  management on the policy level (programming of EU
  assistance, setting the priorities for the
  assistance, negotiations with the EC
  Delegation...).
• The National Fund, headed by the National
  Authorising Officer (NAO) MoF (could be
  postponed).
• The Central Finance and Contracting Unit (CFCU)
  headed by the Programme Authorising Officer (PAO)
  MoF - effective functioning of the
  decentralised management of assistance,
  particularly for the financial management
  (contracting and making payments) of the
  assistance.
• Senior Programme Officers (SPO) in line
  ministries

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Next phases in the preparation for DIS

• Set up phase legal and physical establishment of
  the required institutional structures (NAO, NF,
  NAC, CFCU, etc),
• Gaps assessment in-depth review of the
  institutional structures to identify the specific
  actions, changes and improvements needed to
  ensure compliance with them,
• Gap filling phase develop the procedures
  necessary to meet DIS requirements with special
  regard to the functions of programming,
  management, implementation, tendering,
  contracting, financial control, monitoring and
  evaluation and the related procedure manuals,
• Compliance assessment phase whether the target
  institutions have achieved the improvements
  necessary to satisfy the conditions of the
  relevant EU rules.
• Preparation for Commission decision (verification
  audit by Commission Services) upon the official
  request by the NAO, verification by the
  Commission of the effective existence of the
  preconditions for DIS, followed by the
  authorisation to switch to the DIS.

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