Serbia, Kosovo reach historic deal
Serbia to cede last foothold in Kosovo in return for EU membership consideration; 'And the white smoke is out!' tweets Kosovo minister after deal signed
Serbia agreed to cede its last remaining foothold in the country's former province of Kosovo on Friday, striking an historic accord to settle relations in exchange for talks on joining the European Union.
The deal, brokered by the EU, capped six months of delicate negotiations and marks a milestone for the region's recovery from the collapse of Yugoslavia in the 1990s.
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If implemented, it could unlock Serbia's potential as the largest market in the former Yugoslavia, taking the country from international pariah under late strongman Slobodan Milosevic to the threshold of mainstream Europe.

Celebrating Kosovo independence in Pristina, 2008 (Photo: Reuters)
"And the white smoke is out! Habemus pactum! Happy:)))" Kosovo's EU's integration minister, Vlora Citaku, tweeted after the prime ministers of both sides initialled a two-page plan outlining an end to the ethnic partition of Kosovo between its Albanian majority and a small, Belgrade-backed pocket of some 50,000 Serbs in the north.

Belgrade riots after Kosovo independence (Photo: AP)
The schism has dogged regional stability and development since Kosovo seceded from Serbia in 2008.
The Kosovo Serbs will almost certainly resist in a region bristling with weapons and deep animosity, and were already demanding a referendum on the deal.
In exchange for limited autonomous powers for the Serb north, Serbia agreed not to block Kosovo's path to eventual membership of the EU - a concession Kosovo hailed as recognition of independence.
"This agreement is de-jure, legal recognition by Serbia, which will open the way for Kosovo to join international organizations," Kosovo Prime Minister Hashim Thaci, who led a guerrilla insurgency against Milosevic's forces in 1998-99, told reporters.
Serbia says it will never recognize as sovereign a territory it considers the cradle of the Serb nation.
Kosovo is recognized by over 90 countries, including the United States and 22 members of the 27-nation EU that Serbia wants to join. But it has yet to join the United Nations, something Serbian ally and UN veto-holder Russia holds the key to.
Diplomats said the accord was likely to win a provisional green light on Monday from the EU for the start of membership talks with Serbia. A formal decision would come in June.
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