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Afterreceivingthe approvalof MEPs,Maro efovi,Slovakia'scommissioner-designateto theEC isnow setto becomeoneofthecommission'ssevenvice-presidents,with responsibilityforinter-institutionalrelations andadministration. Photo:TK

EP grillingfails to singe

efovi

DESPITE the fact that the recent EuropeaParliament (EP) hearing for SlovakiEuropean Commissioner-designate Marefovi belonged among the most-heatones,he passed histrial-by-fireand wasevetually endorsed for the post of Vice-Presideof the European Commission (EC) for InteInstitutionalRelations and Administration

Beforethestart oftheirtermswiththeEnominees from each member state must approvedas a whole bodyby the EP. Individal hearings for each commissioner-designatook place in mid-January before the parlimentary committees responsible for ovsightof eachcommissionersportfolio.

SeeECpg3

Axe to fall on two ministries

THE TRIMMING of state administra-tion bureaucracy has started, heraldsthe government of Prime MinisterRobert Fico. The government plans toclose up the stand-alone Ministries ofEnvironment, and Construction andRegional Development, merge theformer with the Ministry of Agricul-ture, then toss in the regional devel-opment duties from the latter and cre-ate a new Ministry for Agriculture, En-

vironmentand RegionalDevelopment.Under other parts of the Prime

Ministers grand plan, the tourismfunctions will move to the Ministry ofCulture and the Economy Ministry willassume the construction-related func-

tions of the Ministry of Construction

and Regional Development. And to topit off, all authority related to drawingEU funds will be placed in the hands oftheSlovakCabinet Office.

The Slovak parliament has alreadysaid yes to the plan in a fast-tracked le-gislative procedure which took placeonJanuary20.

However, this does not mean thatthe current government of Prime Min-ister Robert Fico will have to walk the

walk, since the reshuffling approvednow, a few months before Junes par-liamentary elections, will take effectonlyunderthe nextgovernment.

Prime Minister Fico dubbed thetrimming plan fantastic but it seemsthatthere areseveralgroupswhich, fora number of reasons, do not share hisenthusiasm. Environmental organisa-tions, ecologists and civic activists are

protesting against scrapping the Min-

istry of Environment, saying that themerger plan reveals that the currentgovernment simply does not under-stand environmental policies and theimportance of protecting nature. TheSlovak Governance Institute has initi-ated a petition against the eliminationof the stand-alone environment min-istry.

Fico said that the plan can save thestate about 13.28 million annually butthe draft that was submitted to parlia-ment did not provide exact figures onpotentialsavings.

Several observers said that Fico isrushing into this mega-merger

without proper preparations and thatin the end the savings might not bethat significant.

SeeCUTpg4

NEWSLanguagelaw revisitedA delegation fromtheCouncilofEurope'sVeniceCommis-sionhas visitedSlovakia toreviewthe country'scontro-versialState LanguageAct.

pg 2

JoblessratekeepsrisingThoughthe horizonis show-ingclearercontoursof aneconomicrecoveryin 2010,dataon availablejobscoupledwitha stillrisingjobless ratedonot giveSlovakiasarmyofunemployed muchhoperightnow.

pg 3

OPINION

TrimmingthestateTalkof narrowing thestate'sgenerouswaistlinerisksbe-ingjust that:talk.

pg 5

BUSINESSFOCUS

Indiarebuilds linksTheSlovakSpectatorspoketoAmbassadorHomai Sahaabout herthoughts aboutIndia's economicdevelop-ment,global climatechange,the businessenvironment,andacademicexchanges andtheir challenges.

pg 6

SlovaksdiscoverIndiaSlovakstravelto Indiato seeancientmonuments andexot-icwildlifeas well asto trekintheHimalayas,or havetreat-mentsat spasand wellnesscentres.

pg 7

CULTURE

FascinatedbyIndiaSlovakia's Indiaclubhasmaintainedcultural linksbetweenthe twocountriesfor27years.

pg11

Sailingon theLines

TheJn KoniarekGallery inTrnavais showcasing specialtreasuresfromits collections.Someof theworksdisplayedhaveneverbeenseen bythepublicbefore.

pg11

Slovakia to take threeGuantnamo detainees

THREE prisoners from the controver-

s ia l U S de te nt ion ce nt re atGuantnamo Bay will be resettled inSlovakia this year following an agree-ment reached between the Slovak andUS governments.

Slovak officials have provided littleinformation about the detainees, orabout how the security risks and legalcomplexitiesinvolvedin housingthem

would be handled. At a press confer-ence in Bratislava on January 19, For-eignMinisterMiroslavLajksaid onlythat none of the three were suspectedterrorists, nor had any ever beenchargedwitha crime.

Slovakia becomes the tenth

European Union country to acceptGuantnamo detainees, following aninternational appeal by US PresidentBarack Obama for help in closing theprison. The Fico governments decisionto take the three, as well as its vocalsupport for Obama himself, surprisedsome diplomats, who contrasted it

with Prime Minister Robert Ficosformerly cool stance towards the USpresident.

While I applaud this decision, its

difficult to know what is behind it,said former Slovak ambassador to Washington Martin Btora. Anti- American rhetoric has always been astrong part of Ficos politics, and noth-ing changed with the election ofObama, eventhoughon thepolicylevel

you might have expected there to besomesharedground betweenthe two.

A senior SlovakForeignMinistry of-ficial described the three detainees asnon-combatant militants, such ascooks or drivers within suspected ter-roristorganisations.

SeeBAYpg2

BYTOMNICHOLSONSpecialto theSpectator

Banks opposestate plan tosimplify fees

A GUIDING thread to help bank clients wathrough the maze of bank fees: this is how tstateportraysitslatestproposedlawdirectedthe banking sector. But banks say that insteof casting more light on their fees the stateabouttointerveneinthefreemarketandisprparingthegroundforpriceregulation.

If the draft legislation on consumer loathat the cabinet approved in mid Januarypassed by parliament, each bank operating Slovakia will have to offer a so-called bas

bankingproduct, definedas a packageof sviceswhichmustbeidenticalacrossallbank

SeeSBApg4

BYBEATABALOGOVSpectator staff

BYBEATABALOGOVSpectator staff

New US envoyto Slovakia

named

PUBLISHER Theodore Tod Sedgwick of Vginia has been selected to become the new ambassador to Slovakia. The announceme

was made by the White House on January 2Providing Sedgwick is approved by the Senate, he will fill one of the last remainin

vacanciesat AmericasEuropean embassies

SeeUSpg3

BYTOMNICHOLSON

Special to theSpectator

Vol. 16, No. 3 Monday, January 25, 2010 - Sunday, January 31, 2010

FOCUSof this issue

On sale nowOn sale now FOCUSof this issue

from page 6

INDIA

BYMICHAELASTANKOVSpectator staff

SELECT FOREX RATES benchmark as ofJanuary 21CANADA CAD 147CZECHREP CZK 25.98RUSSIA RUB 4186GREATBR TAN GBP 0.87

HUNGARY HUF 270.43JAPAN JPY 129.14POLAND PLN 4.05USA USD 141


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BAY: Inmates will not be free to traveContinuedfrompg 1

According to a source close to the trans-fer, the Slovak side was given a list of 10 can-didatesto choose from.

Foreign and Interior Ministry officialsinterviewed prisoners at Guantnamo,

weighing their ability to adapt to thespecifics of the Slovak environment, suchas the absence of a larger Muslim com-munity. The prisoners were free to reject re-settlementin Slovakia, andin at leastone in-stance didso.

On their arrival, the Foreign Ministry of-ficial said, the three will be housed in specialcamps under the control of the Interior Min-istry.

Following an 18-month process of accli-matisation to Slovakia, during which they

willget helplearning thelanguage,finding ajob and a place to live, the prisoners will bereleased, though they will remain under thesupervision of local intelligence services foran undeterminedperiod.

USnotanoption

In an interview with The Slovak Spectat-or, the special envoy for the closing ofGuantnamo, Daniel Fried, said that the de-tainees would not immediately be free totravel within the passport-free Schengenzonethat Slovakiabelongs to.

In most cases, detainees do not get aSchengen visa but a national visa issued bythe country they settle in," he said. "Thatmeans that in the short term they canttravel, and in the longer term its a questionofwhat countrywouldacceptthem.

An agreement between the US and theEU, as well as an EU regulation from June

2009 lay out the rules for transfers ofGuantnamo detainees within Schengen.Slovakia is not acting alone, but together

with other European countries who have ac-cepted detaineesunder the umbrellaof theseaccords, which basically gave them thegreenlight, Fried said.

The detainees were not given the optionof resettlement within the United States,however, because Congress has banned it.Its a fair question, Fried said. Manypeople think that we should be taking lowerrisk detainees as well, but Congress has not

been willing to do so. But we are also doingour bit, as we are taking the highest risk de-tainees, who will go before a court or be inlong-term detention.

Other EU members to have taken prison-ers include Great Britain, which has re-settled 14, as well as Portugal, France, Italy,Spain andHungary.

SupportforObama

At a briefing, a senior Foreign Ministryofficial called the decision to accept detain-eesa statementof political supportfor whatthe Obama administration is trying toachieve. There are too many people trying totear Obama down for what he has not doneso far. He also said that we wanted to helpresolve an issue that has caused tension

withinthe Euro-Atlanticcommunity.Lajk also spoke of solidarity with the

US and in particular with Obama, who hasintroduced a new atmosphere to interna-tional relations and who is promoting newapproaches to solving problems inheritedfromthepast.

The tone of these statements differssharply from Prime Minister Robert Ficoslaconic response to Obamas election victoryin 2008, in which he observed that it willnotmake bread anycheaperinSlovakia.

A Slovak diplomat who formerly servedin Washington said he suspected the Ficogovernment was hoping to win somethinginreturnfor acceptingthe detainees,suchasanaudience forFico with Obama,ora visittoSlovakia by Secretary of State Hillary Clin-ton. This is a win-win situation for Ficohere, first of all because it was the rightthing to do, and secondly because if he getssomethingforit,suchasa toningdown ofUScriticism of corruption in Slovakia, it couldhelp him with elections only five monthsaway, the source said. I also suspect thathe wants to show up US foreign policy ascynical, and to demonstrate that he cansnuggleup to Moscowand visit Libya, he can

basically do whatever he wants, but in theendhecanalwaysbuya goodname.

ButFried,who wasinvolved inthe trans-fer talks, said there had been no horse-trad-ing for high-level meetings. They never put

iton thetable,hesaid.Theysaidinterested in good relations with ththerewasno bazaarmentality.

Btora also said he thought ilikelythat Ficocouldbarter anaudiObama this close to Slovakias Jumentary elections. That wouldamount to an election endorsemsaid. I dont want to believe thisaboutbusiness.

Thefutureof Guantnam

The Guantnamo Bay site was a detentioncentre for suspected teformer US President George W. Buing the September 11, 2001, attackYork and Washington. Most of therent population of some 220 prissuspected of ties to Al-Qaeda or thmovement in Afghanistan, whi

were taken prisoner during fighti

and Afghanistan. Obama promiseing office, to shut the facility by2010, but that target has proven ttious and the legal and security isscomplexthan Obamaanticipated.

The US charg daffaires in BKeith Eddins, said that the USA hato locate up to 150low-riskprisonecountries because it had no assur

would not be mistreated if returnehome countries. Some 100 prisoneconsidered too dangerous to releremainin prisonsin theUS orwillcourt.

Eddins acknowledged that theto release the prisoners amountedmission from the White House should never have been in custofirst place. Some of the people whup in Guantnamo do not reprthreat thatwe first believed.

Venice Commission visit

SLOVAKIAs State Language Act,whichhas beena factor inthe de-terioriation of Slovak-Hungarianrelations, will be examined by

yet another international au-thority. After the High Commis-sioner for Minorities of the Or-ganisation for Security and Co-operation in Europe (OSCE) par-ticipated in drafting the imple-mentation guidelines for thecontroversial law and promisedto keep an eye on its future ap-plication, now experts from theCouncil of Europe are also expec-tedto givetheiropinions.

A four-member delegationfrom the European CommissionforDemocracythrough Law,alsoknown as the Venice Commis-sion, which serves asan advisory

body to the Council of Europe onconstitutional matters, visitedSlovakia on January 18 and 19 atthe request of the Slovak gov-ernment to gather information

to prepare a statement on theStateLanguageAct.

The delegation met officialsfromthe ForeignAffairsand Cul-ture Ministries, representativesof minorities living in Slovakia,and political parties represent-ing ethnic Hungarian citizens.The latter have been among themain critics of the law. The del-

egation also made a fiDunajsk Streda in soern Slovakia where a la

ber of citizens are ethgarians.

Slovakia asked thCommission to evalcompliance of the Sguage Act with intenorms and the obligaticountry towards thetional community, th

Affairs Ministry statthevisit began.

Thelaw, passed inJbecame effective in S2009 and has encountecriticism, mainly froentatives of the ethnican minority living in S

well from governmenentatives and politiHungary who have cothat the law harms thof minorities living inand hinders their basiusetheir mothertongu

SeeCoEpg9

Trenn University rector resigns

THERECTORof theUniversityofAlexanderDubekinTrenn (TnUAD),MiroslavMer, submittedhis resigna-tionto EducationMinisterJnMikolaj onJanuary19, severalmonths aftera scandal overquestionablediplomasawar-dedby theuniversityhit mediaheadlines.

Mer willleavehis postonMarch 1. Heannounced thatheplansto initiateseveralmeas-uresto makethe academicsen-atemore effectiveand torid theschoolof severalindividuals

beforethen, theSITA newswirereported.

Mer offered hisopinionthatthereare cliquesand indi-

vidualsat theuniversitywhoinitiateda processof self-de-structionforTnUADbased ontheirownnarrow-mindedandselfishgoals andthat heplanstogetridofthem.

Healsosaidthat hewas

resigningto helpcalmthe situ-ationat theschool.But Merdidnot ruleout applyingfor therectorspost again, SITAwrote.

TheacademicsenateofTrennUniversity recalledMer onDecember 7,2009.

Hefiled a complaintincourt tocontestthe validityofhisrecallandofthe meetingoftheacademic senate,allegingfactualand proceduralerrors.

Mer saidthathe hadfiledthelawsuitbecause theprin-ciplesof thelaw onuniversitieshadbeen breached. He alsosaidthata person witha criminalpasthad presidedoverthemeeting.

Anauditof TnUADconduc-tedby theEducation Ministryreportedmisconduct and viola-tionsof thelaw andproceduresofthe universitywithinits life-long learningprogramme.Hundredsof studentsmightnowlosetheir diplomas.

NEWSin short

2 January 25 31, 2010 NEWS

Membersof thedelegation inBratislava. Photo:Sme -T. Somogyi

Quality of Slovak democracy still fallingTHEQUALITYof democracyinSlovakiaworsenedlast year,saysa reportentitledIVO Ba-rometerprepared bythe Public

AffairsInstitute(IVO),an NGOthinktank,the SITAnewswire

wrote.Deteriorationwas reported

inallareasmonitoredbyIVO,includingdemocratic institu-tions, ruleof law,legislation,human andminorityrights,andindependenceof theme-dia.Comparedto 2008,thequalityof democracy droppedfrom2.9pointsto 3.3pointsin2009,basedon ascalefrom1 to5 with1 beingthebest.

Problematictrendsdid not

disappear,party cronyismdidnotweaken,and marginalisa-tionof theparliamentary op-

positionin theform ofrejec-tionof allits legislative propos-alspersists,IVO PresidentGrigorijMesenikovtoldSITAonWednesday, January20,addingthat implementationoftheprinciple ofpartyand polit-icalloyalty towardsthe rulingcoalitionat theexpenseof pro-fessionalismand competitive-ness hadamajorimpact onstate institutions.

Mesenikovsaid thereis analarmingquestion about judi-cial independence,which somejudges themselves drewatten-tionto, whichis rare indemo-craticcountries. The govern-mentreactedin a typicalway

tothe situationand itsdefencewasreminiscentof theera pri-orto 1989,Mesenikovsaid.

Slovakia helps in Haitian rescue effortsSEVERALrescueteamsfromSlovakiawilltake partin rescueeffortsin Haitifollowingtheearthquakethatdevastateditsresidentsand causedseveredamage tothe islandsinfra-structurein mid-January.

A teamof health-careworkersfromthe StElisabethUniversity ofHealthcareandSocialWork inBratislavaar-rivedin thecapital oftheis-land,Port-au-Prince, onJanu-ary20 andimmediatelystartedrescue operations,the SITAnewswirereported,addingthat

rescuersin Haitiareworkinginextremeconditionsabout18hours a dayand aredailysavingthelives of around50 people.

TheSlovakteambrought

along about 300kilograms ofmedications.

Anotherteam of16 Slovakrescuerswasexpectedto departfromParison January23. Asmallerteam ofvolunteersfromthe Associationof Samar-itansof Slovakiais alsoleavingforHaitialongwith theirAus-trian colleagues,the TKnewswirereported.

Slovakiawillalso contrib-utewith materialhumanitari-anhelp:large-capacitytents,foldingbeds, sleepingbagsand

blankets.The ForeignAffairs

Ministryhas assigned50,000fromthe SlovakAgencyfor In-ternationalDevelopment,known asSlovakAid,for Haiti,TKreported.

Judge accused of neglect

SUPREMECourt Presidenttefan Harabininitiated discip-linaryproceedingsin Septem-

ber2009againstJudgeJozefKanderafor allegedlyneglect-ingfourcases,the Smedailyreported.

Thehead ofthe disciplinarypanel,HaraldStiffel,did not

want tosay whetherthe judgeisguiltyof procrastination un-tilhe knows moreaboutthe

scope ofthe casefiles.Kanderasaysthathe hasbeen studyingthecases,whichhe doesnotconsiderto beinactivityor pro-crastination.Kandera isone ofthe105signersofa petitional-leging thatHarabin hasbeenabusingdisciplinary proceed-ingsagainst judges.

Compiledby Spectatorstaff

from pressreports

Delegation gathersinformation about

Slovakiaslanguage law

BYMICHAELA STANKOVSpectatorstaff

ThreeGuantnamoinmateswillbemovedtoa campinSlovakia. Phot


3/12

EC: Being preparedContinuedfrompg 1

efovi, assignedthe port-folio of inter-institutionalrela-tionsandadministration,wasexaminedby membersof theConstitutionalAffairs Commit-tee(AFCO)on January18.

Membersof thecommittee,whoareexpectedto testtheprofessionalskills and overallpreparednessof thecommis-sioner-designate tohandlehisassignedportfolio, questionedefoviabout implementationofthe recently-approvedLis-

bonTreaty, electoralreform ofEuropeanelections,the rotat-ingseat oftheEP,andhislevelof euro-federalism.

RadovanGeist,the editor-in-chiefof EurActiv.sk,saidtherewereseveraltough,polit-ically-sensitivequestions puttoefoviandthat somecommitteemembers found hisanswersto betoo general.

Ingeneral, thosewerequestionsaboutproblemsthatcannotbe answeredin a waythatwouldpleaseeveryonesuchas theregularmigration

ofthe EPbetweenBrussels andStrasbourg,the issue ofthe op-timaldepthof Europeaninteg-ration,etc, GeisttoldTheSlovakSpectator.He saidthatefovi,who had previouslyservedas ambassador atSlovakiasPermanent Repres-entationto theEU, usedhisexperience andskillsas a dip-lomat andeloquence asaspeaker.

Anti-Romaaccusations

Media attentionwas quiteheavilyfocused on efovishearing,notas a testof hispro-fessionalskills, butmainlybe-cause ofaccusationsof anti-Romasentimentsdirected athim.Theaccusationswere

madea fewdays beforethehearingby JzsefSzjer,anMEPfromthe Hungary'sFideszparty,whichis affiliatedto theEuropeanPeoplesParty (EPP).Szjerservesas theEPP'sco-ordinatorfor commissioner-designatehearings.

Szjeraccusedefoviofhavingcalled Romaexploitersofthe Slovakwelfaresystemata conference ofthe EuropeanCommission in2005. Hesaidthatin hisEC post,efovicannothave anydiscriminat-ory attitudes.

Szjersaccusations causeda heated reactionon boththeEuropeanandnationallevel.Notonly theSlovakgovern-mentthat nominatedhim,butalsoRomaorganisations suchasthe EuropeanRomaInform-ation Office,supportedefoviandpraisedhim forhispersonal engagementinthearea ofsocialinclusionoftheRoma minorityin Slovakia.

Aquestionabouttheseac-cusationswasraisedat the

verybeginning of efovishearingand inhis responsehestressedhis pastworkwithRomacitizensand askedtheMEPs toputthiswork onthesamescaleas thefive-year-oldquotewhichhe saidwastakenoutof context,the officialEPpress release reported.

Inever hadanti-Romasentiments, efovisaid.Iamready towork withthose

whowantto workon thisissue.

Observers, as wellas SlovaMEPscontactedby TheSlovakSpectator,found efovisdefenceduring thehearingto beconvincing.

Iregardthe reservationsagainst Mr.efovion thepaofsomeofmyfellowMEPstononsense and unjustified,SlovakMEP EduardKukantolTheSlovakSpectator.I haveknown efovifor 20yearsanI findanyattemptsto createtheimpressionthat heis racior xenophobicbizarre.

Nationalpolitics involved

AnotherSlovak MEP,MonikaFlakov Beov,whisaffiliated withthe PartyofEuropeanSocialists(PES)andelected asa representativeoftheSmer party, believesthatSzjersaccusationswerea reultof a radicalisation ofthe attitudes ofFideszMEPs towardSlovakia.

Itseemslike thisyear,anmainlythe upcomingnationaelectionsin Hungary,will

bringalong manymoresimil

verbalattacks,shetold TheSlovakSpectator.

Herpartyleaderand Slovaprime minister,RobertFico,expressedsimilar sentiments

whentheconflicthit thena-tional politicalscene.Afterthhearing,the SITAnewswirereported,he saidthatthe Slovakgovernment condemnsall theattacksof chauvinistFideszagainst efovi.

WerecommendthatFidesz dealwiththe complexieson itsown nationalpoliticscene, where murdersof Romoccurred,Fico said, addingthathe isconcerned aboutSlovakiasHungarian CoalitioParty(SMK), which accordingto him,serves asan extensionofFideszin Slovakia.

TheEuropeanpoliticalaspect

Geist, however,believesthenationalaspector relation

betweenSlovakiaand Hungaarenot verysignificantin thicase.

MEPSzjer, wholed theattack on efovi,was doingtoa largeextentby virtueofhpost ashe istheEPPcoordinatorfor commissionershearings,Geistsaid.

According toGeist,ques-tionsaboutthe personalintegrityof thecommissioner-designate arefully appropriateandjustified. Onthe otherhand,he agreed therewerepoliticsinvolvedin thecriti-cismof efovi,as theEuropeansocialists,the PES,hadbeenpressingon theBul-garian designate,RumaniaJeeva,to give upherpostoveradubiousassets declaration analleged linksbetweenher hu

bandand organisedcrimeinBulgaria.She dideventually

withdrawher name.TheEPP agreedthey

would return thestrikeandefovis statementfromfiv

years agoprovidedan oppor-tunitytodo that,hesaid,explainingthat efovi,despithimself beingan apoliticaldilomat, wasstill a nomineeofSlovakia'sSmer-led govern-ment,andSmerin turn isaffiiatedwiththe PES.

January 25 31, 2010NEWS / BUSINESS

A few more gloomymonths to come for labour

THOUGHthe horizonis showingclearer contours of an economicrecovery in 2010, data on avail-able jobs coupled with a stillrising jobless rate do not giveSlovakias army of unemployedmuch hope right now. InDecember 2009, the country re-corded 116,000 more unem-ployed than a year earlier and atotal of more than 335,000 job-less citizens.

Market watchers say it maytake many more months untilSlovakias labour market startsrecoveringand someanalystsare

predicting even gloomier newsover the first six months of 2010,with new additions to the un-employmentfigures.

While Slovakias labour au-thoritypresentedthe Decembernumbers more optimistically,with the spin that the growthin unemployment has nowslowed down, the oppositionquickly challenged the gov-ernment, saying that the job-less rate grew twice as fast dur-ing the economic crisis in Slov-akia as did the average acrosstheEuropeanUnion.

The registered unemploy-ment rate in Slovakia climbed0.26 percentage point month-on-month in December 2009 tostandat 12.66percent, accordingto data released by Jn Sihelsk,

the director general of the La-bour, Social Affairs and FamilyCentral Office. The registeredjobless rate thus reached itshighest level since March 2005.Compared to December 2008,the jobless rate in December2009 had increased 4.27 per-centage points, with 116,570Slovaks joining the ranks of theunemployed over the course ofthe year. At the end of Decem-ber, Slovakia had 335,490 re-gistered unemployed personswho said they were ready toimmediatelytake upjobs.

Dvid Derenk, a macro-ana-lyst with UniCredit Bank sees

some seasonal influences behindthe December increase in the job-less rate since in the last monthsof the year the number of unem-ployed increases primarily in theconstruction industry.

This is provenby a 50-percentincrease of newly unemployedconstruction workers inDecember, Derenk said. Last

year in December approximately2,000 construction workers re-gistered with the Labour Office;thisyearitis1,000more.

According to Derenk, public-private partnership projects inroad building might bring somehope for jobless construction

workersin 2010.Sihelsk said that the number

of availablejobs recordedin labouroffices dropped considerably year-on-year,withonlyabout5,000jobsavailable at the end of December2009, 11,000 less than in December2008,theSITAnewswirewrote.

However, Sihelsk also saidthat mass layoffs reported to la-

bour offices seemingly droppedat the end of last year, as the au-thorities recorded only 500 job-lesswhohadbeenletgo inlarge-scalelayoffsas definedby Slovaklaw.Employersoriginallyrepor-ted1,300jobsasendangered.

The December results haveconfirmed the expectations ofmarket watchers, said JanaMrvov, an analyst withPotov Banka.

In October 2009 the numberof jobless Slovaks droppedmonth-on-month to 12.4 per-cent and then remained at thesamelevelinNovember.

The December increase inthe number of jobless wasevoked by the impacts of theeconomic downturn on the la-

bour market, which has clearly

shown that we should not getcomfort from the stagnationover a roughly two-monthperiod, Mrvov told The SlovakSpectator. Though the impactof the crisis on Slovakias eco-nomy is gradually easing, wehave not won the battle and we

willcontinuefeeling itsimpactsonthelabourmarketthisyear.

Mrvov agreed that in addi-tion to the crisis, seasonal influ-ences also had an impact on the

year-end increase in the joblessrate since some jobs in the con-struction and agriculture indus-

tries are often eliminated overthewintermonths.

Underpressurefrom sinkingforeign demand, production inSlovakias export-oriented eco-nomy fell significantly, openingthe gate to a wave of layoffs, ac-cording to Mrvov. While notsparing any segments of theeconomy, the crisis first hit in-dustrial producers primarily inexport markets.

Over 2009, from month tomonth there were significantcuts in the number of peopleemployed in industry, which isthe largest employment sectorforSlovaks,Mrvovsaid.

But she added that othereconomic sectors, for exampleretail sales, have been affectedaswell.

Even though we are cur-rently witnessing certain posit-

ive economic results not only inthe Slovak economy but also inthe world economy which wecouldtickoffas thebeginning ofan economic recovery, oneshould not forget that the re-c ov er y w il l be s lo w a ndgradual, said Mrvov. The la-

bour market responds to eco-nomic recovery with a certaindelay since it is first necessarythat demand and production re-covers and only then will jobopportunities follow.

SeeJOBpg5

Jobless rate nears5-year high

BYBEATABALOGOVSpectatorstaff

Thenumberof Slovakslookingforjobs continuesto grow. Photo:Sme - PavolFuntl

US: Nominee led 'Sportsmen for Obama'Continuedfrompg 1

Sedgwick donated a reported $28,000 toDemocratic Party candidates in 2008, raisedover $200,000 for the Obama campaign, andgifted $10,000 to the inauguration. A keenbirdhunter, he tried to present the futurepresidentas anallyof hunters.

Maybe on the surface you wouldntthink that a guy from Chicago would be anatural advocate for sportsmen, he said atthe Democratic National Convention inDenver, but Obama wants to open up ac-cess on public lands to hunting andfishing.

Sedgwick aimed to organise a chapter ofSportsmen for Obama in every state tocounter the gun lobbys portrayal of thecandidateas hostile toits interests.

I wont argue with anybody that this isan uphillbattle, he said.

In 1978, at the age of 29, Sedgwick was

editing the energy sector newsletter Coal

Outlook, when the owner suddenly an-nounced he intended to sell. Rather thanmove on, Sedgwick bought a 70 percentstakein thepublicationfor $70,000.

My whole motivation for buying thenewsletter was protecting my job, he toldtheWashingtonPost.

Over a decade, Sedgwick turned his ac-quisition into the Pasha Publications pub-lishinghouse,with 15newsletters.

It is rewarding work, he told the NewYork Times in 1989. We do a lot of very ar-cane stuff of interest just to a specific audi-ence. But when you call a source, they say,You really know what you're talkingabout. In 1998 he sold the energy wing ofthe publisher to the Financial Times groupfor$17.8 million.

Sedgwick also took the unusual step ofsuing a subscriber, the Enmark firm of Dal-las, for photocopying his newsletters and

distributing them to other offices. Enmark

settledoutof court.Since we dont take advertising, its areal financial issue for us, said Sedgwick,

whose subscribers paid up to $1,000 annu-allyfor hispublications.

In 1992, on receiving an award, he saidof the incident if theres anything to belearned from this, its that it pays to sue

your customers.One of Sedgwicks ancestors, Theodore

(1746-1813), was the fifth speaker of theHouse of Representatives. Another, JohnSedgwick, was a general with the Unionforcesduringthe USCivil War.

He was killed by a sniper in 1862. Ac-cording to historical accounts, just beforehis deathGeneralSedgwickhad beenurginghissoldiersnotto duck enemyfire.

Im ashamed of you, dodging thatway, he is reported to have said. At thisdistance,they couldnthit an elephant.

Someobservers

arepredictingmore

badnews aboutjobs

forthefirstsix

monthsof 2010


4/12

4 January 25 31, 2010 NEWS / BUSINESS

Slovakia ranks 35th in economic index

ECONOMICfreedominSlovakiahasbeenranked35thamong180countriesworldwide inthis

year'sIndex ofEconomicFree-domsurvey, conductedby theHeritageFoundation, a conser-

vativeAmericanthinktank,theSITA newswirereported.

Slovakiascored69.7pointsandmovedup onespotfromlastyear.

Slovakia'sscore hasin-creasedby 0.3pointsfromlast

year, witha noticeable dropinlabourfreedomoffset bysmallimprovementsin fourothereconomicfreedom categories,SITAreporteda HeritageFoundationstatement as say-ing. It alsosaidthatregulationsonworkinghoursremainrelat-

ively rigid.

Twoof theweakest scoresfromamongthe10 fieldsmeasuredwere againpropertyrightsand corruption,receiv-ingonly55 and 50pointsoutof100, respectively.

Slovakia'soverall eco-nomic freedomremainslim-itedby twoinstitutional

weaknesses, the reportreads.Thejudicialsystemis ineffi-cientandslow,and Slovakiascoresrelativelylow in free-domfromcorruption,withonlylimited progressin recent

years.Slovakiasoverallscoreis

higherthan theworldaver-age.It isespeciallypraisedforitsfiscaland tradefreedom,

whichreceived87.5 and84

pointsrespectively.

SkyEurope's creditors to meet in March

THE COURT-APPOINTEDre-ceiverof assets inthe bankruptair carrierSkyEurope Airlines,ubomrBugan,will convenethefirst meetingof theairline'screditorsin BratislavaonMarch1, theSITA newswirere-ported.

Themeetingof creditorswhoincludeformeremployees,travellersand businesspart-ners oftheaircarrier withclaims onthe bankruptcom-

pany,willstart at10:00. Parti-cipantswill familiarisethem-selveswitha reportonthetrustee'sactivitiesand thepro-gressof bankruptcyproceed-ings,electa creditors' commit-teeand decide whetherto re-placethe receiver.

Thebankruptcytrusteehasalready drawnup alistof cred-itors. Almost 4,000of themhave lodgedapproximately8,400 claims.

Minister yields to truckers again

ROAD TRANSPORToperatorsunhappywith thenew elec-tronic highwaytoll systemhavesent a lettercontainingnewdemandsto TransportMinisterubomr Vny, theSITA newswire reported.

TheUnionof SlovakRoadCarriers(UNAS)is demandingthattollsbe chargedonly onfirst-categoryroads paralleltohighwaysand dualcarriage-

ways coveringa total lengthof333 kilometres.Currently,1,500 kilometresof first-cat-egory roads aresubjectto tolls;followingprotests, tollshave

beenlifteduntilJanuary31whileindividual toll sectionsare modified.

Atthe sametime,truckoperatorswant toadjusttollsectionson these roads sothatusers payonlyfor kilometresactually driven,as isstipu-

lated inthe originalAct onElectronic Tollsfrom 2007.

Vnycalled this unrealistic.Theminister saidhe is

willingto acceptsome ofthedemands.He plans toinitiatechangesto theelectronictollcollection systemin a waythat the transporterswouldpay atollonly iftheydrivethroughan entire tolledsec-tion. Sectionsshouldnotbelonger than700 metresandtrucks would notbe chargedforthe sectionon which theyturnoff a tolledroad.

TheUnionof Slovak Cities,which groupsthe mayorsofSlovakia'seightlargestcities,hasaddressedall responsibleauthorities aswell as membersofparliamentin anappealtoexempt vehiclesused for regu-larpublicbus transportfromroadtoll,SITAreported.

SBA: State dubs banks' reaction 'hystericContinuedfrompg 1

The Finance Ministry says that the basicbankingproductshouldhelp clientsget abet-ter sense of orientation in the market, along

withsmootheraccessto thebasicservicesas-sociated with their regular bank account.Finance Minister Jn Poiatek said that theproduct would target the normal client andthatbanks,in theirfightforsuch clients,willhaveto offercompetitiveprices.

Installing such a product is a rough in-tervention into the rules of the free market

with a possible impact not only on banksbutalso on clients, Ladislav Unovsk, execut-ive director of the Slovak Banking Associ-

ation(SBA)toldThe SlovakSpectator. Weas-sume that the real intention of the law is fu-tureprice regulation,which in a competitiveenvironment does not have any justificationand would contradict the principles of themarketeconomy.

The basic package should include: theopening,operation,andcancellationof acur-rentaccountdenominatedin euros;paymenttransactions such as deposits, withdrawalsandtransfers;and theissuanceof aninterna-tional debit card, Finance Ministry spokes-manMiroslavmltold theSITAnewswire.

According to ml, banks will not be al-lowed to limit the number of card paymentsand electronic banking transactions, whilethe package would include at least 36 trans-actions annually within the European Eco-nomicArea.

However, the SBA said that services can-notbe madeclearer, norcan packagesoffered

by banks be compared, until the rules aremadeto apply to all banksprovidingservicestocitizens.

The proposalsaysthatif a bank does notprovideone ofthe serviceslinkedto thebasicproduct, it does not have to provide thepackage, Unovsk told The Slovak Spectat-or.

He added that a 2009 report by theEuropean Commission which placed Slov-akia among the countries with the mosttransparent and simplest fees for bankingservices in the EU is another argumentagainst the draft amendments covering ser-

vicepackages.The association also complains that the

rules governing the legislative process havebeen violated since additions to the draft didnot undergo expert discussion during inter-departmental review and are not factuallyconnected to the bill submitted to parlia-ment,accordingtoUnovsk.

Onthepartof thegovernmentthere hasalso been a violation of obligations flowingfrom the memorandum on cooperation toaddress the impacts of the crisis [a compact

between the government and private busi-nesses signed earlier in the economic crisis],

based on which the government should se-cure a suitable legislative environment, andelaborate feasibility studies prior to every le-gislative process, Unovsk told The SlovakSpectator.

If parliament passes the amendment tothe law without changes and without an ex-pertdialogue Unovsksaid thebanks wouldturn to the Constitutional Court and

European bodies, adding that thready to discuss the contents of th

withtheFinanceMinistry.But Finance Ministry State

Peter Kaimr said, as quoted bydaily, that bank bosses had knowngovernments intention to instaproduct since last autumn. He des

banks reactions as hysterical, ctheir response to a tongue bisnake, which he said only provministrythatithadhitthenailonth

The SBA says that to its knowbasic service package, as defined inamendment, is not applied anywh

world. The Finance Ministry has r

the introduction of what it says ispackagein Belgium,but theSBA sacomparisonisfalse.

TheBelgianpackageis differenintermsof itsparametersbut alsoithe volume and the content of thincluded,whichare intendedfor logroups of clients who do not have count; it alsosets theminimumpr

vicesinthe package,saidUnovskHowever, apart from the bas

package Slovakias draft bill herchanges. Once the law becomes vprovider of consumer loans, inclu

banking entities, will have to regthe National Bank of Slovakia bef

business,SITA wrote.The bill will also oblige loan pr

attach more detailed and transpformationabouteachloaninsuchaclientscan makewell-informeddec

CUT: Ministries to mergContinuedfrompg 1

The fact that the govern-ment is unable to calculate thesavings from the rise of these in-stitutions points to the fact thatthis step has not been preceded

by an in-depth analysis suppor-ted by an audit of their activitiesand resources, Radovan uranaof the Institute of Economic andSocial Studies (INESS) told TheSlovak Spectator. In the privatesectorthere isno mergerwithoutthatmovebeingundertaken.

The largest opposition party,theSlovakDemocraticandChris-tian Union (SDK), called thecabinets plan deceitful, populistandincorrect.

The trimming plan was an-nounced shortly after Fico yiel-ded to truckers who organisedmassiveprotestsagainsttheelec-tronic highway toll collectionsystem launched on January 1.The truckers demanded cuts inthe excise tax on diesel fuel, tollcharges to be lifted from firstclass roads until the sections arefairly divided, reduction in fines

for incorrectly installed onboardmonitoringunits,and signsto beerected bythe endof June whichclearlymarkthetolledsectionsoffirstclassroads.

Parliament has already ap-proved the cabinets draftamendment to the law on excisetax which cuts the tax on dieselfuel from 0.481 per litre to0.368 per litre as of February.The final price of diesel at fillingstations is expected to drop 13centsperlitreafterthetaxcutbe-comes effective, the SITA news-

wirewrote.urana, however, considers

this merger of ministries at thesame time as a reduction of theexcise tax on diesel as a simul-taneous flow of two separateevents, rather than as causally

linked.

uranasaidhebelievedotherministries could be more profit-ably merged, for instance theEducation and Culture Minis-tries, or the Ministry of Labour,Social Affairs and Family withtheHealthMinistry.

The number of ministries isneedlessly high and should bereduced to a greater degree,urana told The Slovak Spectat-or.

urana said that in 2010 it

will be possible to tap only min-imal savings from this initiativedue to the transitional costs ofthe mergers and also because ofseverance payments to employ-ees. He addedthat theestimatesof 10-13 million in savings thathave been published have not

beenprofessionallysupported.Considering the minimal

savings thus far with the projectofthe reductionofstateadminis-tration through transformationof regional offices, we are scep-tical also regarding these de-clared savings, which are farfromcoveringthepossibleshort-fall of tax revenues from the cutin the excise tax on diesel,uranasaid.

According to Finance Min-istryofficials,the revenue short-

fall from the reduced excise tax

could range between nothingand100million,as itis possiblethatpartoftheshortfallfromthetax decrease could be covered byhigher consumption of diesel.However,uranasaidconsump-tion wouldneedto increaseby 31percent to compensate for thetaxreduction.

If the government does notwant to finance the shortfall byfuture debt it would have toachieve savings by laying off ap-

proximately 5,600 state employ-ees or by making legislativechanges to reduce the volume ofso-called mandatory expenses,such as child bonuses or thehousing-saving bonus, saidurana.

Under what circumstancesurana would view cuts to thestate administrationto beeffect-ive, he said that the process

would require two levels: thefirst is preserving the currentoutput of the state administra-tionat lowercosts, meaning sav-ingsin personneland operation-al costs; and the second, higherlevel,in hisopinion, isa system-aticreviewandreductionofstateactivities which would makepossible more significant sav-ings through, for example, the

reduction of tasks done by the

state that market entiperform.

However, reducmandatory expensesproviding state bonusstruction-saving

which cannot becalledother than wastingof tmoney, also belonuranasaid.

By taking such anto merging the murana opined that higher savings in publistration could be achalsomorebenefitsforthofSlovakia.

Thepolitical con

Both the Ministryonment andthe Ministstruction and RegionopmenthavebeeninthJn Slotas Slovak Nati(SNS) since 2006, until onment Ministry waway from the SNS i2009 in the aftermascandaloverthe saleofexcess emission quota

based garage firm calblueGroup.

The Ministry of Conand Regional Developresponsibleforthenow

bulletin-boardtenderw119millioninEU fundsortium of firms, incluZamedia and Avocat, b

beclosetoSlota.Marek Maari, th

chairman of Smer anculture minister, rejecthat the proposal to mtwo ministries with otlatedto thesemajorscaother questionable deaarose in these ministri

years,SITAwrote.No, it is not relate

Madaritolda politicaldgramme broadcast by

serviceSlovakTelevision

Further Mochovce contracts signed

POWERutility SlovenskElektrrne(SE)has concludedadditional contractsto com-pleteconstructionof thethirdandfourthunitsof theMochovcenuclearpowerplant(EMO).Atthe endof2009,SEconcludedfourcontractsworth15.3million,accordingto thePublic ProcurementBulletin,theSITA newswirereported.

SEsignedcontractswithSiemensto supply andinstallarawwater treatmentsystemandsupplychemicals,withKDPraha DIZtosupplyandinstall a watercooling station,

withVJEto providetrainingto newMochovceemployees,andwith Fumagalli, whichiscontractedto deliverfixturesto

beinstalledin thenon-nuclearsectionof EMO.Work to completeEMO was

officially launchedon Novem-ber3, 2008.Thetwounitsaretobefinished by2012and2013re-spectively.Thethird unitshouldbe connectedto thepowergridin theautumnof2012and thefourthunit eightmonths later, in2013. Theunits

willhavean outputof880megawatts.

TheItalianfirmEnel holdsa 66-percentstakein SE,withtheremainingportionin thehands ofthe state. Enelboughtitsstake inSEin April2006.

Compiledby Spectatorstaff

frompressreports

Parliamentgreenlightedthe cutin excisetaxon diesel. Photo:TASR

BUSINESSin short


5/12

5January 25 31, 2010OPINION / BUSINESS

Trimming state bureaucracyTRIMMING a burgeoning state

bureaucracy is in its very es-sence a commendable politicalact but only if the states lead-ers both talk the talk and walkthe walk. The promise of nar-rowin g the waistline of Slovakiasbloatedstateadminis-tration has always been one ofthe favourite enticements inpoliticians candy box of sweet-talk meant to comfort taxpayersthat their money isnt being

wasted on regiments of redund-ant bureaucrats.

At first sight it seems thatPrime Minister Robert Fico isnow about to keep such a sweetpromise. Parliament hasalready nodded approval toFicosgrand plan tocloseup theself-standing Ministry of Envir-onment and Ministry of Con-struction and Regional Devel-opment,merge the former withthe Ministry of Agriculture,then toss in the regional devel-opment duties from the latterandcreateabrandnewMinistryfor Agriculture, EnvironmentandRegional Development.

But before bureaucracy-re-ducing advocates get too enthu-

siastic, its necessary to add acouple more important facts.First, it will be up to the govern-ment that emerges from thenext parliamentary elections toactually operate under the thin-nerframework andmostlikelyit

wont be exactly the same as thecurrent trio of Fico and his coali-tion partners Jn Slota and

Vladimr Meiar who will haveto walk the walk. Second, Ficoannounced, developed andpassed his dieting plan in such ahurrythathis criticsdidnt evenhave time to catalogue their ob-jections; and he did so just a fewmonths before the elections

without undertaking any de-tailed feasibility study to countthecalories thatmightbe saved.

Even if Fico emerges as the

top vote-getter in the next par-liamentary elections, he mighthave different coalition part-ners who may have a suitcasefull of arguments to change orscrapthewholeplan.

Why didnt Fico propose hisdiet for bureaucrats and minis-tries last January when it was

becoming quite clear that Slov-

akiawouldin nowaybe immunefrom the global economic down-turn? Ministries and positions,jobs and purchase orders are al-

ways a subject of political bar-gaining and once a ruling coali-tion party gets a ministry thereare plenty of chances to rewardall those who have d on esomething little or something

big for that party. Approving atrimming scheme just before

parliamentary elections wouldhave made sense if the plan was

backed up with a political con-sensus among all the majorplayers who in some shape orform might have a controlling

voiceaftertheelections.Perhaps the problem is not

as much with the number ofministries and ministers butrather the logic of the distribu-tion of issues they handle andthis is something that the newplan isnt going to improve.First of all, merging the Min-istry of Environment with theMinistryof Agriculture doesnotpromise many nights of peace-ful sleep to anxious environ-

mentalists, especially in thesetimes when environmentalchallenges are among the mosturgent issues facing the globalcommunity and Slovakia can-notpretendit isan ostrichstick-ingitsheadin thesand.

Another piquant aspect ofthe ministry-scrapping plan isthat the two ministries con-

demned to oblivion worked uder the baton of Slotas parfrom 2006 until the Enviroment Ministry was taken awfrom the SNS in August 2009 the aftermath of the scandalosale of Slovakias excess emsionquotasto a US-basedgarafirmcalledInterblue Group.TMinistry of Construction aRegional Development didlag behind in this respect:producedthe infamousbulleti

board tender which sent 1million in EU funds to a consotium of firms, including twZamedia andAvocat,believed

becloseto Slota. Whi le S me r s M

Maari quickly denied aconnection between the sptacular scandals and the choiof the diminished number ministries, Slota was swift lash out at other ministrimaking it clear that he thinthose managed by the SNS wenoworsethanothers.

The Ministry of Economynow not managing anythinSlota said, as quoted by the TAnewswire. As a ministry, seemsto usa kindof deaf-mut

To be fair to Fico, with paners like Slota and Meiar atheir legions of party buddiany plan to trim down the staadministration seems like a gagantuan task. But the primminister has not yet embracthe good habit of listening folks who might actually kno

better than political nomin what healthy lifestyle changcould be undertaken by the staadministration. For exampthe Slovak Governance Institu(SGI) proposed reducing tnumber of cabinet membfrom 16 to 12, while urging ththere could painlessly be just or 17 state secretaries insteadthe current 28. SGI also recommended in early December 20that 11 ministries, instead of

would be quite enough to effeivelymanageSlovakia.

But it seems that as the paliamentary elections near, tprime minister sees politicnominees and his own haspolitical instincts as a betfoundation for decision-makithan rational, reasoned suggetionsfromSGI.


QUOTEOFTHEWEEK:

Guantnamo

WHEN youre locked up atGuantnamo, you probablydont care much in which coun-try youll end-up, as long as youget out. But still, the trio ofprisoners expected to arrive inSlovakia within a couple ofweeks is up for a rather differ-ent experience from the in-mates heading for Britain,France, Spain, or other Westerncountries. In what ways is Slov-akiaunique?

1. Everyonenoticesa for-eigner. If the three receiveasylum, as it now seems likely,they will bea veryrarekind.Thestatistics speak for themselves in 2008 twenty-two people re-ceived asylum, in 2007 just 14,

and the year before there wereonly8.

You can walk the streets ofBratislava for weeks withoutmeeting anyone of a differentcolour. Whatever measures thegovernmenttakes to protect theidentity of the three prisoners,they will always stand out fromthecrowd.

2. Thereis virtuallynoMuslim community. During thelast census in 2001, there were15 registered religious denom-inationsin Slovakia.Fourteenofthem were Christian, the oneremaining Jewish, so Islamdoesnt appear in the countrysofficial statistics.

Estimates say there could bebetween1,000and5 000Muslimsliving here. That figure includes

foreign students and Slovakswho have converted. Unlike inSwitzerland, there are no min-

arets to ban, simply becausethere are no mosques. ThoseMuslims for whom being a part

of a larger religious communityis important may find life inSlovakia tough.

3. Thecountryhasnoex-perience with terrorism. On onehand, that is an advantage, aspeople have no reason to fear. Onthe other, there is more potentialfor a hysterical reaction, if thepublicsuddenly senses a threat.

4. Thejudiciarydoesntfunction properly. When agroup of opposition MPs askedthe Constitutional Court to re-

view a law which enables thestate to build highways even onprivate property which had not

been properly expropriated, ittook the judges two years toeven review whether the sub-mission was formally correctand could be accepted for fur-

ther proceedings. A final decision is nowhere

in sight and the bulldozers can

continue their work. In August,a group of Supreme Courtjudges asked the ConstitutionalCourt to review whether theelection of Supreme Court chieftefan Harabin was constitu-tional, a question of funda-mental importance for theproper working of the entire ju-diciary.

The court seems to haveother priorities. So if the gov-ernment decides to detain theGuantnamo prisoners, eventhough Slovak law gives themno authority to do so, the judi-ciary is unlikely to give it atoughtime.

5. Itseasyto escapetheat-tention of the local police. It isnow world-known that Slovakpolice like to test their dogs byplanting actual explosive in theluggage of air-travellers andthen forgetto take itout. Andat

the end of last year a hand-cuffed suspect apparently man-aged toescapefroma policesta-tion,a factthe InteriorMinistryadmitted only after journalistscontacted them to verify an an-onymous e-mail.

The public was remindedhow two years ago a suspected

burglar escaped through a toilet window. Although the policethen set-up check pointsaround Bratislava, it took themseveral months tocatch him.

The Slovak government isnot disclosing any informationabout the planned relocation ofGuantnamo detainees, so itstoo early to say whether thereare any legal and security risks.But lets hope there really wasno reason for these three people

to be at Guantnamo. And thatafter a few weeks they will not

bewishingtheycould goback.

SLOVAKWORDOFTHEWEEK

EDITORIAL

BYLUKFILA

Special to the Spectator

"We regardit as a gesture towards our ally."

ForeignMinister MiroslavLajk explainsSlovakia's decisionto acceptthree Guantnamodetainees in the contextof Slovak-American relations

The Slovak Spectator is an independent newspaper published every Monday by The Rock, s.r.oSubscriptions:Inquiries should be made to The Slovak Spectatorsbusiness office at (+421-2) 59 233 300.Printing: Petit Press a.s. Distribution: Interpress Slovakia s.r.o., Mediaprint-kapa s.r.o., Slovensk pota a.sMail Distribution: ABOPRESS. EV 544/08. 2010 The Rock, s.r.o. All rights reserved. Any reproductioin whole or in part without permission is prohibited by law. The authors of articles published in this issuerepresented by the publisher, reserve the right to give their approval for reproducing and public transmission

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is the responsibility of the advertiser and is not a written or implied sponsorship, endorsement or investigation of succommercial enterprises or ventures by The Slovak Spectatoror The Rock s.r.o. ISSN 1335-9843.Address:The Rock, s.r.o., Lazaretsk 12, 811 08 Bratislava. IO:313 86 237.

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JOB: Analysts predict further jobless risecontinuedfrompg3

As for her predictions for 2010, Mrvovsays the jobless rate will grow further inthe first half of 2010 and might exceed 13percent.

Only the second half of the year mightbring a slightly more positive situation inthe labour market, Mrvov said. Wemight say that problems in the Slovak la-bour market will only be eased by an eco-nomic recovery and a subsequent demandby firms for new labour.

Crisispackages

Regarding the governments anti-crisismeasures, Mrvov said that to support thelabour market, the government should aidthe business environment and its ability togenerate, after the recovery, new jobs andhelp businesses to cut their labour costs.

We consider as correct measures theincrease of the non-taxable portion of theincome tax base, the option of faster amort-isation, and the shortened period for returnof VAT, said Mrvov. We consider the in-

crease in the minimum wage as not themost fortunate option.

Derenk also expects the jobless rate toincrease further due mainly to the influx of

workers laid off from completed construc-tion projects as well as employees who will

return to the labour market from speculat-ive sick leave.Reduced unemployment, in general, re-

sponds with a certain delay and an eventualturn is expected sometimes after the firsthalf of the year, Derenk said. A smallhope stemming from the December num-

bers is that stabilisation in unemploymentmight come a couple of months sooner.

However, Derenk notes that the eco-nomic results posted thus far by Slovakiaslargest foreign trading partners do not sug-gest any high likelihood that there will be aswift or significant drop in unemploymenthere in the upcoming year.

Oppositionstatement

One of the opposition parties has saidthat the jobless rate in Slovakia has beengrowing much faster than the average in

other EU countries, with the head ofSDKs crisis team, Eugen Jurzyca, statingthat growth in unemployment in Slovakiahas been twice as fast as the average of allother EU countries and that Slovakias job-less rate is also growing faster than in

neighbouring EU countries.Jurzyca said that in November 2009,the year-on-year average increase in thejobless rates in EU countries was 2 percent

while Slovakia reported a 4.6 percent in-crease.

Jurzyca said that if Slovakias unem-ployment rate had grown at the same paceas in other EU countries Slovakia wouldhave had 70,000 fewer unemployed.

Jurzyca also suggested that if PrimeMinister Robert Ficos government had

been more effective in fighting corruptionand unemployment, Slovakia would havehad fewer unemployed, SITA wrote.

However, Michal Stuka, spokesman ofthe Labour Ministry, told TV news channelTA3 that if the government had not adop-ted its 35 anti-crisis measures there wouldnow have been at least 150,000 more un-employed in Slovakia.

Correction Book of Lists 2010:

In the Index of the Book of Lists 2010 the name of the company T-Systems Slovakia s.r.o. was printed

incorrectly. The Slovak Spectator apologises for any inconvenience that this error may have caused.


6/12

Indian institutions in Slovakia

Embassyof IndiaAmbassador: HomaiSahawww.indianembassy.sk

India: General facts

Political system: parliamentarydemocracyCapital: NewDelhiTotalarea: 3,287,263square kilometresPopulation: 1.166 billionPrincipal languages: Hindi,EnglishCurrency: Indian rupee

Source:www.c

Indian restaurants in Slovakia

Ashoka, ivnostensk2, Bratislava

Krishna, BotelMarina,the DanubeRiver,Bratislavawww.indickarestauracia.sk

GaneshUtsav, Nedbalova 12, Bratislavawww.ganesh.sk

DeliciousIndi a, Aupark andShoppingPalace- BratislaPieskyand Petralka

Gvinda, Obchodn30, Bratislava; Pukinova8, KoicHlavn70, Preov

TajMahal, Ggska 134,NovZmky

Sarasvati,Letn37,SpiskNov Ves

POPYExoticsupermarket, Domtechniky,kulttyhoBratislava

www.popy.sk

6 January 25 31, 2010

For India development

is not a race but a goal

STEREOTYPES about Indias out-sourcing being confined to backoffice operations havebeenerod-ing just as the passage of timeand economic development has

washed away many other mis-perceptions, especially in lightof the growing number of globalresearch centres being located inIndia, says Homai Saha, Ambas-sador of India to Slovakia. She

says that her countrys out-sourcing is no longer confined tosimple outsourcing but is now

based on innovation and added value. Saha does not look at fu-ture economic growth in India,

which escaped relatively un-scathed from the economiccrisis, aspartof a racewithothercountries but rather as a positiveforce that can lift up the almost300 million citizens who cur-rently are living below thepovertylevel.

The Slovak Spectator spoketo Ambassador Saha about herthoughtsabout India's economicdevelopment, global climatechange, the business environ-ment, and academic exchangesandtheirchallenges.

The Slovak Spectator (TSS): Bythe end of last year, severaleconomists posed the ques-tion: could Indias economy,

which has emerged mostlyundamaged from the globaleconomic crisis, grow faster in2010than China? What,in youropinion, are the main chal-lenges that Indias economyfacestoday?

Homai Saha (HS): India wasfortunate in emerging relativelyunscathed from the global eco-nomic crisis. Even in 2008, wesaw growth of around 6 percentand in 2009 it is anticipated thattheIndianeconomywillgrow byaround 6.5 percent. But thegrowth rate is also to be seen interms of a drop from the growthrates of 9.6 percent back in 2006

and 2007. I would prefer to seegrowth in the Indian economyas a positive phase in terms ofdevelopment and not in thesense of any competition withanothercountry.

The Indian economy facesthe challenge of bringing theeconomy back to the high annu-al growth rate of 9 percent so asto be able to pull up the almost300 million who live below thepoverty line and ensure thatthey are part of t he developmentprocess. Growth has to be in-clusive and must ensure that de-

velopment is not confined to agroup of people or just in the cit-ies, but is also targeted at peopleinrural areas where 72percentofour population lives. We also

need to provide the people withhigh quality public services, bet-ter infrastructure and power forindustry,security andthe ruleoflaw to all citizens with account-abilityand transparency.

TSS: What areas of the Indianeconomy couldbe attractivetoSlovak businesses that might

be planning to look a little fur-ther east than Slovakias east-ernneighbourUkraine?

HS: Slovak businessmenhave recently started lookingmore positively towards India todiversify their trade options.

While Slovakia is a country withmajor production centres forautomobiles, India is a signific-antplayerin theglobal automot-ive supply chain and supplier ofa range ofhigh-value andcriticalautomobile components to glob-al automakers. We exportedabout $3.6 billion of auto com-ponents in 2007 and 2008. Indiais also one of the largest produ-cers of bulk drugs and generics.

Wecouldbe a source ofrelativelycheaper medicines for the publichealth system in Slovakia. In-dia, as a major IT centre, canprovide services to Slovak busi-nesses and multinationals

presentin Slovakia. We are also leaders in ITtraining institutes whose qual-ity has been recognised the

world over. In addition, there isan abundance of scientific talentin India which can be sourced bycompanies and research institu-tions in Slovakia. To give you anidea of the human resources India has approximately 200 re-search and development centres

which belong to multinationalcorporations. Indias SiliconVal-leyin Bangalore is fastbecomingan important centre of innova-tion with major multinationalslike Microsoft, Intel, Google,IBM and GE, to mention but afew, which have opened R&Dcentres in India. The common

belief till now has been thatIndias outsourcing is confinedto simple outsourcing ratherthan outsourcing based on in-novation. This myth is fast be-ingeroded,as provedby theloca-tion of global research centres inIndia to make use of the talentavailable. To support these re-search institutions, India tooneeds to invest in its academicresearch institutions and engin-eering colleges to ensure that

there is availability of well-trainedmanpower.

TSS: What do you see as beingthe main attractions ofSlovakias business environ-ment for Asian countries? Isthere anything that you con-sider to be a hurdle in the wayof thesebusinesses?

HS: Slovakia is ideally loc-ated in Europe, with easy accessto both west and east Europeanmarkets. Its open economy,19-percent flat tax rate, and in-centives for locating productioncentres with FDI [foreign directinvestment] make it an attract-ive destination for investment.

Also the location of several mul-tinational organisations in Slov-akia, with the advantages of do-

ing business with them, isclearlyan attractionforIndia. As you are aware, Indias

trade with Czechoslovakia wasthe highest in the region. Afterthe separation, we continuedour trade contacts with theCzech Republic at almost thesame level but the same was nottrue of Slovakia where in thefirst few years trade fell. It hasstarted picking up since 2004

but the increase is nowherenearthepotential.

So if you ask me if there is ahurdle in the way of business, I

would say that our marketshave grown far apart and thereis insufficient knowledge ofeach others capabilities. An-other reason, which I never tire

of repeating, is that Slovakiahad pretty much closed itself toIndian businessmen. It is onlynow, after Slovakia joined theSchengen region, that Indian

businessmen have greater easein coming here. Slovak busi-nessmen, on the other hand,have always been encouraged to

visit India and see the potentialfor themselves.

TSS: What are the main chal-

lenges thatIndia facesin fight-ing climate changes? Yourcountry was among the most

watched players at the recentCopenhagen Climate ChangeConference. How has yourcountry responded to the out-come?

HS: Indias view is that theadverse consequences of global

warming will impact developingcountries like India most heav-ily. Let us be clear: the accumu-lated stock of GHGs [greenhousegases] in the atmosphere ismainly the result of carbon-

based industrial activity in developed countries over the pasttwo centuries and more. We arefullycommittedto workingwiththe rest of the world to preserveand protect our environment.

This is our common heritage.The challenge for us is that Indiawill continue to be severely im-pacted by climate change pre-ciselyat a time whenwe arecon-fronted with huge developmentimperatives. For our part, wehave therefore adopted and star-ted to implement a major Na-tional Action Plan on ClimateChange and eight National Mis-sions have been set up, relyinguponourown resources.

Our targets include installa-tion of 20,000 MW of solar en-ergy capacityby 2022, improvingenergy efficiency by 20 percent

by 2020 and adding an additional6 millionhectaresof forests.

SeeHSpg9

AmbassadorofIndia toSlovakiaHomaiSaha Photo:Jana Liptkov


BUSINESS FOCUS

INDIA CENTRAL SLOVPotential for trade intrigues

Slovakias India Clubhas linked the twocountries for 27 years.

Did you know?

Thename`Indiais derivedfrom theRiverIndus,the va

aroundwhichwere thehome ofthe earlysettlers.

Sanskritis considered asthe mother ofall higher languisbecauseit isthe mostprecise,and thereforesuitablelfor computersoftware.

India isthe largestdemocracyin theworld,the 6thlargcountryin theworldand oneof themost ancientlivingcivilizations(at least10,000yearsold).

Varanasiis oneof theoldestcontinuallyinhabitedcitieworld,contemporaneouswith Sumer,the ancient civillocatedin southernMesopotamia.

Ayurveda isthe earliestschoolof medicineknownto mThefatherof medicine,Charaka,consolidated Ayurved

yearsago. Oneof themain causesof disease,accordingtAyurveda,is pragyaparadha- which means improperuintellect.Thiscan bein relationto living,working,eatithevarious differentfunctionsof thesenses.

Source:www.indianchild.com/amazing_fa

http://india.gov.in/myin

Varanasi Pho


7/12

Indian dance formscaptivate Slovaks

THECULTUREofIndia isasvast asthe countryitself.TheEmbassyof Indiaendeavourstobring renownedIndianartiststo Slovakiaand thus

bring thecultureof thisexot-ic countrycloserto Slovakaudiences.

Indianclassicaldanceper-formances aregenerallylikedandwell appreciatedinSlovakia,R.K. Puri, thecoun-sellor ofthe Embassyof IndiainBratislavatold TheSlovakSpectator. Thereis alsoagrowinginterest inAyurvedaandYoga practices.

Duringthe lasttwo yearstheEmbassyof IndiaorganisedthreeIndianclassicaldanceperformancesunderthe aegisofthe Indian Councilfor Cul-turalRelations,withsupportfromthe SlovakMinistryof

Culture.AMohiniattamdanceper-

formedby Deepti OmcheryBhallawas organisedin Bratis-lavaandBanskBystrica inMarch 2008.VaswatiMisraperformed KathakdancesinBratislava andilinain March2009.In June2009a Kuchipudidance programme washeld inBratislava.

All these performanceswere wellappreciatedbytheinvitedSlovak audience,saidPuri.

The performancesenabledtheaudience toadmiretheartistryof theserenowneddancersfromIndia andto learnmoreabouttraditionalIndiandances,whichare quitediffer-entfrom Slovakfolk dances.

YaminiReddy,the iconoftheclassicalIndiandanceknown asKuchipudi,was themostrecentdancerperforminginSlovakia.Kuchipudienjoysaunique place among Indiandance forms withits many

vigorousand vibratingleapsandturnsand lyricaltones.Itderivesits namefromthe vil-lageof Kuchelapuramin

AndhraPradeshin southernIndiawhereit developedlargelyfrom theBhakti(devo-tion)movementof theseventhcenturyAD.

YaminiReddy,daughterofKuchipudiexponentsRajaandRadha Reddy, learnedthe

dance fromherparentsand hanextremelycaptivatingpresencewitha talent forrhythmand expression.

InBratislava sheperformfourdancesoverthe courseoftheevening,startingwith theusualcommencementdance,type ofprayerto thegods.Shedanced herGanpatiVandanattheelephant-headedgod Gansha.The nextdancewasKrishanbdam,where shemimed themythical girlNayikawho fallsin lovewithanothergod, Krishna,and tritoattracthimandlurehimtoher.Her thirddance, ShivasDance,wasuniqueinthatit imeantto beperformedbyaman.The lastdance,Tarana, ia devotional onefor MotherEarth, where thedancerimpesonatesa temple sculpture, asadgoddesswhocannotparticipate inthe livingworld.Butshedoes wakeup andstartsdancing,but thenmust freeze

back to sculpture. A partof thpiece wasa masterfuldanceo

thebrimof a brassplatewhicsymbolisesones separationfromearthly matters.

Otherculturalactivitiesrelating to IndiathatPurimen-tioned area photoexhibitioncalled Flatlands,a LandscapePunjab presentedby MaxKandholato markthe25th anniversaryof theIndiaClub inSlovakia. Theexhibit wasshown at theCentralEuropeaHouseof Photographyduringthemonthof May2009.

Inthe future,the EmbassofIndia plansto continue

bringingthe cultureof India tSlovakiaandalso tosupportfurthercultural cooperation

betweenthe twocountries.Thtwoare currentlynegotiatingrenewedprogramme underth

Indian-Slovakcooperationagreementcoveringthe fieldsofculture,art,education,sci-ence,tourism,sportsand mamedia, according to Puri.

Wewill continueto hostIndian culturaltroupes,saidPuri. Wealsoplan toorganisan exhibitionof contemporarpaintingsin Bratislava this

year. Weare alsosupportingproposals tohold filmfestivalineach others country.Slov-akiahelda filmfestivalin Dellastyearwhichwas enjoyedbIndian audiences.

To read moreabout Indiancuture in Slovakia,go to pg 11.

India attracts more andmore Slovaks

THE TAJ MAHAL, Ladakh, theHimalayas, Yoga, Ayurveda. Allthese and many more jump tomind when thinking about In-dia. Slovaks travel to India to seeancient monuments and exoticwildlife as well as to trek in theHimalayas, or have treatmentsat spas and wellness centres.Tourist agencies and tour oper-ators report a growing interestamong Slovaksin visitingIndia.

Interest in travelling to In-dia has been increasing, Juraj

Ondrejk from Bubo travelagency, which focuses on ex-ploration trips and expeditions,told The Slovak Spectator. Sinceour first, pioneering journeys toIndia in 1995, when we visitedsome regions of India as the firstpeople from Slovakia, interest ingetting to know the Indian sub-continent better has increased.India is a distinct and unusualcountry and certainly it is a de-manding destination for travel-lers. But Slovaks have alreadymaturedfor this.

Mria Gallov, the market-ing director of Slovakiasbiggest travel agency, Satur

Travel, sees increased interestamong Slovaks in spa and well-nessstaysin India.

From the point of view of

our travel agency I would assessthe interest of Slovaks in explor-ing India as having been stable

over the last few years, whiletheir interest in relaxation and

wellnessstaysbasedon Yogaand

Ayurvedahas been increasing.Danica Pry, who organises

trips to India, has also observedincreasedinterest.

Thisis also duetoa moreex-tensive presentation of thecountryand of Buddhism,Lama-ism, Yoga, and Ayurveda inSlovakia, Pry told The SlovakSpectator. Recently, severalevents have been held on thesubject of the Himalayas, for ex-ample the Shangri-La exhibitionatthe SlovakNationalMuseum.

Ondrejk, who has travelledto India many times either to

prepare tours for Bubo clients oras their guide, thinks that Indiais not for everybody. He says it

requires either an experiencedtraveller or a seasoned guide,else the visitor risks seeing onlydirt, messand crowdsof people.

A person has to get undertheskinof Indiato getto like it,he said, referring to what Slov-aks see as their biggest concerns

when travelling to India. Cli-ents are afraid especially of dirt,smells and poverty, but in theend, when they see things inproportion, the final impressionis always better. For India, onemust mature mentally as well asneeding somebodywho willhelp

uncoverits beauty.

seeTOURISMpg8

January 25 31, 2010BUSINESS FOCUS

History, nature,andwellness draw

many to India

BYJANALIPTKOVSpectatorstaff

TheTajMahalmonumentis India'smostpopularattractionforvisitingSlovaks. Photo:Reuters

Potential for trade intrigues bothSlovakia and India

DURING the communist era, there were in-tensive contacts between Czechoslovakiaand India. The fall of the Iron Curtain, theemergence of Slovakia as an independentstateand itsinitiationof a marketeconomydiminished the level of past economic co-operation but both countries still see ahuge, mutual potential. While India is aglobal centre for IT outsourcing, it also of-fers a vast market of more than 1 billionpeople. Slovakia attracts Indian investorswith its favourable tax system, member-ship in the European Union and the euro-zone, and an excellent geographic positioninthe middle ofEurope.

We believe that there is immense po-tential for increasing economic contactsbetween Slovakia and India, R.K. Puri, thecounsellor of the Embassy of India in Bratis-lava told The Slovak Spectator, adding that

the global financialcrisis did have an impactand slowed down investments as well asdemand for goods and services. Now weneed to look beyond the crisis and step up ef-forts so that once there is complete recovery

we can look forward to more trade and investment initiatives reaching fruition. Weare happy that Slovakia is looking to diversi-fyits marketsand lookstowardsIndia.

At the government level there is theIndo-Slovak Joint Commission for Econom-ic and Commercial Cooperation, which re- views bilateral trade and economic rela-tions in a comprehensive way but Puri be-lieves there is a need for this commissionto meet more frequently and more import-antly, to follow up on the agreed decisionsto give the required thrust for increasingeconomiccooperation.

Puri sees more frequent meetings

between Slovak and Indian business part-ners as essential for the growth of mutualcooperation. In the past, Indian executivesfaced difficulties in obtaining business visasto Slovakia, but with the Schengen visa re-gime in place, this problem will be solved toa large extent said Puri when referring tohurdles Indian business executives havefacedwhentryingto dobusinessin Slovakia.

The high economic growth achieved bySlovakia till 2008, a uniform and favourabletax regime, skilled manpower, good infra-structure, EU membership, adoption of theeuro and a unique location in Europe aresomeof theattractions forIndianbusinessesto engage in Slovakia, said Puri. The loca-tion of the automobile industry in Slovakiaprovides India with a potentially large mar-ketfor sellingancillaries.

SeeAUTOpg8

Exchangebetween themiddle of Europeand a

market of 1 billion people

Indiaisknownfor outsourcing. Photo:SITA/AP

Y.Reddyastonishedheraudiencein Slovakia. Photo:J.Liptko

BYJANALIPTKOVSpectatorstaff

BYJANALIPTKOVSpectator staff

Indiahasa lottooffer

tovisitors:givenits size

ithasjust aboutanything

a touristmightwant.

Beit snow,mountains,

adventure,wildlife,

beaches,etc.

M.N.Javed


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8 January 25 31, 2010 BUSINESS FOCUS

TOURISM: Colourful, with many scentContinuedfrompg 7

Gallov also listed hygiene as being among the biggest con-cerns of Slovak tourists, whileaddingthat theyare drawn tothecountry by the cultural differ-ences between India and Slov-akia. Moreover, the prices offlightsare alsofavourable.

When listing the attrac-tions in India most popular

with Slovak tourists, tour oper-ators all list the Taj Mahal in

Agra. Other attractions includecolourful Jaipur, the Hinduholy city of Varanasi on the

banks of the Ganges River, aswellassmallTibet,i.e.Ladakh,in the foothills of the Himalay-as. The beaches of Goa are alsoattractive, while the popularityof Kerala hasbeen increasinginSlovakia.

Ac co rd in g t o B ubo sOndrejk, trips which exploreIndia are the most popular onesfor Slovak clients, either the so-called short golden triangle, dur-ing which tourists visit attrac-tionscloseto Delhiincludingthe

Taj Mahal, or large round trips,during which they also visit thecities of Mumbai and Kolkata.

Along with exploring tours Buboalsoorganisesstaysin thecoastalstate of Goa, which is the smal-lest in India, as well as wellnessstays in the Ayurveda centre inTrivandrumin southernIndia.

Satur has recorded particularinterest in exploring and well-ness stays in India. Among other

packages,it offers staysand trips with Dorota Nvotov, a Slovaksingerand actress wholivesbothinSlovakiaand Nepal.

Incredible India

Indiahasa lottooffertovis-itors: given its size it has justabout anything a tourist might

want.Be it snow, mountains, ad-

venture, wildlife, beaches, etc.,M.N.Javed,the regionaldirectorofIndia Tourismfor Europe, CIS,and Israel, based in Frankfurtam Main in Germany, told The

Slovak Spectator, noting that alltypes of animals are there to seeand that the coastline offers1,700 kilometres of independentresorts. We have some man-

made monuments which arealiveand therefor touriststo seeand discover. In other countriesyou see ruins and museums toknow what the country was andnow offers not so in India. Thetemples of Khajuraho, Madurai,Orissa, and Taj Mahal are aliveand full of beauty. The rich cul-ture, dance and music are cap-tivating. Shopping in India isanother incredible experience.

Spaandwellnesstourismis nowour focus. Totally India offers agrand, palatable mix of culture,historyand nowmodernity.

Last year the Embassy of In-

dia in Bratislava in cooperationwith India Tourism in Frankfurtam Main organised a presenta-tion of India for Slovak tour op-erators where they were ex-posedto allaspectsof tourism inIndia. The event was part of In-credible India, a campaign in-tendedto tapintothefullpoten-tial of tourism in India. Thecampaign, an initiative by theIndian government, won the

World Travel Award 2009 forbestcampaignof theyear.

The promotional efforts ofIndia Tourism last year were tore-energise its position in the

world, because of therecession, Javed told The Slov-akSpectator.Touristarrivals inIndia were down by only 3 per-centduring 2009as comparedto2008. The efforts were also use-ful in our secondary marketslike the countries of central andeastern Europe. The same wastruein Slovakia.

Representatives of IndiaTourismvisitedBratislavaafteragapofseveralyearsand, asJavedtold The Slovak Spectator, the

visit helped re-establish ourcontacts with the travel in-dustry. Several tour operatorscame forward to run India pro-grammes and this will help us tomove forward in 2010. The con-tactsdevelopedwill incentivise agrowthin numbers.

Javed sees substantial in-terest having been generated

about India in centralern Europe.

Even though thearenotbig,we willcasgrowing interest and cger numbers, he scountries of [the formUnion] like Russia, Kand Ukraine are doing

well and this year toachieve growth of 3from there, as sevcharters have stargrowth fromwesternEreturned and the mOctober/November an

bersawgrowthof 30peIndia Tourism

plans to continue promdiain Slovakia.

We will definite build more promotionies for the Slovak travlured to India, saadding that these shouseminars, road showevenings, promotionajournalists, and familtrips bytour operators.

AUTO: Car sector ripe for cooperationContinuedfrompg 8

Unfortunately, there is nohighly active Indian company inSlovakia and vice versa, said

Puri, but he sees a number ofprospective areas for intensiveeconomic cooperation betweenIndiaandSlovakia.

The important areas of co-operation are in the fields ofpharmaceuticals, chemicals andpetrochemicals, engineeringgoods, textiles, science andtechnology and defence, saidPuri. Prospective areas of co-operation include energy par-ticularly in harnessing clean en-ergy from natural resources, in-formation technology, tele-communications, business out-sourcing, automobile ancillariesand forestry.

India is a global centre for IToutsourcing with its IT sectorreportingdouble-digit growth.

The Indian IT sector grew

by 12 per cent in 2009 to reach$71.7 billion in aggregaterevenue, specified Puri. Ofthis, the software and servicessegment accounted for $59.6

billion.The Slovak Investment and

Trade Development Agency,SARIO, sees India as a prospect-ivecountryfor cooperation.

India has a big potential,especially as far as centres ofshared services and IT servicesare concerned, Marin Jnok,the spokesperson of SARIO, toldThe Slovak Spectator. In thepast we had registered severalprojects in this segment. But sofar we have not succeeded in es-tablishing any such investmentin Slovakia.

SARIO sees potential in themanufacturing sector as well,for example in manufacturingcar components and compon-ents for the electro-technical

industry. It is expected that In-dia will be a significant contrib-utor to a global increase in carsalesin 2010.

Indiahas emergedas oneofthe key auto componentscentres in Asia and is today asignificant player in the globalautomotive supply chain, saidPuri. It supplies a range ofhigh-value car components toglobal automakers such as Gen-eral Motors, Toyota, Ford and

Volkswagen.Probably the most discussed

company interested in makingan investment in Slovakia was

Apollo Tyres, which had beenexpected to choose betweenSlovakia and Hungary, saidJnok. The biggestIndian tyre

producer,it hadplannedto opena new plant in eastern Europe

which would employ 1,500people and produce 7 milliontyres annually, with an overall

investment of about 200 mil-lion,the Smedailywrote, .In the end, the company

changeditsmind andacquiredaDutchcompany,Jnok said.

The SITA newswire reportedin late May 2009 that Apollo an-nounced its acquisition of theDutch tyre maker VredesteinBaden BV and then shelved its200 million greenfield projectin easternEurope.

At present, SARIO registersonly one Indian project in pro-cess and although Jnok didnotspecifyits details,he said itis related to the automotiveindustry.

Bilateral trade betweenSlovakia and India has beenincreasing even though the

global economic crisis hasmoderated its growth rate. In2008, totaltradebetween Indiaand Slovakia amounted to 164million. Slovakias exports to

India were almost 96 millionand imports from India werejust over 68 million. Puri ex-pects that bilateral trade

between Slovakia and India for2009 was lower than in 2008

because of theeconomic crisis.Indias major export items

were drugs and pharmaceutic-als, leather footwear compon-ents, finished leather goods, cot-ton and cotton yarn, garmentsand metals. Major items impor-ted from Slovakia were ma-chinery, pharmaceuticalproducts, artificial resins andplastic materials, chemicals,transport equipment, iron andsteel. In the first nine months of2009tradereached142 million.

The Embassy of India con-tinues to support economic

cooperationbetween IndiaandSlovakia and with a liberal visaregime it is encouraging Slov-ak business executives to visitIndia.

This embassy regularly up-dates Slovak institutions aboutinvestment opportunities inIndia, said Puri. Schedules ofimportanttradefairsin Indiaarecommunicated to the SlovakChamber of Commerce and In-dustry for dissemination to en-sure increased participationfrom the Slovak side. Trade en-quiries from Indian and Slovakcompanies are promptly atten-ded to. These are also displayedon the embassys website andpublished in our quarterlynewsletter.

Indiais a promisingmarketforcarsand components. Photo:Reuters

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Wellnessbreaksdrawvisitorsto India.Photo:CourtesyofInd

Schoolgirls performprayersonthe eveof theSaraswati Pujafestival innorthernIndia. Photo:Reuters


9/12

9January 25 31, 2010BUSINESS FOCUS / NEWS

CoE: Seeking more factson minority issues

Continuedfrompg2

Representativesof SMKandMost-Hd,two politicalparties

which representprimarily eth-nicHungarianslivingin Slov-akia,met theVeniceCommissionsdelegationto ex-press theiropinions ontheamendedlanguagelaw.SMKMPstold thedelegationthattheyfoundthelawtobere-strictive: instead ofhelpingminoritiesit doesexactly theopposite,said thepartysdeputychairman,JzsefBernyi, asre-ported bythe TASRnewswire.

Thechairmanof Most-Hd,BlaBugr,said themembersofthedelegationweremainlyin-terestedin theperceptionof thelawby minoritiesthemselvesandthey askedwhethertheamendedlaw hadmade anychangesto pastlegislationontheuse of minoritylanguages.

TheSlovakgovernmenthasdefendedthe lawsinceits pas-sage,as didKnutVollebaek, theOSCEHighCommissionerforMinoritieswho despitesome

reservations statedthatit isinaccordance withinterna-tional legislation.However,the centre-rightoppositionparties andsomeobservershaveopinedthatamendingthelawon thestate languagewasunnecessary.

SergioBartole,a memberoftheVeniceCommissionsdel-egation,said thathe hadnotseenthe OSCEcommissionersopinionon thelaw.

Therearea lotofpeopletalkingaround,he toldjourn-alistsatthe endofthe

commissionsvisit toSlovakiWehave oneresponsibility:tgivean opinionwhichis baseonourownthinking.Sowe caread alot

slovak spectator 16 03

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