German Bulgarian English

Sunday, April 3, 2005

 

The Event: SEEF 2004
NATO Review
Investment Guide
Country Ratings
Investment Projects
Calendar of Events
SEE Countries
SEE Holidays
Useful Links
Discussion Board
F.A.Q.
Sight SEEing


FAQ page

1. What do some frequently used abbreviations mean?
2. What is the European Council?
3. What is the Council of Europe?
4. What is the Council of the European Union?
5. What is the Stability Pact for Southeast Europe?
6. What does the European Perspective mean?
7. What is the North Atlantic Treaty?
8. What is the role of NATO?
9. What is the NATO's Third Dimension?
10. Which countries are NATO members?
11. What is EFTA?
12. What is CEFTA?
13. What is the “Quick Start Package”?
14. Why is the EU extending to include new countries?
15. What is the present state of the EU enlargement process?
16. Does the Treaty of Nice ensure that the enlarged EU can function?

What do some frequently used abbreviations mean?
ABBREVIATIONS/ ACRONYMS (in alphabetical order)

ADB - Asian Development Bank
AREA - Agenda for Regional
Action
BDV - Brussels Definition of Value
BGN - Bulgarian lev
BIS - Bank for International Settlements
bn - billion
°C - degree Celsius
CACM - Central American Common Market
CAM – Computer Aided Manufacturing
CARICOM - Caribbean Common Market
CAP - Common Agricultural Policy (of the European Communities)
CCC - Commodity Credit Corporation (Department of Agriculture)
CEI - Central European Initiative
CEFTA - Central European Free Trade Agreement
CFSP - Common Foreign and Security Policy
CIF - Cost, Insurance and Freight
cm - centimetre
CNB - Croatian National Bank
COMECOM - Council for Mutual Economic Assistance
CIS - Commonwealth of Independent States
CM - Convertible mark
CJTFs - Combined Joint Task Force
DPPI - Disaster Preparedness and Prevention Initiative
E - East geographical lalitude
EADRCC - Euro-Atlantic Disaster Response Co-ordination Centre
EAPC - Euro-Atlantic Partnership Council
EBRD - European Bank for Reconstruction and Development
EC - European Communities
ECOFIN - Economic and Financial Affairs Council
EFTA - European Free Trade Association
EIB - European Investment Bank
EMS - European Monetary System (of the EC)
ERM - Exchange Rate Mechanism (of the EC)
ESA - European System of National Accounts
ESDI - European Security and Defence Identity
EU - European Union
EXIMBANK - U.S. Export-Import Bank
FEMIP - Facility for Euro-Mediterranean Investment and Partnership
FOB - Free on Board
FOREX - Foreign Exchange
GATT - General Agreement on Tariffs and Trade
GDP - Gross Domestic Product
GNP - Gross National Product
GSP - Generalized System of Preferences
GT (GRT)- gross-volume (gross registered tonnage)
GWh - gigawatt-hour
ha - hectare
hl - hectolitre
hPa - hectopascal
HRK - Kuna
IATA - International Air Transport Association
IBRD - International Bank for Reconstruction and Development(World Bank)
ICAO - International Civil Aviation Organization
ICC - International Criminal Court
IDB - Inter-American Development Bank
IFOR - Implementation Force of NATO
ILO - International Labour Organisation
ILO - International Labor Organization (of the U.N.)
IMF - International Monetary Fund
IPR - Intellectual Property Rights
kg - kilogram
km - kilometre
km2 - square kilometre
KWh - kilowatt-hour
l - litre
LIBOR - London Interbank Offer Rate
m - metre
m2 - square metre
m3 - Main industrial groupings
mln - million
mm - millimetre
MWh - megawatt-hour
N - North geographical latitude
NACC - North Atlantic Cooperation Council
NCEA - National Classification of Economic Activities
NNI - Net National Income
OECD - Organization for Economic Cooperation and Development
OPIC - U.S. Overseas Private Investment Corporation
pcs - pieces
PfP - Partnership for Peace
PPP - Purchasing power parity
P.O.B. - post office box
PTT - Posts, Telegraph and Telephone
QSP - Quick Start Package
SAP - Structural Adjustment Program (of the IMF/World Bank)
SDR - Special Drawing Rights (of the IMF)
SEE - Southeast Europe
SEEC - Southeast Europe Countries
SEECP - Southeast Europe Co-operation Process
SFOR - Stabilisation Force of NATO
SITC - Standard International Trade Classification
SNA - System of National Accounts
SPAI - Stability Pact Anti Corruption Initiative
SPOC - Stability Pact Fight against Organised Crime Initiative
OECD - Organisation for Economic Co-operation and Development
tonne - metric tonne
TTFSE - Trade and Transport Facilitation in Southeast Europe Programme
UN - United Nations
US $ (USD) - US dollar
UR - Uruguay Round of current trade negotiations in the GATT
VAT - Value-added tax
WIPO - World Intellectual Property Organization
WTO - World Trade Organisation
Go to top

What is the European Council?
The European Council brings together the Heads of State or Government of the fifteen Member States of the European Union and the President of the European Commission.

The European Council is hosted by and takes place in the Member State holding the Presidency of the Council, and punctuates the political life and development of the European Union by meeting at least twice a year (generally in June and December). It is an important event: the presence in a European city of fifteen representatives with unimpeachable democratic credentials, accompanied by other Ministers and close collaborators, has for twenty-five years been an eagerly awaited political event. The traditional "family portrait" of European leaders and many other photos showing the Heads of State or Government in action can be visualised and downloaded.

The decisions taken at the European Council meetings are a major impetus in defining the general political guidelines of the European Union. The Presidency conclusions are made public at the closing of a European Council meeting.

The EU is likely to change in the years to come, not least due to the enlargement of the Union.
Go to top

What is the Council of Europe?
The Council of Europe is the continent's oldest political organisation, founded in 1949. It:
· groups together 44 countries, including 20 ex-communist countries,
· has applications from 2 more countries,
· has granted observer status to 5 more countries (the Holy See, the United States, Canada, Japan and Mexico),
· is distinct from the 15-nation European Union, but no country has ever joined the Union without first belonging to the Council of Europe,
· has its headquarters in Strasbourg, in north-eastern France.

The Council was set up to:
· defend human rights, parliamentary democracy and the rule of law,
· develop continent-wide agreements to standardise member countries' social and legal practices,
· promote awareness of a European identity based on shared values and cutting across different cultures.

Since 1989, its main job has become:
· acting as a political anchor and human rights watchdog for Europe's post-communist democracies,
· assisting the countries of central and eastern Europe in carrying out and consolidating political, legal and constitutional reform in parallel with economic reform,
· providing know-how in areas such as human rights, local democracy, education, culture and the environment.

The main component parts of the Council of Europe are:
· the Committee of Ministers, composed of the 44 foreign ministers or their Strasbourg-based deputies (ambassadors/permanent representatives), which is the Organisation's decision-making body. It is currently chaired by Luxembourg.
· the Parliamentary Assembly, grouping 612 members (306 representatives and 306 substitutes) from the 44 national parliaments and Special Guest delegations from the two candidate States. The current President is the Austrian Socialist Peter Schieder.
· the Congress of Local and Regional Authorities, composed of a Chamber of Local Authorities and a Chamber of Regions. Its current President is Herwig van Staa (Austria)
· the 1300-strong secretariat headed since 1999 by Secretary General Walter Schwimmer (Austria) former Vice-President of the parliamentary Assembly and former President of the Group of the European's people party.
Go to top

What is the Council of the European Union?
The Council of the European Union is a Community institution exercising the powers conferred upon it by the Treaties. The Council is composed of one representative at ministerial level from each Member State, who is empowered to commit his Government. Council members are politically accountable to their national parliaments.

Which Ministers attend each Council meeting varies according to the subject discussed, although its institutional unity remains intact. Thus, Ministers for Foreign Affairs attend in the configuration known as the General Affairs Council to deal with external relations and general policy questions, while the Ministers responsible for economic and financial affairs meet as the Economic and Financial Affairs Council, and so on.

The frequency of Council meetings varies according to the urgency of the subjects dealt with. The General Affairs, Economic and Financial Affairs and Agriculture Councils meet once a month, while the Transport, Environment or Industry Councils meet two to four times a year.

Under the Treaty establishing the European Community, the main responsibilities of the Council are the following:
·the Council is the Community’s legislative body; for a wide range of Community issues, it exercises that legislative power in co-decision with the European Parliament (see below);
·the Council coordinates the general economic policies of the Member States;
·the Council concludes, on behalf of the Community, international agreements between the latter and one or more States or international organisations;
·the Council and the European Parliament constitute the budgetary authority that adopts the Community’s budget.

Under the Treaty on European Union,
·the Council takes the decisions necessary for defining and implementing the common foreign and security policy, on the basis of general guidelines established by the European Council;
·coordinates the activities of Member States and adopts measures in the field of police and judicial cooperation in criminal matters.
Go to top

What is the Stability Pact for Southeast Europe?
On 10 June 1999, at the EU's initiative, the Stability Pact for Southeast Europe was adopted in Cologne. In the founding document, more than 40 partner countries and organisations undertook to strengthen the countries of South Eastern Europe "in their efforts to foster peace, democracy, respect for human rights and economic prosperity in order to achieve stability” in Southeast Europe. Euro-Atlantic integration was promised to all the countries in the region. At a summit meeting in Sarajevo on 30 July 1999, the Pact was reaffirmed.

The idea for the Stability Pact arose in late 1998 and thus predates the Kosovo war. But the NATO intervention undoubtedly acted as a catalyst in strengthening international political will for co-ordinated and preventive action in the region. The Stability Pact is based on key experiences and lessons from worldwide international crisis management. Conflict prevention and peace building can be successful only if they start in parallel in three key sectors: the creation of a secure environment, the promotion of sustainable democratic systems, and the promotion of economic and social well-being. Only if there is progress in all three sectors can a self-sustaining process of peace be achieved.

The Stability Pact is a political declaration of commitment and a framework agreement on international co-operation to develop a shared strategy among all partners for stability and growth in Southeast Europe. The Stability Pact is not a new international organisation nor does it have any independent financial resources and implementing structures.

Organisationally, the Stability Pact relies on the Special Co-ordinator, Erhard Busek, and his some 30-member team. His most important task is to bring the participants' political strategies in line with one another, to co-ordinate existing and new initiatives in the region and, thereby, to help avoid unnecessary duplication of work. The headquarters of the Special Co-ordinator and his office are in Brussels.

The Special Co-ordinator chairs the most important political instrument of the Stability Pact, the Regional Table. There are three Working Tables, which operate under the Regional Table:

Working Table I: Democratisation and Human Rights;
Working Table II: Economic Reconstruction, Co-operation and Development;
Working Table III: Security Issues (with two Sub-Tables: Security and Defence, and Justice and Home Affairs).

The structure and working methods of the Stability Pact are modelled on the CSCE process. A special feature is that at Regional and Working Tables, representatives of the Southeast European countries are, for the first time, on an equal footing with those of international organisations and financial institutions in advising on the future of their region and in jointly setting priorities concerning the content of all three working areas.

The European Commission and World Bank were appointed to co-ordinate the economic assistance measures for the region. They jointly chair a High-Level Steering Group in which the finance ministers of the G8 countries, the country holding the EU presidency and the Netherlands work together with the representatives of international financial institutions and organisations and the Special Co-ordinator.
Go to top

What does the European Perspective mean?
In the founding document, the EU, which has assumed a leading role in the Stability Pact, undertakes to draw Southeast Europe "closer to the perspective of full integration... into its structures", including eventual full membership. The European Union and its Member States are collectively the most important donors in the region.

Moving toward European structures includes, in principle, the possibility of full membership of the EU. Countries wishing to be admitted must, however, first meet the minimum conditions defined by the Council on 29 April 1997 concerning democratic, economic and institutional reforms.

As a contribution to the Stability Pact and an interim step towards membership, the European Union set up a new generation of Stabilisation and Association Agreements. They are aimed at the five Southeast European countries which still have no contractual relationship with the EU, i.e. Albania, Bosnia-Herzegovina, Croatia, the Federal Republic of Yugoslavia and FYR Macedonia. The EU signed the first SAA agreement with FYR Macedonia in April 2001. A similar agreement with Croatia was signed in October 2001.

The intention is to increase economic, political and social co-operation between the EU and the countries through a new instrument, the aid regulation CARDS (Community Assistance for Reconstruction, Democratisation and Stabilisation). A financial amount of EUR 4.65 billion will be allocated over the period 2002-2006 to accompany and support the reforms of the countries concerned.

At the EU summit meeting in Helsinki in December 1999, Bulgaria and Romania, which already have association agreements (Europe Agreements) with the EU, were admitted to full negotiations on membership with the EU.

The Stability Pact is complementary to the SAP and the accession process, and provides a bridge between the Western Balkans, the candidate countries in SEE, and the Republic of Moldova.
Go to top

What is the North Atlantic Treaty?
The North Atlantic Treaty was signed in Washington on 4 April 1949, creating an alliance of 12 independent nations committed to each other's defence. Four more European nations later acceded to the Treaty between 1952 and 1982. On 12 March 1999, the Czech Republic, Hungary and Poland were welcomed into the Alliance, which now numbers 19 members.

The North Atlantic Treaty has continued to guarantee the security of its member countries. Today, following the end of the Cold War and of the division of Europe, the Alliance has been restructured to enable it to contribute more effectively to the development of cooperative security structures for the whole of Europe. It has also transformed its political and military structures in order to adapt them to peacekeeping and crisis management tasks undertaken in cooperation with countries, which are not members of the Alliance, and with other international organisations.
Go to top

What is the role of NATO?
The fundamental role of NATO is to safeguard the freedom and security of its member countries. It is one of the foundations on which the stability and security of the Euro-Atlantic area depends and it serves as an essential forum for transatlantic consultations on matters affecting the vital security interests of all its members. Its first task is to deter and defend against any threat of aggression against any of them.

In order to improve security and stability in the area, the North Atlantic Alliance also plays a key role in the field of crisis management, by contributing to effective conflict prevention and, in the event of a crisis, by taking appropriate action to resolve the crisis when there is consensus among the member countries to do so. In addition, the Alliance promotes partnership and co-operation with other countries in the Euro-Atlantic area, aimed at increasing openness, mutual confidence and the capacity for joint action.
Go to top

What is the NATO's Third Dimension?
The fundamental roles of NATO have always been concerned with security cooperation between member countries and, in more recent years, with Partner countries, in the political and defence fields. These have therefore been regarded as the first and second "dimensions" of the Alliance. For many years, however, NATO has also actively pursued co-operation in relation to civil emergency planning and scientific and environmental co-operation. Together these can be regarded as the "Third Dimension" of the Alliance.
Go to top

Which countries are NATO members?
The 19 member countries of the North Atlantic Alliance are:
Belgium, Canada, Czech Republic, Denmark, France, Germany, Greece, Hungary, Iceland, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Spain, Turkey, United Kingdom, and United States.

Through initiatives such as the creation of the North Atlantic Cooperation Council (NACC) and Partnership for Peace (PfP) in 1991 and 1994 respectively, and the establishment of a new Euro-Atlantic Partnership Council (EAPC) in 1997, the member countries of NATO have opened the way for new forms of partnership and cooperation with other countries within the framework of the Alliance. On 27 May 1997, in Paris, NATO and Russia signed a historic agreement on their future relations. A few days later a NATO-Ukraine Charter was initialed in Sintra, Portugal, where NATO and Partner countries met to inaugurate the EAPC. A Dialogue with the Mediterranean countries, initiated in December 1995, is also being further developed. New structures and procedures designed to further the internal adaptation of NATO are being implemented. As part of this process, the development of the European Security and Defence Identity (ESDI) within the Alliance, and the implementation of the concept of Combined Joint Task Force (CJTFs) are also being pursued.

In July 1997, Heads of State and Government met at Summit level in Madrid to take decisions on opening NATO to new members and on future policies in all these fields. Further initiatives were taken at the Washington Summit in April 1999.

It is expected that seven countries will be invited to join NATO at NATO Summit in Prague – November 21-22, 2002.
Go to top

What is EFTA?
Iceland, Liechtenstein, Norway and Switzerland are Members of the European Free Trade Association (EFTA). The EFTA Convention is the legal basis for the Association, establishing a free trade area in the 4 EFTA States. EFTA has, in addition, negotiated a number of free trade agreements with third countries on behalf of the Member States.

Iceland, Liechtenstein and Norway entered into the Agreement on the European Economic Area (EEA) in 1992. The current contracting parties are, in addition to the three EFTA states, the European Community and the 15 EC Member States.

The Association is served by three independent institutions: The EFTA Secretariat, the EFTA Surveillance Authority and the EFTA Court.
Go to top

What is CEFTA?
Central European Free Trade Agreement (CEFTA) was a result of the Višegrad declaration of February 1991. The Agreement itself was signed in Krakow on 21 December 1992 by Poland, Hungary and Czechoslovakia and came into force on 1 March 1993. Following the dissolution of Czechoslovakia, CEFTA came out to be composed of Czech Republic and Slovakia along with Poland and Hungary (the countries of the Višegrad Agreement). In 1996 CEFTA was joined by Slovenia, in 1997 by Rumania, and in 1998 by Bulgaria, so that it now has 7 member States. Croatia expressed her wish on more occasions to join CEFTA, but for the time being does not meet all the requirements. The Baltic States are also considering CEFTA membership. To this effect the Russian Federation submitted its Letter of Intent in 1996.

CEFTA member States are committed to mutual reduction or abolition of customs restrictions in their territories and complete elimination of customs duties in mutual trade by the year 2001. Furthermore, the Agreement provides for the abolition of state monopoly, harmonisation of legislation intended to encourage competition, co-operation and exchange of information about subsidies and protection measures against excesive imports, as well as rules of procedure for the certificates of origin. In early 1994 the member States agreed to phase out nearly all-custom duties by January 1998 (three years earlier than originally planned). However, this process is not over yet, because some customs duties charged in mutual trade have been retained. Meanwhile renewed imposition of customs duties occurs from time to time, sometimes unilaterally. For that reason the representatives of CEFTA countries argue that before further expansion of the organisation more efficient mechanisms should be agreed for dealing with internal disputes in mutual trade exchange.
Go to top

What is the “Quick Start Package”?
The Special Co-ordinator of the Stability Pact presented a "Quick Start Package" at the first Regional Funding Conference, held on March 29-30, 2000 in Brussels. The Package consisted of some 200 projects, from all three working Tables, with a value of EUR 1.8 billion. Most of the projects in the Package were proposed by the southeastern European countries and in most cases involved more than one country. The implementation of the projects was to start within 12 months.

At the finance conference, the donor community undertook to provide approximately 2.4 billion Euros to finance the Quick Start projects. The sum pledged exceeded all expectations. Around EUR 1.1 billion were pledged by international financial institutions, over EUR 500 million from the central EU budget (via the European Commission), and the remainder by bilateral donors from the EU, G8 and other countries.

Projects from all three Working Tables are now being implemented. For Working Table I EUR 460 million has been pledged, and EUR 80 million has been pledged for Working Table III. On Working Table II, for example, all 35-infrastructure projects, as well as the package for the development of the private sector and the Table's environmental projects are covered by the money pledged. The return of refugees for example is being supported with EUR 305 million.
Go to top

Why is the EU extending to include new countries?
Enlargement of the European Union is a historic opportunity to unite Europe peacefully after generations of division and conflict.

Enlargement will extend the EU’s stability and prosperity to a wider group of countries, consolidating the political and economic transition that has taken place in Central and Eastern Europe since 1989.

By enhancing the stability and security of these countries, the EU as a whole can enjoy better chances for peace and prosperity. After the terrorist attacks of 11 September 2001, a strong and united Europe is more important than ever before to ensure peace, security and freedom.

This round of enlargement, like previous ones, will add to the Union’s strength, cohesion and influence in the world. The extension to include new members will put the Union in a better position to take up the challenge of globalisation, and to strengthen and defend the European social model.

Enlargement is thus a continuation of the EU’s original purpose of healing Europe’s divisions and creating an ever-closer union of its peoples. By welcoming new members who respect our political criteria, the Union is re-stating the fundamental values that underpin it.

Enlargement will present significant economic opportunities in the form of a larger market. Adding the applicant countries to the EU’s Single Market of over 370 million inhabitants will create the biggest economic area in the world. A market of this size can be expected to give a boost to investment and job creation, raising levels of prosperity throughout Europe, in both new and old member countries.

In joining the EU, the new members will reinforce their economic integration with the existing members. Consumers will reap the benefits of wider choice and lower prices, and European businesses across the continent will share a common set of rules and benefit from increased trade, greater efficiency and more competition.
Go to top

What is the present state of the EU enlargement process?
Thirteen countries are currently involved in the enlargement process:

Estonia, Latvia, Lithuania, Poland, Czech Republic, Slovakia, Hungary, Slovenia, Romania, Bulgaria, Malta, Cyprus and Turkey.

All of these countries are destined to join the EU, once they have fulfilled the criteria for membership. With twelve of them (the ten countries of Central and Eastern Europe, plus the islands of Cyprus and Malta) the EU has opened negotiations for membership. With Turkey, negotiations cannot begin before the country meets the political criteria for membership.

The timing of accession of each country to the EU depends on the progress that it makes in preparing for membership, according to the criteria laid down by the European Council in Copenhagen in 1993. The Copenhagen criteria require:

stability of institutions guaranteeing democracy, the rule of law, human rights and respect for and protection of minorities;
the existence of a functioning market economy as well as the capacity to cope with competitive pressure and market forces within the Union;
the ability to take on the obligations of membership, including adherence to the aims of political, economic and monetary union.
The ability to take on the obligations of membership implies that candidate countries must adopt the policies and rules of the EU (the ‘acquis’) and ensure its effective implementation and enforcement through appropriate administrative structures. The 31 chapters of the accession negotiations cover the different areas of the ‘acquis’. The Commission meeting of 9th October 2002 concluded that the negotiations on accession to the European Union should be concluded by the end of 2002 with Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, the Slovak Republic and Slovenia. The Commission concluded that these countries will be ready for membership of the Union at the beginning of 2004. As for Bulgaria and Romania, the Commission considered that the year 2007 chosen by these two countries should be envisaged as an indicative date for accession, on condition that each country meet the accession criteria and conclude the negotiations. Regarding Turkey, the Commission recommends that the EU should further strengthen its support for Turkey's pre-accession preparations and provide significant additional resources for this purpose.
Go to top

Does the Treaty of Nice ensure that the enlarged EU can function?
The European Council in Nice in December 2000 reached agreement on a new Treaty that paves the way for enlargement. With the ratification of the Treaty, the EU will be ready to welcome new members.

The Treaty includes important changes to streamline decision-making in an enlarged Union:
· extension of majority voting to more policy areas in the Council of Ministers, in place of decision-making by unanimity;
· new weighting of votes of member states in the Council, to take account of the arrival of new members;
· new allocation of seats in the European Parliament;
· increased authority for the President of the European Commission, in relation to Commissioners and their portfolios.

A Protocol on Enlargement, annexed to the Treaty, establishes the ways in which the EU’s institutional system (votes, seats, etc.) will be adapted for new members on enlargement.

Fourteen member states have currently ratified the treaty. In Ireland, following the negative result of the referendum in June 2001, the government is organising another referendum on October 19th 2002.

The Treaty also provides for an Intergovernmental Conference in 2004, as part of a wider debate about the future of Europe. This debate moved into a new stage with the Convention on the Future of Europe, which is now moving into its second phase of looking at options for the New Union. Candidate countries participate fully in the Convention, although they do not have voting rights. The applicant countries that have concluded their accession negotiations will be able to participate in the Intergovernmental Conference, while those that have not concluded negotiations will take part as observers.
Go to top