Western Balkans

Seven consecutive enlargements, spanning over half a century, have provided geopolitical stability in Europe and facilitated trade and economic growth. Currently, the EU is considering further expansion towards the Western Balkans and Turkey. In this process, the EU is weighing fundamental values against security concerns, public scepticism in some member states and past experience of letting in countries that were not prepared.In addition the economic, security and refugee crises are making the EU more cautious about enlarging further. The present paper considers options for further EU enlargement, including ending enlargement altogether, offering a reduced membership status (‘membership minus’) and keeping enlargement alive under strict conditions.It argues for the third option, under which the EU institutions must make sure that candidate countries not only align their legislation with that of the community but also respect fundamental EU values in the economic, political and legal spheres. Giving a viable prospect for membership is vital to enabling the candidates to maintain reform momentum and their attachment to the West. It is also in the interests of the EU and its member states.

What will the Western Balkans look like in 2025? Will we witness Republika Srpska declare independence, a worsening of relations between Kosovo* and Serbia, and the rise of ethnic tensions across the region – or will we celebrate Montenegro and Serbia joining the EU, with good reason to hope that the rest of the region will soon follow? This Chaillot Paper presents three contrasting scenarios for the horizon of 2025 – best-case, medium-case, and worst-case. Each scenario takes account of the impact of underlying megatrends (trends that are unlikely to change by 2025) on the future trajectory of the region: the scenarios do not just spell out what 2025 could look like, they also explain how decisions with far-reaching consequences taken at critical junctures (called game-changers) will shape this future between today and then. They therefore serve not merely as a description, but also as a roadmap outlining the different options available.

An assessment of public infrastructure development in the Western Balkans. The paper quantifies the large gaps across various sectors/dimensions, evaluates current infrastructure plans, and discusses funding options available to countries in the region. The paper also identifies important bottlenecks for increased infrastructure investment. Finally, the paper quantifies potential growth benefits from addressing infrastructure gaps, concluding that boosting the quantity and quality of infrastructure is vital for raising economic growth and accelerating income convergence with the EU. The paper concludes with country-specific policy recommendations.