Andorra and San Marino sign an association agreement to move closer to the EU

Today, the Commission signed an association agreement with Andorra and San Marino, bringing both countries closer to the EU and setting a clear, comprehensive framework for deeper economic and institutional integration. The agreement gives Andorra and the Republic of San Marino access to the internal market under common rules and fair competition conditions. It gives citizens, businesses and public authorities greater legal certainty and predictability, facilitates trade, supports investment and encourages cross-border economic activity, while respecting the specific characteristics of both partners. It also sets up a framework for dialogue and cooperation in areas of common interest, including research and innovation, education, social policy, the environment, consumer protection, culture and regional cooperation. In financial services, integration will happen gradually and under specific conditions, including an assessment of the soundness of the partners' regulatory and supervisory frameworks. The EU also signed updated monetary agreements with Andorra and San Marino to address overlaps with the new association agreement and provide greater legal certainty. Next steps After signature, the Council will seek the European Parliament's consent before proceeding to conclude the agreement. It will be ready for provisional application as soon as the respective ratification procedures in Andorra and San Marino allow. Background Negotiating directives adopted by the Council in December 2014 authorised the Commission to start negotiations on an association agreement with Andorra, Monaco and San Marino in 2015. After negotiations with Monaco were suspended in September 2023, talks continued with Andorra and San Marino and concluded in December 2023. On 26 April 2024 the Commission presented proposals for Council decisions on signing, provisional application and conclusion, and in July 2026 the Council authorised signature and provisional application. The use of the euro is already governed by separate monetary agreements, signed in 2011 with Andorra and in 2012 with San Marino.