PERSPECTIVE Early Elections, a Negative EU Report and a Positive ICJ Ruling in 2011 What Is in Store for the Former Yugoslav Republic of Macedonia in 2012? Dane Taleski January 2012 n The EU is worried that democratic reforms are faltering in the former Yugoslav Re­public of Macedonia. The last progress report highlighted weaknesses with regard to media freedom, the judiciary, administration and the fight against corruption. If the trend continues, the country’s EU integration may be downgraded. The govern­ment believes that these assessments are designed to apply pressure on the former Yugoslav Republic of Macedonia to settle the dispute with Greece concerning the name of the country. n The early parliamentary elections on 5 June 2011 brought a more balanced Parlia­ment, but no changes in government. After the elections, the ruling VMRO-DPMNE cracked down on political dissent and continued to promote nationalism. In a coali­tion agreement with DUI they settled some sensitive issues, but failed to finalise the census, which has given rise to inter-ethnic concerns. The opposition is a force to be reckoned with and is maintaining its policy focus, but it is affected by internal divisions. n Lack of economic development and high rates of unemployment and poverty will remain the main challenges for the former Yugoslav Republic of Macedonia in 2012. The name dispute with Greece remains deadlocked, even though the International Court of Justice’s ruling on 5 December 2011 legally strengthened the position of the former Yugoslav Republic of Macedonia. It remains to be seen whether the rul­ing will affect the country’s Euro-Atlantic integration. The NATO summit in Chicago in May 2012 will be a crucial test. With no progress in EU and NATO integration, inter-ethnic relations are likely to remain volatile. While no substantial internal im­provements are expected in 2012, the local elections in spring 2013 will provide an opportunity for new political developments.