Most Ministries have their own program related to the Acquis Communautaire as Slovakia plans to join the EU. Your Ministry is currently focusing on the regional development policy and co-ordination of structural instruments. Could you give our readers a brief overview of those two chapters and their timeframe for the implementation of the Acquis ?
The Ministry of Construction and Regional Development is responsible only for chapter 21, which is related to regional development and structural funds. The negotiating chapter was opened on March 3O, this year, and it should be concluded in the first half of 2OO2. Majority of the act laws related to the conclusion has already been passed, including the act of regional development. Other significant acts related to regional development were proposed by different Ministries, e.g. The Ministry of Finance worked out the budget requirement act. Very important acts were also those related to the public administration, mainly the act about territorial divisions.
Could you specify the issue of territorial divisions and explain to our readers what exactly are your main intentions ?
The reform of public administration shifts the responsibility towards the regional self-administrations. They shall be responsible for economy and social development of the region.
Since there was not established the secondary regional administration in Slovakia, an essential instrument of regional development was missing. The process of regional development strategy is one of a long-term run. As such, it has to be carried out only by professionals who come from the region, who are aware of its comparative qualities, economic and human resources. They should be individuals with the ability to mobilize not only the financial but also the inner, intellectual, potential of the region.
As for the territorial divisions, the former government proposal was to create 12 self-governed territorial divisions. However, in parliament the number of territorial divisions was revised. The final number agreed on was no more than 8, maintaining hitherto territorial divisions. Indeed, there is a difference between the administration regions and the planned territorial divisions. According to the agreement between the Slovak Statistic Institute and Eurostat, made during the era of Meciar´s government, Slovakia was divided into four regions (NUTS): East, Central, West and Bratislava, which only followed the model from before 1989. In December 1999 the government worked out an integrated development regional plan changing the geographic allocation of the four NUTS. The East Slovakia NUTS includes the areas of Košice, Prešov and Banská Bystrica . The regions of Žilina and Trencín belong to the North - West NUTS, Slovakia South-West NUTS includes regions of Nitra and Trnava. The fourth NUTS consists of the town of Bratislava and its surrounding region. As far as the regional economic development and the GDP is concerned there are great disparities. On the national level we have just reached the average of 49 % of the international GDP, which puts Slovakia rather behind European average. On the other hand, Bratislava itself is estimated to reach approx. between 102 and 105% of GDP.
Within your regional development policy, how would you define the role played by your Ministry to attract investors into the remote areas of Slovakia ?
The National Plan of Regional Development
is going to be worked on until 2006. Regional
development is a multi-dimensional assignment
which includes co-operation of various ministries
responsible for different aspects of the regional
development. According to the Competence act
we are responsible for the National plan which
consists both of the regional operational
programme and sector operational programme.
There were seven sector operational programmes
carried out by related Ministries, national
bodies and institutions, e.g. the human resources
dvpt programme was realised by the Ministry
of Education in co-operation with the National
Institute for Labour, non-profitable organisations
and other competent institutions. The sector
operational programmes were not carried out
on the wide national level, they were fitted
to each region's specifications. Finally,
the goals and needs of the sectors and regions
were synchronized, defining the global and
partial objectives. The prime objective is
to rise the GDP from the present 49% up to
60-65% until 2006. The national plan was presented
on June 19 to Brussels´ European commission
and the results are expected by March 2002.
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How would you describe Slovakia as a potential investment destination as compared to its neighbouring countries ?
Slovakia's big problem is its insufficient diversification of industry and economy, a relic of the central- planning economy era. The regions are rather mono-structural, e.g. the south region has climatically been always the best for soil and agricultural industry. Since there was no heavy industry in the region and due to the collapse of the East trade leading to export limitations there is a 35% unemployment now. Slovakia definitely needs more foreign investment than it has now, more foreign capital to restructure the whole policy. As well as the know-how and access to market. While the Czech Republic, Hungary or Poland were ready and open for direct foreign investments in the first half of the 90s, Slovakia under the government of Meciar chose instead to establish domestic-owned capital environment and did not let the foreign investment enter the country. Therefore the first wave of foreign direct investment did not reach Slovakia at all. While foreign direct investment in Hungary was around 21 mill. USD in 1998, in Slovakia it was only 1,2. The foreign investors already based in neighbouring countries, do not necessarily need to expand within a rather limited market by establishing their branches only 70km away. Another drawback of our territory is insufficient air - carrier network. But still, my message for foreign investors is come and invest in Slovakia. Also, we would like to attract foreign investors to other regions, not only to the capitol city Bratislava, where are based 65% of all foreign investors.
What would you specify as your most important ambition for the next few months.
In accordance with the government's statement, the Ministry is not only responsible for regional development policy but also for the housing policy. Considering the economic situation inherited from the former government, the government's statement was rather ambitious. The prime objective was to set up such legislative, technical, economic and financial conditions that would allow to build 14 000 new flats per year on average, which is altogether 56 000 flats until the end of the election term. Although we rather successfully managed to create the financial support funds for the development of housing construction, the problem lies within the financial capability of individuals, as well as municipalities and in low standard of living as such. The success of the programme was put at risk also due to the fact that at the beginning of our mandate we had to implement restrictive-budget policy and austerity measures, with tough restriction on expenditures. However, my personal wish would be to fulfil the housing development plan up to the highest level.
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