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The Brexit issue

Giancarlo Elia Valori

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The issue of Brexit, namely Great Britain’s exit from the European Union, regards the age-old issue of what really drives the electorate: myths, real or imaginary identities, or short-term material interests? For the great political science and philosophical school of Italian elitism, ranging from Pareto to Gaetano Mosca, the political mechanism is substantially identity-based.

As the Genoese sociologist and economist Vilfredo Pareto maintained, there exist six classes of residues that he positivistically listed as follows: the instinct for combinations; the persistence of aggregates or group persistences (regarded as the old ideals and political myths); the need for expressing sentiments by external acts (activity, self-expression); the residues connected with sociality; the integrity of the individual and last – at that time but not today, with the full obsession of primary instincts and urges – the sex residue.  

With specific reference to derivations, the actions are not logically connected to the result, but they are always so in the conscience of those who take action. Regardless of the political form of the State, democracy, oligarchy, totalitarianism, communism, both residues and derivations provide a logic to the pseudo-rational instincts and symbols which drive to action.

Hence, again for Pareto, the Brexit choice regards two myths: the myth of economic growth for those who still want the United Kingdom to remain in the European Union or the identity myth of the old British Empire, or the de facto UK extraneousness to European politics and economics, in short, to the myths which created the European Union.

These myths regard the end of the long European civil war, as, from the French Revolution (or from 1914) to the Second World War, historians such as Ernst Nolte or, from another political perspective, Enzo Traverso called it.

The myth of peace in Europe through the expansion of trade and domestic revenue, as well as the creation of another myth, namely the myth of Europe as new homeland. Two geopolitical and economic myths in danger. Income growth is not recorded and will not be recorded for a long period of time. The European homeland entails the creation of rituals and symbols replacing the national ones, which has not happened yet.

But Great Britain is de facto alien to the logic of the European civil war: it certainly fought the two world wars, but with mindset, interests and heroism connected rather to its founding myths as autonomous Imperium. Only to yield its global empire to the United States, so as to repay the credits granted for the war, namely to a country which had backed the war effort and participated in it significantly and, with the Cold War, had to keep the dual global confrontation with the USSR. A translatio Imperii which, probably, has not been digested yet by British voters, at Pareto’s “residues” level.

In Gaetano Mosca’s opinion, the ruling class is the whole of hierarchies that materially or morally run a society. Today, in a context of universal globalization, of Pareto’s residues and derivations which are all defined and expressed in the same symbolic languages, where are Mosca’s ruling classes within nations? Can these ruling classes and “moral and material” hierarchies support the inevitably different needs, interests, myths of the various peoples, not yet united in a global large liquid mass?

In each EU Member State globalization has created asymmetric shocks which, managed by mediocre ruling classes, have been magnified in the individual nations, thus creating real transfers of sovereignty. Needless to say, this is Italy’s case, while it is not the case of Great Britain which, during the years of Thatcherism, had followed a crash diet to participate in the defilé of globalization before it began. This is also a central theme to understand Brexit from the philosophical and political viewpoint.

Hence is it currently possible to have cultural globalization applied to the development of political myths and their para-rational connection to interests? Is a unified political myth otherwise possible – a myth which, for irrelevant details, is defined and expressed in the symbolic language of every country? Yes, it is possible with specific reference to the myths of consumption, sexualized and reduced to instinctual images from the mass-media, but certainly not as regards the myths and modes of production, which cannot yet be universalized.

Suffice to consider the differences existing between the made in Italy craftsmanship and the Manchester-style factory. In this regard, Geminello Alvi spoke of the standardizing and impersonal “Chinese ideal” of “capitalism”. This is what I would currently call “Gaetano Mosca’s dilemma”. Are today the ruling classes truly such and are they able to put myths and interests together? The issue lies in establishing whether globalization entails a specific political mythology and its Mosca-style ruling class or not.

Let us revert, however, to Brexit in a strictly economic and financial sense.

Considering that foreign trade is the driver of all contemporary economies, Britain is no exception to the rule: exports, including financial products, account for about 30% of the British GDP. The EU, however, accounts for over 50% of all British exports.

On the other hand, over 50% of UK imports come from the European Union, with over half of these imports coming from Europe which serves as “intermediate asset,” namely useful to produce other made in England goods and services.

About 10% of the total EU exports go to Britain, with a share of goods and services which is about 36% (for services) compared to 64% for manufactured goods. Hence, in bilateral trade between the UK and the EU, trade issues are proportionately more important for Great Britain than for the rest (the rest?) of Europe. Furthermore, within the EU, Great Britain is the largest user of Foreign Direct Investment (FDI), with about 50% of FDI coming from Europe and 30% from the United States.

Moreover, it is well known that, since the end of the British rule in Hong Kong – which Margaret Thatcher accepted in 1997, with the last Governor, Chris Patten, who burst into tears – the real financial boom of the London Stock Exchange has started.

The London Stock Exchange is the one which regulates (or owns) most of European financial markets. A record achieved in spite of the EU and certainly not thanks to it. British industrialists point to collapse scenarios, should Brexit be voted by the UK electorate. The Confederation of British Industry (CBI) maintains that UK’s leaving the EU would lead to zero economic growth as early as 2017 and the following year.

Without a free trade agreement following Brexit within 2020, the British GDP might fall by 5% while, according to other scenarios defined by the City investment banks, the GDP would anyway decrease by 3% even with a new trade agreement with the former European partners.

The number and quality of British jobs would be particularly affected, with unemployment which would rise from the current 5.1% by additional three percentage points. Over 80% of the companies associated with CBI believe that Brexit would be a disaster for the British economy, with an estimated cost of 100 billion pounds. In many ways and to many extents, the opinions against UK’s stay in the EU are not less rational.

Obviously the UK exit from the EU would lead to the use of tariff barriers for British goods and services in the European single market, not to mention the difficulty in renegotiating the trade flows with the United States and China, after becoming an economy without the EU size, mass and volume. Obviously the Brexit advocates know this and do not deny the data reported by those who support the British presence within the European Union.

There are the British contributions to the European budget, which are remarkable – and we can still hear the Thatcherite cry “we want our money back!” at the EU meeting of 1980, as well as the speech delivered by the British Prime Minister in Bruges in 1988, when she thundered against “the European super-State exercising a new dominance from Brussels”. The UK contributions to the EU are certainly substantial: for 2015, they amount to as many as 10.4 billion pounds, with an increase equal to 1.3 billion pounds compared to forecasts. However, they account for 0.5% of the UK GDP.

Hence, first and foremost, the UK would save on contributions, but the Brexit advocates think that the difficult action of reconciling the interests of 28 different countries could never foster the British economic interest in global trade negotiations. Furthermore, the Brexit partisans believe that the UK exit from the EU would even foster the economy, since it would enable the British industry to avoid the EU countless laws and regulations. Hence the UK would lose part of the EU-28 market but, by capitalizing on its ties within the Commonwealth, it could enter the new market-world, without the fetters and constraints, reins and restraints of EU regulations.

The Brexit advocates also say that if the large European market is designed – as maintained – to reduce prices, optimize competition and stimulate trade and economic competitiveness, this holds true only if all EU countries are economically identical and work to their full potential. Otherwise for some EU Member States there may be – and, in fact, there are – forms of protectionism hidden in so many regulations which seem to benefit everyone. In fact, considering data, Great Britain’s new growth has the same shape and the same pace as the United States, and not as Germany or the rest of the European Union.

As the Brexit partisans say: “It is Europe that needs us, not the opposite”.

And here the rationality of Pareto’s derivations meets the old mental residues of the Rule Britannia and the special relationship between the United States and the United Kingdom, two countries united by many interests and separated by a common language. Here Great Britain’s traditional geopolitical obsession, namely Germany, comes back again. For the Brexit advocates the EU real problem is not Britain, but precisely Germany. Greece has very quickly turned into an export country through the collapse of imports. And this is what Germany wants, because it has to manage its booming exports and it uses the EU as its domestic market, without anyone requiring Germany to reduce its trade surplus.

Hence, for the Brexit partisans, there is a geoconomic problem, namely Germany; a purely free-trade matter, namely the impossibility of really serving the interests of all 28 EU Member States; and, ultimately, the fiscal union – a subject matter never denied before – which never works to promote underdeveloped areas, as is easily demonstrated in the European context.

The British observers who support Brexit view the Union as a giant floundering in an irreversible crisis: in 1973, when Britain adhered to the EU, and many countries were not yet members, the European GDP accounted for 37% of the global GDP. According to the most favourable estimates, in 2025 the EU will only account for 22% of the global GDP. The countries which currently dominate the market-world are the United States and China; even the Commonwealth, as a whole, is larger and performs better than the EU.

In 2020, the workers/pensioners ratio will be 3 to 1 and in 2050 it will be 2 to 1 – namely impossible to sustain – due to technological backwardness, but above all to the generalized aging of the European population.

For the Brexit advocates, the mass of regulations and restrictions for goods made in the UK is hard to swallow and digest: since 2010 the EU has adopted 3,500 new laws which somehow relate to UK companies and their interests. For Great Britain alone, the cost of bureaucracy amounts to approximately 4-5 billion pounds – and this cost is not comparable to the national contribution to the European Union. Dysfunctional bureaucracy, always looking for a sort of “preferential clause” for some Member States, which generates an indirect cost of trade rules for Great Britain equal to 7.6 billion pounds per year.

And since the Lisbon Treaty entered into force in December 2009, the cost of regulations for British companies has amounted to 12.2 billions in terms of extraordinary standards. Furthermore, the Brexit advocates argue that Great Britain’s weight within the EU has dropped sharply: in 1973, when the UK adhered to the European Union, it had 20% of votes, while currently the British government can rely only on 9.5 votes.

Again at financial level, the Brexit partisans do not want the financial transaction tax, the FTT based on the old Tobin Tax model, a tax enshrined in the EU regulations last January. All the analysts who are in favour of Brexit, however, agree on a geopolitical factor: Europe’s irrelevance for Great Britain. This geopolitical factor is connected to the opinion that the British strategic ideal is a balanced Europe, without a leading country, in which the role of power brokers, mediators and strategic leaders can be played.

On the other hand, the advocates of UK stay within the EU maintain that Brexit would diminish the role played by the London Stock Exchange on the rest of European financial markets, attracted by the Stock Exchange of Frankfurt or Paris. Moreover, Ireland would pay a very high price for Brexit, considering it supplies 35% of British agricultural and food products, and it will also be affected by the British natural gas imports after Brexit. Furthermore, Brexit impact on the pound could strengthen the Euro against the British currency, as is already happening.

In short, if Brexit occurs, the EU will lose a large economic market, the second of the European Union, over and above the euro area. It will become increasingly irrelevant at geopolitical level and, above all, it will point the way out to all dissatisfied EU countries, thus creating a likely domino effect which could lead to the end of the European Union or to its economic and political irrelevance.

But there is more: will Brexit – the full recovery of British sovereignty – favour the creation of a single European State to better manage strategic and economic emergencies, in addition to huge immigration flows?

Or will the union rely on a “United States of Europe” model and perspective so as to avoid the EU collapse, but at what pace and for which purposes?

Great Britain is an independent military power; it retains a seat in the UN Permanent Council and, regardless of Brexit, it has no evident interest in adapting to European strategic unification processes.

We could even think of an exchange, with which Great Britain avoids every discrimination against the City, in exchange for UK’s greater involvement in Europe’s collective security. Not to mention the new tensions which would emerge within NATO after Great Britain’s exit from the EU. If identity wins – which, as we have seen, is also based on rational grounds and arguments – we will have Brexit. Conversely if, in the forthcoming referendum, we have an at least apparently “rational” vote, Great Britain’s exit from the EU will be avoided. At least for now.

Advisory Board Co-chair Honoris Causa Professor Giancarlo Elia Valori is an eminent Italian economist and businessman. He holds prestigious academic distinctions and national orders. Mr. Valori has lectured on international affairs and economics at the world’s leading universities such as Peking University, the Hebrew University of Jerusalem and the Yeshiva University in New York. He currently chairs “International World Group”, he is also the honorary president of Huawei Italy, economic adviser to the Chinese giant HNA Group. In 1992 he was appointed Officier de la Légion d’Honneur de la République Francaise, with this motivation: “A man who can see across borders to understand the world” and in 2002 he received the title “Honorable” of the Académie des Sciences de l’Institut de France. “

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Any signs of a chill between France and Germany?

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The past few months have seen many signs of growing friction and divisions between the two European superpowers, Germany and France. Before the February vote on changes to the EU Third Energy Package, meant to expand the European Commission’s power to regulate Europe’s electricity and natural gas market, France opposed, until the very last moment, Germany’s position on the issue. In April, Paris and Berlin failed to agree on how much more time Britain should be given to decide on its withdrawal from the EU. During the recent presidential elections in Ukraine, France and Germany supported various candidates. Moreover, they are equally divided on who will be the new head of the European Commission. What is happening in relations between members of the “European tandem”?

During the latter half of 2018, it looked as if relations between the EU’s two powerhouses were reaching a new strategic level. In a joint statement made in Meseberg in June, Berlin and Paris outlined their shared vision of the European Union’s future development. In late August, French President Emmanuel Macron and German Foreign Minister Heiko Maas simultaneously spoke out about a new role for Europe to make it “sovereign and strong.” During their informal meeting in Marseille in September, Emmanuel Macron and Angela Merkel agreed on a coordinated response to the main challenges facing Europe and on concerted work on shaping the “agenda for Europe.”

In November, the two leaders spoke in favor of creating a “European army,” “real Pan-European armed forces” capable of defending Europe. And in January of this year, they inked a broader cooperation accord in Aachen, which commentators described as a “new big step” in bringing the two countries closer together. The Treaty of Aachen covers new areas of political cooperation, including common projects and commitments in the fields of defense and international relations.

Just a month later, however, the Franco-German rapprochement hit a snag over two strategic projects worth billions of euros, namely the Nord Stream 2 gas pipeline and trade relations with the United States. Here the interests of Paris and Berlin differ the most. Underscoring the seriousness of the rift, Emmanuel Macron canceled a planned trip to a security conference in Munich in what many commentators described as a “demonstrative” move. As for the issue of completing the construction of the Nord Stream 2 gas pipeline, the compromise reached by France and Germany and approved by the European Parliament, imposed on Berlin “a formula that the German government wanted to avoid.”

Regarding the issue of trade relations with the United States, it wasn’t until mid-April that Brussels collectively managed to prevail over France, which had been blocking the start of pertinent negotiations with Washington.  Any delay may cost the German automakers multi-billion dollar fines from the United States. If the French succeed in delaying the start of negotiations, Germany, which is already experiencing a sharp slowdown in economic growth, may end up the loser again.

France’s sudden move left the German media guessing whether Macron’s actions were dictated by his displeasure about Berlin’s “slow response” to his initiatives, or by Donald Trump’s threat to sanction companies involved in the construction of the Nord Stream 2 pipeline, including the French concern Engie. Or maybe Macron had resorted to this “show of force” in a bid to strengthen his hand amid the conflict with the “yellow jackets” and growing tensions with Italy?

Indeed, the statement made in Meseberg and the treaty signed in Aachen could have proved too much of a compromise for Macron, if not a serious blow to his ambitions. According to critics, “the Treaty of Aachen dodges the most sensitive topics characteristic of modern Europe.” Including migration and political unification of Europe – something Macron is so eager to accomplish. The treaty makes no mention of a common EU tax and financial policy, while the issue of creating a single economic space is spelled out declaratively at best. Angela Merkel essentially emasculated virtually all of Macron’s initiatives pertaining to the financial and economic reform of the EU and the Eurozone. Emmanuel Macron has been out to become one of the EU’s leaders, or even its sole leader, ever since he became president in 2017. All the more so following Britain’s exit from the bloc and amid the ebbing political authority and the planned resignation by 2021 of German Chancellor Angela Merkel, once the informal leader of a united Europe.

The current political situation in France is also calling for more decisive actions by President Macron. To ensure at least a relative success in the upcoming European elections, he needs to enlist the support not only of the traditional left-and right-centrists, but possibly of some representatives of the new European right too. Whether or not Angela Merkel stands down in 2021, or after the elections to the European Parliament (as has been rumored since April), Emmanuel Macron essentially remains the only top-level proponent of greater European integration. (Unless Merkel ultimately moves to the head of the European Commission, of course). With Macron eyeing a second presidential term in 2022, the advancement of the modernization model for France depends directly on the success of the European project. And here any significant changes in the European Union “mainly depend on the position of France’s privileged partner – Germany.”

All this means that Macron needs a breakthrough now that Berlin is going through a “complicated power transit” with Merkel having resigned as the head of the CDU and preparing to hand her post as Federal Chancellor over to a successor. Therefore, she is now taking her time and, according to her successor as CDU leader, Annegret Kramp-Karrenbauer, is holding out for a new vector in the development of the European project as “the common denominator of the distribution of political forces after the elections.” Does this mean that Berlin’s is staking on the success of its candidate in the ongoing struggle for the next president of the European Commission? For the first time ever, the CDU and the CSU have managed to nominate a common candidate who has “good chances” of heading the EU’s executive body.

Meanwhile, Berlin is facing an intractable dilemma. Since 1949, “avoiding by all means situations necessitating a hard choice between France and the United States has been a key principle of German foreign policy.” This approach “survived all governments and coalitions, and was maintained after the reunification of Germany.” Under the present circumstances, however, remaining firmly committed to the transatlantic relationship threatens to further destabilize the European integration project, which is now seen as being key to Germany’s future. Simultaneously, a course aimed at minimizing damage from the policy of external powers that threatens the fundamental German interests might necessitate radical and ambitious geopolitical maneuvers that would almost inevitably revive the Europeans’ and Americans’ historical fears of “German instincts.”

US and British analysts already worry that “the

[geopolitical]

shackles that are voluntarily accepted [by Germany] can be thrown off.” They also wonder how long it will take before new generations of Germans want to restore their country’ full state sovereignty.

In Germany itself, promotion of such slogans have already given the Alternative for Germany party (AfD) the third largest fraction in the Bundestag. A major paradox of the current European and German policy is that Berlin’s activity or passivity is equally detrimental to the Pan-European project and could eventually lead to the EU’s fragmentation and even disintegration.

However, the Franco-German “tandem” is already being dogged with contradictions and compromises, which are highly unpopular among many in the German establishment. The cautious response by many EU members to the latest joint geopolitical initiatives of Berlin and Paris, gave Germany more reasons to fear that Macron’s global ambitions could exacerbate the differences that already exist in the EU. Many in Germany have long suspected Macron of wishing to make the EU instrumental in his foreign policy aspirations.

Some experts still believe that at the end of the day the current chill between Germany and France may turn out to be just a sign of the traditional “propensity for taking independent political decisions.” The sides are sizing each other up to see “who will be setting the rules of the roadmap in the future.”  Also, Paris’s tougher stance towards Berlin may be a tactical ploy, a pre-election maneuver to “hijack” part of the agenda from the “national populists” of Central, Eastern and Southern Europe where many people are not happy about the German “diktat.”

Emmanuel Macron has proved once and again his ability to ride the wave of public discontent with certain issues. His Plan for Europe, published in early March, carefully avoids any mention of France’ and Germany’s leading role in advancing EU reforms.

On the other hand, the foreign policy of the leading European powers has a long history, and long-term geopolitical considerations continue to play a significant role. Germany, for one, has traditionally been looking for a counterweight to the Anglo-Saxons, while France – to German dominance in Europe. As a result, the search by Paris and Berlin for common points of political contact is now turning into intense efforts to find the “lowest common denominator.” The overall impression is that we will only be able to see a greater deal of certainty in relations between the two countries after the results of elections to the European Parliament have been summed up.  The distribution of roles both within the “European tandem” and in the EU as a whole depends on which political forces – pro-Macron or pro-Merkel, the Europeans will vote for.

 First published in our partner International Affairs

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Sino-Italian Partnership and European Concern

Mohamad Zreik

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A crucial moment in modern European history is that the European doors opened to Chinese President Xi Jinping in Italy during a reception that is like receiving kings and leaders. Once again China is moving west despite all the American warnings from the Chinese dragon coming from the East, and this time it was Italy’s accession to the One Belt One Road initiative.

The Chinese president said that his country’s relationship with Italy is excellent and that the Sino-Italian common interests are the basis for a fruitful future. The Italian prime minister said that Italy is a key partner in the Belt and Road initiative and that trade between Italy and China should increase. But all this positive atmosphere is met with dissatisfaction and fear by the United States and some Italians, which is totally opposed to dealing with China because it considers it a threat to its national security and therefore to the national security of Italy.

In order to prevent espionage or transfer of experience by the Chinese, it was agreed to establish an oversight authority. In an expression of US rejection of the agreement, White House official Garrett Marquis wrote last week on Twitter that Rome “does not need” to join the “New Silk Road”. In an effort to ease US concerns, Luigi Di Maio said before taking part in an Italian-Chinese economic forum in Rome that the relationship will not go beyond trade, as we remain allies of the United States, and remain in NATO and the European Union.

The Italian economy, which is in a recession, is pushing the Italian government to form an alliance with China. Many European policy experts consider Italy to be a Trojan horse for China in the European region, which will have political implications for the future of the EU and the future of the Italian-American relationship; especially as the Chinese giant Huawei is expected to participate in the launch of the technology “G5” mobile phones in Italy.

China’s opening up is not limited to Italy, but to Europe as a whole. In the last visit by the Chinese president to Europe, he moved from Italy to Monaco and Paris and met President Emmanuel Macron, who is trying to open up to Beijing. German Chancellor Angela Merkel has opposed the Sino-Italian rapprochement with signing the agreement to join the Belt and Road Initiative, so that Italy will be the first G7 country to join the initiative.

Beijing is interested in investing in Italian ports, including the port of Trieste on the Adriatic, to boost its exports to Europe. Italy seeks to balance trade with China. According to official data, trade between the two countries grew by 9.2% compared to 2016, reaching 42 billion euros. Italy managed to cut its trade deficit with China by 1.37 billion euros, increasing exports to Beijing by 22.2%, while imports rose to 28.4 billion euros, an increase of 4% compared to 2016.

But the most important issue remains the weak Italian economy, which will survive under Chinese debt, and the Sri Lankan experience proves that China is dealing with countries with economic interests. So, will the European gateway withstand the Chinese economic giant, or will it be a Chinese economic and political region in the future?

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Summit in Berlin: Pressure on Serbs

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On April 29 Summit of the Western Balkans leaders was organized under the initiative of German Chancellor Angela Merkel and French President Emmanuel Macron. In advance, it was known that the whole meeting was organized only and exclusively because of the Kosovo issue. Summit was opened by German Chancellor Merkel and French President Macron who pointed out that Western Balkans remains EU priority, adding that this is only an informal discussion, and no final solutions for Kosovo should be expected. The official meeting was followed by a working dinner, that finished late in the evening.

A letter summarizing the pledges of the meeting with a special focus on Serbia – Kosovo dialogue and economic integration of the region, was signed as the event concluded. After the meeting was concluded, President of Serbia Aleksandar Vucic stated that the talks had been difficult, but nevertheless thanked Angela Merkel and Emmanuel Macron for their contribution. According to him, it shows their commitment for the Western Balkans, which is important for maintaining peace in Europe. He added that everybody urged Kosovo`s leaders to revoke the tariffs  introduced for Serbian goods .

President of self-proclaimed Kosovo Hashim Thaci also found last night talks difficult, adding that the Summit finished without any tangible results. Frozen conflict between Belgrade and Pristina has to be overcome, Summit‘s participants jointly concluded, said Thaci to the journalists in Berlin. Thaci stated that, even though there will be no border exchange, he will advocate that Preshevo Valley becomes part of Kosovo. Kosovo’s President expressed dissatisfaction because for Kosovo has not been abolished visas, and reminded that Kosovo fulfilled all the requirements for visa liberalization.

Prime Minister of self-proclaimed Kosovo Ramush Haradinaj pointed out that the recognition by Serbia is the first step towards the progress, but not the final one. Haradinaj stressed that it is unacceptable to change the borders, because if the borders change, it would lead to new ethnic divisions and maybe violence.

It is particularly interesting to point out that on the summit in Berlin, Bosnia and Herzegovina was represented by the Chairman of the Council of Ministers of Bosnia and Herzegovina Denis Zvizdic, and if Denis Zvizdic has no legitimacy. Namely, Denis Zvizdic is currently in a technical mandate until the new Government of Bosnia and Herzegovina is elected, while Milorad Dodik, chairman of Bosnia’s tripartite Presidency, is the only legal representative of Bosnia and Herzegovina. However, since Milorad Dodik is a Serb and publicly declares that Kosovo is a southern Serbian province, Denis Zvizdic was called. And Zvizdic, on summit, pointed out that every country in the Balkans has internationally recognized borders and that the basic EU principal is not to change the existing ones. This statement primarily refers to Republika Srpska, which accounts for 49% of Bosnia and Herzegovina and wants to be independent. But Denis Zvizdic, like all other Bosniak politicians, supports an independent Kosovo.

Prime Minister of Croatia Andrej Plenkovic said that the key messages were directed at the attempt to unblock Belgrade – Pristina Dialogue. Together with his Slovenian colleague Marijan Sarec, Plenkovic was the only other leader of an EU country present at the meeting, apart from Merkel and Macron.

Prespa Agreement was once again pointed out as a model for successful resolution of bilateral disputes. Prime Minister of North Macedonia Zoran Zaev emphasized the importance of normalizing the relations between Kosovo and Serbia, and urged the EU to recognize the progress achieved by his country by opening accession negotiations in June.

Concluding Thoughts

The main objective of the summit in Berlin was to send a clear message that the demarcation between Serbia and Kosovo will not be allowed, and to exert additional pressure on the Serbs. At this summit, Germany and France also clearly stated that it was completely unacceptable for them to change the boundaries along ethnic lines. Also, the European Union makes it clear that they want to resolve the Kosovo issue.

However, the fact that there are no representatives of the United States in the negotiations does not reflect the real situation. Kosovo Prime Minister Ramush Haradinaj has recently publicly stated that Kosovo has no foreign policy, but that the foreign policy of Kosovo is lead by the United States. The only reason why the United States is not officially present in the negotiations is that it could be a reason for Russia to engage in negotiations.

And the change in the format of negotiations and the entry of Russia into the new format of negotiations would be the strategic interest of Serbia. Unfortunately, the current Serbian government does not open that question. Exactly opposite, President of Serbia Aleksandar Vucic led secret negotiations with Hashim Thaci and Federica Mogherini, illegally arranging demarcation between Serbia and self-proclaimed Kosovo. Aleksandar Vucic, together with Serbian Foreign Minister Ivica Dacic, has already done a great deal of damage to Serbian interests in Kosovo. Signing the Brussels Agreement,  Vucic and Dacic agreed to the abolition of Serbian institutions in Kosovo. So now there are border crossings between Serbia and Kosovo, in northern Kosovo which is  predominantly inhabited by Serbs now is established Kosovo Police. And Serbian judges  now take an oath to President of self-proclaimed Kosovo Hashim Thaci, who is considered a terrorist in Serbia.

Serbian authorities strongly lobby in Russia that official Moskow accept the plan of demarcation between Serbia and Kosovo. Recently, Serbian Foreign Minister Ivica Dacic was in Moscow, while the Serbian President recently met in Beijing with the President of Russia. However, Russian President Vladimir Putin and Foreign Minister Sergey Lavrov have repeatedly made clear that Russia supports any agreement between Serbia and Kosovo, which is within the framework of the UN Resolution 1244. That is a very smart position of Russia, supported by an absolute majority of Serbian citizens.

Because if the plan of current Serbian authorities was accepted, that would result in an independent Kosovo, against which is the absolute majority of Serbian citizens. An independent Kosovo would soon be united with Albania, which is a member of the NATO alliance, and Kosovo would automatically become a NATO territory. All this would result in Serbia’s accelerated path to NATO and EU, as well as the introduction of sanctions against Russia.

First published in our partner International Affairs

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