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U.S. Department of State

Diplomacy in Action

FY 2007 SEED Act Implementation Report


Bureau of European and Eurasian Affairs
FY 2007 U.S. Government Assistance to and Cooperative Activities with Central and Eastern Europe
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Country Overview

U.S. FOREIGN POLICY AND FOREIGN ASSISTANCE OBJECTIVES & PRIORITIES

The overall goal for U.S, assistance in Kosovo for FY 2007 was to prepare Kosovo for eventual independence, initially under the supervision of the international community and in accordance with the UN-commissioned “Ahtisaari Plan.” Assistance priorities include establishing a new International Civilian Office (ICO) and a European Security and Defense Policy (ESDP) rule of law mission designed to build capacity within Kosovo’s law enforcement and justice sectors. Priorities also include supporting ongoing efforts to transfer competencies from United Nations Mission in Kosovo (UNMIK) to the Kosovo Provisional Institutions of Self-Government (PISG) and focusing on the primary objectives of maintaining peace and stability, governing justly and democratically, achieving economic growth, conducting public diplomacy and humanitarian assistance.

With a view toward creating enduring economic and political stability, the USG continues to work with its international partners to ensure that Kosovo evolves into a stable democratic society, at peace with its neighbors and on an irreversible path to Euro-Atlantic integration.

OPERATING ENVIRONMENT

Significant challenges exist in the fluid operating environment of Kosovo. Negotiations on independence created high expectations for change and kept assistance priorities in flux. There were no significant security situations, although perceptions about security for minorities hampered assistance programs aimed at this group – particularly minorities in the North. Kosovo’s economy remains weak, with unemployment an estimated 40%. Kosovo’s undetermined political status, weak commercial law system, and high level of corruption hamper the effectiveness of aid to build a strong economy, as does the under-resourced and inexperienced PISG that is increasingly taking over responsibilities from UNMIK. In addition, Kosovo’s ethnic communities continue to search for a way to coexist. Strides have been made over the past year in transferring competencies from UNMIK to Kosovo’s police and justice sectors, but overall rule of law remains weak and significant resources have been diverted from direct development aid and used to fund an international police presence that is still necessary to ensure peace and security in the country.

FY 2007 Country Program Performance

PEACE AND SECURITY

In FY 2007 USG objectives for peace and security assistance were to ensure the rule of law and basic security for Kosovo citizens, mitigate ethnic conflict, and build confidence in related government institutions prior to a decision on final status.

Law Enforcement - The USG provided 222 American police officers to the international civilian police force to serve as law enforcement officials and mentors. These officers bolstered internal security and worked to strengthen the capacity of the local police through equipment and training. USG programs also provided support to the justice and legislative sectors at the municipal and central level and established laws and procedures for transparent elections.

The USG provided technical assistance in the following areas: basic police services; democratic and community policing; border security; forensics; police administration management and leadership; academy and instructor development; and criminal justice coordination. During FY 2007 the USG assisted in the delivery of 50 training courses at the KPSS, providing skills to 2,061 enrollees. To support this effort, the USG donated equipment for the development of the Centralized Training Resource Center. The USG provided training and assistance to the Kosovo Forensics Lab and USG advisors worked directly with the Minister of Internal Affairs to develop a plan for improved police operations, including establishing standards for vetting, testing and promotion of police personnel.

USG sponsored policing programs had positive results in FY 2007. As a result of training efforts in Serbian enclaves, the credibility of the police in these regions increased substantially. U.S. officers also increased the overall security in Kosovo. For example, officers detailed to the UNMIK Central Intelligence Unit worked with Kosovo Customs Officers to investigate an alcohol and tobacco smuggling operation which resulted in the seizure of over 2 million USD in contraband and the arrests of 10 suspects. U.S. officers assigned to the Financial Investigations conducted a joint investigation with the KPS and seized 1 million USD in cash in conjunction with a money-laundering scheme at a Pristina casino. As a result of this and previous years’ assistance, during FY 2007, the AFIS/Fingerprint section became fully-operational and a serology/DNA department was established. This facility was to be turned over to the Kosovo Police Service in December 2007 and will greatly increase the ability of local police to investigate and prosecute crimes.

Conflict Mitigation - Conflict mitigation is critical to ensuring peace and security in Kosovo. In FY 2007 USG assistance objectives were to monitor conflict trends, facilitate reconciliation, and increase informed debate about the role of minority communities in planning for Kosovo’s future. More than 55,000 people in the predominantly ethnic-Serb areas in northern Kosovo were assisted with 19 quick impact small-scale infrastructure projects and commodity endowments. USG-provided technical assistance to the spokespersons of the Kosovo government in discussing the Ahtisaari settlement plan supported a comprehensive public information campaign and facilitated a series of 39 roundtables throughout Kosovo to discuss key aspects of the status process. Approximately one million residents, across all ethnicities, were reached through these efforts. USG funds also supported the continuous monitoring of conflict trends through four quarterly “Early Warning System” reports that provide analysis to government and international peace building actors in Kosovo. The U.S. Office in Pristine (USOP) collaborated with the U.S. KFOR contingent on projects throughout eastern Kosovo, most of which had minority community beneficiaries.

Also to facilitate reconciliation, the USG funded the work of 78 NGOs to conduct programs with the themes of cross-community cooperation, freedom of movement, culture, free and objective reporting on human rights and also supported various initiatives benefiting more than 18,000 youth.

As a result of these efforts, minority communities were further engaged in the decision-making and political processes in Kosovo. Many of these efforts countered concerted efforts to create barriers between minority communities and the rest of Kosovo, such as efforts to encourage the Serb boycott of the November 2007 elections. Overall, USG efforts to mitigate conflict in Kosovo contributed to continued stability ahead of a looming decision on final status.

GOVERNING JUSTLY AND DEMOCRATICALLY

Democracy building initiatives over the past year have focused on the development of legal institutions both criminal and civil, strengthening the capacity of the municipal and central government, building civil society and supporting independent media.

Justice Sector Development - USG objectives in the justice sector were to facilitate the transfer of authorities from UNMIK to the Ministry of Justice (MOJ) by building the capacity and efficiency of the ministry, the courts, and the Prosecutors, and promoting confidence in the justice system. In order to facilitate the transfer of authorities from UNMIK to the MOJ, justice sector support programs provided training to MOJ staff on core competencies, and installed oversight mechanisms for budget planning and administration.

In FY 2007 the Kosovo Judicial Council (KJC), the institution that governs courts and oversees judges and prosecutors, was established. As a result of USG assistance, the KJC prepared and released a five-year strategic plan for managing the judicial system and created a functioning secretariat. The Court Administration Committee (CAC) was formed and successful mechanisms were developed and implemented to reduce the backlog of court cases. A Judicial Audit Office was established to identify operational problems and has completed eight audits with recommended changes to improve court efficiency.

The Pristina Law Faculty’s curriculum was revised to include courses introduced by a legal support program, including practical skills training, legal methodology, trial advocacy, legal research and writing, and ethics and professional responsibility. Approximately 700 hours of training, made possible through a pro-bono contribution of time from a U.S. law firm, was provided to MOJ staff in legislative drafting, policy development, litigation skills, and principles and standards of ethics.

The USG provided ongoing mentorship to nine sub-working groups of the constitutional working group that prepared a draft constitution and implementing legislation on key components including separation of powers, human and community rights, and the justice and security sectors. Three American constitutional experts advised members of the constitutional working group. By the end of 2007, Kosovo will have a draft constitution and a draft legislative foundation on which to build once a decision on status is rendered.

USG assistance supported capacity building efforts within the criminal justice system. The USG assisted Kosovo authorities in developing and launching a plan to vet all judges and prosecutors to ensure merit appointments to these positions. USG programs have also increased the system’s capacity to prosecute and adjudicate complex crimes such as terrorism, public corruption, war crimes, organized crime, trafficking in persons and narcotics offenses. For example, USG assistance to the Kosovo Special Prosecutor’s Office (KSPO) improved the KSPO’s ability to conduct complex investigations and to pursue prosecutions falling under its jurisdiction. The USG conducted four professional development training courses for prosecutors covering topics ranging from pre-trial proceedings, evidence and trial advocacy and drafted a provision to promote the use of plea bargaining in an effort to reduce case backlogs and improve court efficiency. The USG also provided technical assistance to support investigations and prosecutions of human trafficking and organized crime by donating video and audio surveillance equipment to the Kosovo Police Service’s Organized Crime Directorate. Aided by this assistance, in FY 2007 the KSPO brought five indictments on serious crimes, including money laundering and war crimes.

Trafficking in Persons - US assistance also aimed to combat trafficking in persons. FY 2007 funding assisted seven shelters, including the Ministry of Justice’s Interim Security Facility to improve the quality of services to victims. Training provided to front-line workers increased skills for victim assistance and improved referral services. Organizational development assessments on five shelters were completed, resulting in the training and consultancy on fund raising and public relations aimed at increasing the sustainability and relevance of services. A comprehensive attitudes survey about trafficking was conducted. Based on the survey results an anti-trafficking public education and media campaign was designed. Over 500 youth leaders, 64 percent of whom were female, were trained to train other youth in understanding the problem and identifying potential traffickers. A program mobilized religious leaders to fight against trafficking.

Civil Society - USG goals for civil society strengthening were to ensure a stable, democratic society through participation across all ethnicities. Building on the previous year’s efforts, leadership training was provided to 96 emerging political party leaders, including 34 from ethnic minorities. During FY 2007 the Party Training Academy expanded from providing training to two parties, to now including 15 Albanian, Serbian, Turkish, Roma, Egyptian, Bosnian and Ashkali parties.

Trainings and consultancy services were provided to 288 Kosovo NGOs to further strengthen their management and advocacy capacities, including formal training workshops, fee-for-service trainings, consultancy services, and customized trainings provided to youth, women, health and pensioner organizations. As a result of a campaign to exempt NGOs from paying value added taxes, some NGOs are now able to obtain an exemption from the Ministry of Finance.

USG assistance also supported seven grants to Kosovo NGOs and independent media outlets working to promote freedom of information, interethnic reconciliation and cooperation, NGO strengthening, accountability of government institutions and free and fair political processes. One grant funded a small grants program for local civic initiatives focusing on conflict resolution and cooperation among young people from various ethnic backgrounds as well as the establishment of student councils in high schools in all municipalities in Kosovo. Another USG supported project monitored the work of the Central Assembly to track legislative reforms and produced related analysis, increasing the transparency of and debate concerning the legislative process.

One grantee worked to improve civic education concerning the electoral process leading up to the November 2007 elections. For example, the organization mounted a get-out-the-vote campaign targeting first-time and young voters as well as an anti-corruption campaign for a local city council. The project also contributed to greater transparency and compliance with election laws during local elections by conducting election monitoring in the municipalities of Ferizaj, Shterpce, Kacanik, Shtime and Hani I Elezit.

Local Government - Strengthening governance at the central and municipal level is a key goal of USG assistance. In FY 2007 the USG began to support municipal development initiatives in Kosovo. For example, the USG assisted the Ministry of Local Government Administration (MLGA) in conducting advanced research and preparing cost estimates for standing up five new municipalities and expanding Novobërdë/Novo Brdo municipality as required in the Ahtisaari settlement. As a result, the MLGA is now prepared with the tools necessary to achieve rapid establishment of the municipalities as soon as Kosovo’s final status is determined. USG experts also helped Kosovo authorities harmonize three basic laws on local governance (law on local self-government, law on municipal boundaries and law on local elections). Working closely with international donors, the MLGA and Ministry of Finance and Economy (MFE) developed models of municipal-level performance measures. Using these models as a foundation, USG partners designed and conducted several trainings for 30 municipalities on topics including leadership (provided to 700 municipal leaders), budget and finance, communication and public information. These trainings, including special programs focusing on increasing municipal own-source revenues, helped willing municipalities to enforce and collect taxes.

Media - Establishing a professional and independent media, including those that serve minority communities, is an integral part of the USG’s democracy building efforts in Kosovo. USG support helped to bring RTV21 and KTV, two private broadcast television stations, close to operational sustainability. This assistance also helped RTV21 secure broadcast agreements with satellite providers in the U.S. that generated significant revenues. As a result, in FY 2007 RTV21’s viewership rose 10% and KTV’s rose 27%. Both stations passed audits conducted by international firms. Year-on-year revenues in the third quarter at RTV21 and KTV increased by 79% and 61%, respectively. The USG also provided editorial and technical training to 164 journalists.

USG-funded programs also focused on outreach and small-grant making to minority media outlets. One such program developed a concept to link Serbian-language Kosovo outlets to Serbian media through a virtual private network. This network has allowed stations to share content (thus increasing the number of hours per day that Kosovo Serbs can watch local, Serb-language content) and market airtime to advertisers as one "buy." USG assistance also supported Radio KiM’s efforts to provide balanced Serbian-language information to Serb enclaves in central Kosovo, including information about Kosovo status issues, and to coordinate a larger network of 20 Serbian-language radio stations, providing them with programming and training opportunities for local journalists.

ECONOMIC GROWTH

Economic growth in Kosovo is directly influenced by final status talks. The negotiations over Kosovo status have put many pressures on Kosovo’s leadership to create unrealistic expectations about Kosovo’s economy. There remains a strong perception among the public that status will bring increased investment and jobs, as well as improvements in the quality of public services. As responsibility for Kosovo’s economic management continues to transfer to local control, there is increasing concern that pressures and opportunities for corruption and graft are also increasing. USG Economic Growth programs aimed to build the capacity of government and the private sector to respond to these challenges.

Macroeconomic Progress - Priorities of USG assistance in this area were to strengthen capacity for sound economic management, particularly with regard to budget, treasury, and tax administration. USG Macroeconomic Programs focused on building the capacity of key departments within the Ministry of Finance and Economy (MFE). Resident advisors in the Budget, Treasury, and Macroeconomic Policy Departments, as well as the Tax Administration, worked alongside the emerging Kosovo leadership to facilitate sound and transparent economic management. More than 175 staff in two of the more mature departments, Budget and Treasury, received training aimed at strengthening the necessary skills for prudent implementation of fiscal policies. USG assistance helped the tax administration develop and begin implementation of a five-year strategic plan addressing weaknesses identified in recent in EU and IMF assessments. The Central Banking Authority of Kosovo (CBAK) received USG technical assistance to strengthen supervisory functions and protect deposits.

USG funding for training and technical assistance helped Kosovo’s economic institutions achieve significant progress during FY 2007. The MFE’s macroeconomic policy unit drafted Kosovo’s Medium-Term Expenditure Framework (MTEF), a policy document outlining Kosovo’s five-year expenditure strategy, including prioritized policies and sector strategies. The MTEF will be the basis for a major donor conference post-status. For the first time, the budget shows multi-year planning for itemized capital projects. USG on-the-job and formal training increased the expertise of Treasury Department staff, as demonstrated by a near-perfect annual audit by the Auditor General. More efficient operations in the tax administration contributed to a tripling of VAT refunds and a significant increase in enforced tax collections. USG assistance led to several positive developments in the banking sector, including buyouts and mergers of two commercial banks and licensing and new applications of banks (including one from Serbia), leading to more competition. As a result of this and other USG assistance, the public continued to gain confidence in the financial sector, with deposits and loan portfolios rising. As of September 2007, there were 1.05 billion euros on deposit at Kosovo banks (a 19% increase over last year) and 798 million euros in outstanding loans.

Energy - As part of the USG goal for economic growth in Kosovo, the Energy Sector assumed greater prominence among USG economic growth programs. Technical assistance to the Kosovo Electricity Corporation (KEK) helped improve procedures for billings and collections, increase revenues, strengthen internal accounting procedures and controls, and rationalize budgeting and investment planning. The installation of bulk meters at the sub-station level is facilitating greater accountability for collection performance at the district level. USG advisors to the Ministry of Energy and Mines (MEM) cooperated with the World Bank to prepare a commercial tender for the development of new generation and mining capacity. The capacity of KEK’s workforce was bolstered by continuing on-the-job training provided to 325 employees.

KEK’s cooperation and receptivity to USG advisors’ recommendations has yielded many results, including refinements to the company’s customer database and the prosecution of a highly effective disconnection and collection campaign. These measures resulted in an increase in collection performance for the first nine months of 2007 (59%) over the same period in 2006 (45%). USG technical assistance and policy advice continues to be instrumental in accelerating the development of Kosovo’s lignite resources. In spring 2007, a PISG-led Steering Committee short-listed four consortia to participate in the tender for a lignite mine and new power plant. The project is expected to bring two to three billion euros of private sector investment into Kosovo.

Private Sector Competitiveness - USG goals in this area were to establish a legal and regulatory environment conducive to business and investment, accelerate development of a competitive private sector capable of adding jobs, and resolve private agricultural and commercial property disputes lingering from the conflict. USG programs helped accelerate growth of the private sector through privatization, commercial law and enterprise development activities. The USG continued to provide technical assistance to the Kosovo Trust Agency (KTA) in completing its mandate to privatize socially-owned enterprises. The USG assisted government working groups and the Assembly in drafting three commercial laws: Company Law, Contract Law and Law on Real Property Rights; and held a year-long initial training program for 50 members of the legal community on nine core commercial laws. Enterprise development programs offered technical assistance, training, and grant support to businesses and associations working in three industries that have potential for job creation in Kosovo, including livestock, fruits and vegetables, and construction materials. USG assistance worked with producers and processors to make Kosovo products more competitive by improving the productive capacity of enterprises, quality control, and marketing. Over 600,000 USD in grants was provided to local associations and individual businesses, enabling them to train producers, ensure consistency in product quality and production, and expand outreach and trade links to ethnic minorities. More than 3,500 agricultural producers received training by the USG in improving quality and accessing markets. An ongoing loan guarantee program increased access to credit for agricultural enterprises. More than 110 loans, valued at 1.8 million USD, were extended with USG assistance.

USG assistance helped Kosovo’s privatization program meet its goal of privatizing half of all state-owned enterprises (SOEs) and 90% of SOEs as measured by their total estimated value. The privatization program is proving to have a positive impact on the economy; evaluations of privatizations to date showed that, on average, privatized companies increase sales seven-fold and attract more than 450,000 euro in new investment. USG assistance is also laying the groundwork for attracting investment by building a stable economic environment with private sector-friendly institutions and laws. Private investment in Kosovo, a main gauge of economic growth, exceeded targets, growing from 524 million euros in 2006 to 559 million euros in 2006.

In FY 2007 the USG provided technical assistance and funding to the Kosovo Property Agency, the only organization dealing with private property claims in Kosovo arising from the 1998-99 conflict and its aftermath. Since its establishment in 2005, it has adjudicated 1,513 claims out of 32,460 received.

USG enterprise development activities exceeded targets during FY 2007. USG-assisted enterprises created more than 2,000 new jobs and increased sales by more than 41 million USD. Training and equipment aimed at improving forage quality and animal care practices led to 12.5% higher milk yields among assisted farmers and a 43% increase in average daily weight gain in calves and lambs. This resulted in considerable increases in income for producers. Assistance to the poultry industry resulted in the establishment of a full supply chain from egg production to broilers and layers. USG assistance drove the initiation and completion of the Hazard Analysis Critical Control Points (HACCP) certification process of a fruit and vegetable processing company, the first in Kosovo.

INVESTING IN PEOPLE

The USG has provided targeted assistance to invest in people. USG resources are supporting higher education to strengthen the quality of the workforce in areas of importance to the USG; strengthen links between the private sector, government, and universities to improve the relevance of education; and increase minority access to modern skills and training. The low quality of education and technical skills, including in management and leadership, continues to inhibit fledgling public and private institutions. The USG is also supporting health activities working to improve the quality of neonatal health services.

Education - USG education assistance to Kosovo fills a gap ignored by donors and the government. Beginning in 1989 Kosovo Albanians were expelled from public institutions, including schools. For a decade, education was run via an informal system of home-based education. As a result, the existing education infrastructure has fallen into disarray. Since the end of the conflict, this sector has been largely ignored by donors and the Kosovo government, which is pressed to deliver immediate results in the areas of economic growth, security and rule of law. With the development of the Kosovo Development Strategy Plan and the anticipated resolution of status, education is likely to garner more attention.

Improving professional skills is critical for strengthening Kosovo’s class of emerging leaders in civil society, government and the private sector. Many entrants into the work force were educated under the Milosevic-era parallel, home-based educational system and lack basic professional skills in management, administration and critical thinking.

FY 2007 assistance helped the University of Pristina and the American University in Kosovo to establish workforce development initiatives as part of the schools’ curricula. 205 people were trained as a result of USG investment in higher education institutions. USG support to the University of Pristina resulted in the development of a two-year Performance Improvement Plan focused on institutional capacity building in all university departments.

In FY 2007 USG funding continued supporting a participant training program to provide U.S.-based, third-country, and in-country study and observation tours to develop a stronger workforce in areas of importance to the U.S. The USG-funded participant training program completed professional development activities and study tours for over 240 emerging leaders in the justice sector, civil society, media, small business, and other areas. The USG also piloted an internship program for 30 recent law graduates at the Ministry of Justice.

A program aimed at promoting skills of Kosovo women in government and civil society provided a series of professional skills trainings, in management, leadership, critical thinking, and ethics, to 120 participants. The program is implemented with additional support from USG-funded programs in Macedonia, Albania, and Montenegro.

Facilities and instruction for English language and computer courses were provided at seven secondary schools and one community center, benefiting 290 students. The program is providing skills enhancement opportunities to youth and adults, predominately in minority and mixed ethnic areas. In FY 2007 USG assistance has improved higher education by mainstreaming other USG training and capacity building efforts, when possible, into Kosovo’s universities.

Health - A USG maternal and infant care program continued activity through FY 2007. The program, a partnership among the USG and U.S.-based corporate donors, aims to establish quality antenatal services in primary care and introduce clinical and process improvements in both obstetric and neonatal care at the secondary and tertiary level. To date, the program has trained 950 family medicine professionals, including 253 doctors and 697 nurses. The training in care and skills and systems improvements have resulted in the implementation of free, public primary-care based antenatal services to women in Kosovo’s six largest municipalities. To date, 22 Family Medicine Centers have provided antenatal care to over 760 women and post-partum care to over 1000 women. The program has attracted approximately $430,000 in donated medical equipment, supplies, and cash from private partners.

As a result of practices and technology introduced to the Pristina Neonatal Intensive Care Unit (NICU) through USG assistance, the mortality rate of infants born between 1000 and 1499 grams was reduced by 20%. The overall neonatal mortality rate within the NICU decreased from 19.9 per 1000 in 2006 to 18.2 per 1000 in 2007.

HUMANITARIAN ASSISTANCE

Roma - In FY 2007 the USG provided assistance to the Roma community by supporting supported projects that provided treatment for community exposure to lead, efforts to build new homes for displaced Roma and other humanitarian aid to Roma families.

FY 2007 Measures of Country Performance

The following data are based on the Monitoring Country Progress in Europe and Eurasia system developed by the United States Agency for International Development (USAID) to measure and track progress in the region. The system uses four different indices to monitor progress, drawing on readily available standardized country-level data on economic reform, economic structure and performance, democratic reform, and human capital. The primary data sources are the European Bank for Reconstruction and Development (EBRD), the World Bank, the United Nations Children’s Fund (UNICEF), and Freedom House. The data for each of the four indices are converted and standardized to a 1-to-5 scale, with a “5” representing the best performance of the Eastern Europe and Eurasia region, and a “1 the least advancement of the region.

Kosovo’s Democratic Reform* Scores in 2006 compared to Romania and Bulgaria in 2002

Date: 01/01/2008 Description: The graph to the left shows Kosovos democratic reform scores in 2006* (the grey shaded area) as compared to the average of Romanias and Bulgarias democratic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership. State Dept PhotoThe graph to the left shows Kosovo’s democratic reform scores in 2006* (the grey shaded area) as compared to the average of Romania’s and Bulgaria’s democratic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership.

*Actual 2007 scores not yet available


Kosovo’s Democratic Reform Scores in 2006 compared to its Reform Scores in 1999

Date: 01/01/2008 Description: The graph to the left Kosovos democratic reform scores in 2006* (the grey shaded area) as compared to its democratic reform scores in 1999 (the bold line). State Dept PhotoThe graph to the left Kosovo’s democratic reform scores in 2006* (the grey shaded area) as compared to its democratic reform scores in 1999 (the bold line).

*Actual 2007 scores not yet available

* Democratic reforms include the electoral process (the extent to which elections are free, fair and competitive), civil society (primarily NGO development), the independence of media, public governance and administration, rule of law (primarily judicial reform) and the scope of corruption as well as anti-corruption income.

Kosovo’s 1st Stage Economic Reform 2007 Scores Compared to Bulgaria and Romania in 2002

Date: 01/01/2008 Description: The graph to the left shows Kosovos stage one economic reform scores in 2005* (the grey shaded area) as compared to the average of Romanias and Bulgarias economic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership. State Dept PhotoThe graph to the left shows Kosovo’s stage one economic reform scores in 2005* (the grey shaded area) as compared to the average of Romania’s and Bulgaria’s economic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership.

*More recent scores are not yet available

Kosovo’s 1st Stage Economic Reform 2007 Scores Compared to its Scores in 1999

Date: 01/01/2008 Description: The graph to the left shows Kosovos stage one economic reform scores in 2005* (the grey shaded area) as compared to its economic reform scores in 1999 (the bold line). State Dept PhotoThe graph to the left shows Kosovo’s stage one economic reform scores in 2005* (the grey shaded area) as compared to its economic reform scores in 1999 (the bold line).

* More recent scores are not yet available


Kosovo’s 2nd Stage Economic Reform 2007 Scores Compared to Bulgaria and Romania in 2002

Date: 01/01/2008 Description: The graph to the left shows Kosovos stage two economic reform scores in 2005* (the grey shaded area) as compared to the average of Romanias and Bulgarias economic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership. State Dept PhotoThe graph to the left shows Kosovo’s stage two economic reform scores in 2005* (the grey shaded area) as compared to the average of Romania’s and Bulgaria’s economic reform scores in 2002 (the bold line) when they were invited to join NATO and received favorable indications of future EU membership.

* More recent scores are not yet available

Kosovo’s 2nd Stage Economic Reform 2007 Scores Compared to its Scores in 1999

Date: 01/01/2008 Description: The graph to the left shows Kosovos stage two economic reform scores in 2005* (the grey shaded area) as compared to its economic reform scores in 1999 (the bold line). State Dept PhotoThe graph to the left shows Kosovo’s stage two economic reform scores in 2005* (the grey shaded area) as compared to its economic reform scores in 1999 (the bold line).

* More recent scores are not yet available


* Economic reforms include “first stage” reforms of privatization, stabilization, and liberalization (domestic price liberalization and trade liberalization), and “second stage” reforms in the financial sector, infrastructure (physical and energy), corporate governance and competition policy.



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