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A brief focus on Portugal

Veni Mouzakiari

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A few days after the new minority government of Coelho has shaped, Portugal appears to be towards a parliamentary critical situation. Even before the recent elections of October 4th, the entire left opposition of Coelho (PSD), had made clear that not taking part in the central politics of Portugal in the post-Memorandum period, was not an easy issue to deal with.

The inability, PSD to acquire the government majority, proved to be the passport for the opposition to conquer its government aspirations. A new troubling, parliamentary era, was about to begin.

The opposition, namely the PS, the Left Block, the Communists and the Greens, prepared themselves, in the mean time of the next ten days, during which the PM should write down the main legislative lines of his new term, and then they gave a no-confidence vote. The newly elected government of Coelho has fallen.

In the parliament, Passos Coelho made clear his own aspirations, which would aim at a fiscal economic program, with tide fiscal aims and financial discipline, in accordance with what has prevailed in Portugal during the Memorandum period, during namely the IMF and EZ bailout.

The Constitution does not allow for new elections in the next six months, therefore the President should explore the possibility of settlement within the existing parliament. There are two solutions. First, the new emerging left coalition to become the new government of Portugal. Second the newly elected government of Coehlo to evolve into a “caretaker government”, which will be partly functionable for the period to the next elections. The second scenario creates some serious disfunctioning because this kind of government has restricted legislative abilities, such as the restriction in shaping and passing the Budget Bill.

What is, however, the bigger picture of this critical evolvement in Portugal is expressed into the question whether the political landscape in Europe is constantly changing. German Chancellor Angela Merkel had expressed some serious fears accordingly the elections in Portugal and Spain. Surely the recent developments in Portugal consist of an unpleasant political condition for the current European, mainly economical, status quo. The alternative partisan choices create, mainly theoretical, a risk of economic destabilization, which each single time German aims to confront and transform into an allied condition. The European countries with deficits and tremendous government debt, that accepted a bailout from IMF and EZ since 2010, face some difficult economic and social conditions, that create additional pressure into the political level.

The paradox, however, is that during these yeas, Portugal has emerged as a valuable paradigm case of strict economic adjustments, successful fiscal data and easy way out from the stabilization and fiscal disciplined program. In contrast, specifically, with the Greek case, where the political elite has not been united upon the critical economic conditions, that should face, Portugal provided the opposite successful scenario. The political elite, both from PSD (centre-right) and PS (centre-left), applied with prudence and consistency the obligations and the economic program has been completed faster. However, the completion of the program did not lead to Coelho’s’ consistent societal approval. The electoral body proved to be more divided into the alternatives, and the vote sharing led to a new coalition alternative, this time merely left.

The international and European press tend to emphasize that this upcoming left coalition has nothing to do with the Greek Syriza case and its government doubt, that has been shown in the previous parliamentary term, concerning the continuous or not of the European bailout in the country. The representatives of the entire left coalition in Portugal are making clear that the national policy of staying and being part of EZ will not be at risk. Their main political demand is the new economic program in Portugal to have a different orientation, to be namely growth and public spending oriented. However, the PSD is expressing fears concerning the intentions of this new political coalition that is to become the new government.

Overall, what we should bear in mind when we focus on the analysis about a possibly changing European political landscape, is that the voting sharing follows an alternative destination, when the common sense realizes that no an immediate fiscal danger exists for the country and for themselves in a personal level. During the tough, economically, periods of 2010-2013, the majority of the electoral body was tightly rallied around purely pro-Europe parties.

Second, the Syriza case, although confusing in the European context, provided the, until now, successful scenario of a semi Eurosceptic political party, that easily capitalizes anti European or reactionary votes and at the same time follows the mainstream European official economy strategy.

The core conclusion is that the political systems in Europe are facing pressures, such as the social dynamic of unemployment, the rise of extremism, an antiparliamentary way society chooses to expresses its political demands, and the lack of confidence and trust for the incumbent political elites.

Europe should prepare the strategy for the post-Memorandum period. The main strategy the countries with unbalanced and problematic economics to learn how to function within an economic frame, with established, strict rules that provide health economies, needs to be adjusted with an additional strategy of how to push people that struggle in the new economies to function, to produce for living. This is always about the wealth-fare policy, which is constructed through the years in Europe, by Europe with a fundamental aim to achieve prosperity. Until then we should be prepared to face critical political conditions, such those in Portugal for example, that are being explained only through the prism of the societal anxiety, which as a main target has the prosperity to be established.

Phd Candidate at the department of International and European Studies, University of Macedonia. Political consultant

Europe

EU-Republic of Korea Summit: Building on a well-established partnership

MD Staff

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The 9th EU-Republic of Korea Summit took place on 19 October in Brussels. It marked the 55th anniversary of diplomatic relations between the EU and the Republic of Korea and set the stage for a further strengthening of bilateral ties.

Jean-Claude Juncker, President of the European Commission and Donald Tusk, President of the European Council, represented the European Union at the Summit. The Republic of Korea was represented by its President, Moon Jae-in. The EU High Representative for Foreign Affairs and Security Policy/Vice-President of the European Commission, Federica Mogherini and EU Trade Commissioner Cecilia Malmström also participated, alongside several Ministers from the Republic of Korea.

“In 2011, the EU agreed its first Free Trade Agreement with an Asian country. That country was the Republic of Korea”, said President Jean-Claude Juncker. “The beneficiaries of this agreement have been our citizens and our businesses, but if our trade relationship is to reach its full potential, we need to ensure that it is being implemented properly. At the same time, we must continue to dispel the notion that protectionism protects, continue to invest in multilateralism, and continue to increase our cooperation in sustainable development and the implementation of the Paris climate agreement. I am confident that in the years to come, our relations will be even more dynamic and our ties even stronger than now.”

Presidents Juncker, Tusk and Moon committed to further develop the EU-Republic of Korea Strategic Partnership, which is underpinned by three concrete pillars: an enhanced Partnership and Cooperation Agreement; an ambitious Free Trade Agreement; and a Framework Participation Agreement for EU crisis management operations. The Summit provided an opportunity to explore further areas for cooperation within the Strategic Partnership.

Discussions focused on the situation on the Korean Peninsula, the broader situation in the world, and trade relations. The Summit also provided an opportunity for the initialling, by the European Commission and the Republic of Korea, of a Horizontal Aviation agreement and the signing of a Joint Statement committing to work closely together to fight against Illegal, Unreported and Unregulated fishing.

Jointly addressing global challenges

The EU and Korea are united by common values of democracy, human rights and the rule of law. The Leaders reaffirmed their strong commitment to multilateralism and the international rules-based order, politically and economically, while also supporting global action on climate change and the environment. The EU and Korea will continue promoting free, fair and rules-based trade, modernising the WTO-based multilateral trading system, and maintaining international cooperation against protectionism.

The Leaders discussed a number of pressing issues on the global agenda, chief among them prospects for achieving lasting peace and security on a Korean Peninsula free of nuclear weapons and finding a comprehensive solution through diplomacy, while fully implementing the relevant UNSC Resolutions. The EU supports the Republic of Korea’s efforts and diplomatic initiatives, in particular the three inter-Korean Summits and the US-DPRK Summit, and the implementation of their outcomes. The EU sees the development of inter-Korean relations, the denuclearisation of, and the establishment of a peace regime on the Korean Peninsula as vital for peace and security not only in East Asia, but for the entire world. In this context, the EU stressed the requirement for the Democratic People’s Republic of Korea (DPRK) to completely, verifiably and irreversibly dismantle all its nuclear and other weapons of mass destruction, ballistic missiles and related programmes and facilities.

The EU and the Republic of Korea reiterated their commitment to maintaining close coordination on foreign and security issues. In the field of crisis management, the EU and the Republic of Korea will continue the good cooperation under the EU-Republic of Korea Framework Participation Agreement, through which the Republic of Korea has regularly contributed to the EU’s naval counter-piracy operation off the coast of the Horn of Africa, EU NAVFOR Atalanta. Similarly, they discussed and agreed to cooperate more closely on implementing the 2030 Agenda for Sustainable Development and achieving its Sustainable Development Goals, and will bolster their bilateral policy dialogue on international development issues and promote joint cooperation in areas and third countries of mutual interest, notably in Asia and Africa.

Expanding the bilateral agenda to bring further benefits to citizens

The leaders recalled that the EU-Republic of Korea Free Trade Agreement has been an economic success that has increased wealth on both sides. The EU is Korea’s 3rd largest trading partner and Korea the EU’s 8th largest; annual trade in goods between the EU and Korea is now worth about €100 billion. With that in mind, the leaders exchanged views on how to ensure that our citizens and businesses can reap the full benefits of the agreement. The EU highlighted several important issues: for example, ensuring the full implementation of the long-standing, binding labour commitments under the Trade and Sustainable Development Chapter; opening the Korean market to EU beef from all EU Member States; and fully implementing commitments in the area of intellectual property rights, including protecting new Geographical Indications.

The Summit also provided an opportunity for the European Commissioner for Environment, Maritime Affairs and Fisheries, Karmenu Vella, and Kim Young-Choon, Minister for Oceans and Fisheries of the Republic of Korea to sign a joint statement committing to work closely together to fight against Illegal, Unreported and Unregulated fishing.  The Republic of Korea is the fourth country with whom the EU signs such a joint statement as part of its efforts to tackle the most serious threats to sustainable fishing and to marine biodiversity in the world’s oceans, with devastating environmental and socio-economic consequences. The new partnership, in line with the objectives of the EU’s Ocean Governance strategy, will help exchange information about suspected Illegal, Unreported and Unregulated activities, enhance traceability of fishery products and promote sustainable fishing through education and training.

Excellent progress has been made in the area of transport, where this week the European Commission and the Republic of Korea initialled a Horizontal Aviation Agreement on certain aspects of air services. The agreement will restore legal certainty to all 22 bilateral air services agreements that the Republic of Korea has with EU Member States by bringing these into conformity with EU law. The number of passengers travelling directly between the Republic of Korea and the EU has grown on average 10.1% over the past five years, totalling 3.4 million passengers in 2017. Currently, direct passenger flights are operated between 10 EU Member States and the Republic of Korea. The Horizontal Aviation Agreement reflects this growth in the EU-Republic of Korea aviation market and should serve as a catalyst for increased flows.

Leaders also stressed their commitment to implementing the Paris climate agreement. To translate this political commitment into concrete projects, the EU has set up a platform to exchange best practice on climate action and support the implementation of the Korean Government’s Emissions Trading System (ETS) to reach the goals of the Paris Agreement. The EU’s Partnership Instrument also financially supports exchanges of cultural practitioners and artists from both the EU and Korea, economic cooperation between companies, as well as the promotion of research and teaching on EU-related issues in Korea, adding to the overall breadth of the relationship.

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ASEM Summit: Europe and Asia – Global Partners for Global Challenges

MD Staff

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The 12th ASEM (Asia-Europe Meeting) Summit took place on 18-19 October in Brussels, bringing together 51 countries, as well as EU and Asian institutions. Under the title “Global Partners for Global Challenges”, leaders addressed some of the world’s most pressing issues.

Jean-Claude Juncker, President of the European Commission and Donald Tusk, President of the European Council, represented the European Union at the Summit. Heads of State or Government of the 28 EU Member States, Switzerland and Norway, in addition to 21 Heads of State or Government from Asian countries, as well as the Secretary General of ASEAN (the Association of Southeast Asian Nations), were also invited. The High Representative of the European Union for Foreign Affairs and Security Policy/Vice-President of the European Commission, Federica Mogherini, and the Vice-President of the European Commission for Jobs, Growth, Investment and Competitiveness, Jyrki Katainen, also participated at the Summit.

“We want to give our relationship with Asia, which is already very dynamic – as illustrated by the numerous trade and cooperation agreements we have, fresh impetus“, said President Jean-Claude Juncker at the Summit’s plenary session this morning. “Only a multilateral approach will enable us to confront global challenges. This is why I reiterate our commitment to support multilateral organisations in all their efforts, including the United Nations and the World Trade Organisation – a World Trade Organisation that we have to reform together, so that its rules correspond better to the new realities. It is by acting together that we will be able to preserve our planet […], contribute to resolving conflicts, eradicate poverty, reduce inequalities, […] and that we can better manage migration flows and develop free and fair trade.”

“What Europe and Asia agree together matters not only for the two of us, but for the entire world. Together we represent 55% of global trade, 60% of global population, 65% of global economy and 75% of global tourism; together we represent a real global power“, said the High Representative/Vice-President, Federica Mogherini at the Summit’s press conference. “We come out of this two-day Summit with a reinforced global partnership between Europe and Asia. It has allowed us to translate our global weight into concrete policy initiatives – on regional and international security, foreign policy issues, climate change action, free and fair trade, and the digital agenda to name a few. Together, we can make a real difference for the world.”

A Chair’s Statement, covering the wide range of areas discussed and focussing on ASEM’s three pillars – namely political, economic and financial, and social and cultural – has also been issued.

Sustainable connectivity between Europe and Asia

In his address at the Summit’s plenary session, President Juncker highlighted the importance of investing in more sustainable connectivity between the European Union and Asia. The European Union has this week adopted a new strategy on connecting Europe and Asia, building on the proposal of the European Commission and the High Representative in September. With financial, environmental, and social sustainability at the core of the EU’s approach to connectivity, the EU’s objective is to develop sustainable connectivity networks across the digital, transport, energy and human dimensions, as well as to strengthen partnerships at the bilateral, regional and international levels, in particular to ensure a rules-based approach and interoperability of standards.

As a contribution to enhancing Euro-Asian connectivity, as well as to demonstrate the huge potential of the relationship, the European Commission has this week launched the ASEM Sustainable Connectivity Portal, offering policymakers, researchers, businesses and other stakeholders alike a wealth of data on the political, economic and societal relationships between the two continents. A full press release and factsheet are available online. In parallel to the Summit, a number of events to bring Europeans and Asians together are taking place in Belgium, such as the ASEM Cultural Festival, the Young Leaders’ Summit, the Business Forum, the People’s Forum for civil society, the Labour Forum and the Parliamentary Partnership Meeting.

Strengthening EU-Asia bilateral ties

In the margins of the ASEM Summit, the European Union signed a number of bilateral agreements to deepen and expand its relations with Singapore and Vietnam respectively.

President Juncker,President Tusk and Austrian Chancellor Sebastian Kurz signed, together with the Prime Minister of Singapore, Lee Hsien Long, the EU-Singapore Free Trade Agreement. In the presence of the leaders, EU High Representative/Vice-President, Federica Mogherini and the Minister of Foreign Affairs of Singapore, Vivian Balakrishnan signed the EU-Singapore Framework Agreement on Partnership and Cooperation and Commissioner for Trade Cecilia Malmström and Mr S Iswaran, Minister for Communications and Information, and Trade Relations of Singapore signed the EU-Singapore Investment Protection Agreement. These agreements represent a significant step forward for a more comprehensive and mutually-beneficial relationship between the EU and Singapore, opening new opportunities for European producers, farmers, service providers and investments, as well as strengthening political and sectoral cooperation through more formal and intensive exchanges for example in environment, climate change and counter-terrorism.

The European Union is also stepping up its relations with Vietnam. Earlier this week, the European Commission adopted the EU-Vietnam trade and investment agreements, paving the way for their signature and conclusion. The trade agreement will eliminate virtually all tariffs on goods traded between the two sides. The agreement also includes a strong, legally binding commitment to sustainable development, including the respect of human rights, labour rights, environmental protection and the fight against climate change, with an explicit reference to the Paris Agreement. Today, the EU and Vietnam signed a Forest Law Enforcement, Governance and Trade Voluntary Partnership Agreement. The Agreement will help improve forest governance, address illegal logging and promote trade in verified legal timber products from Vietnam to the EU, and other markets. In addition to the variety of social, economic and environmental benefits associated with better management of the forestry sector in Vietnam, the licensing will simplify business for timber traders.

EU-ASEAN Leaders’ Meeting

Following the ASEM Summit, a Leaders’ Meeting between the European Union and ASEAN took place. President Jean-Claude Juncker and President Donald Tusk, accompanied by EU High Representative/Vice-President Federica Mogherini represented the European Union, whilst the Association of Southeast Asian Nations was represented by the Prime Minister of Singapore, Lee Hsien Loong, as the country holding the ASEAN Chairmanship for 2018, the Prime Minister of Thailand, Prayut Chan-o-cha, as the country which will hold the Chairmanship of ASEAN in 2019, and the ASEAN Secretary General, Lim Jock Hoi.

“The EU’s partnership with ASEAN is founded on common interests across many areas. We share common values – in the European Union and in the founding charter of ASEAN – which need to be respected by all”, said President Juncker at the opening of the Leaders’ Meeting. “Proof of our intense cooperation is the number of agreements with Singapore that we have just signed. These, I hope, will be the first in a long series of such agreements with ASEAN countries, and will eventually result in a region-to-region agreement.”

At the Leaders’ Meeting, alongside matters of trade, connectivity and transport, leaders addressed global peace and security challenges, including climate change, non-proliferation, the Joint Comprehensive Plan of Action – the Iran nuclear deal, counter-terrorism, maritime security and migration. They agreed to strengthen the EU-ASEAN relationship, in particular to address global challenges and to work together to reinforce the rules-based international order and multilateralism.

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A New Redrawing of Balkan Borders: A Road to Hell

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More than a decade after Kosovo region’s unilateral declaration of independence from Serbia, the issue of redrawing borders is back on the agenda. The ongoing negotiations between Belgrade and Pristina on the settlement of bilateral relations under the auspices of the European Union may lead to an unexpected result – the breakaway of Serbia’s three predominantly Albanian-populated southern Serbian regions of the Presevo Valley and their accession to Kosovo – which, in turn, will be carved up into Serbian and Albanian parts. Such a scenario, in turn, can set off disintegration processes in Macedonia, Bosnia and Herzegovina, Montenegro and even Greece (with Albanians enclaves in the north).

The Pesident of the self-proclaimed Kosovo Republic, Hasim Thaci, said that in the event of an agreement signed between Belgrade and Pristina, the Presevo Valley adjacent to the Kosovo border, would likewise join Kosovo.

According to him, “the requests of the Albanian population of the Presevo Valley for joining Kosovo are institutionalized,” and if an agreement is reached between Belgrade and Pristina, neither the EU, nor NATO or the US would be able to interfere with its implementation. Moreover, he said that the problem of Presevo will soon be discussed in Brussels anyway.

However, he once again ruled out the possibility of Kosovo proper being divided into Serbian and Albanian parts (which is increasingly being discussed in Serbian political and public circles), although he was rather vague about the possibility of “adjusting the Kosovo-Serbian border.” For his part, Serbian President Aleksandar Vucic supports the idea of carving up Kosovo, which he argues would help avoid a new conflict.

“A territory, if you don’t know how to treat it or who it belongs to, is always a source of potential conflicts and problems.” “I am foursquare behind this [separation] and this my policy, whether people like it or not. I am holding out for separation with Albanians,” Vucic stated. rts.rs.

Serbia’s current Foreign Minister Ivica Dacic was the first top-level politician to come up with the idea of dividing Kosovo, describing it as a long-term compromise solution to the Kosovo conflict. In an interview with the Pristina-based Albanian-language newspaper Zeri, Ivica Dacic, who was then First Deputy Prime Minister and Interior Minister, said that “the only real solution is to leave the Serbs in Serbia and separate the other part where Albanians live. It will be a working mechanism to quickly solve the problem. Other options will be just a waste of time.”

However, the idea of partitioning Kosovo can now become part of a broader “package” agreement on the normalization of relations between Belgrade and Pristina. The European Commission makes Serbia’s admission to the European Union, which in this case could come in 2025, strictly conditional on a legally binding agreement signed by Belgrade and Pristina.

Many media outlets consider the division of Kosovo and a territorial exchange a very likely scenario. The Croatian newspaper Jutarnji List even claims that the matter is already a “done deal,” and warns of possible negative consequences: “In fact, it’s not just Kosovo. Pandora’s box may be thrown open. This could have a knock-on effect. Just imagine the worst possible scenario the partition of Kosovo could lead to. Bosnia and Herzegovina would immediately follow suit, followed by Macedonia. Montenegro could possibly come next.” jutarnji.hr

The Albanian leaders of southern Serbian Presevo Valley, which is home to three mixed Serbian-Albanian communities, admitted the possibility of a “territorial exchange” as envisaged by pertinent agreement between Belgrade and Pristina, as early as in 2012. The leader of the Presevo community, Ragmi Mustafa, emphasized that the three communities (Presevo, Medvedja and Bujanovac) “must join Kosovo,” while “northern Kosovo must join Serbia.” He believes that a pertinent proposal should be discussed in Brussels.

“I think that this holds the future for our region,” he said. A year before that – in the summer of 2011 – representatives of Albanians living in Kosovo and Presevo Valley, including Ragmi Mustafa, met in Gnilan and adopted a resolution on “facilitating the return” of Presevo Valley communities to “independent Kosovo Republic,” including with the participation of the international community. The latter, according to the participants, would help deter the Serbian government from “obstructing the free will of the Presevo Valley population.”

Accurate and reliable data on the ethnic composition of the three communities is not available. However, if we compare the estimates, we will see that 90 percent of Albanians and 10 percent of Serbs live in Presevo, 60 percent of Albanians and 30 percent of Serbs live in Bujanovac and 30 percent of Albanians and 60 percent of Serbs live in Medvedja. Thus, Albanians now constitute an absolute majority in  Presevo and Bujanovac.

Just as the President of the Turkish International Cooperation Agency in Ankara, Umut Arik, warned as early as in the mid-1990s, all talk about creating a security system in the Balkans makes no sense until “decisions relating to nation-states can be made and revised unilaterally”. This is exactly what has recently been happening around Kosovo. What is also evident is the interrelated development of disintegration processes going on in the Balkans. This may force the leading world powers and international institutions to abandon what they have professed all these years – “a policy focused on the state, rather than territory” as the University of Pristina professor of public law Enver Hasani puts it.

Such a policy provides for solving the problems of each Balkan country separately from one another. This approach was at the heart of the Stability Pact for Southeast Europe, devised by the European Union and introduced in 1999.

The unilateral declaration of independence for Kosovo in 2008 embedded in this concept a provision about the “uniqueness of the Kosovo case.”

However, amid the current impasse around Kosovo Serbs and the growing activity of Albanian nationalists, the international curators of the Balkan settlement, above all the most business-minded and openly cynical of them in the form of the administration of the US President Donald Trump, could switch to a “territory-focused policy,” which views a region not as an combination of already established states, but as a system of territories in dynamic equilibrium and, therefore, capable of reformatting.

“For some Balkan politicians, talk about territorial division and redrawing of maps is like adrenaline,” the Croatian newspaper “Jutarnji list” rightly wrote.

“The question is, what will happen to the federation of Bosnia and Herzegovina? Will this catastrophic disintegration of Bosnia and Herzegovina affect Croatia, or will a peaceful Bosnia finally emerge taking in “parts of Croatia”!? Another question is, how would the Bosnians and their defenders, such as Turkey, react to this?! Perhaps, for Serbia, the matter would not be limited to Presevo, and the processes would affect both Sandzak and the very north of Serbia. On the other hand, the exchange of territories with Kosovo could raise the issue of ‘consolidating the Albanian nation,’ which would revive old ideas of dividing Macedonia. And with the process of Albanian consolidation on and with the Republika Srpska already  part of Serbia, this would whet Serbian appetite, if not for the whole of Montenegro, then at least for its ‘Serbian parts,’” the newspaper forecasts and makes a sad conclusion: “Despite the seeming simplicity (“we give you, you give us”), this decision leads to hell.” jutarnji.hr

In all fairness, any new changes in the situation in the Balkans – and above all, the delineation of borders – will raise the discussion to a higher international level and may potentially bring them back to the floor of the UN and the UN Security Council where Russia  wields a veto power.

Simultaneously, such scenarios are forcing Belgrade to work more closely together with Moscow, which is one of its key international allies.

The Serbian political class is aware that it cannot move forward without progress toward resolving the long-standing Kosovo issue. But in order to save face with its constituents, the Serbian leadership has to come up with some settlement in which Serbia will not be perceived as the total loser of the Kosovo dispute. To that end, Serbia must have a great power backer in the negotiating process, and as Serbia lacks a patron in the West, Russia is useful in that role. As long as Kosovo remains in play and as long as Serbian leadership lacks a settlement acceptable to public opinion, Russia will have a high place in Serbian foreign policy considerations. The West should be cognizant of this. For their part, both the European Union and the United States need to be aware that close ties between Russia and Serbia are in large part the result of taking Serbia and the Balkans for granted,” The American Interest emphasizes.

Given the situation at hand, Russia needs to figure out the possible options of such a reformatting of the Balkans and choose the ones, which are best suited to its geopolitical interests and those of its allies and partners in the Balkans region and beyond.

First published in our partner International Affairs

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