Saturday, January 26, 2013

Slovenia & Croatia – EC regards as urgent an agreement between Slovenia and Croatia on the status of former depositors’ accounts at defunct Ljubljanska Banka


On 25 January, at a midday press conference held by the European Commission, journalists posed several questions to Peter Stano, spokesman for Štefan Füle, the EC commissioner in charge of Enlargement and European Neighbourhood Policy.  The questions regarded the degree of EC involvement in the ongoing negotiations between Croatia and Slovenia regarding settlement of the Ljubljanska Banka dispute, a dispute that sees Croatia attempting to obtain compensation for Croatian depositors in the now-defunct bank – which was headquartered in Yugoslavia's Socialist Republic of Slovenia – and Slovenia in return threatening to withhold its ratification of Croatia’s entry into the EU, which is scheduled to take place on 1 July 2013.

In reply to the questions, Stano indicated that the Commissioner for Enlargement and European Neighbourhood Policy, Mr. Füle, had recently communicated to both sides the need for urgency in their reaching an agreement in order that Croatia may accede to the EU on 1 July as scheduled:

“... And most recently the Commissioner has highlighted the urgency of intensified efforts between Slovenia and Croatia in order to find a mutually acceptable solution to the Ljubljanska Banka issue.  And let me add, in this context, that at this point of time frankly it is really ... any action, any statement, or any behavior which is not conducive to reaching such a mutually acceptable solution to the Ljubljanska Banka issue ... any statement and actions is simply not helpful.

... As the Commissioner has said several times, that this is really necessary, as soon as possible, for both sides to urgently find mutually acceptable solution to this issue.  It is for the both sides to find this solution, and it is urgently needed.”

This reiteration of urgency by the Commissioner for Enlargement and European Neighbourhood Policy comes little more than two weeks after a first visit to Brussels by Slovenia’s newly-elected president, Borut Pahor, during which EC President José Manuel Barroso is reported to have insisted to Pahor that Slovenia must respect the 1 July deadline for Croatia’s accession to the EU regardless of the outcome of the Ljubljanska Banka dispute.

Sources:
Video of press conference: LIVE EC Midday press briefing (2013-01-25)
Background: Slovenian bank saga finally draws to an end (2010-11-18 10:42)


Mark Pleas
Eastern Europe Banking & Deposits Consultant