JusticeFace Pro
JusticeFace Pro
Jul 16, 2026
Andorra

EU Council approves association agreement with Andorra and San Marino

On July 16, 2026, the Council of the European Union authorized the signing and provisional application of a comprehensive association agreement with Andorra and San Marino. This agreement aims to integrate these microstates more closely with the EU's internal market, ensuring equal competition conditions and adherence to EU regulations.

Key Elements of the Agreement

The association agreement encompasses several critical components:

  • Internal Market Participation: Andorra and San Marino will participate in the EU's internal market under equal conditions, adhering to the same rules as EU member states. This inclusion is expected to enhance economic integration and provide legal certainty for businesses operating across these borders.
  • Financial Services: The agreement includes provisions for financial services, with access to the internal market in this sector being progressive. It will depend on successful audits of the robustness of the two countries' regulatory and supervisory frameworks, with European Supervisory Authorities playing a role in evaluation and monitoring.
  • Cooperation Framework: Beyond economic aspects, the agreement establishes a framework for dialogue and cooperation in areas of common interest, such as research and development, education, social policy, the environment, consumer protection, culture, and regional cooperation.

Next Steps

The pre-signing of the mixed agreement by EU member states is scheduled for September. Following this, the European Commission will sign the agreement on behalf of the EU. After the signature, the Council will seek the European Parliament's consent before formally concluding the agreement.

Background

Negotiations for this association agreement began in 2015, following the Council's adoption of negotiating directives in December 2014. While Monaco suspended its negotiations in September 2023, Andorra and San Marino continued discussions, successfully concluding them in December 2023. The agreement reflects the EU's objective of developing special relationships with neighboring countries and responds to Andorra's and San Marino's interest in building closer ties with the EU.

For more detailed information, refer to the official press release from the Council of the European Union.