U.S., EU Criticize Kosovo's 'Uncoordinated' Moves In Serb Areas

Residents and police scuffle outside a Serbian-run bank in North Mitrovica on May 21, when Kosovar police closed six such institutions.

PRISTINA -- EU and U.S. officials have expressed mounting concern at uncoordinated actions by Kosovar Prime Minister Albin Kurti's government that threaten to further raise tensions with ethnic minority Serbs in the north of that Balkan country.

Speaking to reporters in Pristina on May 21, visiting U.S. Deputy Assistant Secretary of State Nicole Chulick urged Kosovo to "listen to the advice of its closest partners" as the partly recognized former Serbian province seeks to join Euro-Atlantic institutions.

Chulick said she had expressed concerns in meetings with Kurti and with Kosovar President Vjosa Osmani about a long-promised association of Serb municipalities for dialogue with Pristina and a recent ban on the use of the Serbian dinar, which has remained in widespread use in four Serbian-dominated areas of northern Kosovo.

Kosovar police a day earlier forcibly closed and cordoned off six branches of Serbian banks operating in the region as a currency lifeline for tens of thousands of Serbs.

Pristina said the operation was aimed at establishing "order and legality."

The State Department had previously said in response to a question from RFE/RL's Balkan Service that the action had not been coordinated with Kosovo's international partners.

"Monday's operation proves again that Kosovo authorities prioritize unilateral and uncoordinated actions rather than cooperation with its friends and allies," EU spokesman Peter Stano said in a May 21 statement.

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He said the seizures "without prior notice or coordination" just a few days after the last internationally mediated meeting aimed at establishing functioning Serbia-Kosovo relations "is escalatory and goes against the spirit of normalization and it undermines Kosovo's good faith in achieving normalization of relations."

Serbian and Kosovar officials have met seven times in Brussels in the span of just a few months to break the impasse over the currency ban and its effect on financial assistance from Serbia to Kosovar Serbs who make up a majority in 10 of Kosovo's 38 municipalities.

Many Kosovar Serbs don't recognize Kosovo's 2008 declaration of independence from Serbia and continue to receive social and other payments from Belgrade and conduct cash transactions in dinars.

Kosovo's Central Bank imposed a strict prohibition in February against use of the dinar outside of designated financial institutions, sparking an immediate outcry from Serbs and Belgrade and compounding EU and U.S. frustrations at unilateral moves by Pristina that could further destabilize a fractious region.

Pristina regards as illegal the parallel structures that Serbia encourages in health care, education, and other aspects of life in northern Kosovo.

"Knowing also the responsibilities that the Central Bank of Kosovo has, we have constantly expressed our concerns about the manner of implementation [of the dinar ban]," Chulick said at her Pristina press conference. "We have not felt that it has taken into consideration how it will affect the communities, especially the Serbian community. So, we are observing the situation and we are concerned."

A previous Kosovar government pledged as early as 2013 to establish an Association of Serb Majority Municipalities.

"Kosovo must continue to work on these issues, address them, and move forward again," Chulick said.

The EU spokesman echoed the U.S. linkage between progress in talks and the establishment of an entity to represent minority Serbs in Kosovo.

"The status of all Serbia-supported structures and services is foreseen to be resolved in the EU-facilitated Dialogue, in connection with the establishment of the Association/Community of Serb-Majority municipalities," Stano said.

Kosovar police said the operation followed reports from financial monitors including the central bank, and included Kosovar tax authorities.

The United States and the European Union have repeatedly expressed frustration with actions by Kurti's government, including the forcible seating of ethnic Albanian mayors in four majority-Serb municipalities after boycotted elections in the north last year that sparked violent protests, injuring dozens of NATO KFOR peacekeepers.

KFOR vehicles were visible in areas where the Kosovar police were raiding the Serbian banks.

But KFOR said on May 21 that its personnel "were not involved in the conduct of these operations."