WASHINGTON (Reuters) – An agreement between Serbia and Kosovo to work on economic ties, hailed by U.S. President Donald Trump on Friday as a “major breakthrough,” reaffirmed pledges to establish highway and railway links but left movement on political normalization on hold.

U.S. President Donald Trump speaks during a meeting with Serbia’s President Aleksandar Vucic and Kosovo’s Prime Minister Avdullah Hoti at the White House in Washington, U.S., September 4, 2020. REUTERS/Leah Millis

Both countries – part of the former Yugoslavia – agreed, for a year, to freeze campaigns advocating for and against normalizing political ties, said U.S. officials, who nevertheless lauded a handful of economic measures as significant progress in the relationship between the two sides.

Speaking in the Oval Office flanked by the two countries’ leaders, Trump said Serbia had also committed to moving its embassy to Jerusalem, and Kosovo and Israel had agreed to normalize ties and

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By Jeff Mason, Andrea Shalal and Jonathan Landay

WASHINGTON (Reuters) – An agreement between Serbia and Kosovo to work on economic ties, hailed by U.S. President Donald Trump on Friday as a “major breakthrough,” reaffirmed pledges to establish highway and railway links but left movement on political normalization on hold.

Both countries – part of the former Yugoslavia – agreed, for a year, to freeze campaigns advocating for and against normalizing political ties, said U.S. officials, who nevertheless lauded a handful of economic measures as significant progress in the relationship between the two sides.

Speaking in the Oval Office flanked by the two countries’ leaders, Trump said Serbia had also committed to moving its embassy to Jerusalem, and Kosovo and Israel had agreed to normalize ties and establish diplomatic relations.

Serbian President Aleksander Vucic told reporters there were still many differences between Serbia and its former province, which declared independence

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