The Kosovo conflict, employment issues and the development of a common foreign and security policy dominated the European Council session held in Cologne on June 3-4.

The Council, attended by Mr. Jacques Santer, Acting President of the European Commission, and Mr. Romano Prodi, the President-designate, heard from the EU envoy to Kosovo, President Martii Ahtisaari of Finland. The heads of government of the Member States of the Union congratulated Mr. Ahtisaari on his successful mission to Belgrade with Russian envoy Viktor Chernomyrdin. Their joint endeavours helped lead to a diplomatic settlement to the conflict. Continuing progress toward a common strategy for the purpose of stabilising the Balkans was recognised as a key element of European Union foreign policy.

The summit adopted a declaration on strengthening the common policy on security and defense. The Council envisages closer cooperation between the EU, NATO and the Western European Union in defense matters. This commitment was underlined by the appointment of Mr. Javier Solana Madariaga, secretary general of NATO, to the newly created post of Secretary General of the Council and High Representative for Common Foreign and Security Policy.

In economic matters, the Council welcomed the broad economic policy guidelines prepared by the Commission and endorsed the European Employment Pact, which includes plans for a special European Council on employment, economic reform and social cohesion in the spring of 2000.

The Council decided that institutional reform within the EU will be debated at an intergovernmental conference next year. The objective will be to adapt the EU institutions and their functioning to the requirements of a Union with a greatly enlarged membership. The leaders of the Member States also resolved to maintain the pace of the negotiations with the prospective members from Central and Eastern Europe.

EU leaders meeting in Cologne on 3-4 June 1999. AFP