UNMIK/PR/1638 - UNMIK Countdown #11
PRISTINA – The EU Pillar (UNMIK Pillar IV) is part of the United Nations Mission in Kosovo and funded by the European Commission. Assisting and enhancing Kosovo’s economic development, the EU Pillar gears towards modernizing Kosovo’s economic framework with a view to developing the structures and instruments that form the basis of a competitive, efficient market economy. As such, the EU Pillar has laid a solid foundation for Kosovo’s economic and fiscal framework.
Creation of a modern market economy, the successful changeover to the euro and the establishment of a modern UNMIK Customs Service collecting over 70% of the Kosovo Consolidated Budget (KCB) funds, are only a few of the many achievements of the EU Pillar. In recent years capacity building and transfer of competences were priorities of the EU Pillar realised through a close partnership with the Provisional Institutions of Self-Government (PISG).
The EU Pillar has undertaken numerous initiatives to help Kosovo integrate into the regional market. Kosovo is today party to various agreements like the Central European Free Trade Agreement (CEFTA), the European Common Aviation Area (ECAA) Agreement and the Athens Energy Community Treaty. “Regional integration is one of the key factors for Kosovo’s economic development”, said Paul Acda, Head of the EU Pillar, “Therefore we are very proud of what we achieved in this regard.”
The EU Pillar has assumed leadership of a massive privatisation programme through the Kosovo Trust Agency (KTA). Up to now 219 former Socially Owned Enterprises (SOEs) have been privatized, collecting proceeds of 271,166,357 euros in a trust fund. The KTA also supervises the Publicly Owned Enterprises (POEs) including the big public utilities such as the Kosovo Electricity Company (KEK), the Post and Telecommunications Company (PTK), and Pristina International Airport. All major POEs have undergone an incorporation process to modernize them and improve their competitiveness.
The Central Banking Authority of Kosovo (CBAK) as well as the yearly preparation of the Kosovo Consolidated Budget in cooperation with the Ministry of Finance are further responsibilities of the Pillar. Through its European Office, the EU Pillar supports the PISG’s efforts to implement the European Partnership Action Plan. This process, which was previously led by the Pillar, is key to Kosovo’s future, as confirmed at the 2003 Thessaloniki summit where the EU countries offered a European perspective to the Western Balkans.
