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Context of 'November 6, 1947: Yugoslavs Again Push for Economic Unification of Albania and Yugoslavia'

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In Belgrade, Nako Spiru, Albania’s economy minister, and Boris Kidric, Yugoslavia’s minister of industry, sign a 30-year treaty unifying Albania’s economy with Yugoslavia. They agree to coordinate economic planning, make the value of Albania’s lek dependent on the value of Yugoslavia’s dinar, equalize prices (not based on international market prices), and create a customs union under Yugoslavia’s rules. According to author Paulin Kola, Albanian communist leader Enver Hoxha praises the treaty highly, while Hoxha will later say he had many reservations. According to the Albanian communists’ official history, the Albanian government and Hoxha think economic conditions make currency parity impossible to achieve on Yugoslavia’s schedule and they say Yugoslavia sets parity “on an altogether arbitrary basis to the advantage of the dinar.” Albania also has reservations about unifying prices. It says the customs union is set up to benefit Yugoslavia, later causing shortages and inflation in Albania. Joint companies are later set up based on the convention, and Albania will complain that it is providing the capital it promised, while Yugoslavia provides not “even a penny in the original funds” but still “appropriated half of the profits.” A joint commission to coordinate the economies is created, and the Albanian government says Yugoslavia tries to “turn it into a super-government above the Albanian government.” Yugoslavia is supposed to provide two billion leks of credit in 1947, but reportedly does not provide even one billion, and credit in goods is overvalued by two to four times more than their prices in international trade. Yugoslavia provides four factories, which Albania considers too small and decrepit. The Albanian government subsequently says that the withholding of promised credit hinders the economic plan for 1947, and Albania says that the 1948 credits are also lacking. [PLA, 1971, pp. 306-309; Kola, 2003, pp. 78-79]

Entity Tags: Enver Hoxha, Albania, Boris Kidric, Yugoslavia, Paulin Kola, Party of Labor of Albania, Nako Spiru

Timeline Tags: Kosovar Albanian Struggle

When his plane lands in Leningrad on a trip to the Soviet Union, Albanian communist leader Enver Hoxha receives a letter from Albanian Economy Minister Nako Spiru. The letter says that Yugoslav communist leader Svetozar Vukmanovic-Tempo told Albanian Interior Minister Koci Xoxe in Tirana before the delegation left for the USSR, “The union of Yugoslavia with Bulgaria has been achieved in principle. It is not good that Albania should lag behind.” When Hoxha asks Xoxe about it in Leningrad, Xoxe denies that it happened. Hoxha will later claim he first learns of the impending union of Albania with Yugoslavia from Yugoslavia’s envoy to Albania Savo Zlatic in November 1947, leading him to believe Xoxe lied in July. [Hoxha, 1982, pp. 362-363]

Entity Tags: Yugoslavia, Albania, Enver Hoxha, Svetozar Vukmanovic-Tempo, Koci Xoxe, Nako Spiru

Timeline Tags: Kosovar Albanian Struggle

Yugoslavia’s envoy to Albania Savo Zlatic requests a meeting with Albanian Prime Minister Enver Hoxha and Interior Minister Koci Xoxe regarding the views of the Central Committee of the Communist Party of Yugoslavia (CPY) on relations between the two countries. According to Hoxha’s later account, Zlatic starts by saying, “A general decline in our relations is being observed, and especially in the economy our relations are quite sluggish.” The Yugoslavs say disputes in joint enterprises are constantly being taken to an arbitration commission, that there is an improper attitude towards the Yugoslav advisers, and that Albanians are accusing the Yugoslavs of not fulfilling their obligations while being lax about fulfilling their own commitments.
Plans for a Balkan Federation - Zlatic says Yugoslav relations with Hungary, Romania, and Bulgaria are advancing much more than relations with Albania. Further, Zlatic says Albania’s draft five-year plan is autarchic, in going beyond grain growing and light industry, when the Yugoslavs can provide the products of heavy industry. Hoxha will later say that the Albanian leadership never intended to make their economy “an appendage of the Yugoslav economy” in the way Zlatic is suggesting, although perhaps Albanian Economy Minister Nako Spiru did when he signed an Economic Convention in Belgrade (see November 27, 1946). Hoxha says Spiru kept silent about any concerns he had. Hoxha will also later claim that Xoxe knew of plans for union between Yugoslavia and Albania, but he did not. Zlatic says “The present-day Yugoslavia is its embryo, the nucleus of the federation [of Yugoslavia, Albania, and Bulgaria],” and “In practice the ‘economic union’ is the federation itself.” The Yugoslav plan is to form joint military, culture, and foreign policies later, and include additional countries. The leadership should only talk about economic unification for the time being, Zlatic says, but “this is the best way for the rapid development of the relations of our joint economies,” which is a necessity for Albania. Therefore, Zlatic says, this is not Yugoslav “pressure” to unify. Zlatic says Spiru “put his trust in the advice of the Soviets” regarding the five-year plan, creating a “wrong, unrealistic, anti-Yugoslav and anti-Albanian” plan. Hoxha will later recount saying that the Albanian leadership sent Spiru to consult the Soviets and backs the plan. Yugoslavia calls for a strengthened Co-ordination Commission, as “a kind of joint economic government,” but Zlatic cannot give Hoxha details. The Yugoslavs have not allocated funds for Albania’s five-year plan, so Zlatic says there should only be a one-year plan for 1948. Scholar Paulin Kola will later write that Zlatic says Albania receives more aid than a republic of Yugoslavia and that Zlatic repeats the Yugoslav demand that Albania not make economic agreements with other countries without Yugoslavia’s approval.
Yugoslavs Accuse Spiru of Treason - Zlatic blames all of the problems on Spiru and his allies, while Hoxha expresses doubt and says Spiru is not in control. Zlatic says Spiru lied about Yugoslavia promising 21 billion dinars to Albania. Hoxha will later say that the Vice-President of the State Planning Commission, Kico Ngjela, verifies that the Yugoslavs promised the funding. Spiru is allegedly an “agent of imperialism” sabotaging Yugoslavia’s relations with Albania and the USSR. Hoxha requests Zlatic’s statements in writing, and Zlatic is evasive. Hoxha will later say the Yugoslavs’ real attack was on him, and that the allegations were a signal to Xoxe to try to replace him. [PLA, 1971, pp. 312; Hoxha, 1974, pp. 750 -753; Hoxha, 1982, pp. 353-373; Kola, 2003, pp. 89-90]

Entity Tags: Party of Labor of Albania, Koci Xoxe, Kico Ngjela, Enver Hoxha, Albania, League of Communists of Yugoslavia, Nako Spiru, Yugoslavia, Paulin Kola, Savo Zlatic

Timeline Tags: Kosovar Albanian Struggle

At the Eighth Plenum of the Communist Party of Albania’s Central Committee, Yugoslavia’s criticism of the CPA and the Yugoslav plan to accelerate unification are endorsed. Koci Xoxe, as interior minister and the CPA’s organizational secretary, uses his power to threaten, remove, or arrest people. Mehmet Shehu is barred from the meeting. In an unusual turn, there is no report to the Plenum, other than what Prime Minister and CPA General Secretary Enver Hoxha will call “a so-called conclusion of a meeting of the Political Bureau,” presented by Xoxe. According to Hoxha, Xoxe conspires with Xhoxhi Blushi, Nesti Kerenxhi, Pellumb Dishnica, Tahir Kadare, Gjin Marku, and others, who turn the meeting from questions of substance to reviewing alleged misconduct by the recently deceased Economy Minister Nako Spiru and others. Hoxha does accept some of the criticisms of Spiru, Liri Belishova (Spiru’s wife), and Shehu; many years later Belishova and later Shehu will be charged with treason. At the Plenum, it is implied that Hoxha allowed Spiru to act. Xoxe and Pandi Kristo urge the Plenum to expand its criticism of the leadership, but Hoxha will later say his clean record prevented attack, and he makes few comments. According to Hoxha, Xoxe comes close to accusing him of leading a faction with Spiru. Nonetheless, Hoxha later says that he thinks the majority in the CPA and Albania do not approve of the Plenum’s conclusions. The Political Bureau is enlarged. A committee is formed to draft a resolution to be approved at a later Plenum.
Results of the Plenum - According to the official party history, Xoxe uses intimidation and surveillance to control the party and plans to execute opponents, weakens mass organizations such as the unions, and wants to abolish the Communist Youth Organization, formerly headed by Spiru. Yugoslav advisers become unquestionable. The Co-ordination Commission becomes “almost a second government,” and joint companies come under Yugoslav control. Fraternization is encouraged to make unification look like a popular demand. Hoxha prevents Xoxe from expelling all Soviet advisers, merging the Albanian military with the Yugoslav military, and unifying the countries. Subsequently Savo Zlatic, Xoxe, Kristo, and Themelko will say the Soviet advisers are generally no longer needed, but Hoxha, Hysni Kapo, and Gogo Nushi are able to keep them in the country. Yugoslavia wants Albania to request unification, and the Political Bureau decides to ask for clarification from Yugoslavia and the USSR leadership.
Varying Accounts - According to Albanian academic Paulin Kola, Hoxha will endorse federation at a Political Bureau meeting on March 14 and say that was the plan from the beginning, and is ready for formal announcement. Kola will portray both Hoxha and Xoxe as pro-Yugoslav and pro-Soviet. [PLA, 1971, pp. 314-317; Hoxha, 1982, pp. 446-469; Kola, 2003, pp. 92]

Entity Tags: Nako Spiru, Nesti Kerenxhi, Enver Hoxha, Mehmet Shehu, Liri Belishova, Kristo Themelko, Pandi Kristo, Hysni Kapo, Koci Xoxe, Party of Labor of Albania, Paulin Kola, Pellumb Dishnica, Yugoslavia, Albania, Albanian Communist Youth Organization, Xhoxhi Blushi, Union of Soviet Socialist Republics, Gogo Nushi, Savo Zlatic, Tahir Kadare, Gjin Marku

Timeline Tags: Kosovar Albanian Struggle

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