World Economic Forum happy with Trumponomics
The Czech Republic: Milos Zeman defeated his pro-EU rival
Will Bulgaria achieve the goals of its Presidency?
The heads of the Visegrad Group countries met during the summit in Budapest on January 26th. The Polish Radio reports that PMs, Mateusz Morawiecki, Poland, Andrej Babisz, the Czech Republic, Robert Fico, Slovakia and Viktor Orbán, Hungary, discussed migration, common agricultural policy and the future EU budget. One of the most awaited moment was the discussion on establishing a Central European Development Bank.
Poland’s Prime Minister declared that this should be an important institution: “The Development Bank will serve joint financing of infrastructure within the V4 states, the idea was born two weeks ago, so it is definitely too early to talk about final goals and dates.”
The US President Donald Trump had a short bilateral meeting with Poland’s President Andrzej Duda. As reported, the politicians talked Polish-US economic cooperation, “with special emphasis on energy and US investments in Poland”. They were also supposed to confirm their “very positive political relationship”.
On Friday the US President Donald Trump delivered his special address at the World Economic Forum in Davos. Many participants expected Trump’s “wagging finger at the global elite”. But – as reported – Trump appeared to be conciliatory and reassuring. Frist of all Mr. Trump came to Davos to encourage the world’s business leaders to invest in America. He explained that his key-line “America First” doesn’t mean “America Alone”.
The second pillar of Mr. Trump’s message was the social responsibility. “He talked about the voices of the forgotten,” BBC informs. The service adds that Mr. Trump reminded that businesses had to remember their obligations to the people who worked for them.
The Czech Republic
Milos Zeman became the Czech’s President for the second term. In a second-round of presidential runoff Mr. Zeman defeated Jiří Drahoš, the former head of the Czech Academy of Science with a small margin: 51.4 per cent vote to 48.6 per cent vote.
The Financial Times comments: “The result showed the deep divide in Czech society between those who have benefited from its rapid transformation since the country joined the EU almost 15 years ago and those who feel that the economic growth has passed them by”. It also adds that the results of the election underscore the extent to which the 2015 migration crisis continues to roil central European politics.
The EU Observer considers whether Bulgaria is able to achieve goals of its Presidency. Nicolas Tenzer names 4 priorities decided by Bulgaria together with its predecessor Estonia and successor Austria. Those are economic and social cohesion of the EU, security and stability of Europe, the digital economy and the connectivity binding the Western Balkans and the rest of Europe.
Overall, Mr. Tenzer claims that it won’t be easy. Bulgaria has many problems and the most obvious are those with the economic and social cohesion. He reminds that the country is still outside the Eurozone, and although it matches the Maastricht criteria, at the same time it’s the poorest country in the EU. GDP per capita is only 47 per cent of the EU average. Also, the country’s problems are lack of transparency and corruption. In the Transparency International corruption perceptions index, it ranks 75th (of 176).
What’s up in indexes
BET (of Bucharest) increased from 8,416.15 index points Thursday, January 25th to 8,434.44 index points Friday, January 26th. It’s up 0.20 per cent d/d and up 13.95 per cent y/y.
BUX (of Budapest) increases from 40,432.00 index points Thursday, January 25th to 40,785.87 index points Friday, January 26th. It’s up 0.88 per cent d/d and up 23.90 per cent y/y.
CROBEX (of Zagreb) increased from 1,867.09 index points Thursday, January 25th to 1,868.39 index points Friday, January 26th. It’s up 0.07 per cent d/d and down 9.19 per cent y/y.
OMXR (of Riga) decreased from 1,039.68 index points Thursday, January 25th to 1,034.90 index points Friday, January 26th. It’s down 0.46 per cent d/d and up 39.10 per cent y/y.
OMXT (of Tallinn) increased from 1,281.80 index points Thursday, January 25th to 1,290.09 index points Friday, January 26th. It’s up 0.65 per cent d/d and up 17.47 per cent y/y.
OMXV (of Vilnius) increased from 712.57 index points Thursday, January 25th to 722.03 index points Friday, January 26th. It’s up 1.33 per cent d/d and up 28.15 per cent y/y.
PX (of Prague) decreased from 1,133.76 index points Thursday, January 25th to 1,131.96 index points Friday, January 26th. It’s down 0.16 per cent d/d and up 20.67 per cent y/y.
SAX (of Bratislava) decreased from 335.80 index points Thursday, January 25th to 335.41 index points Friday, January 26th. It’s down 0.12 per cent d/d and up 9.01 per cent y/y.
SOFIX (of Sofia) increased from 708.17 index points Thursday, January 25th to 709.62 index points Friday, January 26th. It’s up 0.20 per cent d/d and up 16.03 per cent y/y.
UX (of Kyiv) increased from 1,421.43 index points Thursday, January 25th to 1,437.83 index points Friday, January 26th. It’s up 1.15 per cent d/d and up 67.00 per cent y/y.
WIG20 (of Warsaw) increased from 2,589.30 index points Thursday, January 25th to 2,600.48 index points Friday, January 26th. It’s up 0.43 per cent d/d and up 25.00 per cent y/y.