On the eve of the vote,the United States formally recognized Macedonia under its constitutional name, the "Republic ofMacedonia," (1) in a moveto support to the multi-ethnic Macedonian government and to the Ohrid peace process, and thereferendum failed. U.N.-sponsored talks have continued. In early 2001, an ethnic insurgency threatened to derail Macedonia's fragile stability and leadto another extended conflict in the Balkans. The Ohrid FrameworkAgreement outlined a package of political reforms to expand the rights of the ethnic Albanianminority that was to be implemented as the rebel force disbanded and disarmed under NATOsupervision. The United States continues to support multilateral efforts to stabilizeMacedonia, but has increasingly looked to the European Union to play a larger international role inthe Balkans, starting with Macedonia. The multi-year deployment of a smallcontingent of U.S. military forces to Macedonia as part of a U.N. mission in the early 1990s -- thefirst engagement of U.S. military ground forces in the Balkans -- further demonstrated the U.S.commitment to the Macedonian piece of the regional stability puzzle. When violent inter-ethnicincidents threatened to embroil all of Macedonia in early 2001, U.S. representatives played a key rolein international efforts to defuse the conflict, formulate the Ohrid Framework Agreement for peace,and oversee post-conflict stabilization and peace implementation. Test Case for European Defense

A third area of interest for the United States has been the role Macedonia has played as a testcase for the development of the European Union's Common Foreign and Security Policy (CFSP) andEuropean Security and Defense Policy (ESDP). However, the multi-ethnic coalition was maintained. In 2004, Macedonian authorities concluded stand-by arrangements with theInternational Monetary Fund and are negotiating new multi-year agreements with the IMF and WorldBank on new lending and reform projects. Earlier censusproceedings and results had been disputed by the ethnic Albanian community, which felt that itsnumbers were misrepresented. Decentralization. 2004 Referendum. The referendum was held on November 7, 2004. On November 7, only an estimated 26% of the electorateturned out, and the referendum failed due to low turnout. 2005 Local Elections. An opposition-supported mayoral candidate won in Skopje. Beginning in 2002, the European Union developed plans to take over the military missionin Macedonia from NATO, under the EU's nascent European Security and Defense Policy (ESDP). Concordia's mandate was limited at first to sixmonths, but was later extended to December 15, 2003. Macedonia was the first country to conclude a Stabilization and Association Agreement(SAA) with the EU in 2001 (the SAA entered into force in April 2004). Former Secretary of State Powell and the foreign ministersof the three countries met on May 2, 2003, in Albania, to sign the Adriatic Charter, and called it aguide toward full membership in NATO and other European institutions. Macedonia has asserted its right to use and be recognized by itsconstitutional name, the Republic of Macedonia. Without specifying individual country preferences, U.S. officials have expressed continuedsupport for NATO's Open Door policy with regard to future candidate countries.
In early 2001, an eight-month conflict between ethnic Albanian insurgent forces andMacedonian police and security forces threatened to derail the country's fragile stability and lead toanother extended conflict in the Balkans. Later that year, U.S. and European intervention led to thesigning of the Ohrid Framework Agreement, which outlined a package of political reforms to expandthe rights of the ethnic Albanian minority while rebel forces were disarmed and disbanded underNATO supervision. Implementation of the Ohrid agreement proceeded slowly at first but hasprogressed in recent years. Numerous challenges in 2004, including the accidental death of PresidentTrajkovski and violent inter-ethnic incidents in neighboring Kosovo, threatened to increase politicalinstability. However, an opposition-sponsored referendum on November 7, 2004, which sought tohalt plans for decentralization and local governmental reforms called for under the Ohrid accords,failed due to low turnout. Municipal elections under the new redistricting plan took place in March2005. The multi-ethnic coalition government that was elected after the 2001 conflict looks likely tocomplete its term until 2006.
The United States continues to support multilateral efforts to stabilize Macedonia, but hasincreasingly looked to the European Union to play a larger international role in the Balkans, startingwith Macedonia. In March 2003, the European Union launched its first military mission inMacedonia, taking over from a small NATO presence. The EU military mission, which has alsoserved as a test case for the EU's ability to carry out its own defense policy, concluded its operationon December 15, 2003. The EU maintains a police training mission in Macedonia.
Macedonia's long-term goals, shared by the United States and the international community,include full membership in NATO and the European Union. NATO has pledged to uphold its "opendoor policy" for NATO candidate countries such as Macedonia, Albania, and Croatia. Macedoniahas concluded a Stabilization and Association Agreement with the EU, applied for EU membershipin early 2004, and anticipates formally being named an EU candidate country by the end of 2005.EU and U.S. officials urged Macedonian voters to stay on track with reforms consistent with theOhrid agreement, and praised them for endorsing Euro-Atlantic integration with the widespreadboycott of the November 7 referendum. On the eve of the referendum, the United States announcedits decision to recognize Macedonia by its constitutional name, the Republic of Macedonia, ratherthan its interim name, The Former Yugoslav Republic of Macedonia, as an expression of supportto a multi-ethnic and democratic state. Its name, however, remains in dispute with neighboringGreece, and U.N.-sponsored talks to resolve the dispute are ongoing.
Related reports include CRS Report RL31053 , Kosovo and U.S. Policy , and CRS Report RL32136 , Future of the Balkans and U.S. Policy Concerns . This report may be updated as eventswarrant.