Stanic: The termination of the Open Balkan does not benefit either businessmen or politicians

Commenting on the recent statements by the Prime Minister of North Macedonia that the Open Balkan (OB) initiative "has flaws" and will "be reconsidered," Bojan Stanic from the Serbian Chamber of Commerce told Kosovo Online that the potential termination of OB would not benefit either businessmen or politicians in the Western Balkans region.

He points out that such a scenario would once again slow down the implementation of agreements regarding the functioning of goods transport, the common labor market, and capital movement.

He adds that it would not be favorable for politicians in the Western Balkans either, as it would diminish their authority by showing that, through abandoning such initiatives, things they claim are strategically important "are not actually that important."

"On the other hand, the economy is creating increasing potential to integrate into the European market through supply chains, within the framework of this free trade agreement that these countries and economies have with the EU, as well as in the international supply chain. So, the economic potential has long existed, as it does in Serbia—of course, Serbia is a significantly larger economy—but the economy is advancing much faster in the region than political cooperation is. However, political cooperation and the political risks that spill over from one neighboring country to another can slow economic growth and lead to other social problems," Stanic assesses.

According to him, Serbia has an interest in fostering good economic cooperation in the region, primarily because Serbia is the most significant economy, "just as Germany is within the EU, Serbia is within the Western Balkans."

"Maybe these differences are much greater in our favor in this particular proportional sense because within the EU, you have France, Italy, while in the Western Balkans, the other economies are significantly smaller in capacity. However, what is in Serbia's interest is peace and stability, as is often emphasized. It may sound like a cliché, but it is genuinely essential for maintaining the country's credit rating and making the region an attractive investment destination. What is important for Serbia is that it must not waste too much time in misunderstandings with regional economies," our interlocutor explains, reminding us that the mission of the Open Balkan has not been fulfilled and that "we are still far from that goal."

He recalls that the Open Balkan Initiative was envisioned to move more dynamically toward creating a unified regional market, but since 2021, there has been a slowdown.

"There have been some reckless or perhaps irresponsible statements from officials, saying that the mission has been completed, that it is something that will be relegated to history, and that new initiatives will come. The fact is that there is now discord between how the officials of Albania or North Macedonia speak, but it is also a fact that the initiative continues to live, albeit at a sluggish pace. It’s important to emphasize that many of the agreed-upon things are being implemented in some way, but the current economic effects are probably the result of a broader atmosphere of mutual economic understanding, rather than the initiative itself," Stanic states.

He also points out that data shows that in the first seven months of this year, compared to the same period last year, trade between Serbia, North Macedonia, and Albania is increasing, both in terms of goods and services. What is particularly important for Serbia is that it is achieving a surplus in this trade.