News 04.02.12

Feb. 16: President Aleksander Kwasniewski believes a debate on the EU Constitutional Treaty may end up with a compromise. "I believe that a compromise is feasible and that the treaty will become a springboard for building not for conflicts," he told participants in a debate on "Strong Poland in Strong Europe" at the Presidential Palace. He added that now it was a perfect timing for diplomatic initiatives. According to the president, controversy around the treaty was caused by insufficient understanding of both sides' reasons: "some EU countries are surprised by inability to reach an agreement whereas aspiring states believe the rules of the game are being changed just before their integration with the EU," Kwasniewski said and added that making up for delays and economic and civilizational backwardness was the main point of integration. Kwasniewski announced that successive debates on the place of Poland in the EU will be held on a monthly basis with the next one devoted to the EU foreign policy including the policy towards eastern countries. The president appealed to participants in the debate, academics, politicians, experts and mass media to "mobilise (people) for the huge, national task of preparing Poland for integration with the EU.

Warsaw, Feb. 16: According to Sejm Speaker and member of the Democratic Left Alliance (SLD) authorities Marek Borowski, PM Leszek Miller should resign from leading the party and focus on government-related actions. He added that people leading the party should not carry serious additional burdens in the form of government or parliamentary functions and recalled that this conviction lied behind his last year resignation from running for party deputy head. Borowski explained that a change at the PM's post would now be a "risky and difficult thing" as the Sejm lacks a clear majority that could fully support any candidate. "That is why I think it will come as a natural solution if the PM focuses on government actions." he said.

Warsaw, Feb. 17 : Prime Minister Leszek Miller will step down as SLD chairman at this ruling party convention in March, SLD spokesman said.

Warsaw, Feb. 16 : The Sejm will discuss a draft law on the Sejm European Union Committee (EC) at its next sitting. The committee is expected to start activities as from May 1, when Poland becomes an EU member. It will have broad powers and will pronounce opinions on behalf of the whole chamber. The European and the Standing Orders committees jointly adopted the drafts of the new laws, including one on changes in the Sejm Regulations which defines the tasks, the mode of operation and the scope of activities of the new committee, as well as relations between the government and parliament after Poland joins the Union. The draft says that the new committee will deal with all matters connected with the Sejm's relations with EU institutions and bodies. It will number 46 members and its composition will be proportional to the groupings sitting in the Sejm. Present EC is to be dissolved by July 31. The draft provides for the Polish deputies to the European Parliament to be able to take part in the work of the EC..

Warsaw, Feb. 16: As part of the EU PHARE 2001 programme contracts for 97 percent of a total sum of 468.45 million euros have been reached, undersecretary of state at the Office of the Committee for European Integration (UKIE) Tadeusz Kozek said. The remainder comes from savings made in the process of public orders, during which achieved prices were lower than planned. Representatives of institutions coordinating use of PHARE funds reported that PHARE projects comprise rings road in Torun, northern Poland, and Wroclaw (south-west), a road leading through Wloclawek (north) and the development of the centre of Zamosc (south-east). UKIE representatives also said Poland received a total of 3 billion 916 million euros from PHARE between 1990 and 2003. 94 percent of funds served to complete projects implemented between 1990-1999. Remaining projects are under implementation.

Warsaw, Feb. 16 : Monetary Policy Council member Stanislaw Nieckarz said there is no danger to this year-end's inflation target as inflation is it will be around 2.5-3 percent. "The January CPI show that the inflation target is not in danger. I think that the end-of-2004 inflation figure will be 2.5-3 pct", Nieckarz said. A weakening of the zloty should create no additional inflationary pressure. RPP set CPI target after 2003 at between 1.5 to 3.5 percent.

Warsaw, Feb. 16: Polish books, publishers and authors will appear this year at international book fairs in Vilnius and next in Leipzig, London, Paris, Bologna and Buenos Aires, the Book Institute (Instytut Ksiazki IK) informed. The Leipzig fair will host Polish authors of books recently translated into German: Malgorzata Saramonowicz, Janusz Glowacki and Wojciech Kuczok. The great book fair in Paris at the end of March will coincide with the upcoming Polish Season in France. 19 Polish publishers have been specially invited to attend the fair, among them the State Scientific Publishers PWN, and Cracow's Wydawnictwo Literackie, while Antoni Libera whose novel "Madame" is just about to hit the French bookstores will meet his readers at the fair. Polish literature will also be available at book fairs in Kiev, Moscow and Frankfurt am Main this year. The newly created Book Institute was set up in January as a national culture institute subordinated to the Ministry of Culture.

Olsztyn, Feb. 16: North Polish border guards announced they had closed three transit routes used to smuggle illegal Asian migrants across Poland to western Europe. Last year 34 people were arrested in Poland on human smuggling charges, 19 are still in detention. Illegal aliens have to pay traffickers 1,500 USD to get to Poland from the east and up to 2,000 USD for the further lap to western Europe. Investigations into the smuggling channels were launched last March after the arrest of a 12-strong group of Vietnamese, Chinese and Pakistani immigrants and their guides. To-date the border guard has charged human traffickers with smuggling at least 295 illegal aliens across Poland's eastern border and 3,000 from Poland to the west. Police have said further arrests in the case are to be expected.

Vienna, Feb. 19: Austrian President Thomas Klestil will mediate to find a settlement on the future European constitution, President Aleksander Kwasniewski said in Vienna while on a working visit to Austria. He said he had asked Klestil "to use his contacts with France and Germany" and added that he "believes it is possible" and he "trusts Austrian commitment." According to Kwasniewski, Klestil's role may be very helpful. Both agreed that there should not be "new lines of divisions" or "two speeds" in the enlarged UE. President's Vienna program envisaged a meeting with Chancellor Wolfgang Schuessel.

Warsaw, Feb. 19: According to PM Leszek Miller, Poland was keen on having close contacts with Italy, keeping balance within the EU and building strong cross Atlantic bonds. "That is why we think it would be fair to start regular inter-governmental consultations modelled on those we have with Germany France and Spain, Miller said after a meeting with Italian Foreign Minister Franco Frattini. The highly valued economic cooperation with Italy and growth of Italian investments in Poland. Italy is Poland 2nd trade partner and 5th largest investor. Frattini stressed that Italian firms were interested in privatisation of Polish companies. Miller stressed that Poland would welcome Italian resignation from the transition period in free flow of people and expressed hope that migration of Poles would pose no threat to the Italian labour market. Frattini opted for an agreement regulating control over the free flow of people. Miller thanked Italy for its involvement in the enlargement and a quest for a compromise on the EU constitutional Treaty. Poland supported an Italian project aimed at strengthening the role of NATO in the southern part of NATO.

Warsaw, Feb. 19: Foreign Minister Wlodzimierz Cimoszewicz coming out of a meeting with his Italian counterpart Franco Frattini confirmed Poland's readiness for open talks on all, even the most controversial, issues related to the European Constitution. Both ministers agreed that a compromise on the constitution should be reached in few weeks as protracted talks would adversely affect EU decision-making efficiency. At a press conference both ministers referred to a Wednesday summit of leaders of France, Germany and Great Britain. Cimoszewicz commented that "anything that leads to proposals and initiatives serving common interest should be supported." Frattini praised participants in the summit for a clear statement about the willingness to avoid any divisions in the enlarged EU. The ministers announced consultations of experts on the EU budget for 2007-2013 in order to quickly get ready for an EU debate on the issue. Cimoszewicz and Frattini said bilateral economic development was impressive even despite Poland's huge deficit in turnover. The two discussed ways of promoting Polish economy in Italy to reduce the trade deficit. Both ministers believed there was a need for setting up a "dialogue forum", that means annual meetings of both governments' representatives so as to provide "stability" for Polish-Italian top level contacts.

Warsaw, Feb. 19: Norwegian Statoil and PGNiG oil and gas company do not rule out signing a contract on supplies to Poland of 1 to 2 bn cubic metres of natural gas annually, according to PGNiG CEO Marek Kossowski. "If such a contract is signed, we will consider building a Bernau-Szczecin pipeline to carry the Norwegian gas," Kossowski said. "The pipeline could carry the gas starting in 2006," he added. Statoil deputy CEO Peter Mellbye said the parties would also consider supplies of liquefied gas by sea to Polish ports. Poland now buys some 0.5 bn cu m of natural gas in Norway. Statoil and PGNiG signed a memorandum of cooperation in gas supplies.

Feb. 19: There was no threat of an energy crash in connection with suspension by Russia of gas supplies via Belarus, PM Leszek Miller admitted. "The gas we get via Belarus accounts for 30 pc of our total needs. Don't believe those who say we faced an energy crash," Miller said. He noted that if need arose domestic storage tanks could be tapped on. Moreover, gas consumption from domestic sources could be stepped up, and gas supplies coming via Ukraine could be increased. "But the situation is a reminder of the need for diversification," Miller agreed. Government spokesman Marcin Kaszuba denied charges by the opposition that Poland's energy security was in danger. "There wasn't even the slightest degree of danger and there is no threat of gas supplies being halted," he declared (...) The eastern direction is not the only one Poland gets its gas from," he stressed but admitted that „the situation would become dangerous if it lasted for several weeks. Then perhaps large industrial users would be at risk," he said. "Everything returned to normal and fast, just as it had been predicted," Kaszuba said. Now "it is a matter for politicians to tackle," he added and said that the talk between Poland's and Russia's foreign ministers had taken place. Kaszuba also said that "the search for possible diversification of gas supplies has in no way been given up." On Friday officials of PGNiG company meet Danish DONG Co. officials "to discuss further cooperation in implementing the agreement on the construction of the Baltic Pipe pipeline and gas supplies," Kaszuba revealed. Opposition Law and Justice (PiS) party demanded an immediate setting up of a crisis task force that would cooperate with the Sejm in examining the potential threats to Poland's energy security. PiS deputies also want criminal responsibility before the Tribunal of State for persons responsible for the onset of energy security threat.

Warsaw, Feb.19: Poland will get more than 50 bn euros in assistance from the EU structural and cohesion funds in the years 2007 through 2013, according to head of the regional development direction of the EC Jean-Charles Leygues who visits Warsaw. He declined to state the exact figure, though. Leygues presented the guidelines of the Third Cohesion Report but refused to confirm suggestions that Poland will get assistance to the tune of 70 bn euros. He explained that allocations for individual countries must first be approved by the European Council before they could be made public. He added, however, that the scale of aid to Poland "will exceed that once granted Spain." Leygues warned that the final value would be determined by the level of absorption of aid made available between 2004 and 2006, i.e. 11 bn euros. "If it turns out that a large portion of that aid is not used, the Commission will run into difficulties persuading net donor countries to approve new, larger funding," Leygues said.

Feb. 19: Plans for the foundation of a Centre Against Expulsions in Berlin dominated meeting in the Sejm between German and Polish MPs. The idea to build the centre evoked strong protests in Poland, which sees its post-war expulsions of Germans from its western territories as justified by Germany's earlier aggression on Poland. CDU foreign spokesman Friedbert Pflueger suggested a network of centres coordinated by the Council of Europe. Pflueger reminded that the German and Polish presidents had signed a declaration pledging a new approach to expulsions and resettlement in Europe and appealed for the foundation of a EC body to monitor the foundation of national remembrance sites devoted to expulsions. The Polish side expressed fears that an expellee centre could lead to warping the historical truth about post-war expulsions of Germans from Poland.

Warsaw, Feb. 20: January's unemployment rate grew to 20.6 pct from 20.0 pct in December 2003, the Central Statistical Office said Friday. The number of jobless was at 3.29 million in January 2004, up by 117.5 thousand from December 2003.

Feb. 18: 38 percent of Poles in a Polish Polling Group (PBG) survey said they would back Polish First Lady Jolanta Kwasniewska in the presidential elections, an 8 percent rise on January figures. Next in line with 11 percent each were Citizens Platform (PO) leader Donald Tusk, Samoobrona leader Andrzej Lepper and Law and Justice (PiS) founder and Warsaw mayor Lech Kaczynski.

Feb. 19: Over 2,000 missionaries from Poland are working in 94 countries at present, according to a report of the Polish Episcopate Missions Committee prepared on the occasion of the 20th anniversary of the Centre of Formation for Missions. The monks form the most numerous group of missionaries, and every second of them works in Africa or Latin America. Next most numerous are nuns, half of them serving in Africa. The most numerous groups of Polish missionaries are stationed in Brazil (325), Cameroon (137), Argentina (132), Bolivia (118), Zambia (107), Papua New Guinea (74), Tanzania (61) and Kazakhstan (60), while Benin, Jordan, Kirgyzstan, Cuba, Lesotho, Liban, Mali, Martinique, Nigeria, Puerto Rico and Thailand have only one Polish missionary each.

Singapore, Feb. 22: President Aleksander Kwasniewski arrived for an official visit to Singapore. Singapore is the first stage of Kwasniewski's visit in the Far East. He will also go to Indonesia and Thailand. Kwasniewski is to start his official visit Monday when he meets President S.R. Nathan and PM GOH ChOk Tong. The Polish President is also to give a lecture at a local institute of international affairs. Singapore is one of Poland's key economic partners in the region although Poland has a trade deficit. Stimulating Poland's trade with South and East Asian countries is the chief goal of the visit by Kwasniewski, who is accompanied by a group of businessmen. Poland is to sign a declaration on military cooperation with Indonesia and documents on mutual legal assistance with Thailand.

Tashkent, Feb. 22: The Polish President and his Uzbek counterpart met in the capital of Uzbekistan to discuss development of bilateral relations, fight with illegal drug trafficking, terrorism and some regional issues. Aleksander Kwasniewski and Islam Karimov met face to face at the hall of Taskhent's airport to discuss economic cooperation, Uzbek sources said. Fourteen Polish-Uzbek companies and two companies wholly owned by Poland have operations in the country. Poland was quoted by ITARR-TASS as saying that it will increase the number of Uzbek students getting free education at Polish universities. Kwasniewski met with Karimov during a stopover on his way to Singapore, Indonesia and Thailand.

Tashkent, Moscow, Feb. 22: Russian President Vladimir Putin and his Polish counterpart Aleksander Kwasniewski on Saturday talked on the phone on problems with Russian gas deliveries to Poland. Kwasniewski's foreign affairs office head Andrzej Majkowski said Putin had called Kwasniewski to say that "an unfortunate situation" was behind the cutoff of natural gas supplies to Poland. Putin stressed that the cut, resulting from Russian-Belarusian relations, had absolutely not been and anti-Polish move. Putin assured Kwasniewski that Russian gas supplies to Poland are sure. Kwasniewski replied that the cutoff was a mistake, that may have some influence on the developing bilateral relations. "The presidents agreed that experts will meet to work on eliminating such situations in future as they ruin the excellent character of Polish-Russian ties," Majkowski said. The conversation was held a few days after a gas incident on the Russia-Belarus pipeline, which also affected Poland, sparking a heated debate on Poland's energy security.

Bialystok, Feb. 22: Polish Foreign Minister Wlodzimierz Cimoszewicz and his Belarus counterpart Syarhey Martynau talked about problems with Russian gas supplies."We need reliable guarantees that such a situation won't repeat itself in future," Cimoszewicz told a news conference. He added that Poland and Belarus should discuss Russian gas problems at intergovernmental level as last week's cutoff of Russian gas supplies to Poland was not a "technical problem."Cimoszewicz was assured by Martynau that Belarus "has been and will be Poland's reliable partner in gas transit matters." Martynau said the situation is serious, and that possibilities of gas delivery diversification should be analysed. The minister also talked about a Polish-Russian thermo-electric power plan construction project in Brest. Martynau said Poland and Belarus will continue to discuss the gas and Brest plant issues. Cimoszewicz announced at the conference that in a bid to ease human traffic between Poland and Belarus the prices of visas may be considerably reduced but did not elaborate. The two countries want to lift visa restrictions for scientists, organisations of ethnic minorities, social and cultural organisations.

Warsaw, Feb. 22: The Polish Peasant Party (PSL) will hold its congress on March 16, several weeks earlier than previously planned. PSL leader Jaroslaw Kalinowski asked whether he is reviewing the possibility of withdrawing from elections for the top party post said that he has a clear idea and vision of the PSL in new conditions which he intends to present during the congress. Kalinowski's chief rival for party leadership is deputy Sejm Speaker Janusz Wojciechowski. Kalinowski said the congress will be held earlier as the party should now focus on the elections campaign prior to the European elections.

Warsaw, Feb. 22: The Sejm has passed a law providing for the setting up of a Committee for European Affairs. The committee, to count 46 deputies, is to deal with all issues concerning Sejm's relations with EU organizations and institutions. The committee will voice its opinions on draft EU legal acts and draft stands which the government plans to present during legislative work of the EU Council. The committee will also have the right to opine candidates for EU commissioners and for members of a number of EU organizations and institutions

Warsaw, Feb. 23: A joint committee of the Polish government and Episcopate met in Warsaw to discuss customs exemptions for the Roman Catholic Church after Poland's integration with the European Union. The meeting was attended by PM Leszek Miller and primate of Poland Cardinal Jozef Glemp. Co-chairman of the committee, deputy PM and internal Affairs Minister Jozef Oleksy speaking to reporters during a break in the meeting said that the issue of customs reliefs for the Roman Catholic Church does not arouse any controversy. Oleksy explained that the EU allows for certain flexibility of interpretation. Thus it is possible to "maintain reliefs for the import of goods meant for charity and liturgical needs," stressed the deputy PM. During Miller's premiership the committee met three times to discuss Poland's integration with the European Union, draft law on voluntary services and matters related to the visit of Pope John Paul II. The recent meeting, in November 2003, was devoted to the presentation of the economic austerity plan, designed and described to the committee by Economy and Labour Minister Jerzy Hausner. The church side touched upon a draft law legalising homosexual couples that was being prepared by deputies of the ruling Democratic Left Alliance (SLD).

Warsaw, Feb. 23: The leadership issue in the ruling Democratic Left Alliance (SLD) is still unresolved following prime minister Leszek Miller's announcement last week that he would resign the post to have more time for government work. Among the discussed candidates are former PM and current interior minister Jozef Oleksy, former handicapped spokesman Jolanta Banach, SLD deputy head Andrzej Celinski and SLD parliamentary leader Krzysztof Janik. Miller said he would lay down his leadership of SLD at the party's general convention in March. Oleksy, put up for the post by SLD's Mazowsze section, said he "saw no need" for the move. Banach said she would run a poll on her chances for the post among party colleagues and would reveal her decision later in the week. Janik told that he would decide his candidacy by Tuesday. Miller, in Rozyca by Lodz Monday, said SLD's new leader should be able to "breathe more energy into the party and devote time to it like to a young bride". He refused to opinionate on his possible successors, stressing only that SLD needed more "aggressiveness" in its daily work and remedies for internal pathologies.

Lodz, Feb. 23: PM Leszek Miller reiterated he did not plan to resign as head of government. Speaking to journalists Miller declined to elaborate on allegations saying only he had heard them for some time and got used to them. The PM paid a visit to a local elementary and junior high schools in Lodz province which had been modernised owing to his decision to channel funds for them from the general budget reserve.

Rozyca by Lodz, Feb. 23: Early elections will be necessary if the currently proposed Hausner Plan of financial reforms falls in the Sejm, prime minister Leszek Miller said in Rozyca by Lodz. Miller, in Rozyca to meet schoolchildren, said early elections in case of the Hausner Plan's Sejm fiasco would allow to seek support for the plan in a new Sejm. If there is no majority backing for this plan we should have an early election and seek backing for the Hausner Plan in a new house, Miller said.

Warsaw, Feb. 23: Polish firms will learn about ways of investing in Iraq at a meeting with representatives of the U.S. administration and Iraqi Provisional Authorities in Warsaw. A U.S. embassy press officer told the meeting will centre also on assistance for Polish firms willing to cooperate with foreign companies in the reconstruction of Iraq. The two delegations will be made up, among others, by Iraq's Investment and Reconstruction Task Force Director Jay Brandes, Tomas Foley from Coalition Provisional Authority of Iraq responsible for tenders and Iraqi Minister of Trade Ali Allowi, who will present sectors requiring biggest investments.

Warsaw, Feb. 23: Leader of the Catholic-National Movement (RKN) Antoni Macierewicz believes President Aleksander Kwasniewski and PM Leszek Miller should be held accountable before the Tribunal of State for illegally appointing Jozef Oleksy head of the interior ministry and Zbigniew Kaniewski the minister of the state treasury. Macierewicz told a news conference in the Sejm that prior to taking over top state posts Oleksy and Kaniewski should have been subject to a vetting procedure to gain access to top secret information, as defined by the law on the protection of classified information. Macierewicz blamed Kwasniewski and Miller for failing to meet the said obligation with respect to the two politicians. Spokesman for the government Marcin Kaszuba wrote in a statement that members of the council of ministers appointed for government posts in line with the constitution are, by virtue of their posts authorised to have access to classified information. "Regulations unequivocally state that Sejm MPs and senators are not subject to vetting. These people have access to classified information, in the scope specified by the law, before being appointed to the council of ministers," Kaszuba wrote. Macierewicz claims Kaszuba's statement as well as similar information provided to him by deputy head of Internal Security Agency (ABW) Zbigniew Goszczynski is untrue and warned with notifying the prosecutor's office. Goszczynski lied to me, Macierewicz said. It is true that MPs have access to classified information but not to top secret information, he told. The RKN leader told journalists the party had started collecting signatures under a related motion.

Warsaw, Feb. 23: The Central European low-fare airlines SkyEurope will open its base in Poland in May 2004. SkyEurope will officially announce the selection of Poland as its new hub at a news conference in March. The company is mulling cooperation with a few Polish airports. If everything goes well, a few bases of the air carrier may be set up in the country. With nearly 40 million inhabitants Poland is Central Europea's largest market that will soon be part of the European Union. But Poles still have little choice of air services. SkyEurope will enable Poles to choose popular connections at the price of 99 zloty per one-way ticket. We plan to invest USD 20 mn in the development of the airlines in Poland", Mandl said. EBRD and the Dutch bank ABN Amro are chief shareholders of SkyEurope Airlines. SkyEurope's fleet of 12 airplanes, offering 18 destinations at 12 countries, take off chiefly from Vienna, Bratislava and Budapest airports.

Warsaw, Feb. 23; The Treasury Ministry has received four bids in an open tender to pick up a firm to advise on the privatisation of PKO BP, the ministry said in a communique. The bids have been placed by Citigroup Global Markets Polska Sp. z o.o. with Dom Maklerski Banku Handlowego SA and Credit Suisse First Boston Sp. z o.o. with Bank Gospodarki Zywnosciowej SA _ Biuro Maklerskie. Pro-Invest International Sp. z o.o. with Frackowiak i Wspolnicy _ Konsulting Sp. z o.o., Nicom Consulting Ltd., Doradca Consultants Sp. z o.o., Warszawska Grupa Konsultingowa Sp. z o.o. and DB Securities SA has also made the bid. The fourth bidder is HSBC Investment Services (Poland) Sp. z o.o. and HSBC Securities Polska SA.

Warsaw: feb. 23: February's inflation expectations remain at a level close to the January figure, data compiled by Ipsos showed. February's inflation expectation indicator was, like in January, slightly above 60 points, which means that most Ipsos respondents expect CPI to rise. In January the level of inflation expected by individual persons in the next 12 months rose to 2.1 pct from December's 1.6 pct. The Ipsos data interpreted by the central bank in the previous month showed that moods worsened on fears of price rises after Poland joins the European Union. The other reason of the worsening of inflation expectations was a rise of CPI. January's CPI was 1.7 pct y/y.

Bielsko-Biala, Feb. 23: A large monographic publication on the Auschwitz former Nazi death camp will be published in French by the State Auschwitz-Birkenau Museum in Oswiecim, south-west Poland. The Shoah Foundation in France is to offer 40 thousand euros for the purpose, Museum spokesman Jaroslaw Mensfelt said. Mensfelt was informed about the French donation by Simone Veil, who is head of the Foundation and an Auschwitz survivor. The donation accounts for about two thirds of the means necessary to publish the monograph. The first, Polish version of the five- volume monograph titled "Auschwitz 1940-1945. Central Issues in the History of the Camp" was published in 1996, the next, German version came out three years later, followed by the English edition in 2000. The French edition will be enlarged and will contain results of research concerning some Auschwitz sub-camps, as well as documents and recollections on children held in Auschwitz.

Poland, Indonesia sign declaration on military cooperation Jakarta, Feb. 24: Defence Ministers of Poland and Indonesia, Jerzy Szmajdzinski and Air Marshal Suprihadi, have signed a declaration on military-technical cooperation in Jakarta. The document was signed in the presence of Polish and Indonesian Presidents Aleksander Kwasniewski and Megawati Sukarnoputri. Szmajdzinski said this is an initial step before the next phase - the signing of an agreement on military-technical cooperation which may contribute to Poland's many-year presents on the Indonesian market and strengthen our bilateral relations. He added Poland wants to develop cooperation with Indonesia in such fields as logistics and defence industries. We would want to intensify exchange of information and visits of military representatives as well as to enlarge the scope of training. The Polish minister said that Poland's offer for Indonesia is very broad and includes airplanes, helicopters and advanced radar technologies as well as the modernization of post-soviet hardware used by the Indonesian army. Szmajdzinski added that talks with Indonesia focus on radars, patrol cutters as well as choppers and Skytruck airplanes.

Borowski: Nice system vital for all new EU members Prague, Feb. 24: Sejm Speaker Marek Borowski believes that the vote taking system to the EU council adopted in Nice in 2000 is vital for all countries that are soon to become members of the European Union. The Polish Sejm speaker emphasized the need to stick to the Nice settlements during his talks with the Czech Chamber of Deputies after the presentation of Poland's stand on the EU Constitution. According to Borowski, the Nice system provides the new EU members with a better position and broader opportunities. The number of votes granted to Poland under the Nice system is almost equal to that Germany has (minus two votes). It has recently been strongly opposed by France and Germany alike that would like to see big EU states with large populations having greater say in the future EU council. Borowski was assured that the Czech side would reconsider advantages and costs of a possible defence of the Nice system.

No alternative to Hausner's austerity plan Warsaw, Feb. 24: The government is determined to carry out the plan designed to rationalize public spending, PM Leszek Miller told a news conference. He stressed that talks with the opposition on the so called Hausner plan showed that there was no alternative for the government programme. Information on talks with the opposition shared by deputy PM Jerzy Hausner with the government indicated that no grouping presented a reasonable competitive programme that could become a sensible, economically justified and socially feasible alternative, Miller explained.

2004 gap after VAT vote against gov't proposal at 613 mn zlotys Warsaw, Feb. 24: Deputy PM Jerzy Hausner said that this year's budget shortfalls following last week's Sejm vote on VAT against the government-made proposal will amount to 613 million zlotys. "The finance minister has prepared a very precise analysis of effects; what the minister is able to count amounts to (...) 613 million zlotys, at the same time the minister has said that if the amendment introduces a legal loophole, then we aren't able to estimate how many people will capitalize on it, and their activities won't be taxed," Hausner said after a cabinet meeting.

Cimoszewicz starts visit to Slovakia Bratislava, Feb. 25: Foreign Minister Wlodzimierz Cimoszewicz arrived in Bratislava for a one-day official visit paid as part of the Polish-Slovak political dialogue. Minister Cimoszewicz will be received by Slovak President Rudolf Schuster, PM Mikulas Dzurinda and head of the National Council Pavol Hrushkovski. He will meet with his counterpart Eduard Kukan. During talks the sides will review political and economic bilateral relations and exchange views on the current European and regional developments. Delegations of both countries will also exchange views on global issues, including the situation in Iraq and European security. RPP not ruling out change of bias to "restrictive".

Kazakh Senate delegation starts three-day visit on Wednesday Warsaw, Feb. 24: A delegation of Kazakhstan's Senate will arrive on a three-day visit to Poland. On Wednesday, members of the delegation, headed by Senate Chairman Oralbai Abdukarimov will meet with Senate Speaker Longin Pastusiak and Sejm Speaker Marek Borowski. On Thursday, the Kazakh MPs will meet with Prime Minister Leszek Miller, Poland's Ombudsman Andrzej Zoll and with Warsaw President Lech Kaczynski. The guests will also visit Warsaw University and the warsaw seat of the OSCE. The delegation will spend the last day of their visit in Poznan where they will meet with provincial authorities and with the rector of the Adam Mickiewicz University.

Poland's energy safety could be at risk Warsaw, Feb. 24: Poland's energy safety could be at risk due to ineffective coal and fuel reserve management and bad legislation on fuel reserves, the Supreme Auditing Board (NIK) warned presenting the results of 2001 and 2003 audits of the fuel sector. Until April 2003 Poland had no clear rulings on black coal reserves, which made stocking coal expensive. In result most companies obliged to possess coal reserves stocked too little to save money. According to NIK the government's 2003-introduced regulations tying coal reserves to usage threatened to lower the reserve quota too much and jeopardize Poland's energy safety. NIK also criticised national control over liquid fuel and gas reserves.

Polish product campaign in Warsaw Warsaw, Feb. 24: A campaign promoting Polish products entitled Give Work - Buy Polish Products opened Warsaw's Royal Castle. Coverage of the event, to last until April 30, has been announced by several tv and radio stations. The campaign, organised by the Demo Effective Launching agency, will promote Polish products and foreign products manufactured in Poland. Its symbol is an apple, according to DEMO Effective head Jacek Sadowski a good example of a "cheap, small and popular product". According to Sadowski Polish products need most promotion in rural areas, where less people buy domestic ware than in cities.

Thirty nine pct against Hausner austerity plan Warsaw, Feb. 24: Thirty nine per cent of the respondents to a CBOS poll said they were against the introduction of the Hausner austerity plan. Thirty two per cent said that introduction of the plan is necessary, while 29 per cent had no opinion on the issue.Two per cent said that the plan is good and would contribute to the recovery of public finances and economic development, further two per cent said that it is a step in the right direction but that it will not bring sufficient enough improvement. Twenty eight per cent of those polled stressed that the plan goes to far in financial cuts which if introduced will be too painful for people. 16 per cent were pessimistic saying the plan is totally wrong and will not improve anything. Furthermore, 32 per cent of the respondents think that not much will change in the Polish economy during the next three years.

Poles believe changes in Poland Warsaw, Feb. 24: Eighty three percent of Poles believe changes in Poland have taken a bad direction while 11 percent deem the direction as a right one, according to a recent TNS OBOP poll. Also, 83 percent of respondents said the Polish economy was in a crisis. Fifteen percent termed economic conditions as good and 2 percent had no opinion on the matter. Thirteen percent of the polled were convinced that their living standards would improve over the three coming years while 62 said their situation was bound to deteriorate. 21 percent said nothing would change. In January the number of optimists totalled 16 percent and pessimists was at 54 percent

Bangkok, Feb. 27: President Aleksander Kwasniewski ending his official visit to Thailand on Friday said Poland wants to very broadly develop economic cooperation with countries of south-east Asia which, as he said, are one of the most promising markets in the world. The president took part in a Polish-Thai economic forum. He stressed that Poland highly values economic achievements of Thailand - one of Poland's four most important economic partners among ASEAN countries. Kwasniewski recalled that the value of bilateral trade reached some 240 million USD in 2003, up 11 per cent on the previous year. However, he stressed that the level of bilateral trade is far too low in face of potential possibilities. The president said he was especially concerned that Poland's exports to Thailand only reached 30 million USD. Kwasniewski assured that Poland is interested in the development of mutual trade contacts. He stressed that Poland is offering cooperation in the defence, aviation and maritime industries and wants to expand bilateral scientific, technical and investment cooperation.

Bangkok, Feb. 27 : President Aleksander Kwasniewski said that his visits to Singapore, Indonesia and Thailand were appropriately timed and expressed hope that they would soon yield positive results. We have fulfilled our task, the president admitted and stressed the point was to convince Asian partners that joining the EU Poland would not forget this important part of the world and that it wanted to develop political and economic contacts with South-eastern Asia. We have much to offer in military, scientific and cultural spheres, our goal is to increase trade, broaden military cooperation and develop good collaboration between the EU and ASEAN, the president said at the end of his six-day visit.

Jerusalem, Feb. 29, Mar 1 : Poland will take part in the Middle East peace process, Israel-visiting President Kwasniewski announced after talks with Israeli President Moshe Katsav. Kwasniewski is on a two-day visit to Jerusalem. This will be very difficult but I believe if we join forces, if Poland lends a hand, we could come closer to success, Kwasniewski said. He also praised economic relations between Israel and Poland and announced signing large missile contract with Israel's Rafael corporation. Under the deal, Poland will between 2004 and 2013 buy 257 million USD worth of Israeli Spike anti-tank missiles. Kwasniewski and Katsav had also discussed Israeli-Palestinian and Israeli-European relations.

After joining the EU Poland is ready to "effectively participate" in seeking ways to solve the conflict in the Middle East, Kwasniewski said following a meeting with Israeli PM Ariel Sharon. Sharon accepted invitation to Poland. I have declared that Poland, that will soon join the EU, is ready to effectively participate in seeking solutions serving the peace process in the Middle east, Kwasniewski said. The president added this would not be easy and recalled that since September 2000 931 Israeli citizens have been killed in terrorist attacks and over 6,000 have been injured. Kwasniewski expressed hope that Poland's joining the EU would increase Israeli interest in Poland and announced new Israeli investments worth around 500 million euros in the near future. The President also stressed that the contract with Rafael was a really "big offset program" for the Polish economy. The value of modern equipment technologies handed by Israel to Poland in connection with the agreement with Rafael on the purchase by the Polish army of Spike missiles is 230 million USD. PM Sharon recalled that the President, who had done so much for the Israeli-Polish relations, had received an honorary doctorate granted to him by the Hebrew University of Jerusalem in recognition of his work for the Polish-Israeli reconciliation. Earlier Kwasniewski met with opposition leader Shimon Peres.

Warsaw, Feb. 27: PM Leszek Miller and his Ukrainian counterpart Viktor Yanukovich discussed privatisation of the Czestochowa steel mill in a telephone conversation, Government spokesman Marcin Kaszuba informed. Reportedly Yanukovich told Miller he had sent him a letter concerning the steel mill privatization in which Ukraine's Donbas Industrial Union was also interested. Miller promised to answer it and stressed Poland was interested in Ukrainian investments. Last week the Treasury Ministry announced that LNM international group would become an investor in PHS.

Vatican City, March 1: Poland's Primate Cardinal Jozef Glemp said it was possible that Pope John Paul II would come to Poland next year. Glemp, who met the pope on Sunday, stressed that pope's condition had improved. Nothing has been threatening the pope's health today, Glemp said and expressed the hope that the pontiff would come to Poland. The weakness that was visible half a year ago disappeared, Glemp said and added that a visit in 2004 was out of question but that it was possible in 2005.

Karbala, March 1: During an incident at a checkpoint 15 kilometers off Karbala, a Polish soldier and a dozen or so Iraqis were wounded, gen. Mieczyslaw Bieniek, the commander of the multi-national division, informed. He denied an AP report saying that Polish soldiers opened fire on a bus full of Iraqi pilgrims after it failed to stop at a checkpoint. Bieniek said the bus was empty except for the driver who was shot dead by Polish soldiers. He described the driver as a lone terrorist who might have had explosive materials. Polish soldiers opened fire on the bus but it hit a barrier at a checkpoint injuring a Pole and some Iraqis.

Washington, Feb. 29: Poland's Bumar engineering company may yet win a tussle over a supply contract for the Iraqi army with the U.S. Nour Corp. The contract, won by Nour in a tender against Bumar, has been halted after Bumar questioned the credibility of the U.S. company's low price offer. Ralph White, spokesman for the U.S. General Accounting Office (GAO) with which the Polish company lodged its complaint, said that decisions on which company will carry on with the contract will rest with Iraq's CPA. He added that relevant concrete moves may be expected "rather sooner than later". White said that as in the first tender the bidders for the deal will be Nour, Bumar, and a third company, Cemex. GAO attorney said the CPA would review all the bidders' original offers and re-decide about the contract. Polish deputy economy minister Janusz Piechota said in Washington that he had been assured of the U.S. Administration's efforts to clear the matter. He was told the U.S. Government wanted full clarity around the tender and that the U.S. wanted Polish companies to participate in the Iraq reconstruction program.

Warsaw, Feb. 29 : Deputy Finance Minister Ryszard Michalski predicts that until Poland's integration with the EU the fluctuation of the zloty will remain at the present level, slightly above 4.8 zlotys for one euro, but that it may strengthen to 4.6 zlotys for one euro by the end of the year. "After joining the EU we will see the zloty appreciated as the foundations of our economy are sound, exports are good and inflation is kept under control. So the zloty will get stronger especially in the 2nd half of the year", the deputy minister said.

Cracow, Feb. 28: The U.S. Tishman Speyer Properties company and Germany's ECE Corp. will launch an office center project in Cracow. Located near Cracow's main railway terminal, it will offer 100,000 sqm of office and commercial space and a hotel. The 250-million-euro project will be carried out by a joint venture enterprise named Cracow-New Town. The centre is to completed in 2006.

Warsaw, March 1: The Grand Christmas Aid Orchestra, popular charity foundation set up twelve years ago, raised 27,244,441 zlotys (ca. 6.9 million USD) during its recent 12th fund-raising nationwide project. The money would be spent on medical equipment for infants and babies distributed among the hospitals throughout Poland. The 12th fund-raising nationwide project was held on January 11, both in Poland and abroad.

Ruciane Nida, Feb. 29: King Juan Carlos of Spain Sunday ended a three-day hunting tour in Poland's northeastern Masuria district. On Saturday the King reportedly bagged a bison in the Puszcza Borecka forest. The tour was kept secret, the King and his entourage were subject to strict security throughout the visit.

Warsaw, Feb. 27: Poles are increasingly mistrustful towards the EU, with 55 percent of polled in an Ipsos survey declaring little or no trust in the Union (4 points up on January). Only 30 pct claimed they trusted the EU (9 pts down on January). The highest level of trust in the EU was noted in May 2003 on the eve of Poland's EU referendum (53 pct).