(c) enhancing the efficiency of the institutions;
(d) the training of staff;
(e) the security of travel documents and detection of false documents;
(f) border/boundary control management.
Cooperation shall focus in particular:
(a) in the area of asylum, on the adoption and implementation of legislation by Kosovo to meet the standards of the Convention relating to the Status of Refugees, done at Geneva on 28 July 1951, and the Protocol relating to the Status of Refugees, done at New York on 31 January 1967, thereby to ensure that the principle of ‘non-refoulement’ is respected as well as other rights of asylum seekers and refugees;
(b) in the field of legal migration, on admission rules and rights and status of the person admitted. In relation to migration, the Parties agree to the fair treatment of non-EU nationals who are legally resident in the territory of a Member State or in Kosovo and to explore possibilities to establish measures to provide incentives and support for the actions of Kosovo with a view to promoting the integration of non-EU nationals residing legally in Kosovo.
Article 86. Legal Migration
The Parties shall cooperate with the objective of supporting Kosovo in the approximation of its legislation with the EU acquis on legal migration.
The Parties recognise that Kosovo citizens enjoy rights under the EU acquis, notably in areas of working conditions, remuneration and dismissal, family reunification, long-term residence, students, researchers and highly qualified employees, seasonal workers, intra-corporate transferees, and pensions. The Parties also recognise that this is without prejudice to the conditions and modalities applicable in each Member State.
Within a period of four years following the entry into force of this Agreement, Kosovo shall grant reciprocal rights to EU nationals in the areas referred to in the second paragraph. The SAC shall examine the necessary measures to be taken to that effect. The SAC may consider any other matter related to the implementation of this Article.
Article 87. Prevention and Control of Illegal Immigration
The SAC shall establish joint efforts that can be made by the Parties to prevent and control illegal immigration, including trafficking and smuggling in human beings, while ensuring respect and protection of fundamental rights of migrants and assistance to migrants in distress.
Article 88. Readmission
With a view to cooperating in order to prevent and control illegal migration, the Parties shall, upon request and without further formalities:
(a) readmit any Kosovo citizens or EU nationals illegally present in the respective other Party;
(b) readmit non-EU nationals and stateless persons having entered the territory of a Member State via Kosovo or Kosovo via the territory of a Member State.
Kosovo shall provide its citizens with appropriate identity documents and shall extend to them the administrative facilities necessary for such purposes.
The parties agree to explore possibilities to start negotiations with a view to concluding an agreement regulating the specific procedures for readmission of the persons referred in points (a) and (b) of the first paragraph.
Kosovo shall explore possibilities to conclude readmission agreements, should objective circumstances so permit, with the countries taking part in the SAP and undertakes to take any necessary measures to ensure the flexible and rapid implementation of those agreements. The EU will explore possibilities to assist the respective countries throughout this process, should objective circumstances so permit.
Article 89. Money Laundering and Financing of Terrorism
The Parties shall cooperate in order to prevent the use of their financial systems for laundering of proceeds from criminal activities in general and drug offences in particular, as well as for the purpose of financing terrorism.
Cooperation in this area shall include administrative and technical assistance to Kosovo with the purpose of developing the implementation of regulations and efficient functioning of the suitable standards and mechanisms to combat money laundering and financing of terrorism equivalent to those adopted by the EU and other international fora in this field, in particular the Financial Action Task Force (FATF).
Article 90. Cooperation on Illicit Drugs
The Parties shall cooperate to ensure a balanced and integrated approach towards drug issues. Drug policies and actions shall be aimed at reinforcing Kosovo’s structures for combating illicit drugs and their precursors, reducing the supply of, trafficking in and the demand for illicit drugs, coping with the health and social consequences of drug abuse, as well as at a more effective control of precursors.
The Parties shall agree on the necessary methods of cooperation to attain these objectives. Actions shall be based on commonly agreed principles along the lines of the EU Drugs Strategy 2013-2020 and any successor document.
Article 91. Preventing and Combating Organised Crime and other Illegal Activities
The Parties shall cooperate with the aim of reinforcing Kosovo’s structures for combating and preventing criminal activities particularly organised crime, corruption and other forms of serious crime with a cross-border/boundary dimension. Kosovo shall abide by relevant international conventions and instruments in this area. Regional cooperation in combating organised crime shall be promoted.
As regards currency counterfeiting in Kosovo, Kosovo shall cooperate closely with the EU to combat counterfeiting of banknotes and coins and to suppress and punish any counterfeiting thereof. At the level of prevention, Kosovo shall aim at implementing measures which are equivalent to those laid down in the relevant EU legislation, and to abide by the relevant international conventions and instruments related to this field. Kosovo may benefit from EU support for exchange, assistance and training in the protection against currency counterfeiting.
Article 92. Combating Terrorism
The Parties shall cooperate with the aim of reinforcing Kosovo’s structures for preventing and suppressing acts of terrorism and their financing, particularly those with a cross-border/boundary dimension. Cooperation in this context shall be in a manner consistent with the rule of law, human rights and fundamental freedoms, international law on refugees and international humanitarian law. Kosovo shall abide by the relevant international conventions and instruments in this area.
Title VIII. COOPERATION POLICIES
Article 93.
The EU and Kosovo shall establish close cooperation aimed at contributing to the development and growth potential of Kosovo. Such cooperation shall strengthen existing economic links on the widest possible foundation, to the benefit of both Parties.
Policies and other measures shall be designed to bring about sustainable economic and social development of Kosovo. These policies shall ensure that environmental and climate considerations are also fully incorporated from the outset and that they are linked to the requirements of harmonious social development.
Cooperation policies shall be integrated into a regional framework of cooperation. Special attention shall be devoted to measures that can foster cooperation between Kosovo and its neighbouring countries, thus contributing to regional stability. The SAC shall define priorities between and within the cooperation policies described in this Title.
Article 94. Economic and Trade Policy
The EU and Kosovo shall facilitate the process of economic reform by cooperating to improve understanding of the fundamentals of their respective economies and the formulation and implementation of economic policy in market economies.
To these ends, the EU and Kosovo shall cooperate to:
(a) exchange information on macroeconomic performance and prospects and on strategies for development;
(b) analyse jointly economic issues of mutual interest, including supporting economic policy and its implementation; and
(c) promote wider cooperation with the aim to speed up the inflow of know-how and access to new technologies.
Kosovo shall strive to establish a functioning market economy and to gradually approximate its policies to the stability-oriented policies of the Economic and Monetary Union. At the request of the authorities of Kosovo, the EU may provide assistance designed to support the efforts of Kosovo in this respect.
Cooperation shall also aim at strengthening the rule of law in the business area through a stable and non-discriminatory trade-related legal framework.
Cooperation in this area shall include exchange of information concerning the principles and functioning of the Economic and Monetary Union.
Article 95. Statistical Cooperation
Cooperation between the Parties shall primarily focus on priority areas related to the EU acquis in the field of statistics. It shall notably be aimed at developing an efficient and sustainable statistical system in Kosovo capable of providing, reliable, objective and accurate data, comparable with European statistics, needed to plan and monitor the process of transition and reform in Kosovo. It shall aim at enabling the Kosovo Agency of Statistics to better meet the needs of its customers (both public administration and private sector). The statistical system shall be consistent with the principles of the European Statistics Code of Practice, and the UN fundamental principles of statistics, the stipulations of European statistical law, and develop towards the application of EU acquis in the field of statistics. The Parties shall cooperate in particular to ensure the confidentiality of individual data, to progressively increase data collection and transmission to the European Statistical System, and to exchange information on methods, transfer of know-how and training.
Article 96. Banking, Insurance and other Financial Services
Cooperation between the EU and Kosovo shall focus on priority areas related to the EU acquis in the fields of banking, insurance and financial services. The Parties shall cooperate with the aim of establishing and developing a suitable framework for the encouragement of the banking, insurance and financial services sectors in Kosovo based on fair competition practices and ensuring the necessary level playing field.
Article 97. Public Internal Financial Control and External Audit
Cooperation between the Parties shall focus on priority areas related to the EU acquis in the fields of public internal financial control. The Parties shall, in particular, cooperate with the aim of further developing the implementation of efficient internal control and functionally independent internal audit systems in the public sector in Kosovo, consistent with internationally accepted framework and EU good practice.
In order to be able to fulfil the coordination and harmonisation responsibilities stemming from the above requirements, cooperation shall also focus on the establishment and strengthening of central harmonisation units for financial management and control and for internal audit.
In the area of External Audit, the Parties shall in particular cooperate with the aim of further developing an independent external audit function in Kosovo consistent with internationally accepted standards and EU good practice. Cooperation shall also focus on capacity building of the Office of the Auditor General.
Article 98. Investment Promotion and Protection
Cooperation between the Parties in the field of investment promotion and protection shall focus on protection of foreign direct investment and shall aim to bring about a favourable climate for private investment, both domestic and foreign, which is essential to the economic and industrial revitalisation of Kosovo. The particular aims of cooperation shall be for Kosovo to improve the legal framework so as to favour and protect investment.
Article 99. Industrial Cooperation
Cooperation shall aim to promote the modernisation and restructuring of industry and individual sectors in Kosovo. It shall also aim at ensuring that the conditions necessary for the competitiveness of Kosovo’s industry exist under conditions which ensure that the environment is protected.
Cooperation shall take into account regional aspects of industrial development, promoting cross-border/boundary partnerships when relevant. The initiatives may seek in particular to establish a suitable framework for undertakings, to improve management and know-how and to promote markets, market transparency and the business environment. Special attention shall be devoted to the establishment of efficient export promotion activities in Kosovo.
Cooperation shall take due account of the EU acquis in the field of industrial policy.
Article 100. Small and Medium-sized Enterprises
Cooperation between the Parties shall be aimed at developing and strengthening private sector small and medium-sized enterprises (SMEs), encouraging an environment favourable to initiative and to the development of enterprises, particularly small and medium-sized enterprises, as well as encouraging an environment favourable to cooperation between enterprises. Cooperation shall be in line with the Small Business Act principles and shall take due account of priority areas related to the EU acquis in the field of SMEs.
Article 101. Tourism
Cooperation between the Parties in the field of tourism shall aim at:
(a) ensuring a balanced and sustainable development of tourism and related issues;
(b) strengthening the flow of information on tourism (through international networks, databanks, etc.);
(c) encouraging the development of infrastructure conducive to investment in the tourism sector.
Cooperation shall also aim at studying the opportunities for joint operations and strengthening cooperation between tourism enterprises, experts and institutions and their competent agencies in the field of tourism, as well as transferring know-how (through training, exchanges, seminars). Cooperation shall take due account of EU acquis in the field of tourism.
Cooperation may be integrated into a regional framework of cooperation.
Article 102. Agriculture and the Agro-industrial Sector
Cooperation between the Parties shall be developed in all priority areas related to the EU acquis in the field of agriculture, as well as on quality schemes for agricultural products and foodstuffs, food safety, veterinary and phytosanitary domains. Cooperation shall notably aim at modernising and restructuring the agriculture and agro-industrial sector in Kosovo, particular to reach EU sanitary requirements, to improve water management and rural development as well as to develop the related aspects of the forestry sector in Kosovo and at supporting the gradual approximation of Kosovo legislation and practices to the EU acquis.
Article 103. Fisheries
The Parties shall explore the possibility of identifying mutually beneficial areas of common interest in the aquaculture and fishery sectors. Cooperation shall take due account of priority areas related to the EU acquis in these fields and of principles of management and conservation of fisheries resources based on rules developed by relevant international and regional fisheries organisations.
Article 104. Customs
The Parties shall establish cooperation in this area with a view to guaranteeing compliance with the provisions to be adopted in the area of trade and to achieve the approximation of the customs systems of Kosovo to that of the EU, thereby helping to pave the way for the liberalisation measures planned under this Agreement and for the gradual approximation of the Kosovo customs legislation to the EU acquis.
Cooperation shall take due account of priority areas related to the EU acquis in the field of customs.
The rules on mutual administrative assistance between the Parties in the customs field are laid down in Protocol IV.
Article 105. Taxation
The EU shall cooperate with Kosovo with a view to assisting its development in the field of taxation including measures aiming at the further reform of Kosovo’s fiscal system and the restructuring of tax administration with a view to ensuring effectiveness of tax collection and the fight against fiscal fraud.
Cooperation shall take due account of priority areas related to the EU acquis in the field of taxation and in the fight against harmful tax competition. Kosovo, when preparing its legislation on elimination of harmful tax competition, shall take due account of the principles of the Code of Conduct for business taxation adopted by the Council and the Representatives of the Governments of the Member States, meeting within the Council on 1 December 1997 (6).
Cooperation shall aim to promote the principles of good governance in tax matters, transparency, exchange of information and fair tax competition in Kosovo, with a view to facilitating the enforcement of measures preventing tax fraud, evasion or avoidance.
Article 106. Social Cooperation
The Parties shall cooperate to facilitate the reform of employment policy in Kosovo, in the context of strengthened economic reform and integration, and with a view to supporting inclusive growth. Cooperation shall also seek to promote social dialogue as well as gradual legal approximation of Kosovo legislation on labour, health, safety at work and equal opportunities for women and men, for persons with disabilities and for persons belonging to minorities and other vulnerable groups to the EU acquis, taking as a reference the level of protection existing in the EU. This may also include Kosovo’s alignment with the EU acquis in the field of labour law and regarding women’s working conditions. Cooperation shall also promote the adoption of comprehensive social inclusion and anti-discrimination policies in Kosovo. Cooperation shall also include establishing a social protection system in Kosovo able to support employment and inclusive growth.
The Parties shall cooperate with a view to ensuring the approximation of Kosovo’s legislation to the EU acquis, and with the aim to improve health and prevent illness in the population, develop independent and effective administrative structures and enforcement powers to ensure essential health and safety requirements, safeguard patients’ rights, protect citizens from health threats and diseases, and to promote healthy lifestyles.
Kosovo shall abide by international conventions and other instruments in these areas. Cooperation shall take due account of priority areas related to the EU acquis in these fields.
Article 107. Education and Training
The Parties shall cooperate with the aim of raising the level of general education and vocational education and training as well as youth policy and youth work in Kosovo, as means to promote skills development, employability, social inclusion and economic development in Kosovo. A priority for higher education systems shall be the achievement of adequate quality standards of its institutions and programmes consistent with the objectives of the Bologna process and Declaration.
The Parties shall also cooperate with the aim of ensuring that access to all levels of education and training in Kosovo is free of discrimination on the grounds of sex, racial or ethnic origin, religion or belief, disability, age or sexual orientation. Cooperation shall seek to address the needs of students with disabilities in Kosovo.
Cooperation shall also aim to develop capacities in research and innovation, notably through joint projects on research and innovation involving all stakeholders and ensuring the transfer of know-how.
The relevant EU programmes and instruments shall contribute to the upgrading of educational, training, research and innovation structures and activities in Kosovo.
Cooperation shall take due account of priority areas related to the EU acquis in this field.
Article 108. Cultural Cooperation
The Parties undertake to promote cultural cooperation. This cooperation shall serve to strengthen the cultural policy capacity of Kosovo, reinforce the capacity of cultural operators and increase mutual understanding between individuals, minorities and peoples. Cooperation shall also support institutional reforms to promote cultural diversity in Kosovo, including on the basis of principles enshrined in the Unesco Convention on the protection and the promotion of the diversity of cultural expressions, adopted in Paris on 20 October 2005.
Article 109. Cooperation In the Audiovisual Field
The Parties shall cooperate to promote the audiovisual industry in Europe and encourage co-productions in the sectors of cinema and audiovisual media.
Cooperation could include, inter alia, programmes and facilities for the training of journalists and professionals of the audiovisual media industry, as well as technical assistance to Kosovo public and private media, so as to reinforce their independence, professionalism and links with European media.
Kosovo shall align its policies on the regulation of content aspects of cross-border/boundary broadcasting with those of the EU and shall harmonise its legislation with the EU acquis. Kosovo shall pay particular attention to matters relating to the acquisition of intellectual property rights for programmes and broadcasts as well as to ensuring and strengthening the independence of the relevant regulatory authorities.
Article 110. Information Society
Cooperation shall be developed in all areas related to the EU acquis regarding the information society. It shall mainly support Kosovo’s gradual approximation of policies and legislation in this sector with those of the EU.
The Parties shall also cooperate with a view to further developing the information society in Kosovo. Global objectives will be to prepare further society as a whole for the digital age, as well as identifying measures ensuring interoperability of networks and services.
Article 111. Electronic Communications Networks and Services
Cooperation shall primarily focus on priority areas related to the EU acquis in this field.
The Parties shall, in particular, strengthen cooperation in the area of electronic communications networks and electronic communications services, with the ultimate objective of the adoption by Kosovo of the EU acquis in the sector five years after the entry into force of this Agreement, paying particular attention to ensuring and strengthening the independence of the relevant regulatory authorities.
Article 112. Information and Communication
The Parties shall take the measures necessary to stimulate the mutual exchange of information. Priority shall be given to programmes aimed at providing the general public with basic information about the EU and professional circles in Kosovo with more specialised information.
Article 113. Transport
Cooperation between the Parties shall focus on priority areas related to the EU acquis in the field of transport.
Cooperation may notably aim at restructuring and modernising Kosovo’s transport systems and improving related infrastructures (including regional links as identified by the South-East Europe Transport Observatory), improving the free movement of passengers and goods, achieving standards interoperable with and comparable to those prevailing in the EU and aligning transport legislation to that of the EU, should objective circumstances so permit.
Cooperation shall aim to contribute to progressive mutual access to the EU and Kosovo transport markets and facilities as provided for in this Agreement, developing a transport system in Kosovo compatible, interoperable and aligned with the EU system, and improving environmental protection in the field of transport.
Article 114. Energy
In accordance with the relevant EU acquis, the Parties shall develop and strengthen their cooperation in the field of energy consistent with the principles of the market economy and the Treaty establishing the Energy Community, signed in Athens on 25 October 2005 (7). Cooperation shall be developed with a view to the gradual integration of Kosovo into Europe’s energy markets.
Cooperation may include assistance to Kosovo as regards in particular:
(a) improvement and diversification of supply and improvement of access to the energy market, in accordance with the EU acquis on security of supply and the regional energy strategy of the Energy Community, and applying EU and European rules on transit, transmission and distribution and restoration of electricity interconnections of regional importance with its neighbours;
(b) helping Kosovo implement the EU acquis on energy efficiency, renewable energy sources, and the environmental impact of the energy sector, therefore promoting energy saving, energy efficiency, renewable energy and studying and mitigating the environmental impact of energy production and consumption;
(c) formulating of framework conditions for restructuring of energy companies and cooperation between undertakings in this sector, in line with the EU internal energy market rules on unbundling.
Article 115. Environment
The Parties shall develop and strengthen their cooperation in the environmental field with the vital task of halting further degradation and start improving the environmental situation with the aim of sustainable development in Kosovo. The Parties shall cooperate in the fields of air and water quality (including with regard to radioactive substances in water intended for human consumption), basic safety standards for protection against dangers arising from exposure to ionising radiation, all types of waste management (including responsible and safe management of radioactive waste) and nature protection, monitoring and reducing industrial emissions, ensuring safety at industrial installations, and classification and safe handling of chemicals in Kosovo.
The Parties shall, in particular, establish cooperation with the aim of strengthening Kosovo’s administrative structures and procedures to ensure strategic planning of environment issues and coordination between relevant actors and shall focus on gradual approximation of Kosovo’s legislation to the EU acquis and where appropriate Euratom acquis. Cooperation could also centre on the development by Kosovo of strategies to significantly reduce local, regional and trans-boundary air and water pollution, to establish a framework for efficient, clean, sustainable and renewable production and consumption of energy, and to execute environmental impact assessment and strategic environmental assessment.
Article 116. Climate Change
The Parties shall cooperate with the aim to assist Kosovo to develop its climate policy and mainstream climate consideration in energy, transport, industry, agriculture, education and other relevant policies. Such cooperation shall also support gradual approximation of Kosovo’s legislation to EU acquis on climate change, in particular the effective monitoring, reporting and verification of greenhouse gas emissions. Such cooperation shall also assist Kosovo in establishing adequate administrative capacities and coordination procedures between all relevant actors to enable the adoption and implementation of low-carbon and climate-resilient growth policies. The Parties shall cooperate with the aim, should objective circumstances so permit, to assist Kosovo’s involvement in global and regional efforts to mitigate and adapt to climate change.
Article 117. Civil Protection
The Parties shall develop and strengthen their cooperation on improving the prevention of, preparation for and response to natural and man-made disasters. Cooperation shall, in particular, aim at enhancing Kosovo’s civil protection capacities and at Kosovo’s gradual approximation to the EU acquis related to disaster management.
Cooperation may centre on the following priorities:
(a) early notification and warning about disasters; coverage of Kosovo by the European early warning systems and monitoring tools,
(b) establishing effective communication on a 24-hour basis between the emergency services of Kosovo and those of the European Commission,
(c) ensuring cooperation in case of major emergencies including facilitation of provision and receipt of assistance and host support,
(d) improving the knowledge base on disasters and hazards, and development of Kosovo-wide disaster risk assessment and disaster management plans,
(e) implementing best practices and guidelines in the field of disaster prevention, preparedness and response.
Article 118. Research and Technological Development
The Parties shall encourage cooperation in civil scientific research and technological development (RTD) on the basis of mutual benefit and, taking into account the availability of resources, adequate access to their respective programmes, subject to appropriate levels of effective protection of intellectual, industrial and commercial property rights.
Cooperation shall take due account of the priority areas related to the EU acquis in the field of research and technical development.
Article 119. Regional and Local Development
The Parties shall seek to identify measures to strengthen regional and local development cooperation, with the objective of contributing to economic development and reducing regional imbalances. Specific attention shall be given to cross-border/boundary, trans-national and interregional cooperation.
Cooperation shall take due account of the priority areas related to the EU acquis in the field of regional development.
Article 120. Public Administration
Cooperation and dialogue shall aim at ensuring the further development of a professional, efficient and accountable public administration in Kosovo, building on the reform efforts undertaken to date in this area, including those related to the decentralisation process and to the establishment of new municipalities. Cooperation shall notably aim to support the implementation of the rule of law, the proper functioning of the institutions for the benefit of the population of Kosovo as a whole, and the smooth development of relations between the EU and Kosovo.
Cooperation in this area shall mainly focus on institution building, including the development and implementation of merit-based, transparent and impartial recruitment procedures at both central and local level, human resources management, and career development for the public service, continued training and the promotion of ethics within the public administration. Cooperation shall also include the improvement of efficiency and the capacity of independent bodies that are instrumental for the functioning of public administration and for an effective system of checks and balances.
Title IX. FINANCIAL COOPERATION
Article 121.
In order to achieve the objectives of this Agreement and in accordance with Articles 7, 122, 123 and 125, Kosovo may receive financial assistance from the EU in the form of grants and loans, including loans from the European Investment Bank. EU financial assistance is conditional on further progress in satisfying the Copenhagen political criteria. Account shall also be taken of Kosovo’s fulfilment of obligations under this Agreement as well as of annual progress reports on Kosovo. EU financial assistance shall also be subject to the conditionalities of the SAP, in particular as regards the recipients’ undertaking to carry out democratic, economic and institutional reforms. Financial assistance granted to Kosovo shall be geared to observed needs, agreed priorities, the capacity to absorb and repay, and the measures taken to reform and restructure the economy.
Article 122.
Financial assistance, in the form of grants, shall be provided in accordance with the relevant regulation of the European Parliament and of the Council within a multi-annual indicative framework and based on annual or multi-annual programmes established by the EU following consultations with Kosovo.
Article 123.
Financial assistance may cover all relevant sectors of cooperation, paying particular attention to the fields of Freedom, Security and Justice, approximation of legislation to the EU acquis, social and economic development, good governance, public administration reform, energy and agriculture.
Article 124.
At the request of Kosovo and in case of special need, the EU could examine in coordination with international financial institutions, the possibility of granting on an exceptional basis macro-financial assistance subject to certain conditions and taking into account the availability of all financial resources. This assistance would be released subject to the fulfilment of conditions to be established in the context of a programme agreed between Kosovo and the International Monetary Fund.
Article 125.
In order to permit optimum use of the resources available, the Parties shall ensure that EU financial assistance is given in close coordination with that from other sources such as the Member States, non-EU countries and international financial institutions.
To this effect, Kosovo shall regularly provide information on all sources of assistance.