Benign Neglect or Institutionalisation? Dealing with de facto Euroisation in Candidate Countries

Abstract

EU enlargement rounds have always been driven by political will of the parties concerned and administered through a comprehensive legal-bureaucratic procedure. There is strong political determination to carry on the accession process involving Western Balkan countries as well as Ukraine, Georgia and Moldova, but the standard enlargement procedures have proven time inconsistent for recent applicants. This article scrutinises the specific historical, geopolitical and domestic characteristics of the Western Balkans and focuses on the unique currency situation of the region. Widespread spontaneous use of the euro in everyday life, and unilateral euroisation in two cases, should justify a non-standard monetary policy arrangement; not a shortcut to the euro area but providing an institutional framework and clear perspective for the parties concerned. These proposals align with recent accession practices and would strengthen political momentum.