Maastricht  , Netherlands , 2 December 2002

(Check against delivery)

Mr. Chairman,

It is a great honor to share with you some thoughts on how the Stability Pact is fostering regional cooperation and progress in close collaboration with our OSCE colleagues in South Eastern Europe (SEE).

The region has seen much progress during 2003, including enhanced co-operation and further integration into European and Euro-Atlantic structures.  Nevertheless, the Balkans continues to work against a number of troubles including:  high unemployment, weak investment and problems with the rule of law.

Let me begin with our advances in building the regional economy through expanded trade and investment.  All 21 bilateral Free Trade Agreements between the SEE countries are now signed and most are ratified.  An additional four have been negotiated with Moldova .

A coordinated Multilateral Development Bank effort has increased the number of regional  infrastructure projects to 51 for total funding of €3.8 billion.  Almost three-quarters of these projects are now under construction.  The commitment to integrate the region’s energy market is moving forward.

We are in the process of adapting national migration strategies to handle movements in a more comprehensive manner.  The OSCE remains a full partner and major contributor in this effort.

The Regional Clearinghouse for Small Arms and Light Weapons, which opened in Belgrade under the UNDP, is now working in several countries, along with OSCE missions, to reduce excess supplies and illicit trafficking.  They have accounted for the destruction of almost 160,000 weapons, with more to come.

The secretariat of the Stability Pact’s Organized Crime Initiative is up and running at the Regional Crime Centred at Bucharest , and a similar center to fight corruption was established in Sarajevo .

We continue to transfer Stability Pact tasks to the region where possible, because regional ownership is key to the sustainability of reforms.  By developing closer links with the South East Europe Cooperative Process, a coordinated voice has emerged for the region.

At our upcoming, bi-annual regional table meeting later this week in Tirana, we look to our partners to reconfirm our core objectives, building upon our 2003 accomplishments.  Along with maintaining steady progress in our more than 20 taskforces in 2004, we expect to:

·        strengthen authorities and deepen cross border cooperation at the local level;

·        fortify media standards;

·        further the construction of the regional energy market;

·        faithfully implement the free trade agreements;

·        improve management of population movements, and;

·        develop an operational arrangement between the Bucharest Crime Center and EUROPOL. 

As we move forward, close cooperation with OSCE institutions remains essential, most of all with the field missions across South Eastern Europe .  We are especially pleased with the supportive efforts ongoing against trafficking in human beings, empowering local government, sustaining gender equality, and training local police.  We look forward to a special focus on parliamentary cooperation through the OSCE’s assembly as it takes over leadership of our Parliamentary Troika during 2004.  Attention is needed on such issues as staff training as well as other institutional reforms.

The Pact remains serious about its commitments to help bring self-sustaining stability and prosperity to South Eastern Europe , and we look forward to progressively greater results.

  Thank you