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Albania risks losing 67.7 million euros, while Kosovo risks losing 68.8 million euros...
The European Commissioner for Enlargement, Marta Kos, has warned the six Western Balkan countries in writing that they risk collectively losing over 700 million euros from the Growth Plan by the middle of this year, due to the failure to implement reforms. According to unofficial information, Commissioner Kos sent this letter on April 17 to all capitals of the region.
EC sources have confirmed that with this letter, Commissioner Kos has asked all countries to accelerate the reforms foreseen in the Growth Plan, in order to fully exploit the potential of this financial package.
In fact, the financial resources from the Growth Plan are limited in time. For each reform step, a deadline for implementation is foreseen and a certain amount of money is allocated.
The EC has also provided for a so-called "grace period", which allows for the postponement of implementation for a certain period of time. For steps that were to be completed by mid-2025, the deadline expires on June 30 of this year, while for steps that were to be completed by the end of 2024, this deadline ends in 2026.
"If they are not met, the partners risk collectively losing over 700 million euros ," an EC official confirmed to REL.
Otherwise, the first tranche or some funds from the Growth Plan have been received by five countries in the region, with the exception of Bosnia and Herzegovina, which has been delayed in approving its reform agenda.
The end of June this year marks the moment when each country enters the so-called moment of permanent loss if it does not fulfill the previously agreed reforms.
According to sources in Brussels, the potential losses by country, if all reforms are not undertaken, are as follows:
Kosovo: 68.8 million euros
Albania: 67.7 million euros
Bosnia and Herzegovina: 373.9 million euros
Montenegro: 15.1 million euros
North Macedonia: 49.2 million euros
Serbia: between 108.7 and 135.9 million euros
Based on the maximum amount, a total of 710.6 million euros could be lost, representing 11.84 percent of the total funding from the Growth Plan.
The EU package for the Western Balkans – for the period 2024-2027, is worth 6 billion euros. If we analyze the budget allocations, Kosovo is entitled to about 882 million euros, 253 million as grants and 629 million euros in the form of loans, which means that it benefits from the most funds in the region per capita.
On April 16, Kosovo received 61.8 million euros in pre-financing, after the country submitted the necessary documents to the EC and ratified the agreements related to this plan. This plan, among other things, aims to double the economies of these countries over the next ten years.
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