4 July 2015

europa

Getting to Yes – on the brink in Greece

“People only accept change in necessity and see necessity only in crisis.”
(Jean Monnet)

Dear friends,

This weekend Greeks vote in a referendum whose outcome could have dramatic consequences for their country. Polls show that the result is on a knife-edge. Every vote counts. The stakes for Greece could not be higher.

 

Please find the full ESI newsletter on the Greek Referendum here: 

ON THE BRINK – THE VOTE TODAY 

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Please Stay with us – facebook campaign

More here

boutaris

More reading:

ESI Paper: The good news from Greece – Can Thessaloniki point the way? – January 2015

Reuters on the Greek Referendum, quoting ESI

Rumeli Observer: After Syriza fails … the Greek speech Europe needs to hear (June 2015)

Rumeli Observer: Cosmopolitan visionary – Boutaris and Thessaloniki (12 October 2014)

Ricardo Hausmann, “Austerity is not Greece’s Problem”, Project Syndicate, 3 March 2015:

“The truth is that the recession in Greece has little to do with an excessive debt burden. Until 2014, the country did not pay, in net terms, a single euro in interest: it borrowed enough from official sources at subsidized rates to pay 100% of its interest bill and then some. This situation supposedly changed a bit in 2014, the first year that the country made a small contribution to its interest bill, having run a primary surplus of barely 0.8% of GDP (or 0.5% of its debt of 170% of GDP).

To watch “One Step Ahead” (on the 2010 Thessaloniki elections) go here.

 

Filed under: Balkans,Europe,Greece — Gerald @ 6:36 pm
20 June 2015

Pro-Europe Greece

When the Syriza government fails this must not mean that the only alternative are the neo-Nazis of Golden Dawn.

There are pro-European and pro-reform Greeks who will make their voice heard. And there would be a huge reservoir of good-will across Europe for a Greek government that is serious about reforms, does not blame outside forces for its problems and really designs credible reform strategies to replace inchoate reforms proposed by foreigners.

Imagine the next Greek prime minister speaking like this, in Athens as well as in Berlin, in Thessaloniki as well as in Brussels, and also in Riga, Vilnius, Warsaw and Bratislava:

“As you all know Greece is going through an excruciating financial crisis. Under these conditions we need common sense …

… in Greece we are still hesitant to liberate the administration from the rule of the politicians. We are all embedded in a culture which resists the separation between politics and administration.

In the Greek state as a whole, this is the most important reform which is desperately needed. Unfortunately, in reality it has not advanced much.

The current system of a strikingly unreliable administration tends to reproduce itself. And this is clearly the responsibility of both the Greek government as well as of the EU since it hasn’t touched upon this during the last 34 years.

I dare to say that reforms and changes are not enough in the case of the Greek state. We need to revamp the state and its mentality almost from scratch! A new political culture needs to emerge in order to host a genuine separation of powers within the state.

The current institutional framework under which we operate is excessively centralist and any effort of decentralisation has proved to be inefficient. We are still unable to cooperate effectively with the private sector and increase our productivity. An inextricable web of laws determines the framework within which we are forced to operate.

The state needs to stop being hostile to its citizens. We need a government that will stop fooling citizens and proceeds immediately to some common sense action.

Greece is going through a crucial phase. After the biggest recession ever experienced by a developed country in the post-war period, people are in despair.

Political forces must form a united front on certain fundamental issues – like the state’s modernisation – and negotiate from a better position the country’s future.

The view that we can resort to excessive public spending in order to revive the prosperity of the past is not only surreal; it also ignores the current balance of power in our continent.

In order to distribute wealth you need to create favourable conditions in order to produce it. Unfortunately, there are too many Greek politicians suggesting that sustainable growth can come without radical reforms but in some magic way.

What Greece desperately needs, is radical transformation of its state which can in turn bring change to its political culture. This will be our task.”

PS: Note: this speech was actually delivered by a Greek politician in 2014. A politician who was elected on this platform in 2010 and reelected in 2014 in Greece’s second biggest city.

” … we have an obligation to act in order to preserve Greece’s stability and prosperity. This can only be attained within the Eurozone and the EU. In the unfortunate event that things will go astray, we should all unite and protect the people’s well-being from irresponsible political manoeuvring. Greece cannot afford to waste more time and consume itself in endless and irrational political conflict. I will do whatever I can in my power to avert this. If we manage to pass the dire straits of the immediate future, I am hopeful that our country will enter a phase of creative reform and sustainable growth. Greece has demonstrated in the past and Greeks have demonstrated abroad that if they work under decent conditions, they can definitely thrive.”

http://www.livemedia.gr/mayor-boutaris-lecture-lse

See also: ESI essay: Greece: The good news from Greece – Can Thessaloniki point the way?

Filed under: Europe,Greece,Uncategorized — Gerald @ 6:26 pm
29 April 2015

NERP
NERP, not NERD

“NERP” sounds like “NERD”: may this contrast – or this photo – help you remember this particular acronym. NERP stands for National Economic Reform Programme. Last year the European Commission asked all Western Balkan governments to produce one NERP a year. (Proposed on page 8 here). The 2015 Kosovo NERP report is in fact different from the nerdish, impenetrable language of many economic analyses published on the Balkans in recent years. It deserves to be read widely.

The 2015 Kosovo NERP is 129 pages.  Probably few people intend to read it in full. This would be a pity, as it provides a good foundation for a serious debate. In fact, the report hides its radical implications with its  first sentence:

“Kosovo has been one of the very few countries in Europe and the region of South Eastern Europe that had positive growth rates in every single year in the period since the 2008 outbreak of the global financial crisis.”

This is not wrong, but it is misleading, as the analysis itself quickly makes clear. While everyone  knows that Kosovo is poor, exports little, attracts little foreign investment and creates few jobs the NERP tell a far more disturbing story.

Kosovo’s problem in six figures

The 2015 Kosovo NERP contains many numbers, but some that are particularly telling. Between them, these six numbers tell you (almost) everything you need to know about Kosovo’s economy.

(1)   EXPORTS

            305 million Euros – the total value of goods Kosovo exported in 2013

An annual export number of 305 million Euro is abysmally low. For comparison: Estonia exported goods worth 12.3 billion Euros in 2013. Estonia has a much smaller population than Kosovo.[1] It is also worrying that in 2013 two thirds of these exports were “base metal and mineral products.” This means there are barely 100 million Euro of other exports (food, vegetables, plastics) that produce added value. Kosovo extracts minerals from the earth and sells them – but it produces very little.

(2)   IMPORTS

            2.3 billion Euros – the total value of goods Kosovo imported in 2013

This is very high compared to Kosovo’s exports. So how is the gap financed? How do Kosovo importers obtain these 2.3 billion Euros to import goods? One must assume that they obtain much of this from Kosovars who earn this money abroad.

(3)   REVENUES

The level of imports is directly linked to the third number:

1.3 billion Euros – total revenues (income) of the Kosovo government in 2013. No less than 871 million of this comes from border taxes on imports

This means that the state – 70 percent of its total revenues – depend on imports taxed at the border (customs, excises, and VAT on imported goods).

To maintain the current level of public spending, imports need to remain at least as high as they are now. If less money is transferred to Kosovo by Kosovars abroad, for whatever reason, government revenues will contract quickly. Even if government revenues and spending are in balance (with a low government deficit), and even if the debt of Kosovo’s government is relatively low as a share of GDP, the structure of public finances is very fragile.

(4)   EMPLOYMENT

The fact that Kosovo produces few goods, which people outside of Kosovo (low exports) or inside Kosovo want to buy translates into tragically low numbers of jobs. Here is the fourth number:

220,000 people – registered as employed in 2013

There is sometimes confusion in public debates about “employment.” They frequently get mixed up with debates on the distinction between the official and unofficial (grey) economy. In fact it is simple: there are two ways to measure how many people work, which always give different results as the meaning of “employed” is different in each case.

The first way is to look at registered jobs. These are jobs which are known to public authorities and which are taxed. The second way is to do a representative survey of the labour force, based on samples. In the Kosovo Labour Force Survey (LFS), or any other such survey elsewhere, this is how “employment” is defined:

“People aged 15-64 years who during the reference week performed some work for wage or salary, or profit or family gain, in cash or in kind or were temporarily absent from their jobs.” (LFS 2013, page 7)

This includes anyone in the family of that age who works “for family gain” on their small plot of land, milks the cow, looks after vegetables during the reference week, even if nothing is then sold for cash. In a country with a lot of subsistence farming this number is always much higher than registered employment. In Kosovo in 2013 this number was 338,000 people.

These two figures of employment allow us to estimate the size of the Kosovo private sector. There are 77,000 jobs in the public sector (paid by the state). This leaves 143,000 jobs in the registered private sector. Then there are another 118,000 people “employed” (LFS) without being registered.

Even added together, this number is shockingly low. Kosovo’s resident population of 1.8 million people divides into some 297,000 households (the average household has 6 members, still the largest households in Europe today). Even including all employment (per LFS definition), and all subsistence family farming on tiny plots, this yields barely one “employed” per household.

No wonder only slightly more than one in ten women of working age in Kosovo are “employed” (even by the LFS definition). No wonder Kosovo households have few savings: every employed person has to support five other people (dependents).

(5)   FOREIGN DIRECT INVESTMENT

All of this raises the key development question: will Kosovo businesses – existing or new ones – develop more competitive products for new markets in the coming years?

Gaining market share in export markets requires competing successfully against businesses from other countries, from the EU, the Balkans, Turkey. This requires investment, such as new machinery. New or expanding businesses in Kosovo can be either foreign (through FDI) or domestic.

Here is the fifth number:

241 million Euros – Foreign Direct Investment (FDI) in 2014

This is very low by any standards: it means that very few foreign companies show any interest in using Kosovo as a base for their production and transfer their machinery and know-how here.[2] And, as the NERP notes, FDI has been decreasing in recent years:

“Since 2007, net FDI inflows have been volatile and with an overall negative trend … the sectorial composition of FDI has shifted towards real estate and construction between 2009 and 2013.”

What the NERP does not give us is the value of all cumulative FDI (the FDI stock) in Kosovo. For comparison: in Estonia in 2014 this FDI stock is around 15.9 billion Euro. Kosovo’s total GDP is only 5.3 billion Euro.

(6)   COST OF CREDIT

The sixth number tells us what opportunities existing Kosovo entrepreneurs have if they want to develop:

10 percent – the annual interest rate on loans in November 2014 (in November 2013 it was 12 percent)

This is very high. Again, look at Estonia (European Central Bank data): loans to non-financial corporations – depending on specific conditions – carry around 3 percent annual interest at the end of 2014.

What do these six numbers tell us about the Kosovo economy?

  • Export of goods is very low; given current trends of declining FDI and high costs of borrowing for businesses in Kosovo this is unlikely to change anytime soon. The NERP projects a best case scenario in which the export of goods increases from 305 million Euro to 441 million Euro by 2017.
  • There is little structural change in the Kosovo economy compared to one decade ago. The GDP growth that has happened has been the result of households spending money (consumption) based on transfers from abroad and increases in public sector salaries (funded largely through border taxes on imports of goods, which are bought largely with money transferred from abroad).
  • The employment rate will remain very low in the foreseeable future. If new jobs are created in the next years in the private sector one might expect some subsistence farmers to turn away from non-cash production to other – regular – employment. In order to really increase employment rates and create new jobs Kosovo would need levels of investment and export growth that are simply not on the horizon for many years to come.
  • This makes public policy in many areas hard to formulate. Take the issue of skills needed for the labour market. What jobs does today’s generation of young Kosovars need to be prepared to take? What skills will they need? Unless there is a realistic job of more jobs in the foreseeable future this question is impossible to answer.

All of this is well set out in the NERP. At the same time it also underlines the main gap in the NERP analysis: the absence of any analysis of the economic impact of current and future migration flows.

While the word remittances appears many times, “migration” does not appear anywhere in the text. At the same time everything described in the NERP – the huge trade deficit, a public sector funded to 70 percent by border taxes, recent GDP growth – is the direct consequence of the migration that took place many years ago. There is no discussion of what policies – education, social and foreign policy – might make regular migration from Kosovo to the EU possible. This created the lifeline of remittances that keeps Kosovo households – and the public sector – afloat today. This is the lifeline that the EU has tried to cut since 1999, making it increasingly difficult for Kosovars to migrate to work.

This is a dangerous omission. But it is not surprising. In the current Kosovo government programme “migration” is discussed only under the heading “diaspora”, as a foreign, not an economic development issue.

“Promotion of Kosovo Diaspora and realization of objectives arising from Strategy on Diaspora and Migration 2013-2018, which is related to the preservation of national and cultural identity of Diaspora, to creation of conditions for the participation of Diaspora in the political and social life and their representation in decision-making institutions of the country, integrating them in countries where they live, as well as involvement of Diaspora in socioeconomic development of the country.

Kosovo Government Programme 2015-2018

This half sentence is not followed by any concrete policy measure.

The pressure on Kosovars to look (legally or illegally) for work and income elsewhere will grow ever stronger in coming years. How strong this pressure is already has recently become obvious to policy makers in the EU and in Kosovo.

ESI argues that the European Union, instead of simply opposing this pressure, should try to channel it in mutually beneficial ways. Illegal and irregular migration needs to be stopped, but opportunities for regular, or circular work migration need to be opened. This will also require a major effort on the part of Kosovo authorities in many policy fields, starting in education policy.

The first paragraph of the NERP euphemistically refers to “the country’s rather specific development model.” What is today specific about this model is that it is not about development in Kosovo at all. As the NERP notes, Kosovo experienced growth:

“… based on strong remittances and FDI inflows from diaspora that boost domestic demand through household consumption and investments channelled primarily into the non-tradable sector, such as real estate and services.”

This is growth dependent on wage earners in Germany, Switzerland or Austria with links to family members resident in Kosovo. The NERP refers to some risks:

“The existing growth model of the country based on large financial inflows is associated with significant risks. On the short run, the main risk factor would be a sudden fall of these inflows – caused by unfavourable economic developments in countries with the largest Kosovo diaspora – and its negative consequences for growth, public finances, and external and financial sector stability.”

But then it falls silent. It does not discuss the role of EU policies that try to prevent further migration.

Young Europeans – but not part of Europe today
Young Europeans – but not part of Europe today

The NERP is an interesting document. More will be said on this blog later on its recommendations to increase exports. But the main value of the NERP lies in showing what many prefer to forget: while migration alone is no development policy, without migration Kosovo has no medium term economic future. Simply put:

The Kosovo “growth model”

Workers abroad, with family in Kosovo  SEND Money that fuels local consumption. This funds imports. Taxation of these imports is the core of public revenues

EU member state policy

STOP Kosovars moving abroad to work illegally
CLOSE most possibilities to move to work abroad legally

Greatest risk to Kosovo “growth model”

Current EU member state policy succeeding.

In order to develop a credible migration policy, the vital importance of migration needs to be acknowledged first, including in the NERP. It is never too late.

Looking for workers with specific skills: www.make-it-in-germany.com
Looking for workers with specific skills: www.make-it-in-germany.com

Further reading:

 


[1]  Estonia: 1.3 million. Kosovo 1.8 million.

[2] The definition of FDI according to the World Bank: “Foreign direct investment are the net inflows of investment to acquire a lasting management interest (10 percent or more of voting stock) in an enterprise operating in an economy other than that of the investor.”

Filed under: Balkans,Europe,Kosovo,Writing well — Gerald @ 8:47 pm
27 November 2014

A crisis of trust

The ESI Roadmap Proposal for Enlargement

Belgrade presentation, November 2014

The ESI future of enlargement project is supported by ERSTE Stiftung in Vienna

 

Every year the European Commission publishes its Enlargement Strategy. The 2014 Enlargement Strategy, presented in  October, starts out on a very optimistic note with the following sentence:

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This assertion raises questions, though. How does the Commission measure the credibility of enlargement policy? For whom is enlargement policy more credible today than five years ago?

Here is a reality check. Eurobarometer surveys in 2008 and 2013 show growing opposition to enlargement in every single EU member state: old and new, rich and poor, those hit hard by the global economic crisis in 2008 and those relatively unscathed.

Enlargement has never been less popular in the EU than now. The 2013 Eurobarometer survey shows that an absolute majority of EU citizens oppose further enlargement (52 per cent). Opposition is stronger among euro area respondents (60 per cent). This table shows the significant lack of support for enlargement:

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What is even more striking is the overarching TREND in the past five years: a dramatic drop in support across the EU. .

The fall in support for enlargement is sharpest in traditionally pro-enlargement countries such as Italy (where opposition to enlargement increased by 22 percentage points) or Spain (21). Post-2004 EU members, who initially were less sceptical, are rapidly catching up with pre-2004 members. The changes in Cyprus, the Czech Republic and Slovakia are dramatic.

Here opposition to enlargement has increased most since 2008:

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What about the second claim in the opening sentence: that the European Commission has enhanced the TRANSFORMATIVE power of enlargement policy?

Here is a second reality check. Every year the European Commission assesses progress and the state of alignment with EU rules and norms (the acquis) in its annual Progress Reports. It examines for all accession countries whether the alignment in each policy area is “advanced”, “moderate” or at an “early stage.”

Here is what the Commission found in 2013:

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 And here is what the European Commission found for 2014:

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Comparing these two tables, based on the European Commissions’ own assessment of progress, on the TRANSFORMATIVE impact of the enlargement process, we see the following:

First: there is very little change anywhere.

Second: in the case of Macedonia the Commission finds regression (from 9 to 8 “advanced” chapters).

Third: in the case of Serbia – which also opened accession talks in January  – the Commission finds no change at all!

Either the EU process is not actually transformative or the current way in which the European Commission measures transformation in its progress reports is inadequate. Or both. Regardless, the most important documents written by the European Commission to show transformative impact of the enlargement process do not support the sunny view of the Strategy paper.

There is a second striking sentence in the 2014 Enlargement Strategy:

Belgrade - ESI Roadmap Proposal - Nov 2014 - Gerald Knaus_Seite_02This is a standard claim, made by EU member states and by the European Commission. On 7 June 2014 the German chancellor, Angela Merkel, made a video podcast on Western Balkan enlargement in which she asserted: “There are very clear criteria for the steps needed to move closer to the EU. In the end it is up to each country whether they pass through this process rapidly or not.” The message: “the process is fair. It depends on merit. It depends on you.”

Is this claim convincing?

Look again at the 2014 assessment by the Commission. Macedonia, which became an EU candidate in 2005, is ahead of all other Balkan countries when it comes to its alignment with the acquis according to the European Commission. And yet it is behind Montenegro, Serbia and Albania when it comes to accession. Clearly this is NOT about merit.

Is Macedonia an exceptional case? Hardly. As bilateral vetoes have proliferated, the political nature of every single step in this process has become ever more obvious.

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In fact, the problem of merit and fairness goes very deep.  Today the accession process is like a stairways with more than 70 steps: to obtain candidate statue, to open accession talks, to open (34 or 35) chapters, to close chapters; then ratification and finally accession. (Note: one could count many more small steps, including the adoption of screening reports, etc …)

For each step up thes estairways there are 28 gatekeepers, EU member states, which have to agree to EACH step taken. And these 28 decide on the basis of political criteria, not merit. Whether Turkey opens Chapter 23, or when and whether Albania, Serbia or Montenegro are allowed to open a chapter, or Macedonia starts accession talks, are all political decisions.

This image captures accession today: a stairways that may well appear to be a stairway to nowhere, given the many veto points and the huge potential for obstruction.

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There is one more striking fact about this stairways that renders the current debate on accession puzzling.

Half of these stairs are linked to the “opening of chapters”.  In fact, much of the political debate on enlargement today is focused on chapters: how many get opened, and when.  But few people – including experts or journalists – ever ask themselves: what is the POINT of “opening a chapter”? What does it mean? What does it do?

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 Take the case of Turkey, the most advanced country in its talks, having started in 2005, as an illustration. In 2014 Turkey had 14 open and 18 closed chapters (we leave two chapters, where the Commission provides no assessment of alignment, out of this table here – chapters 23 and 34).

As the following table – based on the Commission’s own assessments in its progress report – shows, there is no causal or other link between the alignment (state of progress) in a sector and whether a chapter is open or closed. This means: whether a country has many or few open chapters is no indicator of where it is in terms of its preparedness for EU accession.

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What is no less surprising: opening chapters is not only not a yardstick of progress; it is also not an incentive to make more progress in the future. This is what the European Commission found in Turkey in 2013: there was MORE progress in closed than in open chapters in Turkey during the year.

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This raises a basic question: why is it so important to open chapters? Having many open chapters does not indicate progress towards meeeting EU standards. Having many open chapters also does not make future progress more likely.

A recent study of EU-Turkey relations made the following  strong recommendation:

“In the light of the above it is stated that opening the chapters Energy (15), Judiciary and Fundamental Rights (23), Justice, Freedoms and Security (24) and Foreign, Security and Defense Policies (31) would facilitate Turkey’s drawing a robust road map under the EU umbrella at a time when the country faces three successive elections.”

This is the conventional wisdom, repeated in conference after conference, article after article. However, it is not explained HOW opening a chapter is crucial for either the EU or for Turkey; why a Turkish citizen, or a sceptical EU member state parliamentarian, should consider this significant.

In summer 2013 there was a heated debate in Turkey and in the EU whether to open a new chapter after many year in which none were opened: Chapter 22 (regional policy). There were many statements by politicians about how important this would be. Egemen Bagis, Turkey’s chief negotiator, explained in April 2013:

“Since no new chapter has been opened, I have kindly asked our prime minister to slow down everything until a new chapter is opened. I thank him for having done that. Now the process for the opening of the regional policies chapter has begun.”

Foreign minister Ahmet Davutoglu stated:

“No postponement or review of the decision to open it is possible. As we said before during the reform follow-up group meeting, we want not only the chapter 22 to open but also the chapters 23 and 24.”

The German government, on the other hand, insisted on delaying the opening until after summer 2013. In the end chapter 22 was formally opened in the autumn.  Leaders – and international media – spoke about this as if something significant had happened (Die Welt:  “Accession talks gain new momentum”)

In fact, following a meeting – the so-called Intergovernmental Conference – when it was declared that Chapter 22 was now “open”, nothing else happened. There was no additional meeting. There was no additional funding. There was no additional impetus for reform. The “opening” was political theater, for one day. It had no link to merit, criteria, or progress. Ultimately it made no difference.

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We can now  easily understand how all these dynamics create a deeply frustrating and dysfunctional process.

In the face of growing public opposition, many EU leaders have given up defending enlargement policy. Seen from Brussels, Berlin, Paris or The Hague, the current group of candidates are problematic. They are poorer, have weaker institutions and are more politically polarised than any previous group of applicants. This has created a vicious cycle. As enlargement loses popularity in EU member states, EU leaders try to reassure their voters that the process is stricter than ever. Yet as the hurdles to be jumped appear more and more arbitrary, candidate countries find it harder to take difficult decisions in pursuit of a goal that is increasingly distant and uncertain. The stairways approach makes vetoes extremely easy. And the public debate is focused on whether chapters are open or closed, not on whether reforms are taking place.

This is not enlargement “fatigue”, suggesting a temporary state of exhaustion. It is a chronic ailment, which is getting worse.

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And at the heart of this frustration are the annual Progress Reports. As ESI found, discussing these in many European capitals during the past year, few people, even EU foreign ministry officials, read these carefully. The reports are not doing a convincing job measuring progress. They do not allow for comparisons between countries in any operationally meaningful detail. They do not educate the public about what needs to happen. Above all they do not make real transformation – if it happens – visible also to sceptics. It is as if everyone – reformers in candidate countries, publics, policy makers in the EU – is proceeding through thick fog.

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Such a proces increases frustrations. We have called this the Godot effect. It is today most pronounced in Macedonia and Turkey. However, unless the process change we may anticipate that something similar could soon happen in Montenegro, Serbia and Albania, as cynicism increases. In Bosnia and Kosovo, there is today frustration, cynicism and apathy before any EU accession process has even begun. Bosnia has not yet applied for accession. Kosovo is not even able to apply.

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 So what is to be done? In order to answer this question let us imagine a very different approach to defining and assessing progress; one that is strict, fair and transparent. A process as follows:

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To imagine such a process is not to daydream. For this is how the Commission has acted for years in the context of visa liberalisation.

In this crucial area ALL countries in the Balkans were given precise visa roadmaps with dozens of benchmarks. These roadmaps set out clearly what the Commission expected. They listed all individual criteria. There were no short cuts. And these roadmps, based on the acquis, were essentially the same for all countries, and thus progress easily compared.

The Commission then organised a serious monitoring and assessment effort. This involved experts from the Commission and from member states.  Based on their findings detailed progress assessments were issued.

The whole process was developed by the Directorate General for Home Affairs together with the Directorate General for Enlargement. And it worked. It inspired many reforms. It made it possible to see where real reforms happened … and when they did not. Above all it convinced even sceptical EU interior ministers that when the Commission did find progress they could trust it.

 

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In fact, in October 2014, while DG enlargement published its regular progress reports, another part of the Commission also published a detailed document on progress made in the field of visa liberalisation by Turkey. It offers a clear, readable, strict and fair description of where Turkey stands. Each benchmark is assessed, using the following categories:

 

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The result of such a strict, fair, and meritocratic process in the case of the Western Balkans was to inspire civil servants. It was also clear to them what needed to be done. All countries were assessed based on the same criteria. It was possible to make transformations visible; even in special grade reports, that ESI issued at the time, based on the Commission experts’ assessments:

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We can compare the thoroughness of this process with the current assessment of progress in key chapters in the Progress Reports.  Let us take just one subject, Chapter 18 (Statistics).

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Look at the current assessment of progress in the field of statistics in Turkey, which has been in this process the longest. In 2014 the European Commission published just four short paragraphs, about half a page, on this chapter in the Turkey progress report.  A reader does not understand from this how far Turkey has come, what remains to be done to reach EU standards, or in what specific areas most efforts are still needed. Nor can one see how Turkey compares to other candidates.

This is surprising for many reasons:

1. The recent experience with Greece. Following the discovery of just how unreliable key statistics provided by the National Statistical Service of Greece (NSSG) had been before 2010, a new statistical agency, ELSTAT, was created. This was a priority for reform for the EU!

One might expect the EU to be just as keen to see all Balkan countries reach EU standards for all their key statistics, as soon as possible, and well before actually joining the EU, in order to be able to develop a credible track record.

2. The importance given to “economic governance” in the accession process. Without reliable economic statistics, from GDP per capita to employment, from the FDI stock to exports, discussions of economic governance in progress reports are of little use; and any evidence-based policy making on the part of governments is very hard.

3. One objective of the annual progress reports is to assess whether a country is a “functioning market economy” or FU-MAR-E. How can this be done without comparable and solid numbers and statistics?

The sooner all accession countries reach EU standards in the field of statistics the better. Now imagine a scenario where the European Commission draws up a roadmap for Chapter 18, gives it to every country, and thus spells out what all the key benchmarks for a future EU member are … and then assesses the state of affairs against these benchmarks every year with the help of experts, in order to produce a document on statistics that is similar to the recent October report the Commission produced for the Council and the European Parliament on visa liberalisation.

 

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The current EU accession process has not halted the erosion of trust in the policy since 2008. It has not led to measurable transformative impact in key policy areas. The visa roadmap process, on the other hand, has inspired and encouraged change. It has also – crucially – made this change visible and credible to sceptical outsiders.

 

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Given these experiences ESI proposes to the European Commission to put the idea of chapter roadmaps to the test as soon as possible.

We propose that DG enlargement develops four pilot roadmaps, and then assess progress in these four fields similar to the way the Commission has done with visa roadmaps; for all accession countries,  already in the 2015 Progress Reports: Statistics (fundamental for economic governance), Procurement (central to progress in the rule of law and the fight against corruption), food safety (key to attract FDI in a vital sector) and Financial Control.

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Giving such chapter roadmaps to all seven countries, and assessing them by reference to these benchmarks in 2015, would mark a small but very important improvement in the current process of writing progress reports.

One additional effect would be similar to the regional competition we have seen in the field of visa liberalisation. Or to the debates on public policy triggered by the Paris-based OECD with its regular publication of results of its PISA tests in the field of education.

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Belgrade - ESI Roadmap Proposal - Nov 2014 - Gerald Knaus_Seite_01

ESI has recently presented these ideas in many capitals. Here are five of the most frequently asked questions concerning this  CHAPTER ROADMAP PROPOSAL

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The first question often posed concerns incentives. In the case of visa roadmaps, we hear, there was a clear “reward” at the end of the road: visa liberalisation. This was popular with the broader public. Would elites and civil servants in accession countries be equally motivated to carry out reforms in fields such as Statistics or Procurement, without a similar tangible reward?

We believe that this question puts the issue of incentives upside down.

When elected governments say that they want their countries to join the EU as a matter of national interest – and embark on a many-years-long process that requires work, focus, human resources, and that remains uncertain until the very end – they state that they have an intrinsic motivation to carry out reforms. The notion that the EU should “bribe” governments to incentivise them to carry out reforms on this path is wrong. Governments that need to be bribed in such a blunt manner should never apply, and simply risk being exposed as uninterested in the EU accession process. Then it depends on publics and voters who they will react.

The EU acccession process is more similar to a young football player being offered a place at La Masia, the famous football school of FC Barcelona; or to a budding entrepreneur admitted to Harvard Business School.

People do not get paid to submit themselves to rigorous training at these institutions of excellence. Instead they have to work hard. If they do not have intrinsic motivation this will become apparent very quickly, but in a fair manner.

However, no one would think that a young footballer might just as well practice all by himself in the street, rather than benefit from the training system of La Masia; or that a great business school has nothing to offer to those who come prepared to work hard. What such centers offer is excellent coaching by experts, precise feedback, a system of instruction that will make those who take part better at what they say they want to do in the future.

Of course there are also more specific rewards: prestige and certificates to validate progress. In the case of chapter roadmaps more FDI – if investors believe that institutions and rules are becoming more predictable.  One can even imagine more donor aid for those who perform best. But the real reward is for leaders – and civil servants, who do most of the extra work and are not paid more for it – to feel that what they do is taking their countries forward; that is makes sense for their country and for them professionally. For this incentives must be intrinsic.

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Can such chapter roadmaps be done for every chapter? No. We believe that they cannot be done for some chapters where there is no clear acquis (Chapter 23 or Chapter 30).

But this does not mean it cannot or should not be done for most chapters.

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Does such a roadmap-approach encourage superficial reforms? Not if the roadmap – like visa roadmaps – is done well, and measures not just laws but institutions and performance. Then it becomes a very good tool also to assess progress over time and track records.

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Is this a dramatic change in enlargement policy?

No. Member state do not lose their veto. They still have to agree – unanimously – to give candidate status, to open accession talks, to open chapters, to close chapters. However in the meantime the Commission helps these students get better … and provides member states with more information and feedback to assess how accession countries do.

Such an approach allows the European Commission to do better what it is already doing and already has a mandate for:  assess annual progress according to the Copenhagen criteria in all countries in a strict and fair manner, provide feedback, and encourage reform.

Such a change puts the substance of actual reform back at the heart of the accession process. This is  win-win situation for everyone.

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Not everything will be in such roadmaps. Some reforms only make sense just before accession. The aquis changes, so it also makes sense to adapt roadmaps every two years. It is always possible for member states to insist on additional reforms as preconditions for them allowing a chapter to be closed (or even opened, though this can both happen at the same time later; Croatia actually opened and closed a number of chapters all in the final year of its talks).

These chapter roadmaps would likely capture 95 percent of reforms needed in key areas.  This would be a flexible tool (fishery benchmarks might be of different importance in landlocked Macedonia than in Turkey), but in the end the idea is that the acquis is the same for all future members, as they are all heading for the same horizon.

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The past five years have seen a steady erosion of trust in enlargement across the EU and in many accession countries.

Turkey has been negotiating since 2005 and has not yet opened even half its chapters.

Macedonia is a candidate since 2005 and has not yet been given a date even to open talks.

Albania became a candidate this year, but has been warned already that it could be years away from opening accession talks.

Bosnia and Herzegovina concluded its negotiations on the Stabilisation and Association Agreement in 2008 without seeing the agreement enter into force.

To an increasing number of people in accession countries the current process appears to be a stairway to nowhere. And yet, reforms in all these countries are in the interests of their citizens. They are also in the interests of the EU. As the new Commission reassesses how it can best promote reforms, we believe it should seriously look at what has worked in recent years.

We believe that improving the work that goes into the progress reports does not constitute a change in enlargement policy, and that therefore the European Commission can act on its own to improve what it is already doing. However, such a change does alter the way the Commission works. It is a real challenge, and it makes sense to implement it gradually, testing it along the way. It remains to be seen whether the new European Commission is able to carry out such reforms.

For the sake of all Europeans, we can only hope it is.

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Belgrade - ESI Roadmap Proposal - Nov 2014 - Gerald Knaus_Seite_01

Earlier presentation:

See also:

Filed under: Albania,Balkans,Bosnia,Enlargement,Europe,Macedonia,Turkey,Visa — Gerald @ 7:19 pm
16 November 2014


Ouroboros – the snake that devours itself

If you come to our website often you will have noticed that ESI writes a lot about the Council of Europe. You might wonder why. Are there no other, more important European issues? And why is our stance so critical?

One reason that we keep returning to issue relating to the Council of Europe is that almost nobody else does, outside of a small group of human rights activists mainly concerned about the crackdown on civil society in Azerbaijan.

For large European think tanks and for most European media, the crisis in the Council of Europe still does not exist. Or does not really matter. Why care about debates in PACE, or about what the secretariat in Strasburg does or does not do, when there is a war in Ukraine, crises in the Middle East and challenges to democracy in old and new EU members?

We at ESI disagree. We believe that when the institution that gave us today’s European flag, and that remains the guardian of the moral constitution of democratic Europe – the European Convention on Human Rights – is fatally undermined, this points to a very serious crisis for all of Europe. It is a wound that must not be allowed to fester. Today the Council of Europe resembles Ouroboros, the snake of Greek mythology that devours itself … in this case, by destroying the moral basis on which it was founded.

Look at the European order today, and Europe’s big three organisations: the OSCE, the EU and the Council of Europe.

The OSCE has a justification as a forum for debate even with autocracies. This was its original conception in Helsinki in 1975. This is why Belarus (and Uzbekistan and the Vatican) can be members today.

The EU has to defend its own standards internally (and do a much better job at this) and externally, in particular when it comes to its ongoing enlargement talks.

For the Council of Europe, however – the first institution to enlarge to almost all of Europe in the 1990s – the current crisis of values, norms and credibility is existential. It has to be a club of European democracies, or it does not have any reason to exist.

This is why Belarus is not a member today. This is why Russia and Azerbaijan currently have no place as members, unless things change in both countries. There really is no use for an institution focusing on human rights and democracy when these standards are defined by autocracies and thus undermined for everyone else.

ESI strongly believes that the Council of Europe should matter. It should be talked about more. It should be given the resources to fulfil its crucial role better. But the key recource missing today is not money, but attention. Think tanks and media should follow what happens in Strasburg. It is a shame that the foreign ministers of influential countries attend its meetings so rarely (to begin with Germany and France) and that parliaments throughout Europe pay so little attention.

We believe that it is important to preserve the idea that one day the European Convention on Human Rights will be the normative basis for all of Europe (including Russia and the South Caucasus), not just the current European Union. Just as it was crucial to preserve this aspiration in the decades prior to 1989 in a divided Europe. It may look unlikely now; it definitely looked implausible then.

Europe's moral constitution
Europe’s moral constitution

For what is the European Convention? It is the basis of civilised life, in a continent known as much for autocracy and human rights violations as it is known for the enlightenment and rights.

It is comprised of the following basic commitments, that are once again under pressure across the continent:

Article 1 Respecting the rights in this convention

Article 2 The right to life – a duty to refrain from unlawful killing and to investigate suspicious deaths

Article 3 Prohibits torture, and “inhuman or degrading treatment or punishment”. There are no exceptions on this right.

Article 4 Prohibits slavery, servitude and forced labour

Article 5 Provides the right to liberty, subject only to lawful arrest

Article 6 Provides a detailed right to a fair trial

Article 7 Prohibits retroactive criminalisation

Article 8 Provides a right to respect for one’s “private and family life, home and correspondence”, subject to certain restrictions “necessary in a democratic society”.

Article 9 Provides a right to freedom of thought, conscience and religion.

Article 10 Provides the right to freedom of expression, subject to certain restrictions “necessary in a democratic society”.

Article 11 Protects the right to freedom of assembly and association.

It is irresponsible to close our eyes to the fact that today the European Convention is being mocked by certain member states of the Council of Europe, not occasionally but systematically. Today these core articles are not only disregarded but also openly challenged.

If Azerbaijan or Russia were expelled from the Council of Europe today (or would preemtively leave voluntarily) then this does not mean that a democratic Azerbaijan or Russia might not one day join again. In fact, that would be the goal. It would give human rights defenders in these countries a clear objective. And they should be supported in this in all possible ways. Greece was not in the Council of Europe under military rule in 1968 … and later rejoined it as a democracy.

Today we have the worst of all worlds. We see the standards of the European Convention on Human Rights mocked, the institution and its bodies paralysed. We see these institutions turned against the very people in those countries who defend them there … and who risk jail and worse for doing so.

We see democrats indifferent to the institution, while autocrats invest resources to capture and manipulate this critical intervention. Things are upside down. It is time to put them back in order.

We have written before about parallels between the fate of the League of Nations and what is currently happening in Strasburg (See : Europe’s Abyssinian Moment).

Here is another thought-provoking parallel from Europe’s early 20th century history. At the 1919 Paris Peace Conference East European nations signed treaties guaranteeing rights to minorities. These treaties called for religious freedom and civic equality. Minorities were granted the right of petition to the League. Governments in Eastern Europe complained about these “unjust requirements that the great powers did not impose on themselves”. These countries had a point. However, the proper response to this complaint was not to water down these rights, but to apply them equally to everyone.

Instead, the solution chosen was the worst of all. These rights were never applied and these treaties were never taken seriously. Despite there being a special League of Nations Minorities section it proved to be a “weak reed”: of 883 petitions the League received between 1920 and 1939, only four resulted in condemnation of the accused state. When the first anti-Jewish university quota system was introduced in Hungary in 1920 protests at the League of Nations failed to secure the law’s withdrawal. (For more on this see Bernard Wasserstein’s fascinating book “On the Eve – the Jews of Europe before the Second World War.)

Perhaps then too there were serious and influential people who thought that Europe had more important problems than to defend norms and treaties concerning human rights in small East European nations.

However, this assumption was wrong then and it is wrong now. The crisis in Strasburg matters not just to a few brave human rights defenders on the European periphery. It matters to all of us.

This contradiction matters
This contradiction matters

PS: For more on the crisis of the Council of Europe, see also the latest ESI newsletter:

 

14 October 2014

Thomas de Waal is one of the leading experts in the world today on the Caucasus, author of “Black Garden, Armenia and Azerbaijan Through Peace and War” and “The Caucasus: An Introduction” and a Senior Associate at the Carnegie Endowment for International Peace in Washington DC.  He also knows all the key actors in the region for decades, including Leyla Yunus and her husband Arif, two of the most impressive intellectuals and human rights defenders in Europe today.  The fact that both are in jail in the Azerbaijan of Ilham Aliyev tells you almost everything you need to know about this regime.

Tom wrote the following essay as part of our advocacy effort to convince the European Parliament to give Leyla Yunus the 2014 Sakharov Prize. She is already among the top three, a huge honour and recognition of her work. The final decision will be taken later this week.

 

 

 

The Responsibility of a Politician: Leyla Yunus and the Heirs of Andrei Sakharov

Thomas de Waal

October 11, 2014

 In 1989 during some of the most tumultuous days of perestroika, Andrei Sakharov stood up in the Soviet Union’s first popularly elected parliament, the Congress of People’s Deputies, and called for the end of the monopoly on power of the Communist Party of the Soviet Union.

Sakharov was an influential voice, but also a lonely one, speaking amidst a cacophony of old Communist Party nomenklatura officials on the one hand and aspiring nationalists on the other.

At the same time, in the Soviet Union’s non-Russian republics, a few brave activists were inspired by the courage of Sakharov and others. They stepped forward and spoke out about the rights of their republics to win independence and achieve democracy.

These activists were strongest in the three Baltic republics and the three republics of the South Caucasus: Armenia, Azerbaijan and Georgia. In Azerbaijan, the struggle was especially difficult. The Communist Party apparatus clung tenaciously to power. The Popular Front of Azerbaijan had a radical nationalist wing that was ready to use violence. All the while the mutually suicidal conflict with Armenia over the disputed region of Nagorny Karabakh was heating up.

A small band of academics and intellectuals in the city of Baku were the first to talk about democracy, the first to warn about the dangers of “provocations” and the first to speak up about the defence of the Armenian minority still living in Azerbaijan. They combined courage with intellectual insight about where their republic was heading.

Leyla Yunus, a young historian, was one of that band, together with her husband, Arif, also a historian and scholar. Yunus was one of the half-dozen founders of Azerbaijan’s Popular Front, an organization that modeled itself on the Popular Fronts of Estonia, Latvia and Lithuania, even as they knew how much harder the struggle was in their country.

As 1989 unwound, Leyla and her colleagues warned that two extremes–the dinosaurs of the Communist nomenklatura and the nationalist radicals–were feeding off one another in a dangerous game of bluff and provocation.

The sad culmination of these mutual provocations came in January 1990–Baku’s terrible “Black January” and the bloodiest episodes of Mikhail Gorbachev’s entire rule as Soviet leader. First the city’s remaining Armenians were subjected to pogroms and expulsion. Then Soviet tanks rolled in to the city, fired on apartment buildings and crushed demonstrators to death.

At the end of Black January, around 90 Armenians were dead and thousands had fled, 130 Azerbaijanis had been killed. Leyla Yunus spoke up again, this time in print. In an essay entitled  “The Degree of a Responsibility of a Politician,” published in the journal Istiklal in April 1990, she described the situation with devastating clarity.

In the essay, she begins by praising the bravery of those who stood in the streets to face down the tanks in Baku:

They stood with linked arms. “Freedom!” The word rang over Communist Street, which would soon lose its name, along with so much that lost its meaning that night. They did not step away from the path  of the armoured personnel carriers and tanks, whose tracks were already crimson with the blood of the people they had crushed on Tbilisi Avenue, Square of the XIth Red Army and other places. But even the bloodied tanks stopped before this never-before-seen unity. “Freedom!”

Yunus calls Moscow’s military intervention “red fascism”

Forty five years ago, practically unarmed–how much the armament campaign of 1941 cost us!–our people stopped the tanks of brown Fascism. On the night of January 20, the armour of red Fascism went through the streets of Baku–the very same Fascism which had crushed and overpowered the peoples of the Union after October 1917.

Until then, Leyla Yunus tells us, Azerbaijanis had been “lucky”–to a degree.

Our people saw this regime in April 1920 and experienced its charms most acutely in the 1930s. Fortunately, we did not meet the fate of the Crimean Tatars, Balkars or Volga Germans, who were deported wholesale in cattle cars to destruction. We did not lose our homeland as the Meskhetian Turks did. We did not lose a third of our population, as the Estonians did, we felt the famine of 1933-34 less than did Belarus or Ukraine. We were lucky enough to be spared Chernobyl. But all the rest that this prison-house order gave to our peoples we experienced to the full. Collectivization, the genocidal destruction of the intelligentsia, the economic theft of our riches, the transformation into a mono-cultural colony…

Only now, it seems, had Azerbaijanis woken up to the nature of the regime they lived under, but they should have known earlier…

Which of you, who threw away their Communist Party cards today, rejected the “Ruling and Guiding” Party in 1968 when our sons were sent to crush the Prague Spring? Which of you spoke out, when our boys were dispatched to Afghanistan?

Did it really have to take the rivers of blood spilled in beautiful Baku for every decent person to decide that it was morally unacceptable for him to stay in the ranks of a criminal party? There is an easy human explanation for this–it is one thing to hear and to know something, and another to see all the horror with your own eyes, to feel it on yourself. However, in my view, this epiphany which even today has come to too few people, came too late and cost us too much…

She rebukes the extreme nationalists of the Popular Front for fomenting hatred against Baku’s defenceless Armenians.

On January 13, on Freedom Square the rally was still continuing, and in the building opposite people were already assaulting Armenians. Woe, disgrace, dishonour came to our town.. The pogromshchik  has no nationality. The looter and murderer does not have the right to belong to any people…

And she warns against those who want to soak Azerbaijan’s movement for independence in blood.

The responsibility of a politician is comparable to the responsibility of a doctor. In both cases lack of professionalism leads to death and injury. And if someone writes, “Sacrifice cleanses the nation! You know how much we needed this cleansing… ” it is absolutely clear to me where this patriot-politician can lead us.

Why, in the name of a falsely understood unity of the nation should we march like a herd, behind first one, then another organization, behind this “father-leader” or behind another one?

But she still hopes for the release of political prisoners and the triumph of democracy:

My greatest desire is to see the Popular Front of Azerbaijan as a single powerful organization speaking out from a position of democracy, defending with the help of lawyers today with human rights organizations everyone who has been arrested.

I dream of an overwhelming victory by the democratic forces of the Azerbaijani people headed by the Popular Front of Azerbaijan in the elections.

Our tree of freedom will not bloom soon, and we need to water it with reason and not with a pool of blood.

Leyla Yunus’ essay was so powerful, clear-sighted and morally cogent that it persuaded hundreds of young Azerbaijanis to support the country’s Social Democratic Party, which became the most progressive and democratic part of the opposition.

Leyla Yunus subsequently briefly served in the Popular Front government of 1992-3, where she was a moderating influence. In 1993 former Soviet leader Heidar Aliev returned to power as president of independent Azerbaijan. In 1996 she founded the Institute of Peace and Democracy. The list of issues they worked on was dizzying: rule of law, defence of those arrested, national minorities, land-mines.  Later they founded Azerbaijan’s first women’s crisis center. In the mean time Arif Yunus was Azerbaijan’s foremost expert on a host of issues, including the plight of refugees and the rise of political Islam.

In recent years, under the presidency of Heidar Aliev’s son Ilham, Leyla and her colleagues were increasingly targeted by the authorities. They were called strident, aggressive and difficult. And they were.

In the past year, the situation in Azerbaijan has deteriorated rapidly. The old nomenklatura mindset is back in full force. The list of political prisoners Leyla Yunus compiled—now including her and Arif—has 98 names on it. Most of them are secular pro-Western activists. In April, Leyla and Arif Yunus were detained at the airport as they were about to board an international flight. They were hit with all sorts of ludicrous charges, most notably–and with the scariest echo of Soviet times– espionage on behalf of the enemy, the  Armenians.

In prison, Leyla Yunus, who has diabetes and other health problems, has been subjected to verbal and physical abuse. Arif Yunus, who has a heart condition, has been kept in complete isolation in the cells of the national security committee, the heir to the KGB.

For her commitment to European values and human rights, Leyla Yunus was nominated for the 2014 Sakharov Prize in the European Parliament. Her condition and her heroism were recognized by four heirs of Sakharov: three dissidents who had worked with Sakharov, Sergei Kovalyov, Lyudmila Alexeeva and Svetlana Gannushkina and by Oleg Orlov, the head of Memorial.

In the same week, the Russian Ministry of Justice applied to have Memorial–Russia’s strongest human-rights organization and the winner of the 2009 Sakharov Prize–shut down.

In 1989 and 1990, these people had a vision, even as they recognized with the same clarity all the dangers that lay ahead, the narrow path that needed to be trod between different forces, if the former Soviet republics were to achieve European-style democracy.

Now, unfortunately, 25 years later, in both Russia and Azerbaijan some of the worst fears are coming to pass. That increases our responsibility to support people like Leyla Yunus and Memorial, as they are punished for having that vision.

 

12 October 2014

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Yannis Boutaris, Mayor of Thessaloniki

Sometimes you meet a person that is a force of nature. A person of convictions, with the modesty that comes from true charisma and the confidence that comes from not having to pretend. A person inspiring others by personal example, making words like engagement, citizenship and dignity shine in all their splendour. Somebody who makes you feel proud to belong to their generation. And who makes you wonder whether you are really doing enough yourself.

In recent weeks I felt this sense of awe working on old and new European dissidents. Meeting Khadija Ismayil and other human rights defenders from Azerbaijan, has this effect. So does rereading the writings of Havel, of the Russian Memorial generation of human rights defenders, of Adam Michnik and other Poles of his generation.

And so does meeting the mayor of Thessaloniki, Yannis Boutaris, to talk about what is possible in local politics at a moment of deep crisis. In a city shaped by decades of deep conservatism and fear of neighbours, from the Cold War to the Balkan wars of the 1990s and later. 72 years old, chain-smoking, with an ear-ring and tatoos, for decades a succesful entrepeneur, a recovered alcoholic, a long time civic and environmental activists, and now twice elected mayor of Greece’s second city.

I have come here this Sunday at the invitation of the Navarino network, a local civic organisation which has worked for a long time to open Thessaloniki to the world. I am to speak about the state of the Balkans in 2014, about false confidence and complacency.

I tell the tragic story of Soviet dissidents like Sergei Kovalev, who went to jail under Brezhnev, then became government human rights officials, and in 2014 face renewed pressure from their state. It is a tragic story with no happy end, with Russia like that fabled creature from Greek mythology, the Ouroboros: a snake that devours itself. Often history is like this. Too often.

ouroboros
Ouroboros – societies sometimes resemble this ancient creature,
devouring themselves

 I also speak about what Greece – and Thessaloniki – might do to prevent future vicious circles in the Balkans. In the end  I present the ESI proposal for how to address the name dispute with Macedonia.  (see in the annex of this report:  Vladimir and Estragon in Skopje. A fictional conversation on trust and standards and a plea on how to break a vicious circle) The only – encouraging – reaction I get from a big auditorium full of Thessaloniki dignitaries and young people is one comment: “Greece is ready to do this, do you think Skopje is ready?”

IMG_7752

Then I meet with Boutaris for an interview. This was already a rich and memorable Sunday. It only got better.

Boutaris explains the value of civic engagement, voluntarism and how he strives to make his city embrace a multiethnic past. He explains how even conservatives silently tell him that they approve of his open support for gay pride … though lack the courage to say so openly. He explains why opening to Turkey, Israel and Jews across the world is vital for his city, given its history. And why having a Holocaust museum (at a cost of an estimated 25 million Euro, the design has already been done) will be so important.

How he is happy to have a Durres Park in the city now, and hopes to build many more links with other Balkan cities. How reaching out to Izmir is vital – proposing to have “days of Izmir” in Thessaloniki, and “days of Thessaloniki” there. Why having a Muslim cemetary is the most obvious thing in a city like Thessaloniki. How “Turks are our bothers and Europeans are our partners.” And how, as a Vlach, he recognises the common regional heritage when he visits the village of his ancestors in today’s Republic of Macedonia near Krusevo.

He explains how it is possible to cut the public administration (from 5,000, when he came into office in 2011 to 3,500 today) and reduce the deficit, while moving towards green urbanism and a different traffic policy. How he is encouraged that the number of bicycle shops has gone from 2 to more than 20 in a few years. And how much remains to be done.  How he has worked to encourage budget flight connections and direct links by ferries to his city, with increasing success. How this has resulted in sharply rising numbers of foreign visitors.

How his political goal is to make people proud of this, their liberal and open city. With the new slogan “I love my city and adopt my neighbourhood.” How he hopes city employees will be able to walk in the streets and citizens will respect them for their honesty and competence.

Remember: this is Greece, the EU country in its deepest economic and social crisis in decades. This is the country where the self-proclaimed fascists of Golden Dawn won 16 percent in recent local elections in Athens. With a prime minister who made his name by fostering nationalism in the early 1990s. A country all too often described in the foreign press as a hopeless case, a patient at best, an ungrateful recipient of aid at worst.

But this is also now the Greece of Boutaris and the cosmopolitanism of the new Thessaloniki.

When he became mayor, he tells me, Thessaloniki had a number of big taboos, including Turkey and the Jewish history of the town (where Jews were the largest ethnic group until 1912 and the port was closed on the Sabbath). Not long ago the City Council declared Mark Mazower, author of the great book Salonica, symbolically a persona non grata – for having described the multiethnic past of the city. This was the time when the local bishop called on people not to vote for Boutaris.

Now Boutaris looks forward to the day when citizens of Thessaloniki will be proud of the history of their city, as described in Mazower’s book. The book ends with the observation, true for all of Europe:

“As small states integrate themselves in a wider world, and even the largest learn how much they need their neighbours’ help to tackle the problems that face them all, the stringently patrolled and narrow-minded conception of history which they once nurtured and which gave them a kind of justification starts to look less plausible and less necessary. Other futures may require other pasts.

The history of the nationalists is all about false continuities and convenient silences, the fictions necessary to tell the story of the rendez-vous of a chosen people with the land marked out for them by destiny. It is an odd and implausible version of the past …”

As Boutaris tells it, being open to the past and to others is simple good sense: “if you accept differences, life is better”. This explains his support for gay pride in this orthodox city, and how he sees attidues changing. He talks about this priorities for the second term: moving towards a green city, a city in which “rich people are proud to take public transport” instead of poor people required to have a car.

When we made the 2008 ESI film on Thessaloniki Boutaris was still in opposition. Now he has been twice elected. The first time by the narrrowest of margins (some 300 votes). The second time with a clear and strong majority and 58 percent. In some elections ever single vote matters. Civic engagement matters. Having convictions matters. And fighting for them for decades can bring results.

If Bosnia had just one mayor like this in one of its big cities, ideally young and full of eneregy, so that he or she could then go on to show what is possible: the country might be a different place If only Greece or Turkey had more independents, former entrepreneurs and social activists, entering politics like this.

Thessaloniki, thank you for the inspiration. It is great to be back.

 

PS: Some further reading:

Thessaloniki’s exemplary revival:

“The mayor’s greatest legacy, however, may be the city’s much-improved performance in tourism. However, his unconventional approach has made him some enemies among traditionalists. Between end-2010 and end-2013, Thessaloniki achieved 19% growth in tourist arrivals according to data from the Association of Greek Tourism Enterprises (SETE), compared with a decline of 13% for Athens over the same period.

To a great extent, this has been achieved through approaching a “traditional enemy” such as Turkey as a potential tourism market, leading to allegations that the mayor was “serving foreign interests”. Mr Boutaris is unapologetic about his bid to present Thessaloniki as a Balkan “melting pot”, stressing the city’s multi-ethnic history, a place where Greeks, Turks, Jews and Slavs lived together until the upheavals of the early 20th century, when the Turks left, the Greeks from Asia Minor arrived and the Jewish population was decimated in the Holocaust. The attraction of Thessaloniki to Turkish visitors stems from the fact that it is the birthplace of Kemal Ataturk, the founding father of the modern Turkish state. In addition, the Boutaris administration has made much of the fact that for centuries Thessaloniki had a large and vibrant Sephardic Jewish community. In broadening the city’s tourism profile, a previously rather claustrophobic city is starting to become a more open one, embracing its multicultural past.

The rebranding of Thessaloniki based on this new perception of its past has managed to increase the influx of visitors from Turkey and from Israel. Overnight stays at the city’s hotels increased during the past four years by 226% for Turks and 358% for Israelis, reaching 80,000 and 50,000, respectively, by the end of 2013. Coinciding with a period of deepening national economic crisis, the tourism revival has been welcome. The shift in public opinion in the city has been radical, and previous detractors now firmly support a similar rapprochement with all neighbouring countries … “

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Meeting the Mayor

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Presenting on the Balkans in 2014

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7 October 2014

While European institutions are finally recognising the heroism of human rights defenders in Azerbaijan – thus making clear that their struggle is of global significance – every single political prisoner so far rewarded remains in jail. Our attention needs to shift to the only real prize: to get international institutions and states to act and to sanction.

It is time for a really broad-based campaign … targetted not the authorities in Baku, who are beyond shame, but human rights institutions betraying human rights defenders. Note: Azerbaijan, the current chairman of the Council of Europe, holds in its jails today the men and women winning or considered for the very highest prizes in the field of human rights in the world. And so far the Council of Europe – including its general secretary – acts as if this has nothing to do with them.

Mr. Jagland has issued a press release on the events in Ferguson, Missouri … how about issuing a press release congratulating Anar Mammadli, the winner of the Vaclav Havel Prize 2014, who used to work with the Council of Europe, and is in jail today?

Mr. Jagland has met the Azerbaijani president already three times in recent months. How about cancelling all participation of the Council of Europe secretariat in events in Baku until there is news about the situation of Ilgar Mammadov … who is in jail, but disappeared more than a week ago, has no contact with lawyers … and who also worked for and with the Council of Europe? Or until Leyla Yunus, Rasul Jafarov and so many other human rights defenders are released?

Mr Jagland: if you think doing nothing remains an option for your institutions you underestimate the strength and moral purpose of the broad-based coalition that is currently emerging across Europe.

The case of Leyla Yunus

Here is the most recent email ESI sent to all the members of the European Parliament who decided on 7 October 2014 on the final short list of three candidates for the 2014 Sakharov Human Rights Prize.

Now that Leyla Yunus has been chosen, these arguments remain valid as the European Parliament will chose the 2014 winner.   

 

Honourable Member of the European Parliament,

Today you will decide on the finalists for the European Parliament’s Sakharov Prize 2014.

We appeal to you to give your vote to Leyla Yunus – on behalf of all other human rights defenders and dissidents in Azerbaijan. Almost 100 of them are imprisoned like Leyla (see this list), the others face a chilling wave of repression.

These Azerbaijanis stand in the tradition of those who fought for human rights during Soviet rule. Distinguished Russian activists, some of them former political prisoners, underline this in a joint letter to the European Parliament that was published last week (available in English andRussian). Three of them – Lyudmila Alekseeva, Sergei Kovalyov and Oleg Orlov – shared the EP’s Sakharov Prize in 2009.

Oleg Orlov, Lyudmila Alekseeva and Sergei Kovalyov receiving the Sakharov Prize 2009

 Oleg Orlov, Lyudmila Alekseeva and Sergei Kovalyov receiving the Sakharov Prize 2009

Photo: European Parliament

Your vote for Leyla will be a vital sign to Azerbaijan’s besieged human rights community that they are not alone.

It will be a sign that the European Union, led by the Parliament, does not close its eyes to repression anywhere on our continent.

It could be crucial also for this generation of human rights defenders. The fate of Leyla, one of the most respected human rights activists in the country, is telling. Prison conditions in Azerbaijan are appalling. At age 58, Leyla suffers from diabetes and has caught a flu in her cold cell. She has been repeatedly beaten. Last Saturday, her lawyers stated that her health “has extremely deteriorated” and “that there is no guarantee that Leyla will survive until the end of this year”.

The authorities are now going after the handful of remaining lawyers who defend human rights defenders, and torture has returned to jails in Azerbaijan.

There is hardly any news of Leyla’s husband Arif Yunus, a historian and peace activist, who was arrested in early August, a few days after Leyla, and is held at a facility notorious for torture of inmates.

Leyla and her husband Arif Yunus, both imprisoned by the Azerbaijani authorities

Leyla and her husband Arif Yunus, both imprisoned by the Azerbaijani authorities

For 10 days, there has been absolutely no news of Ilgar Mammadov. All food parcels sent to him by his family have been turned down. The director of the Council of Europe’s School of Political Studies in Baku intended to run against President Aliyev in the elections in October 2013, but was arrested beforehand and sentenced to 7 years in prison last March. The European Parliament demanded his immediate release already last year. Lately he announced that he faces serious pressure to write an open letter of apology to the government. Then he disappeared.

Ilgar Mammadov
Ilgar Mammadov

The “crime” of Mammadov, the Yunuses and the other Azerbaijani political prisoners is their desire for a pluralist society, for respect of human rights, for peace – for the values on which the EU has been built.

Azerbaijan is member (currently even chair) of the Council of Europe. It has accepted the Paris Charter for a new Europe. It is formally committed to all the norms on which Europe’s post-cold war order is built. To watch one regime dismantle all civil liberties with impunity and make any human rights work impossible, and to let it happen, creates a terrible precedent. It undermines the norms on which European security rests.

Today you can take a step to prevent it from happening.

With the very kindest of regards,

Gerald Knaus

Gerald Knaus,
Chairman of European Stability Initiative (ESI)

 

Attachments area
Preview attachment Memorial – Letter to the European Parliament – Sakharov Prize Leyla Yunus 2014 – EN.pdf

Memorial – Letter to the European Parliament – Sakharov Prize Leyla Yunus 2014 – EN.pdf

Leyla Yunus for 2014 Sakharov Prize

 

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