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European Union's State Development

(Boromisa 2004).A thorough knowledge of the impacts of the monitoring and evaluation of the candidate countries is indispensable for a the success of the upcoming talks in 2009 for Croatia.This is because the progress of the candidate countries is monitored and evaluated regularly once a year by the European Commission and its main findings are published in Regular Reports.Even after the candidates are have signed the Accession treaty they are still monitored.This evident from the recent "Monitoring Report of the European Commission on the State of Preparedness for EU Membership of the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia" (European Commission, 2004c).When Croatia was given the candidate status it was stated by the European Council at Brussels stated that
"The European Councilconfirms that the negotiations will be based on Croatia's own merits and that the pace of accession will depend solely on Croatia's progress in meeting the requirements for membership". (European Commission, 2004c).As it can be seen that Croatian candidature was already dependent upon the evaluation of its functioning of the ideals of liberty, democracy and human rights (parliament, executive, judiciary). A stable political and economic system is thus the key to Croatia's success in achieving the timely membership of the EU.For Croatia then the ultimate integration into the EU will means inclusion into the internal market, i.e. free movement of goods, persons, services and capital. (Boromisa, A. and Miki, M., 2003).Also there will be an impact upon the trade patterns followed by the removal of trade barriers (e.g. tariffs, quotas, voluntary export restrictions) and harmonization of policies (e.g. agriculture, competition, trade and industrial).Finally there will also be a multilateralization of individual free trade agreements which will require substantial adjustments to the local investment policy and regulation. It also has to be taken into account that there is a risk of delays in the ratification procedure rises with the number of the EU member.states vying for EU membership increasing. (Boromisa, A. and Miki, M., 2003). Also Croatia might have to deal with some politically tough decisions which may form the basis for the requirements for the EU like decreased public expenditure. (Frederik Sorensen 2001 ) .Current issues faced by the EU include the controversy relating to open skies agreements, and state investor disputes. The issue of Open Skies recently created many headlines and in the context of Croatian membership it can be seen that the matter is no longer economical or legal. The issue is purely political. (Frederik Sorensen 2001 ).
This became a tug of war that took place between EU and USA authorities over the recent Open Skies Agreement. The Agreement aims to liberalise transatlantic airspace yet European transport Ministers were reluctant to agree to it at first as they felt it gave the US an unfair advantage over European interests and its ...Show more

Summary

The aim of this document is to present a brief overview of the current developments in the European Union and its member states.Where as some discussion is presented of the recent developments on State Aid and Open Skies Agreements,the rest of this document will discuss how significantly the EU regime of state aid affect the prospect of Croatian membership in 2009.
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