eye on slovenia 2011 bled strategic forum

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Eye on Slovenia2011 Bled Strategic Forum Focuses on

Power of the Future

No. 46, 23. November 2011Free Edition

ISSN: 1854-4924

Publisher: Slovenska tiskovna agencija, Ltd., Ljubljana, Tivolska cesta 50, in cooperation with the Slovenian Foreign

Ministry, E-mail: [email protected]

Editor-in-Chief: Barbara trukelj, Editor: Maja Lazar JaniOn the web: Eye on Slovenia * Slovenija v ariu STA 2006-2011

Display Issue No. 46 (23.11.2011)

2011 BLED STRATEGIC FORUM FOCUSES ONPOWER OF THE FUTURE

The lake-side resort of Bled was again the place of

deliberations about key global issues as part of the 6th

Bled Strategic Forum, which took place on 9 and 10

September 2011. Running under the title "The Power of

the Future", over 400 participants debated the transition

of power in the international community and other topical

issues. The forum was also an opportunity for high-

ranking guests to hold bilateral meetings.

The host of the forum, Slovenian Foreign Minister Samuel

bogar, praised the debates held at Bled.

bogar laudedthe topics chosen as extremely topical and praised the

novelties of this year's event, including a youth forum

and cooperation with China and Brazil in preparing

individual panels.

Foreign Minister Samuel bogar addresses the press at the BSF.Photo: Stanko Gruden/STA

bogar said that from Slovenia's perspective, the basicgoal of the forum was to consolidate the country's brand

and its image of a place "where topical issues are

discussed, where problems are reflected on to find

solutions". Slovenia should be seen as a modern, active

country, participating in the international community,

while the forum should also help Slovenian entrepreneursbuild business ties abroad.

Taking place in the run-up to the event was the Young

BSF, a forum for 20-somethings from around the world.

As part of the event, round tables were held on the

Western Balkans in 2020 and the central topic of this

year's forum.

Viorel Isticioaia Budura, managing director for Asia and

Pacific at the fledging European External Action Service,

pointed to the fact that the EU's swelling ranks since it

established relations with China was a bonus, since many

countries had had traditionally good relations with China

before joining the bloc.

On a different note, Francis Gurry, director general of the

World Intellectual Property Organization, recalled how

China was investing a lot in R&D and would within two

years overtake Germany in the number of patent filings.

Panel entitled "The EU and China: Strategic Partners andCompetitors". Photo: Daniel Novakovi/STA

FU: BLED MEETING EXCELLENT OPPORTUNITY FORCHINESE COMPANIES

China's deputy foreign minister Fu Ying told the STA on

the sidelines of the Bled Strategic Forum that

conferences such as the one in the Slovenian lake-side

resort were an opportunity for Chinese business to learn

about the ways of investment in the West and for

domestic business officials to get acquainted with

Chinese investors.

Fu stressed that China was looking to upgrade ties with

Slovenia through business cooperation. She said that

China had extensive experience in the development of

transport and energy. Moreover, she assessed that

Slovenia could act as a landing stage for Chinese

investments in the Western Balkans as well as for jointventures. "Slovenia has extensive regional outreach and

is competitive in auto parts manufacturing, chemical and

pharmaceutical industries."


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Young BSF round table on the Western Balkans in 2020. Photo:Neboja Teji/STA

PM PAHOR AND PRESIDENT TRK CALL FORCHANGES PROVIDING STABLE FUTURE

PM Borut Pahor and President Danilo Trk called for a

thorough reflection on the future as they addressed theopening ceremony of the Bled Strategic Forum. Trk

urged solutions coming from within, while Pahor said a

solution would be the forming of a United States of

Europe.

Pahor argued at the outset of the international

conference that the idea of the EU would not survive

without a new contract, one that would above all lead to

a common fiscal policy and eventually a United States of

Europe.

Trk urged action, saying that "the world has found itself

in a situation in which no solutions are yet

discernible...And the search continues. Solutions are not

offered, they are not even articulated." He also arguedthat Europe would have to come up with solutions on its

future on its own.

"The most important aspect of change which Europe

needs today will have to come from within," he said,

adding that "changes always come from within. We saw

this in the Arab world". He highlighted the soft power of

civil society, the soft power of political idea and above all

a sense of responsibility within individual countries and

societies.

The forum was officially opened by Foreign Minister

Sameul bogar, who presented the agenda of the forum.The participants were also addressed by Mayor of Bled

Janez Fajfar and BSF Secretary General Miriam Mogan.

Foreign Minister Samuel bogar, PM Borut Pahor, President Danilo

Trk in CoE Secretary General Thorbjrn Jagland. Photo: TaminoPetelinek/STA

Fu Ying, Vice Minister of Foreign Affairs of China. Photo: DanielNovakovi/STA

PANEL AFFIRMS POWER OF SMALLER STATES INGLOBAL AFFAIRS

The panelists of the debate entitled the Power of Smaller

States in Global Affairs agreed that setting the right

priority fields where they can excel was a key strategy

for small countries to make their way in the international

arena. Interested in the common good, small countries

can also be a bridge between the diverging views of

others.

Chilean Foreign Minister Alfredo Moreno Charme argued

that the growing role of multinational diplomacy had

given small countries more clout than at bilateral level,

while he also pointed to the relativity "behind the idea of

small country", giving the examples of Luxembourg,

Trinidad and Tobago, Tunisia, Palestine. He stressed the

dual nature of support from multinational organisations,saying that while it was an important help, to be

relevant, small countries cannot rely on them or for that

matter on international law. They have to make serious

decisions and have their house in order, he noted.

This view was echoed by Liechtenstein Foreign Affairs

Minister Aurelia Frick, who said the strategy of

Lichtenstein was to present itself as a reliable and active

partner. She highlighted the advantage that a limited

number of vested political interests gives small countries

in terms of the capacity to build a credible bridge among

different views of other countries.

Cape Verde Deputy Minister for Foreign Relations Jose

Luis Rocha meanwhile outlined three key objectives of hiscountry's external relations policy: "The affirmation of

the global nation in the world, the promotion of peace

and global and regional security, and the achieving of

economic goals for the transformation of the country."

Panel on the role of small states in international affairs. Photo:Neboja Teji/STA

STILL HOPE FOR AFGHANISTAN, DESPITE

MISTAKES, PANEL FINDS

When Western powers launched a campaign to bring

down the Taliban regime in Afghanistan ten years ago, it

rekindled hope for a country which had lived with war for

20 ears. The ho e is almost extin uished but


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President Danilo Trk addresses the opening of the BSF. Photo:Stanko Gruden/STA

Prime Minister Borut Pahor addresses the opening of the BSF. Photo:Tamino Petelinek/STA

Foreign Minister Samuel bogar addresses the opening of the BSF.Photo: Tamino Petelinek/STA

participants of the "Restoring Afghanistan" panel

nevertheless remained optimists.

Afghan women's rights advocate Mahbouba Seray noted

how life in Afghanistan was not much better than it had

been ten years ago. Afghanistan had been destroyed "but

we still had hope; today there is total uncertainty about

the future," she said.

The cause of the uncertainty is the decision of the

international community to pull out of Afghanistan after

2014. "Nobody knows what will happen after that," Seraj

noted. But Slovenian Defence Minister Ljubica Jelui wasquick to point out that only combat troops would pull out

of Afghanistan after 2014 whereas development aid and

other kinds of assistance would be beefed up.

The minister further argued that a "wrong tool" may had

been used in the attempts to stabilise Afghanistan. The

British and the Soviets had tried military force before,

but Afghans always found "anti-tools"; the same thing

happened now and the West is lost for answers, she said.

Francesc Vendrell, former UN and EU special

representative for Afghanistan, said many mistakes hadbeen made in Afghanistan. But he said that all was not

lost yet. It is necessary to enhance the role of the UN

and within it the role of third-world countries, he said.

Sarfraz Khan, director of the Area Study Centre at the

University of Peshawar in Pakistan, said that the situation

in Pakistan and Afghanistan was the consequence of

wrong decisions made by the West, which in the 1970s

turned against the progressive democratic forces and

instead chose to support a dictatorship and "those that

are today called terrorists".

Panel debating the rebuilding of Afghanistan. Photo: StankoGruden/STA

SERAY: MORE THAN ONE SOLUTION FORAFGHANISTAN

Afghan women's rights activist and director of Afghan

consultancy Soraya Mashal Mahbouba Seray told the STA

on the margins of the Bled Strategic Forum that the

international community was currently dealing with

Afghanistan as if it was a hot potato. Asked about the

prospects for a solution for Afghanistan, she stressed

that there was more than one solution possible.

"One dimension is the region, cooperation in the region.The philosophy should be 'live and let live'. Why do you

think the world is dealing with Afghanistan as if it were a

hot potato? Because of the money shortage. The

countries cannot afford to stay in Afghanistan any longer.

Finance and the economy are key factors in the world. If


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BSF Secretary General Miriam Mogan addresses the opening of theBSF. Photo: Tamino Petelinek/STA

Bled Mayor Janez Fajfar addresses the opening of the BSF. Photo:Tamino Petelinek/STA

MAIN PANEL EXAMINES CHALLENGES OF THEFUTURE

The growing influence of non-state actors and online

social networks, fear of necessary changes, and enduring

stereotypes were highlighted as some of the key global

challenges at the main panel of the Bled Strategic Forum

running under the tile of the "Power of the Future".

Fu Ying, Chinese vice minister of foreign affairs,

highlighted the enduring stereotypes in relations between

East and West, which Chinese investors frequently face

when they want to invest in the West. Cold War thinking

must be overcome, she said. "China has stepped up a

gear, while we still have the impression that the EU is

pulling the hand brake."

Slovenian Foreign Minister Samuel bogar opined thatstereotypes could be overcome by talking and getting to

know each other better. "This is one reason why the EU

is forging strategic partnerships with countries such as

China," he said.

Richard Boucher, deputy secretary general of the

Organisation for Economic Cooperation and Development

(OECD), agreed that the whole world was facing major

challenges. In his view, Western countries need to take

some major decisions, but it is unclear whether they are

capable of doing that. "There's no magic bullet, hard

political decisions will have to be taken," he said.

bogar turned to the EU and the question of whyEuropean countries do not establish a United States of

Europe. He expressed the view that European leaders

were listening to the voters, who were, however,

increasingly sceptical in the face of the ongoing economic

crisis.

Igor Olegovich Shchegolev, Russian minister of

telecommunications and mass communications,

meanwhile highlighted the growing importance of online

social networks and new media. He argued that since

they brought benefits as well as dangers, some rules

should be put in place.

The panel also featured Mahmoud Salem, an Egyptian

blogger, who presented the situation earlier this yearwhen social networks triggered protests that ended up

toppling long-time President Hosni Mubarak. He said

social networks were the tool for change in Egypt.

The Slovenian foreign minister agreed that non-state

we can ge n epen ence, we w e ne, o erw se we

will be in even greater trouble. We need to take our

future into our own hands. Corruption is killing us, it is

feeding all the negative elements of our country. While

corruption exists everywhere, Afghanis are seeing it in

extreme proportions. We need to educate our people. We

face the danger of being completely used by the powers

around us. We sit on a wealth beneath our feet. We

should use it properly, for the good of Afghanistan and

the whole world. But there is still a long way to go to

achieve this. We must first take steps on our own andthen turn to others for help," said Seray.

Afghan women's rights activist and director of Afghan consultancySoraya Mashal Mahbouba Seray. Photo: Stanko Gruden/STA

EU FUTURE KEY FOR WESTERN BALKANS, PANELAGREES

Providing the Western Balkans a future in the EU is an

essential part of promoting progress in the countries of

the region, a panel held on the second day of the Bled

Strategic Forum heard.

Holding a debate under the title "What Is Next for theBalkans? Responsibility, Power to Progress,

Perspectives", the panellists stressed that implementing

reforms in the region was much easier when done with

the help of European partners, but warned that the EU

must keep an interest in moving the progress of EU

accession along.

Serbian Foreign Minister Vuk Jeremi highlighted that theWestern Balkans had for long been subject to triangular

geopolitics - pressure from the east, west and south-east

- a trend which the current generation had a chance of

breaking out of through European integration. "It would

be a tremendous failure if this generation failed to make

use of this historic opportunity," he said, adding that this

failure would be the responsibility of the region and theEU.

Both Jeremi and his Montenegrin counterpart MilanRoen said that their countries were working hard onmeeting criteria to gain a date to start accession


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actors were ncreas ng y mportant an exerte

increasing influence on the general agenda, highlighting

a massive 2010 clean-up campaign in Slovenia as an

example.

Main panel entitled "The Power of the Future". Photo: NebojaTeji/STA

PANEL DEBATES POST-REVOLUTIONMEDITERRANEAN

The implications of the recent developments in the

Mediterranean were in the focus a Bled Strategic Forum

debate entitled a "New World Order in the

Mediterranean". The Arab Spring was compared to the

changes in Eastern Europe after the fall of the Berlin

Wall. The participants stressed that like in the early

1990s, Europe would have a key role to play in the

democratization of the Arab world.

Secretary General of the Council of Europe Thorbjrn

Jagland highlighted that like in the former Eastern Bloc,

the democratic changes in the Arab world were brought

about from within. He argued that the communist

regimes had undermined themselves by failing to provide

innovation and a future, which was also the case in the

Arab world, which was lagging three decades behind the

rest of the world and was rife with inequality and

corruption.

This view was echoed by Tunisian Foreign Affairs MinistryState Secretary Khemaies Jhinaoui, who said that the

revolution in Tunisa was not so much a consequence of

poverty or recession, but a desire of the people to bring

about democracy and to deal with increases in inequality

and the growing gap between the rich and the poor.

The first Vice-President of the Senate of the Parliament

of the Czech Republic Pemysl Sobotka also contributedhis view, warning among other things against the pursuit

of meaningless uniformity at the expense of the loss of

democratic citizens' freedom. Jagland meanwhile offered

CoE's assistance to the countries in building democratic

institutions and writing new laws.

Jagland also turned to Israel, expressing hope it wasaware of the significance of the changestaking place. He

said that whether these new democracies would treat it

kindly also depended on its ability to make peace with

the Palestinians. Director of the International Center for

Consultations in Israel, Wadie Abunassar, responded by

negotiations with the EU and were deserving of this step.

The Serbian minister warned that a stoppage in the

enlargement process after Croatia joins the EU could be a

cause of regression. "A stoppage is an illusion," he said,

adding that history in the Balkans shows that things are

either progressing or regressing.

Meanwhile, Roen was confident that Montenegro wouldhave an easier time in the accession negotiations than

Croatia and Slovenia before it, because it will be able to

rely on these countries' experiences in the process."Slovenia and Croatia did not have such close friends to

rely on as they went through this process as we have in

them," he said.

High Representative in Bosnia and Herzegovina Valentin

Inzko pointed out that despite problems, the countries of

the region had never been closer to the EU than now. "It

is not a question of whether these countries will be in the

EU, but when," he said. But he stressed that there must

be a domestic responsibility and a domestic vision to

push along the process. "In Serbia and Montenegro,

there is a strong sense of purpose and urgency. We wish

this would appear in Bosnia-Herzegovina as well."

Vice President of the European Bank for Reconstruction

and Development (EBRD) Jan Fischer raised cooperation

in the area of transport and infrastructure as an

important potential for bringing the region closer.

Panel debating the future of the Balkans. Photo: Neboja Teji/STA

FOOD SECURITY DEBATED AT PANEL

Participants of a panel of the 2011 Bled Strategic Forum,

entitled "Food Security - A Reflection of International

Society" agreed that the issue of food security should be

given top priority if the world was to avoid an extremely

unstable future.

WTO Deputy Director-General Valentine Rugwabiza

stressed at the outset of the debate that the vulnerability

of the food system in the world - which presently has

more than 1 billion people suffering from hunger and

more than 2 billion from malnutrition - was also exposed

by the fact that the production of staple food in the world

is very concentrated.

State Secretary at the Ministry of External Relations of

Angola Manuel Domingos Augusto urged less focus on

the reasons for food instability and more on ways to

tackle the problem. He stressed that while being seen as

exclusively an African problem in the past, food securitywas becoming increasingly a global issue.

He argued for new measures in the economic as well as

political sphere, urging partnerships between the private

sector and rural populations, loans without


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saying that Israel would do what it saw as beneficial for

itself, but that this would not necessarily be beneficial for

the Palestinians and Arabs.

Special panel entitled "Search for a New 'World Order' in theMediterranean". Photo: Neboja Teji/STA

ROUND TABLE DEBATES KEY COE REPORT ONDIVERSITY

Slovenian President Danilo Trk and Council of Europe

Secretary General Thorbjrn Jagland hosted a round

table discussing the Council of Europe report "Living

Together: Combining Diversity and Freedom in 21stCentury Europe" on the margins of the Bled Strategic

Forum. The participants agreed that Europe was a

continent of growing diversity.

The report, written by a Group of Eminent Persons led by

former German Foreign Minister Joschka Fischer,

concludes that discrimination and intolerance is

widespread in Europe, especially in relation to Roma and

migrants, who are often treated as foreigners.

"Europe is often called the Old Continent - as such it has

learned to deal with issues of diversity, languages,

cultures and religions," said Trk. He highlighted,

however, that new challenges were appearing related to

migration. The question of how to deal with them is still

open.

Describing why he asked the Group of Eminent Persons

to come up with recommendations on how Europe should

handle diversity, Jagland said that Europe's old problems

such as racism and xenophobia, which led to World War

II, were coming back as immigration is increasing. The

report highlights that each individual has a right to their

identity and that Europe needs to find a common threat

that will keep it together.

"The report is an opportunity for governments, NGOs and

the civil society on how to proceed, how to create

common ground in the face of increasing diversity," hesaid, adding that he was happy that most governments

took the report seriously and were dealing with the

issues at hand.

scr m na on, e se ng up o oca , reg ona an

national markets, the abandoning of the policy of food

donations, which steers countries away from their

traditional crops to imported food, and an end to food

subsidies in rich countries.

Senior Advisor at the Policy Planning Unit at the Brazilian

Foreign Ministry Jose Humberto de Brito Cruz said that

while it was regrettable that food security was an issue,

it was good that it had become a central point of

debates.

Looking at the Brazilian paradox of rich agricultural

resources and the lack of food, he singled out the

problem of an unfair distribution of prosperity. The issue

was given priority status in the country under President

Lula and measures - centred around fairer income

distribution, increased productivity and support to family

agriculture - are producing results.

Executive Director of the Millennium Project from the US

Jerome C. Glenn urged much more radical measures,

explaining that food prices would keep on rising fast

because of a variety of factors that are all moving in the

wrong direction. The 16 factors listed include rising global

population, rising affluence, soil erosion, loss of crop

lands, increasing fertilizer costs, market speculation, low

food reserves, falling water tables, and climate change.

Panel debating food security. Photo: Stanko Gruden/STA

ANSWERS SOUGHT TO ENERGY SECURITY

The world's growing energy needs can most quickly and

cheaply be answered through energy efficiency, the

closing panel of the Bled Strategic Forum heard. To be

effective, this paradigm requires political and social will,

the participants highlighted.

"Energy efficiency is the most important new source of

energy", in the face of demographic and economic

trends, which suggest that global energy consumption atthe current technology could double by 2050,

Ambassador Richard H. Jones, Deputy Executive Director

of the International Energy Agency, told the panel.

Jones voiced doubt that there could be a major shift in

the global energy mix in the short-term, as fossil fuels

are the cheapest source of energy and energy needs

continue to rise rapidly in developing countries such as

India and China.

That energy efficiency is therefore essential was also

highlighted by Dr Doug Arent, Executive Director of the

Joint Institute for Strategic Energy Analysis from the US.

Avoiding energy use by building more energy-efficient

buildings and cars is the cheapest answer to how to caterfor growing energy needs.

Meanwhile, Dr Plinio Nastari, President and Founder of

DATAGRO from Brazil, pointed to the possibility of

substituting gasoline with biogass from sugar cane. He


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President Danilo Trk takes part in a round table debating theCouncil of Europe report "Living Together: Combining Diversity andFreedom in 21st Century Europe". Photo: Stanko Gruden/STA

NIGHT OWL SESSION HIGHLIGHTS POWER OFINNOVATION

If Europe is to catch up with fast growing countries and

successfully overcome the crisis, it needs to be more

innovative and in order to secure that, it needs to foster

an entrepreneurial spirit and improve its education

system. Europe needs to shift a gear higher, agreed the

participants of a Bled Strategic Forum panel on the

power of innovation.

President of the European Enterprise Institute Peter

Jungel stressed the key role that innovation has within

capitalism. He said that entrepreneurs were the only

ones pushing innovation further and that innovation was

Europe's only way out of the crisis.

Jungel argued that six million new entrepreneurs were

the solution for Europe. New companies do not need to

be protected from competition but from politics and red

tape, at least in the first five years of their operations, he

said.

The chairman of Europe Microsoft Corporation Jan

Mhlfeit added to innovation and technology the

importance of education. Europe is still living under the

illusion that China is manufacturing cheap products - in

reality things are changing. Thus, Europe needs to shift

up a gear, he said.

Mhlfeit expressed a conviction that Europe was losing its

capacity for setting up businesses, suggesting that

Europe had manifested its winning mentality in the field

of sport, while failing to do so in business.

Deputy Secretary General of the OECD Richard A.

Boucher moreover stressed the importance of a strong

economic basis - this entails a competitive environment

and access to finances.

President of the BMW group for Central and Eastern

Europe Andrea Castronovo asserted that for BMW

innovation was not everything but the only thing. A lot of

attention is also being given to environment-friendlytechnologies, he added.

Night owl session examines the power of innovation. Photo: DanielNovakovi/STA

JAN MHLFEIT: FUTURE OF COMPETITION INIDEAS

stressed that Brazil had achieved 45% substitution.

He also stressed that Brazil was a safe heaven in the

ongoing financial crisis due to its extensive foreign

currency reserves. "Three quarters of those reserves

have been built up through the export of biogas."

The participants of the panel on energy security. Photo: NebojaTeji/STA

FM HOLDS BILATERAL TALKS ON MARGINS OFBLED FORUM

Slovenian Foreign Minister Samuel bogar was involvedin a series of bilateral meetings on the margins of the

Bled Strategic Forum, holding talks among others with

his Montenegrin counterpart Milan Roen, LichtensteinForeign Minister Aurelia Frick, Serbian Foreign Minister

Vuk Jeremi, Chilean Foreign Minister Afred MorenoCharme, Director General of the World Intellectual

Property Organization Francis Gurry, Kosovo counterpart

Enver Hoxhaj, Russian Minister of Telecommunications

and Mass Communications Igor Olegovich Shchegolev,

and Council of Europe (CoE) Secretary General ThorbjrnJagland and Qatari State Minister for International

Cooperation Khalid Bin Mohammed Al Atiyah. bogar alsomet Fu Ying, Chinese vice minister of foreign affairs.

Official bikes of the BSF - provided by BMW. Photo: NebojaTeji/STA


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n v ua s, compan es an coun r es w compe e

foremost in terms of ideas in the future, which means

that competitiveness will depend on the ability to create

and sell new ideas, chairman of Europe Microsoft

Corporation Jan Mhlfeit told the STA on the sidelines of

the Bled Strategic Forum. This is why he said he believed

that quality education was the key to European

competitiveness. The education system must be alligned

in a way to enable future generation to compete globally

for jobs. Increasing globalisation of countries and

markets leads to global competition for jobs, Mhlfeitsaid.

Chairman of Europe Microsoft Corporation Jan Mhlfeit takes part inthe night owl session dedicated to the power of innovation. Photo:Daniel Novakovi/STA

PANEL STRESSES NEED FOR GREATER TRUST INEU-CHINA TIES

Deep distrust in EU-China relations and the persistent

fear of the "Chinese threat" in Europe dominated the

debate "The EU and China: Strategic Partners and

Competitors" held as part of the Bled Strategic Forum.

Fu Ying, Chinese vice minister of foreign affairs,

highlighted the importance of EU-China relations and

noted how European companies were making huge

profits in China, where they were expanding production

as they were scaling back in Europe.

Zhou Hong, the head of the Institute of European Studies

at the Chinese Academy of Social Sciences, added that

EU-China relations were deepening but there was still a

gap in mutual understanding. European media oftenportray China as a threat. "I'm afraid this will affect the

otherwise good relations," she noted, calling for

"dialogue with communication, not dialogue without

communication".

Official vehicles of the BSF - provided by BMW. Photo: NebojaTeji/STA

eye on slovenia 2011 bled strategic forum

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