UNMIK/PR/776
PRISTINA – SRSG Michael Steiner yesterday welcomed the Advisor to the European I Department of the International Monetary Fund (IMF), Mr Dimitri Demekas, to the third EFC meeting. Mr Demekos mentioned the reduced interest of Donors in Kosovo and the shifting away of attention. The SRSG strongly emphasized that “any Donor has the free decision to engage himself. But once you decide to engage yourself, you have to finish the job.” Michael Steiner concluded, “Otherwise you risk your investment and your credibility.”
The EFC then discussed the draft regulation on the Auditor’s General Office. The Council agreed that the Government would give written comments to a final draft of this regulation until 26 July 2002. The Audit Office of Kosovo will function independently of the Provisional Government. It will report to the SRSG and thereafter to the Assembly. This institution will enhance Kosovo’s status as a functioning democratic entity and bring it closer to the goal of European integration.
The Council received the Report on the Development of the 2002 Budget Mid-Year Review. Its purpose is to present the outcome of the Mid-Year Review of Expenditure, Revenue and Grants and to seek decisions on the approach to be taken to revising and managing the budget for the remainder of year 2002. It was concluded that the members of the Council would be left more time for intensive study of the report but that a decision would be reached as soon as possible, since the need for a quick decision was agreed upon unanimously.
D/DSRSG for the EU Pillar Juergen Voss gave the progress report from the Working Group on the Draft Law on Public Financial Management and Accountability. The Working Group of Provisional Government (PG) and UNMIK experts was established by the SRSG to resolve issues in the draft law which needed clarification about the operation of Transferred and Reserved Powers. Most of the issues could be resolved but the group will meet again no later than 22 July in order to resolve any remaining differences. Issues that remain unresolved will then be submitted to the SRSG with supporting analysis of the respective positions for his determination.
Juergen Voss then also presented the progress report on Coordination between UNMIK and the Government on Legislation on Economic and Fiscal Matters which focused on the clarification of the reserved and transferred classification of laws of economic or fiscal nature as proposed by the Government. The report stated only the classification of the Customs Code as controversial but noted agreement on the classification of 21 other laws.
The next EFC meeting was scheduled for 5 September 2002.
