Brussels, 28/06/2001 (Agence Europe) - The donors' conference for the Federal Republic of Yugoslavia (FRY), organised and chaired by the European Commission and the World Bank, will begin on Friday in Brussels. This conference has been made possible by the efforts and reforms accomplished over the last few months by the government in Belgrade. The aim of the conference is to outline the priorities and stages involved in the reconstruction of the FRY. Participants will examine the economic progress already achieved, as well as the reforms that remain outstanding and then determine the investment priorities. Rounding off the day's events will include a session on commitments to the country. Work will focus on the "Economic Recovery and Transition Programme (ERTP) for the Federal Republic of Yugoslavia (Serbia and Montenegro)" elaborated by the World Bank, European Commission and the Yugoslavian government. The ERTP has set out a number of structural reforms, sectoral reforms in particular, indicating priority public investments and identifying the budgetary needs of the country for 2001. This programme is republished on the Internet (http://www.seerecon.org ) in a document entitled, "Federal Republic of Yugoslavia. Breaking with the Past: The Path to Stability and Growth".
The funds needed for the rebuilding of the FRY have been assessed by the conference organisers as around USD 3.9 billion over a period of three or four years. In the immediate term, namely the year 2001, the World Bank and the European Commission are hoping that the total number of donors will make a commitment to providing a sum of up to USD 1.25 billion, an amount necessary for: investing in basic infrastructure - health, roads, telecommunications, national grid, etc.); financing of current out-goings - salaries for teachers, doctors, general budget costs; financing technical support, such as the sending experts from the European Union if requested by the Yugoslavian government.
The European Union is expected to provide an amount approaching EUR 240 million. Combined with this aid for reconstruction, macro-economic support of around EUR 200 million (in loans and donations) is also expected. Aid provided by Member States to the aid contributed by the European Union should also be added. Aid from donors will be subject to certain economic conditions such as structural reforms, and political conditions, including the FRY's respect for the rights of minorities, civil rights, democratisation and the setting up of a market economy, etc. Before the conference begins, the attitude of the United States remains part of the great unknown. They could possibly refuse to make any commitments whatsoever until Slobodan Milosevic is brought before the International Criminal Court. Starting transfer proceedings of the FRY ex-President to the Hague, as announced by the Yugoslav government, will perhaps not be enough to satisfy the Bush Administration. The success of the conference will depend largely on the conditions that the USA reaction might create.
Members of the European Parliament insist on co-operation with International Criminal Court
The amendment by the Dutch Christian Democrat Arie Oostlander on the Brok report on macro-financial aid to Yugoslavia, consisting of a total of EUR 300 million, will be approved on Thursday at the next plenary session in Strasbourg of the European Parliament. This will be conditional on genuine co-operation between the FRY government and the International Criminal Court in the Hague. Mr Oostlander emphasised in a press release that together with the United States, the Parliament would thus be sending a clear signal to the donors' conference.