RZB.AT - SAA ratified

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...by the Serbian parliament On 9 September Serbia's parliament ratified the Stabilisation and Association Agreement with the European Union. In the assembly of 250 seats, 140 lawmakers voted for the agreement, 28 were against, whilst the Radical Party and Tomislav Nikolic’s MP club did not take part in voting. The pre-membership accord needs to be endorsed by 27 states in the EU. SAA was firstly initiated on 7 November by Bozidar Djelic, deputy prime minister at that time, and EU Enlargement Commissioner Olli Rehn in Brussels. Later, SAA was signed on 29 April by Djelic and EU representatives in Luxemburg. This move should cement the nation's bid towards ultimate membership in the bloc. According to Commission President José Manuel Barroso it will be possible to give candidate status to Serbia in 2009, if everything goes according to plan and all the conditions are met. After the pro-European coalition led by the Democratic Party (DS) and the Socialist Party of Serbia (SPS) finally formed a new government (sworn in on 7 July), the prospects for Serbia’s future brightened. The arrest of Radovan Karadzic did its part as well. Furthermore, the high interest rates and the end of the tug-of-war to form a government have helped to support the Serbian dinar. Improved investor sentiment and carry trades keep the EUR/RSD exchange rate at strong levels. Detail to mention in passing: At the weekend Tomislav Nikolic, the deputy leader of Serbia's ultra-nationalist Radical party, quit his post following disagreements within his party on the country's EU future. He stepped down after a session of the SRS presidency, when the majority of members decided not to back the ratification of Serbia's Stabilisation and Association Agreement (SAA) with the EU. Only days before Nikolic said that the SRS, the biggest party in Serbia's 250-seat parliament, would support the key accord with the EU, following the government's acceptance of its proposal for an amendment to the bill. ------------------------------------------------------------------------------------------------------------------ On 9 September Serbia's parliament also ratified an energy pact with Russia that gives Russia's Gazprom control over its oil monopoly in return for Serbia's inclusion in the South Stream gas pipeline project. 214 deputies voted for the pact signed in January last year, while 22 were against it. The deal for the partial sale of NIS was controversial in Serbia. It was seen as politically motivated as a payback for Russia's support of Serbia over the issue of Kosovo.