1. law, govt and politics
2. legal issues
3. human rights

UNITED NATIONS COUNTRY TEAM
COMMON COUNTRY ASSESSMENT
for
SERBIA & MONTENEGRO
Belgrade, October 2003
TABLE OF CONTENTS
BACKGROUND . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7
1. INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11
2. STRATEGIC ANALYSIS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14
MACROECONOMIC OVERVIEW OF SERBIA AND MONTENEGRO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14
Medium-Term Prospects . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16
Fiscal Considerations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17
BASIC CONCEPTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18
2.a) HUMAN DEVELOPMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21
SITUATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21
The Human Development Situation Viewed from a Human Rights Perspective . . . . . . . . . . . . . . . . . . . . . . . .21
Poverty and Human Rights in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25
The Right to Work . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .26
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27
The Right to Health . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29
Health Status of Children and Women . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .32
The Right to Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
The Right to Housing in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
The Realization of Children’s Rights in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .40
Participation of Youth in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .41
Disabled Children in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .42
The Right to Social Protection in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .43
The Right to Gender Equality and Women’s Human Rights in Serbia and Montenegro . . . . . . . . . . . . . . . . . .44
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .45
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .46
CHALLENGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47
RESPONSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .52
2.b) GOVERNANCE AND THE RULE OF LAW . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
SITUATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
Democratic Accountability and the Rights of the Citizen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .64
Reforms in Governance and the Rule of Law in Serbia and Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . .66
CHALLENGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .67
Strengthening the Rule of Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .67
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .68
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .69
Reform of Public Administration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .70
Problems of Participation and Social Inclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .71
Enhancing the Role of Civil Society . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .73
RESPONSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75
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Common Country Assessment For Serbia & Montenegro
2.c) SECURITY OF PERSONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .81
SITUATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .81
Security Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .81
Organised Crime . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .81
Human Trafficking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .82
Small Arms and Light Weapons (SALW) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .83
Instability in Southern Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .83
Juveniles in Conflict with the Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .84
CHALLENGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .85
Security Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .85
Organised Crime and Human Trafficking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .86
Eliminating Illegal Small Arms and Light Weapons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .86
Recovery in Southern Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
Juveniles in Conflict with the Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
RESPONSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
Security Sector . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .87
Organised Crime and Human Trafficking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .88
Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89
Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89
Small Arms and Light Weapons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90
Instability in Southern Serbia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90
Juveniles in Conflict with the Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .91
2.d) ENVIRONMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93
SITUATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .93
The Ecological State – The Special Case of Montenegro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .95
CHALLENGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .96
RESPONSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98
Millennium Development Goals and the Environment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100
3. PROPOSED AREAS OF COOPERATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105
Priority Area 1: Institutional Reform/ Public Administration Reform . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105
Priority Area 2: Judicial Reform & The Rule of Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .106
Priority Area 3: Sustainable Local Development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .106
Fiscal and economic parameters to future priority areas of cooperation . . . . . . . . . . . . . . . . . . . . . . . . . . . . .106
Epilogue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .107
4. ANNEXES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .109
List of the UN Country Team . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .132
5. SOURCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .133
6. LIST OF ACRONYMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .135
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6
Common Country Assessment For Serbia & Montenegro
EXECUTIVE SUMMARY
The Common Country Assessment (CCA)1 of the
United Nations System in the State Union of Serbia
and Montenegro is a major tool for the implementation of Secretary General’s Reform Programme for
the United Nations system launched in 1997. The
purpose of the assessment is to establish a common
analytical foundation for use by agencies of the UN
system to plan their activities in support of national
priorities, with a focus on the Millennium Declaration
and the Millennium Development Goals (MDGs). By
adopting a human rights-based approach to its analysis of human development, the CCA aims to add
value to the work already undertaken in the Poverty
Reduction Strategy Papers for both Serbia and
Montenegro, (PRSPs) and to highlight a number of
issues where it feels further attention is merited by
policy-makers, and where the support of UN system
agencies can make a worthwhile contribution over the
years to come. For these reasons, the CCA strategic
analysis covers the following main areas: Human
Development, Governance and the Rule of Law,
Security of Persons, and, Environment.
Human Development
A human rights-based approach provides a vision of
what human development should strive to achieve
based on the values, principles and standards
embraced in the UN Charter, the 1948 Universal
Declaration of Human Rights, and the legally binding
international human rights treaties and conventions
that have been ratified world wide (including by
Serbia and Montenegro, see Annex). This approach
uses the human rights principles and legal norms as a
coherent framework for conducting a comprehensive
analysis of the conditions of poverty and for defining
goals and objectives that strive to ensure accountability and specific results in poverty reduction efforts.
Thus, this CCA is guided by the following human
rights principles: universality, equality and non-discrimination, participation and inclusion, and accountability.
Over the course of the last decade, the severe political
and economic crisis and series of regional armed conflicts have affected the well being of the society and
damaged economic prospects in Serbia and in
Montenegro. These conditions also caused a sharp
decline in human development indicators. The phenomenon of poverty in Serbia and Montenegro is also
a reflection of failures to protect and fulfil human
rights over the ten-year autocratic era, leading in turn
to development failure - in other words, to citizens’
inability to pursue and attain the goals they value and
to claim their rights and entitlements. Shortfalls and
gaps in the realisation of economic and social rights –
to education, to adequate food, to health, to decent
work, to adequate housing – have made people
increasingly vulnerable to human poverty during the
last decade.
Serbia and Montenegro face several challenges as
they strive to advance and accelerate human development. In this regard, it is important to ensure that the
social indicators are maintained. Rising inequalities,
bigger income poverty gaps across population strata
and across geographical regions are closely linked
with disparities in the health status, educational level
and accessibility to other basic social services.
Special attention must be given to ensure that relatively all children that are born will all be healthy,
well nourished, and receive a good quality education.
One of the biggest challenges is the persistence of
social and cultural exclusion and gender inequality,
which serves to contribute to women’s poverty, with
elderly rural women and single mothers and their
children constituting the most vulnerable. Finally, the
limited empowerment of people as “rights holders”
that can claim their civil, political, economic, social
and cultural rights, constitutes a barrier to human
development. Consequently, one of the challenges to
be addressed is the lack of people’s participation in
the design and implementation of policies and programmes intended to empower and support the socially excluded and marginalized.
Governance and the Rule of Law
Governance is the exercise of political, legal, economic and administrative authority to manage a country’s affairs. Effective democratic forms of governance require transparency, accountability, public
participation, and respect for the rule of law. In Serbia
and Montenegro, the state apparatus has become
dilapidated at various levels during the decade of conflict and misrule, and is now being restored through
constitutional and administrative reform. Each republic is engaged in constitutional revision and alignment
with the union Charter. The role of the State, and
issues of regionalisation in Serbia remain to be
addressed. The separation of powers between the leg-
1 The CCA does not cover Kosovo, which is under separate UN administration, in conformity with UN Security Council Resolution 1244
Executive Summary
7
islature, the executive, and the judiciary seems
accomplished in form, but not yet completely in function. The Parliament still lacks the sophistication
required of a modern European state, and needs to
develop citizen trust, transparency and robust democratic oversight of the government, its finances and its
services. The executive branch is de-professionalized
and depleted, but capacity building is underway.
Montenegro has a strategy for public administration
reform, but Serbia has yet to adopt one. The security
sector needs significant investigation and reform, and
effective democratic parliamentary and civilian government oversight, in the defence arena at union level,
and in the internal security area at republic levels.
The judiciary continues to struggle with internal corruption, ineptitude, political and criminal interference, discrimination, and an enormous backlog of
cases before the courts, incurring such delays as to
frustrate effective access to justice, and the equitable
rule of law.
establishing functional democratic institutions and
strengthening the role of civil society. Thus, it is
clearly an imperative to focus on building a foundation that involves: reforming the constitution, amending legislation, reorganizing and building the capacity of state institutions, and developing policies that
adequately respond to the transition to a market society, but also take into account the needs of the poor
and excluded members of society. There is a need to
help each government develop a vision for public
service reform, promote a professional civil service
and develop and implement a public administration
reform strategy to revitalise public institutions. The
development of institutional capacity, according to
European benchmarks of good governance is highly
relevant to the process of adequate preparation for
European Union membership of Serbia and
Montenegro.
The root cause of the insufficient presence of a democratic and human rights culture and tradition is due
in part to the limited understanding and practice on
the part of high officials and politicians of the use of
mechanisms, processes and institutions for consultation, dialogue, and accountability. There is also a lack
of strong civil society pressure to introduce participatory mechanisms, which is itself a result of the country’s limited liberal democratic experience. The public’s attitude to NGOs can also be traced back to the
country’s authoritarian past. It appears that the general public is to some extent suspicious of the motives
and character of NGOs. A primary challenge for representative democracy is to find ways to ensure that
civil society organizations play constructive roles in
generating legitimate demands, articulating social
needs around which public policy can be made,
demanding transparency and accountability, monitoring government policy-making and policy implementation, including enabling people to participate actively in society, and ensuring that ordinary citizens are
motivated to be active in civil society.
The legacy of the preceding decade is still manifest in
the functioning of the security sector, in the magnitude of organised crime and human trafficking, and in
the recently stabilised unrest in southern Serbia
among ethnic Albanians. The challenges of impunity
and corruption add to the difficulties of redressing
these legacies. The inherited weakness of civilian
control over the military poses a risk to democracy
and the stability of government. A process of downsizing the military has begun but has lacked sufficient
transparency. Disarmament has not so far been a priority, and political will for the reform of the military
has been weak; civil society pressure in this respect
has been limited.
Corruption is a widespread phenomenon in the country, and is perceived by the population as one of the
top three problems followed by crime and high prices.
Thus, there exists a direct relationship between public
sector corruption on the one hand, and on the other
non-transparency and impunity in governance, lack of
effective rule of law, a weak legal system, a poor
administration of justice, the existence of organized
crime and limited development of the civil society
sector.
Serbia and Montenegro are undergoing a period of
transition and continue to face the challenges of
8
Security of Persons
Another legacy of the 1990s was the growth and
implantation of organised crime. Serbia and
Montenegro continue to receive and cooperate with
investigative missions deployed under the auspices of
the UN Security Council in connection with clandestine activities that breach UN sanctions. In addition,
there is persuasive evidence that the Balkan region is
playing a key role in human trafficking and that
Serbia and Montenegro and neighbouring countries
continue to be used by traffickers, both as a destination and as a major route and stepping-stone predominantly to Western Europe. Moreover, the scarce
existing data suggests that this is a phenomenon of
increasing proportions, particularly in regard to
women and young girls.
Another concern is in relation to the phenomenon of
small arms and light weapons (SALW). The widespread availability of weapons results from the legacy of conflicts in the region. The large-scale production of small arms and light weapons in the past, com-
Common Country Assessment For Serbia & Montenegro
bined with the lack of legislative controls and the
weakness of customs and border controls, has exacerbated the problem, with weapons still readily available on the illegal arms markets.
Organised crime and the related drugs, small arms,
and human trafficking further impact on human rights
and the security of persons. They are also major factors behind the widespread corruption in the judiciary
and public administration, and thus distort markets
and undermine the rule of law.
The Environment
In Serbia and Montenegro degradation of the environment and natural resources, following rapid industrial development after World War II, intensified
again during the 1990s, which was characterized by
economic sanctions and conflict. During that period
there was (i) lack of investment in cleaner technologies and in environmental protection, management
and monitoring, (ii) uncontrolled exploitation of natural resources, and (iii) use of low quality energy
sources encouraged by low energy prices. The NATO
intervention in 1999 damaged key military and industrial installations and considerable quantities of toxic
chemicals were released in the air, soil and water,
posing immediate threats to human health and the
environment. As a result, four “environmental
hotspots” were identified in September 1999.
Presently, most environmental pressure in Serbia and
Montenegro comes from urban areas and their industries, causing immediate environmental health risks to
urban populations.
Overall, there is a need for improvement of basic monitoring and enforcement capacities whose development
has been restricted by low public sector environmental
expenditures. Limited monitoring and reporting of
environmental quality represent serious obstacles to
the development of comprehensive environmental
plans and strategies and will hamper efforts to achieve
and monitor the MDGs for environment. In line with
requirements of a Stabilization and Association
Agreement in preparation for EU accession, Serbia and
Montenegro will need to ratify a number of key international environmental agreements as well as establish
the proper management systems for their implementation. Harmonization with EU environmental legislation will also necessitate higher expenditures. In addition, inter-ministerial coordination mechanisms for
sustainable development need to be strengthened and
environmental principles adequately integrated in the
socio-economic development programmes and plans
of Serbia and Montenegro. Civil society participation
in environmental planning and management should be
stronger as well.
Executive Summary
9
10
Common Country Assessment For Serbia & Montenegro
BACKGROUND
The former Yugoslavia was a founding member state
of the United Nations in 1945, and according to the
Constitution it became the Socialist Federal Republic
of Yugoslavia (SFRY) between 1974 and 1992. Four
decades of relative prosperity followed after World
War II, with high levels of human, scientific, and economic development. It was exceptional in the socialist bloc in developing a mixed economy and its citizens enjoyed relative freedom of movement. It participated actively as a donor in international development cooperation, and many Yugoslavs were leaders
in international organizations and in various technical
fields. It was also a leading member of the nonaligned movement.
But the SFRY disintegrated in the early 1990s, the
moment of greatest historical opportunity for postcommunist transition and European integration. The
break-up of the SFRY and the ensuing decade of tragic Balkan wars led to the emergence of the new states
of Bosnia-Herzegovina, Croatia, Slovenia, and the
former Yugoslav Republic of Macedonia; each gradually accepted as new member states of the United
Nations. The residual Federal Republic of
Yugoslavia (FRY), consisting of the two republics
of Montenegro and Serbia, came into being in
1992. However the FRY’s claim to be the unique successor state of the SFRY was not accepted by the
international community, and it remained effectively
excluded from the United Nations.
Between 1991 – 1996 the UN Security Council
imposed a set of sanctions on FRY in accordance
with its resolutions comprising an arms embargo,
comprehensive economic trade sanctions and banned
financial, scientific, technical and cultural cooperation. After the signing of the Dayton Peace Accord, all
UN sanctions were lifted in October 1996.
Several years after the Dayton Accords which settled
the conflict in Bosnia and Herzegovina, and which
imposed several obligations on the FRY, a new conflict erupted, this time within the FRY itself in the
province of Kosovo. This led to countrywide destruction of key infrastructure by NATO bombing, and an
eventual military deployment by NATO in Kosovo.
In accordance with UN Security Council resolution
1244, in 1999 Kosovo was placed under the direct
administration of the United Nations, whilst respecting FRY sovereignty over it. A separate UN mission,
UNMIK, now administers Kosovo pending a resolution of its final status.
In response to FRY’s policies during the escalating
crisis in Kosovo, in 1998 a new set of sanctions were
imposed against Serbia by the USA and EU, including an arms and oil embargo, a ban on all investment,
cancellation of preferential trade status, freezing of
assets in the banks, and ban on trade with all Serbian
enterprises excluding those who could prove disassociation with the regime. Those sanctions were lifted in
late 2000 after the fall of the Milosevic regime.
The Kosovo conflict, amongst many other tragic consequences, led to the displacement of a large number
of persons, initially ethnic Albanians who then
returned, and subsequently ethnic Serbs, Roma, and
other groups, many of who remain internally displaced in other parts of Serbia and Montenegro. The
FRY also continued to host a large population of
Croatian and Bosnia and Herzegovinian refugees of
mainly Serb ethnicity. A majority of the refugees have
opted to take SCG citizenship and to integrate.
However, a significant number remain in a very vulnerable condition, and unable so far to exercise their
right of return.
In October 2000, the internationally isolated
Milosevic regime was overthrown through massive
peaceful protests following defeat in a democratic
election. A new government was sworn in at Federal
level, followed by a new democratic government in
Serbia in early 2001. The FRY, abandoning its claim
to be the unique successor state to the former SFRY,
joined the United Nations on 1 November 20002, in
effect as a new member state.
The first meeting, in July 2002, of the presidents of
Bosnia, Croatia and FRY since the wars of the 1990s
at a summit in the Bosnian capital, Sarajevo, saw
agreement reached to strengthen regional cooperation. Whilst largely symbolic, the meeting had huge
historic value and was seen in the Balkans as an
important moment. The UN Observation Mission also
left the disputed peninsula of Prevlaka, after FRY and
Croatia reached a temporary agreement on Prevlaka.
In August 2002 over 70,000 people went to the polls in
south-eastern Serbia’s first local elections since a
peace deal ended more than 15 months of civil conflict. Two ethnic Albanian mayors were returned from
2 See UN General Assembly resolution A/RES/55/12 of 1 November 2000.
Background
11
the three municipalities. The region has benefited from
a significant UN system-led international aid package.
For one third of 2002 the Serbian Parliament did not
sit due to a disagreement about mandates amongst the
DOS (Democratic Opposition of Serbia) coalition (of
18 parties), which had overseen the democratic
changes since the overthrow of the Milosevic regime
in October 2000. The Federal Parliament saw a continued boycott by political forces during 2002.
Government gridlock and the consequent lack of an
interlocutor, at Federal and Serbian levels, for much
of the year, seriously hampered dialogue with external partners on a number of issues, including access
to some World Bank and other donor funds.
The EU-brokered Belgrade Agreement on the restructuring of relations between Serbia and Montenegro,
signed on 14 March 2002, was the first step towards
the restructuring of the Federal Republic of
Yugoslavia. Following on the Belgrade Agreement, a
UN-sponsored Strategic Round-Table on Governance
Transition was held in mid 20023, bringing together
the country’s top leadership at federal and republic
levels with a panel of eminent international advisors,
thus effectively contributing to widening the public
debate on the nature and thrust of constitutional
reforms. Follow-up included government steps to
manage the transition and the strengthening of capacity building in key institutions; especially those that
would inherit significant devolved responsibilities
under the new decentralization policies.
The Constitutional Charter for the looser state union
of “Serbia and Montenegro” to replace the FRY under
the terms of the Belgrade Agreement was finally
adopted in December 2002. After two years of progressive reforms and following almost a year of EUbrokered negotiations, the Federal Republic of
Yugoslavia was thereby transformed into a looser
State Union of Serbia and Montenegro in early
February 2003. Under the new Constitutional
Charter adopted in December 2002, the State Union
conducts international relations as a single country
and is represented by one President and five ministries (foreign affairs, defence, international economic relations, internal economic relations, human and
minority rights). There are currently four active legislatures on the territory of the State Union of Serbia
and Montenegro (excluding Kosovo), i.e. the
Parliament of Serbia and Montenegro, the National
Assemblies of the Republics of Serbia and
Montenegro respectively, and the Assembly of
Vojvodina; active legislatures also exist at the local
level. All the assembly members are directly elected,
except those of the State Union Parliament who are
elected by the Members of the republican chambers.
The new State Union of Serbia and Montenegro on 7
March 2003 elected a new State Union President
Svetozar Marovic, replacing former FRY President
Vojislav Kostunica, and the new Union Council of
Ministers have taken office.
In Montenegro successful local elections were held in
May 2003. Montenegro elected a new President, Filip
Vujanovic in May 2003. On the other hand, the fruitless elections4 held to determine the next President of
Serbia should serve as a warning of the fragility of the
democratisation and reform processes so far. Serbia
still has no elected President, with the Speaker of
the National Assembly instead acting, although elections have now been called for 16 November 2003.
The Serbian Constitution is meanwhile being revised.
Within this context, the judicial and security sectors
are faced with major restructuring, and the consequences of the delay in proceeding become only too
apparent on 12 March 2003 when the Serbian
Prime Minister was assassinated, affecting both the
credibility of attempts to ensure effective democratic
and civilian oversight, as well as the fight against
organized crime and corruption.
For six weeks from mid-March 2003 a state of
emergency was declared in Serbia. The Ministry of
Foreign Affairs of Serbia and Montenegro notified the
UN Secretary-General of its derogation from certain
human rights obligations. The UN/OHCHR office in
Belgrade worked intensively with the authorities to
ensure that the derogation provisions, ten in all,
remained consistent with international standards5.
Among the 1,000 or so who remain detained,
UN/OHCHR and OSCE have found conditions to be
inconsistent with international standards.
The International Commission of Jurists has also
communicated to the authorities its reservations about
non-respect of international standards in relation to
the independence of the judiciary. It is widely per-
3 This Strategic Round-Table was organized at the request of national leaders and after consultations with the EU and other internation-
al partners.
4 Two attempts were made to elect a President of Serbia. Both failed due to the turnout being below the stipulated 50% of registered voters.
5 In particular, in relation to General Comment no. 29 of the Human Rights Committee, and the relevant provisions dealing with states
of emergency, of the International Covenant on Civil and Political Rights (article 4), and the International Convention against Torture
(article 2).
12
Common Country Assessment For Serbia & Montenegro
ceived that personnel changes are urgently needed. A
clean-out is already underway, initially on the basis of
age criteria, and specific cases of corruption that are
coming to light.
By some accounts, the current crisis is symptomatic
of the disconnect between the rapid pace of economic reforms and the weaker pace of law, judicial, and
socio-political reforms including an effective separation of powers between the legislative, the judiciary
and the executive, as well as for effective democratic
civilian control of the security forces. Recognizing
the risks of systemic instability, democratic leaders
have called for a reuniting of democratic forces to
overcome recent divisions so as to protect the gains of
democratisation and recent reforms. Such political
cohesion will be essential to move forward the legislative backlog pending before Parliament, which is
key to structural and sectoral reforms.
The mixed record of compliance with ICTY obligations, combined with clandestine arms trading with
Iraq and Liberia (in breach of Security Council resolutions), risked exposing FRY in late 2002 to the
opprobrium of the international community, or worse,
a slide back to international pariah status with
renewed international sanctions. However, following
the advent of the State Union in early 2003, and the
dramatic events of March 2003, a new determination
seems to have emerged to fully meet ICTY obligations, be more transparent with the Western partners
and move forward with the reform of the Army. It is
worth noticing that lately, the Prosecutor of the ICTY
decided to consider ceding in the future to the jurisdiction of the State Union certain cases, once the
country adopts adequate legislation on war crimes trials and develops the necessary capacity.
This is a defining moment for Serbia and Montenegro. Today, as recent months have shown, democracy in Serbia and Montenegro appears strong enough
to not only survive, but to thrive. As for the future,
there is no question that the major anchor for further
reforms seems to be the widespread and deep-felt
aspiration to join the European Union. The EU
prospect hangs out there as the ultimate litmus test for
normalisation and completion of regional and international integration.
The question is: does Serbia and Montenegro have the
institutional strength to engage in new contractual
obligations on the road to EU accession? It is not yet
a member of the EU, but has been a new member of
the UN for the past (almost) three years. How well
has it fulfilled its obligations of membership in the
UN, and what does this tell of its readiness to undertake new binding international commitments?
Background
Serbia and Montenegro has acceded to the six core
UN human rights treaties that FRY had ratified. In
2003, Serbia and Montenegro demonstrated its readiness to assume its reporting responsibilities under
these treaties by completing long overdue reports
under the International Covenant on Civil and
Political Rights and the International Covenant on
Economic, Social and Cultural Rights. In both Serbia
and Montenegro, inter-Ministerial committees have
also begun work on reporting to the Committee
Against Torture (CAT), the Committee on the
Elimination of Discrimination Against Women
(CEDAW), the Committee on the Rights of the Child
(CRC) and the Committee on the Elimination of
Racial Discrimination (CERD) with an ambitious
plan to complete reports to these treaty bodies by the
end of 2003. Of importance here is not only the submission of overdue reports, but also the extent to
which the Government uses this as an opportunity to
systematically review its legislation and practice
against international standards. Equally important
will be the readiness of the Government to implement
the recommendations of the treaty bodies when the
reports are reviewed.
There is no question now of Serbia and Montenegro’s
commitment to the Millennium Declaration, to the
upholding of human rights, to the pursuit of the
Millennium Development Goals. And expressions of
formal adherence to UNSCR 1244 as well as for full
compliance with obligations to ICTY are frequent.
However, performance paints a mixed picture of limited success and great effort in some quarters, earnest
support by some leaders, mixed with a pattern of
political wrangling, less-than-full compliance, delays
and opportunities lost, and singularly weak and sometimes ineffective institutions.There would seem, apart
from perhaps the overall EU prospect, to be little
common vision as to what the future of this country
should be. The need for a process of capturing national aspirations, forging political consensus, and driving
a national vision, could never have been greater than
now.
What role then should the UN system and its agencies, funds, and programmes play in helping shape the
country’s future?
The answer to this question will form the basis for the
UN Development Assistance Framework to be developed in the latter part of 2003. This present Common
Country Assessment should provide the basic analysis that will underpin the choice of future main areas
of cooperation.
As Serbia and Montenegro proceeds towards greater
European integration, meeting European norms and
13
standards, it will also increasingly fulfil its role as a
member state of the UN. Conversely too, improved
performance in respecting international obligations
enhances prospects of EU accession eligibility. A
crucial horizon for the UN system in the country must
be the day when Serbia and Montenegro engages as a
full contributor to the work of the UN worldwide,
including as a donor, and when UN operational activities can be successfully concluded – under circumstances that the EU, IFIs, the Stability Pact and the
UN system in partnership with others will have contributed to achieving.
This document has adopted the following
nomenclature: “Serbia” refers to the “Republic
of Serbia”, “Montenegro” to the “Republic of
Montenegro”, and “Serbia and Montenegro”
means the State Union of the two republics. The
analysis of Serbia and Montenegro in this document does not include the UN-administered
province of Kosovo.
14
Common Country Assessment For Serbia & Montenegro
INTRODUCTION
After the downfall of the Milosevic regime in October
2000 the UN system, in consultation with the national authorities and external partners, began a shift
away from a humanitarian focus to a longer-term
developmental one, based on the needs for structural
reform and institutional capacity-building rooted in
the principles of good governance that had been widely adopted internationally during the decade of
Yugoslav isolation.
Much has been achieved in almost three years of
democracy since the ousting of the Milosevi? regime.
The visit of the UN Secretary-General to Serbia and
Montenegro in November 2002 signalled a recognition of progress made since the democratic changes of
October 2000, and encouragement for further efforts
to meet international obligations, advance European
integration, and continue the path of socio-economic
reforms, as well as to address the issue of durable
solutions for war-affected persons.
However, many stumbling blocks remain. Many state
institutions are weak, depleted of expertise, and in
need of restructuring and capacity development.
Public administration reform is essential, and should
initiate new forms of public-private partnerships,
especially in the area of service delivery. A new
approach to the role of the state must be further
strengthened whereby government provides the legal
and regulatory framework, but does not necessarily
hold direct ownership or exercise operational control
over large parts of the economy. Many economic
reforms are making good headway, with currency stabilisation and macroeconomic stability restored and
the successful privatisation of internationally attractive holdings yielding growing inward investment.
But poverty levels are dramatic and a serious potential source of rising discontent particularly since it is
associated with rising unemployment. Social gains
from the early reforms are not yet evident enough to
the majority of citizens.
For the first year in over a decade, no United Nations
Humanitarian Appeal was launched for the Balkans in
2003, indicative of the normalization of the subregion. However, there are residual needs for
refugees and IDPs. Also, marginalized and vulnerable groups such as the Roma and other minorities
Introduction
experiencing discrimination require the focused
attention of the national authorities and international
partners. A positive measure was the adoption of the
Law on Minorities and the ratification of the
European Convention on Minorities.
The quest for durable solutions for the special plight
of refugees and IDPs has led several UN agencies to
co-sponsor the development of an overall strategy by
the Government. However its implementation is still
work in progress, and the Government and UN agencies remain focused on this important national issue.
Effective implementation of Security Council
Resolution 1244 on Kosovo, and determination of its
final status, will provide an impetus to concrete action
for the IDP population. The improvement of bilateral
relations with neighbours, especially Croatia, will
also enable progress for refugee return, although
property rights remain difficult to exercise.
A Poverty Reduction Strategy Paper (PRSP) process
has begun in both Serbia and Montenegro. The
approach taken is that poverty is multi-dimensional
and includes not only insufficient income, but also a
lack of livelihood opportunities, inadequate shelter
and inadequate access to social protection, health,
educational and public services. The PRSP will be
one of the main frameworks for the international
community’s assistance in dealing with poverty, vulnerability and social exclusion in the country.
The FRY had been excluded from global partnerships
for development in the 1990s and could not benefit
from them. Now grants and concessional loans, the
writing off of a large share of foreign debt, financial
support from the IMF and loans approved under IDA
conditions, and expected increases in FDI are all
coming on-stream.
During 2002, donor funding has shifted markedly
from humanitarian assistance to normal development
cooperation, and also from grants to loans, and in
terms of overall volume there is a general downward
trend. The shock of the Djindjic assassination has
served as a wake-up call about the fragility of the
transition, and the risk of premature donor disengagement.
The recent influx of post-humanitarian international
assistance had in many instances led on to new
forms of parallel and complementary bilateral cooperation as donors establish a more solid presence on
the ground in the country. This has taxed the coordination capabilities both of donors and of government, although it is hoped that the competition it
often generates promotes higher standards of programme performance, and not wasteful duplication
15
of effort in a country that has been resource-starved
for too long.
Within the country, many have called for speedier disbursements by donors and a reduction in red tape. In
early 2003, the authorities requested donors to speed
up disbursements and increase budgetary support.
Trading partner countries were also requested to
reduce tariffs.
Donor conferences were held in December 2000 and
June 2001. The oft-postponed 3rd Donor Conference
is now scheduled for late 2003. Both government and
donors have drawn attention to the need for substantial institutional reform. International partners, such
as the EU, EBRD, the Council of Europe, the World
Bank, have reassured the country of steadfast support
towards European integration. Some have expressed
the view that a consistency of approach and message
is now of paramount importance.
Within this context, UN system activities accounted
for over US$ 100 million in 2002. In all, about 700
UN system international and national personnel are
engaged today in supporting these activities in Serbia
and Montenegro (excluding Kosovo). The scale of
this assistance6 during the early post-humanitarian
transition is a vigorous affirmation of the role and
effectiveness of multilateral development cooperation, and an expression of confidence in the reform
efforts now underway.
Uncertainties until early 2003 about the future of the
then-Federal (FRY) administration, reflected in the
radical restructuring of relations between Serbia and
Montenegro and the advent of the looser State Union,
meant that in 2001-2002 the major share of UN agencies’ efforts were focused at the working level on the
two constituent republics and their governments and
institutions.
In March 2002, following the Government’s lead in
launching the Serbian PRSP process in which the
Millennium Development Goals are addressed,
UNDP engaged in helping the establishment and
facilitating the work of the Civil Society Advisory
Committee (CSAC). The CSAC was established in
December 2002 and consists of representatives of
trade unions, NGOs and CBOs (Community Based
Organisations). UNICEF, UNDP and UN/OHCHR
constitute the core UN agencies representing the UN
country team in the Development Partners Advisory
Committee (DPAC), which also includes INGOs, and
multi/bilateral donors. UNHCR has also been
involved, advocating for the inclusion of refugees,
IDPs and Roma in the PRSP process. The consultation process started in mid February 2003 and so far
the CSAC and DPAC provided valuable inputs.
The Common Country Assessment of the United
Nations System in the State Union of Serbia and
Montenegro is a major tool for the implementation of
Secretary General’s Reform Programme for the
United Nations system launched in 1997. The purpose of the assessment is to establish a common analytical foundation for use by agencies of the UN system to plan their activities in support of national priorities, with a focus on the Millennium Declaration
and the MDGs.
Both the Serbian and Montenegrin governments have
expressed their full partnership in the CCA/UNDAF
process, following meetings which the Resident
Coordinator had with the late Prime Minister Zoran
Djindjic (Serbia) at the end of January, and his successor – Prime Minister Zoran Zivkovic, and Prime
Minister Milo Djukanovic (Montenegro) during
February 2003. At the level of the State Union of
Serbia and Montenegro, the Ministry of Foreign
Affairs designated a focal point to participate in the
process, and the Ministry of International Economic
Relations has also actively participated.
Preparation process. In Serbia, the CCA
process coincided with the preparation of the
Poverty Reduction Strategy Paper (PRSP) prepared by the Government of Serbia in partnership with the World Bank. The CCA preparation
benefited from a first draft of the PRSP, which
was made public in mid-May 2003. At that time
the PRSP preparation process was beginning in
Montenegro and it is expected to be completed
in Autumn 2003. The CCA relies extensively on
draft PRSPs from both Montenegro and Serbia.
The CCA preparation also benefited from the several
studies and analyses produced by a variety of national and international institutions, as well as
Government policy and strategy documents. The
process of preparation has drawn considerably on the
6 A Compendium of UN System Activities in Serbia and Montenegro is being issued in tandem with this CCA, as a companion volume.
It lays out a wealth of diverse activities undertaken by the UN system in FRY. The UN Country Team of agencies funds, programmes,
and other UN and associate bodies comprises 13 different UN related entities: UNICEF, UNDP, UNEP, FAO, WFP, WHO, UNHCR,
UN/OHCHR, UN/OCHA, UNLO, UNMIK/Belgrade, UNICTY and IOM. The World Bank, IMF, and IFC are customarily invited to
attend UNCT meetings. In March 2002, the Secretary-General appointed the first UN Resident Coordinator.
16
Common Country Assessment For Serbia & Montenegro
work already done at national level in monitoring of
the Millennium Development Goals. During its
preparation the CCA has made use of participatory
methods such as causality analysis and small workshops within the UN Country Team (UNCT).
The UNCT in Serbia and Montenegro is preparing a
CCA for the first time. Early in 2003, the UNDP
Resident Representative and UN Resident
Coordinator, the Representative of WHO and a staff
from UNICEF, attended a training session in
Tarrytown, New York. Upon their return a UNCT
staff retreat was held to prepare the CCA process. In
order to identify and analyse the key issues five thematic groups were established in mid-March 2003.
These were: Human Development, Human Security,
Rule of Law, Governance and Institutions, and
Environment. A core support team composed of international and national staff from UN agencies was
assigned to facilitate the work of the theme groups,
compile inputs and drafts and prepare elements of a
working document for an international consultant who
would quickly review the draft before presentation to
the Readers’ Group of external agencies’ regional
staff. The CCA preparation process did not benefit
from any other external assistance except that of consultants who helped with the writing and editing.
tance framework (UNDAF) for Serbia and
Montenegro, for 2004 and beyond. This will chart out
the main areas where the combined strength of the
UN system can best be brought to bear in facilitating
and supporting sustainable human development
change in the country in the years to come, complementary to the efforts of other actors and in full partnership with government at all levels, including with
civil society. The UNCT earnestly hopes that this will
enable and promote the achievement of the global
United Nations Millennium Development Goals and
other targets subscribed to by Serbia and Montenegro.
In addition, two stakeholders’ workshops were held,
in Belgrade on 15 July and in Podgorica on 8 August
respectively, to present the draft CCA and to obtain
feedback from a wide range of partners, including in
the Government, in civil society, in academia, and
amongst other members of international community.
Several subsequent written submissions were
received from various ministries at the level of the
state union and from each republic government, as
well as from other partners, to provide information
and data and/or to share analyses or institutional or
stakeholder perspectives.
Scope. The CCA exercise has adopted a human
rights-based approach and life-cycle perspective
where appropriate, with special reference not just to
the MDGs, but also to the other salient elements of
the United Nations Millennium Declaration7 and the
Millennium Roadmap8. These are of special importance to this country’s stability, recovery, and international integration at this time.
Follow up. The UN Country Team will use this common country assessment (CCA) in the second half of
2003 to develop a common UN development assis7 See “United Nations Millennium Declaration” , UN General Assembly resolution in document A/RES/55/2 of 18 September 2000.
8 See “Road map towards the implementation of the United Nations Millennium Declaration – Report of the Secretary-General”, UN
General Assembly document A/56/326 of 6 September 2001.
Introduction
17
18
Common Country Assessment For Serbia & Montenegro
2.
STRATEGIC ANALYSIS
• Security of persons
• Environment.
MACROECONOMIC OVERVIEW
OF SERBIA AND MONTENEGRO
The UN Country Team in Serbia and Montenegro
(SCG) has adopted the view that SCG has a number
of distinctive features that warrant a tailored and perhaps unique approach to the CCA/UNDAF exercise.
In the first instance, SCG’s situation is characterized
as a post-crisis environment with an over-hang of specific international obligations such as in relation to
ICTY, or pursuant to the Dayton and Kumanovo
Accords, or in relation to UN Security Council
Resolution 1244. The presence of some members of
the UNCT in SCG is largely intended to support
cooperation in specific areas that relate to such
accords and resolutions. This lends a special importance to other aspects of the UN Millennium
Declaration, beyond the parameters of the eight
Millennium Development Goals (MDGs). In fact
these other elements of the Millennium Declaration,
such as peace and security, governance, the rule of
law, and human rights, must be considered as essential foundations for the nurturing of an enabling environment in which to sustainably address the challenge
of the MDGs.
Furthermore, whilst the MDGs have an over-riding
importance both for the country and for the UN system presence here, they must be contextualised somewhat differently in each of SCG’s two republics,
namely, in Montenegro, and in Serbia. The UNCT
also recognizes that the PRSP processes underway in
both Serbia and in Montenegro are addressing the
gamut of MDGs in an increasingly holistic albeit not
exhaustive way. In fact, each PRSP lays an important
foundation for deriving meaningful future anti-poverty programmes, and inter-related other development
activities. By adopting a rights-based approach to its
analysis of human development, the CCA aims to add
value to the work already undertaken in the PRSPs,
and to highlight a number of issues where it feels further attention is merited by policy-makers, and where
the support of UN system agencies can make a worthwhile contribution over the years to come.
For these reasons, the CCA strategic analysis covers
the following main areas:
• Human development
• Governance and the rule of law
Strategic Analysis
Armed conflicts, international sanctions, and trade
shocks resulting from the break-up of the SFRY led to
a 50 percent output decline over 1990-1993, and a
sharp increase in unemployment and poverty. A slow
recovery ensued in 1994 after the end of hyperinflation, but the re-imposition of international sanctions,
supply disruptions, and the destruction of physical
infrastructure related to the Kosovo crisis produced a
severe output contraction in 1999. High inflation and
under-investment depleted the capital stock and led to
erratic growth and high structural unemployment.
These problems were magnified by distortive fiscal,
monetary, and structural policies. Production and
trade were hampered by exchange rate misalignments, an inefficient external tariff regime, an adverse
business environment, and chronically high inflation.
Resources were diverted from productive uses
through loss-making public enterprises, unaffordable
social programs, and bloated government. The public
finance system was undermined by extensive quasifiscal activities. High-level corruption further turned
funds away from vital economic and social goals.
The renewed transition to market economy and democratic society in Serbia and Montenegro (SCG) started with the establishment of the new Serbian
Government in January 2001 and sometime earlier in
Montenegro. The legacy of 1990s – devastated industry, chronic inflation, collapsed banking sector,
destroyed infrastructure, emigration of professionals,
decline in personal incomes, growth of informal sector etc.; created difficult initial conditions for the new
reformist Serbian Government. By 2000, recorded
per capita GDP had fallen to about one half of its
1989 level. Large domestic and external debts were
accumulated, with the latter reaching around 133 percent of GDP in 2000.
Poor economic performance adversely affected living
standards of the vast majority of the SCG population.
In Serbia, the most recent surveys (conducted in
preparation for the PRSP) show that 10.6% of population lives below the poverty line. These data also
show a clustering of the population just above the
poverty line, indicating that many families could easily fall into absolute poverty as a result of small
income shocks. The increase in poverty during the
1990s was fuelled by deterioration in social protection, education and health services, as available
financing fell below existing entitlement levels. In the
19
same period unemployment was permanently increasing, in both the formal and informal economy. The
effects of poor economic management were compounded by international sanctions from 1992 to
1996 and again from 1998 to 2000.
In breaking with this difficult legacy, the former
Federal Yugoslav and Republican governments have
followed a two-pronged approach combining stabilization measures with the first steps in an agenda of
structural reforms aimed at initiating the delayed transition. Motivated by the need to manage hidden fiscal
liabilities, the authorities’ key instrument for macroeconomic stabilization has been the adjustment of fiscal deficits towards levels financeable from noninflationary sources. This policy shift has been supported by initial reforms of public financial management and the tax system, and through progress in
adjusting or freeing prices to contain quasi-fiscal risks
in the form of losses of key state enterprises. In parallel the National Bank of Serbia (previously the
National Bank of Yugoslavia) led a tight monetary
policy mainly reflected in a stable exchange rate.
These tighter macroeconomic policies were supported by an IMF programme for FRY approved in
December 2000, followed by a Stand By
Arrangement (SBA) for US$249 million equivalent
approved in June 2001. In May 2002, the IMF
Executive Board approved a three-year arrangement
for FRY (SCG) under the Extended Arrangement of
US$829 million equivalent spanning the period
through end-March 2005. Such an arrangement was a
prerequisite for implementing the 66 per cent debt
reduction negotiated with the Paris Club in November
2001, which cuts SCG’s debt by 51 percent upon
approval of the Extended Arrangement, and by a further 15 per cent upon its successful completion.
Extended Arrangement macroeconomic objectives
include: (a) achieving GDP growth of 5 per cent in
2003-05; (b) reducing Serbia’s inflation from 39 percent in 2001 to 5 percent in 2005; and (c) reducing
SCG’s current account deficit (before grants) from
9.7 percent of GDP in 2001 to 7.9 percent in 2005.
The second pillar of the governments’ strategies was
an initiation of structural and institutional reforms
across a wide front. In Serbia, reform of the financial
sector, the establishment of transparent procedures for
privatisation of state and socially owned enterprises,
and improvements in the tax regime and liberalization
of foreign trade policy, have combined to provide a
basis for stimulating near-term growth and creating
the basis for a sustainable supply response. Legal and
judicial reforms, as well as those in public expenditure
management, taxes, and customs are backed by an
anti-corruption strategy for improving governance and
institutions. This was also supported by eliminating
the main sources of quasi-fiscal deficits (primarily in
the energy sector). Significant social sector reforms
included major changes to key parameters of the pension system and noticeable improvements in the regularity of pension payments. These changes placed the
pension system on a more sustainable basis.
The Montenegrin government began implementing
reforms in the late 1990s, with significant technical
and financial support from the EU and USAID. The
effects of these reforms were limited by the negative
impacts of other factors (the Kosovo conflict, unresolved relations within the Federation, and regional
issues), as well as by the limited internal capacity to
implement these policies. This early programme of
macroeconomic reforms in Montenegro was based
on two pillars: (i) the gradual introduction of the
German Mark as the sole legal tender (later replaced
by the euro), and (ii) substantial donor financing to
cover the fiscal and external deficits. Beginning in
2001, the second pillar was changed by a move to
more sustainable levels of external of financing,
which in turn required renewed and concerted fiscal
adjustment. By removing an important source of outside pressure, the political changes in Serbia produced a more conducive environment for deeper
structural reform in Montenegro. Key areas of recent
progress include fiscal reform (e.g. introduction of
VAT, measures on both expenditures and revenues
side aimed to decrease deficits, production of more
realistic budgets, introduction of a treasury system,
and increased transparency), the privatisation programme (mass voucher privatisation was completed
during the past two years - with almost 90 per cent of
the population participating, and there is now a
renewed focus on the privatisation of “strategic”
companies, banks and hotels through tenders), moving energy tariffs towards cost-recovery levels, and
completing the legal framework for the enterprise
and financial sectors.
Recent Economic Developments. Strong implementation of these government programmes largely supported by the IFIs (international financial institutions) and
other donors, has brought visible progress, while laying the foundations for a sustained recovery and
improved living standards. In Serbia, twelve-month
inflation declined from 115 per cent at the end of
2000 to 39 per cent at the end of 2001, and further to
14.8 per cent at the end of 2002.9 Planned inflation for
2003 is around 9 per cent (Dec/Dec). Despite a formal
managed float, the nominal exchange rate of the
9 Underlying inflation, net of the effects of adjustment of administered prices, is below 10 per cent per year.
20
Common Country Assessment For Serbia & Montenegro
Serbian dinar to the euro (previously DM) has
remained broadly stable and unified since December
2000 until end of 2002. During the first half of 2003
the dinar depreciated by 6 per cent against the euro.
FRY’s official foreign reserves reached US$2.3 billion at the end of 2002 (3.4 months’ of projected
imports), exceeding IMF programme targets. At the
same time personal savings in foreign currencies
reached US$800 million. Real GDP has rebounded
from a decline of about 16 per cent in 1999, growing
by 5.5 per cent in 2001 and around 4 per cent in 2002,
though industrial production stagnated in 2001 and
showed only a modest recovery of 1.7 per cent in
2002. Services and agriculture have recorded faster
growth rates in the last two years. Even though the
business climate was severely damaged by the assassination of the Serbian Prime Minister, privatisation –
both through tenders and auctions, is accelerating. The
most significant cases of privatisation are of the two
largest tobacco producers which brought more than
US$ 600 million of privatisation receipts. Important
was also the sale of oil-retailer Beopetrol (total value
of the business is more than US$ 200 million).
In Montenegro, real GDP has recovered slowly from
the 9 per cent contraction of 1999 (which reflected the
impact of the Kosovo conflict). Montenegro recorded
growth of around 4 per cent in 2000, and about 2 per
cent during the last two years. This growth has been
fuelled by three sectors: trade, transport and construction. At the same time, industrial production is stagnating near its 2000 level (growth in 2002 was 0.6%).
Inflation has decreased from 24 per cent in 2001 to a
still substantial 9.4 per cent in 2002, despite having
the euro as its legal tender. Montenegro recently started the implementation of the VAT system, which may
bring some structural near-term effects on prices so
the projected inflation for 2003 would be 9 per cent.
The cash-based consolidated fiscal deficit (before
official grants) for SCG increased from 1 per cent of
GDP in 2000 to an estimated 5 per cent in 2002. For
2003 the consolidated budget deficit is projected to be
on the level of 4.5 per cent of GDP. This is because
the expenditure savings from the structural reform
programme were initially outweighed by the more
realistic budgeting of commitments (i.e. lower accumulation of arrears), and the bringing on budget of
some quasi-fiscal activities (e.g. through higher energy prices and explicit subsidization which contained
the losses of state-owned power companies). More
recently, the deficit has been impacted by an increase
in debt service payments and the coming on stream of
some donor-financed public investments. The
increase in fiscal deficit has been managed in a man-
ner consistent with stabilization due to the strong
inflow of donor funding since 2000. Despite this good
progress, the fiscal position remains fragile.
Medium-Term Prospects
Growth prospects. Robust growth in SCG in 2000
and 2001 was primarily driven by one-off rebounds
from earlier shocks. Under the assumption of continued decisive stabilization and reforms and substantial
support from donors and creditors, real output is
expected to grow at a slightly lower but more sustainable annual rate of around 4 per cent from 2002
onwards. Near-term growth is expected to be driven
by exports, a more vibrant SME sector, successful
implementation of the privatisation process,
improved balance in the energy sector, and greater
donor financing of investments. These factors are
expected to outweigh the contractionary near-term
impact of further fiscal adjustment and the remaining
transitional recession. Medium-term growth will also
be driven by greater productivity and enhanced financial intermediation, the entry of new firms, large
state-owned enterprises’ restructuring, infrastructure
rehabilitation and investments in new productive
capacity. The GDP growth rate for 2003 is lower than
originally projected and is projected to be between
3.5 and 4.5 per cent.
The limited domestic sources of budget financing and
the reduction in external financing to more sustainable levels will require a phased reduction in fiscal
deficits. In such a difficult setting, counterpart funding from donors will work to ensure that the overall
fiscal adjustment is not excessively abrupt.
Fiscal Considerations
Since December 2000, a stabilization programme
supported by the IMF has been in place. In both
Republics, reforms affect both the revenue side (simplified tax structure, more efficient revenue administration), and the expenditure side (improved budget
management, reform of the pension system, phasing
out quasi-fiscal activities). The new Laws on the
Budget System (LBS), adopted by Montenegro in
2001 and by Serbia in early 2002, outline further
stages of reforms.9a
Fiscal reforms are continuing and aim to ensure medium-term sustainability, while quasi-fiscal activities
are being phased out. The need to sustain the momentum of reform is dictated by the upward pressure on
public expenditure driven by the social costs of
adjustment, the depletion of public capital stock, and
9a For further information on this analysis see the World Bank “Public Expenditure and Institutional Review”, 2003
Strategic Analysis
21
the resumption of external debt servicing. Interest on
debt is rising steeply in both Republics, due to the
normalization of their relations with external creditors. Sustainability cannot be enhanced by a further
increase in overall tax rates, since this could damage
growth. Consolidation is attainable only via resolute
cuts of policy over-commitments. Fiscal adjustment
must be expanded beyond the budget system to the
broader public sector, which harbours declining, but
still large quasi-fiscal deficits.
Structural reforms of the social safety net and the
health care system must continue to ensure their sustainability. In both Republics, social protection systems are under massive strain from the short-term
impacts of restructuring and price liberalization on
citizens' incomes and the rise in the number of beneficiaries due to refugees becoming citizens. The
health system is facing similar pressure coupled with
structural inefficiencies and a lack of accountability
and monitoring mechanisms. Serbia has taken initial
steps to curb spending on pensions, but both
Republics need to implement systemic reforms to
contain the fiscal pressures emanating from the pension system. Public wage expenditures are above the
regional averages in both Republics, and in
Montenegro their level is among the highest in the
region – even if wages per capita are amongst the
lowest in the region. Of particular relevance is the
need to elaborate and implement an effective public
sector reform of employment and wage policy. Too
many people are earning too little at the cost of the
state. The state needs to pay less people more in order
to create incentive structures for recruitment, retention, and professionalization in the public service, and
to ensure quality services to all the people.
Budget subsidies to inefficient public enterprises have
declined over the past few years in Montenegro, and
are now low, but in Serbia they remain above regional
averages and rising. Spending on maintenance and
investment is clearly insufficient to properly maintain
the core public assets of both Republics. Cuts in capital spending are still being used to balance the budget
in a time of adversity. This is now beginning to change.
Defense spending has been declining, but is still at
more than twice the CEE average, and is not aligned
with a security strategy appropriate to today’s threat
environment, which needs to be developed. Civilian
and democratic parliamentary oversight is essential to
ensure that effective reforms and modernization are
transparent and affordable, and that the interests of
state security and human security converge.
Strong internal and external audit functions are key to
the smooth functioning of the public spending system,
assuring integrity in public services and strengthening
the credibility of the government. Within the government, strong internal audit should be the key means of
management control. Through internal audits, the government is assured that it has procedures and systems
in place to minimize the potential for fraud, waste, and
abuse of public resources, and that these procedures
and systems are operating. At the same time, there
exists a need for an independent external audit institution that could safeguard the usage of public funds and
the quality and credibility of reported fiscal data.
In less than two years since the democratic
Government of Serbia assumed power, it has made
impressive strides in addressing the daunting legacy of
past public expenditure management practices.
Measures were taken to bring diverse extra-budgetary
taxes on budget, while enhancing the efficiency of the
tax system. Budgetary arrears have been reduced, public sector wages were kept relatively constant, and the
build-up of contingent liabilities was arrested. In 2002
reforms accelerated under the new Law on the Budget
System. More recently, a Public Procurement Law was
passed, based on good international practice, and a
Public Procurement Agency (PPA) established. Last
but not least, the government has demonstrated commendable progress in tackling corruption: it has formulated a national anticorruption strategy and has put
in place an institutional framework to deliver it. A nongovernmental Anticorruption Council has been established to advise the Government and monitor the
implementation of its strategy. First steps were made to
tackle corruption in ten large public enterprises,
through a special unit9b within the Ministry of Finance
and Economy (MOFE) dedicated to monitoring their
financial performance.
BASIC CONCEPTS
The United Nations is founded on the principles of
peace, justice, freedom and human rights. The global
conferences of the last decade that culminated in the
Millennium Assembly reaffirmed that democracy,
development, security and respect for human rights
and fundamental freedoms are interdependent and
mutually reinforcing. In his 1997 Programme for
Reform, the Secretary General called on all entities of
the UN system to mainstream human rights in their
various activities and programmes within the framework of their respective mandates. The Integrated
Guidelines of 22 May 2002 for the Common Country
Assessment (CCA) and United Nations Development
9b The Public Utilities Restructuring Unit, supported through the Capacity Building Fund (CBF).
22
Common Country Assessment For Serbia & Montenegro
Assistance Framework (UNDAF) place strong
emphasis on the commitments, goals and targets of
the Millennium Declaration and other international
conferences, and on the international human rights
instruments.
The human development paradigm places people at
centre-stage of development and seeks to expand
choices for all people – women, men and children.
The purpose of human development is to create an
enabling environment in a peaceful and pluralistic
society in which all human beings lead long, secure
and creative lives in dignity and can enjoy their civil,
cultural, economic, political and social rights. In other
words, the essential choices for people are leading a
long and healthy life, acquiring knowledge, and having access to resources needed to ensure a decent
standard of living. Human development also encompasses other choices ranging from political, economic and social freedom to opportunities for being creative and productive, enjoying self-respect and all
human rights.
Closely associated with human development and
human rights is the notion of human security – so central to Serbia and Montenegro’s future prosperity and
progress. In the words of Kofi Annan, Secretary
General of the United Nations:
“Human security in its broadest sense embraces
far more than the absence of violent conflicts. It
encompasses human rights, good governance,
access to education and health care and ensuring
that each individual has opportunities and choices to fulfil his or her own potential. Every step in
this direction is also a step towards reducing
poverty, achieving economic growth and preventing conflict. Freedom from want, freedom from
fear and the freedom of future generations to
inherit a healthy natural environment – these are
the building blocks of human, and therefore
national, security.”
Human development is not sustainable where the rule
of law and equity do not exist. Human development
and human security are endangered by such factors as
slow economic progress, political instability, ethnic,
religious or sexual discrimination, social and economic displacement, growing violence, increasing
criminality, and the spread of the HIV/AIDS epidemic. The impact of all these factors is increased human
poverty and deprivation.
Human rights, refers to those rights that have been
recognized by the United Nations and are protected
by international legal instruments. The 1986 UN
Declaration on the Right to Development proclaimed
Strategic Analysis
that development is a human right. Nowadays, in the
United Nations discourse, human rights and human
development are understood as sharing a common
vision and purpose, and as interrelated and mutually
reinforcing for achieving social progress. Human
rights are not only premised on liberties and freedoms, but also on the principles of universality, equality and non-discrimination, equitable access to public
resources, participation, accountability, and justice.
Poverty, as defined in the widest sense, and not just
limited to income poverty, is itself recognised as a
violation of human rights since it denies a wide range
of rights, which are necessary to securing a quality of
life commensurate with human dignity. At the same
time, chronic discrimination, inequalities and social
exclusion exacerbate poverty.
In this CCA a human rights-based approach has been
applied in assessing the human development situation
in Serbia and Montenegro and is reflected in the
analysis throughout the document. A human rightsbased approach provides a vision of what human
development should strive to achieve based on the
values, principles and standards embraced in the UN
Charter, the 1948 Universal Declaration of Human
Rights, and the legally binding international human
rights treaties and conventions that have been ratified
worldwide (including by Serbia and Montenegro, see
list in Annex2). This approach uses the human rights
principles and legal norms as a coherent framework
for conducting a comprehensive analysis of the conditions of poverty and for defining goals and objectives that strive to ensure accountability and specific
results in poverty reduction efforts. Human rights are
backed by state obligations. This means that once a
State has adopted a particular international convention or treaty, it is obliged to promote and protect the
human rights covered by the convention.
In examining the human development situation in
Serbia and Montenegro, this CCA is guided by the
following human rights principles:
• Universality – Human rights are inherent to
every man, woman and child simply by virtue of
being human. Universality also means that every
State has a duty to respect and protect all human
rights, civil, cultural, economic, political and
social contained in the international human
rights instruments.
• Equality and Non-Discrimination – men,
women and children must enjoy equal rights and
opportunities, including access to public
resources, without discrimination as to race, sex,
religion, ethnic origin, or other distinction.
• Participation and Inclusion – all people should
have active, free and meaningful participation in
23
public life, in the decisions that affect their lives,
and in development and its outcomes.
• Accountability – By voluntarily accepting the
obligations in the human rights conventions and
treaties, the State and all its actors have a duty to
respect, protect and fulfil human rights, and to
take steps towards their progressive achievement
by undertaking legislative, administrative, judicial and other measures. Even where available
resources are inadequate, the obligation remains
to strive to ensure the widest possible enjoyment
of the rights under the prevailing circumstances.
The principle of accountability in a human rightsbased approach requires treating beneficiaries of
development as “rights holders” entitled to claim their
rights, and all the actors that have the obligation to
fulfil human rights as the “duty bearers”.
Consequently, the approach focuses on the capacity
of both rights holders and duty bearers to claim their
rights on the one hand, and to fulfil their obligations
on the other.
The Human Development Report 2003 has emphasised that the Millennium Goals, human development
and human rights share a common motivation.10 It
points out that achieving the Goals will contribute to
the realization of human rights as recognized in the
Universal Declaration of Human Rights and other
instruments. It further underscores the following:
• Recognizing that the targets expressed in the
Goals are not just development aspirations but
also claimable rights has important implications.
• Viewing the Goals in this way means that taking
action to achieve them is an obligation, not a
form of charity.
• This approach creates a framework for holding
various actors accountable, including governments, citizens, corporations and international
organizations.
• Viewing the Goals through a human rights
framework increases understanding of the policies and institutional reforms required to achieve
them.
• The full realization of economic, social and cultural rights requires far more than achieving the
Millennium Development Goals. But achieving
the Goals is an important step towards that end.
2.a) HUMAN DEVELOPMENT
SITUATION
The Human Development Situation Viewed from
a Human Rights Perspective
In Serbia and Montenegro, post-conflict and economic stabilisation policies have helped restore some
degree of political stability, reduce ethnic conflict and
kick-start economic growth. But increasing insecurity, rising unemployment, widening inequalities and
simmering social tensions threaten the fragile stability in the country. While traversing along the traditional path of furthering economic growth alone may
seem expedient, it risks having enormous negative
impacts on the situation of human development and
the enjoyment of human rights in the country. The
social reform process including capacity and institution building is critical to accelerate the transition
phase. Simultaneously and urgently needed are more
direct interventions that place people at the centre of
reforms, restore confidence in democratic governance
and political processes, promote greater economic
and social cohesion, and reinstate a sense of security.
Fighting poverty and improving the social protection
system for the most disadvantaged and socially
excluded groups and ensuring their equal access to
employment, health and education are the human
development imperatives of these times.
An estimated 8.304 million people currently reside in
Serbia and Montenegro (7,498,000 in Serbia11 and
660,000 in Montenegro.) There are also an estimated
375,500 refugees and 201,700 internally displaced
people from Kosovo living in Serbia. In Montenegro,
as well, there are 13,500 refugees and 29,400 internally displaced persons from Kosovo. Figures for
both refugees and displaced persons are under review
in 2003. The country’s population, both domiciled as
well as refugee, is characterised by ageing, smaller
families, and declining numbers in rural and remote
areas. This is especially marked in Southeast and
Western Serbia, and in rural parts of Montenegro. On
the other hand, minorities (like the Roma and
Albanians) show different demographic characteris-
10 Human Development Report 2003, UNDP publication p.28
11 For details on source of data see Annex 1 -Indicators
24
Common Country Assessment For Serbia & Montenegro
tics. They are relatively young populations (62 per
cent less than 25 years of age with a high dependency ratio)12 with larger size families. Decreasing birth
rates and increasing death rates have resulted in a
negative natural population growth of 8 percent.13 In
Montenegro, the trend is declining, although the estimated population growth rate remains positive (10.3
per cent).
Demographic Trends
According to the current age structure, Serbia
has one of the oldest populations in Europe and
the world (see Annex 1a*). Population growth
rate in Serbia is another critical indicator depicting demographic collapse. Regionally, all 46
municipalities in Vojvodina have negative population growth rate, where 7 (15%) of them have
critical over – (negative) 7 rate (Zitiste, Irig,
Novi Knezevac, Plandiste, Nova Crnja, Secanj
and Coka). The average population growth rate
in central Serbia (117 municipalities) indicate
that 17 municipalities have barely positive rate
(0.11-2.80), while 5 municipalities (in Sandzak
and in southern Serbia**) have “strong” over + 7
rate (Sjenica 7.26, Novi Pazar 10.72, Bujanovac
11.96, Tutin 12.55, and Presevo 20.33). 20
municipalities in central Serbia (17%) have critical over - (negative) 7 rate, where 8 municipalities (in southern and in eastern Serbia) stand out
with over – (negative) 10 rate (Babusnica, Bela
Palanka, Gadzin Han, Dimitrovgrad, Knjazevac,
Knic, Razanj and Crna Trava***).
The graphs depict shrinking birth rates and
increasing mortality rates in both Serbia and
Montenegro. In Serbia, since 1992, mortality
rates are higher than birth rates, which results in
negative trends in population growth rates.
* “Census 2002: Intensive Aging of the Population ion
Serbia”, Goran Penev, Center for Demographic Research –
Social Science Institute, Belgrade, 2003
** All Bosniac/Albanian ethnicity
*** All Serb ethnicity
*Source:
Indicators Framework (see Annex 1)
The reasons for the low birth rates are many and
include relative poverty and the low quality of birth
and pregnancy experienced by many mothers and
fathers. War and sanctions are regarded to have been
additional factors influencing fertility decisions.14 As
Nobel Laureate Amartya Sen has observed in many
other countries, when infant mortality decreases and
the education of women increases, particularly of
middle income and higher income, the fertility rate
decreases. These factors also lead to the ageing of the
population, which poses difficulties for the country to
sustain when it has become poorer (see Annex 1:
yearly per capita income is relatively low and was
estimated at 1,136 US$ in 2002).
Human development suffered a series of major setbacks during the decade of the 1990s. During the
ten–year autocratic rule of Slobodan Milosevic, the
country plunged into a severe economic and social
crisis. The collapse of the market of former
Yugoslavia in the early 1990s, sanctions of the UN
Security Council against the Federal Republic of
Yugoslavia and a severe crisis during the last decade
of the 20th century led to a significant decline in economic activity. About one–third of the population
was poor and as many people lived slightly above the
12 “The Roma in Serbia – Social Position of the Roma in Serbia” by Aleksandra Mitrovic and Gradimir Zajic, published by Council for
Human Rights of the Center for Anti-War Action, Belgrade, 1998, p. 19 & 31
13 Federal Statistical Office data - 2002
14 Country Health Profile for the FR Yugoslavia - WHO internal document - September 1999.
Strategic Analysis
25
poverty line. The middle class shrank and an extensive migration also of very well educated people
started. Millions were forced to enter the gray economy so as to survive. In 2000, despite some economic revival, the level of real GDP was less than half of
what it was in 1990 and well-educated professionals
are still not able to work at the level of their preparation. Many large enterprises ceased to operate and
industrial output declined. The hardest hit were the
metal manufacturing industry and state–owned infrastructural enterprises including power plants, railways, roads and public transport. The economic and
social conditions of large sectors of the population of
Serbia and Montenegro deteriorated as income
poverty spread, particularly among the poorest and
most vulnerable groups such as the elderly, refugees
and internally displaced persons, Roma and rural
population.
Shortfalls in income are not the only indicator of the
impoverishment in people’s lives during this period.
Non-income dimensions such as the undermining of
human dignity and the growing sense of helplessness
and insecurity in the face of larger socio-economic
forces are perhaps the most keenly felt aspect of deprivation across all social groups. The phenomenon of
poverty in Serbia and Montenegro is also a reflection
of failures in protecting and fulfilling human rights
over the ten year autocratic era, leading in turn to
capability failure. In other words, the inability of citizens to pursue and attain the goals they value and to
claim their rights and entitlements. Shortfalls and
gaps in the realisation of economic and social rights –
to education, to adequate food, to health, to decent
work, to adequate housing – have made people
increasingly vulnerable to human poverty during the
last decade.
Nevertheless, the most visible manifestations of the
turbulence generated during the decade of transition
in Serbia and Montenegro, have been the sharp
decline in real incomes, the dramatic increase in levels of poverty and declines in standards of living.
High inflation has contributed to sharp declines in
real incomes. Even in 2001, the process of price liberalisation in Serbia continued and prices of electricity and utilities were gradually increased, leading to
a relatively high level of inflation. However, in the
second half of 2001, inflation showed a declining
trend that continued into 2002. Wages, salaries and
pension benefits were also severely affected in
Serbia by the depreciation of the free-market
exchange rate of the Dinar in relation to the German
Mark by 100 per cent during 1999-2000. As a result,
despite the recent economic revival, real GDP in
Serbia in the year 2002 was less than half of what it
was in 1990.
26
Poverty and Human Rights in Serbia and
Montenegro
MDG Box #1
Goal 1: Eradicate extreme poverty and
hunger
Target: 1 Reduce by half the proportion of people living on less than a dollar a day.
The PRSP in Serbia set both a consumption
poverty line and a food poverty line. According
to the assessment of the PRSP, 10.6 per cent of
people live below the poverty line.
Target 2: Reduce by half the proportion of people who suffer from hunger.
The PRSP assessments for both Serbia and
Montenegro found that hunger was not present.
However, this was concluded based on a baseline household survey that did not include
Refugees, IDPs and Roma. Evidence of
increased malnutrition and stunting in children
under five in the past decade1, and anecdotal
data challenge this assumption.
1 Multiple Indicators Cluster Survey, UNICEF, 2000
In addressing poverty within a human rights context,
the Global Human Development Report 2000
stressed that economic growth should be pro-poor
and that budgets would need restructuring to ensure
adequate and non-discriminatory expenditures for
primary human concerns. The Report recommended
expansion of the political space to ensure broader participation of the population and the elimination of all
forms of discrimination, which was recognized as
exacerbating social exclusion.
In this CCA we understand that there are many
dimensions of poverty measured by the levels of consumption, employment and income, housing, educational achievement and health.
Securing human rights helps to protect people from
the negative impacts of poverty and enables them to
have a better chance to develop with dignity. People
living in poverty suffer a denial of their economic
rights such as the right to adequate housing, food and
clothing, and to social security. The effect of poverty
on children’s rights to survival and development is
especially critical, since this causes lifelong damage
Common Country Assessment For Serbia & Montenegro
to children’s minds and bodies; turning them into
adults who perpetuate the cycle of poverty by transmitting it to their own children. Poverty can also
inhibit a person’s capacity to enjoy other rights since
the poor are more likely to be at risk of having their
civil and political rights violated as well. It is of
utmost importance that Serbia and Montenegro comply with the human rights instruments they have ratified, especially during this critical phase of transitions, including the International Covenant on Civil
and Political Rights, the International Covenant on
Economic, Social and Cultural Rights, the
Convention on the Rights of the Child and the
Convention on the Elimination of All Forms of
Discrimination Against Women.
Also regarded as extremely poor and vulnerable are
refugees, internally displaced persons (IDPs) and the
Roma population, which compared to the other
groups are the poorest, have often more children and
less access to social services. Most Roma children do
not go to school so poverty and exclusion is passed on
to the next generation. The human rights-based
approach stresses that even in times of severe
resource constraints the rights of the vulnerable members of society must be protected through inclusive
policies and the provision of low-cost programmes.
Over the course of the last decade, the severe political
and economic crisis and series of regional armed conflicts have also affected the well being of the society
and damaged economic prospects in Serbia and in
Montenegro. These conditions caused a sharp decline
in human development indicators. In assessing the
profile of poverty and living standards in both Serbia
and Montenegro it is necessary to recognize at the
outset that there are a number of new policies being
introduced pursuant to far reaching economic
reforms. These reforms aim to promote economic
growth and raise living standards. Nevertheless, it is
evident that additional reforms are needed in order to
address a large public sector wage bill, heavy dependence on donor assistance and the inefficiencies in
state-owned enterprises.15 There is concern that the
current policies are being implemented with inadequate information regarding the numbers and characteristics of the poor. Consequently, a number of studies and household surveys were conducted over the
last two years to provide a better profile of the poor
for policy makers with best available data, particularly in light of the preparation of the 2003 Poverty
Reduction Strategy Paper for Montenegro and for
Serbia.
Serbia
Presently, an estimated 10.6 per cent of the Serbian
population lives below the poverty line of US$2.40
per day, but there is a cluster barely earning more so
that a one-quarter upward shift in the poverty line
income equivalent increases the percentage of the
poor to 20 per cent. In other words, the lowest decile
of the population lives in poverty and the second
decile lives very close to poverty. In all, close to one
fifth of the population lives a precarious and vulnerable existence. This does not include IDPs, refugees,
the Roma or those people living in collective centres,
a great majority of whom would, a priori, fall below
the poverty line. Counting these vulnerable groups,
some 25-30 per cent of the population of Serbia probably lives in poverty or severe vulnerability. Of those
who are employed, industrial workers are among the
poorest category with 45.5 per cent below the upper
poverty line, followed by farmers. If the upper poverty line is applied, government employees and traders
also join the ranks of the poor.16
The overall incidence of poverty increased gradually
during the latter half of the 1990s, but has fallen since
2000. However, in 2002, the depth of poverty in the
lowest decile was more severe than earlier, reflecting
a transition economy, which needs to rebuild its social
safety nets. The Serbian draft PRSP projects a halving
of those living in poverty by 2007. Not unexpectedly,
the incidence of poverty in Serbia is twice as high in
rural areas as in urban areas. More and more people
are relying on subsistence agriculture for survival,
which tends to place unsustainable pressures on natural resources in rural areas. War and insecurity, and
now poverty, have led to an accelerated migration to
the cities and a growing number of urban families
have also moved into the ranks of the poor. In the
cities there are areas of extreme poverty and
unhealthy living conditions.
In particular, southern Serbia had double the poverty
incidence of the country as a whole, as well as the
greatest depths of poverty. Western Serbia is also relatively disadvantaged. Together southeast and western Serbia, with 14 per cent of the population, contain
25 per cent of those living below the poverty line.
There is a higher percentage of elderly in these economically depressed areas.
As in several other countries of Eastern Europe, the
highest percentage of poverty occurs in the youngest
and oldest age groups – households with children
15 Living Standards in Montenegro, 2002
16 Sources of information and the data come from the Serbian PRSP, when the poverty line is expressed in consumption terms, unless
otherwise noted.
Strategic Analysis
27
and pensioners have an above-average poverty
index. The risk that children 7 to 14 years are poor is
20 per cent higher as compared with the population
average. This is of great concern especially since the
family carries 50 per cent of the education costs (see
further under section on Education). Human development and the possibility for a person to be able to
exercise his or her rights are directly conditioned by
the level of his or her education. A tendency where
children have less education than their parents has to
be prevented.
Almost one in five people in Serbia is over 65 years of
age, and the poverty incidence among them is 14.8 per
cent, the depth of their poverty is much greater than
the average, and their poverty risk is 40 per cent higher than the population average.17 Almost a quarter of
the total number of the poor, particularly in urban
areas, are over 65 years. Poverty is most present
among elderly two-members households,18 who make
up 12.2 per cent of the total number of poor households; 67 per cent of elderly two-person households
are poor. Examined regionally, elderly persons in
southeast Serbia have the lowest standards of living.
Support through family monthly allowance and child
allowances are an important source of income for
poor families. Nearly 60 per cent of the recipients of
such assistance live below the poverty line, of whom
over one-third fall in the ‘extremely poor’ category.
The categories of population in Serbia that are at
greater risk of poverty are:
1. uneducated population;
2. unemployed and dependent persons;
3. elderly people (65+) and children between 7
and 14 years of age;
4. households with five or more members;
5. elderly one and two member households, particularly in rural areas;
6. agricultural pensioners, particularly in rural
areas;
7. population of rural areas of southeast and western Serbia.
Montenegro
Currently, consumption poverty affects about 9.4 per
cent of the population, mainly those who live below
the poverty line, which is defined by 107 Euros per
person per month (the cost of the full minimum sub17
18
19
20
28
sistence basket). Also, there are important pockets of
poverty concerning Roma and IDPs.
There are some age groups in the Montenegrin society that are more likely to be poor in comparison to
other age groups which includes the elderly and to
some extent children under 16 years of age.19
Pensions represent the main form of social security
but are considered too low for maintaining the minimum standard of living. More than 60 per cent of the
poorest live in households with pension income.
The level of poverty is highest in the northern region
of Montenegro, which is mountainous and least populated, as well as the least developed, indicating that
there are strong disparities that make certain areas
poorer. The most populated and industrialized is the
Central region, whereas the coastal area is the most
developed with tourism as its main economic activity.
Other factors reveal the profile of the poor in
Montenegro. The following examples serve to illustrate:
• The poor spend the largest portion of their
expenditure on food, about 60per cent of their
resources, followed by housing.
• The household survey conducted in Montenegro
indicates that over 80per cent of the households
own their dwelling, but about 20per cent pay
rent. Rental expenses represent about 17 per cent
of the household budget.20
• About one in five adults, is not working and
13per cent of the population lives in dwellings
without running water or bathroom.
• Available data shows that about 5per cent of the
adults in Montenegro are regarded as “education
poor” due to not having attended secondary
school, nor currently attending school.
The Right to Work
Box #1
Article 6 of the International Covenant of
Economic, Social and Cultural Rights (IESCR)
provides:
1. The State recognizes the right to work that
includes the right of everyone to the
Living Standard Measurement Survey in Serbia, World Bank, 2002
Elderly households are defined as households whose members are all over 65 years of age
ibid, at p. 20
Household Survey #7, p. 50
Common Country Assessment For Serbia & Montenegro
Serbia
opportunity to gain his living by work that
he freely chooses or accepts, and will take
appropriate steps to safeguard this right.
2. The steps to be taken by a State Party to
achieve the full realization of this right
shall include technical and vocational
guidance and training programmes, policies and techniques to achieve steady economic, social and cultural development
and full and productive employment under
conditions safeguarding fundamental
political and economic freedoms to the
individual.
The right to work is fundamental because it is also a
key to the enjoyment of many rights of the individual.
The economic crisis, international sanctions and continued conflicts in the region over the last decade
resulted in a near collapse of the formal sector in the
Serbian and Montenegrin economies. The sharp
decline in economic activity and the extremely low
rate of capacity utilisation led to a steady fall in the
number of those employed in the formal sector and a
rise in actual unemployment. Many are now engaged
in the gray economy, which, according to some estimates, amounts to approximately 40 per cent of GDP.
This not only deprives the state from collecting much
needed revenues, but likewise makes a large portion
of the population vulnerable, as they remain outside
the social protection net.
The formal labour market in Serbia is featured by the
following facts: a relatively low level of employment
of the population; high unemployment rate and its
trend of continued growth; high hidden unemployment; low share employment in the private sector;
low wages; and low mobility of the labour force.
The unemployment rate is not only an important
determinant of poverty and social exclusion, but also
a major factor influencing social and political stability. Estimates of unemployment tend to vary. In 2000,
the official unemployment rate was 27 per cent.
Hidden unemployment or false employment was estimated to be an additional 20–24 per cent. In 2001,
there were an estimated 640,000 redundant workers
in the socialist and state sectors, one half of them in
industry. By this calculation, the rate of total unemployment in Serbia stands between 45 per cent and 49
per cent. Some surveys place Serbia’s unemployment
rate at around 30 per cent (double or triple the rate in
neighbouring countries). However using ILO definitions for international comparability, the unemployment rate is estimated to be between 8.4 per cent and
11.9 per cent. The difference most likely reflects the
pervasive grey economy and income tax evasion.
While overall economic growth was positive in 20002002, the economic transition’s structural changes
caused overall employment to fall by 1.6 per cent in
spite of employment growth in the private sector of
21.4 per cent.
In Serbia, unemployment among young people, 19 24 is over 50 per cent. The weakening of education
systems over the past decade has probably led to
young people often having inadequate qualifications
to enter the workforce. The majority has expressed a
wish to emigrate.21 In 1998, the share of young people aged 15–34 in the total number of unemployed
was very high at 76 per cent, and the share of the age
group 15–24 was higher (40 per cent) than that of the
age group 25–34 (36 per cent). Two years later, in
2000, the share of young people aged 15–34 declined
slightly. In 2001, this decrease continued. The share
of young people aged 15–24 was 28 per cent and the
share of the age group 25–34 was 36 per cent of the
total number of unemployed.
*Source: Indicators Framework (see Annex 1)
In 1998, 22 per cent of unemployed people had to
wait up to one year before getting a job, 32 per cent
waited from one to three years, and 46 per cent had to
wait for more than three years. In 2000, the share of
unemployed persons waiting for employment up to
one year declined to 18 per cent, the share of those
21 Youth opinion poll, UNICEF 2001
Strategic Analysis
29
waiting from one to three years rose slightly, while
the share of unemployed persons waiting for more
than three years increased to as much as 50 per cent.
However, the greatest rate of unemployment is among
the Roma population, with 80 per cent or higher officially unemployed.
job are not regarded as jobless in the same report.22
The following were the key findings regarding the
employment situation and labour market in
Montenegro based on the information gathered
through a series of population surveys conducted in
2000 and 2001:
Many of the poor are unable to exercise their right to
employment and enter the workforce due to age,
health problems, disabilities and physical vulnerability, which are conditions that can lock people in the
cycle of poverty and prevent them from taking a more
pro-active role in society. In this context it may be
necessary to examine further whether there exists any
other distinctions, exclusions, or preferences, be it in
law or in administrative practices, which have the
effect of discriminating against certain persons or
minority groups.
• The labour force was estimated at 72 per cent of
the adult population with 27.7 per cent classified
as inactive population.
• Taking into account all forms of employment
including formal, informal and multiple, the
employment rate stood at 86 per cent.
• The level of unemployment of 14 per cent in
2001 was regarded as high for a country with
very low unemployment benefits (this employment rate identified is considerably lower than
the one reported by the official statistics, which
was estimated at 19 per cent in March 2001).
• The unemployed constitute primarily young people in their late twenties.
• The mean age of inactive population was 54
years with 51 per cent pensioners. Pensioners
accounted for 27 per cent of those involved in
informal activities.
• Unemployment levels were found to be higher in
the central and northern regions.
There is overall a lack of employment opportunities,
especially in rural areas and an increase in the grey
economy. The expansion of employment opportunities is constrained by the non-availability of capital,
inadequate political commitment of the authorities in
private sector development, deficient property laws,
and the insecure status of privately owned small and
medium enterprises. A considerable volume of hidden
unemployment has been created in the agriculture
sector by the fragmentation of family-owned farms.
Since workers on privately owned farms are not registered as workers, they are invisible in statistics and
are not covered by official surveys. Moonlighters, or
workers in the gray economy, are not formally recognised as workers because their employers do not pay
taxes on their wages or social insurance contributions
as required by law. They are therefore not eligible for
pensions or any other worker benefits, which are
among their economic and social rights.
Montenegro
Throughout the 1990s, official employment figures in
Montenegro sharply declined. According to official
data, the unemployment rate reached approximately
40 per cent in the last quarter of 2000. This figure,
however, did not account for the large share of the
labour force involved in unrecorded or informal activities. According to a UNDP report on the situation of
employment and the labour market, the official statistics in Montenegro classify the population into three
groups: the active population, the population with
personal income and the supported population. The
labour force is not included as a distinct category, and
it is regarded as traversing both groups of active and
supported population. People who perform any paid
By the end of 2000, close to one third of the
Montenegrin labour force (89,000 people) worked in
the informal economy. Although the employment
trends provided by official statistics reveal a substantial decline over the last decade, it has been widely
recognized that there are weaknesses in the statistical
methods applied in calculating the unemployment
rate. This is because it is based on registered employment and unemployed and does not include those
people engaged in jobs in the informal economy.
Surveys that have been carried out recently focused
on informal and multiple types of employment in
order to assess better the employment status and
labour market in Montenegro. Some conclusions have
been drawn from the analysis of unrecorded employment. First, is that about one third of those employed
do not have an employment contract and therefore
their employment is unrecorded. The implication is
that for those who engage in unrecorded employment
as their main source of income, they are consequently deprived of pension, health insurance and other
benefits. At the same time, unrecorded activities and
income are not declared to the tax authorities, depriving the Republic of substantial revenues. Recent legislation passed which requires that employers must
pay a special tax for hiring workers who are not
22 Employment, Labour Market and Standard of Living in Montenegro, p. 5
30
Common Country Assessment For Serbia & Montenegro
Montenegrin citizens and imposes steep fines for violations discriminates against IDPs from Kosovo and
against refugees; it makes it much more difficult for
them to gain employment precisely at the moment
when humanitarian assistance to these groups is being
cut back.
Three main characteristics were identified as influencing employment status in Montenegro: gender,
education and age. There is evidence of a pattern of
discrimination whereby men are more likely than
women to hold the higher paid jobs. Furthermore, statistics show that women are less likely than men to
find jobs. As of March 2001, the share of women in
the category of inactive population reached 64.7 per
cent. There is strong evidence to suggest that gender
is a significant variable in the selection of staff in both
public and private sectors, and that women are paid
20-30 per cent less than men with the same level of
education in the private sector. There is also an important correlation between the level of education attainment and the employment status, meaning that those
with primary education or no education are mainly
the ones included in the categories of inactive population, unemployed, or engaged in informal activities.
Age, is the last characteristic that was found to influence employment status with unemployed persons
found to be predominantly in their late twenties.
Moreover, a large portion of the unemployed has
completed secondary school. Enabling young people
to participate in the labour force and become productive members of Montenegrin society should be a
regarded as a major priority and represents a key challenge. It needs to be underscored that tens of thousands of educated young people have left the country
in the past decade.23
The Right to Health
N.B. As challenges in the Health sector are common
for both republics, this chapter does not draw a separate line between the two.
MDG Box#2
Goal 4: Reduce child mortality
Target 1: Reduce by two thirds the mortality rate
among children under five
On the national average, child mortality is low
and declining in Serbia and Montenegro,
although still below European standards. There
are regional variations between different groups
of population. Child mortality rate is likely to be
much higher in excluded families.
MDG Box#3
Goal 5: Improve maternal health
Target 1: Reduce by three quarters the maternal
mortality
Few women die in labour or in childbirth.
However, the quality of pregnancy and/or birth
experience can be very poor. The number of terminations of pregnancies is very high and is
increasing in the gray health sector.
Box #3
The International Covenant on Economic,
Social and Cultural Rights provides in Article
12, the right of everyone to the enjoyment of the
highest attainable standard of physical and mental health. The Convention on the Rights of the
Child has a similar provision in Article 24,
which stipulates that State Parties should ensure
that no child is deprived of his or her right of
access to health care services.
The Health System in Serbia and Montenegro was
designed in the 80s to provide universal coverage for
the entire population based on compulsory health
insurance and decentralised provision of health services, with a high responsibility of local communities
(municipalities) for planning, prioritising and financing primary care, which had a gate-keeping role to the
system. Although the organisational infrastructure
remained in place in the 90s, the autocratic regime
used the health system to fully centralise (control) all
segments of the society and to strip the local community of its autonomy and participation in decision-making. The current situation regarding the lack of participation and existing policies that are not aimed at the
poor population is a legacy of the previous ten years.
Health sector reform has started from re-defining (or
defining) a health policy that will ensure that basic
services relevant to the widest health problems and
with the highest impact are available to all – but at the
same time, keeping in mind the financial constraints.
23 Brave New Generation, UNICEF Belgrade publication, 2002, p.19
Strategic Analysis
31
Health care to the population is provided by state and
private health sector. Both Serbia and Montenegro
have a well-developed state health infrastructure,
consisting of over 300 institutions, systematized in
three levels of health care protection –primary, secondary and tertiary level. Instead of preventive, primary health care centres developed curative practices
with a number of specialised services. There has been
a lack of appreciation of the concept of family as the
basic health–care unit and a neglect of non–institutional forms of health care. A lack of proper development planning of secondary and tertiary health care
protection network that was not following the epidemiological trends and population needs has led to
the creation of an institution network unfit for the
needs of the population. While some wards are empty,
others are flowing. Such a system is inefficient, often
using incentives creating a wrong message (e.g. payment based on the number of days spent in hospital,
which creates a perverse incentive for long treatment), working in a bureaucratic manner, functioning
passively, putting the beneficiaries in a very passive
role – that of aid-recipients. All those factors, in addition to poor infrastructure and lack of mechanisms for
ensuring accountability have an effect on deterioration of state services’ quality.
The private sector, which is poorly regulated, is
expanding. There is a strong public perception that
these services are of a better quality, less time-consuming, and could provide all necessary inputs on the
spot. This is also reflected in utilisation data, for
example – according to a household survey in
Montenegro,73 percent of respondents indicated they
use both private and public health services and 27 per
cent use only the public services.24 The private sector
has not yet been included in the compulsory state system of health insurance, and private health insurance
does not yet exist.
*
A government-owned, compulsory Health Insurance
Fund (HIF) receives contributions from those insured
and their employees, which represent the main sources
of funding of the health system. Revenues of the Health
Insurance Fund (HIF) have decreased significantly over
the past 12 years due to evasion of contribution payments and the high costs of administration reducing the
ability of the state to ensure the right to health services.
The allocation of health services costs in social product
of Serbia in 2001 was 7.6 per cent of the Serbian
Budget, with US$ 82 of expenditure per capita.
*Source: Indicators Framework (see Annex 1)
A huge deficiency of HIF assets, caused by current
expenses (60-80 per cent of assets used for salaries of
health workers) has led to low salaries, lack of investment into infrastructure and equipment. A weak
human resource policy and continuous ‘inflow’ of new
personnel have additionally burdened these funds. All
aforementioned has jeopardised accessibility, essentially established principle of health services and
brought us to huge discrepancy between the rights
defined and limited assets necessary for practicing the
rights. The result was a shift of the economic burden
to the people with increased out-of-pocket payments
for medicines, laboratory services and informal payments to providers. Poor people who are sick are
affected most. Household surveys confirm that the
“current public health system is not equally open to
everyone; it prefers some groups, those with money or
social influence and power and discriminates against
others.”25 In light of this, it is evident that the right to
health should be protected and promoted, as well as
regarded as a social responsibility.
Although the health system of Serbia and
Montenegro is basically set on the same foundations, there are some differences. The basic
differences are in the level of development of
Source: Indicators Framework (see Annex 1)
24 Household Survey No. 6 published by the Institute for Strategic Studies and Prognoses, and the Center for Entrepreneurship and
EconomicDevelopment (CEED), 2003 p.37
25 ibid, p.38
32
Common Country Assessment For Serbia & Montenegro
human resources – number of staff and level of
education of health workers (smaller in
Montenegro), as well as in development of specialised services of health care protection (significantly more developed in Serbia). Also, outreach services for remote areas are ill-developed in Montenegro, especially due to the geographic set and mountain areas, which aggravate the accessibility to population in rural
areas.
Smoking and usage of alcohol in general population and among young people brings concerns.
There has also been an increase in drug use
among young people (cannabis and synthetic
drugs).26 Drug usage and risky sexual behaviour
are related issues. Sex in return for money or
some other benefit has increased in the last
decade. This has been reported among boys as
well as girls. An increase in human trafficking,
where around 10 per cent of victims are under
18, will also act as a regional pathway for the
spread of the epidemic.27
Health status of the population
The free and universal access to health system during
the past several decades undoubtedly contributed to
the improvement of the health status of the population, as seen in a steadily decreasing trend of infant
mortality and mortality from contagious diseases and
an increase in life expectancy. These positive trends
slowed during 90s, due to the cumulative effects of
political and economic crisis: increased poverty,
influx of refugees, NATO bombing, environment pollution, life-style changes in the population (for example, increased smoking, alcohol and drug use, and
high risk sexual behaviour). Between 1990/91 and
2000/2001 life expectancy for men in Serbia slightly
increased (69.4 – 70 years), while life expectancy for
women decreased from 74.9 to 74.2 years. In
Montenegro the figures are 71.4 years for males and
76.5 years for females.
Analysis of morbidity and mortality data in the past
decade show that Serbia and Montenegro have
entered a new epidemiological transition. More than
half of the population died from cardio-vascular diseases. The second leading cause of deaths was malignant diseases, the third cause was “ill-defined conditions” and the fourth injuries, poisoning and accidents. Like many countries of southeast Europe
undergoing socio-economic transition, Serbia and
Montenegro is facing an increased burden of noncommunicable diseases related to high risk behaviours e.g. smoking (approximately 35 per cent of all
deaths are related to smoking habits), alcohol, food
insecurity and inadequate nutrition. Levels of violence, rape, and domestic violence are high and
underreported at all ages, and are discussed further in
the section on gender and in the chapter on human
security.
Infant deaths are broadly categorised into three groups
28: I Communicable, peri-natal and nutritional conditions, II - Non-communicable diseases and III Injuries,
the proportions of deaths attributable to these groupings is as follows: I - 2.26 per cent, II - 93.7 per cent
and III - 3.96 per cent. Analysis by age distribution is
shown in the table below. The highest burden of illhealth is in the labour-productive age groups and is in
the group of non-communicable diseases. In the group
of adolescents and youth (aged 15 - 24) a significant
place of ill-health and related mortality is due to
injuries (53.8 per cent of all deaths in this age group).
MDG Box #4
Goal 6: Combat HIV/AIDS, Malaria and
Other Diseases
Target 1: Halt and begin to reverse the spread of
HIV/AIDS
HIV/AIDS is still low but likely to rise sharply,
especially among teenagers and young people. It
is estimated that there are 10,000 people living
with HIV/ AIDS in Serbia and Montenegro.
Target 2: Halt and begin to reverse the incidence
of malaria and other major diseases
Malaria does not exist in Serbia and
Montenegro. Tuberculosis appears to be falling
but remains a serious issue for vulnerable groups
and the poor. In Serbia and Montenegro deaths
caused by cancer, cardiovascular and other noncommunicable diseases are high. Smoking is a
major contributing factor.
26 Rapid Assessment and Response on HIV/AIDS among Especially Vulnerable Young People in Serbia, RAR
27 Trafficking in SE Europe regional report 2002
28 Serbian Burden of Disease Study - draft report part one - Belgrade, May 2003
Strategic Analysis
33
Among communicable diseases, the major threat to
the country due to the present risk factors is
HIV/AIDS. The HIV/AIDS surveillance system is
rather poor in the country, however it is estimated that
some 10,000 people are currently HIV positive in
Serbia and Montenegro (Montenegro estimate 400).
The AIDS mortality rate (calculated as deaths per million inhabitants) has fallen from 8 in 1995 to 3 in
2000, however reported data are so small these figures are difficult to interpret. Although the epidemic
in Serbia and Montenegro is still in an early stage,
there are all factors present for a rapid increase in the
next 3 – 5 years. The reported number of AIDS cases
in Serbia and Montenegro is 1,126 (33 registered in
Montenegro), cumulative to December 2002,29 with
the majority of cases occurring in people aged 20-39
years (transmission of HIV occurs some years before
the development of clinical AIDS and therefore
affects predominately young people). Especially vulnerable young people such as sex workers, drug users
and men having sex with men (MSM) are in particular risk for HIV; 57 per cent of IV drug users share
needles. In Serbia, only 60 per cent of sex workers
and 42 per cent of MSM use condoms regularly, while
in Montenegro the figures are 34.5 per cent and 30.6
per cent respectively. In Montenegro, transmission of
HIV/AIDS in relation to profession is dominant
among sailors, workers in tourism and catering.30 A
total of 10 AIDS cases are reported due to Mother-tochild transmission. Although the Government has initiated several activities for public education on
HIV/AIDS, there is still a lot of room for action with
adolescents and young people and for health information campaigns in less-developed regions.
Another public health threat is considered to be tuberculosis infections (TB). Intensive cross-border movements, the existence of 680,000 refugees and internally
displaced people (with several outbreaks of TB in collective shelters for refugees and IDPs during the past
years) and the impoverishment of the population underline the size of population at risk and the high potential
for rapid increase of disease. In 2001, the total number
of TB cases registered was 2,713 representing a TB
notification rate of 35.6/100,000 of the population. The
mortality rate was 2.9 per cent (131 cases).
Health Status of Children and Women
The infant mortality rate (IMR) for both Serbia &
Montenegro in 2002 was 9.6 (9.5 in Serbia and 10.4
in Montenegro) per thousand live births.31
Improvements in child survival have been made possible by reducing deaths due to easily preventable diseases (acute respiratory infections, diarrhoeal disease,
vaccine preventable diseases). The low IMR also
reflects prior investments in health and maternal education together with a generally good level of maternal nutrition, the relatively small number of births, the
level of antenatal, delivery and postnatal services, and
the already high level of social development achieved
in 1990. The decline in child mortality rates has not
been continuous it increased in 1992 and 1993, and
again in 1996 corresponding with peaks of the economic crisis and an influx of refugees. Though it is
likely that the official figure for IMR underestimates
deaths by at least 30 per cent32, IMR has been declining steadily in Serbia since 1999 when it was almost
40 percent higher. In Montenegro, the similar
decreasing trend has been interrupted recently with
the unexpected increase in 2001, when IMR of 14.6
was noted. Although IMR is lower than in central and
eastern European countries33 and is not much higher
than in many industrialized countries (IMR of 6 per
thousand)34, available information suggests wide differentials. There are accentuated regional variations
in IMR and also between different population
groups.35 For instance, the IMR among the Roma
population is reportedly much higher than the national average. Deliveries without skilled assistance, is
one important cause for the higher IMR among the
Roma population. Access to health care in general is
a problem; even immunisation rates among Roma
children are very low. Analysis of IMR shows that
three out of four deaths under the age of one year
occur in the first month of life.36 37 This can be closely linked to the quality of perinatal and birth services.
The main causes of death are perinatal conditions,
congenital anomalies, unexplained causes, respiratory
diseases, and circulatory diseases. Further reductions
in infant mortality will require improved treatment of
children in the first week of life, as this is when nearly 70per cent of infant deaths occur. Particular atten-
29
Report on trend of Morbus HIV in FR Yugoslavia (1985-31/12/2002), Federal IPH, February 2003
30
Rapid Assessment and Response on HIV/AIDS in Especially Vulnerable Young People in Montenegro, prepared by the Institute of
Public Health in Montenegro, February 2002, p.7
31 Of 78,435 live births in Serbia in 2002.
32 This estimate is based on World Bank Macedonian perinatal mortality project. There were 78,435 live births in Serbia in 2002.
33 Central and eastern European countries average 35 deaths per 1000 births.
34 Ten Years of Child Rights in Yugoslavia, UNICEF Belgrade 2001
35 The rate ranges from 9.5 in the province of Vojvodina to 10.4 in Central Serbia.
36 Assessment of Infant Mortality and peri-natal mortality - by Helen Lefevre, WHO Belgrade - 2001
37 Annual report 2001, Republican Statistics Institute
34
Common Country Assessment For Serbia & Montenegro
tion will need to be given to perinatal conditions and
congenital anomalies which together account for over
75per cent of the infant deaths that do occur.
Immunisation programmes achieve high coverage
levels of above 90per cent in Serbia, or around 89per
cent in Montenegro. However, as UNICEF and
Institute of Public Health repeatedly capture large
numbers of children who were not immunised, there
is a concern that those figures do not represent the
accurate data. Last year for example, in the course of
the project Immunization of Marginalized Population,
some 7,000 children up to age of 15 were found to be
not even registered in the health system in four
regions of Serbia.
The Multiple Indicator Cluster Survey (MICS) carried out in 2000 found that prevalence of malnutrition
had increased in the country. The prevalence of moderate and severe underweight had risen from 0.5 to
1.9per cent. Moderate and severe wasting38 had risen
from 1.7 to 3.7per cent and stunting39 from 2.1 to
5.1per cent. The rural prevalence of malnutrition was
generally higher than in urban areas. Higher levels of
wasting and stunting tended to be associated with
lower levels of maternal education. Only 10.5 per
cent of children aged less than four months are exclusively breastfed. The practice is better in Montenegro,
but still there is a lot of space for improvement.
Iodine deficiency disorders (IDD) have historically
been a significant public health problem. More than
650,000 people suffered from endemic goitre 50
years ago. A nation-wide survey conducted in 1999
found no evidence of iodine deficiency disorders
among school children in the Republic of Serbia. The
similar results were shown in the recent survey in
Montenegro. The elimination of IDD has been
achieved by universal salt iodisation.
Unlike IDD, anaemia is considered to be a significant
public health problem. In the MICS 2000, it was found
that 29per cent of children under age 5 have iron-deficiency anaemia. The proportion is more pronounced
in earlier ages, reflecting a timely complementary
feeding poor introduction of the right kinds of complementary foods and perhaps the mother’s own
anaemic state during pregnancy and breast-feeding.
The same survey also found that 27per cent of women
aged 15-49 suffered from iron-deficiency anaemia.
The great majority (99 per cent) of births takes place
in hospitals or health centres and are attended by
skilled professionals40. There is a rise in the numbers
of children born to single women – from 14 per cent
in 1991 to nearly 20 per cent in 1997. The maternal
mortality ratio for women of childbearing age in
Serbia and Montenegro was 10.31 per 100,000 live
births in 2001, which is one of the lower figures for
CCEE countries. Although few women die in childbirth or from pregnancy related causes (averaging
between 10 and 20 cases a year), it must be noted that
this average figure conceals inequalities across
regions and communities.
The Constitution of 1974 of the SFRY provided in
Article 191 the notion of “responsible parenthood”
stating that, “it is a human right for every person to
freely decide on the birth of children; a similar provision is provided in the 1992 Constitution. However
the indicators show that reproductive health and
rights of women and men are endangered. The overall use of contraceptives remains low – with 41 per
cent of married or in union women of childbearing
age using no method of family planning41. While
access to standard contraception methods is problematic, there is high rate of abortions performed in both
private and public clinics. Since 1996 there was a
decrease in the number of safe and medically supervised abortions (from 125 per 1000 live births in the
1980s, to 90 per thousand live births in the first half
of the 1990s) and an increase in the numbers of illegal abortions in private clinics (due to the perception
of the clients that they will be treated with more dignity and respect in the private sector) which do not
always meet professional standards. In 1994, for
example, the Federal Public Health Institute reported
that 857 cases of complications following abortion
had to be treated in medical institutions. In 1995, the
number of such abortions had almost doubled.
Records also show that more than 80 per cent of
women seeking abortion are married and over 25
years old, indicating that economic rather than social
constraints are the underlying cause. Of young
women between 15-24, 40 per cent report being pregnant at least once of whom one in five have had one
or more abortions, and only 40 per cent have ever visited a gynaecologist.42 Another major issue that contributes to the rise in number of abortions is the fact
that there is no pre or post abortion psychological
counselling available.
38 “Wasting” refers to children whose weight is low in relation to their height. This indicator represents short-term nutritional status.
39 “Stunting” refers to children who are short for her/his age. This can reflect the accumulation of effects of past episodes of inadequate
consumption, illnesses or poor feeding practices that either last for long periods or were frequent.
40 Multiple Indicator Cluster Survey, published by UNICEF, 2000
41 Multiple Indicator Cluster Survey, UNICEF publication 2000
42 A Brave New Generation, UNICEF Belgrade publication, 2002, p. 19
Strategic Analysis
35
Box #4
The Convention on the Rights of the Child refers
to the necessity of the State to protect children
before as well as after birth. Although abortion
is legalized and common in many countries,
there is no universal international consensus on
the acceptability of abortion as a method of family planning, let alone any universal recognition
that it constitutes a so-called human right. There
is in fact no UN system policy adopted to support such a practice. On the contrary, there are
UN member states which have enshrined constitutional or legal provisions to prohibit and criminalize abortion, and to uphold the right to life of
the unborn child.1 Legislation exists in some
countries to uphold the accountability of persons
to protect the right to life of the unborn child,
and to prohibit actions (such as alcohol or substance abuse2 or harmful behavior) that a pregnant woman or any other person might take to
end the pregnancy.
1 The Irish Constitution, Article 40.3.3 upholds the right to
life of the unborn.
2 Environmental project no. 589 of the Danish
Environmental Protection Agency addresses exposure and
susceptibility to chemical substances in the case of children
and the unborn child. The concept and use of the term
“child” is used to cover embryonic and foetal periods as
well as post-natal.
The human rights-based approach requires focusing
in particular on whether certain vulnerable groups are
provided with the same level of medical care within
the same health system as other members of society,
and on the capacity and ability these groups have to
demand their rights. It is evident that the health status
of the poor and other vulnerable groups is particularly at risk as the current system fails them. Since the
routine health information system does not provide
disaggregated data, it is necessary to identify differences in health status between the “haves” and “havenots”. Results of surveys indicated differences in utilization of health services by different population
strata (domicile, refugees, IDPs)43 access to care, utilization of health services between the three strata,
with IDPs being worst off. In light of this, reduction
of the inequalities in the health status of vulnerable
groups and ensuring access to health care for all citizens should be regarded as a major national goal.
The overall responsibility for the health system in a
country that was previously shared between federal
and republic authorities has now been shifted to
republic levels (with the few exceptions that are still
being discussed, like joint reporting on communicable diseases etc.). Health sector reform has started
with re-defining (or defining) of a health policy that
will ensure basic services relevant to broadest health
problems, that has the highest possible impact, and
that is available to all – while keeping in mind the
financial constraints.
The Right to Education
Box #5
The International Covenant on Economic, Social
and Cultural Rights provides in Article 13, the
right of everyone to education, which shall be
directed to the full development of the human
personality and the sense of its dignity, and shall
strengthen the respect for human rights and fundamental freedoms. Education shall enable all
persons to participate effectively in a free society, promote understanding, tolerance and friendship among all nations and all racial, ethnic or
religious groups, and further the activities of the
United Nations for the maintenance of peace.
Similarly, the Convention on the Rights of the
Child recognizes the right of all children to have
access to education in Article 28.
As stated earlier, the Union of Serbia and
Montenegro is a State Party to both the International
Covenant on Economic, Social and Cultural Rights
and the Convention on the Rights of the Child, and
has signed the Education For All Declaration. Thus,
it is bound to comply with these international treaties
and ensure the progressive realization of their provisions. In fact, there is also a strong national legal
basis, which guarantees equal access to education,
and entitles national minorities to education in their
own language, and stipulates that primary education
is compulsory. As stated in the Human
Development Report 2003:44
“Full realization of the human right to education
requires more than achieving universal literacy
and primary education. It also requires that people participate meaningfully in public decisions
about education. And it requires that measures
for achieving education-related goals be equi-
43 “Health status, health needs and utilisation of health services of adult population in Serbia in 2000” - Institute of Public Health of Serbia
44 Human Development Report 2003, UNDP, p. 28
36
Common Country Assessment For Serbia & Montenegro
table – not disadvantaging vulnerable groups or
entrenching gender discrimination.”
The present educational systems in Serbia and in
Montenegro reflect the success of the socialist concept of “education for all”, which aimed to deliver
free and compulsory education to all children
between 7-15 years of age. There was almost universal enrolment in primary education, education in most
minority languages was provided at all levels and the
school system had a widely developed network of
schools, a large cadre of trained teachers and an institutional framework for supervision. Private education
exists in all levels, from pre-school to tertiary, but is
very small in scope. In many respects, education in
Yugoslavia was far more progressive, liberal and
open, than in other communist countries and quality
and efficiency of education was high.
MDG Box #5
Goal 2: Achieve universal primary education
Target: Ensure that all boys and girls complete a
full course of primary schooling
Achievement levels in education are high in
Serbia and Montenegro. However, it is worth
noting that the brain drain of the last decade has
deprived the country of its most educated people.
Serbia and Montenegro has achieved high enrolment rates. However, dropout rates are high,
especially among the Roma population and
other excluded groups. A major concern for
Serbia and Montenegro is the quality of education, especially in the light of continuing low
investment in the education system. Exclusion
of the most vulnerable groups, such as Roma
and children with disabilities, has also been
identified by the PRSPs as a major concern.
In 1991, roughly two thirds of the population had
completed primary education; 32 per cent had completed secondary education and 8.9 per cent of the
population had completed junior-colleague or university-level education. The older population and rural
population were a majority among the uneducated
population. Women were less educated than men; for
example 40 per cent of women did not complete primary school, while 14.33 per cent had no education
whatsoever. A significantly high number of people
without qualification reflects the age structure of the
country, given that the population in Serbia and
Montenegro is relatively aged.
The illiteracy rate in 1991 was 6.7 per cent, but higher among women (10.7 per cent). Gender differences
were less pronounced among younger population
(under 40 years).45 According to some surveys and
the data from 2002 census in Serbia the situation
today is very much the same.
Only a minority of children attend pre-school education in Serbia and Montenegro. There are 1688 preschool institutions, 4094 primary schools, 517 secondary and 135 post secondary schools and university faculties and academies in Serbia and Montenegro,
with over 800,000 primary and 350,000 secondary
school students.46 The vast majority of schools are
state-run and financed out of the Republican budgets.
There are a few private pre-schools, secondary
schools, colleagues and universities, which offer
more facilities than government schools, but there is
no data on the quality of education in these. Although
the governments and the international community
have invested in reconstruction of educational institutions, the conditions of the buildings and equipment
remain poor.
Today, Serbia and Montenegro have about 80,000
trained primary and secondary school teachers and
another 17,000 pre-school workers in place that are
mostly women.47 Teachers have god initial qualifications – according to regulations even the teachers at
lower levels must have a university degree. However,
advanced training institutions have not been set up
because of the shortage of financial resources and low
priority in the national policy. As a consequence,
many teachers have limited skills and experience in
modern methods of classroom management, interactive and participatory teaching methods and monitoring of learning achievement. There is a high outflow
of teachers from the education system into other jobs.
All this have contributed to a significant drop in the
quality of education as a whole.
There is also a shortage of teachers in ´marketable´
subjects such as English, mathematics and information sciences. The problem is particularly acute in
rural areas – where as many as 50 per cent of the
45 Comprehensive Analysis of Primary Education in the Federal Republic of Yugoslavia, UNICEF 2001 and Federal Bureau of Statistics,
1990/1991 and 1998/1999 school years
46 Federal Bureau of Statistics, 2000/2001 school year
47 Federal Bureau of Statistics, Belgrade, 2001, No. 2287
Strategic Analysis
37
teachers are not qualified or trained in these subjects.
Curricula and syllabi have remained unaltered for the
last two decades and are inappropriate to the changed
socio-economic conditions and new national priorities. A school curriculum reform has started with the
aim to replace the outdated school curriculum.
However, the low wages and poor working conditions
of teachers re taking its toll with strikes becoming
more frequent, particularly in Montenegro.
Despite the high number of buildings, access to education is still not ensured to all students. Since the
network of schools was developed in the early 60s,
the distribution of schools does not correspond to the
present demographic composition of the population.
Consequently, some schools run up to four shifts,
while others, especially small rural schools, have few
pupils48 working in multi-grade classes. The teachers
in these schools are often under-qualified to educate
the students coming from socially and educationally
deprived families. Some children walk anywhere
between two to eight kilometers to attend school. 49
Thus, school attendance is an issue due to lack of
transportation, shortage of teaching staff, and the low
level of education aspirations. The situation today
shows that the school network is bipolar with 35 per
cent of large schools with multi-shift system that
accommodate 85 per cent of all students, and small
rural schools with very few students dislocated from
the central schools. Another difficult situation is in
regard to the pre-school institutions, which are inaccessible for children in remote rural areas and overcrowded in the cities and small towns. The number of
primary and secondary schools is declining or stagnating, due to migration and depopulation of some
areas while the number of post-secondary schools and
faculties is gradually increasing.
In the present educational system the reported data on
enrolment rates are high and show no disparities for
primary education in regard to the general population.
(But these numbers should be interpreted with caution50 especially taking into account the problems of
Roma children with access to education, which is discussed later). There are no disaggregated data on
basic education indicators, but some studies and
assessments show significant disparities socially, territorially, regionally and gender based. Official gross
enrolment rate is 98.31 per cent and the drop out rate
is 0.62. However, the net enrolment is much lower,
and the drop out rate in primary education is estimated at about 15 per cent (17 per cent among girls).
Many drop out after fourth grade, since they are
unable to travel the distance to upper primary schools.
The drop out rate is particularly high among the rural
population, Roma, children with disabilities and displaced people. Eighty per cent of dropouts among
Roma population are girls.51
The current key limiting factor in education in the
country is its quality. The assessment of learning
achievements showed that more than 60 per cent of
students do not master even half the essential of basic
curriculum necessary for continuation of education.
As a result of the socialist period, the education system is centralized, with an extensive infrastructure
that does not correspond to the present composition of
the population. The outdated curriculum, more
teacher than child centered, inadequate school conditions, poor teaching aids and material supplies and
lack of adequate textbooks are some of the main features of existing education systems in Serbia and
Montenegro. The lack of motivation among teachers
and professionals who are underpaid and the pupils´
low interest in school are consequences of the long
lasting crisis. In other words, the current education
system does not correspond to the needs of children
and youth. Serious problems that children face, such
as medical and dental care, drug abuse, violence,
early sexual relations, family disorders and social
crises should be also taken into account and recognized by the schools, in order to include preventive
programmes in the curricula.
Access to education is particularly limited for children with disabilities, the reasons being the absence
of an adequate system of inclusive education or special education when required, and the lack of qualified teachers. Only about 30 per cent of children with
disabilities are covered by primary education, 15 per
cent of which are enrolled to one of 85 special
schools, while others are attending mainstream
schools. Due to a lack of special assistance they
dropout before reaching any level of qualification.
Among the most educationally deprived are Roma
children. In both Serbia and Montenegro, the great
majority of Roma children are not enrolled in primary
schools, notwithstanding the laws, which provide that
the right to education is to be achieved on the basis of
equal opportunity. Furthermore, the law prescribes
that all children including those belonging to minorities shall equally enjoy this fundamental right.
However, only 27 per cent of Roma complete primary
48 Report on Optimisation of School System. UNICEF and Education Forum 2002.
49 The Report on the Optimisation of the School Network, UNICEF –Education Forum, 2002
50 Multiple Indicator Cluster Survey, UNICEF 2002
51 Comprehensive Analysis of Primary Education in the federal Republic of Yugoslavia, UNICEF 2001
38
Common Country Assessment For Serbia & Montenegro
education. As a result, 80per cent are completely and
functionally illiterate.52 Language barrier, child
labour, lack of parents´ awareness, poor living conditions and early motherhood contribute to considerable
school dropout rate (78per cent). Only 17 per cent
have secondary education and 0.2 per cent have higher education. Roma children come to school, educationally and socially unprepared. The schools, the
teachers and the communities often reject them and
there is little knowledge, understanding and respect
for their culture. Almost 80 per cent of children in
special schools in Serbia are Roma; yet only 15 per
cent of children with special needs are enrolled in
these schools. This is a classic case where it is necessary to identify all those actors in the system that have
the duty to ensure that all children in Serbia and
Montenegro enjoy their right to education and to
assess their capacity to fulfil their obligations in this
regard.
Regarding post-secondary education, every year a
significant number of students, some 60per cent of
secondary education graduates enter higher schools
or university. A key issue is in regard to the quality of
higher education, efficiency of studying and irrelevance of qualifications gained to the labour market
requirements. The average length of studying is over
7 years, and only about 26per cent of enrolled ever
graduate. This is again attributed to using old teaching methods, outdated curriculum and textbooks that
do not meet international educational standards. A
majority of the graduates find it difficult to find
employment that is linked to their degree.
Serbia
Little connectivity exists between the education system and the labour market in Serbia.53 This is particularly evident in secondary education and vocational
schools, which are characterised by a high number of
generic subjects, fewer vocational and even less highly specialized vocational subjects or practical work
experience. The same applies to the adult education
system, which is highly marginalized and unharmonized with labour market requirements. Structural
unemployment is characteristic of the Serbian labour
market and problems have resulted from the system’s
inflexibility.
Resources flowing to the education sector in Serbia
have been declining over the past ten years culminating in 2000, when it reached its lowest level at 3 per
cent of GDP. Total education spending as a percent-
age of GDP in 2001 was 3.18 per cent, out of which
1.41 per cent was spent on primary education. The
total public expenditure for education in 2000 was
lower by more than 70 per cent in comparison with
1990 (it fell from US$ 889 million in 1990 to US$
247 million in 2000). The expenditure per student (at
the annual level) declined from US$ 554 in 1990 to
US$ 148 in 2000, in secondary education from US$
788 to US$ 188, and in two–year post–secondary and
university education from US$ 1,498 to US$ 350.
This decline shows a direct correspondence to the
decline in GDP by almost 68 per cent between 19902000.
The graph above shows investment trends falling for all levels of education.
At the same time that public investment in education
has declined, the costs for the families to have children in school have increased. The households have
to make substantive contributions to cover schooling
costs such as for textbooks, school supplies, small
school repairs, transportation etc. The average cost
per student/household in 2001/2002 was USD 120,
about 50 per cent of the public spending.54 In addition, 18 per cent of families spent USD 22/month for
private tuition. For poorer families with several children it is difficult to cope with these expenditures.
The children are the most disadvantaged children
with increased drop out rates, and with human and
probably economic poverty carried over to the next
generation. Thus, if investments are not made to guarantee a good quality education for all, human and
economic poverty will persist or increase. The next
generation of adults will not be as well equipped as
the adults of today and the country will be less prepared to take on the future challenges in a competitive
European environment.
52 Sources: “Matica Romska” and the PRSP for the Republic of Montenegro
53 Serbian draft PRSP
54 Household Expenditure survey, Strategic Marketing and Media Research Institute, in press 2003
Strategic Analysis
39
Montenegro
Public expenditure nominally increased from 5.6 per
cent of GDP in 2001 to 7.3 per cent in 2003, although
in real terms the increase is insignificant and is inadequate to cover fully the required budget for the education system. Education system expenditure for the
last three years was only 70 per cent of the needed
budget. Of this 54.5 per cent is spent on elementary
level education, 20.7 per cent on high schools and
vocational education, and 14.5 per cent is spent on
science and the university sector. As in Serbia, there
is a lack of trained teachers in the education sector, a
weakness leading to a non-profitable, under-trained
and uncompetitive workforce.
It is important to note the correlation between the
level of education and the employment status; which
is another way of addressing the interrelationship of
the right to education and the right to work. Recent
surveys show that out of those employed, 16.1 per
cent hold a university degree, 66 per cent have a secondary school level education and 12.2 per cent hold
an associate degree. Some 21.6 per cent of those surveyed with a university degree work in public administration (army and police) and 21.6 per cent are
employed in the education sector.
The educational level of the workforce in Montenegro
appears to be inadequate for today’s market economy
especially as compared to the average level in EU
countries. This is a result of various factors faced by
the education system which include: inappropriate
teaching organization and conditions for teaching,
insufficient effort by both teachers and students,
unfavourable student enrollment structure, lack of
adequate textbooks, and unsatisfactory assessment
criteria. In addition, socioeconomic and demographic changes in the population due to an increase in
urban migration have caused a shortage of space and
overcrowded schools that must operate with double
and triple shifts.55
Regarding gender distribution, 52.8per cent of university degrees are held by women and 47.2per cent
are held by males. Despite the large number of
women holding university degrees, many do not find
employment that is linked to their degree and many
remain unemployed. A larger number of men pursue
an associate degree with 60.5per cent held by males
and 39.5per cent by females.
Recommendations for conducting reforms in the
educational sector are many and some of them
are already planned.1 These include:
• Introducing a higher quality approach to
teaching and learning;
• Improving the physical conditions of classrooms and schools;
• Developing an understanding of the determined reform methods;
• Financing education and making more efficient use of the current fund;
• Increasing the capacity of teachers through
training for professional development
• Decentralizing the current administrative
structure in the educational system;
• Establishing private educational institutions; and,
• Relocating or rezoning educational institutions according to regions.
1 Household Survey # 6, p. 41
The Right to Housing in Serbia and Montenegro
Although the right to housing is mentioned in legislation as a social responsibility to provide assistance to
people in need, there does not exist an effective institutional framework to make this a reality. In fact, over
the last decade there have not been any legislative or
policy changes in relation to housing. The growing
need for adequate housing resulted in immense illegal
construction forming many new unplanned settlements. In addition to the need for new housing, the
secondary housing market is not developed and regulated due to the underdeveloped banking sector and
the non-existence of a mortgage lending system. The
rental market is also not regulated and there is practically no available public rental stock with regulated
rents. As a result of the general impoverishment of the
population, the existing housing stock is poorly maintained, which calls for serious investment in refurbishing and upgrading. Lack of available housing limits mobility, which in turn affects unemployment. It is
common for several generations to live in the same
apartment, due to lack of other options. Roma,
refugees and IDPs face the highest levels of housing
insecurity. 65per cent of all Roma settlements are built
illegally and are categorized as slums or unhygienic
dwellings, and Roma are threatened with eviction. It is
estimated that 80per cent of Roma live in poor settlements – 70per cent of households are without water
and 85per cent have no sewage.
55 Household Survey #6, p. 39
40
Common Country Assessment For Serbia & Montenegro
The Realization of Children’s Rights in Serbia
and Montenegro
It is said that the true measure of a nation is in how
it treats its most vulnerable members. Serbia and
Montenegro ratified the Convention on the Rights
of the Child (CRC) and thus has a commitment to
take all appropriate legislative, administrative and
other measures to implement the human rights
Box #6
Significance of the Life-cycle Approach and
Human Rights-based Approach for Children
and Adolescents: Key Issues
Using the life cycle approach to address child rights
offers a very useful way for advancing human
development in Serbia and Montenegro. It helps to
analyse how the rights of children at different
stages of their lives are respected by their family,
society and government institutions and how they
are able to exercise their rights in relation to their
evolving capacities. Applying a human rights
approach means identifying all the actors in society that are the “duty bearers” and therefore responsible for fulfilling the rights of all children to health
and education services and for ensuring their protection from all forms of discrimination, exclusion,
exploitation, abuse and neglect. It further requires
an assessment of the capacity of all duty bearers, be
it the family, the school, the social services, the
municipal authorities and others to fulfil their obligations or be held accountable. Building the capacity of duty bearers in order that they may be able to
respect, protect and fulfil the rights of all children
should be seen as a major priority.
Early Childhood 0-3 and 4-6 years of age: The
persistence of disparities in child survival in different regions and among different population groups
is an important aspect of child survival that needs
immediate attention. Equally important is to pay
special attention to children with disabilities.
Despite years of effort, the IMR remains unacceptably high. Much of this has to do with the overall
economic condition of the Roma population, the
low levels of education among them, the inadequate access to good quality health care, the efficacy of health services, and the limited opportunities
for employment and participation in political life.
The limited opportunity that young children below
the age of six years have to acquire early childhood
education is another major concern.
Strategic Analysis
treaty. An assessment of the situation of children
and adolescents consists of examining the conditions in the areas of health, education and overall
well-being of this age group which, according to the
CRC includes children and adolescents below the
age of 18. It also means assessing the extent to
which children and adolescents are able to enjoy all
their human rights throughout the life cycle as recognized in the CRC. Many of the issues related to
School age children 7-14: These eight years constitute a critical phase in children’s lives when
they get the opportunity to attend regular schooling. While schooling is universal in Serbia and
Montenegro and, technically speaking, all children attend primary schools, much needs to be
done to improve the quality of education. School
infrastructure needs improvement, as does the
curriculum to make it more relevant and meaningful to children. Higher investments are needed in
secondary schooling as well, so that all children
get the same opportunity to acquire good quality
education.
Adolescents age 15-18: The period of adolescence is significant for children to acquire life
skills and gain a strong awareness of their human
rights. Children in this age group are particularly
vulnerable to the threat of HIV/AIDS. Almost one
third of girls in Serbia and Montenegro and two
thirds of boys have sexual relations before age 16.
Greater exposure to different aspects of reproductive rights and sex education are therefore important. Challenges for this age group lie in several
areas: access to vocational education, exposure to
risk behaviours, the adequacy of preventive and
health promotion programmes, access to youth
friendly health services and opportunities for
decent employment in the upper ages.
Considering that a person is still in intensive formation at this age, special considerations are
given to young people in conflict with the law. A
juvenile justice law covering these rights is currently being drafted in Serbia. (Also, see Juveniles
in Conflict with the Law under Section on
Security of Persons)
Youth age 18-25: Generating of employment
opportunities is also of paramount importance for
this group. Over one-third of the unemployed have
been looking for a job for more than one year. In
Serbia, forty percent of job seekers fall in the 15-25
year age bracket, which has an unemployment rate
three times higher than the overall figure.
41
the extent to which children and young people enjoy
their civil, political, economic social and cultural
rights could be effectively addressed by adopting a
life-cycle approach. The life-cycle approach brings
into sharp focus the priority interventions needed at
each stage of a person’s life (See Box below) and it
helps to identify the specific rights that are not being
respected or fulfilled.
national effort to gather and analyse data on youth is
necessary to provide a solid base for youth and policies and programmes. The meaningful participation
of youth in society can be defined as taking part in
and influencing processes, decisions and activities
that affect them. “Meaningful participation requires a
safe and supportive environment that enables young
people to make choices based upon full information
and that increases their connectedness to their social
surroundings. It means having an active role in family matters, school, health services, community life
and government.”57
Youth in Montenegro
Adolescents age 15-18: For this age group there
is a need to promote healthy life styles and child
friendly services available for adolescents. It is
also important to promote the participation of
adolescents in all aspects of decision-making
that affects their lives including within the family environment, the school and community,
which would contribute to their full development as active and responsible citizens of a pluralistic and democratic society. In addition, their
meaningful and active participation would contribute to the advancement of human development in Montenegro. Presently, there is no specialized capacity that is dedicated to youth.
*
See Annex 1a
Participation of Youth in Serbia and Montenegro
Youth are young people aged 15-25 and make up
about 13.7 per cent of the total population in Serbia
and about 15.9 per cent in Montenegro.56 For the
most part, the current generation of youth over the
past decade have remained isolated and their whole
world changed while they were growing up. The key
areas in the lives of young people are: participation in
society, employment, health and effective response
for young people in need of special protection. One
critical fact regarding youth in Serbia and
Montenegro is the limited availability of data, which
is not disaggregated from the rest of the population,
particularly for girls and young women, and especially excluded and marginalized groups such as minorities and the disabled. A consistent and coordinated
There is concern about the increasing drug use
among adolescents and youth between the ages
of 15-25. According to research conducted by
the Red Cross and the Institute for Public Health
in 2001, among this age group, it was estimated
there were 6.7 per cent occasional drug users,
and 1.2 per cent were estimated as addicted drug
users. In 2001 there were at least 14 cases registered as hospitalised for drug abuse while in
2002 this figure was reduced to a total of 9
cases. The decline in the cases of drug users
hospitalised is more likely attributed to the lack
of appropriate treatment available. The registered cases were from the psychiatric clinics in
Podgorica, as there is no one institution that provides treatment and rehabilitation services for
drug addiction. More reliable data is also needed in this regard. There are not accurate records
of drug users, or any preventive treatment programmes available. Thus, the only alternative
for adolescents and youth is to seek help in the
psychiatric clinics, which treat all mentally ill
56 ibid, p. 25
57 ibid, p. 33
42
Common Country Assessment For Serbia & Montenegro
patients. There is no adequate training offered
to medical staff in order to treat the problem
effectively. Compounding the problem is the
fact that drug abuse is not regarded as a priority
by the health sector. In addition, in a traditional
society like Montenegro, drug abuse can lead to
stigmatisation and for the most part, youths and
their families are left to cope on their own.
There are figures related to adolescents and youth
in Montenegro that indicate they are having sexual relations at an early age.1 Yet, there are no
school programmes that promote safe sex and
contraception, nor counselling services for promotion of healthy lifestyles among adolescents
and youth. In this regard, there is a need for coordinating peer education programmes that should
be provided by the school system in close collaboration with local NGOs with a view to establishing the cooperation of parents and civil society.
1 Brave New Generation, published by UNICEF Belgrade,
p.69
Disabled Children in Serbia and Montenegro
The Constitution of Serbia and Montenegro guarantees special protection for persons with disabilities.
Disabled children and youth are entitled to material
support, career assistance and other benefits. In 1993,
the Government of FRY estimated there were 142,700
disabled children. Currently, only a small percentage
of disabled children receive professional therapy. A
large number of institutionalised children with mental
disabilities in Serbia are living in two institutions that
also care for disabled adults with disabilities (Kulina
and Staminca), and children and youths are also
mixed with adults, even in sleeping areas. Although
these institutions provide the basic needs, they are
overcrowded and the living conditions are poor.58 The
social stigma attached to children with disabilities,
the lack of adequate services and the disparities in the
provision of services between rural and urban areas
indicate that this is another area of concern since disabled children are likely to be chronically excluded
and discriminated against.59
Although there are no official data, it is estimated
there are about 18,000 children, adolescents and
youths up to age 25 with disabilities in Montenegro.60
58
59
60
61
Generally, disabled children are stigmatized in
Montenegrin society and frequently hidden by their
families. In fact, the lack of accurate data on children
with disabilities is partially caused by the stigmatization and discrimination against such children and their
families, including children living with HIV/AIDS.
There are no systemic solutions for prevention of disabilities such as early detection, registration, categorization, early treatment and rehabilitation. There are
four schools for pupils with different disabilities nevertheless, they have limited access to education. This
is largely due to the tendency to exclude disabled children and the lack of readiness by many teachers,
pupils and parents to accept them, as well as the inadequate school conditions. According to the existing
legislation, children with disabilities are not allowed
to attend mainstream pre-school education.
Regarding primary school children with disabilities,
this is regulated by a separate law, which has the
effect of contributing to their being further isolated
from mainstream education and other children. As
many as 500 children with disabilities have been
placed in separate classes within the regular primary
schools in the large towns of Montenegro.61
Presently, a Categorization Multidisciplinary
Commission reviews disabled children at primary
school age within one day using IQ tests, in order to
determine whether the child should be placed in
mainstream education or sent to a special school. The
structure, composition and operation of the
Commissions are based on an outdated medical
model of disability and the diagnostic procedures
used are not adequate checks to protect children from
misdiagnosis. Moreover, some children are diagnosed
late and miss the opportunity for early intervention.
Along with a growing awareness of the need to
reform the social care system, acknowledgement of
these problems has prompted a reconsideration of the
role and function of the Commissions.
The Right to Social Protection in Serbia and
Montenegro
Box #7
The International Covenant on Economic,
Social and Cultural Rights provides in Article 9,
the right of everyone to social security, including
social insurance.
Brave New Generation, published by UNICEF Belgrade, p.79
ibid, p.80
Source: Parents’ Association for Children with Disabilities, a network from 21 municipalities.
Ministry of Education of Montenegro, Annual Report 2002
Strategic Analysis
43
The social protection systems of Serbia and
Montenegro have been extensively analysed by their
respective PRSPs. Given that increasing unemployment and poverty have been central features of the
transition period in Serbia and Montenegro, it is not
surprising that a large number of families rely on social
welfare to enable them to meet their basic needs A
large number of people rely on extended family networks and remittances from abroad, work in the gray
economy, some on scavenging and some on social welfare to meet part of their needs. In the past ten years of
economic and political crisis, allocation priorities of
the available funds have changed, leaving a sparse
budget for the social welfare sector. The situation was
much worse prior to the appointment of the new government in January 2001. Assistance to poor families
and individuals was designed to enable them to
achieve a minimum level of social security. This
included direct allowances, accommodation for children without parental care, support for people with disabilities to live by themselves, assistance to the aged
and particularly to vulnerable families. In Serbia, these
systems operated until 2000 through job security and
protection of workers from dismissal, ensuring low
prices for essential goods such as bread, flour, sugar,
electricity and public utilities, payment of welfare benefits including children’s allowances and humanitarian
aid from international agencies.
The number of citizens receiving welfare benefit is
low, and is almost insignificant relative to the number
of poor people in the country. During the 1990s, the
number of families receiving welfare benefit continued
to decline.
The decline in the number of recipients of welfare benefits in Serbia and Montenegro did not result from a
decline in poverty, but from restrictive criteria applied
by the social welfare system and the inability to finance
even that modest assistance. In 2001, the number of
recipients of welfare benefits rose by about one–fourth,
primarily because benefits were being paid regularly
and had increased in real terms. Under the prevailing
circumstances, it would be relevant to identify whether
there are any specific groups in the population that do
not enjoy the right to social protection at all or to a lesser degree than the majority of the population.
The social welfare system in Serbia and Montenegro has
a caseload of approximately 160,000 children, including
10,000 who have been deprived of parental care, out of
which 2,000 are placed in institutions and 2,000 live
with foster families62. Despite the encouraging achievements and firm commitment to reform the social protection system in the last couple of years, the system continues to reflect general deterioration of socio-economic
conditions, and the government is left with huge challenges in coping with its social caseload. The child protection system is based on outdated and inappropriate
standards and working methodologies. For vulnerable
children entitled to support and assistance from the
Government63, such as those deprived of parental care,
those with disabilities, and those at risk or in conflict
with the law, placement in institutions is the most common response. Community-based forms of care and
other opportunities for their social integration are critically scarce. The need to develop adequate child protection policies, legal and administrative frameworks,
which are in accordance with international norms and
standards, has gradually made its way and figures as a
priority in the reform agenda.
(As stated in both Montenegrin and Serbian PRSP: The
main goals of reforms undertaken in the social sector are
the de-institutionalisation and development of alternative forms of social protection, the definition of the role
of different sectors and their inter-linkages (health care,
education, employment, police, judiciary), involvement
of different stakeholders in the sphere of service provision (primarily those from the NGO sector), and greater
reliance on day-care, instead of institutional placement
in the great majority of cases.)
The Right to Gender Equality and Women’s
Human Rights in Serbia and Montenegro
MDG Box #6
Goal 3: Promote gender equality and empower women
Target: Eliminate gender disparity in primary
and secondary education preferably by 2005,
and at all levels by 2015
On the whole, a high degree of gender equality
has been achieved in primary and secondary
education. Girls are over-represented in tertiary
and higher education. However the gender gap
is widespread in the employment areas, where
62 source: PRSP section 3: More efficient Social Protection
63 Whereas there is no official definition of Children in need of special protection measures in Serbia and Montenegro, legislation does
exist that defines which categories of children require support and assistance from the state – specifically, children living without parental
care, children at risk within their own family, children living in dysfunctional families, children with behavioural problems, children in
conflict with the law, children placed in foster care or in adoption, children with disabilities and child victims of domestic violence.
44
Common Country Assessment For Serbia & Montenegro
women are concentrated in low-paid jobs and
rarely reach managerial positions. Women also
earn less than men.
The most striking gender disparity is the low
participation of women in the public and political life. The number of women elected to a public office is very low. Women parliamentarians
represent only 10%.
Serbia and Montenegro ratified the Convention on the
Elimination of All Forms of Discrimination Against
Women (CEDAW), which recognises that discriminatory practices are an obstacle to the equal participation of women in all aspects of life and to the development of society. Yet, despite the emphasis during
the socialist era on employment and productive work
as both rights and duties for all citizens, the perception of women’s roles in Serbia and Montenegro, as in
many other countries, continues to follow a patriarchal stereotype where women are seen primarily as
wives and mothers. Marriage and family continue to
dominate women’s lives, while men continue to be
seen as breadwinners, despite the fact that male
employment has declined during the transition, placing more and more women in the position of primary
earners. As in many other parts of the world, women
are burdened with almost total responsibility for the
“care economy,” even as they struggle to earn enough
to sustain their families.
Serbia
There are several indications that gender equality,
which was guaranteed in the past through policies that
ensured equal access to education, health care,
employment and social benefits to both women and
men is eroding due to the prevailing economic and
social conditions. In terms of adult literacy rate,
women are disadvantaged with 88.9 per cent for
women in Serbia, as opposed to 97 per cent for men.64
This figure is much higher in rural and older women.
Girls are still at a disadvantage in their opportunities
to develop their abilities, which is reflected in the
chapter on education.
Currently, despite their high levels of education and
professional qualifications, women in Serbia enter the
labour market on unequal terms. Transition has affected the labour market in several ways. Levels of female
employment have sharply declined (16.7 per cent in
Serbia between 1991 and 2000) during the transition.
However, data for 2000 show women accounting for
42.8 per cent of the workforce in Serbia – an apparent
increase over pre-transition levels. The increased
share of women in the total labour force is an outcome
of the fact that male employment was affected even
more adversely during the period of economic collapse, which saw the closure of several heavy industries traditionally dominated by men. Breastfeeding
either at work or in public is not acceptable and this
further restricts women in work choices.
The Survey of the Living Standard of the Population
(SLSP) points to the unfavourable economic status of
women. For example, over 40 per cent of women over
15 years of age do not have a regular personal income.
Women workers earn an average of 15 per cent lower
wages than men, and 10 per cent less than their male
counterparts for the same job. This underpayment is
more pronounced in sectors such as education, health
and social insurance, where women are present in
large numbers. Gender differences in pay are visible
across all classes and categories of employment, and
have widened in the last five years. Women are underrepresented in managerial positions and in the political decision-making bodies. Their presence in political life has shown a decline and is lower than any
other country in the region. Women represent 52 per
cent of the electorate but merely 6.7 percent of elected representatives at all levels are women and only 5.6
per cent in the Union Parliament. However, they are
better represented in the judiciary and in traditional
sectors such as education and health care.
The increasing criminalization of society in the years
of transition is further hindering women’s participation in public life. There was an increase of 19 per
cent in the number of rapes reported between 1992/93
and 1996. In 1997, the number of reported rapes
declined, although it is not clear whether this is due to
a real decline or under-reporting because of women’s
lack of confidence in police procedures and the justice system.
Awareness of the personal and professional costs
involved in reconciling the demands of these oftencontradictory roles is a factor influencing the decision
to marry and start a family. According to the 1991
Census, two-thirds of the adult population were married, and surveys show that women themselves place
a high value on marriage. Nevertheless, the situation
may be changing. There has been a declining trend in
the number of marriages since 1971, with an increase
in the average age at marriage. Many young people
cite the lack of a regular job and the housing problem
as the main reasons why they choose to delay marriage and childbearing. Even within marriage, women
in Serbia are also choosing to have fewer children
64 Draft Human Development Report for Serbia 2003, at page 74
Strategic Analysis
45
increasingly later in life. This should also be seen as
a response to material insecurity and social turmoil.
During the 1990s, a change in the age structure of the
childbearing population is evident, with an increase in
the average age at the birth of the first child, from 2024 years to 26.5 years. This is reinforced by a decline
in the birth rate for women at the optimal age (25-29)
and an increase in childbearing by older women (3039 years). There is much less of a decline in birth rate
for minority women. The incidence of childbearing
by adolescent girls also shows a decline, unlike in
many other countries in transition. This requires further studies.
A decline in fertility was visible even before the transition. It had fallen below replacement levels already
in the 1980s. This trend has intensified in the last
decade, due partly to the postponement of marriage
and partly to the shrinking numbers of women in the
childbearing age range. Nevertheless, an additional
obstacle for women that hinders the enjoyment of
their human rights is also attributed to the limited
reproductive choices available to them. This is
caused in part by the general lack of public information on birth control, and the inadequate supply of
conventional contraceptives. As noted earlier, women
in Serbia have a high rate of abortion, and there has
been a rise in the numbers of children born to single
women, which is a group that is more likely to
become socially and economically disadvantaged.
Moreover, there are no institutional mechanisms to
protect the rights of single mothers.65
Both Serbia and Montenegro are believed to have
high but underreported domestic violence, primarily
against children and women, but also against elderly
people. Child abuse and neglect is particularly underreported, and a category for this does not even exist,
for example. in centres for Social Welfare cases
records. Even though there are still no official statistics on domestic violence, the fact that there are over
30 women’s organisations and NGOs, all formed over
the last decade, that have domestic violence at the
centre of their agendas is an indication of the seriousness of the problem. The draft PRSP concurs with
this conclusion and indicates that the prevalence of
domestic violence has reached “dramatic scales in
Serbia.” Gender-based violence impairs or nullifies
the enjoyment by women of their human rights and
fundamental freedoms such as the right to life, the
right not to be tortured or subjected to cruel, inhuman
or degrading treatment or punishment, and the right to
equality in the family. It is also regarded as discrimination within the meaning of Article 1 of the
CEDAW. States Parties to the CEDAW have the duty
to ensure that laws against domestic violence give
adequate protection to all women, and respect their
integrity and dignity, and appropriate support services should be provided to the victims.
Another issue of concern is the lack of protection in
regard to the trafficking of women and children.
There is evidence of a growing sex industry run by
criminal networks that operate along the borders with
Western Europe. The current laws are inadequate in
regard to this criminal offence and, among other
things, do not provide adequate protection programmes for witnesses and victims (additional information regarding trafficking is provided under the
chapter on Security of Persons).
Montenegro
Montenegrin society can be characterized as both
patriarchal and traditional and with a strong preference among most families for male children. As in
Serbia, women are generally perceived as mothers,
wives and daughters. According to the last available
census, which was conducted in 1991, women make
up 51 per cent of the population in Montenegro.
Estimates vary according to the source, but out of
those unemployed, a majority are women. However,
women do make up 40 per cent of the legal workforce
and it is estimated that they make up about 60 per cent
of the gray economy. Although many women are
employed and pursue professional opportunities, as a
rule, they are more limited than men when it comes to
education and employment.
Although according to the law, women enjoy equal
status, in practice this is not the case. Women are
generally paid lower salaries than men for doing the
same job. It is also rare to find a woman holding a
high level position both in the private and public sectors. Studies indicate that there are patterns of discrimination against women because for example,
they are unable to get certain management positions
and very few become members of Parliament,
despite their skills and knowledge.66 Another indication is the fact that many qualified women end up
with lower paid jobs that do not correspond to their
level of education.
Many women in rural areas are unable to further their
education due to traditions and customs that lead
them to marry and start their families after completion
of primary and secondary school. In Montenegro it is
estimated that about 14.7 per cent of the households
65 Draft Human Development Report for Serbia 2003, page 79
66 Household Survey # 5, p. 30
46
Common Country Assessment For Serbia & Montenegro
are managed by women. Furthermore, women heads
of households are less educated with 33.8 per cent of
them having only a primary education and many have
not had any form of education at all. From these factors it can be concluded that most of these women and
their families fall into the category of the poor and
most vulnerable group in the Montenegrin context.
Domestic violence is being addressed increasingly in
Montenegro and a number of NGOs focus on this
issue. Currently there is public discussion taking place
regarding a proposed criminal law dealing with
domestic violence, among other issues. According to
SOS Telephone for Women and Children, Victims of
Violence, a local NGO, the problem of domestic violence in Montenegro is of concern. Domestic violence
includes: physical and psychological abuse (25.5 per
cent) and physical, psychological and economic (22.4
per cent). According to the Ministry of Interior, 10.8
per cent of all the cases reported related to disturbing
the peace in public places were found to be related to
domestic violence. Between 1997 and the year 2000,
SOS reported 1, 778 calls with complaints of domestic violence, or 445 per year. About 39 per cent of the
cases involved women between the ages of 16 and 25.
SOS provides a list of what is regarded in
Montenegrin society as acceptable patterns of behaviour among men. Included among them are:
• Men are expected to be the “boss” in the family;
• Strong preference for male children;
• Women are destined to raise the children;
• Regardless of the price, women have a duty to
keep the family together;
• Women fear their children will be left without a
father if they file for divorce;
• It is accepted for husband to beat their wives if
they are doing something wrong;
• Usually it is considered that only bad wives
experience domestic violence.
Through the same SOS survey, it was revealed that
children are also direct victims of violence and are
being psychologically affected by the abuse being
committed against the mothers. Out of the reported
cases of violence, 17 per cent of the children were
reported as psychologically affected, 13 per cent were
physically abused, and 15 per cent were being abused
by an alcoholic father.67 SOS indicates that a majority of Montenegrin society considers it acceptable to
beat children if they do something wrong, including
some 47 per cent of women, mainly mothers who
were found to agree.
There are a number of organizations and groups that
deal with victims of domestic violence in Montenegro
including women NGOs, Ministry of Interior, Centers
for social work and health organizations, as well as
the courts.
CHALLENGES
Serbia and Montenegro face several challenges as
they strive to advance and accelerate human development. In this regard, it is important to ensure that
the social indicators are maintained. Special attention
must be given to ensure that the relatively few children that are born will all be healthy, well nourished
and all receive a good quality education.
Reducing inequalities: One of the biggest challenges
is the persistence of inequalities and social, economic
and cultural exclusion. On average, Serbia and
Montenegro score well according to the Human
Development Index (HDI)68, which measures life
expectancy at birth, educational attainment and GDP
per capita. In 1999, the country reported a life
expectancy at birth of 72.9 years, an adult literacy rate
of 93 per cent and a combined gross primary, secondary and tertiary enrolment ratio of 69, and a GDP per
capita of PPP US$ 2,920. Nevertheless, there are wide
regional disparities in Serbia in terms of human development (with the Human Development Index varying
from 0.638, which is equivalent to that of Gabon – an
under-developed African country, to 0.799, which is
equivalent to Latvia – an EU-accession country). For
instance, according to recent estimates, the value of
the HDI for Raski Okrug (0.638) is almost 20 per cent
lower than Grad Beograd Okrug (0.799).
A major challenge is reducing gender inequality,
which serves to contribute to women’s poverty.
According to draft PRSPs, based on the experience of
other countries in transition, and in view of the
increasing poverty in Serbia and Montenegro, elderly
rural women and single mothers and their children are
the most vulnerable. In addressing gender inequality
and its relationship to women’s poverty it is necessary
to promote and support effective measures (legislative, administrative, judicial or other) to overcome
discriminatory attitudes and practices, to disseminate
information about the need for reducing gender
67 Domestic Violence, published by SOS Telephone for Women and Children Victims of Violence, 2003 Podgorica p. 60, 69, 130 and 33
68 Although HDI statistics have not yet been derived for Montenegro, the differences are estimated to be relatively small, and the much
smaller weight of the Montenegrin population in the overall Union of Serbia & Montenegro means that the HDI figures for Serbia can be
understood to closely reflect the picture for SCG overall.
Strategic Analysis
47
inequalities, to analyse and monitor gender inequality, and to support women’s cooperatives and entrepreneurship.
Box #8
HDI Ranking and values for 25 counties of Serbia
County
HDI Score
1. GRAD BEOGRAD OKRUG
0.799
2. SEV. BACKI OKRUG
0.784
3. JUZ. BACKI OKRUG
0.779
4. NISAVSKI OKRUG
0.774
5. SEVER. BANAT. OKRUG
0.769
6. ZAJECARSKI OKRUG
7. SRED. BANAT. OKRUG
8. ZAPAD. BACKI OKRUG
9. PIROTSKI OKRUG
10. JUZ. BANAT. OKRUG
0.767
0.759
0.759
0.747
0.744
11. SUMADIJSKI OKRUG
12. MORAVICKI OKRUG
13. SREMSKI OKRUG
0.743
0.735
0.733
SERBIA
0.733
14. KOLUBARSKI OKRUG
15. POMORAVSKI OKRUG
0.725
0.725
16. RASINSKI OKRUG
17. BRANICEVSKI OKRUG
18. BORSKI OKRUG
19. PODUNAVSKI OKRUG
20. TOPLI?KI OKRUG
0.714
0.713
0.688
0.686
0.686
21. MACVANSKI OKRUG
22. ZLATIBORSKI OKRUG
23. JABLANICKI OKRUG
24. PCINJSKI OKRUG
25. RASKI OKRUG
Source: Serbia HDR 2003
0.678
0.677
0.669
0.643
0.638
Tackling poverty: Poverty is one of the main root
causes and obstacles to human development in Serbia
and Montenegro. It is also among the root causes of
exclusion. Rising inequalities, bigger income poverty gaps across population strata and across geographical regions are closely linked with disparities in the
health status, educational level and accessibility to
other basic social services. Underlying factors
accounting for poverty are lack of investment in the
social sectors, inadequate resources, poor structures
and weak capacities.
An important challenge to human development in
Serbia and Montenegro is to identify the hidden
48
regional pockets of underdevelopment and exclusion
and to define and implement more inclusive public
policies. For example, the risk is high that poor children whose parents have lost their source of income
during the transition to a market economy may grow
up excluded and not have an opportunity to enjoy
their rights to health and education. In light of refugee
and internally displaced persons, as well as the Roma
population being the most vulnerable and the poorest,
and showing different demographic characteristics,
they require different policies and strategies in order
to reduce the disparities in their development.
The disintegration of the country into two Republics
also affected the system of data collection and analysis. Thus, besides the accuracy, the quality of available data is also an issue in tackling poverty. One of
the challenges in assessing the situation of the poor in
Serbia and Montenegro is the need for reliable and
accessible data provided by a statistical system that
can collect, process and analyze information on living
standards. The need for developing data systems for
poverty monitoring has been identified as an immediate necessity.
The limited empowerment of people as “rights holders” that can claim their civil, political, economic,
social and cultural rights, constitutes a barrier to
human development. Consequently, one of the challenges to be addressed is the lack of people’s participation in the design and implementation of policies
and programmes intended to empower and support
the socially excluded and marginalized. In this regard,
a much more central place of children, adolescents
and youth in national policies is necessary, including
in poverty reduction strategies; and the systematic
and high quality participation of young people and
children in decision-making on issues affecting them.
Improving health: The absolute priority is the
reform of the health care system. The main objectives
are reorganization, capacity building, improving the
legislation and arranging the system in accordance
with European standards. The weaknesses of the legislation, public health and primary health care system,
the lack of medical equipment and modern skills have
been recognized.
Improving the health status of the population, particularly of the most vulnerable groups, is another major
challenge. This means equitable and equal access to
health care for all citizens of Serbia and Montenegro.
Another consideration is the fact that deprived and
vulnerable groups often lack access to pertinent
health information, which hinders their capacity to
claim their right to health services. Thus, advocating
for inclusive public health policies, better access to
Common Country Assessment For Serbia & Montenegro
individual health services with more investment in
the preventive health services, and education of mothers is needed in order to ensure better health in early
childhood and a healthy start in life. In regard to children’s health, special attention to better nutrition and
an increase in the low rate of exclusive breast-feeding
to six months is also desirable.
Tackling HIV/AIDS: Currently only passive reporting on HIV/AIDS exists and there is a high level of
stigma and discrimination of people living with
AIDS. Major steps toward correcting the situation
were made by establishing multi-disciplinary committees for AIDS and putting all necessary drugs on
the reimbursable drugs list for patients (making antiretrovirals available free of charge).
The causes of the low birth rate in the country have
not been sufficiently analysed. Further research is
needed on reproductive rights and the availability of
birth control methods as an alternative to abortion.
There is also a need to improve the patient centred
approach in the birth experience, in place of the earlier “medicalised” approach. There is no national
review of either peri-natal, infant or maternal deaths,
which makes it difficult to advocate for policy and
practice changes or to make recommendations on prevention.
Prevention of HIV/AIDS transmission clearly needs
to be targeted at teenagers and young people, and at
vulnerable groups including sex-workers, IV drug
users and homosexuals. The epidemic is still at an
early age, but risk factors are very present and numbers could escalate rapidly. Targeted and outreach
services for these groups do not exist and they experience discriminatory attitudes in accessing regular
services.69
It is evident that there is a large gap in the present
health care system between what the law provides as
entitlements for beneficiaries, and the ability of the
system to render the services and essentially to fulfil
these rights. This is an important issue that needs to
be further examined in order to determine the persons
who should be covered by the compulsory health
insurance.
More centres for confidential HIV testing and pre and
post-testing are needed. Investments in the health and
educational sector are also necessary to improve the
surveillance and reporting system, as well as to
design health education programmes that aim to
reduce the stigma of people living with AIDS, especially children and young people. Programmes should
also aim to reduce the prevalence of risk behaviour
such as unsafe sex, I.V. drug use, and sharing of needles and syringes.
Improving the control of non-communicable diseases is a major challenge in improving the population’s health. Non-communicable diseases form the
highest proportion of the country’s maladies and
almost 70 % of deaths can be related to unhealthy
life-styles such as smoking tobacco, alcohol consumption, an unbalanced diet, and sedentary lifestyles. It is necessary to support efforts for the creation of healthy settings and an enabling environment
which will promote the choice of healthy life-styles.
The Government of Serbia has initiated a
Tobacco Control Strategy which needs to be further
supported. Integration of health promotion and prevention into all levels of health services, particularly
into primary care together with providing evidencebased treatment and cures to the whole population for
the most common illnesses are essential in order to
ensure equitable access to services and improved
health for all sectors of the population. Integration of
health promotion and prevention within the
health services for children and the young is important for tackling the non-communicable diseases epidemic in the country, reducing excess mortality and
morbidity and ensuring healthier lives and thus contributing to the human development of the population
of Serbia and Montenegro.
As to tuberculosis, which is regarded as a public
health threat, in addition to the need for more accurate
registration of cases and reliable data, ensuring proper treatment is another challenge. Treatment guidelines and drug regimens according to recommended
short-course chemotherapy are already in the plan,
and the procedures are already established throughout
the country. But unfortunately, correct treatment has
been hampered by a lack of continuous drug supply.
Since systematic cohort evaluation of treatment is not
available, it is impossible to estimate what effect this
irregular provision of drugs has had on the cure rate
of the country. According to WHO, nothing is as dangerous and as detrimental to a tuberculosis programme as irregular drug supply, and assurance of a
continuous and well-controlled supply of drugs is
needed. Full control of the use of anti-tb drugs is necessary to prevent development of MDR-TB. MDRTB is not a large problem in Serbia and Montenegro
so far, but it is impossible to say what the future situation will be without proper drug control being established soon. The Government must establish measures to prevent uncontrolled distribution and sale of
tb-drugs over the counter, with as well as without prescription.
69 Rapid Assessment and Response on HIV/AIDS among Especially Vulnerable Young People in Serbia
Strategic Analysis
49
Improving the quality of education: For school-aged
children, efforts should focus on ensuring access to
primary education and on reducing the dropout rates,
especially for Roma children and other vulnerable
groups. Access to primary education can be impaired
due to legal registration issues, and the lack of financial resources to purchase textbooks and affordable
school transportation. Minority language education
and intercultural understanding and respect, remains a
challenge, as there is no agreed Roma language, which
could be used for textbooks, and there are few trained
Albanian teachers. The education of children with special needs and their greater involvement in the educational system is another challenge, in order to ensure
that all children in Serbia and Montenegro enjoy their
right to education. The quality of education, in terms of
its content and teaching methods, and its relevance in
the modern world, as well as in relation to the needs of
the community, is also a top priority. Promoting
respect for cultural diversity in a pluralistic society
should be included in the educational curricula.
The informal kindergarten, pre-school and primary
education sector have grown in the last three to five
years, which is largely donor driven, but covers much
of the outreach and special needs education sectors.
Presently, there is no adequate planning for incorporating these projects in the mainstream when donor funding decreases, but there are more organized approaches
to check quality and recommend projects to donors. 70
Weakening of the education system has led to young
people being less able to enter the workforce. The
developmental challenges for young people are in
several areas: access to vocational education, exposure to risk behaviours and adequate preventive and
health promotion programmes, access to youth
friendly health services, and opportunities for decent
employment. Programmes for adult literacy, also
known as second chance education, are full of children who have dropped out of school but they serve
neither children nor adults properly. These programmes are in need of review and the overall
approach is in need of reform. Increased public and
private investment is crucial in the educational sector
to quality of tertiary and higher education, in order to
prepare students for the market economy of today.
In sum, to ensure the progressive realisation of the
right to education, several challenges need to be met
regarding equal access, quality of education including
revision of the curricula and teacher training, as well
as the need to increase the allocation of public
resources to the education sector.
The orientation and the steps of the reform process
in the social sector that began in early 2001 have
gained clarity and coherence in the second half of
2003.71 There have been marked successes in some
areas (such as developing a consultative and participatory mechanism concerned with the main directions of
the reform, reform of pension provisions, developing
the strategy for transforming institutions for children,
establishment of the Social Innovation Fund, development of a participatory mechanism, etc.). However,
overall reforms have yet to make a major impact on the
quality of services in demand, service delivery and professional competency. One of the major challenges
resides in coordinating and ensuring cross fertilisation
of findings and results achieved in each of the 7 strategic reform projects (see the section on Responses for
their listing). Another challenge in reforming the entire
social protection sector resides in the inter-linkages and
in the different speeds at which administrative, regulatory and normative measures get revised and/or developed. Finally, there is a need to harmonise the proposed
reforms measures, if they are to inform the development of a social protection policy for the country.
Ensuring the right to housing: Ensuring shelter for
all is a major challenge in Serbia and Montenegro. As
in other post-socialist countries, there is a need to
develop a broad housing policy that includes a mortgage lending system and for the low-income population, a social housing system. The latter should
include a step-by-step establishment of instruments,
institutions and financial and management of modalities, both at central and local levels.
Protecting women’s and children’s rights: In regard
to domestic violence, there are numerous challenges.
Public awareness is low, since the problem is still seen
as a private matter in which neighbours and police are
reluctant to intervene. The few official agencies dedicated to coping with family violence have inadequate
resources and are limited in their activity by social
pressure to keep families together at all costs.
Women and children who endure abusive relationships are often forced to continue living with the perpetrators. The difficulty in finding alternative even
temporary accommodation (there is only one
women’s shelter in Serbia and one in Montenegro),
lack of economic independence, lack of community
support and services and fear of censure are the main
contributing factors.
Generally, there is a lack of policy response, the
absence of clear regulations, adequately trained
70 Catalogue, projects in schools, Ministry of Education of Serbia 2002
71 see the Government of the Republic of Serbia website: www.srbija.sr.gov.yu
50
Common Country Assessment For Serbia & Montenegro
police (there is no trained police unit to provide protection or assistance to female victims of sexual or
other violence), and judicial procedures to deal with
cases of violence. There is no recognition of domestic violence as a crime and an infringement of
women’s human rights. The absence of a strong legislative framework and the negative attitudes of the
official machinery, particularly the police, judiciary
and the health system, make it difficult for women to
break the silence, seek protection, protest or obtain
redress.
An additional challenge is that the wider and professional public are not very aware of children’s rights
and there is limited cooperation between the competent services and institutions. Legal sanctions intended for cases of abuse and neglect of children are very
weak. There is no systematic monitoring and recording of abuse and neglect cases and professionals
working with children lack specialized knowledge
and competences.
Strengthening civil society engagement: Civil society organisations have been established in Serbia and
Montenegro and many are regarded as strong actors
in the movement for democracy. Included among
them are NGOs, student groups and youth organisations. These organisations can play a leading role in
promoting economic and social policies and legislative reform that are pro-poor and based on human
rights principles and values. However, the capacity of
these organizations needs strengthening before they
can become effective. The lack of a defined constituency, low level of accountability to stakeholders
other than donors, a weak community base and
uneven management skills have been listed as impediments that NGOs must overcome to achieve their full
potential.
Government services continue to grapple with the
extent of NGO involvement in social service delivery.
A considerable donor-led NGO sector is facing collapse as donors withdraw. NGOs channel much of the
donor resources, provide direct humanitarian assistance and also support many innovative programmes,
such as pre-school and support programmes for Roma
children and outreach social work teams. Their funding is likely to decline. As yet, there is no clear concept of how successful development pilot projects
will continue in a local model.
On of the key challenges is to build a solid and active
civil society. Thus, solutions should focus on:
• enhancing government and civil society’s understanding of human rights and its interrelationship
with human development;
Strategic Analysis
• facilitating public spaces for participation of the
civil society;
• identifying rights-holders (or beneficiaries) and
building their capacity to claim or advocate for
their rights and to participate in decision making
processes that affect their lives;
• identifying duty bearers (state and non-state
actors) and building their capacity to fulfil their
obligations and overcome the constraints;
• supporting the establishment of mechanisms for
redress that guarantee rights and for monitoring
of all human rights - civil, political, economic,
social and cultural.
Poverty reduction strategies should empower the
rights-holders to participate in the decision-making
processes and this requires a strong civil society.
Capacity building of the most marginalized and
excluded is possible through civil society organizations and by creating public spaces for active and
meaningful participation. Initiatives such as poverty
hearings and participatory poverty assessments that
reflect the views of the socially excluded also help
duty bearers – which may include state and non-state
actors – to respond more effectively. Thus, such initiatives have great potential and merit support.
RESPONSES
The Governments of Serbia and Montenegro show a
firm commitment towards reform, with varying
degrees of success so far in education, health and
social protection. Both republics have formulated
basic principles for reform and an extensive process
of drafting new legislation is ongoing in both
republics. However, there is a backlog of legislation
waiting to be passed through parliament.
The process of developing the Poverty Reduction
Strategy Papers (PRSP) in Serbia and in
Montenegro is about to be completed. In both Serbia
and Montenegro, consultations were held at the
regional and the national level, in order to ensure
that the voices of the people are included into PRSP.
The approach taken in both PRSPs is that poverty is
multi-dimensional and includes not only insufficient
income, but also a lack of livelihood opportunities,
inadequate shelter and inadequate access to social protection, health, educational and public services. It further requires paying particular attention to all human
rights, vulnerability and social exclusion. As part of
the PRSP process, UNICEF in collaboration with the
Canadian International Development Agency (CIDA)
are undertaking participatory research in Serbia and
Montenegro regarding the perception that children
have on poverty in accordance with different age
groups.
51
To date, implementation of the Serbian
Government’s National Strategy for Resolving the
Problems of Refugees and IDPs has been slow due
to ambitious budgets and inadequate funding. The
Government is proceeding with the closure of collective centres outlined in the Strategy, which may
leave some individuals more vulnerable for an interim period. Refugees and IDPs are being included in
the Poverty Reduction Strategy Paper. The PRSPs
recognize that adopting a human rights approach
will also help to protect and promote the rights of the
poorest and most vulnerable in society. For example, having adopted a rights approach has already
drawn attention to the need for immediate steps to
address the severe problems of the Roma population,
particularly the children. Such strategy does not
exist in Montenegro.
Federal Ministry of Health, Labour and Social
Welfare on March 24, 1999. The plan stated that
Serbia and Montenegro was to conduct a tuberculosis
programme according to the DOTS-strategy
(Directly Observed Treatment short-course), recommended by the World Health Organization (WHO),
and the International Union Against Tuberculosis and
Lung Disease (IUATLD). The Ministry had appointed a Central team for the Programme and a scientific
support committee. Since then, the Ministry of
Health of Serbia has reaffirmed its commitment to
WHO DOTS strategy and the country has applied to
the Global Fund in May 2003. There are ongoing
activities for preparation of a project proposal for
tuberculosis for Montenegro.
Health Sector Reform Process in Serbia
The release in late 2002 of the first strategy for
Roma people in Serbia & Montenegro72 paved the
way for a Roma Education Strategy for Serbia, currently in preparation. Children with disabilities face
particular barriers in education, with many of them
either placed in institutions or kept at home. A review
of the categorization process for disabled children is
underway with recommendations to make the process
more inclusive, less medicalised, and to promote earlier intervention. Many Roma children are labeled or
treated as learning disabled (even when they are not)
so that as a result of this process they are marginalised
even more. The Ministry of Education in Montenegro
has been promoting the right of all children to receive
an education without discrimination. The Ministry
has been involved in the education of Roma children
and is willing to support other initiatives that aim to
contribute to the integration of Roma children in the
formal education system.
Efforts are being undertaken by UNICEF in collaboration with the Ministry of Education to raise the
capacity of parents, teachers and other professionals
in order to be able to educate disabled children adequately along with other children within the school
system.
The Serbian health system is slowly progressing
towards health care reform, but is still not client-oriented or patient-centred. The announced reforms are
aimed at correcting the effects of the country’s
decade-long isolation, which affected health workers
both in terms of updating technical knowledge and in
keeping pace with the “democratisation” of health.
A plan for a National Tuberculosis Programme (NTP)
for Serbia and Montenegro was sanctioned by the
In February 2002, the Government of Serbia
adopted a health policy document and established the cornerstone of health sector reform in
Serbia. The same year, the founding principle of
the reform was established: equal access to
health care with the focus on most vulnerable
population groups, beneficiaries put into the
centre of the system, sustainability and decentralization. Short-term (for the period of 3
years), mid-term (4-7 years) and long-term (over
8 years) development directions have been
defined as well as the methods of their implementation. The strategy paper and the action
plan in which the Millennium development are
accepted as long-term developmental priorities
by the year 2015 have been developed. The indicators for monitoring and implementation of the
goals have been defined. The new Laws on
Health Care, Health Insurance and the
Chambers have been drafted and publicly debated, but have not been passed by the National
Assembly yet. Due to political situation, most of
these laws will probably be pending for some
time and will be further modified.
Health Sector Reform Process in Montenegro
“Health services policy in the Republic of
Montenegro up to the year 2020” was adopted
by the Montenegrin Government in January
2001. The document has been created in accordance with the WHO declaration adopted in the
51st meeting of the General Assembly of WHO
in May 1998 and the documents on health poli-
72 National Strategy for the Integration and Empowerment of the Roma (Draft), Federal Ministry of Ethnic Minorities, December 2002
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Common Country Assessment For Serbia & Montenegro
cy of the European region of WHO ’21 goal for
21st century’ adopted in the 48th meeting of the
Regional Committee of WHO for Europe in
September 1998.
Ministry of Health of Montenegro drafted the
Law on Health Care and the Law on Health
Insurance, but they were not accepted by The
Parliament of Montenegro in 2002. The new
MoH will prepare the new, revised proposals to
the Parliament and the work on the development
is planned to begin by the end of 2003.
After October 2000, Serbia has embarked upon an era
of profound changes. It has opened up a process of
internal reforms and international integration. In the
process, education became a national priority, which
should provide a powerful impetus for its economic
recovery, democratic transformation and integration
into the international community.
In order to fulfil this mandate, education policy in
Serbia focuses on:
• Improving the quality and efficiency of education for all, in order to supply the new Serbian
economy with highly skilled labour force and
human resources for social development;
• Restructuring the education system in terms of
governance and inclusiveness, in order to provide a democratic framework for the development of education that takes into consideration
local needs, appreciates diversity and is able to
respond to upcoming challenges.
In order to achieve these goals, the Ministry of
Education and Sports of Serbia has developed a
Strategy and Plan of Action: “Quality Education for
All – a Way Toward a Developed Society” in January
2002. It was followed by an intensive consultative
process and capacity building, adjusted to the needs
of reform preparation and the process of implementation. The Amendments to the Law on Primary
Education were adopted in April 2002, and
Amendments to the Law of Secondary Education
were adopted in September 2002. The Strategy of the
Reform of Higher Education was developed during
2002; the new Law on Higher Education has been
drafted and is to be adopted in autumn 2003. The new
System Law on Education (primary and secondary)
was adopted in June 2003, providing legislative
framework for curricular reform. Primary education
has been extended to 9 years to also include compulsory pre-primary education for at least six months
before entering primary school. The curricular reform
Strategic Analysis
started in the first grades of elementary schools in
Serbia in September 2003.
Education reform in Montenegro started in 1990 and
is described in the “Book of Changes”. This is an integral strategy for education from pre-school to the tertiary level. According to The Book of Changes of the
Education System of the Republic of Montenegro,
published in 2001, the reform of education system in
Montenegro should be based on a devised strategy
that should incorporate the following aspects:
1. Decentralization of the system, which implies
greater participation of local communities, citizens and parents in all changes in the sphere of
education;
2. Equal opportunities for all children, through
inclusive policy at all levels of education, to the
purpose of ensuring equal rights for different
disadvantaged groups, such as the disabled, the
ethnic minorities, etc;
3. Providing for choices that suit individual abilities;
4. Introduction of European standards;
5. Application of a quality system;
6. Human resources development/capacity building (pre-service and in-service teacher-training);
7. Lifelong education;
8. Flexibility, in terms of diversified curricula;
9. Respect for diversity;
10. The new legislation, regarding accessibility,
equity, quality and efficiency, which creates
the institutional framework.
Since early 2001, the core of the social protection
reform in Serbia resides in 7 strategic projects of the
Ministry of Social Affairs. The focus and results of
these projects so far has been on upgrading professional standards and work procedures for social workers, strengthening their preventive and outreach
capacities; promoting and providing incentives for
the development of alternative forms of care (family
and community-based) as the first choice for children
and other segments of population in need of protection, transforming residential institutions into open
structures, and developing protocols for institutions
ensuring the highest possible standards of care and
protection.
A Social Innovation Fund has been established in the
Ministry of Social Affairs in Serbia. This is an innovative and promising initiative, which aims to support
projects at the community level that will contribute to
the reform and which will link civil society, governmental services and communities. A similar fund for
other social sectors could be considered.
53
The shift from federal to republic level of the main
vital registration systems took place in early 2003,
but gaps remain and capacity in Montenegro is especially weak. There is a need for a better and disaggregated data collection system to enable development
indicators to be tracked more accurately. Efforts in
this regard have intensified in 2003 with the PRSP
process in both Serbia and Montenegro, and initiatives such as the National Plan of Action for Children
in Serbia.
the poorest of the poor. Thus, a human rights
approach to human development means concentrating
primarily on those sectors of society that are the most
disadvantaged and marginalized.
Regarding domestic violence, there are some important developments that are noteworthy. The recent
revision of the family law in Serbia has made it easier to prosecute a perpetrator. In March 2002, the federal Criminal Code was amended to make spousal
rape a criminal offence. However, few victims of
spousal abuse filed complaints with the authorities.
Police education programmes are underway and in
some municipalities there are dedicated and trained
police officer to respond to assistance in domestic
violence including rape.
• Intensify efforts and investment in the economically depressed areas where the poor seem to be
concentrated in order to create a balanced development, redress regional disparities and implement more inclusive public policies
• Invest in policies that directly benefit the poorer
segment of the population: Roma, Pensioners,
children, female-headed household
• Carry out an in-depth analysis of the root causes
of the persisting low birth rate and create the
condition for reversing this trend
• Ensure adequate nutrition, health and education
for the few children that are born
• Improve access to Health and Education of the
most excluded segment of society, such as
Roma, disabled children, refugees and IDPs
• Emphasis job and employment creation as a priority for all economic and social policies.
• There is a need to develop adequate child protection policies, using legal and administrative
frameworks that are in accordance with international norms and standards
• Reform and develop the capacities of the relevant institutions to be able to face up to these
challenges
Over 30 women’s and children’s organisations and
NGOs, all formed over the last decade, have domestic
violence at the centre of their agendas. The first large
national meeting on this issue to bring together national and international experts, professionals and NGOS
was held with UNICEF and SCF support in 2003.
Regarding housing, a National Housing Policy in
Serbia is being drafted and its finalisation is not certain at the moment. Efforts to ensure housing for lowincome groups (mainly affordable self-owned) are
present at both central and local levels. There are
mainly programmes of subsidized loan intervention.
The housing problem of refugees and IDPs, who represent the largest group with housing needs, generates
present activities related to development of a future
social housing system. In the latest state/city programmes the targeted beneficiaries are public servants, Roma and employees, whereas, small projects
for refugees are mainly funded by international
donors. Presently, this is oriented towards the delivery
of basic housing in order to shelter refugees moving
out from Collective Centres. This is the primary goal
of the National Strategy for Solving the Problems of
Refugees and IDPs in Serbia.
Human Development - Concluding points:
Analysing the Human Development situation in
Serbia and Montenegro, the following can be summarized as key challenges requiring immediate action:
In conclusion, the dramatic increases in the levels of
poverty in Serbia and Montenegro have had a serious
impact on the ability of citizens to enjoy their rights
to education, to adequate food and housing, to health
and to decent work, among others. The situation of
pervasive poverty that has emerged is exacerbated by
the large number of refugees and internally displaced
persons and socially excluded groups who constitute
54
Common Country Assessment For Serbia & Montenegro
Strategic Analysis
55
56
Common Country Assessment For Serbia & Montenegro
Strategic Analysis
57
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Common Country Assessment For Serbia & Montenegro
Strategic Analysis
59
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Common Country Assessment For Serbia & Montenegro
2.b) GOVERNANCE AND THE
RULE OF LAW
SITUATION
The Millennium Declaration makes a direct link
between the elimination of poverty and good governance, including the protection of human rights.
Governance is the exercise of political, legal, economic and administrative authority to manage a
country’s affairs. It is the complex mechanisms,
processes and relationships and institutions through
which citizens and groups articulate their interests,
exercise their rights and obligations and mediate
their differences. It is the rules, institutions, and
practices that set limits and provide incentives for
individuals, organizations and firms. The separation
of powers between the legislature, the judiciary and
the executive is essential to achieve this.
Governance embraces all of the methods, formal and
less formal, that societies use to distribute power,
manage public resources, and mediate differences.
Effective democratic forms of governance require
transparency, accountability and public participation. The rule of law - based on the separation of
powers - provides the fundamental legal framework
of governance so that checks, balances, and controls,
function and the judiciary is shielded from undue
pressure.
In the late 2000, the Federal Republic of Yugoslavia
(Serbia and Montenegro) emerged from several
decades of authoritarian rule. The last decade was
particularly characterized by over-centralized economic and political decision making and very limited popular participation in the running of the country’s affairs. The consequent corruption, neglect of
human rights, secrecy and general incompetence left
a weakened and discredited governance apparatus.
The Country’s key institutions were undermined, as
they were subjected to political manipulation and
corruption by an inept and criminalised elite.
Institutions were dilapidated and had lost their influence as they were depleted of expertise. Many of the
best educated and most qualified fell victims to conflict or discrimination, or fled to the swelling ranks
of the Diaspora. In October 2000, the FRY initiated
a comprehensive set of reforms aimed at introducing
democratic governance, strengthening the rule of
Governance and the Rule of Law
law and revitalising and adapting the country’s central and local public administration to a market economy, and the prospect of European integration.
The state, civil society and the private sector comprise three major pillars of governance in a democratic country. In Serbia and Montenegro, the state
apparatus has become dilapidated at various levels
during the decade of conflict and misrule, and is now
being restored through constitutional and administrative reform. Civil society played a key role in
bringing autocratic misrule to an end and in fostering
a more democratic era, however, although NGO
activity remains vibrant, it is hampered by certain
systemic features of society that are proving difficult
though not impossible to change. The private sector is small, and contaminated with the residue of
interests built from war profiteering and the nexus
between organized crime and autocracy. However,
macroeconomic stability has been restored, even if
much remains to be done to accomplish economic
harmonization between the two republics. The privatization process in Serbia is attracting increasing
FDI, and SME development is increasingly robust.
As the judicial and administrative environment
improve, a more broad-based and better-regulated
private sector will undoubtedly emerge and provide
significant scope for public-private partnerships,
e.g. in the area of service provision.
The state itself, whether at state union or constituent
republic levels, is undergoing profound transformation. Each republic is engaged in constitutional
revision and alignment with the union Charter. The
role of the state as such, and issues of regionalisation
in Serbia remain to be addressed. The separation of
powers between the legislature, the executive, and
the judiciary seems accomplished in form but not yet
completely in function. The Parliament still lacks
the sophistication required of a modern European
state, and needs to develop citizen trust, transparency and robust democratic oversight of the government, its finances and its services. The executive
branch is de-professionalised and depleted, but
capacity building is underway. Montenegro has a
strategy for public administration reform, but Serbia
has yet to adopt one. The security sector needs significant investigation and reform, and effective democratic parliamentary and civilian government oversight, in the defence arena at union level, and in the
internal security area at republic levels. The judiciary continues to struggle with internal corruption,
ineptitude, political and criminal interference, discrimination, and an enormous backlog of cases
before the courts, incurring such delays as to frustrate effective access to justice, and the equitable
rule of law.
61
Democratic Accountability and the Rights of the
Citizen
citizens, diminish the dept of economic and social
recovery and exacerbate poverty and exclusion.
The weaknesses besetting the political class can contribute enormously to the obstacles that citizens face
in trying to exercise their political rights. Whilst political divisions and debate are normal in a democratic
society, overall protracted political incoherence that
gridlocks the parliamentary process or prevents needed reforms can become a major factor in the effective
denial of the full enjoyment of the rights of the citizenry.
The current extent to which such systemic governance problems affect Serbia and Montenegro is
reflected in various situational assessments, but also
in the several recent opinion polls and surveys of public attitudes and perceptions of the effectiveness of
reforms.
This consequential denial of rights can be aggravated
by several systemic factors that arise from political
negligence or from explicit political or administrative
behaviour:
1) to create and maintain social cohesion through
the promotion of social equity and distributive
justice, including preventing exclusion;
2) to ensure an efficient management of state
affairs and an efficient allocation of public
spending, including taking into account the
need to assist the poorest and most vulnerable
segments of society; and,
2) to ensure the legitimacy and transparency of
government policies.
• Failure of parliamentarians to adequately represent the interests of citizens and inability to
negotiate political compromise, agreement or
consensus;
• Effective exclusion, including via gross underrepresentation, of women, minority and disadvantaged groups;
• Protracted delay in creating a legalized enabling
environment for the flourishing of civil society
by enabling the legitimization of NGOs and their
activities;
• Formal or arbitrary restrictions on the freedom of
the independent media, or political interference
or manipulation thereof;
• Failure to implement or enforce reform legislation, due to weak administrative, regulatory,
policing, or judicial capabilities;
• Abuse of justice through weakness or corruption
of the judiciary and court administration, and
failure to prevent impunity in the disregard or
breach of the law;
• Abuse of power through the exercise of conflict
of interest, corruption and the misappropriation
of state assets, or criminal activities under the
inadvertent cover of state institutions;
• The clandestine and covert continuation of illicit
international trade (including in armaments) and
human trafficking, and the breach of UN sanctions against third parties/countries.
All of these factors are present still in Serbia and
Montenegro, to greater or lesser degrees. Whilst
earnest reforms are underway, still more are required
to deal adequately with the risk that the continued
persistence of these phenomena poses. Delays in
dealing decisively with these negative legacies will
hamper the full enjoyment of the political rights of
Public institutions, particularly in the country’s transition context, have the following three key roles:
One root cause of the inefficiency of the public institutions is the fact that the country is emerging from a
period of history where governance institutions,
capacities, practices and culture were very much
moulded by the authoritarian regimes in power.
Another is that transition processes are complex and
extremely demanding in terms policy-making and
implementation capacity. Public institutions do not
have appropriate human and organizational capacities
or adequate financing, in the face of a multiplicity of
new challenges, and this limits their ability to take on
their new role of public service.
Considerable progress has been made over the last
three years in terms of legislative reforms and the
strengthening of institutions at the republican level,
but enormous challenges remain. A public opinion
survey on the accountability of public institutions
suggested that in Serbia “the state has very little confidence in the people and the people do not have
much confidence in the state and its institutions. ....
no state institution, apart from the army, manages to
attract the confidence of the sample” ”73. The public
institutions are generally seen as inefficient and lacking the competence to deal effectively with the affairs
of the State and the problems of the people. The
above survey also noted that “The irresponsible trifling with, first of all, state institutions at all levels,
inevitably leads to the further erosion of their credibility in the people’s perception.”. According to a
public opinion survey conducted in February 2003 in
73 Mihailovic, Srecko (2002). Serbian Citizens in Contact with Institutions in Transition.(p.2).
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Common Country Assessment For Serbia & Montenegro
Serbia, only 33 per cent of the population trusted the
Parliament, 36 per cent trusted the Judiciary, and 37
per cent trusted the Government74. Montenegro opinion polls reveal similar results.75
The two recent presidential elections in each republic
were invalidated76 due to a surprisingly low turnout
of the electorate (below 50 per cent of voters) for a
country just emerging from authoritarian rule.
Opinion polls show that people are not disillusioned
with politics but rather with party politics and political leaders. Seven out of ten people believe that
politicians are ignoring the real problems. In both
republics, there is still a limited trust in the parliamentary institution, one of the pillars of the democratic state.
It seems the political parties and Parliament are insufficiently performing the role of intermediaries
between citizens on the one hand and the creation of a
national vision based on effective national institutions
on the other. Party politics and political confrontation
appear to obscure the real issues facing society.
Citizens say they are becoming disillusioned as to the
capacity of politicians to solve their problems.
Despite the emphasis during the socialist era on
employment and productive work as both rights and
duties for all citizens, the perception of women’s roles
is still influenced by patriarchal stereotypes inherited
from the past, hence their limited participation in the
political structures of the country, including high
ranking positions in the public administration. The de
facto absence of vulnerable groups including the
Roma from political participation is notable. In the
case of Roma, their limited participation in all aspects
of governance is evidently related to discrimination,
their low educational attainment and their limited
capacity to organize and lobby for their rights.
While women have traditionally played an active role
in society and are active in political organizations
they are not well represented in the political structures
of the country77. This is also the case of ethnic
minorities, particularly the Roma and the
Albanians78. The Roma are subject to chronic discrimination on the part of the staff of public institutions, which limits not only the number of Roma civil
servants, but also their access to public services,
including social services.
While the Serbian and Montenegrin socio-economic
transition inevitably involves social tensions, these
can be mitigated by ensuring better dialogue with the
citizenry and greater popular participation. However,
a heritage of the past is the premise that it is the citizen’s duty to serve the interest of the state and not the
other way around, and the public administration is not
able to make this adjustment overnight.
The root cause of this is insufficient presence of a
democratic and human rights culture and tradition.
There is therefore limited understanding and practice
on the part of high officials and politicians of the use
of mechanisms, processes and institutions for consultation, dialogue, and accountability. There is also a
lack of strong civil society pressure to introduce participatory mechanisms, which is itself a result of the
country’s limited liberal democratic experience. The
public’s attitude to NGOs can also be traced back to
the country’s authoritarian past.
Today more than 20,000 non-governmental organizations (NGOs) operate in Serbia and Montenegro.
In addition, there are 19,000 ‘old type’ organizations
established prior to the introduction of pluralism in
1990. NGOs played an active role in supporting political changes in the country and in the assistance to
vulnerable groups, particularly during the time of
chronic humanitarian crisis. Nevertheless, their support base is still very weak. It appears that the general public is to some extent suspicious of the motives
and character of NGOs. Only one percent of the
Serbian population is engaged in civil society organization activities79.
Corruption is a widespread phenomenon in the
country, and is perceived by the population as one of
74 Medium Index-Gallup International published in Politika News Paper on 17 April 2003.
75 Baseline Survey conducted by the National Democratic Institute for International Affairs in Montenegro, May 12, 2003
76 The invalidation of the vote was due to the provisions of the electoral laws in the two republics. The electoral law in Montenegro has
now been amended, and a Presidential election successfully held, while amendment is pending in Serbia
77 There are only 10 women in the 178-seat Federal Parliament and 27 women in the 250-seat Serbian Parliament. There are only 6
women in the 75-seat Montenegrin Parliament. There are four women in the Serbian Cabinet.
78 There was one minority person in the Serbian cabinet and one minority person in the Union cabinet. Ethnic Albanians are underrepresented in the Union and republic governments. Few members of other ethnic minority groups are involved at the top levels of government or the state-run economy. Two representatives of Ethnic Albanian parties are members of the Montenegrin Parliament, while Roma
have no representatives. While ethnic Albanians took control of local government in two southern Serbian municipalities and partial control in a third, the highest position achieved by a Roma is that of deputy mayor in Kragujevac.
79 Public opinion poll carried out by Center for Policy Analysis (CPA) in June 2002
Governance and the Rule of Law
63
the top three problems. In a public opinion poll80 conducted in the summer of 2002, the 1500 respondents
concluded that the real problems of Serbia are “low
standards of living (71 per cent), the fight against corruption and crime (58 per cent) and development of
the economy (52 per cent)”. In Montenegro, 45 per
cent of citizens believe that poverty is the most
important social problem while 42 per cent feel that
the biggest problem is posed by corruption, followed
by crime and high prices.81
According to the results of a regional study82, the
Serbian respondents believed that the greatest corruption is among customs officers (79 per cent), followed
by doctors (70 per cent), police (67 per cent), lawyers
(62 per cent), politicians (59 per cent), businessmen
(58 per cent), judges and tax officers (57 per cent) and
municipal civil servants (51 per cent). Similar results
are revealed by opinion polls conducted in
Montenegro.83
Corruption impacts not only the functioning of the
market system and discourages investment (particularly foreign), but also distorts the functioning of the
political and judiciary systems and undermines the
rule of law. There is a demonstrated relationship
between corruption and low growth. Also, corruption
leads to the denial of the rights of the poor in that it
discriminates against them in their access to services.
There exists a direct relationship between public sector corruption on the one hand, and on the other nontransparency and impunity in governance, lack of
effective rule of law, a weak legal system, a poor
administration of justice, the existence of organized
crime and limited development of the civil society
sector.
Reforms in Governance and the Rule of Law in
Serbia and Montenegro
Serbia and Montenegro are undergoing a period of
transition and continue to face the challenges of
establishing functional democratic institutions and
strengthening the role of civil society. Thus, it is
clearly an imperative to focus on building a foundation that involves: reforming the constitution, amending legislation, reorganizing and building the capacity of state institutions, and developing policies that
adequately respond to the transition to a market society, but also take into account the needs of the poor
and excluded members of society.
After a decade of armed conflict in the region, and now
transition to the new state union, both Serbia and
Montenegro face a huge challenge of redefining tasks
and responsibilities of different departments for public
policy and administration. Consequently, they also
need to re-allocate functions and build the capacity to
perform them, particularly in terms of policy advice
and management skills. Therefore, there is a need to
help each government develop a vision for public service reform, promote a professional civil service and
develop and implement a public administration reform
strategy to revitalise public institutions. The development of institutional capacity, according to European
benchmarks of good governance is highly relevant to
the process of adequate preparation for European
Union membership of Serbia and Montenegro.
CHALLENGES
Strengthening the Rule of Law
International obligations concerning the rule of law
arise primarily from the international human rights
treaties adopted by the United Nations to which the
80 Mihailovic, Srecko; Gredelj, Stjepan; Stojiljkovic, Zoran (2002). Prevaricating Politicians Centar za Proucavanje Alternativa/Centre
for Policy Studies (CPA/CPS). Public Opinion Poll (Belgrade, July 2002).
81 Public opinion poll conducted in June 2003 by the Damar agency for the Center for Democracy and Human Rights and reported in
V.I.P. on 20 June 2003.
82 Centar za Proucavanje Alternativa/Centre for Policy Studies (CPA/CPS),(2002). Corruption in New Environment. Public Opinion Poll
on Corruption – Survey on Citizens on Corruption – 7 countries in South Eastern Europe. Special Focus on Serbia and Montenegro, supported by USAID, Catholic Relief Services (CRS), and Freedom House. (12 pages).
83 See public opinion poll conducted in June 2003 by the Damar agency for the Center for Democracy and Human Rights and reported
in V.I.P. on 20 June 2003.
84 The 1951 Convention relating to the Status of Refugees and its 1967 Protocol; the International Covenants on Civil and Political
Rights and on Economic, Social and Cultural Rights (1976); the two (2) Optional Protocols to the Covenant on Civil and Political
Rights (2001); the International Convention against Torture (1992), The Convention Against Racial Discrimination (1969) and
Convention on the Elimination Against all Forms of Discrimination on against Women (1982); the Convention on the Rights of the
Child (1991). The two (2) Optional Protocols on Children in Armed Conflicts and on the Sale of Children have been signed, but not
yet ratified, at the end of 2002. The country is now member of the Council of Europe (since 4 April 2003) and party to the European
Convention for the protection of Human Rights and Fundamental Freedoms.
85 The 1951 Convention relating to the Status of refugees and its 1967 Protocol; the International Covenants on Civil and Political
64
Common Country Assessment For Serbia & Montenegro
State is already party84 that include the principal
international human rights instruments85. A number
of European treaties can or will be added as they are
signed and ratified. Such treaties form part of the
legal framework of Serbia and Montenegro and of the
State Union. The recently adopted Charter on Human
and Minority Rights and Civil Liberties incorporates
many of the rights and freedoms elaborated in the corpus of international human right law into domestic
law while Article 16 of the Constitutional Charter of
the State Union of Serbia and Montenegro states that
“ratified international agreement and the generally
accepted rules of international law shall have precedence over the law of Serbia and Montenegro and
over the law of the member states.” However, there
are still key issues of compatibility of international
legislation with national legislation and practice.
As noted earlier, Serbia and Montenegro has begun
fulfilling its obligation to report to the UN treaty body
committees and will now need to establish national
mechanisms for monitoring how the country abides
by its commitments and how it implements them. Of
prime importance here will be the effective functioning of the national institutions being created under the
republican laws – a human rights protector in
Montenegro and a people’s advocate in Serbia – and
the independent functioning of the Courts.
Serbia and Montenegro is bound to co-operate with
the International Criminal Tribunal for the former
Yugoslavia (ICTY)86 in dealing with serious violations of the international humanitarian law –
genocide, war crimes and crimes against humanity that were committed in the Balkan conflicts of
the previous decade. Only limited progress has been
made to create conditions where the Government has
the capacity to address these issues effectively at the
national level. For a variety of complex reasons, few
of the perpetrators of this category of crimes have
been brought to justice in the national courts. 87
The capacity and willingness of the State to address
these issues is a barometer of the pace and quality of
the reform in the judiciary, police and armed forces.
There was simply a lack of political consensus to deal
with these issues combined with remnants of the
Milosevic’s regime still active in the Army and police,
which reflected in the slowness and reluctance to comply with ICTY requests and orders. A sobering conclusion from the assassination of Serbia’s Premier Djindjic
in March 2003 was the recognition of the link between
war crimes and criminals of the past and the activities
of organised crime at present, and the infiltration of
these elements into important positions of power. A
new determination seems to have emerged to move cooperation forward in some areas. The Prosecutor of the
ICTY has recently expressed her readiness to consider
to refer some of the war crimes to the national courts of
the State Union once the country adopts adequate legislation on war crimes trials and develops the necessary
capacity, or alternatively to assist the local prosecutions
in the cases initiated by national courts.
War crimes proceedings are one of the challenges that
the judiciary in Serbia and Montenegro will face over
the following years. Since the ICTY focuses its efforts
on military and political leaders, the main responsibility for trying middle and low-level perpetrators of war
crimes falls on the national judiciaries. In order to be
able to tackle this issue effectively, Serbia and
Montenegro, need to take a number of steps including
the opening of investigations, amending legislation
where necessary (e.g., to provide adequate witness
protection), improving judicial cooperation with
neighbouring states and ensuring fully the impartiality
and independence of the judiciary. Concrete progress
in this respect will be a serious indication of political
will on the path to the truth and reconciliation with
neighbouring countries. A failure to make significant
progress will necessarily have a negative impact on
international economic relations and therefore the
country’s development and poverty alleviation.
Following the creation of the new State Union, there
are indications of a positive reassessment of co-operation with the ICTY and decisive attempts to purge
the key institutions of corrupt and compromised officials. Although much is yet to be done, two related
developments are important. The first is the Law on
the Suppression of Organised Crime and the second is
Rights and on Economic, Social and Cultural Rights (1976); the two Optional Protocols to the Covenant on Civil and Political Rights
(2001); the International Conventions against Torture (1992), Racial Discrimination (1969) and Discrimination against Women
(1982); the Convention on the Rights of the Child (1991). The two Optional Protocols on Children in Armed Conflicts and on the
Sale of Children have been signed and ratified. The country is now member of the Council of Europe (since 4 April 2003) and party
to the European Convention for the protection of Human Rights and Fundamental Freedoms.
86 See Security Council Resolution 808 (1993) creating the ICTY and Resolutions 827 (1993), 1166 (1998), 1329 (2000) and 1411
(2002), which the ICTY Statute was adopted and amended.
87 For example, the bodies of nearly 950 ethnic Albanians from Kosovo have been discovered in mass graves around Serbia, including
694 bodies exhumed in Police/Army premises at Batajnica in the suburbs of Belgrade. Almost no progress has been made to identify
and prosecute the perpetrators.
88 Law on Organization and Competence of State Organs in Proceedings against Perpetrators of War Crimes.
Governance and the Rule of Law
65
the law that establishes special national courts to deal
with war crimes against humanity.88 However, full
cooperation to the satisfaction of the ICTY and UN
Security Council has yet to occur.
For the rule of law to be effective, there must be a
clear separation of powers between the judiciary, the
executive and the legislative branches of government. A legacy of the authoritarian regime that prevailed in Yugoslavia in the 1990s was the erosion of
this separation of powers with all power concentrated in the hands of a few people who effectively controlled all three branches of government. Throughout
the 1990s, the judiciary, armed forces, police, parliament and other instruments of power were manipulated to serve the minority interests of the former
regime. This legacy led to an inefficient and corrupted judiciary and police force, a manipulated “media”,
the development of a criminal sub-culture and
impunity for serious human rights violations and war
crimes. One stated objective of the new authorities,
when they came to power in October 2000, was to
restore the rule of law and build up safeguards
against the exertion of undue influence or pressure.
While important reforms are currently underway, this
continues to be a serious challenge.
Serbia
Since 2000 the Serbian Government has been reforming the legislative process, trying to promote more
transparency and broad-based debate. Still, long
debates over the Constitutional Charter coupled with
party disputes affected the efficiency of the
Parliament’s work, which has delayed the adoption of
around 50 important laws89. The lack of consistent
frameworks whereby legislation is drafted, adopted
and promulgated can lead to contradictions and
inconsistencies. The present process of legislative
reform continues to develop in an ad hoc, rather than
a coordinated framework. The functioning of the parliamentary institution is hampered by inadequate
institutional structures - such as a functioning committee system - that promote open debate and greater
accountability. The work of Parliament is instead
characterized by great reliance on expert staff.
Parliament also has a very important function to
check the executive power of government through
various means that have not so far been used in Serbia
and Montenegro, viz., questioning members of government, holding hearings, conducting investigations,
establishing parliamentary commissions of inquiry.
A strong justice system allows for an effective access
to justice, in its broad sense. An independent judiciary is a cornerstone for the fight against corruption
and organised crime, and an essential element of a
democratic state 90. The court system in Serbia and
Montenegro has many deficiencies. Chronic delays
and large backlogs greatly undermine the rule of law,
and frustrate citizens and companies. Discretionary
interventions have enabled selective prosecutions and
convictions. The unreliability of the court system and
corruption are major disincentives to business development and foreign investment and have a direct
impact on the country’s economic and social recovery
and poverty alleviation. It is important that the rights
of investors and creditors should be protected, and not
only those of debtors.
While the Serbian judiciary has received a considerable amount of training from many actors since 2000,
there has not yet been any evaluation of the overall
impact. The problems of judicial independence are a
symptom of more profound problems that still need to
be addressed before the rule of law can be adequately
guaranteed.
A number of fundamental laws that will be key to
improving the independence of the main actors of the
justice system still need to be passed. In addition,
there are problematic issues related to the budgetary
autonomy of the judiciary, the protection of judges
and prosecutors, the conditions of work of judges, the
relations between the police and the judiciary, and
oversight within the judiciary.
Montenegro
Like Serbia, Montenegro is currently drafting a new
Constitution that aims to be in harmony with the one
for the Union of Serbia and Montenegro. With a view
to improving the judiciary and law enforcement system, the Government is also carrying out major
reforms in order to modify many of the procedural
and fundamental laws that form the basis of the entire
legal system including a new Criminal Code and
Criminal Procedure Code. It is expected that such
reforms will result in major changes that will directly
affect the work of judges, prosecutors and law
enforcement officers.
A new law was adopted that establishes the independence of the judiciary and recognizes the separation of
powers between the executive, legislative, and judiciary, and is in line with international standards. The
89 Commission of the European Communities, Commission Staff Working Paper: Serbia and Montenegro, Stabilisation and association
Report 2003, Brussels, March 2003.
90 UNDP, “Programme Formulation for Judicial Capacity Development”, 2003.
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Common Country Assessment For Serbia & Montenegro
law further establishes an Appellate Court and an
Administrative Court that are expected to start functioning in 2004. These laws are being adopted for the
first time in Montenegro since they were previously
exclusively the responsibility of the federal state.
Information technology is also being introduced in
the courts.
While these developments reflect positive steps taken
by the government in transition, authorities are aware
that most of these changes will greatly affect employees of the judicial system and will required intensive
capacity building. For example, there will be an
immediate need to train judges, prosecutors, and
police officers on the implications of the new
Criminal Code and Criminal Procedure Code.
In Montenegro, since 2002 the appointment and
removal of judges and prosecutors takes place only
upon recommendation of the High Judicial Council
(HJC) composed of judges, prosecutors, professors
and community members. This insulates the judiciary
from the danger of being fired, and placing unqualified political appointees in the courts. However, there
is no mechanism to review the performance of sitting
judges and prosecutors that would allow for the
removal of those who are overtly politically motivated, or are incompetent or corrupt.
Establishment of the rule of law further requires
respect for the principle that no one is above the law;
the practice of impunity for political, business and
criminal elite has to be eliminated. Reform of the
Montenegrin Constitution, enactment of several crucial new laws, and various training courses for civil
servants are important steps to a society based on the
rule of law. Although constitutional, legislative and
administrative reforms are necessary, they are not
enough to eliminate a pattern of impunity.
The need for additional legislative reform has been
pointed out by Government and citizens alike that
were recently surveyed.91 A majority of respondents
indicated relative confidence in state institutions, the
new government and its reform plans. Respondents
chose economic growth and job creation as the most
important economic reform goals. When asked to rate
the reform laws in order of importance, at the top of
the list was the Law on the Protection of Human
Rights and Freedoms.
Reform of Public Administration
The reform of the State Union Administration
(including its downsizing and transfer of staff to
republican administrations) is awaiting implementation of the new Constitutional Charter. This process
involves the downsizing of the former Federal
Administration, the transfer of staff to the republican
administration and the strengthening of the new
Union Administration. This is assessed by some
experts as a problem of ‘state-building’ comparable to
the process in newly independent states in the region
involving the urgent need to define the executive
functions of government at different levels from the
State Union to the municipal levels, and the allocation
of those functions to ministries and agencies in an
efficient and productive manner. Until it is clear
where function and authority lies it will be very difficult to ensure the accountability and transparency of
the country’s administrative structures.
While the reforms should eventually lead to a reduction of the size of the central administrations in each
republic, these administrations have the challenge of
conducting the reforms process, formulating policies,
preparing laws, privatising, and reforming key sectors
such as health, education and the pension system. All
assessments of the public administration in Serbia and
Montenegro point to a weak organization, inadequate
structure, limited policy making and implementation
capacity. This has a direct impact on the services provided notably by the heath and education systems,
which directly impacts on human development.
The ministries and agencies of central government
have acquired many functions that are out of place in
a modern democratic society, while they lack others
vital to such goals. The accountability of public
administration in terms of public resources management is weak. For instance, public expenditure functions and the control functions are not clearly separated. There is a general lack of coordination among line
ministries due to the inherited culture of “fiefdoms”,
where each unit in a given ministry is a “stand alone”
entity. In some cases, the functions brought together
in new ministries contain serious duplications resulting from different laws and operating under different
accounting procedures. There is a lack of vertical and
horizontal communication within and between line
ministries.
Public services are still operating without adequate
management of human resources. Human resources
in government are not managed as a homogeneous
Civil Service system. There are no adequate rules and
regulations relating to entry to government service.
Appointments and promotions have been more easily
made according to political allegiance or loyalty. The
poor salary and remuneration system is a major disin-
91 Baseline Survey conducted by the National Democratic Institute for International Affairs in Montenegro, May 12, 2003
Governance and the Rule of Law
67
centive and cause of corrupt practices. The motivation for work is low and discipline and punctuality
suffer since many must seek income from additional,
usually grey, employment. The public administration
is also characterized by ingrained habits and attitudes
from the authoritarian past (mistreatment of citizens,
corruption).
ipalities have not yet developed a capacity for participatory management. A low intensity of social capital
in local communities may also be a factor. However,
it must be noted that many municipalities have actively cooperated with NGOs in the implementation of
various projects directed at vulnerable groups and for
poverty reduction or prevention.
After the establishment of a separate Serbian Ministry
for Public Administration and Local Government in
June 2002, a national strategy paper was ready in
October, which established a clear separation of competencies and co-ordination between the existing
institutions. But the new Ministry does not yet seem
to have sufficiently established its relationship with
the rest of the government and other external stakeholders, and has not yet become the leading actor it
needs to be.
In Serbia, the new Law on Local Self Government
provides for greater decentralization of authority.
Also, municipalities have been given the right to raise
loans, collect several republican taxes, and a portion
of receipts are re-distributed back to them. Despite
this, it is estimated that the municipalities still do not
have adequate financial autonomy and thus do not yet
have sufficient incentives to improve their management systems and be more proactive in local development and the encouragement of investment. Local
governments continue to receive subsidies decided at
the centre under criteria, which may need greater
transparency. Even though the municipalities have
been given the right to raise loans, they do not have
adequate financial autonomy. Fiscal decentralisation
is yet to be introduced in Montenegro.
The credibility of a Government is closely linked to
its capacity to develop and implement policies, regulations and laws, which address key concerns of the
population, and this necessitates outreach in policy
development. That requires a strengthening of transparency in decision-making processes and in the management of public funds.
The country is a major recipient of international
assistance. Donor funds of about $ 1,350 million
were in the pipeline in 2002. But it is expected that
the volumes of aid will decrease over time. While no
assessments of the effectiveness of aid have been
made, it is believed that foreign assistance could be
more strategically oriented, particularly when declining flows are expected.
The issues related to structures and capacities, which
were discussed in relation to the central administration,
are also applicable to the local administrations. The
Draft PRSP for Serbia finds that the municipal administration is organized in an obsolete manner, and operating with an inadequate capacities, poor equipment and
outdated methods of work. This is a serious issue given
the recent Serbian Law on Local Self Government
passed in February 2002, and the set of decentralization
laws, which are in preparation in Montenegro. This lack
of capacities means that in many municipalities there
are currently no local development initiatives, except
those under donor-funded projects.
Problems of Participation and Social Inclusion
There is limited citizens’ participation in local decision-making and in dealing with local problems.
Despite the favourable legislative framework, munic-
In this period of transition, it is the primary role of the
State to ensure that the vulnerable populations are
protected and able to participate in all social and economic activities without discrimination. As a result of
the turbulence of the past decade, various categories
of persons in Serbia and Montenegro find themselves
in particularly precarious situations. Among them are
refugees and IDPs, migrants, minorities, Roma, juveniles, the elderly, the disabled, and women. The vulnerability of these groups to further marginalization
and violations of their basic rights is likely to become
more acute over the next five years in the face of economic restructuring and the termination of humanitarian assistance programs.
The initial effort made by the former Federal
Government in December 2002 (Federal Ministry for
National and Ethnic Communities) to deal with the
Roma issue is the “Draft Strategy for the Integration
and Empowerment of the Roma”. The Strategy recommends measures to include Roma affairs in the
ongoing reform process. Given the political will to
deal with the issue, once the Strategy is adopted, the
issue of its implementation will remain since the
executive power lies within the republican governments both in Serbia and Montenegro. A law against
discrimination of minorities has yet to be enacted.
The legal prohibitions that do exist in existing
national laws do not provide for effective remedies
and are rarely, if ever, invoked.92 Roma in most cases
92Human Rights Watch, Briefing Paper, Human Rights Concerns in the Federal Republic of Yugoslavia, July 11, 2002.
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Common Country Assessment For Serbia & Montenegro
do not lodge criminal charges against the police
because of lack of awareness about their rights, fear
of reprisal and the practice of undue delay in processing such cases.93
the statelessness instruments94 and subsequent
amendments to the existing law on citizenship would
make it possible to prevent statelessness at birth
among the refugee and IDP populations.
The Law on Municipal Self-Government in Serbia
also refers to the protection rights of national communities and ethnic groups, but does not provide
any guaranteed elective representation. Instead, it
provides for the establishment of a Council for interethnic relations whose work is regulated by the decision of the municipal assembly. In Montenegro a
Draft Law on Local Self-Government similarly has
no guarantees of minority representation.
Serbia and Montenegro is a State party to the 1951
Convention relating to the Status of Refugees and the
1967 Protocol. However, no legislative or institutional framework has as yet been put into place to implement the obligations deriving from the Convention.
Persons in need of international protection and willing to seek asylum on the territory or Serbia and
Montenegro have so far no opportunity to do so, and
the adoption of a Refugee Law in accordance with
international standards is a crucial step. The adoption
of relevant refugee legislation within a one year-period is one of the obligations undertaken by Serbia and
Montenegro for accession to the Council of Europe.
Unlike refugees, IDPs face many more hurdles in
organizing their lives in displacement. A large number
of IDPs have difficulty in obtaining personal documents in Serbia and Montenegro and establishing residency in Serbia, which is directly associated with the
ability to access social welfare and health services.
These practices are due to administrative procedures
by ministries, most notably the Interior Ministry,
which may be sometimes attributed to a certain lack
of political will on the part of the authorities in Serbia
and Montenegro.
IDPs must be recognized as full citizens with all the
rights that this status implies and must not be subjected to discrimination. They should have the same
access to the Courts as other citizens have; procedures
should be put into place to facilitate their access to
necessary documentation; they should enjoy the right
to freedom of movement and choice of place of residence. Roma IDPs are particularly vulnerable and
existing negative practices relating to the registration
of children at birth should be redressed, in accordance
with the Convention on the Rights of the Child and
domestic legislation. The UN Guiding Principles on
Internal Displacement should continue to serve as a
useful legal framework within which IDP issues can
be addressed by a wide range of local and international actors, in a principled yet practical way.
For refugees from the former Yugoslavia, a specific
regulation to complement the 1992 Law on Refugees
should be drafted to enable the cessation of refugee
status (and subsequent deregistration) of the refugees
who have found a durable solution in a country –
whether through repatriation, resettlement of local
integration. This provision should include procedural
guarantees, in particular, the right to appeal the decision that withdrew refugee status. The ratification of
The persistence of such systemic weaknesses in the
functioning of the institutions of the State constitutes
a threat to the successful implementation of the
reform process, the provision of an enabling environment for investment and economic activity, quality
services to the public, poverty reduction and human
development.
The limited culture and capacity for consultation and
dialogue on the part of the political class in the both
republics suggests that political parties themselves
lack effective internal mechanisms and processes to
promote dialogue, exchange, transparency and
accountability. This in turn may affect the ability of
the country’s political class to articulate a limited
number of clear and credible platforms, which could
gather greater popular support, and contribute to
mobilize adherents around a limited number of societal projects and/or approaches to reform.
Enhancing the Role of Civil Society
A primary challenge for representative democracy is
to find ways to ensure that civil society organizations play constructive roles in generating legitimate
demands, articulating social needs around which public policy can be made, demanding transparency and
accountability, monitoring government policy-making and policy implementation, including enabling
people to participate actively in society, and ensuring
that ordinary citizens are motivated to be active in
civil society. The majority of NGOs in Serbia and
Montenegro are at an early stage of development and
require support to strengthen their capacities to be
93 “Draft Strategy for the Integration and Empowerment of the Roma”, Ministry of National and Ethnic Communities, December 2002.
94 1954 Convention relating to the Status of Stateless Persons; 1961 Convention on the reduction of Statelessness; 199? European
Convention on Nationality.
Governance and the Rule of Law
69
competent intermediaries between civil society and
the public administration. Capacity limitations
include: weak institutional capacity in strategic planning and project management; poor outreach capacities, including campaigning and lobbying; limited
networking among NGOs; lack of initiatives directed
at strategically important government policies; limited transparency in their activities and finances; lack
of mainstreaming of inter-ethnic issues and gender
issues in NGO operation. These capacity constraints
partly explain the still limited NGO participation in
the policy debate and the formulation/discussion of
policies at the central level.
There are a number of active women, Roma, IDP and
Refugee NGOs and NGOs representing the disabled95, and in the last two years there have been initiatives to strengthen the role of women in political
and economic domains at the national level.
However, according to representatives of these
NGOs, the authorities are insufficiently receptive to
their views.
The legal status of local NGOs in Serbia is currently
addressed by a law dating from 1989. A new law prepared jointly by the Federal Ministry of Justice and
civil society representatives has not yet been adopted
by the Serbian Parliament. The tax regime for NGOs
severely affects their work and solvency, particularly
in Serbia96. The issue is serious since many face collapse as outside donors withdraw, which endangers
many innovative programmes targeting vulnerable
groups.
One of the first positive steps taken by Montenegro
was to demonstrate its willingness to cooperate with
the non-governmental sector by enacting a new law in
1999 regarding NGOs. In accordance with European
standards regarding NGOs, the law provides minimal
conditions for their establishment and registration and
ensures their freedoms and rights that are compatible
with international civil rights. As a result of the law,
which has been characterized as liberal and stimulating, by the year 2003 nearly 2000 local and international NGOs were established in Montenegro. Thus,
the number of registered NGOs includes 1,811 associations, 54 foundations, and 72 international NGOs
that focus on a wide range of issues such as democracy and human rights (73), environment (59), vulnerable and minorities (141), youth (42), women (37), the
development of local communities (51) and others.97
However, it has been estimated that merely 10per cent
of the local NGOs are carrying out their work on a
regular basis, with as many as 686 local NGOs functioning with different levels of activity.98 Out of those
NGOs that are actually permanently active in
Montenegro, most of them are located in Podgorica.
While this may be regarded as a good beginning,
NGOs are limited by inadequate financial and human
resources and lack of infrastructure. Most of the
active NGOs are largely supported by foreign donors.
The State is provides yearly funding of 300,000 Euros
for NGOs; however, it is not always consistent in the
release of the funds. Collaboration between NGOs
and the private sector is a new concept that is being
considered since international donations are expected
to decline in the near future. The Government of
Montenegro envisages a comprehensive analysis of
existing legislation affecting NGOs in order to favour
effective government-NGO partnerships, including
adequate tax exemptions, tax deductions for businesses and individual contributions to NGOs.
It should be noted that there are positive trends
between both private and state media and the nongovernmental sector that need to be encouraged since
such cooperation will enhance the role of civil society. Thus far, numerous articles, TV and radio shows
have affirmed a positive media climate for NGO
activities. Another important trend is the initiative
taken by some NGOs to become more involved in the
legislative process by contributing projects with a
view to reforming legislation. The readiness and willingness of the State to accept this proactive role of
NGOs remains to be seen.
In all, in addition to the lack of financing, the major
issue concerning NGOs in Montenegro is their lack of
capacity.
There are a large number trade unions in the country, including three major ones, and a number of
employers associations but social dialogue is characterized by a lack of mutual confidence, shared
rules of the game in industrial relations, non-agreement on the sequence of reforms and the distribution
of costs and benefits of the transition, general lack of
organization, capacity, experience and democratic
tradition. The general problem is lack of harmonization of interests among the social partners accompa-
95There is a network of 300 women’s NGOs in Serbia, which mainly focus on activities at local level. There are in Serbia around 100
Roma NGO organizations, 50 refugee and IDP NGOs and 150 NGOs representing the disabled (no data was available for Montenegro).
96 EU Stabilization and Association Report 2003, page 10.
97 The Non-government Sector in Montenegro, 2002, produced by the Center for Democracy and Human Rights, Podgorica, p.6
98 Directory of NGOs in Montenegro 2002, Center for Development of NGOs (CRNVO)
70
Common Country Assessment For Serbia & Montenegro
nied by the increase in social tensions and dissatisfaction. On the whole trade unions have limited
power. Employer organizations are still relatively
weak due to the fact that the privatisation process is
still in its early stages, and because most business
leaders and private businesses were closely linked to
the former regime. The Social and Economic
Councils established by the Government of Serbia
are still at an early stage of their development in
building up trust and cooperation between the various groups and representatives. Collective bargaining remains at a rudimentary level.
As a result of the damage caused by a decade of
armed conflict and serious human rights violations
there is a need for a solid framework of separation of
powers and the rule of law. An independent judiciary must become reality and acquire strength and
credibility. An effective and coherent set of laws
needs to be completed through an inclusive legislative process, which is transparent and based on
public consultation. The laws of the country must
also be rooted in international standards and conventions, particularly those relating to human rights in all
their dimensions, and a national mechanism for monitoring how the country abides by its commitments
should be created.
Public institutions are not functioning adequately
and are not yet able to provide a proper enabling environment for business activity and quality services to
citizens. In particular, corruption distorts the functioning of market mechanisms and delays the processes of economic and social recovery. Gender imbalances and minority discrimination are features of the
country’s governance difficulties. The country has
democratic institutions in place, but democratic
processes show imperfections due to the limited
capacities to establish and implement democratic
mechanisms and processes and the fact that heads of
state institutions often do not discharge their full
responsibilities for policies, budget and management.
Ten years of centralized rule have prevented the
development of a democratic tradition.
Structural change alone is not sufficient for the establishment of a new system of governance and integrity. The key to building a system of democratic governance and public integrity is a sustainable civil
society demand for transparency and accountability at all levels of government. It requires public
involvement and influence over the development and
implementation of policies that affect the lives of citizens. Civil society organizations can articulate social
needs around which public policy can be made and
they can operate as a crucial element in a system of
public accountability, provided they possess the
Governance and the Rule of Law
capacity to monitor, evaluate the implementation and
the outcome of government policy and the delivery of
public services.
RESPONSES
There is strong political will at the highest level to
reform the country’s governance system. In
February 2003 Serbia and Montenegro adopted a new
Constitutional Charter that establishes the distinction
of the executive, judicial and legislative powers. It
will be up to the republics’ Constitutions to establish
provisions relating to the judiciary, the organisation
of the judiciary, constitutionality and legality.
Preparations for the constitutional revisions in Serbia
and in Montenegro are ongoing. The reform of the
Union administration (including its downsizing and
transfer of staff to republican administrations) is
awaiting the full implementation of the Constitutional
Charter.
In February 2002, a Law on Protection of Rights and
Freedoms of National Minorities was passed, giving
Roma the status of national minority for the first time.
It stipulates specifically that the authorities of Serbia
and Montenegro will pass legal acts and take measures
with the aim of improving the position of persons
belonging to Roma national minority. It also provides
for the establishment of a Roma National Council with
the authority to represent the Roma community in the
use of language, education, information and media in
the Roma language and culture. It is more a consultative than a self-administration body.
In regard to the cooperation with the ICTY, important
steps have been taken, such as the adoption of the Law
on Organization and Jurisdiction of State Organs in
Processing War Crimes. The role of the Special
Prosecutor was also introduced. In addition, Serbian
courts are processing war crimes from Strpce, Sjeverin,
Ovcara, Batajnica and others. As in other transition
countries, the Serbian Parliament has also passed a
Law on Lustration (The Accountability for Human
Right Violations Act). It is very important from the
perspective of social cohesion and defence of human
rights to remove from public functions officials who
have violated human rights. The law covers a period
from 1976 and will be applied over the next 10 years.
The reformist Serbian Government that took office on
25 January 2001 launched a comprehensive reform
programme to achieve objectives in economic development and social justice, and to counteract corruption. Enhancing the efficiency, effectiveness and
accountability of public administration was a key element of the overall reform programme.
71
As already indicated, the establishment of a Serbian
Ministry for Public Administration and Local
Government in June 2002 and the subsequent formulation of a national strategy paper are positive steps in
the direction of reform by this ministry has not yet
become the leading actor it needs to be. The Council
for State Administration has had a largely advisory
role, with little effect on systemic public administration reform. The Agency for Public Administration
Development (APAD) has launched overlapping initiatives, but with little coordination with the Council
or with other actors.
With a view to improving state institutions and
embarking on a process of wide-ranging public
administration reform, the Serbian Prime Minister has
announced the intention to form a new State
Administration Reform Council, “a political body for
strategic decision making, [whose] members would
be exclusively members of the Government, … and
the Prime Minister himself”. A Draft State
Administration Reform Strategy is expected by
October 2003, and the Prime Minister has suggested
that the UNDP and multi-donor-supported Capacity
Building Fund be transformed into a strategic vehicle
for state administration reform.
The Montenegrin Government recently adopted a
Strategy for the Reform of the Public Administration.
A draft new Law on Public Administration envisaging harmonization with EU standards is currently in
preparation in this republic.
The introduction of the Serbian Law on Local Self
Government in February 2002 is perceived as one of
the steps needed to change the previous centralised
system. The law introduces important innovations in
line with Council of Europe recommendations:
widening of municipal competencies, direct election
of mayors, establishment of new institutions, special
institutes for human rights and minority protection,
some financial decentralization (collection of revenues from business, leased and immovable property,
prizes in lotteries), and limitation of undue interference by central authorities.
In Montenegro, a set of laws on local government
has been drafted and is in the process of approval.
The Government has set itself as an objective to have
a democratic and decentralized professional local
government system that practices good local governance with and for citizens and builds opportunities
for local economic development (Economic Reform
Agenda for Montenegro, 2003). The key goals of the
Government include: decentralization, democratisation of communities, strengthened self-management,
professional and accountable local government and
72
improved quality of public services. The Government
of Montenegro plans a gradual transition to fiscal
decentralisation. The Economic Reform Agenda for
Montenegro recommends the creation of an InterMinisterial Council charged with harmonizing fiscal
policy reforms across different levels of government.
In Montenegro, the Government plan envisages a
comprehensive analysis of existing legislation affecting NGOs in order to favour effective GovernmentNGO partnerships, including adequate tax exemptions, tax deductions for business and individual contributions to NGOs.
In Serbia, a Social and Economic Council was established in 2001, to bring together unions, employers
and the state in a tripartite arrangement, with local
Social and Economic Councils being established
since early 2002.
The Government of Serbia has adopted the fight
against corruption as one of its high priorities. It has
adopted a number of anti-corruption measures, and
the Law Amending the Criminal Code of the Republic
introduced the new chapter devoted to corruption as a
criminal act. In 2002, the Government established the
advisory Anti-Corruption Council, which proposed
a set of laws on conflict of interest, free access to
information, political party financing, behaviour of
civil servants, drafted in line with international standards by legal experts and the NGO, Transparency
International (TI). Twenty-six regional anti-corruption offices have been opened throughout Serbia
manned by police, public prosecutors and state security officials. In addition the budget process is being
reformed towards more transparency and detail, while
a public procurement law and a law to establish a special court for organised crime have been prepared
(The Law on the Organization and Jurisdiction of
State Organs in the Suppression of Organized Crime).
The reform of the judicial system in Serbia has led
to a set of new laws passed in 2001, some of which
were changed by further amendments in July 2002
subsequently ruled to be unconstitutional. The new
Government of Montenegro set as one of its priorities
for 2003 the reform of the judiciary. Since the new
Law on Courts has been already adopted, the preparations for several other laws are undertaken and their
adoption is pressing: a new criminal legislation
(Criminal Procedure Code and Criminal Code), a
Law on Public Prosecutors, a Law on Execution of
the Criminal Sanctions, a Civil Procedure Law, and a
Statute of the Courts.
A set of four judiciary laws, although most welcome,
were adopted without public discussion and were
Common Country Assessment For Serbia & Montenegro
amended several times. Furthermore, the coming into
the force of certain articles of these laws, mainly
those related to organizing the judiciary system (the
courts of appeals, administrative courts, the Supreme
Court as court of cassation) is once again postponed
to 1 January 2004. The judiciary appointment and dismissal mechanisms are regulated by the Law on
Judges (20 March 2003 amendment), as well as by
the Law on the High Judicial Council. The Judicial
Reform Council is an advisory body to the
Government, which launched the strategy for the
judicial reform.
In Serbia, a Judicial Training Center (JTC), under the
Ministry of Justice and the Association of Judges, has
been established, supported by the Governments of
the Netherlands and Sweden/Sida through UNDP.
The JTC has developed and implemented demanddriven curricula and provides research capacities to
support this training. Beneficiaries of the project are
Judges, Prosecutors and Deputy Prosecutors, Judicial
Trainees and support staff in courts and prosecutor’s
offices. One of the objectives is judicial professionalization through legal regulations, training and establishment of a code of ethics.
A Judicial Training Center exists also in Montenegro,
and aims to institutionalise training programmes primarily for judges and for court administration. It was
established in June 2000 by the Association of Judges
of Montenegro, the Ministry of Justice, and the Fund
for an Open Society Institute, together with COLPI
(Constitutional and Legislative Policy Institute) and
ABA CEELI.
A draft Law on the “Peoples’ Advocate”, a type of
Ombudsman, is awaiting adoption by Serbia, which
aims to promote and protect human rights and freedoms against violation by government actions or by
the public administration and other agencies exercising administrative authority. In Montenegro the Law
on the “Protector of Human Rights and Freedoms”
has been adopted but awaits implementation.
The donor community is actively supporting these
reform efforts. The European Agency for
Reconstruction (EAR) has been one of the key players in supporting good governance and institution
building as well as civil society development in both
republics. Local governance is supported essentially
by the USA, with a few major programmes such as
the Community Revitalization through Democratic
Action programme and the Local Government and
Reform programme.
administration through the UNDP-supported
Capacity Building Fund (CBF). UNHCHR is actively
involved in strengthening human rights and the rule
of law. The UNDP National Human Development
Report, and the World Bank supported PRSP, provide
important analytic underpinnings to the reform
process. The ILO supports a project aimed at promoting tripartite social dialogue as a tool of sound governance and a sound legal system for the regulation of
the labour market.
Governance and the Rule of Law – Concluding
points:
As the transformation of Serbia and Montenegro to a
democratic society takes on different challenges:
reforming the constitution, amending legislation,
reorganizing and building the capacity of state institutions, developing policies that adequately respond
to the transition to a market economy while also taking into account the needs of the poor and excluded,
the key immediate priorities centre around:
• Ensure accountability and transparency of
administrative structures through defining the
executive functions of government at different
levels, from the State Union to municipalities,
and the allocation of those functions to ministries
and agencies.
• Capacity must be added to public administration
for policy making while administrative overlap
must be eradicated and human resources better
managed, all of which will greatly increase efficiency.
• Municipal administrations must be reformed as
they are organized in an obsolete manner and use
outdated methods of work. Municipalities should
be given greater financial autonomy, which will
create greater incentives to improve management
systems.
• Nurture an inclusive policy making environment
whereby the capacity of civil society is developed to generate demands for and accountability
for efficient and responsive public services.
• An independent judiciary must become reality
and acquire strength and credibility in order to
fight corruption and organized crime.
• The laws of the country must be rooted in international standards and a national mechanism for
monitoring how the country abides by its commitments should be created.
A large and growing number of bilateral and multilateral donors are supporting capacity building in public
Governance and the Rule of Law
73
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Common Country Assessment For Serbia & Montenegro
Governance and the Rule of Law
75
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Common Country Assessment For Serbia & Montenegro
2.c)
SECURITY OF PERSONS
in all its segments, and creation of appropriate mechanisms. Nevertheless, this is a process that demands
time and significant effort that will require continued
strengthening.
Organised Crime
SITUATION
Security Sector
The end of military conflict in Kosovo in 1999 and
the overthrow of the Milosevic regime in October
2000 opened the way to democratisation and the construction of normality and peace. However, the legacy of the preceding decade is still manifest in the
functioning of the security sector, in the magnitude
of organised crime and human trafficking, and in
the recently stabilised unrest in southern Serbia
among ethnic Albanians. The challenges of impunity
and corruption presented in the previous section add
to the difficulties of redressing these legacies. The
March 2003 assassination of Serbian Prime Minister
Zoran Djindjic and ensuing but short-lived state of
emergency highlighted these challenges and the
importance of rapidly reforming the security sector.
At the Federal/Union level, the inherited weakness of
civilian control over the military poses a risk to
democracy and the stability of government. A process
of downsizing the military has begun but has lacked
sufficient transparency. Disarmament has not so far
been a priority, and political will for the reform of the
military has been weak; civil society pressure in this
respect has been limited. Several scandals involving
the military have shaken the country in the past two
years and revealed the military’s intrusion into the
political and economic spheres: for example, the
arrest by the military of Serbian Vice-President
Momcilo Perisic and a U.S. diplomat in March 2002;
the “Pavkovic Affair” involving the sacking of the
Chief of General Staff in June 2002; and the illicit
sale of weapons to Iraq and Liberia, in breach of UN
sanctions, revealed in October 2002.
At the Republic level, the legacy of the police being
misused for the benefit of a small group of people in
power alienated it from its function of providing security and protection for citizens. Its use for political
purposes included the unlawful arrest of political
opponents and ordinary citizens, resulting in very low
public confidence in this institution. After the democratic changes in Serbia in 2000, efforts were invested in strengthening of the civilian oversight of police,
Security of Persons
Another legacy of the 1990s was the growth and
implantation of organised crime. In order to finance
wars and maintain strong security structures, the former regime developed mechanisms to divert revenues
from the state and from the state-controlled trade,
banking, and productive sectors. The establishment of
these mechanisms was done with the complicity, and
eventually the criminalization, of elements of the uniformed forces, the bureaucracy and the political elite.
The Milosevic regime’s connections with a number of
criminals were used to recruit and build paramilitary
units outside the regular military and police structures. These units were then deployed as irregular
forces to do much of the ethnic cleansing in the wars
in Croatia, Bosnia and Kosovo. Many of these war
veterans with criminal records, access to weapons and
links to extremist nationalist elements later converted
themselves into powerful criminal groups, with continued links to elements of the uniformed forces, public administration and the political world. They are
involved in various forms of illegal trafficking,
including of humans, drugs and small arms and light
weapons, to Western Europe and other Balkan countries, and indeed in the egregious breach of UN sanctions imposed on other countries. Much if not most of
this criminal activity is undertaken with the connivance and collaboration of organised criminal networks active elsewhere in the Balkans and beyond.
Serbia and Montenegro continues to receive and
cooperate with investigative missions deployed under
the auspices of the UN Security Council in connection with clandestine activities that breach UN sanctions.
Human Trafficking
The UN definition for trafficking of persons is provided in Article 3 of the Palermo Protocol to Prevent,
Suppress and Punish Trafficking in Persons,
Especially Women and Children, supplementing the
UN Convention Against Trans-national Organised
Crime adopted by the UN in 2000 and ratified by
Serbia and Montenegro as follows:
“The recruitment, transportation, transfer, harbouring or receipt of persons, by means of threat
or use of force or other forms of coercion, of
abduction, of fraud, of deception, of the abuse of
77
power or of a position of vulnerability or of the
giving or receiving of payments or benefits to
achieve the consent of a person having control
over another person, for the purpose of exploitation. Exploitation should include, at a minimum,
the exploitation of the prostitution of others or
other forms of sexual exploitation, forced labour
or services, slavery or practices similar to slavery, servitude or the removal of organs.”
The trafficking of human beings, a gross violation of
human rights, has become a global trade in which
women and children are traded like commodities and
sexually exploited. Despite an extensive literature on
the subject, the lack of reliable data makes it difficult
to estimate the extent of the problem, to monitor the
situation over time and to identify the trends. Much of
the information available has been provided by the
non-governmental organizations that are tackling the
problem through a wide range of activities, including
assisting the victims themselves.
Nonetheless, there is persuasive evidence that the
Balkan region is playing a key role in this trade99 and
that Serbia and Montenegro and neighbouring countries continue to be used by traffickers in human
beings, both as a destination and as a major route and
stepping-stone predominantly to Western Europe.100
Moreover, the data that does exist suggests that this is
a phenomenon of increasing proportions, particularly
in regard to women and young girls. Latest estimates
suggest that 200,000 victims of trafficking are transiting annually through the Balkan region and that 90
per cent of foreign migrant sex workers in the
Balkans are victims of trafficking.101
In most countries trafficking has close linkages with
HIV/AIDS, as the majority of girls and women who
are trafficked into prostitution have comparatively little negotiation power with regard to condom use.
Assessing the size of the problem in terms of
HIV/AIDS prevalence among trafficked girls and
women and evaluating their access to effective treatment, care and support while rescued or still in captive could add value to those programmes that assist
victims.
Trafficking strengthens the financial base and influence of criminal groups, which form an interlocking
system of mutual protection and constitute a parallel
centre of power in the country. According to one
recent report: “The nexus of nationalist elements in
Serbia’s police, army, political elite, state security and
organised criminal gangs is the single greatest threat
to regional Balkan security.”102 The assassination of
Serbian Prime Minister Djindjic in March 2003 illustrates the threat posed by these groups not only to the
country’s security but also to security and the rule of
law in the region. The continued existence of criminal
structures impacts on the image of the country and
constitutes a powerful disincentive for badly needed
foreign investment.
South-eastern Europe, including Serbia and
Montenegro, is a bridge between the Middle Eastern
and Central Asian drug producers and the lucrative
Western European market. During the wars in Croatia
and in Bosnia and Herzegovina, the drug route from
Asia was temporarily cut off but was re-established
after 1995. With the lifting of sanctions, the overthrow of the Milosevic regime and the stabilization
now beginning, there is a growing increase in road
haulage vehicles passing through the territory of
Serbia and Montenegro, which reopens the potential
for the transit of illegal drugs.
Small Arms and Light Weapons (SALW)
The 1997 Report of the UN Panel of Governmental
Experts on Small Arms provides the following definitions: small arms are weapons used for personal
use whereas, light weapons are designed for use by
several persons serving as a crew.103 Small arms
include revolvers, pistols, rifles, submachine guns,
assault rifles, light machine guns and others. Light
weapons include heavy machine guns, hand-held
under-barrel and mounted grenade launchers,
portable anti-aircraft guns, portable anti-tanks guns,
recoilless rifles and others.
The widespread availability of weapons results from
the legacy of conflicts in the region. The large-scale
production of small arms and light weapons in the
past, combined with the lack of legislative controls
and the weakness of customs and border controls,
has exacerbated the problem and weapons are still
readily available on the illegal arms markets. A full
quantitative analysis of the SALW problem is
99 It should be noted that, while trafficking is often a trans-border phenomenon, it can also occur within a country and does not neces-
sarily mean crossing an international border.
100 UNDP (2003) National Human Development Report (NHDR), Serbia (Draft) (Gender in Transition, World Bank 2002 box on page
80).
101 Trafficking in Human Beings in South-eastern Europe - Current Situation and Responses, UNICEF, 2002
102 ICG Balkan Report (No. 141, 18 March 2003)
103 United Nations,A/52/298/, 27 August 1997
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Common Country Assessment For Serbia & Montenegro
presently not possible due to the paucity of operational data on illegal weapons holdings, illicit trafficking routes and systems or the detailed operation
of the illegal weapons market, although estimates
have been made.104
Organised crime and the related drugs, small arms
and human trafficking further impact on human rights
and the security of persons. They are major factors
behind the widespread corruption in the judiciary and
public administration, and thus distort markets and
undermine the rule of law. Their presence also fuels
petty criminality.
There appear to be several factors that have encouraged the trend for civilians to possess such weapons,
particularly the aftermath of armed conflicts in the
region, the unresolved conflicts that remain in the
neighbouring states, the growth in organized crime
and a general culture of violence and illicit gun
use.105 The former Yugoslavia was a major weapons
producer during the Cold War. When the tensions
from the Cold War subsided, the weapons industry
continued to produce for new external markets that
proved to be highly lucrative and consequently the
production of light weapons increased.
In light of the threatening and complex situation created by an established gun culture, the challenge is
how to provide citizens and communities with a
secure and safe environment. Government authorities
and civil society groups have a role to play in raising
community awareness of the dangers of small arms
and light weapons and in educating the public in order
to eradicate the propensity for violence which derives
from this culture. Efforts to assure the security of citizens in Serbia and Montenegro in this area could be
integrated with other programmes that aim, for example, to strengthen governance institutions and
enhance the capacity of the policy or the judiciary. A
number of countries around the world have adopted
measures and taken the initiative to tackle directly the
illicit sale of and misuse of SALW through, for example, strengthening export controls and collecting and
destroying the surplus of SALW.106
Instability in Southern Serbia
The recent insurgency in southern Serbia, which
was brought to a peaceful end in early 2001, was a
consequence of the discriminatory policies of the
Milosevic regime towards ethnic Albanians, and the
ensuing ethnic conflict in Kosovo. The legacy of
human rights abuses and ethnically exclusionary policies in the Balkans caused ethnic strife in this part of
Serbia, as well as some population short-lived displacements, and fuelled this insurgency movement
among ethnic Albanians. The disadvantaged environment in southern Serbia also offers a favourable
ground for organised cross-border crime, illegal trafficking of persons, drugs and small arms and light
weapons. It is a particularly convenient transit route
for trafficking between the Middle East, Asia and
Western Europe, using the main highway E 75 and
being geographically located adjacent to the Former
Yugoslav Republic of Macedonia and Kosovo. Illicit
activities provide financing not only for criminals, but
also for extremist and separatist elements. Criminal
elements are alleged to utilize intimidation within and
across ethnic groups to promote instability and fear,
in order to maintain the conditions in southern Serbia
in which their illicit businesses can operate.
Continued discoveries of weapons caches in the former Ground Safety Zone (a buffer strip between
Serbia proper and Kosovo) indicate that large numbers continue to circulate, in addition to high levels of
individual possession within both ethnic Albanian
and ethnic Serb communities of the area. The psychological impact of war and the continued circulation of
a large number of military weapons have strengthened the widespread culture of violence.
The main cause is to be found in the recent history of
the country. Tensions are exacerbated by the widespread poverty, lack of opportunities and limited perspectives for improvements. In addition, southern
Serbia is characterized by legacy of a particularly
weak civil society, with a limited culture of interaction with local authorities and a history of mistrust
among the various ethnic and religious communities.
The language problem often constitutes a further
source of friction. A certain degree of social exclusion
of minorities has led some groups to militate for
armed conflict and secession.
Furthermore, the economy in southern Serbia has
recently been characterized by the lack of private
investment, low capacity to undertake entrepreneurial
activities, absence of credit facilities, high unemployment, emigration of skilled talent and lost marketing
outlets and above all, the widespread grey economy.
104 The Ministry of Internal Affairs of the Republic of Serbia estimated at the recent NATO Parliamentary Assembly seminar in Belgrade,
22 March 2003, that 60-70,000 illegal weapons were held within the Republic of Serbia; another estimate suggested to SEESAC on 26
February 2003 that the illegal weapons holdings in the Republic of Montenegro could be in the region of 40,000.
105 Small Arms and Light Weapons in the Federal Republic of Yugoslavia, by Ian Davis, published by Saferworld, 2002 p. 11
106 Supra, p. 8
Security of Persons
79
Data from 2000 indicates that municipalities in the
south have the lowest national ranking in terms of
income per capita. Output in the agriculture and livestock sectors has declined with the political crisis and
economic stagnation, and are further affected by the
loss of legal access to markets in Kosovo. There is a
particular concern regarding opportunities for young
adults, since a large number of them (including several thousand ex-combatants) have never entered the
workforce. Years of low public and private investment have resulted in the highest unemployment rates
in Europe - only 6,000 people out of the 55,000 population of Bujanovac are currently employed, while
60 per cent of the working-age population in Presevo
is without a job. Under current economic reforms it is
estimated that 30,000 jobs have already been lost in
southern Serbia as a result of the privatisation
process.
As a result of actions taken in 2001-2002, there have
been gradual improvements in municipal representation, local infrastructure, human security and interethnic relations. However, widespread poverty and
weak governance (especially with respect to the rule
of law) continue to prevail, yielding potential for further instability. A number of factors could trigger
greater conflict, especially the unresolved situation of
Kosovo, and the continued activities of separatist
movements in the Balkans.
Juveniles in Conflict with the Law
Another area that needs to be addressed regards juvenile offenders, although in light of the statistics available it is difficult to accurately determine the current
situation and identify trends. While two different
departments within the Federal Statistical Institute
collect data relevant to juveniles, no comprehensive
database is available. Since the Serbian Ministry of
the Interior stopped collecting police statistics during
the “war years,” no reliable statistics are available
regarding police apprehension of juveniles. Thus,
only general crime statistics are available and their
reliability is in question.
The majority of juvenile crime is committed against
property and includes stealing, burglary, robbery and
armed robbery, embezzlement, general theft, and car
theft. Given the financial hardship that has fallen on
so many families in Serbia and Montenegro, many
children are therefore lured into or tempted to commit
such crimes. For some children, the money they
receive from property crimes is likely to buy drugs,
which many legal professionals observed is an
increasing problem.
The age of criminal responsibility in both Serbia and
Montenegro is 14; below this age children are
assessed by a centre for social work. Thereafter, they
may be placed under an educational order and sent to
one of three “homes for the education of children.”
These homes are in Knjazevac where between 40 –50
children ages 7-14 years are held. There are also two
Institutions for Education for ages 14-18 years – the
one in Belgrade holds on average between 50-70 children and in Nis 30-35 children. Above the age of 14,
children are then taken through the adult criminal system. There is one correctional institution in Serbia
and none in Montenegro. In Krusevac, the centre
holds on average about 75 children ages 14-18 years
plus another 120 young people over 18 years of age.
There is a single juvenile prison in Valjevo that holds
on average 150 young people out of which 10 are
children under the age of 18. In all these institutions
conditions are poor, particularly in Krusevac.
The general consensus of the legal professionals who
work in juvenile crime is that they are definitely seeing a change in the nature of juvenile crime. While
actual criminal incidents are not increasing in significant numbers, the types of crimes are more serious
and the nature of the juvenile offender is changing.
Although no data is available to support this consensus, some troubling statistics have emerged to support
the premise that the difficult conditions of the last
decade have changed the nature of juvenile crime in
the country. For example:
• In 1998, the unemployment rate for youth ages
15-24 was 61.1 per cent, 42.6 per cent higher
than overall unemployment.
• The suicide rate among males, ages 15-24 slightly increased in the last ten years, a sign of “wider
depression and stress.107”
• The juvenile crime rate is “much higher than the
total crime rate.”108
• Juvenile homicide rates in 1998 had more than
doubled the total homicide rate from 1989.
• Juveniles in Serbia and Montenegro have
become more involved in the drug trade and drug
related crimes.109
107 “Young People in Changing Societies, A Summary, ”Regional Monitoring Report, UNICEF Innocenti Research Centre, Florence,
Italy, No. 7 Summary, 2000, p..5
108 “Young People in Changing Societies, p.86
109 Supra, p.91
80
Common Country Assessment For Serbia & Montenegro
CHALLENGES
internal accountability (in particular concerning sanctions for abuse of office).
Security Sector
Organised Crime and Human Trafficking
In the security sector, the immediate challenge is to
strengthen civilian control of the uniformed services,
meaning over the armed forces at the level of the
state union, and over the police in each member
republic of the union. Such control must include
civilian bureaucratic oversight of financial management, and parliamentary control and reporting on
budgets and expenditures. This will put the military
and police under proper civilian supervision and at
the service of the public and national interests, as
expressed through parliamentary democracy. In fact,
much of this can be achieved by actually enforcing
review and control mechanisms already available to
the respective Parliament and strengthening the
bureaucracy’s support for the relevant Parliamentary
Commissions. However, there is a need to review the
legal texts relating to which civilian authorities the
military owes its allegiance, in order to remove
ambiguities.
The military of Serbia and Montenegro is to be downsized, but is lacking employment opportunities in a
general environment of rising unemployment. There
is a need to create social programmes for redundant
officers, non-commissioned officers and civil servants working for the SCG armed forces. The issues
of re-training, job creation and accommodation are
particularly acute.
An effective police force is a critical factor for the
country’s economic recovery and the alleviation of
poverty. The police, together with the customs administration and the ministry of finance, is a key player in
the fight against organized crime, the grey economy,
corruption and a variety of economic crimes such as
tax evasion, the illegal flow of money and shady business transactions. The police force has a key role to
play not only in establishing an enabling environment
for the security of persons but also an enabling environment conducive to investment and profitable legal
business activity, by ensuring equal compliance with
the rule of law and the prevention of economic crime.
Due to the prevailing social and economic circumstances, the police force, like the rest of the public
service, requires more highly educated and specialized staff, especially uniformed police and detectives.
Also, the police suffer from low inter-service and
inter-entity cooperation, as well as mechanisms for
The problem of organised crime needs to be understood and addressed in a broader context. Economic
and social development, the rule of law (including
proper functioning of the judiciary), and democratic
governance are essential for long-term solutions to
the problems of organised crime and trafficking. The
social problems within Serbia and Montenegro are
the result of many contributory factors110 such as
growing poverty, unemployment, exclusion, and
lack of opportunities. These are not only the result of
the country’s historical past but are also fuelled by
the transition process itself and the related deficiencies in the social sectors. The condition of women
plays a determining role in the existence of human
trafficking, including labour market exclusion of
women, low wage employment, prostitution,
women’s economic non-sustainability, lack of
awareness of human rights, gender discrimination
and domestic violence. Trafficking has a regional
dimension and efforts need to be better coordinated
with neighbouring countries.
Implementation of the rule of law is poor because of
a lack of capacities and resources; in particular, there
has been disorganization and a prevalence of corruption in institutions such as the border police, the
immigration services and the customs services. For
instance, the units created to fight organized crime
have been under staffed and under resourced lacking
access to modern methods of policing. The customs
service has almost no access to equipment to assist in
the examination and search for contraband at land
borders. Lack of capacity and modern equipment
impedes not only national efforts, but also international cooperation and intelligence sharing.
In regard to human trafficking, the existence of inadequate legislation, and its weak enforcement is evident.
In July 2002 the Montenegrin Criminal Code was
amended to make trafficking in persons a crime but
many additional elements need to be incorporated into
the legal framework — such as a witness protection
programme and procedures permitting the giving of
testimony via video link. In the Criminal Code of
Serbia and of the former FRY, human trafficking is not
a specific criminal offence; trafficking is covered by a
section which pertains to slavery and transportation of
human beings. Moreover, as the lack of reliable data
110 Source: Problem Tree Analysis, including possible Data Sources:Ministry of Defence, Ministry of Interior,OSCE,ICRC,Red Cross of
Serbia and Montenegro,Survey on Spouse Homicide (Montenegro),USAID opinion poll on gun culture, Small Arms Survey Regional
Studies,Saferworld Regional Studies,BICC Regional Studies,SEESAC initiated surveys,SEESAC Database (under development)
Security of Persons
81
has been one of the reasons authorities give for failing
to adequately address the problem, the collection and
exchange of information is an important challenge and
a precondition to effectively protecting the public by
creating awareness and to fight this crime.
Eliminating Illegal Small Arms and Light
Weapons
The continued illegal possession of small arms and
light weapons among the civilian population, combined with the lack of legal economic opportunities,
feeds on the widespread “gun culture” which is a
particular concern in southern Serbia. This will be
difficult to attenuate until levels of criminality have
been significantly reduced and the perceptions of
insecurity among the civilian population have been
overcome.
This challenge is particularly acute because of deficiencies in weapons management processes (security
and safe storage), and inertia in the destruction of surplus weapon stocks. Government accounts are not
sophisticated enough to show that, whilst the
weapons may have some financial value, the costs of
security and storage for those weapons far exceeds
any physical value over a period of time. Weapons
destruction is expensive, and to date little progress
has been made towards the development of specific
projects; these will inevitably require extensive international donor support.
Recovery in Southern Serbia
The highly sensitive nature of the crisis in southern
Serbia and its regional ramifications requires the continued and sustained attention of both the
Government and the international community to
maintain the momentum for a return to social, political and economic recovery. Peace and stability in
southern Serbia are important not only for that part of
the country but also for Serbia and Montenegro as a
whole and for the peace and stability in the region. So
long as investors perceive the Balkans as a zone of
instability and conflict, rapid improvement of the
peoples’ standards of living and sustainable human
development is jeopardized.
In recent times, southern Serbia has suffered from a
failure to adequately deal with inter-ethnic issues,
the biggest weakness being previously exclusive and
discriminatory policies and practices and educational system, which did little to promote pluralism of
thought, of cultures, and of language. Today, its
problems are aggravated by the weak institutional
capacity of local authorities and a long culture of
centralised authoritarian rule. The former regime
82
systematically reduced the powers and resources of
local government in retaliation for opposition victories in the 1996 municipal elections. The resulting
over-centralisation, exacerbated by effects of conflict, sanctions and economic collapse, has left the
municipal level of government in a state of depleted
capability. Overstaffing, poor equipment, lack of
capacities (particularly participatory management
skills) characterize the local administrations. The
municipal governments as they currently exist, even
after the introduction of the new Law on Local SelfGovernment, do not form a firm basis upon which a
decentralized, democratic governance system could
be built. These shortcomings must be addressed if
there is to be durable peace and prosperity in the
area.
Juveniles in Conflict with the Law
Regarding juvenile offenders, legislative reform and
services are both needed to bring them in line with
international standards. Thus, legislative frameworks
and services should provide for programmes that promote the principle of reintegration and for day-facilities that are separate from the existing institutions.
There is a need to revise the laws regarding juveniles
that come into conflict with the law and in particular
the provisions that are relevant to the sentencing
measures for children; they should provide alternative sentencing measures. In addition to reforming
legislation and services, emphasis needs to be placed
on ensuring that children and adolescents who
become juvenile offenders benefit from programmes
that focus on their rehabilitation and inclusion into
society.
RESPONSES
Security Sector
Serbia and Montenegro is embarked on an effort to
fundamentally reform the organs of state security,
notably the Ministry of Defence and the armed
forces. At both Union and the two Republics level, it
is realized that unless and until all military, paramilitary, police and security units are brought under proper civilian oversight, the stability of the state will be
at risk. In March 2003, the Supreme Defence Council
announced the creation of a Committee to coordinate
reforms in the Army of Serbia and Montenegro with
a priority to join Partnership for Peace and improve
the working conditions and the material position of
military staff. A primary task of the Committee will
be to surmount the lack of strategic documents for
the reform of the system and enhanced civilian control, including lack of a National Security Strategy, a
Common Country Assessment For Serbia & Montenegro
Defence Doctrine and a Military Doctrine. The
Ministry of Defence set a deadline of six to eight
years to complete the transformation, including the
reduction of the military from the current 77-78,000
to around 50,000. Considerable donor support is
anticipated to follow early bilateral contracts and
assistance, as well as UNDP support to change management and public administration reform in the
Ministry.
In regard to the police and security services, reform of
the Serbian Ministry of Interior has been stepped up.
A new organizational structure was created last year,
whereby the Security–Information Agency was
placed under civilian control. A State Security
Council has been established which reviews the activities of State Security Department. Guidelines for
further reform of the police and for the modernization
of the Ministry of Interior have been defined by the
Government. In Serbia, the growing trend of criminality of 2001 and earlier years was not only stopped
in 2002, but the number of crimes dropped by 22 per
cent, primarily as a result of lower rates of theft, car
theft and aggravated theft. Homicide cases dropped
from 205 to 166. The reduction of overall criminality
was the result of the improved organization of the
Interior Ministry, as well as more efficient policing
including better equipment and street presence.
Organised Crime and Human Trafficking
Since the overthrow of the Milosevic regime, the
Government of Serbia has taken considerable steps to
deal with the problem of organised crime and trafficking. Processes of reform, decriminalisation, and
personnel changes in the Ministry of Interior were initiated. A Directorate for Suppression of Organised
Crime was established in 2002 and Five Regional
Intelligence Centres were established to collect intelligence on organized crime. Other significant organisational reforms include the establishment of the
Administrative Office to Fight Against Organised
Crime, as well as the Gendarmerie. In July 2002, 33
specialized anti-trafficking units were established
within Serbia.
world figures are in hiding and a number of government officials have either resigned or are under
investigation.
The country has signed a number of international conventions including the United Nations Convention
against Trans-national Organised Crime together with
additional Protocols including- the Protocol for
Prevention, Eradication and Punishment of
Trafficking in Human Beings. With regard to human
trafficking, there have been specific responses in both
Serbia and in Montenegro.
In this regard, it is important to note that human trafficking is manifesting itself in different guises in the
region especially following many local and internationally organized police operations. With the closure
of many establishments which had facilitated trafficking and the sexual exploitation of trafficked victims,
the trade is seeking alternative ways of operating
which are less visible and harder to trace. It is therefore important that the trends are followed and that
the outreach to victims is further strengthened.
Several UN agencies and NGOs are actively involved
in the fight against trafficking, particularly through
regional programmes aimed at promoting cooperation
among the countries. UNODC launched in 2001 a
major regional project called “Intelligence Led
Policing”, involving training in intelligence awareness, criminal intelligence analysis and the provision
of equipment. The International Organization for
Migration (IOM) implements a regional technical
assistance and capacity building programme intended
to strengthen co-operation, security and stability in
South-Eastern Europe through improved migration
management practices throughout the region. IOM
also supports integrated cross-regional programmes
to prevent, assist and protect the migrants who fall
prey to traffickers. Other non-governmental organizations have been responsible for most of the assistance
provided to victims of trafficking including lobbying
for legislation, running shelters, SOS hotlines, counselling, and other types of help.
Serbia
The efforts of the Government of Serbia to fight
organised crime were stepped up following the
assassination of Prime Minister Djindjic in March
2003. Until his assassination, political consensus to
deal seriously with the organized crime problem had
been lacking. During a six-week state of emergency,
over 11,665 people were detained, and by mid-May
2003, 3,560 charges were filed against 3,946 people
for 5,671 offences111. A number of prominent under-
In Serbia, a National Coordinator for the Combat of
Human Trafficking was named within the Ministry of
Interior whose responsibility it is to coordinate intragovernmental activities on the Republic level. An
Anti-Trafficking Team was established as a successor
to the former Federal mechanism, which brings
together a broad range of actors including all relevant
ministries as well as members of the judiciary; non-
111 Interview of Serbian Interior Minister of 17 May 2003, reported in V.I.P. Daily News Report of 19 May 2003.
Security of Persons
83
governmental organizations; and international organizations. The National Coordinator in Serbia has also
developed a national plan to combat trafficking,
under which Special Police Teams have been formed
within the Ministry of Interior and which have begun
to receive specific training about how to combat trafficking and provide assistance to victims.
Prosecution of trafficking cases is the weakest point
of the anti-trafficking efforts in Serbia. In early 2003,
the Office of the Special Public Prosecutor was established by the Law on Organization and Competence
of Government Institutions in the Suppression of
Organized Crime with a mandate to prosecute organized crime for which the minimum sentence is four
years of imprisonment according to Articles 2 and 4
of the Law. This covers human trafficking when it is
an act of organized crime. As well, in April 2003,
Anti-Trafficking legislation inspired by the Palermo
Protocol was introduced into the Serbian Criminal
Code112. This is the first significant step toward the
criminalization of trafficking. Once the legislation is
fully implemented, key players will have a more reliable basis for combating traffickers, but as in many
other countries of the region, implementation will be
the real challenge.
Non-governmental organizations have been the driving force behind research, lobbying legislative
changes and assistance to victims of trafficking
through SOS telephones, shelters, referrals, counseling and other types of assistance. Non-governmental
organizations have also achieved a good level of
cooperation with the Ministry of Interior particularly
the police in various trafficking cases. It is reasonable
to expect that other members of the Serbian AntiTrafficking Team will become more active as the
Team mechanism evolves. These are all commendable steps, but much remains to be done, particularly
with respect to providing adequate protection of victims and witnesses. It will also be necessary to monitor the judiciary in the application of the new antitrafficking legislation.
Montenegro
In 2001, the Government of Montenegro appointed a
high-ranking public official to be the first National
Coordinator for the Combat of Human Trafficking,
whose mandate includes coordination of governmental activities and participation in regional and international cooperation. The advisory mechanism established in Montenegro to assist the National
Coordinator is the Anti-Trafficking Project Board,
which has to date been facilitated by the OSCE. It
includes representation from the Ministry of Interior,
the National Coordinator for Gender Equality, international organizations (UNOHCHR, UNICEF, IOM,
CoE) and non-governmental organizations including
the women’s shelter A National Plan of Action does
not exist but the Project Board has developed a project overview document which sets out all planned
activities. Special Police Teams have been established
in Montenegro and there has been considerable effort
invested in training the police and raising awareness
about trafficking with the public in general.
Although Montenegro was at the forefront of efforts
to introduce the crime of human trafficking into its
criminal code, Montenegro too has had a poor record
with respect to the prosecution of trafficking cases.
This was brought into sharp focus by a high profile
case in which a Moldovan trafficking victim gave testimony to an investigating judge against four suspects, including a high official, but no indictments
were filed and the charges were dropped for “lack of
evidence”. The case also brought into focus the weakness in the Montengrin legal system including the
lack of a witness protection program and the failure of
the system to maintain the confidentiality and integrity of the investigation process. It also became clear
that the mission and the functioning of the Project
Board and the mandate of the National Coordinator
needed to be reviewed and that the media in
Montenegro, which constantly sensationalized and
politicized the case, needed to be educated about and
encouraged to practice responsible journalism.
Additionally, non-governmental organizations, which
have been responsible for most of the assistance provided to victims of trafficking (running the shelter,
managing the SOS hotline and providing counseling
and advice to victims) as well as engaging in engaging in lobbying for legislative and policy reform, will
need support. The monitoring of human trafficking
cases will be as crucial in Montenegro.
Small Arms and Light Weapons
The recent Serbian weapons amnesty113 (26 March9 April 2003), combined with a concerted security
effort against organised criminal networks, is an
encouraging political and practical measure to try to
suppress illicit small arms and light weapons.
Citizens surrendered 47,852 pieces of firearms and
mines, explosive devices, over two million pieces of
ammunition and almost 7,600 spare parts for
firearms. As many as 34,917 requests for legalization
of firearms were also submitted. Work is ongoing to
112 Memorandum of the Serbian Ministry of Internal Affairs, 29 July 2003
113 Presidential Decree announced on 25 March 2003 in Sluzbeni Glasnik Newspaper, Republic of Serbia No 31/749.
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Common Country Assessment For Serbia & Montenegro
develop national legislation for export controls 114
and to amend the current law 115 on internal weapons
registration; although tax issues may complicate the
legal registration system. Nevertheless, the challenges of implementation and enforcement remain.
A national weapons amnesty is also taking place in
Montenegro (12 March - 12 May 2003). It is intended that the appropriate legislation then be enacted. 116
Although there are no official linkages between the
two amnesties, the synergies are obvious.
The South Eastern Europe Clearing House for the
Control of Small Arms and Light Weapons
(SEESAC) is a joint UNDP/Stability Pact Initiative
combating the proliferation of small arms and light
weapons.
Instability in Southern Serbia
To redress the situation in southern Serbia, in April
2001 the Joint Federal and Serbian Governments’
Coordination Body for Presevo, Bujanovac and
Medvedja published a document, which has subsequently come to be known as the “Covic Plan”, named
after the Deputy Prime Minister who led joint government efforts to negotiate with local leaders, resolve
the simmering conflict and restore peace and security.
This sets out a series of social and political policies
and measures, together with a list of infrastructure
projects, which the government proposed to implement once peace was achieved with ethnic Albanian
insurgents based in the Ground Safety Zone (GSZ). A
peace agreement for the negotiated disbanding of the
so-called Liberation Army of Presevo, Medvedja, and
Bujanovac (known by the initials UCPMB) was
implemented in May 2001. The Covic Plan articulated a strategy to redress grievances about past neglect
and discrimination and, with the strong support of the
international community, to invest in the repair and
renovation of the neglected infrastructure.
Besides progress in security of the area, former
Federal and Serbian Governments, with the support
of the international community, have made efforts to
create a stable political environment as a background
for socio-economic growth. Other recent achievements include: fewer complaints and prompt Serbian
government action on human rights abuses; progress
in the formation of a multi-ethnic police force; the
establishment of facilities to assist the return of IDPs
from Kosovo; compensation for war-damaged property; and local elections in Presevo, Bujanovac and
Medvedja municipalities in July 2002 based on the
recent Serbian Law on Proportional Representation.
Through the elections, ethnically diverse communities have been given representation and fair access to
local authorities and political structures. More than
60 per cent of voters turned out, demonstrating their
commitment to a political process of change. For the
first time in the history of the region, senior Albanian
leaders who stood on conciliatory political platforms
were elected to key positions in the new municipal
administrations. The international community contributed greatly to the stabilization of the area through
municipal development, job creation, rehabilitation of
infrastructure, promotion of inter-ethnic dialogue, and
humanitarian support.
Following an extensive UN Inter-Agency Needs
Assessment Mission in February 2001, the donor
community has invested over US $ 30 million to
bring peace and stability in Southern Serbia. This
support originated from the EU/EC, the World Bank,
Norway, Sweden, USAID, OSCE, NATO, several
international and local NGOs and several UN agencies. Part of the UN agencies’ support to Southern
Serbia was channelled through an Inter-Agency
Support Office (IASO) hosting a number of programmes, including FAO, UNHCR, UNOHCHR,
UNICEF, OCHA and UNDP programmes. IASO was
administered by UNDP and was operational from
June 2001 until December 2002. The UNDP supported and EAR funded Rapid Employment Programme
aimed at providing temporary employment and
incomes to the local population through engagement
in intensive public works designed to rehabilitate
basic infrastructure. The Southern Serbia Municipal
Improvement and Recovery Programme supported by
UNDP and funded by the World Bank as well as several bilateral donors addressed the issues of municipal
development, economic recovery and social rehabilitation. A successor programme funded by EAR has
now been launched by UNDP.
Juveniles in Conflict with the Law
The inter-ministerial Council of Child Rights in
Serbia has highlighted juvenile justice as a priority
area of concern. This first round table on this issue
bringing together government, international agencies
and civil society was held in March 2003, at which
114 Law on Production and Trade of Weapons and Military Equipment.
115 ‘Weapons and Ammunition Act’, 1992, (amended through 1998). This is among the most stringent arms legislation in the region.
116 The Government of the Republic of Montenegro has concluded that the current ‘Weapons Law’, 1990, (Amended 1993), is no longer
adequate. They have drafted a successor law, but there are international and national concerns that the consultation process has been too
short.
Security of Persons
85
the revision of the juvenile justice code was discussed, adoption of a revised code is expected by the
end of 2004. A draft code has been prepared with
extensive inputs from the Child Rights Centre.
Security of persons – Concluding points:
Much effort needs to be invested in order to deal with
a long legacy of corruption and decade of conflict.
The following are the immediate challenges ahead:
• Strengthen civilian control over the uniformed
services and develop a democratic oversight of
financial management, and parliamentary control and reporting on budgets and expenditures of
these services.
• Reduce levels of criminality and perceptions of
insecurity among the civilian population that
result in the proliferation of small arms and light
weapons.
• Address the problem of organized crime and its
concomitant problems, like human trafficking, in
a broader context where emphasis is placed on
economic and social development, strengthening
the rule of law (including the proper functioning
of the judiciary), and promoting democratic governance are the basis for long-term solutions.
• The highly sensitive nature of the crisis in southern Serbia and its regional ramifications requires
the continued and sustained attention of both the
government and the international community to
maintain the momentum for a return to social,
political and economic recovery. Peace and stability in southern Serbia are important for the
entire region.
• Legislative reform and services for juvenile
offenders are needed to bring them both in line
with international standards. Emphasis must also
be placed on ensuring that children and adolescents who become juvenile offenders benefit
from programmes that focus on their rehabilitation and inclusion into society.
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Common Country Assessment For Serbia & Montenegro
Security of Persons
87
2.d) ENVIRONMENT
SITUATION
Degradation of the environment and natural
resources in Serbia and Montenegro, following rapid
industrial development after World War II, intensified
again during the 1990s, which was characterized by
economic sanctions and conflict. During that period
there was (i) lack of investment in cleaner technologies and in environmental protection, management
and monitoring, (ii) uncontrolled exploitation of natural resources, and (iii) use of low quality energy
sources encouraged by low energy prices. The NATO
intervention in 1999 damaged key military and industrial installations and considerable quantities of toxic
chemicals were released in the air, soil and water,
posing immediate threats to human health and the
environment. As a result, four “environmental hot
spots” were identified by UNEP/UNCHS in
September 1999.
In terms of the UN Millennium Declaration, biodiversity and forests in Serbia and Montenegro are not
immediately at risk, but agricultural practices and
continued unsustainable natural resource management practices could have serious impacts once economic development takes off again.
Agricultural land comprises 58 per cent of the Serbian
territory out of which 83 per cent is arable. The economic importance of agriculture has increased following the economic crises and decline of other sectors, and now accounts for 22 per cent of GDP.
Thirty-seven percent of total land in Montenegro is
agricultural land, largely pasture, arable land amounting to only 13 per cent of this. The run-off of fertilizers and pesticides is low due to the low levels of use.
Indicators for agricultural environmental impact
(such as the level of soil contamination, use of fertilizers and pesticides) show that, except for areas with
intensive large-scale agricultural enterprises, environmental pollution from agricultural production
is not very high. However economic development in
Serbia and Montenegro will certainly increase the use
of agricultural inputs.
In Serbia, 5 per cent of the territory is designated by
law as a protected natural area, while in Montenegro
88
7 per cent of the Republic’s territory is under a protection regime. Despite the National Parks’ relatively
good condition, most of them suffer from inadequate
funding and have very weak institutional and management capacity.
Forests cover some 27 per cent of Serbia’s territory
and 50 per cent of them are state owned. Forestry generates only 0.5 per cent of Serbia’s GDP. In
Montenegro, forests occupy 54 per cent of the territory and forest fires represent the biggest threat with an
average of 0.34 per cent of forest cover being lost
annually.
Pressure on biodiversity in Serbia and Montenegro is
highest in forests and sensitive ecosystems (wetlands,
swamps, steppes, forest-steppes, sands, continental
salt-springs, high-mountain habitats). Unsustainable
tourism in mountains and around the Skadar Lake
National Park in Montenegro, as well as poaching,
represent additional threats to biodiversity. The
marine ecosystem is threatened by use of trawl nets
that completely damage the seabed where used.
Illegal fishing through the use of explosives also
poses a great threat to marine ecosystems. Currently,
poaching is a serious problem in land and the environmental inspection and park management staff is
too weak in number and capacity to efficiently prevent and control illegal hunting. As a result, economic opportunities are reduced in natural resource
dependent rural communities, and the risks from forest fires, infestation and diseases have increased.
Traditional lifestyles of rural populations are endangered and tourism opportunities are lost.
Degradation and loss of forest cover in Serbia and
Montenegro has increased in the last decade, mainly
due to unsustainable forest management practices,
forest fires and pest infestations. A low efficiency and
level of forest monitoring and control has lead to
uncontrolled livestock grazing and increased illegal
logging, often by rural poor who make a living from
it or use wood as a fuel. It also results in an uneven
distribution in the intensity of logging as differential
transportation costs and a relatively low road density
in forest areas has led to over-utilization of the accessible forest, while underused forests are not maintained and become prone to forest fires and insect
infestations. Inappropriate afforestation practices
have resulted in high forests accounting for only
slightly more than a half of all forest areas, and in certain cases this has impacted on the frequency of forest fires. Very little effort has been made to reverse
this negative trend and to re-invest in the rehabilitation of forest resources. The afforestation rate
decreased annually by 12 per cent due to lack of
financing, and there has been a sharp drop in silvicul-
Common Country Assessment For Serbia & Montenegro
tural operations and in regeneration activities (i.e.
tending, cleaning, thinning, etc). All this directly contributes to lower forest quality and its poor health.
There are indications that privately owned forests are
often fragmented and not well managed. Still, no
environmental impact assessment is being carried out
in harvesting areas.
Most environmental pressure in Serbia and
Montenegro comes from urban areas and their industries, causing immediate environmental health risks
to urban populations. Montenegro is not heavily
industrialized, yet industrial plants cause serious
environmental concerns.
The high concentrations of particle matter and sulphur dioxide in industrial and urban areas in Serbia
and Montenegro often exceed the permitted maxima.
This contributes a higher incidence of respiratory illness, diseases of the circulatory system and premature
mortality. The low air quality stems from inefficient
combustion in households, thermal power plants, district heating plants (Serbia only) with systems without intensity regulators in households, as well as aged
and uncontrolled motor vehicles using low quality
fuels and emitting high quantities of lead and sulphur.
Furthermore, inefficient and outdated industrial
plants, often located in the vicinity of urban settlements, lack adequate treatment facilities and are poorly maintained. The daily concentrations of classic
pollutants in urban areas in Montenegro are in general within WHO guideline values. Trends for smoke
and sulphur dioxide pollution remain within limits,
while 30-minute concentrations of specific pollutants
are quite often exceeded. Serbia and Montenegro do
not produce ozone-depleting substances, and do not
have systematic data reporting in place for greenhouse gases and heavy metal emissions.
Coal continues to dominate Serbia’s primary energy
mix (renewable energy sources are practically nonexistent), whereas hydropower is the main energy
source in Montenegro although it has had a constant
deficit in electricity generation since 1980. Energy
use in Serbia and Montenegro per GDP unit was three
times higher than the OECD average in 1999 mainly
due to inadequate pricing policy and poor infrastructure causing transmission loss.
Hazardous wastes from industries in Serbia and
Montenegro are disposed or stored in uncontrolled
ways at landfills and industrial sites causing health
hazards to urban settlements and factory workers.
Agricultural soils contaminated by toxins through
polluted ground water and/or particle settlement from
the air, are threats to food safety and livelihoods.
Industrial wastewaters pollute waterways. In both
Environment
republics, mine tailing ponds with dams risk collapse,
and overloaded ash deposits at thermal power plants
are ecological “time bombs”.
A problem both in Serbia and Montenegro is that
municipal waste collection in rural areas is practically non-existent and waste is burned and disposed
of in illegal dumpsites, often along rural roads or
riverbanks creating sanitary risks. Most landfills are
small and do not meet sanitary standards. Low and
fixed tariff collection rates at the municipal level
are major barriers to modernizing waste management practices. The development of public sewerage systems has lagged behind the development of
water supply systems; a major part of the population use septic tanks causing microbiological pollution of shallow aquifers. Most central wastewater
treatment facilities are old, dilapidated or not working at all, e.g. Belgrade has no treatment facility.
Only 15 per cent (or 2.1 m3/s) of total collected
wastewaters are treated in Serbia. In Montenegro,
39per cent of the total population is connected to
the public sanitary system. Wastewater treatment in
Montenegro relies on two filtering systems, which
are only partially in use.
Sewage is another key problem on the coast. The Bay
of Kotor has no sewage network; all houses or groups
of houses have their own outlets and discharge directly into the sea. There are no wastewater treatment
plants and the outlets along the coastline are in bad
condition. In addition, there are problems as well
with all aspects of waste management.
Low quality and shortage of drinking water increasingly affects populations in smaller cities and rural
areas, and to a lesser extent those of the major urban
centres. Supply and quality of piped drinking water in
small urban areas in Serbia have deteriorated in recent
years due to lack of sufficient management and reinvestments, whereas rural communities continue to rely
on uncontrolled private wells or piped community systems of which 90 per cent do not meet bacteriological
standards. A consequence is an increased number of
water-borne diseases (especially shigellosis) and a
higher incidence of diarrhoeal diseases among children
with school children being at particular risk.
The basic causes of urban environmental health
risks are weak legislative and regulatory frameworks,
inadequate institutional management and financial/fiscal systems, and lack of public awareness as well as to
the overall economic situation. There is a lack of environmental planning and management as well as awareness within industries. No economic incentives or
effective legal requirements for cleaner production and
improved environmental management are in place.
89
The urban poor are particularly vulnerable as they
are least able to move to cleaner and safer areas. In
Serbia the urban workforce is largely employed by
polluting industries, with no alternative employment
available, low wages and declining social services.
Urban poor, notably the Roma, make a living from
scavenging waste dumps without any training or protection on the handling of waste. Uncontrolled leakages from landfills and improper incineration pose
health hazards to nearby urban poor settlements.
Urban slums, mostly populated by refugees, Roma
and IDPs, face unhygienic conditions and the occupants lack the resources to purchase bottled water.
Public awareness ought to be promoted in the field of
human and environmental rights.
The Ecological State – The Special Case of
Montenegro
With the two UNESCO World Heritage sites, a RAMSAR protected wetland area and four national parks
as well as a variety of natural attractions, many of
which have not yet been developed, Montenegro has
the necessary pre-conditions for capitalising on its
natural resources for sustainable development. In
preparation for the 1992 Earth Summit held in Rio de
Janeiro, in 1991 the Parliament declared that
Montenegro would become the first “ecological
state.” A year later, this statement was enshrined in
the Constitution. While this was a progressive step to
take, little was done to make it a reality.
Two important measures were taken with the adoption of the Environment Law in 1996 and the
Regulation on Environmental Impact Assessment in
1997. The law introduced environmental management but was never implemented due to the weak
capacity of the Ministry. The law provides main principles and identifies needs that include: the polluter
will be held accountable and pay for damages, the
need for environmental impact assessment, the need
for data transparency and others. Some improvements were achieved in environmental monitoring
and efforts were made to improve the public’s access
to information in this regard.
It should be pointed out that the 1997 Regulation on
Environmental Impact Assessment provides for the
right of the general public to be consulted in the
decision-making process. In addition, the law on
environment mentioned above states in Article 42
that “non-governmental ecological organizations
and associations represent the organized public participation in decision making for environment,”
however, it does not indicate how this can be accomplished.
90
There are a number of environmental concerns in
Montenegro. In addition to the lack of political will
to make significant changes, there is a lack of capacity, a lack of legal solutions and a lack of adequate
resources to address the problems. Although
Montenegro is not heavily industrialized, nevertheless, the low level of industrial technology and the
lack of proper maintenance of most of the industrial
plants have caused serious environmental concerns.
The most critical example of industrial pollution in
Montenegro is the huge aluminium production plant
KAP constructed by the French in the 1970s, but
based on 60s technology and never updated. The
plant is economically important for the generation of
exports and hard currency, but gives rise to major
environmental concerns not least because of its location close to the capital Podgorica. The steelwork
Boris Kidric in Niksic is another large, heavy industry with significant environment impact. This factory operates practically without any filters or scrubbers and consequently emits a range of heavy metals,
noxious gases and particulate matter. It should be
pointed out that common for almost all industries in
Montenegro is the lack of proper treatment of wastewater, which is discharged either directly into the
rivers or the sea via municipal sewage systems that
have no proper or effectively operating treatment.
Municipal waste collected in all 21 municipalities is
disposed of at uncontrolled disposal sites without any
separation or treatment. There are about 20 registered
landfills for municipal solid waste. None of these is
properly constructed or operated, nor do any of the
disposal sites meet sanitary standards. Unregulated
development of the towns along the coastline is contributing to a number of environmental problems.
Urbanization and infrastructure construction are the
main threats to coastal and marine ecosystems.
Development of tourist facilities and housing are not
accompanied by adequate protection measures, such
as wastewater management. Although no accurate
figures are available, estimates are that 30,000 housing units have been built illegally in the coastal zone
over the last ten years. Even though percentage of
population with pipe water is high, the coastal area
experiences regular water shortage.
Energy use intensity is estimated as very high in
Montenegro, mainly due to low energy efficiency and
subsidised prices for some energy sources. Energy
efficiency among non-industrial consumers is also
very low, as there is generally a lack of incentives and
lack of market for energy efficient appliances and
technologies. In short, the level of energy consumption is disproportionate to the size of the economy and
income levels. Montenegro’s current energy producing capacity is insufficient to meet its needs, due in
Common Country Assessment For Serbia & Montenegro
part to the enormous energy requirements of two antiquated metal processing facilities.117 It currently
spends approximately 48 million USD a year importing 1,500 GW of power, which represents almost one
third of its energy needs. Although natural preconditions exist, renewable energy sources are used to a
very limited extent, and by European standard the use
of solar energy is very low. Neither law nor tax incentives exist to encourage more use of solar energy
CHALLENGES
Overall, there is a need for improvement of basic
monitoring and enforcement capacities whose
development has been restricted by low public sector
environmental expenditures. Limited monitoring and
reporting of environmental quality represent serious
obstacles to the development of comprehensive environmental plans and strategies and will hamper
efforts to achieve and monitor the MDGs for environment. The formulation and adoption of a National
Environmental Action Plan in Serbia, foreseen for
2004, will require further strategic analysis and environmental information gathering systems and above
all implementation/enforcement capacities. In line
with requirements of a Stabilization and Association
Agreement in preparation for EU accession, Serbia
and Montenegro will need to ratify a number of key
international environmental agreements as well as
establish the proper management systems for their
implementation. Harmonization with EU environmental legislation will also necessitate higher expenditures.
Inter-ministerial coordination mechanisms for sustainable development need to be strengthened and
environmental principles adequately integrated in the
socio-economic development programmes and plans
of Serbia and Montenegro. Civil society participation
in environmental planning and management
should be stronger. Crosscutting environmental issues
are not adequately addressed by the two republican
governments and the lack of coordination mechanisms is evident. The current devolution from federal
to republican level is an additional, if temporary,
problem underlining the need for further capacity
building to institutions with a range of new responsibilities. In general, the 100 NGOs operating in the
environmental protection field are still insufficiently
involved in decision-making processes, while direct
private sector involvement in environmental protection is limited as is the promotion of environmental
protection in the business community through eco-
nomic incentives. In terms of the education agenda
there seems to be little inclusion of topics such as
public health and environmental issues, apart from in
key subjects such as biology118. Weak monitoring and
reporting regimes hinder proper analysis of problems
and pose limits to good environmental governance.
Also, the enforcement of environmental impact
assessments is weak.
There is no integrated permit system for the use of
natural resources, and exploitation-pricing policies
are inadequate. Charges for municipal services are so
low that quality is poor and infrastructure deteriorating fast. Public sector expenditure on environmental
institutions appears to be less than one percent of
GDP; this places Serbia & Montenegro significantly
below most transition countries where annual environmental expenditures average about 2per cent of
GDP. The current expenditure level is not sufficient to
cover the basic monitoring and enforcement functions
of the competent authorities.
Pressure on forests and sensitive ecosystems could
become critical if unsustainable agricultural and natural resource management practices continue.
Therefore the development of sound strategies for
sustainable agriculture and natural resource management is a must. That would relieve pressures on
forests and sensitive ecosystems which result from:
(i) unsustainable foresting, hunting/poaching, fishing
and use of improper application of pesticides and herbicides which poison wild life; (ii) land degradation
by mining notably open-cast lignite and copper ore
mines; (iii) expansion of agricultural lands to marginal lands, drainage of swamps and marshes; (iv) water,
soil and air pollution; (v) urbanization, expansion of
urban areas and tourism development in zones of particularly vulnerable ecosystems; (vi) fires, floods,
accidental spills and discharges of harmful substances
by industry or during transportation.
In the forestry sector depleted stocks and lack of
investment pose substantial structural problems.
Without needed investments and structural reforms,
forestry in Serbia will not give its potential economic, environmental and social benefits to society.
Improving the management of forests, grazing and
agricultural lands, and irrigation water will result in
increased productivity and farm incomes, and yield
environmental benefits in terms of reduced pressures
on natural resources. Improvement of utilization and
maintenance of irrigation, drainage and flood control
system is also a future challenge. There is concern
that continued inappropriate utilization and mainte-
117 Kombinat Aluminium Podgorica, (KAP) and Niksic Steel Plant consume over half of Montenegro’s current energy requirements
118 “Education for Agriculture, Rural Development and Food Security In Serbia”, Report submitted to FAO Rome, September 2002.
Environment
91
nance of irrigation, and drainage and flood control
systems, will increase flood risks, agricultural land
degradation (approx. 80 per cent of agricultural land
is endangered by erosion), desertification, water
depletion and pollution, and have adverse long-term
impacts on wetland preservation.
The current finding of higher poverty levels in rural
areas of south-eastern and western Serbia119 coincide
with the fact that these areas are highly dependent on
the quality of natural resources. Land degradation as a
result of overgrazing and deforestation is likely to be a
significant cause of increased poverty in such regions.
Economic incentives need to be developed urgently
to change attitudes to environmental conservation.
Currently, there is an extremely low level of fines for
environmentally unfriendly activities, and abuse of
utility services. The charges for natural resources do
not reflect the economic costs of extracting and sustainably managing them. Power plants, mines, metallurgical and chemical industries that are expected to
remain the main polluters in the foreseeable future
should be particularly encouraged to switch to cleaner technologies, introduce/rehabilitate
treatment
facilities and/or introduce good housekeeping practices in order to improve quality of environment,
especially in urban areas. The privatisation process
started in 2001 offers a good opportunity to introduce
adequate environmental audits and protection measures as well as to regulate environmental liability
issues.
Old vehicles and low quality fuels can only gradually
be phased out in Serbia and Montenegro. In the medium term low-grade lignite fuelled power plants will
remain the main energy source in Serbia, and many
households in Serbia and Montenegro will remain
dependent on electricity for space heating.
Industrial, medical and domestic hazardous waste
will continue to pose problems due to accumulated
quantities improperly stored or handled, unless appropriate waste management strategies and implementation capacities are developed. Rehabilitation programmes for large industrial areas contaminated by
hazardous waste need to be established, and the
capacities of municipalities to deal with uncontrolled
landfills, illegal dumpsites and ever growing per capita waste production need to be strengthened.
Municipalities must revise tariff, tax and management
systems, as well as invest in public goods, in order to
provide good quality municipal services on a selffinancing basis.
Adequate water management strategies should be
developed in order to improve water quality, decrease
the risk from industrial, urban and agriculture pressures, and to prevent degradation of wetland area biodiversity. Also, Integrated Coastal Zone Management
needs to be developed in order to preserve biodiversity in coastal area.
Investments in public water supply infrastructure
and wastewater treatment facilities, and improvements in self-financing and management of water
utilities (already under gradually implementation),
would improve public drinking water quality and sanitary conditions, and improve access to basic sanitary
services for slum dwellers.
RESPONSES
Reforms in the environmental sector in Serbia
started along with democratic changes in October
2000. The new Government of Serbia, by adopting 6
national environmental priorities120, expressed its
political will to lead Serbia towards environmentally
sustainable development, while Montenegro confirmed its commitment to the right to a healthy environment by adopting the “Developmental Directions
of Montenegro, the Ecological State”121 with longterm strategic directions for environmental, economic
and social aspects.
In September 2002, the Montenegrin Government relaunched the Sustainable/Ecological State Strategy at
the World Summit for Sustainable Development in
Johannesburg. These are positive developments that
are being followed up and the Government has been
taking steps to strengthen its cooperation with the UN
system to face the many challenges aforementioned.
There is a clear political interest in developing sound
and efficient environmental management systems
in Serbia & Montenegro, which is party to over 50
international environmental agreements. In May
2002, Serbia established the new Ministry for
Protection of Natural Resources and Environment,
119 PRSP for Serbia (Draft)
120 National Environmental Priorities of Serbia: Institutional building and legal system development and enforcement; Monitoring
upgrade and accidental response environmental system management; Environmental hot spots remediation and technology development;
Waste, hazardous waste & wastewater management; Protected areas, biodiversity, nature and environmental protection; Environmental
Education.
121 In 1991, the Parliament declared Montenegro an “Ecological State: A year later this statement was enshrined in the constitution.
92
Common Country Assessment For Serbia & Montenegro
with wide responsibilities122 related to the protection
and sustainable use of natural resources (air, water,
soil, minerals, forests, fish and wild flora and fauna).
Also, moving the Directorate for Forestry, with all its
responsibilities123, from the Ministry of Agriculture,
Forestry and Water Management to the Ministry for
Protection of Natural Resources and Environment,
illustrated Serbia’s commitment to sustainable use of
natural resources. The Ministry of Agriculture and
Water Management of Serbia retained responsibility
for agricultural land and water management.
In Montenegro, the Ministry for Environmental
Protection and Physical Planning is the main competent authority for the environment. It is responsible
for the implementation of the Law on Environment
and its subsidiary regulations; this includes environmental protection, air, noise and vibration, nature
conservation and parks, inspection and enforcement,
and international cooperation. The Ministry of
Agriculture, Forestry and Water Management is
responsible for soil, forests and water. The Ministry
of Health has responsibilities for the environmental
aspects of public health.
In regard to inter-sectoral and inter-ministerial
cooperation in environment, Montenegro established the National Council for Sustainable
Development, which includes representation at the
highest levels of all key ministries, specialized institutes, academia, business entities and the NGO sector.
In July 2002, the Serbian Ministry for Protection of
Natural Resources and Environment and the
Montenegrin Ministry of Environmental Protection
and Physical Planning agreed to cooperate on environmental protection and to establish a coordinating
body to carry out environmental activities which
require a state union response in terms of
International commitments but for which the execution, monitoring and enforcement rest within institutions at the Republic level.
A draft new environmental law for Serbia complying
with EU regulations is awaiting approval since June
2002. The Ministry for Protection of Natural
Resources and Environment has produced a ”Report
on the State of the Environment in 2000 and Priorities
in 2001+ for Serbia” listing a set of priorities.
Furthermore, plans to develop a National
Environment Action Plan are being discussed, and
several Local Environmental Action Plans have
already been developed. As from November 2002,
Montenegro publishes the annual Environmental
Status Report.
More recent assistance by donors has focused on
capacity building in the form of support towards harmonizing the legislative framework with EU legislation, support to the Serbian Ministry for Protection of
Natural Resources and Environment in the preparations for establishing an Environmental Protection
Agency – this process will commence in Montenegro
in June 2003 -, and support to formulation of LEAPs
in selected municipalities. Support to environmental
monitoring management systems has been also provided by the donor community, as well as support to
water supply infrastructure for a number of municipalities. There is a need to develop education programmes and curricula in the field of environment/agriculture.
While the country is not a signatory to the Aarhus
Convention on access to information, public participation in decision-making and access to justice in
environmental matters, the Serbian Ministry for
Environment is developing environmental legislation
through a project that focuses on EU directives124,
including linkages to the Aarhus convention. In
Montenegro, the Regulation on Impact Assessments
adopted in 1997 defines the right of the general public to be consulted in the decision-making process,
and non-government representation is included in the
National Council for Sustainable Development.
The UN Convention on Biological Diversity was ratified in May 2002, and development of a national
strategy and action plan for implementation of
Convention is being prepared. In its Spatial Plan
Serbia also aims to increase the percentage of protected natural area from 5per cent to 10per cent of the
territory by the year 2010, while Spatial Plan of
Montenegro envisages expansion from 7per cent to
approximately 12per cent.
The Sava Basin Initiative figures under the
Stabilization and Association process with the EU
which was launched by the Regional Environmental
Reconstruction Program (REReP) aiming to address
environmental problems that threaten the present
and future well-being of the citizens of south-eastern
122 Article 20 of the Law on Ministries of the Republic of Serbia.
123 Responsibilities related to policy of forestry, development and use of forests and the wild animals, implementation of measures for
the protection of forestry and the wild animals, control of seeds and the plants in forestry, and others stipulated by the Law on Ministries
of the Republic of Serbia.
124 Financed by the support of the Republic of Finland, “EU Directives in Focus - Development of Environmental Legislation in the
Federal Republic of Yugoslavia, 2002”.
Environment
93
a Memorandum of Understanding with the Serbian
Agency for Privatisation.
Europe. An important goal of the REReP is to
improve environmental management in the region,
thereby also reinforcing the role of local government
and civil society in decision making. The
Convention on Cooperation for the Protection and
Sustainable Use of the Danube River was ratified
by Serbia and Montenegro, as the then-FRY, on 23
January 2003.
Another area of immediate assistance by donors after
October 2000 has been support to the Ministry of
Mining and Energy in rehabilitating the energy sector and the introduction of higher electricity prices in
order to improve the sector’s efficiency.
So far, the main focus of past international assistance
has been on the clean up of the worst environmental
impacts of the 1999 bombing in Pancevo,
Kragujevac, Novi Sad and Bor. The bombing’s environmental consequences were assessed by international community, and a portfolio of priority clean-up
projects was developed and is currently being implemented with international support. UNEP is actively
involved in the clean up works of the above four
hotspots through the “Clean Up of Environmental
Hotspots” programme implemented in partnership
with UNOPS. It focuses on the protection of groundwater and drinking water resources, preventing pollution to reach rivers, reducing health risks to factory
workers and preventing immediate risk from storage
of hazardous wastes.
Millennium Development Goals and the
Environment
Ensuring environmental sustainability is one of the
eight UN Millennium Development Goals (MDG)
that were adopted at the Millennium Summit in
September 2000. The seventh MDG aims to “integrate the principles of sustainable development into
country policies and programs and reverse the loss of
environmental resources; halve, by 2015, the proportion of people without sustainable access to safe
drinking water; and significantly improve the lives of
at least 100 million slum dwellers by 2020.”
Indicators related to this target include forest coverage, biodiversity protection, per capita energy use,
CO2 emissions, access to water, access to sanitation
and security of tenure (Box A1). The fourth MDG,
which aims to reduce the under-5 mortality rate and
the infant mortality rate, is also related to the environment given the strong relationship between child
health and availability of clean drinking water and
sanitation.
The privatisation process, which started in 2001,
offers a good opportunity to introduce adequate environmental audits and protection measures as well as
to regulate environmental liability issues. In regard
to that, Serbian Ministry for Environment has signed
Box A1: MDG 7: Ensure environmental sustainability
Targets
Indicators
Integrate the principles of sustainable development
into country policies and program and reverse the
loss of environmental resources
• Change in land area covered by forest
• Land area protected to maintain biological diversity
• GDP per unit of energy use
• Carbon dioxide emissions (per capita)
Halve, by 2015, the proportion of people without
sustainable access to safe drinking water
• Proportion of population with sustainable access to
an improved water source
Have achieved, by 2020, a significant improvement
in the lives of at least 100 million slum dwellers
• Proportion of population with access to improved
sanitation
• Proportion of population with access to secure
tenure [Urban/rural disaggregation of several of
the above indicators may be relevant for monitoring improvement in the lives of slum dwellers]
Source: http://www.worldbank.org/data/mdg/About_the_goals.htm
94
Common Country Assessment For Serbia & Montenegro
Table A1: Concentration of air pollution in Serbian cites
3
Station
SO2
Beograd
Novi Sad
Nis
Subotica
Sabac
Zrenjanin
Kragujevac*
Krusevac
Uzice
Smederevo
Pancevo
Bor
Cacak
Lucani
Ivanjica
Kraljevo
Vranje
Kikinda
Leskovac
1
2
3
1
2
3
1
2
1
2
1
2
1
2
1
2
3
1
2
1
2
1
2
1
2
3
4
1
2
3
1
2
1
2
1
2
3
1
2
3
1
1
2
1
2
10
7
21
30
26
6
10
2
3
19
20
17
21
40
62
45
11
10
8
7
34
17
9
6
243
41
103
1
0,19
2
7
151
3
4
6
82
19
63
42
131
µg/m3)
Average annual concentration (µ
Soot**
NO2
PM
57
29
9
9
9
8
41
7
5
45
77
27
16
16
12
14
15
21
47
85
58
23
17
18
20
21
15
20
32
5
1
8
2
5
5
11
9
5
4
3
36
32
8
3
5
11
28
5
9
22
20
17
8
34
13
11
12
0
9
-
199
312
146
180
173
156
169
244
88
111
212
211
221
237
272
141
466
137
151
183
199
244
183
154
225
806
349
100
152
81
129
192
157
111
354
81
89
354
349
*Kragujevac: - average value of PM for 10 measured places
**Soot is mainly elementary carbon, transformed during incomplete combustion processes and additional chemicals to particulate
matter
- :: - not measured; ∅ : - no measurement above limits PM: - Particulate matter
Source: Directorate for Environmental Protection, “Report on the State of the Environment for 2000”, Ministry of Health and
Environmental Protection of the Republic of Serbia
Environment
95
While statistics indicate a very large part of the FRY
population had access to safe drinking water in 2000,
there are unsatisfactory trends in both quality and
coverage and service, especially to rural areas and
urban slums. Similarly, 99.6per cent of the FRY population is reported to live in a household with sanitation services of some kind, however the majority of
rural households have septic tanks, many of which
have been found to be improperly designed and situated. Urban slums, mainly populated by refugees,
Roma and IDPs, do not have access to safe sanitation
facilities. Problems in access to safe drinking water
and sanitation endanger threaten to reverse the positive trend in decreasing child mortality rates since
1990s. The deficiencies in service are mainly caused
by poor financing and management of public utilities,
which need to be reformed.
Figures A1 and A2 indicate the trend in FRY emissions from 1990 to 1999. Air pollution emissions, in
particular SO2 and NO2, declined slightly in the first
two years of the 1990s. In subsequent years they rose
again to surpass 1990 levels in 1998, but dropped
substantially in 1999. Most of the drop was in energy related emissions and was caused by NATO bombings, which interrupted electricity production. Data
on subsequent years are not available. As the tables
indicate, the main sources of SO2 and NO2 emissions
are energy generation plants (80-88per cent), and to a
much lesser extent, industry (3-14per cent) and general consumption (9per cent). Coal burning and
inefficient technology are the most important factors leading to high emissions from energy plants.
The role of industry appears to have increased relative
to general use in the 1990s for both pollutants.
Figure A1: SO2 Emissions by Category of Source
Source: FRY Hydro-Meteorological Institute
Figure A2: NOx Emissions by Category of Source
Environment – Concluding points:
In the fact of the Environmental degradation which
intensified during the 1990s, and the lack of investment in cleaner technology and environmental protection Serbia and Montenegro are having to put take
the environmental challenges seriously. The following are the immediate actions that Serbia and
Montenegro need to take:
• Serbia and Montenegro need to ratify a number
of key international environmental agreements
as well as establish proper management systems
for their implementation.
• Integrate environmental principles in socio-economic development programmes plans of Serbia
and Montenegro.
• Strengthen civil society participation in environmental planning
• Development and implement sound strategies for
sustainable agriculture and natural resource management. The forestry sector must be reformed
and investments made in Serbia’s forests, otherwise forestry in Serbia will not give its potential
economic, environmental and social benefits to
society.
• Economic incentives need to be developed to
change attitudes towards environmental conservation. Power plants, mines, and other polluting
industries should be encouraged to switch to
cleaner technologies, introduce/rehabilitate treatment facilities and introduce good housekeeping
practices that will improve environmental quality.
• Old vehicles must be gradually be phased out in
Serbia and Montenegro.
• Adequate water management strategies should be
developed in order to improve water quality,
decrease the risk from industrial, urban and agricultural pressures, and to prevent degradation of
wetland area biodiversity. Also, Integrated
Coastal Zone Management needs to be developed
in order to preserve biodiversity in coastal areas.
• Investments in public water supply infrastructure
and wastewater treatment facilities, and
improvements in self-financing and management
of water utilities (already under gradual implementation) are needed to improve drinking water
quality and sanitary conditions, and improve
access to basic sanitary services for slum
dwellers.
Source: FRY Hydro-Meteorological Institute
96
Common Country Assessment For Serbia & Montenegro
Environment
97
PROPOSED AREAS OF
COOPERATION
Proposed key areas of cooperation for the United
Nations system with the national authorities in
Serbia and Montenegro in the next five-year programme cycle have been identified and prioritised,
based on the findings of the CCA and national priorities contained within the PRSPs and the MDGs,
through an extensive and on-going dialogue between
the UN system and Governments, civil society,
donors, other international organisations and additional stakeholders.
Starting from their critical participation in the thematic groups which produced the analysis in each of
the CCA’s four chapter areas, stakeholders’ views
and that of the UN system converged over a 6month period extending from March to September
2003. Convening two stakeholder workshops, one
in each republic of Montenegro and Serbia, at an
early stage of the drafting process, enabled the wide
variety of stakeholders to have substantial input into
the analysis and mould the debates from an
informed national, in addition to, the international
perspective.
The CCA was undertaken concurrently as the two
PRSPs for Serbia and for Montenegro were being
written. The coincidental timing facilitated a timely
cross-fertilisation of views and, whilst not replicating
either of the PRSPs, ensured the CCA was able to
draw upon the research and data presented. Due to the
upheaval in SCG in the 1990s and the dearth of quality and exhaustive work in these areas, this process
was of particular consequence and importance to the
shaping of the CCA.
In the extended process of drafting the CCA and
reaching consensus on the text, analysis and data, the
UN Country Team met regularly at heads of agency
level to review progress made by the thematic working groups. Such regular exchanges of views led to
the heads of agency themselves endorsing the stakeholder consensus that the key areas of intervention in
the next programme cycle for the UN system would
revolve around:
• Supporting the implementation of the PRSP
through promoting pro-poor policies;
98
• Capacity building for institutional reform;
• Promoting social inclusion for excluded groups;
• Promoting the rule of law and access to justice;
• Addressing regional disparities and promoting
community empowerment and local development.
Important factors considered when prioritising the
proposed key areas of cooperation were the various
comparative advantages held by the UN system agencies in the developmental sphere to develop and
strengthen national capacity. To this effect, the work
on the CCA was guided by the Millennium
Declaration, which is of utmost relevance to the SCG
context and the Millennium Development Goals.
From the analysis in section two of this CCA, the UN
system, government representatives and the stakeholders in SCG have selected the following priority
areas. These priority areas represent the framework
for coordinated development activities in SCG where
the different UN agencies will combine to contribute
their expertise in the provision of policy advice, technical cooperation and service delivery.
Priority Area 1: Institutional Reform/ Public
Administration Reform
In the last 3 years, the UN system has striven to promote an enabling environment for the creation of professional public institutions capable of servicing people and based on principles of democratic governance,
participation, equality and sustainability. Strategies
for public administration and institutional reform
should be supported while ensuring equitable access
of vulnerable groups to basic public and communitybased services and capitalizing on private/public partnerships. Inclusive policy processes should be particularly highlighted in strengthening national capacities
and policies in the health, education, employment and
social welfare institutions.
Reducing poverty and achieving the Millennium
Development Goals will depend on a highly professional civil service and on a set of effective institutions capable of responding to people’s needs, including the most vulnerable.
Support to data collection and data analysis through
improved quality of information systems, planning
and management is vital. The UN Economic
Commission for Europe conducted a global assessment of the statistical system of the FRY in
November 2001-March 2002, under a joint mandate
with EUROSTAT. The assessment highlighted the
many deficiencies and incongruencies in official statistics at Federal and both republics levels, as well
improvements that were then underway. This study,
and subsequent changes such as those brought about
Common Country Assessment For Serbia & Montenegro
by the constitutional restructuring under the new state
union of SCG, provide an important backdrop to the
efforts that must now be made to indigenize the
MDGs and adopt nationally-relevant targets and indicators for each MDG goal, and to develop modernized statistical capabilities that can support realistic
planning, monitoring and reporting, and enable properly-targeted institutional strategies.
about environmental degradation issues and to mitigate the negative effects of environmental hazards,
especially affecting the poor and other vulnerable
groups, including by mainstreaming environmental
issues within the education system.
Within this framework, the UN system should support
the governments of Serbia and Montenegro in the
implementation of their respective strategies and continue to improve the capacity of institutions to carry
out reforms in a coordinated manner and through promotion of human rights.
Effective public expenditure reforms depend on difficult strategic choices. There is a need to be realistic in
selecting the goals of reform. Both Republic governments have inherited distorted fiscal systems and
ineffective budget management practices. Both need
to pursue interrelated goals of sustainability, allocative efficiency, and accountability of public expenditure systems, as institutional and public administration reform, judicial reform and sustainable local
development are pursued.125
Priority Area 2: Judicial Reform & The Rule of Law
Judicial reform is essential for fulfilling human rights,
reducing poverty and promoting economic development. To promote and uphold human rights, the UN
system should collaborate in SCG to create the conditions for promoting a justice system for all, based on
an accessible, independent and efficient judiciary, a
functioning ombudsman system and alternative dispute resolution mechanisms. Special attention should
be paid to strengthening capacities to prevent and
respond to all incidents of gender-based and child-targeted violence. This includes a functioning governmental and non-governmental system for prevention
of and responses to domestic violence.
The empowerment and engagement of civil society
was deemed crucial for influencing and improving the
governance process both in the reform of institutions
as well as the Justice system.
Priority Area 3: Sustainable Local Development
Stemming from the startling regional disparities that
exist in SCG, and recognising the needs for promoting sustainable growth and more equal distribution of
income and investment, the UN system is in a
favourable position to promote partnerships based on
social responsibility and sustainable local development. These will be established between central,
local, private and public entities to promote sustainable local development and healthy livelihoods with a
special emphasis on community empowerment, targeting of disadvantaged areas, effective environmental management systems and the mobilization of
domestic resources as the engine for growth.
Once again the role of public institutions and that of
civil society is highlighted as key to raise awareness
Fiscal and economic parameters to future priority areas of cooperation
Bold measures are needed to rationalize public
spending in order to raise its allocative efficiency.
Up to now, the allocation of public funds in both
Serbia and Montenegro has been both inflexible and
inefficient, due to a large non-discretionary component, which comprised public sector wages and
interest on debt. Social entitlements - the largest
component of consolidated government spending –
has also been rigid.
All public sector policy decisions should be made
with reference to their medium-term fiscal implications. Budget formulation needs to acquire a strategic dimension. Both Governments are reforming
budget formulation, but they are still at an early
stage. Significant challenges remain in establishing a
framework of policies and priorities to guide the
allocation of public resources, in determining
revised standards and norms for public service delivery, in developing capacities for monitoring budgetary performance, and in specifying planned outputs
and outcomes of the budgetary expenditure. Up to
now, the Republics’ budgets have not been comprehensive and decisions have been made without a
clear picture of the overall public finance position,
leading to sub-optimal budget outcomes. Related to
both comprehensiveness and the absence of a multiyear perspective is the fact that policy is not integrated with the budget. In several sectors policy
commitments exceed the resources available as laws
that set policies and norms do not reflect the availability of resources. Unless this is addressed, the
conditions for effective institutional reform and
progress towards the Millennium Development
Goals will not be achieved.
125 For further information on this analysis see the World Bank “Public Expenditure and Institutional Review”, 2003
Proposed Areas of Cooperation
99
Further improvements are most pressing in two areas
of public expenditure reform: institutional arrangements and the stewardship of resources. The key institutions for budget execution that determine whether
the Government's budget and policy are implemented
and fiscal targets are met are under construction, but
will require time to mature. These key institutions are
a well-developed Treasury, including cash management and commitment control functions to assure that
targets are met and policies are implemented, and a
robust, systematic audit of public accounts to assure
accountability. Such institutional reforms and fiscal
discipline are essential for the sustainability of the
social and economic recovery process, and a necessary foundation for the sustainability of future UN
system cooperation in the priority areas of institutional and public administration reform, judicial reform
and the rule of law, and sustainable local development. Only in this way can the full spectrum of the
Millennium Development Goals be achieved, and the
social inclusion dimensions of eventual integration
into the EU be accomplished.
takes full advantage of its proximity to and aspirations for accession to the European Union. This will
require substantial enabling changes in the policy,
institutional and investment environment – a
process that is already underway, but continues to
need sustained support from the international community.
Epilogue
In Serbia, economic progress since the 2000 elections
has been extensive, with major liberalization of
prices, foreign trade, and foreign exchange; tax
reform; improved privatization and bank restructuring regimes; enhanced transparency in the budget
process; and reductions in the gray economy and
smuggling. In Montenegro, with technical and financial assistance from donors, economic reforms went
further in some areas, while in others implementation
has been less rapid. Both governments view sustainable and accountable public finances as the keystone
for broader market-oriented reforms, strong growth
and poverty alleviation outcomes, and successful reintegration into the European and global economic
structures. They are also needed for meaningful public administration reform and sustainable capacity
building. Effective governance, judicial reform and
rule of law will also be essential for macro-economic
and fiscal stability, and to enable sustainable local
development. These are the priority areas that UN
system agencies in SCG will collaborate on.
Serbia and Montenegro stand ready to pursue a path
towards a knowledge-based economy126, but the benefits that may accrue must be broadly spread if development is to be equitable and if access is to be guaranteed for all. The challenge to SCG is to capitalize
on its rapid but incomplete economic reforms and
highly-developed human resource base, and leap-frog
its use of ICT in a liberalizing market economy that
126 See Towards a Knowledge-Based Economy – Country Readiness Assessment Report, UNECE, 2002.
100
Common Country Assessment For Serbia & Montenegro
4.
ANNEXES
EXPLANATORY NOTES TO INDICATORS
FRAMEWORK
• Selected indicators framework attempts to follow
the CCA Guidelines for the Millennium Declaration
and Conference Indicators. In those cases when
such data were not available, other appropriate indicators were selected and available data presented.
• The source for all contextual indicators
(Demographic and Economy Indicators) and the
majority of MDG indicators is based on data and
documents provided by the Federal Statistical
Office and Statistical Office of the Republic of
Serbia.
• All other sources used when official statistics
could not provide data are noted in the footnotes
below the relevant table.
• The UNDP National Officer from Podgorica Office
added some data for Montenegro, and sources are
quoted below the table.
• Selected years for data are 1990, 1995, 2000, 2001
and 2002, representing significant years of the situation development in Serbia and Montenegro.
• 1990 – A year prior to ex Yugoslavia break-up
and the crisis.
• 1995 – The middle year of the crisis period, prior
to Dayton peace agreement and removal of the
sanctions.
• 2000 – The year representing inherited situation
after the Kosovo crisis, bombing campaign and a
year when the old regime was changed.
• 2001 – The year when the new government introduced the reform process.
• 2002 – Last year, and at the same time year of the
Census in Serbia. However, many of the Census
and other data are not processed and not available yet.
• Latest Census in Serbia was in 2002. Previous
Census was in 1991. New Census in Montenegro is
still pending.
• Due to the complex structure of the state union, data
is presented for Serbia and Montenegro jointly
(SCG) and than segregated for the republic of
Serbia (S) and the republic of Montenegro (CG) as
appropriate.
• It should be noted that further regional segregation
of data would be useful in the analysis of the specif-
Annexes
ic indicators, trends or groups. Those specificities
are elaborated in the narrative section of the CCA.
• There is no processed segregated data for ethnic
groups (Roma).
• GDP figures for 2001 and 2002 are only estimates,
as well as other data calculated in relation to GDP.
• Presented data on gray (informal) economy reflects
information from the available ad hoc surveys and
estimates.
• National Statistics monitored poverty in 1995 and
2000 based on the “Household Consumption
Survey”. In 2002 for the purpose of preparation
PRSP separate surveys were done in Serbia and in
Montenegro. Presented data reflects the results of
those surveys, but different indicators do not allow
comparisons.
• Poverty surveys in 2002 did not include especially
vulnerable groups (Roma, refugees, IDPs).
101
102
ANNEX 1 INDICATORS
Contextual Indicators
1. Demographics (Annex 1)
1990
SCG
S
8,542
7,898
0.00
Birth rate
1995
SCG
S
SCG
S
644
8.432
7,797
635
8,342
7,688
-1.00
+9.00
-1.00
-3.00
+17.00
-9.00
11.69
11.45
14.56
11.35
11.06
14.95
Death rate
10.47
10.83
6.11
11.72
12.05
Population 0-19 (%)
26.62
26.15
32.39
25.26
Population over 65 (%)
11.15
11.35
8.75
Total fertility rate
1.727
1.725
Life expectancy at birth
72.30
Male
Female
Population size in 000 (ex. Kosovo)*
Population growth rate
Common Country Assessment For Serbia & Montenegro
Number of refugees in 000***
Number of IDPs in 000***
CG
2000
S
CG
SCG
654
8,326
7,668
658
8,304 7,498**
-11.00
+14.00
-5.00
-7.00
+15.00
-7.00
-8.00
+10.30
9.94
9.59
14.04
10.48
10.23
13.43
10.73
10.50
13.28
7.76
13.12
13.53
8.27
12.54
12.91
8.25
13.31
13.72
8.54
24.73
31.75
23.68
23.18
29.59
23.39
22.90
29.17
22.30**
13.88
14.20
9.99
15.77
16.15
11.32
16.04
16.42
11.62
16.54**
1.785
1.692
1.870
1.952
1.472
1.436
1.851
1.550
1.529
1.790
72.12
75.57
71.89
71.75
74.11
71.56
71.40
73.66
72.15
72.06
73.91
69.54
69.36
72.38
69.93
69.83
71.42
69.42
69.30
71.05
70.08
70.01
71.37
75.08
74.93
78.21
74.79
74.58
78.43
73.71
73.50
76.27
74.21
74.21
76.45
325.1
296.8
28.3
500.7
477.5
23.2
483.8
469.4
14.4
389.0
375.5
13.5
-
-
234.9
204.0
30.9
228.5
196.3
32.2
231.1
201.7
29.4
-
-
CG
2002
SCG
99.6****
CG
2001
S
CG
660
* Population size is calculated based on the mid-year estimate, a common statistical methodology done each year. Data presented is from the Federal Statistical Office Publication
“Saopstenja”, no. 041, 3 March 2003
** Census 2002, Serbian Statistical Office
***UNHCR data.
****Significant inflow of refugees was registered from 1992, IDPs from 1999.
Note: 2002 missing demographic data is calculated from the vital statistics and has not been published yet
Annexes
2. Economy
1990
1995
2000
2001
2002
Macro-economy
SCG
S
CG
SCG
S
CG
SCG
S
CG
SCG (estimate)*
SCG (estimate)*
GDP per capita (US$)
2,696
2,764
1,859
1,449
1,483
1,030
1,035
1,042
1,268
1,092
1,136
-6.7
-6.1
-15.9
-52.0
-52.1
-49.8
2.6
-0.2
49.4
5.5
4.0
130%
119%
GDP growth rate (related to previous data)
External debt (US$) as GDP %
Ratio of foreign trade over GDP
57.6 %
Sanctions
62.9%
74.1%
Export of goods /services as GDP %
19.3%
Grey (informal) economy % of GDP
31.6**
40.8**
34***
26*****
40-50
****
* GDP figures for 2001 and 2002 are only estimates, as well as other data calculated in relation to GDP.
**”Analysis of the grey economy in FRY”, Economic Institute, 1997 (data for 1990 is actually for 1991)
*** “Serbia – standard of living monitoring”, Strategic Marketing and Media Research Institute (SMMRI), OCHA, Belgrade 1999
****”Income and Expenditures in Montenegro”, Economic Institute, OCHA, Podgorica, 2000
***** “Grey Economy in Serbia”, “Bulletin G17”, Number 36-37, January 2003
1990
Public Expenditures
SCG
1995
S
CG
SCG
2000
2001
S
CG
SCG
S
CG
SCG
S
CG
Social welfare budget as % of GDP
0.09
0.09
0.06
0.30
0.30
0.26
0.96
0.88
2.17
1.54
1.46
2.63
Social welfare budget
spending per capita in US$
2.40
2.45
1.61
4.33
4.37
3.82
9.96
9.15
22.43
16.52
15.75
28.34
Heath budget as % of GDP
5.5
5.6
3.1
7.4
7.8
0.5
4.0
4.1
2.1
7.3
7.6
2.5
147.42
151.54
84.11
107.02
113.43
6.95
41.12
42.37
21.94
78.28
81.61
27.37
4.0
3.9
4.4
4.6
4.5
5.7
3.2
2.7
11.1
5.7
5.2
13.5
106.94
106.25
117,56
66.32
65.31
82.12
33.11
27.76
115.14
61.77
56.34
145.08
Health budget spending per cap. US$
Education budget as % of GDP
Education budget spending per cap. US$
103
104
V.1 MDG Indicators Framework
Goal 1: Eradicate extreme poverty and hunger
Target: Halve, between 1990 and 2015, the proportion of people whose income is less than 1$ a day
1990*
SCG
Proportion of population below $1 per day
Poverty gap ratio
S
1995*
CG
SCG
2000*
S
CG
SCG
S
2002
CG
SCG
S**
CG
14.1
28.9
36.5
14.5
9.4***
1.0
4.1
3.1
3.5
1****
*”Poverty in Serbia and Reform of Governmental Support for the Poor”, Center for Liberal-Democratic Studies, 2001
Based on National Statistics “Household Consumption Survey (APD)”, 2000
**”Survey on the Living Standards of the Population”, SMMRI, June 2002 Results from this survey were used for the PRSP in Serbia.
*** In Montenegro the absolute poverty line is defined below 107 EUR per person per month (“Living Standards and Poverty in Montenegro 2002”, Institute of
Strategic Studies and Prognoses (ISSP) and World Bank
**** Household survey 7”, (WB and ISSP) June 2003
Common Country Assessment For Serbia & Montenegro
Poverty Indicators
Serbia*
Financially Vulnerable
(poverty line 5,507 YUD/89 US$)
Poor
(poverty line 4,489 YUD/72 US$)
Poverty Index
Poverty Gap
Poverty Severity
Poverty Index
Poverty Gap
Poverty Severity
Urban
16.0%
3.3%
1.1%
7.8%
1.5%
0.5%
Rural
25.1%
6.1%
2.3%
14.2%
3.2%
1.1%
Total
20.0%
4.6%
1.6%
10.6%
2.2%
0.8%
*”Survey on the Living Standards of the Population”, SMMRI, June 2002 Results from this survey were used for the PRSP in Serbia.
Annexes
Poverty Indicators
Total households
Montenegro*
Total income less than 50%
of median income
(58. 5 € per person/month)
17.4%
Total income less than 40%
of median income
(46.8 € per person/month)
10.0%
Food expenditures/total
expenditures ratio
–equal or grater than 75%
16.4%
*”Household Survey Report 6”, Institute for Strategic Studies, November 2002, used (among other sources) for the PRSP in Montenegro
Target: Halve, between 1990 and 2015, the proportion of people who suffer from hunger
1996*
2000**
SCG
S
CG
SCG
S
CG
• Weight for age – 2SD
0.6
0.6
0.7
1.9
1.9
2.1
• Weight for age – 3 SD
0.4
0.4
0.2
0.4
0.3
0.8
Percentage of children, aged under five,
with moderate or severe malnutrition, year 2000
Stunted children (moderate-severe)**
• National average SCG
5.1%
• Refugee and IDP children in collective centres
17.2%
* “Multiple Indicator Cluster Survey I, UNICEF, Belgrade, 1996
**“Multiple Indicator Cluster Survey II, UNICEF, Belgrade, 2000
105
106
Goal 2: Achieve universal primary education
Target: Ensure that, by 2015, children everywhere, boys and girls alike, will be able to complete a full course of primary schooling
1990
Net enrolment ratio in
primary education (age 7-14)
Proportion of pupils starting grade 1
who reach grade 5
Adult literacy
rate * (over age 10)
Population growth
rate (Annex 2)
* Census
2002)
1991
1995
2000
2001
2002
SCG
S
CG
SCG
S
CG
SCG
S
CG
SCG
S
CG
SCG
S
CG
95.36
95.32
95.71
98.05
98.19
96.78
99.22
99.38
99.70
98.31
98.53
96.28
99.9** 96.3****
93.9
94.2**
90.9
94.7
98.0**
94.2
96.0
96.8**
96.6
96.9** 96.4****
98.5** 96.8****
93*
94*
94.1***
0.00
-1.00
+9.00
96.55*
-1.00
-3.00
+17.00
-9.00
-11.00
+14.00
-5.00
-7.00
+15.00
-7.00
-8.00
+10.30
(data for SCG in 1991 includes Kosovo) and Census 2002 for Serbia ** Annual Bulletin “Saopstenja za osnovne skole”, Serbian Statistical Office (1990, 1995, 2000, 2001,
official statistics based on Census 1991 ****Annual Review, Ministry of Education and Science of Montenegro, 2001, 2002
***Montenegro
Common Country Assessment For Serbia & Montenegro
Goal 3: Promote gender equality and empower women
Target : Eliminate gender disparity in primary and secondary education preferably by 2005 and to all levels of education no later than 2015. Eliminate discriminatory practices
in employment. Equitable access to political institutions.
1990
SCG
Ratio of girls to boys
in primary education
Ratio of girls to boys
in secondary education
Ratio of girls to boys
in tertiary education
Share of women in wage employment
in the non-agricultural sector
Proportion of seats held by women
in national parliaments
S
1995
CG
SCG
S
2000
CG
2001
SCG
S
CG
93.4
SCG
S
2002
CG
SCG
S
CG
*****
94.1
94.2
92.9
94.9
94.9
94.2
94.5
95.2*
94.7
95.3*
93.4
97.45
100.1*
91.7
100.9
102.7*
98.5
101.8
108.9*
104.0
100.9
104.5*
103.7
102.5
95.1*
92.1
120.2
113.8*
109.2
112.8
116.3*
115.0
114.6
119.2*
40.1
40.2
38.8
42.1
42.3
39.0
43.8
43.9
42.8
44.2
44.4
96.6
125.7*
42.6
…
…
…
****
1.6**
4**
5.1***
5.6***
10.8 10.4****
*Annual Bulletin, Serbian statistical Office ** ”Human Development Report”, UNDP, 1995 *** Council of Europe data **** Latest elections held for republican parliaments ***** Annual
Review, Ministry of Education and Science of Montenegro, 2002
Annexes
Goal 4: Reduce child Mortality
Target: Reduce by two-thirds, between 1990 and 2015, the under-five Mortality rate
1990
SCG
1995
S
CG
SCG
2000
2001
S
CG
SCG
S
CG
SCG
2002
S
CG
SCG
S
CG
Under-five Mortality rate
18.3
18.3
18.3
15.5
15.7
13.8
12.7
12.7
12.5
12.2
11.8
15.7
10.9
10.9
11.2
Infant Mortality rate
Proportion of children vaccinated
against Measles, Mumps and
Rubella (MMR) according to
schedule (12 – 18 months)
16.4
16.4
16.6
13.7
13.8
12.1
10.7
10.6
11.1
10.6
10.2
14.6
9.6
9.5
10.4
84.8**
86.0*
90.8**
90.5*
83.0*
92.0**
87.0**
89.0***
* FRY Public Health Institute data used in “Ten Years of Child Rights in Yugoslavia” 1990-2000, A Review, UNICEF ** Statistical Year Book of the Institute of Public Health of Montenegro,
2001 *** Annual Report on Immunisation, Institute of Public Health of Montenegro, 2002
Goal 5: Improve Maternal Health
Target: Reduce by three-quarters, between 1990 and 2015, the Maternal Mortality ratio
1990
SCG
Maternal Mortality rate
Proportion of births attended
by skilled health personnel
1995
2000
2001
S
CG
SCG
S
CG
SCG
S
CG
SCG
S
12.2
11.05
21.32
11.49
12.46
0.00
8.44
9.49
0.00
10.31
98.31
98.31
98.27
98.71
98.70
98.82
98.79
98.75
99.11
98.90
2002
CG
SCG
S
CG
8.92
22.63
….
….
….
98.82
99.53
….
….
….
107
108
Goal 6: Combat HIV/AIDS, Tuberculosis and other diseases
Target: Have halted by 2015, and begun to reverse the spread of HIV/AIDS
Condom rate use among high risk groups (2002*/**
Serbia
Montenegro
Injecting drug users
17.0
25.0
Sex workers
60.3
34.5
Men having sex with men
41.5
30.6
15*
NA
Condom use growth rate 1997-2000
Condom use among married women and women with partners***
Age 15-19
22.6
Age 20-24
20.9
Age 25-49
17.0
Rural
14.0
Urban
20.6
Common Country Assessment For Serbia & Montenegro
Total number of registered AIDS cases
1,126****
33*****
HIV positive (WHO estimate in 2001)
10,000*
(Montenegro est.) 400**
30*
30**
Percentage of women of the total HIV positive cases*
* ”Rapid Assessment and Response on HIV/AIDS among Especially vulnerable Young People in Serbia”, UNICEF, November 2002
** ”Rapid Assessment and Response on HIV/AIDS among Especially vulnerable Young People in Montenegro”, UNICEF February 2002
*** Multiple Indicators Cluster Survey II, UNICEF, 2000
**** Draft of the Situation Analysis of the Republican AIDS Strategy, Republican AIDS Commission (Serbia), August 2003
*****Annual Report on Communicable Diseases, Institute of Public Health of Montenegro, 2002
Annexes
Target: Have halted by 2015, and begun to reverse, the incidence of tuberculosis*
1990
No. cases
Active TB cases (prevalence)
10,530
New TB cases (incidence)
4,149
1995
Rate
No. cases
Rate
9,054
39.6
4,169
Percentage of BCG vaccinated newborns***
Percentage of BCG vaccinated newborns in Montenegro****
2000
97.2
38.5
2001**
No. cases
Rate
7,534
70.9
4,139
38.9
97
98
98.0
92.0
No. cases
Rate
2,713
35.6
95.0
*FRY Statistical Year Book 2000, data presented for the whole country, not segregated by republics
**Data obtained from WHO, Belgrade
*** FRY Public Health Institute data used in “Ten Years of Child Rights in Yugoslavia” 1990-2000, A Review, UNICEF, 2001
**** Annual Reports on Immunisation, Institute for public Health of Montenegro
Goal 7: Ensure environmental sustainability
Target: Integrate the principles do sustainable development into country policies and programmes and reverse the loss of environmental resources
1991
Proportion of land area covered by forest
SCG
S
32.3
29.9
Land area protected to Maintain biological diversity (%)*
Energy Intensity (koe/GDP unit)**
CO2 emissions (ton/capita)**
1996
CG
49.9
1999
SCG
S
CG
SCG
28.5
25.5
50.1
28.6
3.0
5.0
0.56
0.84
3.6
3.4
2001
S
CG
25.6
50.1
SCG
S
CG
54***
4.7
0.78
* Report on State of Environment in 2000 and priorities in 2001+ for Serbia, Republic of Serbia/ Ministry of National Resources and Environmental Protection, June 2002
**“Breaking with the past”, Report No. 22267-YU, World Bank FRY, July 2001
*** PRSP draft, 23 July 2003 – they used UNICEF research from 2000 Multiple Indicator Cluster Survey II, FRY 2000
**** National Capacity Self Assessment in Serbia and Montenegro – proposal for GEF Funding
***** Use of commercial energy was 1.536 koe per capita with net imports of 37% - PRSP draft, 23 July 2003
7.14****
1.536*****
109
110
Target: Halve, by 2015, the proportion of people without sustainable access to safe drinking water
Target: Integrate the principles do sustainable development into country policies and programmes and reverse the loss of environmental resources
1991*
SCG
Proportion of the population using drinking
water piped into dwelling or yard **
CS
78.7
81
1996
V
91
2000
CG
SCG
CS
V
CG
SCG
76.3
76.7
78.6
92.0
85.9
86.6
CS
V
CG
83.9
92.9
91.1
Percentage of unsafe central water supply
systems with over 20% physical/chemical contamination***
45.1
45.7
38.8
43.8
43.0
50.0
Percentage of central water supply systems with over
5% microbiological contamination of drinking water***
30.7
29.9
38.8
43.2
41.7
55.5
84.0
88.3
Target: By 2020, to have achieved a significant improvement in the lives of at least 100 Million slum dwellers
Country Target: Reduce the number of homeless people
Proportion of population using toilet facility linked to a
sewage system or septic tank in the dwelling**
62.6
64.1
Proportion of households with adequate housing e.g. with at
least essential services: sanitation, safe drinking water, electricity
70
66.1
73.4
74.4
82.5
87.3
91.3
Comment: UNHCHR insists on inclusion of this indicator in future monitoring
Common Country Assessment For Serbia & Montenegro
* 1991 Census data.
** 1996 and 2000 “Multiple Indicators Cluster Survey” (I and II), UNICEF, 1996 and 2000. For Serbia data given for Central Serbia (CS) and Vojvodina (V) separately
***Health statistical Yearbook, FRY, Belgrade, 1997 and 2000
Goal 8: Develop a Global Partnership for development
Target: Address the special needs of the least developed countries (Official Development Assistance ODA)
SCG External Debt in US$ billion *
2001
2002
2003
2004
11.9
11.2
9.5
10.2
Proportion of SCG exports to developed countries**
2000
2001
2002
6.9%
6.2%
6.2%
2003
* The Economist Intelligence Unit estimate, “Country Report Serbia and Montenegro”, EIU, London, May 2003 ** World Bank data, Office in Belgrade
88.8
Annexes
2000
2001
2002
2003 (estimate) **
152.79
556.30
785.93
1000.98
International Assistance to Serbia*
Total disbursement
Humanitarian
116.16
(76%)
307.46
(55.3%)
92.94
(11.8%)
38.12
(3.8%)
Development
36.63
(24%)
248.84
(44.7%)
692.99
(82.2%)
962.86
(96.2%)
Grants
152.79
(100%)
525.59
(94.5%)
504.23
(64.2%)
353.34
(35.3%)
30.7
(5.5%)
281.70
(35.8%)
647.63
(64.7%)
Soft Loans
*All amounts in € millions (source: Serbian Ministry of International Economic Relations - DACU database), June 2003 ** Estimates from September 2003
Target: In co-operation with pharmaceutical companies, provide access to affordable, essential drugs in developing countries
Self sufficiency in basic prescription drug production*
90%
Self sufficiency in specific medicaments (insulin and cancer drugs)*
10%
Import of medical supplies, laboratory consumables and reagents*
40%
*”Assessment of the Pharmaceutical situation in FRY”, WHO, Belgrade, 1999
111
112
Target: In co-operation with the private sector, Make available the benefits of new technologies, especially IT
1991
1995
2000
2001
2002
Telephone lines per 100 people
28.5
29.1
30.1*
Serbia
24.1
26.5
Montenegro
35.7*
Mobile phone network (% population coverage )
Serbia and
Montenegro*
Number of mobile phone subscribers per 1000 people*
Serbia
311.76
Montenegro
538.46
% of households PC owners in 2003**
1997
40
1998
60
2000
90
Serbia
22%
Montenegro
20%
% of population Internet users*
Serbia and Montenegro
7%
No. of Internet users growth
rate (per year) from 1996-2002*
Serbia and Montenegro
150%
2001
94
2002
-
Common Country Assessment For Serbia & Montenegro
* “Towards a Knowledge Based Economy -Yugoslavia – Country Readiness Assessment Report”, UNECE, New York and Geneva 2002
** GFK Center for Marketing Research Survey, Belgrade, 2003
Goal: Creation of full employment
Target: Universal access to paid employment
1990
SCG
Employment to population
of working age ratio
Unemployment rate
1995
S
CG
SCG
44.5
44.9
39.3
17.1
16.7
22.9
2000
2001
S
CG
SCG
S
CG
41.2
31.9
33.7
41.9
42.6
33.4
23.4
22.9
30.1
26.5
25.6
37.4
SCG
S
CG
SCG
S
42.0
42.8
33.2
42.2
43.1
32.3
27.5
26.8
36.6
29.6
29.0
37.6
Informal sector employment
as % of total employment
% of women in total unemployment
2002
17*
59.7
60.0
56.8
57.7
57.6
58.9
57.1
56.9
58.6
56.5
56.2
CG
25%**
59.9
55.7
* “Challenges in Implementing the Reform Agenda: One Year After the Democratic Breakthrough”, UNDP FRY/Serbia, 2001
** Data calculated based on the survey “Informal Economy and unprotected labor in Montenegro”, Association of Independent Trade Union of Montenegro, February 2003
…
…
Annexes
Target: In co-operation with developing countries, develop and implement strategies for decent and productive work for youth
1990
Unemployment rate of 15-24 year olds
SCG
69.4
S
1995
CG
SCG
S
2000
CG
SCG
64.0
S
64.3
2001
CG
61.0
SCG
59.1
S
58.9
2002
CG
60.2
SCG
58.0
S
58.0
CG
59.0
113
ANNEX 1A
Population Age Pyramid – Serbia*
Serbia population breakdown by age*
1991
Age
M
F
95+
707
142
90-94
4204
7542
85-89
11092
19842
80-84
37317
63361
75-79
94552
152786
70-74
167178
220106
65-69
209580
250826
60-64
207676
236108
55-59
186571
202614
50-54
281306
290047
45-49
309769
311784
40-44
263071
268757
35-39
240552
245457
30-34
237553
238894
25-29
253636
250930
20-24
261232
251197
15-19
253353
242298
10-14
225451
214379
5-9
203059
191537
0-4
175748
166587
unknown
22323
26607
3,645,930
3,852,071
2002
Montenegro population breakdown by age
1991
Age
M
F
95+
385
589
90-94
755
1201
85-89
1434
3001
80-84
1941
3674
75-79
4887
7903
70-74
9348
12289
65-69
12119
14545
60-64
15039
17559
55-59
12789
14536
50-54
17343
18429
45-49
22338
21508
40-44
24147
22895
35-39
24900
23357
30-34
25563
23371
25-29
25797
24767
20-24
26837
25405
15-19
26967
25788
10-14
26098
24631
5-9
23661
21797
0-4
23110
21571
325,458
328,816
2000
Age pyramids reflect the aging trend of the population and shrinking birth rates both in Serbia and Montenegro.
* “Census 2002: Intensive Aging of the Population in Serbia”, Goran Penev, Center for Demographic Research – Social Science Institute,
Belgrade, 2003
** Calculated in the Federal Statistical Office based on vital registration – mid-year population estimate, unpublished
114
Common Country Assessment For Serbia & Montenegro
ANNEX 2
Thematic Indicators: Status of Ratification and Reporting Obligations under International Human Rights Instruments
Treaty
Signed
Ratified
Entry into
Force
Succession or
Accession
Last report
produced
Next report due
1. International
Covenant on Economic,
Social and Cultural
Rights (ICESCR)
8/08/67
2/06/71
3/01/76
Succession:
12/03/01
Entry in Force:
27/04/92
2nd report: 19/11/98
E/1990/6/Add.22
June 2002
2. International
Covenant on Civil and
Political Rights
(ICCPR)
8/08/67
2/06/71
23/03/76
Succession:
12/03/01
Entry in Force:
27/04/92
4th report: 5/03/1999
CCPR/C/YUG/99/4
December 2001
ICCPR-Optional
Protocol 1
(Individual Complaint)
14/03/90
Receipt of
Inst.: 6/09/01
6/12/2001
Receipt of
Inst.: 6/09/01
ICCPR-Optional
Protocol 2
3. Convention on
Elimination of Racial
Discrimination (CERD)
Accession
Entry in Force:
3/09/2001
No reporting required
15/04/66
2/10/67
4/01/69
Succession:
12/03/01
Entry in Force:
27/04/92
11-14th reports:
24/07/1997
CERD/C/299/Add.17
15th & 16th:
1998, 2000
17/07/80
26/02/82
28/03/82
Succession:
12/03/01
3rd report: 14/10/98
CEDAW/C/YUG/3
(4th & 5th:
1995, 1999)
New Deadline:
April 2002
Succession:
12/03/01
Entry in Force:
27/04/92
1st report: 20.01.98
CAT/C/16/Add.7
2nd & 3rd:
1999, 2000
Succession
1st report: 21.09.94
CRC/C/8/Add.16
(2nd & 3rd:
1998, 2002)
New Deadline:
March 2003
Individual Complaints: State
declaration under art. 14 accepting competence of the
Committee: Entry into force:
27/06/2001
4. Convention on the
Elimination of all
Forms of
Discrimination against
Women (CEDAW)
No reporting required
16/12/02
CEDAW-Optional
Protocol
(Individual Complaint)
18/04/89
9/10/91
6. Convention on the
Rights of the Child
(CRC)
26/01/90
3/01/91
CRC-Optional Protocol
Children in Armed
Conflict
October
2001
CRC-Optional Protocol
Sale of Children
October
2001
5. Convention against
Torture (CAT)
Individual Complaints: State
declaration lodged under art. 22
recognizing competence of the
Committee received:
12/03/2001; Entry into force:
27/04/1992
Annexes
2/02/91
10/10/02
115
116
Conference/Country Goal: Universal ratification of international human rights instruments
Target: Acceding to all international human rights instruments and avoiding resort to reservations, as far as possible
2002
Serbia & Montenegro
Serbia
Status of ratification of, reservations to, and reporting obligations under, international human rights instruments including
new European standards (CCA)
See the attached Chart (Annex
3). As at June 2003 reports
under ICCPR and ICESCR are
at last stage of approval before
presentation to the UN Treaty
Bodies
N/A
N/A
Status of follow up to concluding observations of United
Nations human rights treaty bodies (CCA)
CAT: Compliance with confidential inquiry procedure
required and partial compliance
with decisions on individual
cases at June 2003
N/A
N/A
Montenegro
Comment
Montenegro
Comment
Target: Implementation of international human rights standards
2002
Serbia & Montenegro
Serbia
Common Country Assessment For Serbia & Montenegro
Existence of a National mechanism to check compatibility of
national legislation and practice with international standards
Non-existent
Non-existent
Non-existent
Existence of a National mechanism to monitor how the country
abides by international HR commitments
Non-existent
Non-existent
Non-existent
Existence of credible independent ombuds-institution (s)
N/A
As at June 2003, draft Law on
establishing the “People’s
Advocate” is awaiting adoption
by Parliament
Law on “Protector of Human
Rights and Freedoms” adopted
by Parliament July 2003
Operation in dealing with complaints received by ombuds-institution (s)
N/A
Indicator to be added upon creation of institution
Indicator to be added upon creation of institution
Existence of a National Human Rights Action Plan
per cent of compliance with ITCY requests and orders
Non-existent
Non-existent
Non-existent
Annexes
Country Goal: Restore Separation of Powers between the executive, the legislative and the judicial authorities
Target: Effective mechanism of balance, checks and controls between powers and effective coordination within criminal justice system
2002
Serbia & Montenegro
Serbia
Montenegro
Provisions into the State Constitutions establishing a distinction
between judicial, executive and legislative powers
Yes. State Union Constitution
adopted in February 2003
Serbian Constitution being
drafted
Montenegrin Constitution being
drafted
Existence of qualitative analysis of judicial decisions shown to
be independent /objective of political constraints
Non-existent
Non-existent
Non-existent
Coordination and controls within the criminal justice system to
ensure its effectiveness and operation in an equitable manner
and end impunity
Improvement necessary
Improvement necessary
Improvement necessary
Laws/regulations and oversight mechanisms to ensure professionalisation of police and armed forces
By June 2003 mechanisms
under development
By June 2003 mechanisms
under development
Law on Police under consideration in Parliament. First draft of
Criminal Procedure Code completed.
Comment
Country Goal: Coherent legislative framework
Target: Legislative reform that is transparent and based on public consultation
2002
Serbia & Montenegro
Serbia
Montenegro
Number of public consultations related to each Draft law
Data not available
Data not available
Public comment period for
most laws
Number of Memoranda submitted by national NGOs related to
each Draft law
Data not available
Data not available
NGOs proposing participation
Existence of effective and transparent parliamentary committees for drafting legislation and overseeing its implementation
Non-existent
Non-existent
Non-existent
Well-defined and transparent law-making process
Non-existent
Non-existent
Non-existent
Comment
117
118
Country Goal: Independent Judiciary
Target: Protection of the Judiciary from influence and pressure
2002
Serbia & Montenegro
Serbia
Montenegro
Existence of effective legal guarantees for independent judiciary including independent tenure, appointments and dismissal
procedures
Better legal guarantees essential Better legal guarantees essential Better legal guarantees essential
Existence of budgetary autonomy of the justice system
Improved autonomy required
Improved autonomy required
Improved autonomy required
System of oversight within the judiciary
Enhanced system needed
Enhanced system needed
Enhanced system needed
Law on Courts enacted:
Law on Prosecutors in draft
Conditions of judges: adequate remuneration, physical protection of judges and prosecutors
Improved conditions required
Improved conditions required
Improved conditions required
Comment
Conference/Country Goal: Fair administration of justice
Target: Effective legislative framework, law enforcement, prosecution, legal profession, and fair trials in conformity with international Standards
Common Country Assessment For Serbia & Montenegro
2002
Serbia & Montenegro
Serbia
Montenegro
Existence of procedural guarantees for fair trial
Stronger guarantees required
Stronger guarantees required
Stronger guarantees required
Number of complaints on administration of justice as received
by national mechanisms (ombuds-institution)
N/A
N/A
HR Protector not yet appointed
Number of complaints on administration of justice as received
by international mechanisms (i.e. UN & European treaty bodies)
Data not available
Data not available
Data not available
Availability of free legal assistance and access to justice for all,
including vulnerable people throughout the country
Non-existent
Non-existent
Insufficient. Court appointed
lawyer in some cases
Recognition in law of the right to seek judicial remedies against
state agencies/officials
Non-existent
Non-existent
Non-existent
Comment
Annexes
Country Goal: Enabling administrative environment
Target: Efficient, transparent and accountable public institutions
2002
Serbia & Montenegro
Serbia
Montenegro
Receiving and giving bribes
Existence of separation between public expenditures and control functions
Existence of a homogeneous civil service system
The Law on Public
Administration enacted in July,
2003
Existence of an effective system of donor assistance prioritization and coordination
Existence of transparent mechanisms for allocation of subsidies
to municipalities
Existence of fiscal decentralization
Law on Local Self-Government
and Law on Funding of the
Local Self-Government July,
2003
Comment
119
120
Conference/Country Goal: Strengthened democratic institutions and popular participation
Target: Free and fair elections and democratic government
2002
Serbia & Montenegro
Serbia
Montenegro
Comment
Common Country Assessment For Serbia & Montenegro
Periodicity of free and fair parliamentary elections (CCA)
4 years
4 years
4 years
Number of registered voters (estimates for the 2000 elections)
6,862,514
6,377,420
485,094
Recognition in law of the rights to freedom of expression, association
and assembly
Yes
Yes
Yes
Gender composition of Government (per cent)
-
4 women in Cabinet
1 women in Cabinet
Gender composition of Municipal Parliaments (per cent)
-
6.5per cent
4.8per cent
Gender composition of Parliament (per cent)
9 women in 126 seat Parliament
27 women in 250 seat Parliament
7 women in 77 seat Parliament
Ethnic composition of Government (per cent)
1 minority in a 5 member Council
of Ministers
1 minority in Cabinet
2 minorities in Cabinet
Ethnic composition of Mayors (per cent)
-
20 minorities in total of
161 municipalities
12 minorities in total of
21 municipalities
Ethnic composition of Parliament (per cent)
82 Serbs from S, 10 Serbs from CG,
19 Montenegrins, 3 Hungarians
1 Bosniac, 1 Muslim, 10 Others
No. of independent NGOs/CSOs operating in the country
5,300*
1990**
2000 registered****
686 active
No. or per cent of NGOs/CSOs Representing vulnerable groups
(minorities, refugees and IDPs, disabled)
231**
141 (20per cent)*****
No. or per cent of NGOs/CSOs representing women
98**
37 (5.4per cent)
No. of NGOs active in human rights issues
165**
73 (10.6per cent)
Existence of independent broadcasting and print media
28 radio/16 TV stations (ANEM
members)***
12 radio/4 TV stations
(UNEM members)******
Number of independent radio/TV stations (per cent)
per cent of independent print media
According to Independent association of Journalists of Serbia (NUNS) it is impossible to say which media are independent. 70per cent (7 out
of 10) private print media in Montenegro are members of Association of Independent Print Media, according to Mont Press
*Registered in the Federal Ministry for Justice according to the Law on the Associations of Citizens, Social and Political Organizations from 1990. This register is still active in the absence of NGO legislation in Serbia
and does not include organizations from Montenegro where NGO legislation was adopted in 1999.
** NGOs in Serbia and Montenegro Directory, (active organizations) Center for the Development of Non-Profit sector,(www.crnps.org.yu), Belgrade 2003
*** ANEM Alternative Network of Electronic Media (www.anem.org.yu), Belgrade 2003. ANEM is considered as association of independent electronic media in SCG
**** Center for the Development of NGOs (www.crnvo.cg.yu), November 2002
***** Report on non-government sector in Montenegro, Center for Democracy and Human Rights (www.cedem.cg.yu), December 2002
****** UNEM Association of Independent Electronic Media in Montenegro (www.unem-cg.net)
Annexes
SECURITY OF THE PERSON
Conference/Country Goal: Improved drug control
Target: Measurable results in reducing trafficking and abuse of illicit drugs
Serbia & Montenegro
2001
2002
Serbia
2001
Montenegro
2002
Seizure of illicit drugs (CCA)
2001
2002
3,927
Prevalence of drug abuse
Conference/Country Goal: Improved crime prevention
Target:Eliminate/significantly reduce violence and crime
Serbia & Montenegro
2001
2002
Serbia
Montenegro
2001
2002
Number of intentional homicides per 100,000 inhabitants (CCA)
2.74
2.22
Aggravated theft per 100,000 inhabitants
529
354
Auto theft per 100,000 inhabitants
95
64
2142
2187
1018 police
actions and 72
offenders charged
343 police actions
and 48 offenders
charged
Number of confiscated illegally possessed firearms (Art. 33 Weapons and
Ammunition Act)
Number of police actions against women traffickers and number of offenders
charged
2001
2002
Conference/Country Goal: Improved crime prevention
Target:Eliminate/significantly reduce violence and crime
Serbia & Montenegro
2001
2002
Serbia
2001
Montenegro
2002
Number of complaints of extra-judicial executions (CCA)
Domestic violence against women
Domestic violence against children
Number of complaints filed against the work and conduct of police officers
2192
Number of reported rape cases
116
101
Number of kidnapping cases
36
36
2001
2002
121
122
Conference/Country Goal: Integration of Sustainable Development Principles
Target: Integration of Sustainable Development (SD) into national policies and/or programmes (data sources *, **, ***, ****)
Indicators
Serbia & Montenegro
Serbia
Montenegro
Resolution on Environmental
Protection Policy (1993)
Resolution on Biodiversity
Conservation Policy (1993)
National Spatial Plan (1996)
Declaration on Ecological State
Montenegro (1991)
National Spatial Plan (1997)
0.01 (1998)
0.03 (2001)
0.23 (2002)
0.095 (1998)
0.069 (2000)
0.09 (2001)
- Inter-Ministerial Coordination
MoU MPNRE – MEP (2002)
National Council for
Sustainable Development
(2001)
- National SD Committee
No
Yes
- National Agenda 21/Strategy for SD
No
No
No (2004?)
No
110 (1998)
59
- SD in National Policies/Plans/Strategies*
- Sectoral Strategic EIAs.
- public expenditures on environmental protection (per cent of
GDP)
Common Country Assessment For Serbia & Montenegro
176 (?)
- NEAP
- Number of Environmental NGOs
Comment
Target: Integration of SD into local policies and/or programmes
Indicators
Serbia & Montenegro
Serbia
Montenegro
- SD in Local Plans/Strategies
- Local Agenda 21
- LEAPs (adopted LEAP/in the make)
(Serbia: Subotica (03), Nis (01) , Kraljevo, Vrnjacka Banja,
Zrenjanin (03), Pirot, Lucani, Krusevac, Vracar, Barajevo,
Rakovica, Kragujevac, Pancevo, Bor (03)) Montenegro:
Kotor )
0/1 (1999), 0/2 (20000);
1/6 (2001); 1/12 (2002);
4/11 (2003)
No
No
0/0 (1999); 0/1 (2000);
1/5 (2001); 1/11(2002);
4/10 (2003)
0/1 (1999); 0/1 (2003)
Comment
Annexes
Target: Integration of SD in enterprises
Indicators
- Number of ISO 14001/EMS Certified Companies
Serbia & Montenegro
Serbia
20 (2002)
- Green Investments
* “Environmental Performance Review”, UN Economic Committee Department of Environmental Policy, 2003
** ”Report on State of Environment”, Federal Secretariat for Labor, Health and Social Welfare, July 2002
***Regional Environmental Center (REC), Office in Belgrade
**** UNEP Office in Belgrade
Montenegro
Comment
123
United Nations
Nations Unies
Office of the Resident Coordinator in Serbia & Montenegro
List of the UN Country Team
Chairperson of the UNCT:
Francis M. O’Donnell,
UN Resident Coordinator128
UNDP Resident Representative129
UNCT core participant representatives and heads of agencies/offices:
Dario Carminati
Ann-Lis Svensson
Juliette El Hage
Lars Bjorkman
Gordon Biggar
Laurie Wiseberg
Christopher Gascon
Luigi Migliorini
Lisa Buttenheim
Dejan Mihov
Paul Hebert*
Jelena Marjanovic
Ligia Ramirez
Roeland Kortas
Igor Khalevinski*
Representative,
Area Representative
Dep. Res. Representative
Sr. Emergency Coordinator
Emergency Coordinator
Officer in Charge
Chief of Mission
Head of Mission
Head of Office
Head of Office
Head of Office
Authorised Officer
Head of Office
Programme Manager
Head of Office
UNHCR
UNICEF
UNDP
WFP
FAO
UNOHCHR
IOM
WHO
UNMIK/Belgrade
UNICTY
OCHA
OCHA
UN-Habitat
UNEP
UNLO
* present during the initial stages of the CCA process
International Financial Institutions :
Rory O’Sullivan
Joshua Charap
Roberto Albisetti
Country Manager
Resident Representative
Chief of Mission
World Bank
IMF
IFC
More details of the work of the UN Country Team can be found at www.un.org.yu
128 as UN RC, Mr. O’Donnell also represents OCHA, UNIC, UNAIDS, UNFIP.
129 as UNDP RR, he also represents UNCTAD, ODCCP, UNEP, UNIFEM, UNFPA, UNOPS, UNCHS, FAO, UNESCO, UNIDO.
124
Common Country Assessment For Serbia & Montenegro
SOURCES
• Household Survey No. 7, published by the Institute
for Strategic Studies and Prognoses (ISSP), USAID
and the World Bank, 2003
• Human Development Report 2000, UNDP publication
• Human Development Report 2003, UNDP publication
• Annual Report for 2001, Republican Statistics
Institute
• Baseline Survey, produced by the National
Democratic Institute for International Affairs in
Montenegro, 2003
• Brave New Generation, UNICEF Belgrade publication, 2002
• Catalogue of Projects in Schools, Ministry of
Education of Serbia, 2002
• Country Health Profile for the FR Yugoslavia, WHO
Internal Document, Sept. 1999
• Comprehensive Analysis of Primary Education in
the Federal Republic of Yugoslavia, UNICEF and
the Federal Bureau of Statistics, 2001
• Domestic Violence, published by SOS Telephone
for Women and Children Victims of Violence,
Podgorica, 2003
• Education for Agriculture, Rural Development and
Food Security in Serbia, Report produced by FAO,
Rome, Sept. 2002
• Employment, Labour Market and Standard of
Living in Montenegro, UNDP publication,
Podgorica, 2002
• Federal Republic of Yugoslavia Environmental
Sector Review, World Bank, Sept. 2003
• Health Status, Health Needs and Utilisation of
Health Services of Adult Population in Serbia in
2000, Institute of Public Health of Serbia
• Human Rights Watch, Briefing Paper, Human
Rights Concerns in the Federal Republic of
Yugoslavia, 2002
• Income and Expenditures, OCHA publication and of
the Economics Institute in Belgrade, 2000
• Living Standard Measurement Survey in Serbia,
World Bank 2002
• National Human Development Report for Serbia,
(Draft) 2003
• National Strategy for the Integration and
Empowerment of the Roma, (Draft) Federal
Ministry of Ethnic Minorities, Dec. 2002
• Poverty Reduction Strategy Paper for Montenegro,
(First Draft, August 2003)
• Poverty Reduction Strategy Paper for Serbia,
(Second Draft, July 2003)
• Rapid Assessment and Response on HIV/AIDS in
Especially Vulnerable Young People in
Montenegro, produced by the Institute of Public
Health in Montenegro, 2002
• Rapid Assessment and Response on HIV/AIDS
among Especially Vulnerable Young People in
Serbia, RAR, UNICEF Belgrade publication 2002
• Report on the Causes of Poverty and Civil Society –
Recommendations for the Poverty Reduction
Strategy Paper in Montenegro, UNDP publication in
cooperation with the Catholic Relief Services 2003
• Report on Macroeconomics and Health, WHO 2002
• Household Survey No. 5, published by the Institute
for Strategic Studies and Prognoses (ISSP), and
European Commission Food Security Program and
Chesapeake Associates, 2002
• Household Survey No. 6, published by the Institute
for Strategic Studies and Prognoses (ISSP), USAID
and European Commission Food Security Program
and Chesapeake Associates, 2003
Sources
• Report NGO Sector in Montenegro, produced by
Center for Democracy and Human Rights,
Podgorica, 2002
• Report on Optimisation of School System, UNICEF
and Education Forum, 2002
125
• Report on the State of the Environment for 2000,
Ministry of Health and Environmental Protection of
the Republic of Serbia
• Report on the Trend of Morbus HIV in FR
Yugoslavia, Federal Institute of Public Health, 2003
• Roma in Montenegro, published by The Beginning,
a network of Roma NGOs in Podgorica, 2003
• Serbian Cities in Contact with Institutions in
Transition, Mihailovic, Srecho – 2002
• Serbia and Montenegro, Stabilisation
Association Report, EU, 2003
and
• Small Arms and Light Weapons in the Federal
Republic of Yugoslavia, Davis, Ian –published by
Saferworld, 2002
• Strategy for the Integration and Empowerment of
the Roma, Ministry of National and Ethnic
Communities, (Draft) Dec. 2002
• The Book of Changes of the Education System of
the Republic of Montenegro, published by the
Ministry of Education and Science of Montenegro,
2001
• Ten Years of Child Rights in Yugoslavia, UNICEF
Belgrade publication, 2001
• Trafficking in Human Beings in South Eastern
Europe – Current Situation and Responses,
UNICEF 2002
• Victims Trafficking Balkans, published
International Organisation of Migration, 2001
by
• Young People in Changing Societies, A Summary,
Regional Monitoring Report, UNICEF Innocenti
Research Centre - Florence, Italy, 2000
126
Common Country Assessment For Serbia & Montenegro
6.
LIST OF ACRONYMS
CAP UN Consolidated Inter-Agency Appeal
CBF Capacity Building Fund
CCA Common Country Assessment
CCEE Countries of Central and Eastern Europe
CG Montenegro
CSAC Civil Society Advisory Committee
DFID United Kingdom Department for International Development
ECHO European Community Humanitarian Office
EAR European Agency for Reconstruction
EBRD European Bank for Reconstruction and Development
EU European Union
FAO Food and Agricultural Organisation
FRY Federal Republic of Yugoslavia
GDP Gross Domestic Product
HDI Human Development Index
HDR Human Development Report
HPD Housing and Property Directorate
IAEA International Atomic Energy Agency
ICTY International Criminal Tribunal for the former Yugoslavia
IDPs Internally Displaced Persons
IFC International Finance Corporation
IFI International Financial Institutions
ILO International Labour Organisation
IMF International Monetary Fund
INGO International Non-Governmental Organisation
IOM International Organisation for Migration
MDGs Millennium Declaration Goals
NGO Non-Governmental Organisation
List of Acronyms
127
OCHA Office for the Coordination of Humanitarian Affairs
OSCE Organisation for the Security and Cooperation in Europe
PRSP Poverty Reduction Strategy Paper
SALW Small Arms and Light Weapons
SDC Swiss Development Corporation
SEED South-East Europe Enterprise Development
SEESAC South Eastern Europe Clearinghouse for the Control of Small Arms and Light Weapons
SFRY Socialist Federal Republic of Yugoslavia
SCG Serbia and Montenegro
UN United Nations
UNCHS United Nations Centre for Human Settlements
UNCT United Nations Country Team
UNDAF United Nations Assistance Framework
UNDP United Nations Development Programme
UNEP United Nations Environment Programme
UNHCR United Nations High Commissioner for Refugees
UNICEF United Nations Children’s Fund
UNIDO United Nations Industrial Development Organisation
UNLO United Nations Liaison Office
UNMIK United Nations Interim Administration in Kosovo
UNODC United Nations Office on Drugs and Crime
UNOHCHR United Nations Office for the High Commissioner for Human Rights
USAID Aid Programme of the United States of America
WB World Bank
WFC World Fit for Children
WFP World Food Programme
WHO World Health Organisation
WTO (Tourism) World Tourism Organisation
128
Common Country Assessment For Serbia & Montenegro