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Carolina (English) No 270
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STUDENTS' E-MAIL NEWS FROM CZECH REPUBLIC
Faculty of Social Science of Charles University
Smetanovo nabr. 6
110 01 Prague 1
Czech Republic
e-mail: CAROLINA@cuni.cz
tel: (+4202) 24810804, ext. 252, fax: (+4202) 24810987
*-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*
C A R O L I N A No 270, Thursday, December 18, 1997.
FROM THE EVENTS OF THE PAST WEEK (December 10 - 17)
Tosovsky Appointed New Prime Minister
Christian Democrat Chairman Josef Lux, who was recently delegated
by President Vaclav Havel to lead negotiations on the new cabinet,
fulfilled part of his task December 16 after days of uneasy searching
for the new prime minister. Havel could therefore officially ask Czech
National Bank Governor Josef Tosovsky to form the government. The
well-known banker, appointed December 17, was selected after Foreign
Minister Jaroslav Sedivy refused the position. The nomination of
Tosovsky was welcomed by all the coalition parties (the Civic Democratic
Party - ODS, the Christian Democrats and the Civic Democratic Alliance
- ODA), and even by the strongest opposition party, the Social
Democrats. Social Democrat Chairman Milos Zeman said about the new
government: "The Social Democrats still demand absolutely clear
guarantees that this government will really be a temporary one, that it
will only last till elections which will take place by next June."
There is an uncertainty about ODS's approach to the new cabinet.
After their congress last weekend, where outgoing Prime Minister Vaclav
Klaus was re-elected the party's chairman (see below), the question was
raised whether ODS wants to participate in the government. Complications
appeared two days after the congress, when Klaus said it was not easy to
choose a prime minister from Lux's list of candidates and that ODS would
probably add their own candidates to the list. Klaus said he was
surprised the quick nomination of Tosovsky. Lux has attacked ODS'
indecisiveness several times in past weeks and he said he does not plan
on ODS being in the new government. He clarified his words in an
interview for Czech Television, saying he would welcome in the
government Finance Minister Ivan Pilip, a member of ODS opposed to
Klaus.
Klaus said he expects he will meet Tosovsky. "In this sense, we
are waiting for Josef Tosovsky's call. We are to discuss the long-term
goals of the government, the length of its mandate, the role of
political parties in the government and a number of related issues,"
Klaus said.
According to a Factum agency poll, Tosovsky is the fourth
most-popular politician.
Erik Tabery/Veronika Machova
Who is Josef Tosovsky?
Until now governor of the Czech National Bank, now Czech prime
minister, Josef Tosovsky was born September 28, 1959 in Nachod. In 1973
he graduated from Prague's University of Economics with a major in
international business. He worked until 1984 in the Czechoslovak State
Bank (SBCS), changing positions frequently. He served internships in
France and Great Britain, where he worked as deputy to the general
director of the Czech Zivnostenska banka's London branch. Until 1989, he
was employed as advisor to the SBCS chairman, and later in the year
returned to Zivnostenska's London branch.
After the events of 1989, Tosovsky led the SBCS and became governor
of the Czech National Bank in January 1993. He is also a governor of the
International Monetary Fund. He has been the recipient of many awards
(Central Banker of the Year, European Banker of the Year and European
Manager of the Year). He is on the Scientific Council at the University
of Economics and is a member of Charles University's Rector's Advisory
Board. Tosovsky is not a member of any political party, and is known as
a hard-working, modest man who until now has made an effort to stay out
of the public spotlight. Tosovsky is married and has two daughters.
Nora Novakova/Andrea Snyder
The Budget for the Next Year Passed
The Czech Chamber of Deputies approved a practically unaltered
version of the budget by two votes (101:99) December 12. The bill passed
through the third and final reading mainly thanks to support from Jozef
Wagner, an independent, who sided with the 100 coalition deputies during
the vote. Wagner had publicly promised to give his vote to the budget
bill. All opposition deputies, including independent Marie Noveska,
voted against the bill.
The balanced budget allows for the income and spending of 536.6
billion crowns. Compared to the 1997 budget, the ministries registering
the biggest increases are defense (by 22 per cent) and agriculture (21
per cent). Both ministries are run by the Christian Democrats. The
budget predicts income growth of 8 per cent, while spending should
increase by 4.9 per cent.
The only unexpected reaction to the approval came from Social
Democrat Chairman Milos Zeman, who said he would not alter the budget if
his party takes power after next year's early elections, although he
said he is convinced of the budget's shortcomings. He said the new
Cabinet will have enough work preparing a budget for 1999. Resigning
Prime Minister Vaclav Klaus and Finance Minister Ivan Pilip said they
consider the approved budget a positive step, and Civic Democratic
Alliance Chairman Jiri Skalicky expressed his surprise: "It does not
happen very often that a government which recently resigned is able to
pass a budget in Parliament."
Jan Kozanek/Ivona Pulkrabkova
Klaus Still ODS Chairman
Of 314 delegates at the eighth Civic Democratic Party (ODS)
congress December 13-14, 227 voted resigning Prime Minister Vaclav Klaus
into the chairman's seat again. Former Interior Minister Jan Ruml
received 72 votes. However, a decision on whether to stay in the
government coalition was not made. Congress-goers decided to leave that
decision to the ODS upper echelon, only emphasizing that if the party is
to remain in the government, the Cabinet's program should match ODS'.
The financial issues that shook ODS' position in November were discussed
minimally.
When former Vice Chairman and Finance Minister Ivan Pilip reminded
the convention that in September the party had discussed transferring
signing rights to a secret party bank account in Switzerland, Klaus
side-stepped the issue and said that a line should be drawn through the
issue, leaving it in the past.
ODS vice chairmen now include Miroslav Macek (until now ODS
executive vice chairman), Miroslav Benes (mayor of Ceske Budejovice),
Libuse Benesova (Senator) and Bohdan Dvorak (founder of the Club of
Engaged Non-Party Members). All are regarded as Klaus supporters.
Seventeen of the original 30 nominees retraced their names before
voting, including Ruml, Pilip, Jiri Vlach and Jiri Honajzer.
Tomas Ratiborsky resigned from his post as party manager, following
a report to the congress about the party's financial management last
year. He said that when everyone is resigning, it is clear he should
leave his post as well. He stressed that his resignation has nothing to
do with ODS financing.
ODS Control Commission Chairman Jan Voracek said there is no reason
for Ratiborsky to step down, because the commission has not uncovered
any illegal activity. The commission said the Swiss account has not been
proven to exist, and all of former Foreign Minister Josef Zieleniec's
information was second-hand.
After the congress closed, Jan Ruml publically supported varying
policy platforms within the ODS. He said one-third of party members
would support it, as Pilip and Health Minister Jan Strasky have. Half of
Parliament's Chamber of Deputies could be expected to follow Ruml.
Ondrej Drabek/Andrea Snyder
Journalists Lacked More Than Restrooms at ODS Congress
Journalists who arrived at the ODS congress were horrified when
they found out that they could only watch the meeting on a TV screen in
a room for 30 people (there were 182 journalists accredited). Another
unpleasant surprise came when they needed to use the restrooms.
"Information for the press: Restrooms are in the building across the
street," said the sign at the press center entrance.
"This is terrible, I've never seen a political party meeting like
this. Even the Spanish Socialists' congress in the 80's was better. At
least they had large screens there," said Arnold Schneider from the
German TV station ARD.
After a few hours the cigarette smoke made the press center air so
thick that non-smoking journalists preferred to stay outside. That was
definitely more pleasant because it was as cold outside as inside and
the air was much fresher.
"They are treating us terribly," complained photographers and
cameramen, who were not allowed to enter the congress hall until a few
hours after the beginning of the meeting. Other journalists did not get
at all to the rooms where delegates were sitting.
They could communicate with the delegates only if those decided to
leave the hall. During the first break in the negotiations journalists
were waiting for ODS party manager Tomas Ratiborsky, who had announced
his resignation. Neither he nor any other leader of the party, however,
had enough courage to face the press. "They could have put up a TV in
Prague, and we wouldn't have had to come here," said one wag.
During the negotiations some politicians came to the press center.
"I'll try to arrange a better room," promised former Interior Minister
and journalist Jan Ruml. "What are you complaining about? This is
great," said Finance Minister Ivan Pilip ironically to the journalists
lamenting over a fax which did not work. "This is an extraordinary
congress, everything was prepared in haste and it was simply impossible
to do better," said ODS spokesman Vaclav Musilek to justify the
miserable conditions for journalists.
Ondrej Drabek/Veronika Machova
IN BRIEF
* Ten Parliament deputies and Senators from the Civic Democratic
Party, the Christian Democrats, the Civic Democratic Alliance and the
Social Democrats nominated President Vaclav Havel for re-election. He
accepted.
* Josef Tosovsky entrusted Czech National Bank management to Pavel
Kyslika, a member of the bank's advisory board, until Tosovsky himself
leaves the government and returns to the bank.
* President Vaclav Havel signed a law enabling the Czech Republic to
divide into 14 self-governing regions as of the year 2000.
* Jan Cerny, until now vice chairman of the Civic Democratic Party
(ODS) Parliament Club, is the new chairman. He supports ODS remaining in
the government. He replaces Jiri Honajzer, who stepped down after the
anonymous donor affair.
* Just less than 30 per cent of voters polled in December prefer the
Social Democrats. About 19 per cent still support the Civic Democratic
Party, 13.4 percent would vote for the Christian Democrats, 11.8 would
vote for the Communists, 5.6 per cent support the neo-Fascist
Republicans, and 5.1 per cent supports the Civic Democratic Alliance.
* Parliament turned down a Social Democrat proposal December 12 which
would have required every person with assets of more than 10 million
crowns to report what they own.
* The Czech-Moravian Chamber of Unions proposed December 10 that
individual unions should ask for pay increases to cover cost-of-living
increases. They are prepared to support strikes.
* Investigators released a 16-year-old skinhead from prison, after
the youth allegedly participated in the attack which resulted in the
death of Sudanese university student Amir Abdelradi. The other skinhead,
18-year-old Petr Zbornik, is still being detained on charges of murder
and racially motivated injury.
* The Helsinki Committee in Prague decided December 12 that the
government's report on the situation of Czech Romanies (Gypsies)
provides a good background for further discussion. They say, however,
that it was hurriedly prepared, without discussion of the issue with
non-government organizations.
Lenka Vochocova, Jan Puncochar a Ludvik Pospisil/Andrea Snyder
FOREIGN RELATIONS
EU Invites Czech Republic to Membership Talks
The Czech Republic, together with five other candidates, will enter
into detailed negotiations about EU membership in April, as
representatives of the 15 EU member nations decided at their Luxembourg
summit. The expansion process will begin March 30 at a meeting of 26
leaders from 26 countries, including all 11 candidates from Central and
Eastern Europe. Poland, Hungary, Estonia, Slovenia and Cyprus will
participate in the detailed negotiations, as well. Preparations for
negotiations with the second group (Slovakia, Romania, Bulgaria,
Lithuania and Latvia) will be accelerated and those countries should
join the others in 1999, if all criteria are met.
Czech President Vaclav Havel, who participated in the weekend summit
despite his prescribed convalescence, arrived with Czech Foreign
Minister Jaroslav Sedivy. Havel called the decision of the EU
representatives one of the key moments in modern Czech history and he
expressed his thanks not only in the name of his country but also as an
inhabitant of Europe. Although representatives of the invited countries
indicated their readiness for EU membership in the first two years of
the next millenium, Sedivy said the years 2004-2005 are a more realistic
goal for the Czech Republic.
Gabriela Podzimkova/Ivona Pulkrabkova
Foreign Minister Jaroslav Sedivy: "The End of a Divided Europe"
The Czech Republic's membership in NATO was signed by the foreign
ministers of the 16 NATO countries December 16 in Brussels. Together
with Hungary and Poland, the Czech Republic was officially invited to
join the alliance, which is expected to expand in April, 1999. The three
Central European countries will endure a tough struggle for their
definitive acceptance through approval from all NATO countries'
legislatures. While most countries are unlikely to present any
obstacles, the American and Turkish legislatures' approvals are expected
to be the most difficult.
Turkey is disappointed with the recent European Union decision (the
EU did not ask Turkey to take part in the membership negotiations),
which has affected its new approach within NATO. Further alliance
expansion is threatened by the United States, as American Secretary of
State Madeleine Albright confirmed in her speech, where she said, "The
Senate's approval is not possible to consider a given."
Jana Ciglerova/Jana Ciglerova
FROM SLOVAKIA
Meciar's Shocking Declaration
"I declare, that if the opposition wins the elections I will put
politics away - if I go into the elections at all. I have to resolve
that question over Christmas," said Slovak Premier Vladimir Meciar
December 10 on Slovak Television.
Observers speculate whether Meciar is scheming to garner Slovaks'
sympathy or if his comments truly reflect his exhaustion. Tibor Cabaj,
chairman of the Parliament Club of Meciar's Movement for a Democratic
Slovakia, said the movement cannot imagine the departure of its leader.
Opposition leaders agree that if Meciar is tying to gain the
sympathy of the Slovak public, he will not succeed. Christian Democrat
Frantisek Miklosko said "(Meciar) can say what he wants, he can even
cry, but he cannot erase what he and his people have done."
Prokop Havel/Michael Bluhm
Kovac Stops Prosecution of Son
Slovak President Michal Kovac used his position to stop the
criminal prosecution of his son Michal Jr., who was under investigation
for his role in multi-million dollar frauds connected with the Slovak
company Technopol. Kovac Jr. is also under investigation in Germany.
The investigation was first made public after the younger Kovac was
kidnapped and dumped in Austria, where he was taken into custody on an
international warrant. Austrain officials did not extradite him to
Germany, because Kovac came into Austria against his will. An Austrian
court decided his rights were breached and indirectly accused the Slovak
government of participating in the kidnapping. (see Carolina...).
Kovac Jr. has said that when his passport is returned he will go to
Germany and present himself to law enforcement officials. "I have
nothing to fear, because I'm innocent," said Kovac Jr.
Katerina Murlova/Michael Bluhm
ECONOMY
Anti-Monopoly Office Rejects Prazdroj-Radegast Merger
The Office for Protection of Economic Competition decided December
11 to refuse the proposed merger of the two largest Czech breweries
- Plzensky Prazdroj (Pilsner Urquell) and Radegast. The reason indicated
for the decision was a fear that such a colossus would dictate the price
of beer.
The merger plan was first made public this summer as an agreement
between the Investment and Postal Bank (IPB) group and Nomura (Nomura is
to purchase IPB in an ongoing privatization deal). The two control
two-thirds of Prazdroj's shares and a majority of Radegast's. The merger
would account for some 7 million hectoliters of beer annually, or 40 per
cent of Czech beer production. Britain's Bass, which owns the Prague
Breweries (Prazske pivovary, the country's third-largest brewer) and
one-third of Radegast, sharply criticized the plan.
IPB announced it will appeal the decision and wants to explain the
advantages of the merger. IPB said it would be premature to take the
matter to the commercial courts. If the merger indeed falls through,
Prazdroj representatives said they might dust off former plans to merge
with South Bohemian Breweries (Jihocesky pivovary), which is one-third
owned by IPB. They would not be the only party interested in the
brewery, because the Agriculture Ministry is considering merging the
brewery with the Czech Budweiser (Budvar).
Jiri Zizka/Michael Bluhm
ECONOMY IN BRIEF
* The Czech Republic's growth for the first three quarters of 1997 is
the weakest among post-Communist Central European nations. Growth for
the first nine months of 1997 was 1.1 per cent, down from the 1.3 per
cent of the first six months, according to information released by the
Czech Statistics Office December 16.
* The minimum wage will rise, according to a government decree issued
December 10, from 2,500 crowns per month to 2,650 crowns per month
January 1. Minimum hourly wages will increase from 13.69 crowns per hour
to 14.80 crowns per hour.
* SPT Telecom, the near-monopoly telephone service provider in the
Czech Republic, announced its rates would rise in April, although some
international and inter-city rates will be reduced.
Ondrej Hanzal, Ludvik Pospisil/Michael Bluhm
Exchange Rates at the Czech National Bank
(valid from December 12)
country currency
------------------------------------------
Australia 1 AUD 22.495
Belgium 100 BEF 93.844
Great Britain 1 GBP 56.367
Denmark 1 DKK 5.080
Finland 1 FIM 6.416
France 1 FRF 5.781
Ireland 1 IEP 49.954
Italy 1000 ITL 19.767
Japan 100 JPY 27.124
Canada 1 CAD 23.988
Luxemburg 100 LUF 93.844
Hungary 100 HUF 17.029
Netherlands 1 NLG 17.179
Norway 1 NOK 4.727
New Zealand 1 NZD 20.058
Poland 1 PLN 9.756
Portugal 100 PTE 18.944
Austria 1 ATS 2.752
Greece 100 GRD 12.281
Slovakia 100 SKK 99.315
Germany 1 DEM 19.350
Spain 100 ESP 22.864
Sweden 1 SEK 4.427
Switzerland 1 CHF 23.853
USA 1 USD 34.122
ECU 1 XEU 38.208
SDR 1 XDR 45.966
CULTURE
Advent Concert in Prague
The fifth-annual benefit advent concert was held in Prague's
Municipal House (Obecni dum) December 14. Slovak tenor Peter Dvorsky, as
has become tradition, took part in the performance, this year
accompanied by Maltese soprano Miriam Gauci. The musical delicacies were
connected with the pre-Christmas atmosphere and benefit purposes.
Gabriela Pecic/Gabriela Pecic
CULTURE IN BRIEF
* Karel Gott as best male singer, Lucie Bila as best female singer
and Olympic as most popular group were the results of the traditional
Czech Golden Nightingale public poll released December 13 in Pilsen
(Plzen). Gott, who has won the Nightingale more than 20 times, this year
had his first real competition. Daniel Hulka, a young Czech singer, lost
by 6,000 votes.
* Director Frantisek Vlacil won the Vladislav Vancura Award, the main
prize given by the Film and Television Union.
* Lida Rakusanova, a famous Czech journalist, released her book
Vaclav and Dagmar Havel. The book is about the presidential couple's
relationship and also tells how the president met his second wife.
* The European Literary Club, founded in 1935 as the first Czech book
club, will evidently resume its activities. Ladislav Venys, director of
the Prague Center for Democracy and Free Enterprise, decided to follow
in his uncle Bohumil Janda's steps, and renew the club.
* The Arena Chamber Theater has climbed to the top of the Czech drama
scene, after being destroyed by the Communist regime as the Little
Theater under the Gutter and the Waterloo. Arena enjoyed great success
with its new show Continuing Blood Poisoning at the Czech Theater 97/98
festival held at the Comedy Theater in Prague. The performance tries to
capture the spirit of a strange town, which Ostrava definitely is, in
a cabaret style.
Eva Fronkova/Jana Ciglerova
SPORTS
Uhrin Likely to Resign after FIFA Confederations Cup in Riyadh
Czech national soccer team coach Dusan Uhrin has become determined
about ending his four-year term with the national team, which finished
second in the Euro 96 tournament. The reason for his decline was
foremost the qualification matches for the 1998 World Cup in France. The
team, meanwhile, advanced to the semifinal of the FIFA Confederations
Cup after a 2-2 tie with South Africa, a 1-2 loss to Uruguay and
a smashing 6-1 win over the United Arab Emirates.
"It is 90-per-cent sure that I will quit right after the tournament
in Riyadh, no matter how we finish," Uhrin told the Sport daily. He
confirmed interest of clubs from the United Arab Emirates and Israel and
also the national team of Switzerland.
During the match against South Africa December 12, the Czechs took
the lead twice after each of Smicer's scores. First, Augustine evened
the score and four minutes before the end, when the Czech Republic was
playing without its suspended captain, Nemec, the final score became
2-2 thanks to Mchalele. And more - in the closing seconds he missed an
attack on an empty goal.
The Czech team was losing against Uruguay up until the 26th minute
December 14, after Oliveira's strike and, after a foul, a red card was
shown for Poborsky. Towards the end of the match, Uruguay scored their
second goal and Siegl could only close the score to 1-2.
In the last match against the United Arab Emirates, the Czech team
finally found itself. After exciting first half play was crowned with
four goals (Nedved twice, Smicer and an unintentional goal scored by the
Arabs), the Czechs jumped into the semifinals. The Arabian team, led by
former Czech national coach Milan Macala, could only close to 1-6 after
Smicer closed his hat trick. He became the high scorer of the tournament
with five goals in three matches.
The Czech team will play in the semifinals against world champions
Brazil December 19.
Jiri Polak/Ajla Zinhasovic
Baltica Cup Will Determine Squad for Nagano Olympics
Freezing Moscow welcomed the Czech hockey national team. They came
to play in the Baltica Cup, known till this year as the Izvestiya Prize.
This tournament should solve all remaining questions about the
nomination of 11 players from European leagues for the Olympic Games in
Nagano.
After a 4-4 tie with Finland December 17 (goals by Hejduk, Alinc,
Patera and Moravec), the Czech Republic will play against Sweden and
Russia. Coaches Ivan Hlinka and Slavomir Lener want to examine all 23
players. "It is important to achieve good results against Finland,
Russia and Sweden, but it is more essential now to find the best players
for the Olympic tournament. However, it is connected. All the players in
Moscow would like to start in Japan. So I suppose they will show their
top form," Hlinka said.
Milan Eisenhammer/Mirek Langer
SPORTS IN BRIEF
* Sparta Praha lost its last match in the soccer Champions League to
Germany's Borussia Dortmund 0-3 and finished third in the group.
* Decathlon world champion Tomas Dvorak was voted top track and field
athlete of the year, followed by Sarka Kasparkova (triple jump, world
champion) and Ludmila Formanova (800 meter).
* Vsetin defeated the second-to-last-place Karlovy Vary 2-1 and moved
into first place in the 35th round of the hockey extraleague.
Katerina Murlova and Milan Eisenhammer/Mirek Langer
After deadline:
1997 Top Athlete (voted on by journalists): 1. Tomas Dvorak (decathlon),
2. Dominik Hasek (ice hockey), 3. Martin Doktor (canoe).
1997 Sport Star (voted on by Czech TV spectators): Martin Doktor.
Mirek Langer/Mirek Langer
WEATHER
It's here. It's snowing, and snowing hard, as if it had never
snowed here before. To be more exact: it is not snowing right now, but
it snowed, hard. There is snow in Prague and ice on the sidewalks. It is
possible that it will not get any warmer, and if you are planning
a visit to our hundred-spired mother city, do not forget to pack some
plaster. After a walk on Prague's sidewalks you never know when a cast
will come in handy.
Jaroslav Mares/Michael Bluhm
Dear readers,
After a year full of political and economic unrest, after a year in
which the Czech Republic was devastated by floods, we wish you all
a peaceful Christmas full of calm and a happy entrance into the new
year, which should bring more calm and stability (and not only on the
Czech political scene). Let's hope the quaking of the of the Czech crown
will not threaten one of the most characteristic features of Christmas
- generosity.
The Editors
English version edited by Michael Bluhm.
Carolina No. 271 will be distributed January 9, 1998.
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