Stabilization of the Balkans: Stability Pact, Actors and Programs

The EBRD is an important actor in the Balkans since it has accumulated considerable expertise in supporting transformation in formerly socialist countries. Moreover, the EBRD has been able to contribute to financing recovery in Kosovo although there is no clear mandate due to the fact that Kosovo is not a member of the EBRD. The bank plans to channel funds through a Bosnian bank which has a focus on micro-lending and various investment funds. The biggest advantage of the EBRD is that it can directly work with the private sector. As a further strength one may note that its research department has considerable analytical skills which could help to find efficient strategies for the diverse situation in each Balkan country. Compared to the EBRD the research capacity of the European Investment Bank — engaged mainly in infrastructure lending — is very modest.