The EU’s Growth Plan for the Western Balkans is shifting from promise to implementation. With a €6 billion facility, early single-market measures, and a new call to mobilize private capital, Brussels aims to speed convergence and integration—while tying money to reforms and regional cooperation. First regular fund releases landed in July 2025 for Montenegro and North Macedonia.
Key Takeaways
- €6 billion Reform and Growth Facility (2024–2027) links funding to concrete reforms and rule-of-law benchmarks.
- Early access to parts of the EU Single Market is offered before full accession, alongside deeper regional cooperation.
- Call for private investment launched in April 2025 targets large projects in green, digital, transport, and critical raw materials.
- Auditors and analysts warn on enforcement and scale; success hinges on rigorous conditionality and local political will.
What The Plan Does
Adopted in November 2023, the Growth Plan seeks to accelerate economic convergence and EU integration by:
- Phasing in single-market benefits (e.g., free movement of goods and services, SEPA, transport facilitation, energy market decarbonization, digital market access, and supply-chain integration).
- Boosting regional economic integration via the Common Regional Market, a stepping-stone to EU rules and standards.
- Advancing governance, rule of law, and economic reforms through national Reform Agendas.
New Call For Private Investment
At the 2025 ADRIA Summit, the EU opened a Call for Expressions of Interest to catalyze private investment. Eligible projects (minimum €10 million, with at least 15% own resources) span:
- Green transition and decarbonization
- Integration into EU industrial supply chains and manufacturing
- Critical raw materials
- Sustainable transport and digital transition
- Sustainable tourism, human capital, and impact finance
The Commission will match strong proposals with policy, technical, or financial support.
Money And Conditions
The Reform and Growth Facility totals €6 billion (€2 billion in grants, €4 billion in concessional loans). Disbursements are conditioned on milestones in approved Reform Agendas; limited pre-financing is possible once agreements enter into force. Initial regular releases occurred in July 2025 for Montenegro and North Macedonia.
Opportunities And Risks
If implemented effectively, the plan could attract nearshoring, spur productivity, and—by the Commission’s estimate—potentially double regional GDP over the next decade. Yet concerns persist about enforceability, the adequacy of funding compared to EU members, and uneven political commitment. Strong monitoring, civil-society engagement, and rewards for progress will be decisive.
What Comes Next
Beneficiaries will finalize facility and loan agreements, request pre-financing, and pursue milestones tracked on an EU scoreboard. Meaningful access to the EU Single Market will depend on tangible delivery under the Common Regional Market and steady reform momentum across the region.
Sources
- The European Union Growth Plan for the Western Balkans: A reality test for EU enlargement, Atlantic Council.
- EU launches Call for private investment in the Western Balkans to drive economic growth and boost EU
integration, Enlargement and Eastern Neighbourhood. - What the EU’s Growth Plan for the Western Balkans means for the region, Atlantic Council.
- Growth Plan for the Western Balkans, Enlargement and Eastern Neighbourhood.
