Free movement talks with likely members closed provisionally

Negotiations on the free movement of services have been provisionally closed with the 10 countries that, according to the EU, could be ready to join by 2004, the Malta-EU Information Centre said in its latest roundup on negotiations.

The 10 countries are: Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia.

Negotiations on this chapter were also closed with Bulgaria but have not yet been started with Romania.

The acquis in this chapter relates to Article 43 EC on the freedom of establishment and Article 49 EC on the freedom to provide services. It also relates to financial services: banking, insurance and investment services and securities markets.

The acquis in this sector lays down the minimum requirements for the different types of institutions in order to create a uniform minimum standard based on minimal, home country control and single licence and mutual recognition of national supervisory standards.

The acquis also includes directives on the freedom of establishment and the freedom to provide services for craftsmen, traders, farmers and self employed commercial agents.

Transitional periods obtained Bulgaria: (opened January 2001, closed November 2001) seven years for lower level of investor compensation.

Cyprus: (opened July 1999, closed May 2001) five years for exclusion of cooperative credit and saving societies.

Czech Republic: (opened July 1999, closed March 2001) None.

Estonia: (opened August 1999, closed March 2001) five years for lower levels of bank deposit guarantee and investor compensation.

Hungary: (opened July 1999, closed February 2001) five years for exclusion of two specialised banks and for lower level of investor compensation.

Latvia: (opened August 2000, closed June 2001) five years for exclusion of credit unions and for lower levels of bank deposit guarantee and investor compensation.

Lithuania: (opened July 2000, closed June 2001) Same as Latvia.

Malta: (opened January 2001, closed May 2001) None.

Poland: (opened July 1999, closed November 2000) five years for exclusion of credit unions and a specialised bank and for lower level of investor compensation.

Slovakia: (opened July 2000, closed May 2001) four years for lower level of investor compensation.

Slovenia: (opened July 1999, closed November 2000) two years for lower level of capital requirements for savings and loan undertakings.

All transitional periods start from January 1, 2003.