A chance to strengthen influence and institutions: The political and economic position of small states in the EU, what Montenegro can learn

Membership can bring significant benefits, especially in the areas of rule of law, public administration and the fight against corruption, says Strahinja Subotić.

Small states gain greater international importance and greater negotiating power through the Union than they would have individually, says Adnan Ćerimagić.

Since joining the European bloc, Slovenia's GDP per capita has increased from around 13.200 to approximately 31.400 euros, giving Estonia a direct voice in shaping the future of Europe and its own national development.

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They also say that small countries wonder (illustration), Photo: Shutterstock
They also say that small countries wonder (illustration), Photo: Shutterstock
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.

Small states in the European Union are increasingly deciding on key directions of European policies and are demonstrating that size is not an obstacle to influence, but that the key lies in a clear strategy and institutional efficiency - a lesson that is particularly relevant for Montenegro as the most advanced candidate for membership.

"Vijesti" interlocutors believe that EU membership does not mean a loss of sovereignty, but rather an opportunity for small states to more effectively protect their interests through common European institutions, strengthen their international position, and gain greater negotiating power than they would have independently.

They point out that Montenegro could benefit significantly from membership - through access to the single market, European funds, greater investment security and strengthening the rule of law, but that the key to success will be the country's ability to develop functional institutions, a competitive economy and an active role within the EU.

The group of small EU members usually includes those with smaller populations and smaller territories - Malta, Luxembourg, Estonia, Latvia, Lithuania, Slovenia, Croatia, Slovakia, Ireland and Cyprus.

Montenegro would be among the smallest EU members in terms of population, territory, and size of economy.

Program Manager and Senior Researcher at the Belgrade-based Center for European Policy (CEP) Strahinja Subotic says that small states in the EU formally have significant institutional capacity to protect their interests, especially through the Council of the EU where decisions are still made unanimously in a large number of areas, as well as in the European Council where decisions are made by consensus.

He cites several examples that show that even smaller member states manage to gain very relevant positions in the EU. He notes that Robert Mezzolo who comes from Malta, President of the European Parliament, current High Representative for the Common Foreign and Security Policy Kaya Callas is the former Prime Minister of Estonia, while she used to be Jean-Claude Juncker from tiny Luxembourg was the president of the European Commission.

Size is not an obstacle to influence, the key lies in a clear strategy and institutional efficiency: EU Map
Size is not an obstacle to influence, the key lies in a clear strategy and institutional efficiency: EU Mapphoto: Shutterstock

"In practice, their influence depends mostly on the quality of the administration, i.e. staff, and the ability to build partnerships with other member states, as well as to gain a good reputation, and the best way to do that is to not abuse their veto," said Subotić.

Analyst at the Berlin-based European Stability Initiative (ESI) Adnan Ćerimagić points to the experiences of Slovenia, Estonia, Malta and Luxembourg which show that the size of a country is not a decisive factor for success within the EU.

Estonia, he says, has built a strong international identity through digitalization and efficient governance, while Luxembourg has become an important financial center thanks to its strategic positioning and institutional stability.

"For Montenegro, the key lessons would be to invest in institutions, administrative capacity, education and clear economic specialization, instead of relying solely on market size," he said.

Slovenia: Higher growth, stronger and the main challenge of aligning interests

The Ministry of Foreign and European Affairs of Slovenia told "Vijesti" that EU membership has brought their country key economic, political and development benefits, including access to a single market of around 450 million consumers.

Since joining the EU, they say, the volume of Slovenian exports and imports has increased almost fivefold, GDP per capita has increased from around 13.200 euros in 2003 to approximately 31.400 euros in 2024, while the standard of living has reached 92 percent of the EU average. The standard of living in Montenegro is around 50 percent of the European average.

They also point out that EU membership has allowed Slovenia to have a greater voice in international relations than it would have as a small state acting independently.

As a small country within the EU, Slovenia sees the key challenge of aligning national priorities with broader European interests.

Slovenia became a member of the EU on May 1, 2004, in the largest wave of enlargement, when a total of ten countries joined the Union.

Estonia: A direct voice in shaping the future of Europe

The Estonian Ministry of Foreign Affairs told Vijesti that EU membership gives the country a direct voice in shaping the future of Europe and its own national development.

Estonia, which joined the EU when Slovenia did, in 2004, believes that the Union's institutional structure allows small states to be represented in decision-making in key areas, from security to economic growth.

They point out that for small states, the most significant challenges often arise from the geopolitical environment, and for Estonia, security and defense are currently at the forefront due to Russian aggression against Ukraine.

Maybe the next enlargement commissioner will be from Montenegro

Strahinja Subotić states that experience shows that small states can build a strong international profile if they specialize in certain areas and invest in efficient institutions:

"Montenegro could identify sectors in which it has comparative advantages and build its negotiating power through them."

His advice is that Montenegro should not repeat the mistake of Croatia, which, when it became a member in 2013, completely forgot about the rest of the region.

He says that Montenegro is already deeply integrated with other countries in the region and believes that its comparative advantage could be that it could use its membership position as a strong and stable bridge to the Western Balkans and, on behalf of the Union, actively work to preserve regional cooperation and strengthen integrative ties between the Union and the countries that have yet to become members.

Montenegro can use its membership position as a strong and stable bridge to the Western Balkans: Strahinja Subotić
Montenegro can use its membership position as a strong and stable bridge to the Western Balkans: Strahinja Subotićphoto: CEP

"In that case, who knows, maybe the next Commissioner for Enlargement will be from Montenegro, which would be an ideal opportunity to implement a cohesive approach to enlargement."

The challenge remains maintaining competitiveness.

Subotić points out that although small countries often benefit greatly from EU membership, the challenge remains maintaining competitiveness in conditions of strong market competition and limited domestic capacities.

He believes that the advantage of this wave of enlargement is that the candidate countries, including Montenegro, have worked for a long time to develop and deepen economic relations with the EU, so that it should be a comparatively smaller shock for it and other countries in the region upon achieving membership than was the case during, for example, the 2004 enlargement round, when countries that had only been waiting in line for a few years managed to join the EU.

It indicates that the EU accession process, but also membership itself, can significantly contribute to strengthening institutions, especially in the areas of the rule of law, public administration and the fight against corruption.

Unlike previous rounds of enlargement, when states were expected to work on the rule of law, now, he says, it is more strongly integrated in every sense as an explicit requirement that implies both the adoption and implementation of key reforms.

"Monitoring is therefore stronger than it was before, and the same now applies after membership. I emphasize this because the EU has developed additional conditionality mechanisms for all member states over the past decade."

He points to the example of Hungary and how big the news was when the European Commission froze almost 20 billion euros due to democratic backsliding.

In addition, as he added, Montenegro will have an additional incentive, because it will have additional protective mechanisms within its act (treaty) of accession, which will in another way allow the Union to send a message to Montenegro that it is worth working on rooting out reforms even after achieving membership.

According to him, EU membership implies sharing a part of sovereignty, but at the same time gives states the opportunity to participate in making decisions that would certainly affect them outside the Union.

He states that the experience of existing members shows that small states have in no way lost their political identity or the ability to protect national interests, but have instead gained additional instruments of influence in many areas.

Protecting interests through alliances

Ćerimagić believes that small states in the EU formally have an equal institutional position in many key decision-making processes.

Although, as he says, large members have greater political and economic weight, practice shows that small states can very successfully protect their interests through alliances, professional administration, and clearly defined priorities.

"Montenegro, as a future member, would have access to mechanisms that enable smaller states to participate in European policymaking, especially in areas where there is consensus or a qualified majority."

He also believes that small EU countries often benefit significantly through access to the single market, European funds and greater investment security, but at the same time face challenges in maintaining competitiveness, especially due to a limited domestic market and sensitivity to external economic changes.

"Successful small members are mostly those that have developed flexible economies, stable institutions and the ability to quickly adapt to European and global trends," said Ćerimagić.

Successful small members are mostly those that have developed flexible economies, stable institutions and the ability to adapt quickly: Adnan Ćerimagić
Successful small members are mostly those that have developed flexible economies, stable institutions and the ability to adapt quickly: Adnan Ćerimagićphoto: ECFR

He says that the accession process itself encourages reforms in the judiciary, public administration and regulatory framework, while membership brings additional oversight, standards and support from European institutions.

"For Montenegro, this could mean greater institutional stability, stronger investor confidence and a stronger international position than it would have outside the European framework."

The issue of sovereignty, as Ćerimagić says, is legitimate, but the experience of existing members shows that the EU is more about sharing sovereignty than losing it.

He explains that states transfer some of their powers to the common level in order to have greater influence in areas that they find difficult to control on their own, such as trade, energy or security.

"Small states often gain greater international significance and negotiating power through the EU than they would have individually."

As he adds, membership implies compromises and alignment with common rules, but practice shows that "small members generally do not lose their identity or the ability to protect key national interests."

Slovenia has progressed towards a more inclusive and environmentally sustainable society

The Ministry of Foreign and European Affairs of Slovenia said that by entering the single European market, Slovenian companies have gained direct access to approximately 450 million consumers, which stimulates economic growth, competitiveness and job creation.

They remind that the Slovenian economy is highly export-oriented - trade accounts for between 80 and 90 percent of Slovenian GDP, with as many as 96 percent of small and medium-sized enterprises focused on foreign markets.

"Since joining the EU, the volume of exports and imports has increased almost fivefold, and around 60 percent of Slovenia's total trade today is with other EU member states," the Slovenian Ministry said.

They added that European funds also play an invaluable role, supporting infrastructure development, digitalization, research, and the green transition.

They state that the statistical indicators are very clear: Slovenia's GDP per capita increased from around 13.200 euros in 2003 to approximately 31.400 euros in 2024, while the standard of living increased from 78 percent of the EU average in 2004 to 92 percent of the EU average in 2024.

"By adapting its policies to European standards and regulations, Slovenia has progressed towards a more inclusive and environmentally sustainable society," they said.

As one of the most important achievements of membership, they highlight entry into the Schengen area in 2007, which enabled Slovenian citizens to cross borders freely, strengthened contacts between people, the economy and cross-border cooperation, and connected Slovenia even more closely with neighboring countries, all of which are now EU members.

In addition, as they state, EU membership has allowed Slovenia to have its voice heard further than it would have been the case independently.

They explain that through common European institutions, Slovenia directly participates in shaping European legislation, while in international relations, Slovenia's influence as a small state is closely linked to the strength of the EU as a whole.

"In a time of geopolitical conflicts, economic uncertainty and rapid technological change, it is particularly important that member states pursue their interests more efficiently through a single European framework, based on a common approach, internal connectivity and strategic action," the Slovenian Ministry said.

They cite the challenge for Slovenia as a small country within the EU, especially in terms of political influence, decision-making and economic opportunities, of harmonizing national priorities with broader European interests.

They say that Slovenia is therefore actively building partnerships and alliances in areas of strategic importance to it. Among other things, it strongly supports the strengthening of the EU internal market, a strong and resilient cohesion policy, the green transition, the development of rural areas and the EU's enlargement to the Western Balkans. It also actively participates in the Group of Friends of the Rule of Law and supports the strengthening of the European Research and Innovation Area.

When asked how EU membership affects Slovenia's ability to make independent decisions on key issues and whether there is room for preserving national interests within the EU, they respond that they strive for common European solutions to reflect the interests of smaller states, as well as the specificities of local and national environments.

They say that they do not see EU membership as a limitation of sovereignty, but rather as an opportunity to strengthen their international role and more effectively pursue national interests within a broader European framework.

They state that membership is based on the principle that member states exercise some of their competences jointly, because they face contemporary challenges - from trade and the single market, through competition rules, to migration or environmental and climate policy - more effectively collectively.

"Member states retain an important role in shaping common policies and protecting their national interests," they pointed out.

Slovenia, they say, already in the earliest stages of planning and preparing legislative proposals points out its specificities and interests, especially on issues that have important national consequences, "whereby they can say that they have been listened to." Within the framework of negotiations and consultations, a balance is then sought that ensures that sensitive issues are adequately addressed.

Migration requires a unified, coordinated and long-term response

The Slovenian Ministry reminds that migration has been one of the most challenging issues the Union has dealt with in the past few years. In search of solutions and a balance between protecting external borders, an efficient asylum system, respecting human rights and attracting talent to the EU, member states agreed in 2024 on the Pact on Migration and Asylum, which will enter into force on 12 June 2026.

Slovenia, they add, as a transit country on the Western Balkan migration route, has consistently advocated the position that migration is a European challenge that requires a unified, coordinated and long-term response at the level of the entire Union.

"We advocate for common European solutions, stronger protection of the EU's external borders, effective cooperation between member states, and faster and more efficient migration processing procedures," they said, noting that the issue of migrant smuggling also remains pressing.

When asked what reforms they consider necessary to strengthen the role of small states within the EU, and how Slovenia contributes, they answer that in the current geopolitical circumstances the EU must strengthen its geopolitical and geoeconomic role in the world.

They explain that the EU must strengthen its economic strength, primarily by further deepening and completing the single market, which is based on all four freedoms.

"A stronger European project must also contribute to greater common security and defence, and strengthen the Union's ability to independently protect its interests and values. In order for the EU to strengthen its role as a global partner, it will also need to increase its ability to make timely decisions and act strategically at key turning points."

They emphasize that the strength of an individual member state is closely linked to the strength of the EU, therefore they support proposals to strengthen the EU's ability to act effectively, including discussions on more flexible, or narrower formats of cooperation between member states, as well as more efficient decision-making methods, for example in the area of ​​common foreign and security policy.

Slovenia, they remind, also actively participates in the informal Group of Friends for Improving Decision-Making, which discusses the possibilities of wider use of qualified majority voting (QMV) in the area of ​​the EU's common foreign and security policy within the framework of the currently valid founding treaties.

"In these discussions, Slovenia supports the search for solutions that would enable the European Union to operate more efficiently, while at the same time preserving appropriate protection mechanisms for key national interests, which is especially important for smaller member states."

Estonia fully represented in decision-making

The Estonian Ministry of Foreign Affairs said that EU membership gives them a direct voice in shaping the future of Europe and their own national development.

As they say, the Union's institutional structure is designed so that Estonia and other small member states are fully represented in decision-making in all key policy areas, from security to economic growth.

Even smaller members manage to gain significant positions in the EU: Kaja Kalas is the former Prime Minister of Estonia
Even smaller members manage to gain significant positions in the EU: Kaja Kalas is the former Prime Minister of Estoniaphoto: Reuters

"Continued dialogue between EU countries also strengthens our bilateral relations, helps us build alliances, advance our priorities and provide support for initiatives that can ultimately be adopted across the Union."

They state that for small states, the most significant challenges are often shaped by the geopolitical situation in the immediate and wider environment.

They recall that currently security and defense dominate the agenda, given that their neighboring country is waging war against Ukraine and remains the greatest threat to European security.

"Faced with Russian aggression, but also with less serious difficulties, the most important thing is that we do not face these challenges alone, but rather that we join forces with partners of similar views and provide a coordinated response. The EU sanctions against Russia are a good example of the mobilization of the entire EU around a single goal, and we are glad that Montenegro is also aligning itself with these restrictive measures."

There have been no challenges they haven't overcome.

When it comes to challenges at the EU level, Estonia finds it significant that the Union is largely focused on finding solutions that suit everyone.

Since, as they add, interests can sometimes be different, member states can obtain exemptions or transitional periods, if truly necessary.

“Besides, there has not yet been a challenge that we have not been able to overcome. However, small states sometimes have to work harder on coalition building, because many decisions require qualified majority voting, and this system, among other things, takes into account how much of the EU population is represented in the decision-making process.”

However, they add, unanimity is still required for decision-making in one of the most important areas, namely the common foreign and security policy.

When asked how EU membership affects Estonia's ability to make independent decisions on key issues and whether there is room for preserving national interests within the EU framework, they answer that the Union strives to make decisions based on consensus, which makes negotiations on policies, initiatives, and directives more extensive and inclusive.

Estonia sees migration and security within the EU as closely interlinked issues that require a common European approach based on solidarity, responsibility and the protection of the EU's external borders. As a country on the EU's external border, Estonia considers security and border management to be particularly important.

"Estonia also believes that irregular migration and human trafficking must be addressed decisively and effectively, while at the same time providing protection to those who truly need it. Estonia remains committed to international law."

In their opinion, migration policy must be balanced, humane and must ensure the security and stability of the European Union.

Estonia is concerned about the instrumentalization of migration by hostile states for the purpose of political pressure or destabilization, the ministry said. They believe that such hybrid activities pose not only a migration challenge, but also a broader security challenge for the EU as a whole.

A seat at the table with full rights, but also with responsibility

When asked what reforms they consider necessary to strengthen the role of small states within the EU, they said that being a member state provides a fundamentally different type of action. This, they explain, means having a seat at the table, not only with full rights, but also with full responsibility.

As they added, Estonia's internal adjustment from candidate country to full member state was not rapid, and prior to accession, they paid relatively little attention to this transformative change.

"Our integration continued long after joining the EU, with key priorities such as joining Schengen and introducing the euro. At the same time, the EU itself was undergoing a constitutional transformation that culminated in the Treaty of Lisbon."

This, they added, created new and influential actors: the European Council developed into a fully-fledged institution, a High Representative/Vice-President and the EEAS (European External Action Service) were established, and the European Parliament gained full equality as a co-legislator.

“All of this has reshaped both our statehood and our membership. The EU acquis has grown from around 20.000 to 40.000 pages, and today it is difficult to find an area where the EU is not active. As a result, most national administrations are deeply involved in, and often heavily burdened by, EU matters.”

The Estonian Ministry states that one of the most important lessons learned was that EU affairs are internal, not external, affairs. They are "specific, often technical, and historically somewhat kept out of the public eye."

As one of the most important achievements of membership, Slovenia highlights its entry into the Schengen area in 2007, which enabled Slovenian citizens to cross borders freely, strengthened contacts between people, the economy and cross-border cooperation, and connected the country even more closely with its neighbors.

“A parliament within a parliament”

The Estonian Ministry of Foreign Affairs states that the country has adopted the Nordic model of complete transparency and strong government coordination.

They explain that in practice they had to reverse the approach and change the way they functioned 180 degrees, moving away from the mentality of adaptation, transposition of regulations and negotiation that is typical of a country in the accession process.

They integrated EU affairs into the domestic decision-making system, they say, and applied full domestic constitutional logic to the development of Estonian positions in EU decision-making. This change also required that Parliament retain its constitutional role as both legislator and executive control.

“Simply put, we have created a ‘parliament within a parliament’ through a strong EU Affairs Committee. Estonian positions only become official when adopted by Parliament. We have integrated EU participation into the government’s regular decision-making procedures: preparation of cabinet meetings, formal requests for decisions, transparency, public consultations, impact assessments, budgeting and law-making rules,” they explained.

Timely implementation and transposition of regulations have also become even more important, the Ministry said.

As a small member state, Estonia, they say, must be proactive in the early stages of policy and legislative development, as the European Commission's impact assessments often rely on large averages that do not reflect specific circumstances.

This, they add, has required a new set of skills from civil servants, who are now fully involved in the development of EU policies.

The result, they say, is a more capable and professional civil service.

They emphasize that the next phase is the transition from coordination to co-creation, using digital tools and cloud-based solutions.

"Becoming a member state is not the end of the road, but the beginning of a continuous journey," they said.

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