OMRI DAILY DIGEST
No. 240, 12 December 1995        

SLOVAK PARLIAMENT REJECTS DELAY ON HUNGARIAN TREATY. By a vote of 62 to
18, the parliament on 11 December rejected a motion calling for the
ratification of the Slovak-Hungarian treaty to be postponed. The
proposal was made by Bartolomej Kunc of the Slovak National Party and
was supported by deputies from all three coalition parties. Proposals
were also rejected to include opposition deputies in OKO, the
parliamentary organ supervising the Slovak Information Service (SIS),
and to discuss SIS involvement in the abduction of President Michal
Kovac's son. In connection with the conflict of interests law, Movement
for a Democratic Slovakia deputy and Slovak Radio director Jan Tuzinsky
gave up his parliamentary seat and was replaced by Jozef Henker, Slovak
media reported. -- Sharon Fisher
        
HUNGARY'S OPPOSITION IS AGAINST ENERGY PRIVATIZATION. The Smallholders'
caucus has turned to the Constitutional Court to protest the
privatization of the energy sector, which it calls a "crime against the
nation". It says it is concerned that the foreign buyers will save money
by modernizing the sector with 1950s technology and simply collect the
guaranteed 8% profit from the state, Vilaggazdasag reported. Like the
Smallholders, other groups fear that the privatization of these
strategic industries will not serve the long-term interest of the
Hungarian economy, since majority foreign ownership will have a negative
effect on the country's trade balance and GDP growth. Meanwhile, some
local governments in the northeastern part of the country, as well as
the Pest County authorities, have complained about the privatization of
the gas distribution company Tigaz, whose majority shares were sold to
Italy's Italgas. They claim that nobody asked them whether they wanted
to sell their holdings. -- Zsofia Szilagyi

NO AGREEMENT IN HUNGARIAN-SLOVAK TALKS ON LANGUAGE LAW. Slovak Foreign
Minister Juraj Schenk, following talks in Budapest with his Hungarian
counterpart Laszlo Kovacs, told a press conference in Bratislava on 11
December that since his country's language law neither threatens nor
affects human and minority rights, it cannot be an issue of bilateral
dispute, Hungarian media reported. Schenk had asked the Hungarian
government to moderate its critical attitude toward the language law,
because, he said, it may adversely affect the ratification of the basic
treaty. Kovacs stressed that the Hungarian government will appeal to
international institutions and pressure the Slovaks to implement
European norms in the pending law on minority languages. -- Zsofia
Szilagyi

RUSSIAN VENTURE IN EASTERN GERMANY FALLS FLAT. Two years ago, the Moscow
firm Sokolniki, headed by industrial lobbyist Yurii Gekht, was given
control over a DM 1 billion pulp and paper factory in Pirno near Dresden
for the symbolic sum of one mark, NTV reported on 10 December. Gekht was
supposed to invest DM 270 million ($186 million) but only managed to
come up with DM 15 million, and the factory has laid off all 800 of its
former workers. Gekht complained that his plans to raise money by
exporting coal had been blocked in Moscow. Meanwhile, the Russian
company MES (International Economic Cooperation) announced plans to set
up joint ventures with three Hungarian agricultural producers, Interfax
reported on 11 December. MES plans to supply Moscow and St. Petersburg
with $200 million of food every year. -- Peter Rutland

[As of 1200 CET]

Compiled by Victor Gomez
Compiled by Jan Cleave
                        
            Copyright (C) 1995 Open Media Research Institute, Inc.
                             All rights reserved. ISSN 1211-1570

OMRI DAILY DIGEST
No. 241, 13 December 1995
        
SLOVAK PREMIER ON CABINET'S FIRST YEAR. On the occasion of his
government's first anniversary in office, Vladimir Meciar told Slovak
Radio that his government has fulfilled its promises to voters. He
stressed that certain negative expectations--including international
isolation and economic collapse--have not been fulfilled. Meciar
referred to the Slovak-Hungarian treaty, which will be discussed by the
parliament this month, as "a key document for the stabilization of
relations in Central Europe." Meanwhile, Sme on 12 December noted that
although the cabinet has succeeded in some areas, including the signing
of the treaty with Hungary and stabilizing monetary policy, it cannot
get rid of its "unfavorable image" and has received "a record number of
demarches." -- Sharon Fisher        

HUNGARIAN PREMIER IN JAPAN. Gyula Horn, on a three-day visit to Japan to
boost economic ties, has met with Japanese Prime Minister Tomiichi
Murayama, Foreign Minister Yohei Kono, Emperor Akihito, and several
banking executives, Hungarian media reported. Horn is accompanied by
National Bank President Gyorgy Suranyi and officials from the Finance
and Industry Ministries. The talks focused on Japanese involvement in
Hungarian environmental projects, Hungary's OECD membership, and joint
projects to finance the reconstruction of the former Yugoslavia. The
Japanese Eximbank signed a $50 million loan agreement with the Hungarian
Eximbank to finance Hungarian exports to the Balkans. Horn requested the
expansion of preferential customs duties and the easing of restrictive
measures on Hungarian imports of agricultural and meat products to
Japan. -- Zsofia Szilagyi

HUNGARY EXPECTS IMF STAND-BY-LOAN IN JANUARY. The final version of the
$300 million stand-by credit agreement between Hungary and the IMF is
now ready and will probably be signed in early January, Nepszabadsag
reported on 13 December. Under the terms of the deal, Hungary will have
access to the loan for 18 months as of February 1996. An IMF delegation
is currently holding talks with Hungarian Finance Ministry officials in
Budapest. A key stumbling block to date has been the delegation's
position that it will approve releasing the credit only after the 1996
budget for the country's social security system has been passed. The
long-awaited credit agreement is seen as helping to restore Hungary's
financial credibility rather than meeting any real financial need. --
Zsofia Szilagyi

[As of 12:00 CET]

Compiled by Jan Cleave

            Copyright (C) 1995 Open Media Research Institute, Inc.
                             All rights reserved. ISSN 1211-1570