Marek Brenčič, Slovak MFA

Romanian Development Camp, September 2009

European Transition Compendium

Useful instrument for: • EU coordination,• internal coordination,• cooperation with countries in transition

• Financial means should be available?

Development of Slovakia – success story

1. Economic transition to a market – based economy

2. Political transition to a democratic state

3. Social transition to a social market economy - decrease of unemployment

4. Sharing of transformation know-how – Slovak Aid (2002-) – OECD, EU

1990-1992: Early transition within Czechoslovakia

     • Deep transition recession during 1991-1992,• Swift privatisation along three fronts

(restitution, small-scale privatisation, voucher privatisation),

• Price liberalization,• Peaceful break-up of Czechoslovakia in a

negotiated way and with strenuous attempts by both sides to minimize any economic fall-out.

    

1992-1998: Independence and the stalled transition

• On January 1, 1993 foundation of the independent Slovak Republic,

• New currency, split of the monetary union,• Building a strong civil society – sharing

experiences, e.g. in Serbia, sharing election monitoring experiences in Eastern Europe

1998-2002: Initial reforms and cleaning up the economy

      • Floating exchange rate,• Restored macroeconomic stability,• Restructuralization and privatization of the

banking sector,• Restrictive fiscal policy measures,• OECD Member (2000).

2002- : Completing the transition – structural reform and EU accession

• Reforms in many areas (pension reform, social insurance, labour market), creation of business-friendly environment,

• Public finance reform (incl. tax reform),• Entry to the European Union, NATO, ERM

II, Euro area,• Accelerating economic growth (10,4% in

2008).

Basic rules for the provision and

evaluation •Act on ODA (2008), draft Act on grants•Slovak Agency for International Development Cooperation (2007)•Project Committee•Coordination Committee•Mid-term strategy 2009-2013:- aid effectiveness, - coherence and - flexibility

Slovak Aid Territorial Priorities

Programme countries (3)Afganistan, Kenya, Serbia – (CSP) –

Project countries – (16)Albania, Belarus, Bosnia and Herzegovina,

Montenegro, Ethiopia, Georgia, Kazakhstan, Kyrgyzstan, Macedonia (FYR), Moldova, Mongolia, Sudan, Tajikistan, Ukraine, Uzbekistan and Vietnam

Why the Western Balkans and greater focus on Eastern dimension?

Ability to offer added value – transformation of know-how

Historical links, experience, knowledge

Language and cultural closeness

Bratislava process – Bratislava-Beograde Fund

Diplomacy (M. Lajčák, M. Mojžita, E. Kukan)

Sectoral Priorities of Slovak Development Assistance

A. Building of democratic institutions, the rule of law, civic society and peace

B. Social development C. Economic development, building of

market environment, strengthening of macroeconomic environment, public finance management, support to small and medium-sized enterprises

D. Infrastructure development with a positive impact on sustainable development and environmental protection

What else?

CSP for Serbia and Montenegro

Assistance in the integration in the international organizations and groupings with special attention to the EU

Civil society development

Restoration and rehabilitation of the infrastructure

Key partners

CIDA – cofinancing 31 projects ADA –cofinancing projects in Serbia,

Kenya and Etiopia UNDP Regional Centre in Bratislava –

assists in capacity and institutional building

EC – linking Slovak ODA with EC financial tools, formulation of common development policy, compendium

OECD/DAC EU member states – SIDA, V4 etc.

Thank You for Your Attention

ContactDepartment of Development Cooperation

Ministry of Foreign AffairsHlboká 2, 833 36 Bratislava

Slovak Republic

phone ++421 (02) 5978 3801

fax ++421 (02) 5978 3809e-mail oda@foreign.gov.skweb www.slovakaid.sk

Elementary school in Afghanistan

Projects of Slovak Aid in Kenya

„Building bridges“ with Serbia and Montenegro

Regional development

Local heating system in KikindaSerbia and Montenegro