Enlargement Strategy and Main Challenges 2006 - 2007

The Union needs to be in a position to continue financing its policies in a sustainable manner.
The impact of enlargement on the EU budget will be carefully assessed throughout the
enlargement process. Each Commission opinion on a country's application for EU
membership will provide estimates of the budgetary impact.
Before any further accession, the EU will need to decide on the overall budgetary means
required. On that basis, the Commission will propose, in any future accession negotiations, a
package of necessary financial measures. The Commission's analysis will take account both
of the budgetary aspects and of the increased economic dynamism generated by accessions.
Ensuring that candidate countries fulfil the rigorous conditions
Conditionality is one of the pillars of the Commission's enlargement strategy. Good
preparation by candidate countries facilitates their smooth integration into the EU. Further
improvement in the quality of preparations has become crucial as the scope of EU activities
has developed. This warrants the strict application of conditionality during the pre-accession
phase, and thorough fulfilment of the requirements at each stage of the accession process.
As part of the pre-accession strategy the Commission will closely monitor the progress made
by each enlargement country. This monitoring will be based on the political, economic and
acquis criteria for membership. The Commission will pay particular attention to the
establishment of the structures needed to ensure the rule of law. This includes administrative
and judicial capacity and the fight against fraud and corruption. These issues should be
tackled at an early stage of the pre-accession process.
Based on its findings, the Commission will propose short and medium term reform priorities
for the Accession or European Partnerships covering each country. These policy frameworks
have proved to be an effective means for setting priorities during preparation for the fifth
enlargement. The Commission will propose updates regularly. Financial assistance to support
the enlargement countries will focus on the reforms identified as partnership priorities. The
introduction in 2007 of a single new financial instrument to cover all pre-accession needs, will
make EU support for membership preparations more effective.
Association agreements with the enlargement countries play a central role in the countries'
preparations. The Commission will verify compliance with the obligations. A satisfactory
track record in implementing bilateral obligations is an essential element for the EU to
consider any membership application.
Progress in accession negotiations will be determined by success in fulfilling the accession
requirements set out in the negotiating frameworks, assessed on each country's own merits.
Candidate countries will be expected to demonstrate success in meeting precise benchmarks
before a negotiation chapter can be opened or closed. Failure to meet a benchmark could lead
to negotiations on the chapter concerned being suspended or reopened.
In future, there will be a closer link between progress in political reforms and the overall pace
of the negotiations. The results of dialogue with the countries on their progress in meeting the
political criteria for membership will be fed directly into the negotiation process. The
Commission will prepare the dialogue with Member States and report back to them in the
relevant Council bodies. New arrangements have been set up in the Council framework to
ensure that officials from Member States responsible for monitoring progress with reforms
and officials responsible for accession negotiations meet in the same working group.
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