The aim of the paper is to analyze the regional integration processes in Western Balkan Countries (CEFTA) and their economical and political objectives and results. The European Union association processes for the countries of Western Balkan means the performance of numerous economical and political reforms in these countries, as well as the acceptance of the principles embraced in the European Union countries. Western Balkan countries have a lot of predefined goals in front of them to be achieved, with more or less success and with great support from different European Union agencies and institutions. On the basis of the estimate of the extent to which the predefined standards are adopted, the countries are progressing on their path towards „Europe“. The data on economic flows in Western Balkan countries will be observed and analyzed in this paper. The data on achieved macroeconomic goals in observed countries, for the five year time period (from the year 2001 to 2005) will be used as the basis for their ranking. Multivariate statistical analysis method used in the ranking will be the I-distance. As the analysis will be based on a great number of variables, the step preceding I-distance determination will be the principal component analysis. The obtained I-distance value can be considered as the measure of the achieved degree in the transition process. The data obtained in this analysis will be compared to those obtained in a similar analysis conducted for these same countrie, however, for the period from 2000 to 2003. The changes in the ranks for the countries in the two analyses can be observed as the indicator of dynamics changes in economies of the Western Balkan countries.

Milica Bulajić, Dragana Kragulj