POLITICAL RISK - SAA Signed With EU

Serbia signed a Stabilisation and Association Agreement (SAA) with the European Union (EU) on April 29, overcoming one of the key initial hurdles for EU membership. The SAA was initialled in early November 2007, but the signing of the agreement was delayed mainly due to political wrangling over the issue of Kosovan independence. However, no EU states will ratify the treaty, nor will Serbia start receiving any trade or visa benefits, or any of the financial or economic incentives that come with the SAA until it is seen to be fully co-operating with the International Criminal Tribunal for Yugoslavia.

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