EU Sanctions on Kosovo Persist While Serbia Secures Billion-Dollar Deals with Western Powers

 Over the past year, the punitive measures imposed by the European Union (EU) on Kosovo remain in effect, with no decision yet made regarding their removal. Despite earlier indications of a potential easing of these sanctions, there is currently no clear timeline for such action. Meanwhile, Serbia continues to secure billion-dollar agreements with major Western powers, strengthening its economic ties and political positioning on the international stage.

EU Sanctions on Kosovo Persist While Serbia Secures Billion-Dollar Deals with Western Powers
 
Serbia has recently signed a strategic cooperation agreement with the United States in the field of energy, marking another step in its deepening relationships with Western countries. This deal follows similar partnerships with Germany for lithium extraction and with France for the acquisition of advanced military aircraft. These agreements, totaling billions of euros, signal a growing alignment between Serbia and the West, while Kosovo, on the other hand, continues to be subjected to EU sanctions.

Kosovo’s Struggle with EU Sanctions

Kosovo has been under EU sanctions since the summer of 2023, a response to escalating tensions in the north of the country. These tensions arose when Albanian mayors, elected in a contested election boycotted by local Serbs, assumed office in northern municipalities. The sanctions include the temporary suspension of the Stabilization and Association Agreement, the freezing of high-level diplomatic events, and the suspension of funding through the Western Balkans Investment Framework and IPA 2024.

Kosovo’s Prime Minister, Albin Kurti, has repeatedly called for the removal of these sanctions, labeling them as unfair and detrimental to the country. During a luncheon hosted by European Commission President Ursula von der Leyen in Brussels, Kurti emphasized that these sanctions were unjust and should be lifted. He also congratulated von der Leyen on her re-election and expressed Kosovo’s readiness to strengthen bilateral ties and further its European integration process.

Kurti highlighted the urgency of addressing Kosovo’s EU membership application and called for granting Kosovo candidate status. In his speech, Kurti argued that the expansion of the EU, especially in the context of the ongoing Russian aggression in Ukraine, would be the best response to those threatening European peace and unity. However, his requests for lifting the sanctions and advancing Kosovo’s integration process have largely gone unanswered by EU member states.

Domestic Criticism of Kurti's Leadership

Albin Kurti has faced growing domestic criticism for his handling of Kosovo's foreign relations and the country's continued isolation under EU sanctions. Former Kosovan Ambassador to the United States, Vlora Çitaku, expressed her frustration with the current government, stating that Kosovo is not benefiting on the international stage. She lamented that Kosovo is now "isolated, sanctioned, and excluded" while Serbia continues to sign lucrative deals with Western powers.

Çitaku emphasized the importance of maintaining strong alliances, noting that Kosovo's independence and freedom would not have been possible without the support of its international allies. She urged the government to reflect on its current approach, as the consequences of alienating key partners, such as the EU and the United States, could be long-lasting.

Similarly, former Kosovan Ambassador to the UK, Muhamet Hamiti, has voiced concerns over the long-term impact of the EU sanctions on Kosovo. He pointed out that hundreds of millions of euros worth of projects have already been blocked due to these measures, and the damage could extend well into the future. Hamiti criticized the government's initial downplaying of the sanctions, warning that their effects are proving to be far from temporary.

Opposition parties have also joined in the criticism, with Driton Selmanaj, a member of the Democratic League of Kosovo, highlighting Serbia’s significant achievements under Kurti's tenure. He accused Kurti of working against Kosovo’s interests, contrasting Serbia's billion-dollar deals with Kosovo's 451 days under EU sanctions and its frozen relations with the United States.

Serbia’s Western Strategic Gains

In stark contrast to Kosovo's isolation, Serbia continues to strengthen its economic and strategic ties with Western powers. The recent agreement with the United States opens the door for increased American investment in Serbia's energy sector, a move that the U.S. Department of State described as enhancing the U.S.-Serbia strategic partnership. This agreement was signed by the U.S. Under Secretary of State for Economic Growth, Energy, and the Environment, Jose Fernandez, and Serbia’s Foreign Minister, Marko Gjurić.

Earlier in July, Serbia also signed a strategic partnership with the European Union in the fields of sustainable raw materials, battery production, and electric vehicles. This followed Serbia's decision to advance a lithium mining project, which is expected to meet part of the EU's demand for this critical resource.

Conclusion

As Serbia forges ahead with strategic partnerships and billion-dollar agreements, Kosovo remains under EU sanctions with no clear end in sight. The sanctions, imposed in response to political tensions, have left Kosovo isolated on the international stage, while Serbia strengthens its ties with both the EU and the United States. Prime Minister Albin Kurti’s calls for the removal of these sanctions have thus far gone unanswered, and the long-term implications for Kosovo’s economy and its path to EU integration remain uncertain.
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