Economic expectations in the year 2000

The year 2000 is shaping up as one of the most crucial years for economic reform in Slovakia's short history. The government has pledged to continue and even speed up last year's drive to transform the economy. Significant changes affecting the capital market, the macro-economy and micro-economy announced in 1999 now have to be realised. The Slovak Spectator spoke with analysts and government officials to find out what to expect this year in these three areas.

Peter Barecz

Turf wars stop firms from realising info potential

We often say we live in the information age. And yet, many organisations today face a crucial internal problem in deciding who should be responsible for managing the company's information. Instead of valuable information being exploited to the fullest, it is often the subject of a turf war between the IT and marketing departments of the same company.In business, information and knowledge are sharply distinguished. Information management concerns tangible items located in databases. The importance of information lies in its use - after it has been assembled in a structure, it should be allowed to flow around the business. Information is thus useless if it is not well organized.

Peter Borak

Price hikes crucial to integration hopes

The painful economic reforms launched by the government in 1999 brought a huge reward to Slovakia - an invitation to begin talks on entry to the European Union (EU). But as the champagne bubbles and euphoria dissipate, the Dzurinda government is now faced with the daunting task of meeting the detailed requirements for entry into the EU and the Organisation for Economic Cooperation and Development (OECD).One of the most fundamental conditions for membership in the OECD and EU is that the government maintain its current pace of economic reform. To prove its resolve, the cabinet set itself some tough goals in the state budget for 2000, which was passed by parliament on December 16.

Peter Barecz

LAST WORD

The cabinet on December 16 approved the third in a series of economic 'austerity' packages which threaten to increase prices for the average Slovak family by 1,118 crowns per year, according to the KOZ Trade Union Confederation. Here is what people had to say:"I think that price hikes can only worsen my social situation. I am running a small tailor shop, and I can already see the recent price increases reflected in the bills I get. Our bills are increasing every single month. Despite the fact that my husband works at [steel factory] Železiarne Podbrezová, with our three children we can hardly make

Court decision stuns law experts

A verdict handed down by the Constitutional Court on December 20, exactly one month before the Court's judges end their seven-year terms on the bench, has been dismissed by legal experts as owing more to politics than justice.The Court ruled that the constitutional rights of Jaroslav Svěchota, a former Slovak secret service (SIS) officer, had been violated by the Interior Ministry during his prosecution for involvement in the 1995 kidnapping of the former president's son, Michal Kováč Jr.Led by Justice Tibor Šafárik, the Court said that an amnesty issued in March, 1998 by former Prime Minister Vladimír Mečiar to those involved in the Kováč kidnapping, and then amended by Mečiar in July, should have prevented Svěchota's prosecution. Svěchota was taken into pre-trial custody in February, 1999 on suspicion of having participated in the Kováč abduction.

Martina Pisárová

News Briefs

Slovakia to run again for Security CouncilPresident awards US Senator on Independence DayUS Air Force officers arrive to prepare exerciseRužomberok to be home of new Catholic universityOfficials dismayed by poll on Roma segregation

Property investors still face many procedural hurdles

The purpose of this monthly column is to consider the issues faced by investors and businesses, both foreign and domestic, with regard to real property in the Slovak Republic. The format is intended to be interactive, and interesting questions concerning real estate development, investment, and acquisition that are submitted via e-mail at the address provided below will be answered to the fullest extent possible.Initially, the Property Investor will outline several key problems with the present system that make the process uncertain or cumbersome, even to the point of discouraging investment in real property by foreign investors or domestic concerns. Subsequently, investment-related questions that are frequently asked will be answered with a view toward improving knowledge of the system and advocating vital changes for safe and transparent

Eduard Kukan: Time past for "nice political statements"

He's a Beatles fan who loves seafood. If he could have one figure from history over for dinner, it would be JFK ("I like his style, his politics, everything"). His best friend in the cabinet is Culture Minister Milan Kňažko. He's Eduard Kukan, Slovakia's Foreign Minister.Foreign Minister Eduard Kukan, who turned 60 at the end of December, exudes energy as he talks of the year ahead and the labour it will involve. For Kukan, 1999 was "the year of poetry," whereas the next 12 months will be far more prosaic, as Slovakia strives to live up to the many eloquent promises of reform it has made to western alliances.In the very near future, Kukan will find out exactly how much work remains to be done. Romano Prodi, the president of the European Commission, is set to visit Bratislava on January 20 along with EC Commissioner for Enlargement Gunter Verheugen to tell the Slovak government how many 'chapters' of the acquis communautaire the EC is willing to begin negotiating.

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Expats face police sweep

Life will not get any easier for foreigners living and working in Slovakia in the year 2000. Beginning in February, the Interior Ministry will be checking up on the Slovak addresses of foreigners with long-term stay permits, and will be summoning expats to interviews at police stations. Those found to have 'serious inconsistencies' in their documents may be forced to leave the country.Miroslav Samek, the head of the Slovak Border and Foreign Police Department, told The Slovak Spectator on January 3 that the sweep was being planned in order to update the existing police database of foreigners living in Slovakia.

Martina Pisárová

Review: Try it again, Sam

It would be one thing if Sam's Bar and Grill (located at Gorkého 1 next to the National Opera Theatre) catered to the public under the premise of it being a Slovak restaurant with some American menu choices available. However, Sam's touts itself as a true-blue American diner - its menu laden with American favourites, cheeseburger and fries, chicken wings, chilli, bacon lettuce and tomato sandwiches, roast beef sandwiches, and so on - so it best get it right, right? Wrong.The verdict is defined by the cheeseburger, a nice change of pace from basic Slovak fare or a stop at a fast food joint, but Sam's interpretation still falls short of recreating the fine burger and fries experience famous in the USA.

Keith Miller

Yeltsin quits: Slovaks eye Putin warily

Russian President Boris Yeltsin stunned the world on December 31 by announcing his resignation and asking the Russian people to forgive him for not fulfilling their hopes. As Yeltsin's presidential powers devolved to Prime Minister Vladimir Putin, many foreign governments scrambled to assess how the sudden change in power would affect their relations with Russia.In Slovakia, government officials maintained that their dealings with the former superpower would remain unchanged. The Slovak government in co-ordination with Foreign Ministry released a terse statement on December 31 saying that Slovakia "reaffirms its interest in the positive development of relations with the Russian Federation, especially in the economic area."

Daniel Domanovský

Bratislava Cafés

AntikAtrium. Drink In Gallery.Jazz Café.Gremium.Kút.MayerMúzeumka.Roland. Vidrica.U Anjelov.U Maximilána.

Community Calendar

International Women's Club BratislavaFirst Hash Run after The End of the World

Governing party signs stability pact

An agreement reached shortly before Christmas among top officials of the Slovak Democratic Coalition, the largest government party, was hailed by its authors as stabilising relations within the party and ending months of tension within the government.The deal, signed on December 23, gives all five member parties of the Slovak Democratic Coalition (SDK) equal representation on a 'Council of Chairmen' composed of the leaders of the five parties as well as SDK boss and Prime Minister Mikuláš Dzurinda. According to the text of the agreement, the six-member council will meet at least once every two months and will "discuss all political questions which its members feel necessary."

Review: End not soon enough

With so much money and talented people at their disposal, its amazing the folks in Hollywood still regularly spill out creations with entertainment values equivalent to that of watching bread mould. The latest such yawner to come from glitzville now showing across the big screens comes in the form of another Schwarzenegger shoot-em up, "End of Days."The movie follows down-and-out body guard Jericho Cane (Schwarzenegger) and his battle to protect Christine York (Robin Tunney), the chosen one who Satan himself must shack up with in order to bring about hell on earth. The catch is that old Mephistopheles can only do the deed in the last hour of 1999 (Eastern Standard Time) to fulfil the prophecy, so timing is everything. Worked into the story are a group of renegade Catholic Bishops with the idea to simply kill the girl to make the consummation impossible, and Cane's own death wish and loss of faith in God.

Keith Miller

Heineken gulps down Slovak market share

The Dutch brewery Heineken swallowed up another large chunk of the Slovak beer market on December 16 when it signed a contract giving it a 51.1% stake in the KK Company brewery in Martin and a 52.5% share in Rimavská Sobota's Gemer Brewery. The new acquisitions give Heineken now four breweries in Slovakia and a 37% share of the market. The deal awaits only official approval from the Slovak Antitrust Bureau, which is expected this week.Jean-Paul van Hollebeke, managing director of Heineken Slovakia, told The Slovak Spectator on January 4 that competition between the firm's Slovak brands - Zlatý Bažant, Corgoň, Martiner and Gemer - was not a concern. Instead, through product-positioning and intensive marketing campaigns, each beer would cater to a separate specific market.

Keith Miller

Police sweeps of foreigners: The Devil finds work for idle hands

Just when you thought the police couldn't make living in Slovakia any more of a nuisance, it's about to get a whole lot worse.All foreigners who carry a permanent residence card or a long-term stay permit are already familiar with Slovakia's bureaucratic trial by idiocy. It begins with the police records, school diplomas and medical records you have to assemble in your home country. It continues with visits on Slovak soil to police offices and hospitals, to deliver job and residence permits, to have blood and rectal swabs taken. It goes on for up to four months, this carousel of tedium, frustration and humiliation, until you finally acquire the generous permission of the foreign police to dwell in Slovakia.

Bonus systems can be an effective management tool

One of the hottest topics among the clients of our recruitment practice is the issue of bonuses. "What should we offer our present staff?" clients ask. "Can I believe what job candidates tell me about bonus systems at other companies? What kind of bonus system should we use? What is the competition doing?"An effective bonus system can generate many positive results, including increased motivation and loyalty on the part of employees. Bonuses are also an effective tool for managers to guide their people towards the desired behavior; how much is paid out and how often generally depends on the company's results, individual employee performances, team performance and personal development.

Gerard Koolen

Slovak Y2K fears as yet unfounded

The dreaded 'Millenium Bug,' a computer timepiece problem which it was feared would wreak havoc with financial, telecom and business systems the world over, seems not to have materialised in Slovakia. Several days into the new year, Slovak businessmen are even saying that the Millenium Bug scare was a hoax created by software companies to sell expensive upgrades."The Y2K problem was like a bubble that disappeared when pricked," said Ladislav Holubanský, IT chief at Istrobanka. "Some companies just wanted to earn more money, and used Y2K to convince clients to upgrade their older computers."

Daniel Domanovský
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