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Economy / Bosnia-Herzegovina

Fuelling Tensions Over Reform

September 2007 | Risk Summary

The possibility of Kosovo unilaterally declaring independence could further raise political tension within Bosnia, weighing on progress towards signing the EU's Stabilisation and Association Agreement (SAA). This follows earlier comments by Republika Srpska (RS) Prime Minister, Milorad Dodik, that Kosovan independence would create ructions in the RS, and that Bosnian institutions would not identify this independence. We are concerned that this would deepen ethnic divisions and further undermine prospects for much needed political reforms.

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