The Mini Schengen Initiative: The Western Balkans Going Against the Odds

The Balkans – and particularly the Western Balkans – have frequently been viewed as the antithesis of regional integration and state-building rationalism. Over the last century, the region was often portrayed as a trigger for the destabilization of Europe and was stigmatized as a space of disintegration. Despite the EU’s engagement in the region and the enlargement process, the countries of the Western Balkan have struggled to align their economic, political, and social systems. Furthermore, Serbia, Albania, North Macedonia, and most recently Montenegro have agreed on a framework, known as the Mini Schengen initiative, to establish an area guaranteeing the free movement of people, goods, capital, and services – comparable to the four freedoms of the EU.

Implementing the Mini Schengen initiative will be a challenge for a region in which several countries are still undergoing fundamental restructuring related to state functionality, national cohesion, and cross-border management. While circumstances favoring regional cooperation, such as economic and social cohesion, do not have a solid basis in the region, the initiative promises a new framework to bolster peace and generate positive spillover effects. While the war in Ukraine is currently eroding the peace and security system established in Europe after the Cold War, it also serves yet another reason to back the Mini Schengen initiative – not only as part of the region’s EU integration process but also as a peace project.

Although ‘Southeastern Europe’ and ‘the Balkans’ refer to the same geographical region, there is a movement to drop the latter term in favor of the former. The term ‘the Balkans’ has a pejorative connotation based on the historical usage of the term. The term ‘Southeastern Europe,’ however, is less politically charged and can be used to support regional integration along political and economic lines – as is strongly encouraged by the EU. The EU has understood one of its key tasks in the Western Balkans as "curing" or “eradicating” the remnants of balkanization that persist in the political or social sphere as well as in state conceptualization. Eliminating this element is a complex and likely generational process that will require the application of all political and economic capacities to put the region on the "path" toward EU integration. However, the rise of populism and radicalism in Western Europe – especially since the economic crisis in 2007 – has given Eurosceptics the chance to slow down EU integration and implement aspects of balkanization within the EU itself.

Conversely, the Mini Schengen initiative seeks to reverse this trend by supporting a localized integration process through economic and social incentives. EU integration has created the conditions for this initiative to progress and hopefully overcome the barriers posed by political conditionality based on regional disputes. Despite the potential for new debates and obstacles, this initiative is unique because it seeks to create a unified economic area in spite of regional barriers that continue to hinder integration. The primary goal of the Mini Schengen initiative is to accelerate political dialog by emphasizing economic integration and deepening regional interdependence.

Continued economic or financial crises have characterized the last decade in the EU.  At the same time, the outlook has continued to worsen in light of ongoing security and public health crises. Despite these formidable challenges, the EU still clings to its model of governance as an attractive model to follow. It is true that the economic and social benefits of the Schengen model provide substantial dividends for European peace and stability. The Schengen Agreement has been one of the EU’s most significant achievements, and it has come to represent a core value for EU citizens. This interdependence has strengthened ties between governmental and non-governmental actors, which reduces barriers in the economic sphere as well as the social sphere, building a trans-border conceptualization of society. The Mini Schengen initiative is therefore based on the same neo-functionalist theory as a tool to generate spillover effects. Moreover, the countries that are already part of the initiative have agreed through the Berlin Process to establish a Common Regional Market (CRM).

Mini Schengen as a cornerstone for the EU’s enlargement policy.

As key players in the region that back the initiative, the US and the EU consider the Mini Schengen initiative to be a valuable mechanism to strengthen reforms and accelerate the region’s EU integration. As co-promoters, the US and the EU have applauded the project and invited other countries in the region to join in. The engagement of the countries that have already signed on provides a critical support for the EU’s enlargement policy. At the same time, their engagement through the initiative stimulates integration and cooperation between states that previously had conflicts or disputes. In this regard, the initiative is also a valuable tool to transcend nationalist policies that persist among political parties, state institutions, and social perceptions across the region.

To prevent any skepticism or confusion in the region about the aims of the Mini Schengen initiative, the countries that have signed on should promote the initiative as a mechanism to reduce barriers on their path to EU accession. Moreover, the European Commission has continued to back the Mini Schengen initiative and has urged other countries to join it, just as it has supported similar initiatives in the past. However, despite the high expectations for the free movement of people within the area, it is not yet clear to what extent the project will accelerate the region’s EU accession or whether it might impact ongoing disagreements among EU member countries on enlargement policy.

The Mini Schengen initiative and the CRM will likely encompass several chapters of the EU accession’s process. Almost 10 out of 35 chapters of the EU’s acquis communautaire involve the freedom of movement, and the four freedoms of movement (goods, persons, services, and capital) are the EU’s core economic and social pillars. Both projects could thus directly impact the development of free market access within the Western Balkans. Before acceding to the EU, the Western Balkans countries will have to implement the free movement of goods, persons, and other economic and social aspects. In this regard, Mini Schengen and the RCM can serve as a test for the region to cope with the EU’s accession requirements. Thus, official involvement in these initiatives can serve as proof that the countries of the region are willing and able to engage in more structural cooperation and demonstrate that they have left behind past disputes and are prepared to face the challenges of EU accession. The countries of the Western Balkans must settle interstate disputes and recognize the progress that 20 years of EU integration have provided for the region.

Moreover, the Mini Schengen initiative can demonstrate that the region has reached an advanced level of political maturity by implementing EU policies without being member states. The EU enlargement process also uses its normative influence to align candidate countries. The clearest message of this methodology was indicated by the President of the European Commission on her first visit to Kyiv, when she stated that the process of EU integration for Ukraine will be reconsidered by cutting “administrative” procedures, suggesting the current difficulty of becoming a member state. However. this statement contradicted President Macron's position that a country in war cannot become an EU member.

Since the start of the war in Ukraine, the European Commission and EU leaders have re-engaged their political commitments and brought optimism to the enlargement question. Among EU state actors, there is a perception that the integration process can engage belligerent parties in a peace process. However, the war has several different dimensions and geostrategic implications, and an eventual peace process may be coordinated with the EU integration process. For example, in the case of the Western Balkans, the launch of the enlargement process was coupled with peace processes in the region. In the case of Ukraine, it is not yet clear how the enlargement process could promote peace and stabilization with Russia and the EU integration process.  

The Mini Schengen initiative is a pioneering project that goes against the odds of historical conflicts and disputes in the Western Balkans. Despite the economic outcomes that this initiative can deliver, one should focus on and target the social dimensions. Small steps toward economic integration in the Western Balkan countries have the possibility to yield significant benefits for all countries of the region. Moreover, EU integration efforts have shown that social impact and peace are core European values. EU currently constitutes approximately 15% of the world economy, but this is projected to decline to below 10% by 2030. Europe is also considered to have the highest standards regarding human and fundamental rights as well as democracy. [pm1] [TH2] With this frame of reference, the social benefits of the Mini Schengen initiative must be understood as paramount.

The nationalist rhetoric that persists in political debates is another endogenous factor forcing some governments to strengthen regional cooperation. A project that combines nationalism and economic openness is incompatible with the stated aims of the Mini Schengen initiative as a mechanism to bring together the countries of the region. Moreover, the region still lacks coordination among its states, which impedes additional mechanisms for integration. Those who seek to combine nationalism with public policy may mislead and distort the purposes of this project.


Dr Taulant Hasa's is a researcher at the London School of Economics, European Institute. His work is focused on the European Union Governance,  Enlargement Policy, and Security. He holds a Ph.D. in European Studies and Governance from the Complutense University of Madrid. He obtained a MA degree at the Diplomatic School of Spain on International Relations and Diplomacy and a MA degree in Constitutional and Political Science at CEPC (Center for Political and Constitutional Studies) of Spain and graduated in Journalism at the University of Tirana.