Hollosi Information eXchange /HIX/
HIX MOZAIK 407
Copyright (C) HIX
1995-01-26
Új cikk beküldése (a cikk tartalma az író felelőssége)
Megrendelés Lemondás
		
Kedves Olvasok!

Tegnap nem volt HIX, egeszen pontosan kedd delutan 4-tol
szerda delutan 3-ig a JHU (es igy a HIX kozponti gepe is)
el volt vagva a halozattol. 

Az ezido alatt kuldott levelek donto resze a kapcsolat
feleledese utan beerkezett (ezt az ujsagok rekordmeretebol
is lehet latni).

Jozsi. /HIX/
1 Ministry of Foreign Affairs - Newsletter (jan.20) (mind)  355 sor     (cikkei)
2 VoA - Magyarorszag/Romania (mind)  61 sor     (cikkei)
3 CET - 24 January 1995 (mind)  240 sor     (cikkei)
4 CET - 23 January 1995 (mind)  260 sor     (cikkei)
5 Ministry of Foreign Affairs - Newsletter (jan.23) (mind)  536 sor     (cikkei)
6 VoA - Hataron tuli magyarok (mind)  82 sor     (cikkei)
7 OMRI Daily Digest - 24 January 1995 (mind)  83 sor     (cikkei)
8 CET - 25 January 1995 (mind)  197 sor     (cikkei)

+ - Ministry of Foreign Affairs - Newsletter (jan.20) (mind) VÁLASZ  Feladó: (cikkei)

E W S L E T T E R

from the Daily Bulletin of the Hungarian News Agency MTI
distributed by the Department for Press and International Information
Ministry of Foreign Affairs, Republic of Hungary

H-1394, Budapest P.O.B. 423.
Telephone: 36 (1) 156-8000
Telefax: 36 (1) 156-3801
No. 16/1995                                             20 January 1995

Hungarian Press Review


        Budapest, January 19 (MTI) - The following is a summary of articles
carried on Thursday by the Hungarian national dailies:

        - Nepszabadsag - The various ministries have filed applications for mor
e
than double the amount that can be distributed from the general reserve of the
state budget, Finance Ministry State Secretary Tibor Draskovics said.
Coordination began on Tuesday and will continue next week before the
government. Asked by the paper, Draskovics said that the freely usable portion
of
the reserve may also be influenced by the agreements to be reached on minimal
wages. If the Interest Coordination Council (made up of representatives of
employees, employers and the government) decide on a major minimal wage
increase, this should also be enforced in the case of employees paid from the
central budget, whose wage rises will be financed from the general reserve.
(Page
1)

        - Magyar Hirlap - Publishing National Bank of Hungary (NBH) figures, th
e
paper reports that the total profit tax paid by financial institutes in 1944 -
HUF 30.4
billion - was four times over the sum collected in the previous year. Of this,
the
NBH paid HUF 22.9 billion. (Page 1)

        - Nepszava - A public opinion poll conducted by Marketing Centrum shows

that Finance Minister Laszlo Bekesi has lost the most in popularity (6 per
cent),
which the paper explains by the recent price hikes. The popularity chart is led
by
President Arpad Goncz (80 per cent), followed by Budapest Mayor Gabor
Demszky (68) and Interior Minister Gabor Kuncze (64).

* * *

        - Nepszabadsag - Articles carried by the paper in connection with the
major earthquake that shook Japan at dawn on Tuesday reveal that Japanese
experts do not rule out the possibility of an even greater disaster - similar
to the
1923 quake in Canto - still being ahead. Hungary has not experienced any
serious
earthquakes for the last 1,500 years, nor is it likely to have such in the
future in
view of its geological setting. The nuclear power station at Paks is completely
quake-proof. (Pages 1 and 6)

* * *
        - Magyar Hirlap - In emergency, the process of NATO's expansion may
gather momentum, but this would mean circumstances which are in nobody's
interest, Secretary of State for Foreign Affairs Ferenc Somogyi said in an
interview with the paper. He believes the Chechen crisis does not yet mark a
decisive change in Russian policy, but a long-term negative effect cannot be
ruled
out either. Such a turn could affect the enlargement of NATO. On his visit to
Brussels earlier this week, Somogyi said the aim of his talks was trying to
influence the process of accession by outlining Hungary's position, as well as
preparing a visit by Prime Minister Gyula Horn to integration organizations
(NATO,
EU, WEU) in February.

NBH Launches JPY 25bn Ten-Year Bond


        Budapest, January 19 (MTI-ECONEWS) - The National Bank of Hungary
(NBH) launched a ten-year Samurai bond to a total value of JPY 25 billion on
the
Japanese capital market on Thursday, NBH vice president Frigyes Harshegyi told
Econews.

        The issue price was 99.9 per cent of the face value and the bonds bear
a
6.76 per cent coupon with payment due on February 8. The yield spread is 196
basis points over JPY LIBOR, Harshegyi said.

        The issue was lead-managed by Nomura Securities.

        For the Samurai bond to achieve a relatively long maturity was a
considerable success in view of the present depressed state of the
international
capital markets.

        The NBH plans public placement of bonds to a total value of USD 1.5
billion this year, of which this Samurai bond accounts for USD 250 million.

        The market response to NBH bonds is influenced, not only by the higher
than expected USD 4 billion deficit in Hungary's current account last year, but
other factors such as increasing industrial production, the high level of
international reserves - about USD 7 billion - and the fact that consumer price
inflation was kept under control.

        NBH issued Samurai bonds in October last year to a total value of JPY 3
0
billion with seven-year maturity. That bond has a 6.65 per cent coupon and the
yield spread at the issue stood at 178 basis points over the JPY LIBOR.



Chairman of Foreign Affairs Committee Winds Up Visit to Warsaw


        Warsaw, January 19 (MTI) - Matyas Eorsi, chairman of the foreign affair
s
committee of Parliament, wound up two days of talks in Warsaw today. At the end
of the talks Eorsi and Bronislaw Geremek, chairman of the foreign affairs
committee of the Sejm, passed a joint communique.

        They outlined the document at a joint press conference.

        The two chairmen agree that cooperation between the Visegrad group of
countries is of vital importance for European integration.

        Although it is in the specific interest of the individual countries as
to when
and how they can attain membership of the European Union, they share an
interest in ensuring that all countries in the Visegrad group of countries gain
full
membership to Euro-Atlantic institutions.

        Closer political cooperation between the Hungarian and the Polish
governments could become exemplary for the other countries in the Visegrad
group, and could successfully express during the process of integration with
Europe the regional character of these countries.

        The participants would welcome other countries from the Visegrad group
to
join this initiative for political cooperation.

        "By striving to attain membership of the Euro-Atlantic institutions, th
e
countries of the Visegrad group intend to promote democracy, peace and
stability
in Europe as a whole.

        "The crisis that has unfolded in the Russian Federation seriously
jeopardizes this process. The events in Russia are particularly alarming due to
the
geopolitical position of our respective countries.

        "We therefore call on both parties to abandon use of violence, and the
violation of human rights, and without delay restore peace and the
constitutional
democratic order.

        "We hold the view that the tragic Russian events should serve as
appropriate evidence for the international community to realize that the
Visegrad
group of countries must attain full NATO membership in the near future," the
joint
communique established.



Slovak Premier Meciar's Schedule in Hungary


        Budapest, January 19 (MTI) - Slovak Prime Minister Vladimir Meciar is d
ue
to arrive in Hungary next Tuesday evening. Shortly after his arrival here, he
will
hold talks with his host, Prime Minister Gyula Horn.

        On Wednesday he will be received with due military honours after which
the two prime ministers will hold negotiations in Parliament, also to be
attended by
delegations from both countries.

        Around noon Prime Minister Meciar will be met by President Arpad Goncz,

before meeting Speaker Zoltan Gal.

        Subsequently Prime Minister Horn will stage a gala dinner in honour of
the
Slovak Prime Minister. In the afternoon the two prime ministers will hold an
international press conference on the results of talks.

        Prime Minister Meciar will then place a wreath at the Monument of
Hungarian Heroes, and attend a reception to be hosted by the Slovak
ambassador at the Slovak mission.

* * *

        Government spokesperson Evelyn Forro told MTI it was in the basic
interest of both Slovakia and Hungary to settle controversial issues, since the
European Union and NATO have no need of quarreling neighbours as full
members.

        She noted that since the socialist-liberal government took office, it h
as
done its best to improve relations with neighbouring countries. Although
Budapest
and Bratislava differ on assessing some issues, it remains the creed of the
Hungarian government to negotiate, she emphasized.

        Forro added that Hungary considers the elaboration and the signing of a

basic treaty as an important possibility of normalizing relations.

        Hungary's position is that a basic treaty should include both the princ
iple of
the inviolability of borders, and guarantees for the rights for national
minorities in
line with international norms.


Horn on Ties Between Army and Society


        Budapest, January 19 (MTI) - Hungarian Prime Minister Gyula Horn on
Thursday heard a report on preparations for the Saturday assembly of the
Friendship Circle of the Army and Society. The press was informed by Defence
Minister Gyorgy Keleti and Lieut.-Gen. Sandor Nemeth, Chief-of-Staff.

        Horn stressed that the circle fulfills its task if it - strengthens tie
s
between
civilians and soldiers, - creates new chances of defence-related cooperation
with
municipal authorities, schools and universities, research institutes, cultural
institutions, and social and economic organizations, - disseminates information
about the objectives and tasks of the Army, and about the life of soldiers.

        Horn welcomed that some renowned public personalities had been
involved in the work of the society.

* * *

        On Thursday afternoon Horn met National Police Commander Sandor
Pinter to discuss trends in public order and security, Government Spokeswoman
Evelyn Forro told MTI.

Horn and Meciar to Discuss Danube Navigation, Water Division


        Budapest, January 19 (MTI) - Meeting in Budapest on January 25, prime
ministers Gyula Horn of Hungary and Vladimir Meciar of Slovakia will also
discuss
problems related to the Gabcikovo hydroelectric power plant, such as navigation
on the Danube and the provision of Hungary's Szigetkoz region with water,
Government Spokeswoman Evelyn Forro told a news conference today.

        In its Thursday session, the government gave full authorization to the
delegation led by Horn, asking it to give absolute priority to the interests of
Hungary.

        Horn is to inform the government on his talks with Meciar and the posit
ion
of Bratislava on January 26. The government will then decide how to provide
Szigetkoz with water, a decision long awaited by the inhabitants of the area.

Croatian President Meets Hungarian Foreign Minister


        Zagreb, January 19 (MTI) - Croatian President Franjo Tudjman met tonigh
t
Hungarian Foreign Minister Laszlo Kovacs, who is paying a visit to Zagreb in
the
capacity of Chairman-in-Office of the Organization for Security and Cooperation
in
Europe (OSCE).

        The meeting was attended by Mate Granic, Deputy Prime Minister and
Foreign Minister, Gabor Bagi, Hungarian Ambassador to Croatia, Aleksandar
Solc, Croatian Ambassador to Hungary, Istvan Gyarmati, Hungarian ambassador
accredited to the OSCE, and Darko Bekic, Croatian Ambassador accredited to the
OSCE.

        The politicians discussed the situation in former Yugoslavia, and the
mandate of UN forces in Croatia, MTI learned from usually reliable sources.
After
the meeting, the two foreign ministers discussed bilateral relations.

Hungarian Members of Slovak Parliament to Visit Hungary


        Budapest, January 19 (MTI) - A delegation of the Hungarian members of
the Slovak Parliament is to visit Budapest on January 23-24, Speaker of
Parliament Zoltan Gal told a news conference in Budapest today.

        "The date of this visit was fixed long ago so it is a mere chance that
the
delegation will come here just before the Budapest talks of Slovak Prime
Minister
Vladimir Meciar," Gal said.

        The delegation is scheduled to meet President Arpad Goncz, Prime
Minister Gyula Horn, Foreign Minister Laszlo Kovacs, and parliamentary party
leaders.

Hungarian Ambassador on UN Peacekeeping


        Washington, January 19 (MTI) - It is indispensable for the UN officials
 in
charge to draw conclusions from the fact that UN peacekeeping falls short of
expectations, Istvan Nathon, Hungarian Ambassador to the United Nations, said
in
an open debate of the Security Council today.

        Recalling recent changes in the nature of conflicts, the Hungarian dipl
omat
emphasized the importance of quick reaction and preventive diplomacy.

        Hungary supports the secretary-general's proposal for creating an
atmosphere in which accepting UN assistance and intervention in conflicts
becomes a fundamental norm for the member states, he said.

        The ambassador indicated that Hungary awaits with interest the further
details of the plan for establishing rapid intervention forces under the
auspices of
the United Nations. He established that the United Nations had a growing
responsibility and role in peace-building, mainly in the fields of humanitarian
assistance and human rights.

        Nathon stressed the need of cooperation between the United Nations and
regional organizations, first of all in preventive diplomacy. He said that
Hungary,
as the Chairman-in-Office of the Organization for Security and Cooperation in
Europe (OSCE), considers it essential to broaden fruitful cooperation between
the
United Nations and the OSCE.

        The Hungarian diplomat proposed that, before imposing sanctions, the
Security Council should involve the neighbouring countries in consultations.

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A tovabbterjesztest a New York-i szekhelyu Magyar Emberi Jogok
Alapitvany tamogatja.

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Reposting is supported by Hungarian Human Rights Foundation News
and Information Service.
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+ - VoA - Magyarorszag/Romania (mind) VÁLASZ  Feladó: (cikkei)

date=1/23/95
type=correspondent report
number=2-172830
title=Hungary / Romania (l-only)
byline=Budapest
dateline=Stefan Bos
content=

voiced at:


Intro:  Hungary has condemned  plans by the Romanian government
to ban a political party representing an estimated two point five
million ethnic Hungarians living there.  Stefan Bos reports from
Budapest, the statement was issued Monday after talks between
Romanian and Hungarian government officials did not make any
progress.


Text:  All six Hungarian parliamentary factions, including the
governing Hungarian Socialist Party and the Liberal Free
Democrats, reacted with dismay about plans of the Romanian
government to ban the only Hungarian party in that country.


Last Friday the Romanian justice minister announced that his
government would consider banning the Democratic Union of
Hungarians in Romania, RMDSZ.  He accused the RMDSZ, which was
founded five years ago after the fall of dictator Nikoleau
Ceausescu, of having made anti Romanian statements including
calls for autonomy. But the Hungarian parliament called the
measure a threat to democracy.


Talks between Hungarian and Romanian government officials in
Budapest to solve the issue are expected to continue Tuesday.
(Signed)


neb/sb/dc-t/pt

23-Jan-95 8:05 pm est (0105 utc)
nnnn

source: Voice of America

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A tovabbterjesztest a New York-i szekhelyu Magyar Emberi Jogok
Alapitvany tamogatja.

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Reposting is supported by Hungarian Human Rights Foundation News
and Information Service.
*****************************************************************


+ - CET - 24 January 1995 (mind) VÁLASZ  Feladó: (cikkei)

24 January 1995
Volume 2, Issue 17


REGIONAL NEWS
-------------

**Positive Signs From Meciar**
  Slovak Prime Minister Vladimir Meciar begins a visit to Hungary
  today. He says he's hoping to resolve a dispute over the
  rights of the 600,000 ethnic Hungarians living in Slovakia.
  Meciar says he'd like the two countries to sign an agreement
  outlining the rights of the ethnic Hungarian minority.


**Affairs With Romania Not So Rosy**
  The Romanian government's ethnic affairs specialist is also
  visiting Hungary. He, too is talking about the status of
  minority Hungarians. Viorel Hrebenciuc will be holding talks
  with Hungarian officials responsible for ethnic minorities'
  affairs. The leader of the Hungarian Democratic Union of
  Romania, or H-D-U-R, which represents Romania's 1.5 million
  strong Hungarian minority was asked to accompany Hrebenciuc to
  Hungary, but refused the invitation in protest of statements
  Bucharest made yesterday about its Hungarian population. The
  Romanian Senate's defense, public order and national security
  commisson slammed the H-D-U-R's demands for autonomy and
  called for a meeting of Romania's Surpreme Defense Council
  which would be chaired by President Ion Illiescu. The H-D-U-R
  says it's not challenging the concept of a Romanian nation,
  but wants Romania to encompass its minorities, including
  Hungarians, gypsies and Germans.


**Hungarian Official Upset With Recent Events**
  According to well informed sources, Hungarian Finance Minister
  Laszlo Bekesi might quit his post next week. Bekesi hinted in
  yesterday's Hungarian newspapers that he could leave. A
  decision is expected after this weekend's Socialist Party
  meeting. Independent analysts give Bekesi a 30% to 40% chance
  of quitting. Bekesi says before making up his mind he needs
  time to evaluate recent government decisions, including the
  firing of Privatization Commissioner Ferenc Bartha and the
  termination of the sale of the Hungarhotels chain earlier this
  month. But sources say Bekesi was kept fully informed of these
  events while on vacation in Austria over the past couple of
  weeks. They say he remained on holiday to avoid conflicts with
  Prime Minister Gyula Horn. Analysts say Bekesi's decision on
  whether to stay will hinge on who is appointed Privatization
  Minister, a position Horn reportedly wants to create. There's
  speculation Horn wants to establish the post to end Bekesi's
  authority over privatization. Analysts say Bekesi wants
  someone from the business community, not a politician, to get
  the job. One source added that a Bekesi resignation could
  jeopardize the appointment of Gyorgy Suranyi to head the
  Hungarian National Bank. Horn reportedly supports Suranyi's
  nomination, but the source says Suranyi is unlikely to accept
  the post if Bekesi leaves. Suranyi could not be reached for
  comment and a spokesman for Bekesi says he's refusing to speak
  to the press.



BUSINESS NEWS
-------------

**Repairs Delay Croatian Oil Pipeline Reopening**
  Repair work has indefinitely delayed the re-opening of the
  Adria oil pipeline through Croatia. The pipeline was supposed
  to open up yesterday. It's been closed for three years due to
  the war in the former Yugoslavia. The pipeline links Hungary,
  the Czech Republic and Slovakia to ports on the Adriatic Sea.
  The United Nations says repairs are needed on a 40 mile
  section of the line through Serb-held territory in Croatia.
  The re-opening was agreed upon in U-N sponsored talks between
  Zagreb and the occupying Serb forces. The pipeline is seen as
  an alternative to Russia, which is Central Europe's main
  source of crude oil. Suppliers say the Russian crude is
  cheaper, but the pipeline supplying it is periodically
  shut-down.


**Horn Says Hungary to Name New Central Banker**
  Hungarian Prime Minister Gyula Horn says a new central bank
  chief will be named by next week. The central bank has been
  without permanent leadership since mid-December when Peter
  Akos Bod resigned. Horn wouldn't comment specifically on
  whether former central bank President Gyorgy Suranyi is in the
  running.


**Budapest To Press Privatization; Quell Investors Doubts**
  Amid rumors of a government shake-up in Hungary, Prime Minister
  Horn is trying to re-assure foreign investors. Speaking to the
  press yesterday, Horn promised renewed momentum in
  privatization. But as Lucy Hooker reports from Budapest,
  foreigners will find new rules when they come to play. Prime
  Minister Horn says that future privatizations will be decided
  not only by price, but also by taking into account the quote
  "national strategic interest".

  From now on, he says, when government officials make
  privatization decisions they'll take into consideration their
  impact on inflation, employment, the environment and domestic
  businesses.

  He says the process of privatization will have to be better
  controlled and more open so the public won't think the
  government is selling off the national wealth. At the same
  time, Horn says he hopes to sell two-thirds of Hungary's
  remaining state-owned property before the end of 1998.

  With big sell-offs in the energy and banking sectors set for
  later this year, this could send mixed signals to foreign
  investors, skeptical after the Hungarhotels sale collapsed
  earlier this year due to Horn's personal intervention.


**Review Planned on Budapest Aircraft Contract**
  Also at yesterday's press conference, the Hungarian prime
  minister announced a government plan to review a $40 million
  contract with Canada's Huang & Danczkay Properties to build a
  new terminal at Budapest's Ferihegy airport. Horn did not give
  details. The review is expected to be similar to the one which
  derailed the privatization of HungarHotels. That move is still
  sparking criticism in the investment community. Huang &
  Danczkay won the contract in July, beating out the
  Lockheed-led Airport Development Consortium. The new terminal
  would replace Ferihegy terminal 1, and is supposed to be
  completed next year.


SURVEY
------

**NATO the Goal for Former Warsaw Pact Nations**
  by Tom Lavell

  The Partnership for Peace agreement, or PFP, between the NATO
  alliance and Central European countries is often portrayed
  in western countries as a balancing act. On the one hand,
  smaller nations want the west to enlarge its military
  umbrella, on the other, Russia resents the loss of prestige
  in its former sphere of influence. Poland sees the accord as
  another stop on the road to settling differences between
  neighbors. The North Atlantic Treaty Organization, or NATO,
  used to be the bad guy in Polish high school civil defense
  classes. Students were required to study attack strategies and
  even learn the names of top western commanders. Today, that
  enemy image of NATO has vanished. In fact, yesterday's
  students are now seeking to join the alliance. PFP is supposed
  to help both sides learn to be partners. Poland was the first
  ex-communist country to submit a PFP cooperation plan and last
  summer it hosted the first multinational NATO-Ex-Warsaw Pact
  exercise on non-NATO soil. Col. Zdzislaw Czekierda is a
  spokesman at Poland's central military command.

  "From our point of view, PFP is a normal continuation of our
  activities from the past. At the same time, PFP creates a much
  faster achievement of membership of NATO."

  However, NATO officials aren't yet ready to accept former Warsaw
  pact countries as new members: their military hardware and
  communications standards aren't compatible with the
  alliance's. Polish officials hope that $25 million in PFP aid
  pledged by US President Bill Clinton will help the military
  modernize its equipment. Entire systems need to be revised.
  A Polish liason officer at NATO headquarters, Col. Wolodomirz
  Carnecki, says Poland has set up a standardized office to
  organize this mammoth undertaking.

  "We realize that NATO has more than 2,000 different procedures
  and standards which should be achieved by the given country.
  I was informed by some distinguished representative of Germany
  that for Germans it has taken them more than 10 years to
  understand how it works. So we realize it's a very difficult
  task."

  But Col. Juliusz Maj, Chief of Poland's PFP program in Warsaw,
  says the difficult tasks of standardization and cooperation
  are essential.

  "Our cooperation includes United Nations peacekeeping and
  observer missions, humanitarian aid and search and rescue
  missions. These 3 components are the primary projects for
  PFP."

  Poland already contributes 2,000 men to United Nations
  peacekeeping missions, that have cost the country some $44
  million. Facing budget restraints and with no concrete
  military threat at the moment, politicians are considering
  abolishing the draft and making Polish armed forces
  all-volunteer and more professional. Counteracting that trend
  is Poland's continuing fear of Russia. Relations between
  Moscow and Warsaw are strained, especially after a robbery
  of Russian train passengers in Warsaw deteriorated into an
  international incident last fall. However, Maj points out that
  Russia, now a PFP signatory, has pledged to make cooperation
  with European countries a top priority.

  "You should remember, Russia also signed the Partnership for
  Peace agreement. Russia will also present a presentation
  document which NATO will review and which, like ours, will
  pledge cooperation with neighbors as well as NATO."

  That spirit of cooperation is something Poland and its other
  neighbors are hoping will dominate relations among east and
  west European countries in the 21st Century. Poland, Hungary
  and the Czech Republic all say they want to join NATO by the
  end of this century.



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-----------------

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A tovabbterjesztest a New York-i szekhelyu Magyar Emberi Jogok
Alapitvany tamogatja.

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Reposting is supported by Hungarian Human Rights Foundation News
and Information Service.
*****************************************************************



+ - CET - 23 January 1995 (mind) VÁLASZ  Feladó: (cikkei)

23 January 1995
Volume 2, Issue 16


REGIONAL NEWS
-------------

**Austria an Ally of Old Conquests**
  Austria says within the first six to nine months of this
  year it's going to make concrete proposals on spelling
  out what Central European nations have to do to join the
  European Union. Austria formally became an E.U. member
  January first. Austria's minister of state for European
  Affairs says it's vital politically that
  Poland, Hungary, the Czech Republic, Slovakia, Croatia
  and Slovenia have a chance to join the E.U. quickly. Austria
  once controlled much of the territory in those six countries
  through the Habsburg empire.

**New Hungarian Officials Chosen** 
  The leading Hungarian newspapers are reporting that Hungary's 
  ruling coalition has agreed to expand the government. According 
  to Nepszabadsag and Nepszava newspapers, the government will add a   
  privatization minister and a minister in charge of European Integration
  Affairs. The leaders of the Hungarian Socialist Party and
  Alliance of Free Democrats have also reportedly agreed to
  nominate Gyorgy Suranyi for President of the National Bank of
  Hungary. Suranyi is currently the director of CIB Hungaria
  Bank. He has already headed Hungary's Central Bank, serving as
  president between 1990 and '91. Suranyi is expected to undergo
  hearings in parliamentary committees this week. A Socialist
  party official would neither confirm or deny the news reports
  over the weekend, which also said that a minister without
  portfolio would supervise Hungary's privatization process.
  Former privatization commissioner Ferenc Bartha was fired last
  week.



BUSINESS NEWS
-------------

**Hard Currency Accounts on the Rise in Hungary**
  Hungary's hard currency savings grew by 800 million dollars
  last year to about 2 and half billion. Hard currency accounts
  grew by 90 million dollars in December alone. The National
  Bank says the dramatic increase was due to heightened fears
  that there was going to be a large devaluation of the forint
  at the end of 1994. That didn't happen. The Hungarian
  government cut the value of the forint by eight percent in
  August, and by 1.2 percent earlier this month.


BUSINESS FEATURE
----------------

**Central European Stocks Stay Flat; Hungary and Poland Have Promise**
  By David Fondler

  Central European stocks continue their poor performance, as
  lingering doubt remains about emerging markets worldwide. This
  week, David Fondler speaks with Camilla Brooks, who handles
  European equity sales for C-S First Boston, in London. She
  first explains the long and short-term effects of global
  investor skepticism:

  Brooks: There's been a high focus obviously on the Mexican
  problem and the debt situation and the actual massive falls
  we've seen in the Latin American markets.
  If anything, in the long term, we expect flows of money to come
  away from those Latin American and Asian emerging markets and
  into the European ones.

  DF: So, what have been the effects of this in Central Europe?

  Brooks: What we've seen this year has been a slight fall off.
  We've seen a 13 percent drop in the Hungarian market and
  Poland and the Czech Republic drop 2 to 3 percent. In Hungary
  we've seen a number of other factors.
  That being the HungarHotel problem, we've seen a privatization
  minister resign, and also because of its macro-economic
  situation, it's one that's been highlighted because of the
  debt situation in Mexico. I think there, people are focusing
  on the current account deficit, and ignoring the fact that we
  have very strong expectations for export growth, which I think
  is a good safeguard to anyone who is making investments there.

  DF: Is it likely the government knows the growth potential of
  its economy, and knows that raising the price on the
  HungarHotels privatization was a calculated risk for them to
  take because they figure investors are going to come anyway,
  because of that growth?


  Brooks:  Yes, I mean I don't think any economy or any
  government in this part of the world can afford to be
  complacent. Foreign investors can afford to be choosy around
  the world at the moment and price I think is the most
  important thing.

  DF: In the Czech Republic, next month we see the arrival of 600
  new companies from the last wave of privatization. Is this
  going to give the Prague stock market the kick it needs to
  get back on a winning cycle?

  Brooks: My own personal views is that it won't initially.
  It depends really on how far we see the market fall between
  now and March. I think there's a number of problems here.
  One, I don't think there's enough transparency in the Czech
  market. I don't think there's enough information readily
  available to make people sort of rush in there on the first
  day. I think the market needs to fall down to the kind of
  valuations we see in Hungary or Poland today before people
  start to feel confident and enthusiastically start spending
  their money there.

  DF:  And in Poland, the only news I saw that effects the stock
  exchange is that Poland plans to privatize the Warsaw Stock
  Exchange, to sell stocks in the exchange itself to brokers.
  Is this going to have any effect on the investment or the
  activity on the stock exchange?

  Brooks:  Yes, it will. Certainly from our perception it's
  incredibly good news. By opening up the membership of the
  stock exchange or rather the shareholder ownership of the
  stock exchange, it will actually give greater weight to the
  decisions and the opinions of people who are not directly
  involved with their own share prices on the stock exchange.
  Apparently, a lot of the shareholders in the stock exchange
  are actually the companies themselves which are quoted on the
  exchange. So they have a vested interest in preventing
  further companies from coming to the market.

  DF: So, where are you suggesting foreign investors or even
  domestic investors, if you talk to them, put their money in
  Central Europe?

  Brooks:  At the beginning of the year our highlight was
  definitely Poland. But now that we've seen Hungary come down
  13 percent, I think there's valuations in some areas there. I
  think the Hungarian market will bounce quite quickly, the
  moment we see a little bit of buying in there, the domestics
  will follow. In the long-term view, I think Poland is still
  the number one focus. There is tremendous value there.  There
  is far less sort of company debt, and also actual earnings
  potential and earning growth we can see from Polish companies,
  because of the high GDP figure, and certainly a high
  industrial production and consumption figure. We feel very
  positive that we'll see some good results for '95.



SURVEY
------

**Hungarian NATO Hopes Grow**
  by David Fink

  Hungary's Partnership for Peace, or PFP, activities are finally
  in gear. Budapest joined the program last year, but a lack of
  money prevented Hungarian soldiers from going to military
  maneuvers in Poland and Belgium. More maneuvers are scheduled
  for fall and Hungary should be ready. The country has
  established a NATO relations office in its Defense Ministry
  and a NATO language shool will be set up soon. Hungarian
  military officers are learning English at the Zrinyi Military
  Academy these days as Hungaqry tries to ready itself for
  membership in NATO. Partnership for Peace is laying the
  groundwork. And the language classes are a part of the
  foundation. Just last month, Hungary's Parliament allotted $17
  million, under PFP, to open a new school. According to Zoltan
  Martinusz, the head of the Defense Ministry NATO Affairs
  Department, the school will be more than just an English or
  French lesson for Hungarian or east European officers.

  "The language school is going to be designed to train officers
  for high level specific language skills. It's not going to be
  a basic language training."

  Martinusz says these special skills include peacekeeping
  language, one of the main elements of the Partnership for
  Peace program. But even more than language, compatibility is
  the buzzword around here. Martinusz says the school helps
  achieve this PFP goal.

  "Compatibility in out understanding is operational
  compatibility. It means the common use of certain standards,
  the common use of certain communication areas and a kind of
  common thinking."

  Matinusz says, in peacekeeping exercises, such as those which
  will take place this fall in Hungary, officers from outside
  the alliance can learn NATOs methods, an understanding which
  is vital for achieving compatibility.

  "The issue of harmonization and interoperability is not really
  a technical issue. There are certain technical requirements,
  but it's much more an issue of adopting procedures and methods
  used in the NATO alliance."

  Still there are some technical issues which must be resolved.
  According to Martinusz, Hungary is working with NATO to
  develop common communication and air defense systems. Hungary
  is also in daily contact with alliance headquarters through
  civilian and military liason offices in Brussels. The head of
  the Partnership for Peace coordination cell on the alliance
  side, Danish Major General Gunnar Lange, says Hungary is
  progressing well. In May, his office plans to produce specific
  standards Hungary should work toward.

  "Right now we are starting a force planning process in which we
  are to identify the deficiencies concerning the
  incompatibility issue between the Hungarian national forces
  and NATO forces."

  But Hungarian officials want NATO to do more than point out
  problems. They want the alliance to spell out conditions for
  membership. Hungarian leaders initially viewed PFP as an
  attempt to hold off Budapest's admission to NATO. But Young
  Democrat member of Parliament Tamas Wachsler says these fears
  are easing.

  "I am quite sure that in a few years, this country and other
  countries in the region are going to be members. Mr. Clinton
  has made it very clear that's not a question of if but when
  and how."

  In fact, maneuvers with American forces are planned for the
  fall of 1996. Hungarian leaders say they expect NATO
  membership within a few years. But alliance officials say
  that'll be a political decision, not a military one.



ABOUT CET ON-LINE
-----------------

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  This publication may be freely forwarded, archived, or
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+ - Ministry of Foreign Affairs - Newsletter (jan.23) (mind) VÁLASZ  Feladó: (cikkei)

N E W S L E T T E R

from the Daily Bulletin of the Hungarian News Agency MTI
distributed by the Department for Press and International Information
Ministry of Foreign Affairs, Republic of Hungary

H-1394, Budapest P.O.B. 423.
Telephone: 36 (1) 156-8000
Telefax: 36 (1) 156-3801
No. 17/1995                                                     23 January 1995


Hungarian, Croatian Foreign Ministers Meet


        Zagreb, January 20 (MTI) - Hungarian Foreign Minister Kovacs Laszlo and

Croatian Foreign Minister Mate Granic agreed in Zagreb on Thursday evening that
a
minority protection agreement should be prepared within 15 days, with the help
of the
representatives of Hungarians residing in Croatia and Croatians living in
Hungary.

        They also agreed that a joint committee should be set up to examine the

possibility of a motorway between Rijeka and Budapest.

        The ministers signed an accord on opening the Adriatic oil pipeline in
a
month.

        Kovacs, as Chairman-in-Office of the Organization for Security and
Cooperation in Europe (OSCE), is to install the OSCE's human rights ombudsmen
to
Bosnia on Friday.

Hungarian Press Review

        Budapest, January 20 (MTI) - Magyar Hirlap - The cabinet began the
assessment of its first six months in office on Thursday, said Elemer Kiss,
state
secretary at the Prime Ministerial Office. The discussion will continue on
January 26
because heads of three important departments (the financial, home and foreign
affairs) were not present at Thursday's session. According to Kiss, Prime
Minister
Gyula Horn will attend the joint directorial session of the State Property
Agency and
the State Holding Company, to gain first-hand information on their current
work.
(page 3)

        - Magyar Hirlap - Frontier guards tightened checks in line with a secre
t
government resolution, the paper reports. The secret document also calls for
stricter
measures against foreigners violating the law. There are plans to re-discuss
former
agreements on the mutual abolition of visas, primarily with the members of the
Commonwealth of Independent States. Hungary is considering appointing police
consuls, with the first to be in Kiev. (page 1)

        - Uj Magyarorszag - MOL Rt Director Lajos Horvath warns that Hungary's
oil
supply is not secure. Russian oil continues through the Friendship pipeline,
after a
pause early this year, but there is still no transit fee agreement between
Russia and
Ukraine, so the taps can be turned off at any time. According to Mineralimpex
department head Lajos Alacs, the Adriatic pipeline will not be put into
operation on
January 23, as planned originally.

* * *

        Budapest, January 20 (MTI) - Uj Magyarorszag - The National Bank of
Hungary has been without a president since December 15, 1994. After Peter Akos
Bod resigned, several nominees emerged, including Erno Kemenes, Peter
Medgyessy, Gyorgy Suranyi, and Imre Tarafas. The two strongest candidates,
Suranyi and Tarafas, are objected to by a government coalition party - the
former by
the Hungarian Socialists and the latter by the Free Democrats. According to the
latest
information, Prime Minister Gyula Horn is moving towards supporting Suranyi, so
the
central bank might have a new president at the end of January, the paper
reports. It
also examines, taking the United Kingdom, Belgium, France, and Germany as
examples, how long the post of central bank president may remain unfilled in
western
European countries. (pages 1 and 7)

        - Kurir - The end of the Gutenberg era has been forecast several times,
 yet
books still compete with television and radio. Hungary's book publishing
business is,
however, not so much jeopardized by technical innovation as by lack of
effective
demand. In the mid-eighties Hungary published some 8,000 books in an average
print-run totalling 100 million plus copies each year. The peak was in 1989
with 8,200
titles and altogether 123 million copies. The corresponding figures for 1993
are 8,458
titles and 72 million copies. Book prices averaged HUF 51-52 in 1985, and are
priced
on average at HUF 300 at present (1 dollar = 111 or 112 forints). All in all,
Hungarian
publishing houses seem to have minor problems compared to the distributors.
(page
3)

* * *

        Budapest, January 20 (MTI) - Magyar Hirlap - In Hungary's transformatio
n to
a market economy, 1994 was a "top" year in several ways. The most outstanding
result: economic production rose the most significantly compared to the
previous
year. Industrial output, exports, imports, and investment all increased. Growth
in real
wages was the highest and consumer price rises the lowest in 1994. On the other
hand, the paper also reports negative records: the current account deficit was
almost
USD 4 billion, and the net debt burden of the country grew fastest last year.
The
budget deficit compared the worst to GDP last year. (pages 1 and 2)

        - Magyar Nemzet - According to a report by the National Health Insuranc
e
Pay-Office (NHIPO), use of hospital beds in Hungary is only 67 per cent,
although the
optimal rate would be a minimum of 80 per cent. Two thirds of in-patients are
in
hospital not for health but for social reasons, the report says. Over 35,000
beds could
be used for some other purpose if the use-rate was more effective and grew to
80 per
cent. Hungary has 100,000 hospital beds. Beds are least used in infant,
obstetric,
and gynecological wards, and most used in X-ray and rheumatology departments.
(pages 1 and 5)


Hungarian Individuals' Foreign Currency Deposits Up


        Budapest, January 20 (MTI) - Hungarian individuals' foreign currency ba
nk
account deposits grew by nearly HUF 10 billion in December and by HUF 90
billion
last year, and preliminary figures show they exceeded HUF 290 billion, about
USD
2.6 billion.

        National Bank sources told MTI that in December the value of incoming
payments totalled HUF 56 billion, and outgoing payments plus conversions from
one
currency to another HUF 46 billion.

        The value of Hungarian individuals' foreign currency bank accounts tota
lled
HUF 27.5 billion in 1989, HUF 68.6 billion in 1990, HUF 131 billion in 1991,
HUF
151.8 billion in 1992, HUF 204.4 billion in 1993 and HUF 290 billion in 1994.

        This indicates that the value of foreign currency accounts in terms of
Hungarian currency grew more than ten times in five years. This is also due to
devaluation of the forint - nearly half of the HUF 90 billion growth for 1994
stems from
devaluation.
        More than half of the foreign currency deposits are kept in German mark
s,
about 20 per cent in US dollars and more than 10 per cent in Austrian shillings
at
more than 30 Hungarian banks.

Parliamentary Foreign Affairs Committee Chairman on Warsaw Trip


        Budapest, January 20 (MTI) - The chairmen of the foreign affairs commit
tees
of the Hungarian and Polish Parliaments had talks in Warsaw earlier this week
and
agree that cooperation between the Visegrad group of countries is indispensable
for
the integration of these countries into Europe.

        It is the sovereign right of every state to decide when and in what for
m it
seeks
to attain full membership of the European Union.

        "At the same time it is in our vested interest to see that all countrie
s in
the
Visegrad group be admitted as full members of the Euro-Atlantic institutions",
agreed
the two chairmen said Matyas Eorsi in Budapest before media representatives
today.

        (The document was cleared in Warsaw on Thursday.)

        Eorsi and his Polish counterpart Bronislaw Geremek conferred with each
other
in Warsaw on Wednesday.

Central Bank Base Rate Up 3pc from February 1


        Budapest, January 20 (MTI) - Effective February 1, the National Bank of

Hungary will raise the base rate from 25 per cent to 28 per cent, the NBH
announced
on Friday.

        According to a press release, the Central Bank Council (CBC) has again
discussed the monetary policy for 1995. Considering that trends in 1994 were
worse
than expected and the external balance deteriorated even further, the CBC
reaffirmed that Hungary's net foreign debts must not increase and is aiming to
reduce
the 1995 current account deficit to USD 2.5 billion.

        The CBC believes that monetary policy should aim to reduce the current
account deficit and curb inflation in order to encourage savings and reduce the
demand for credit. The council agrees with recent measures aimed at checking
financial outflows from the central bank, increasing the mandatory reserve rate
and
other similar steps.

Hungary, Slovenia Discuss Foreign Affairs in Ljubljana


        Ljubljana, January 20 (MTI) - Relations between Hungary and Slovenia ar
e
problem free and developing well, Istvan Szent-Ivanyi and Ignac Golob commented
at talks in Ljubljana on January 20.

        The two foreign ministry state secretaries called for the still outstan
ding
trade
agreements to be concluded, and for the infrastructure between the two
countries to
be built up. The two men said the existing border stations should be enlarged
and
new ones opened. They also discussed the position of the national minorities.

        Szent-Ivanyi urged that the Joint Committee on Minorities convene as so
on as
possible and proposed modifications to Slovenia's new system of public
administration to better serve the needs of the Hungarian minority.

        Other topics discussed were Euro-Atlantic integration, particularly the
 common
interests of the two countries in the European Union and NATO, regional
cooperation
and the Chechen and Yugoslav conflicts.

        Szent-Ivanyi informed Golob of Hungary's commitments and plans connecte
d
with its activities as chairman-in-office of the Organization for Security and
Cooperation in Europe.

        The Hungarian politician also held talks with Zoran Thaler, chairman of
 the
Slovenian Parliament's Foreign Affairs Committee, and the newly-elected leaders
of
Mura-region Hungarians in Lendava.

        The Slovenian delegation handed over an invitation for Prime Minister G
yula
Horn to visit Slovenia.

Hungarian Foreign Minister Installs OSCE Ombudsmen in Sarajevo


        Sarajevo, January 20 (MTI) - Hungarian Foreign Minister Laszlo Kovacs,
Chairman-in-Office of the Organization for Security and Cooperation in Europe,
inaugurated the three minorities ombudsmen of the OSCE, at a formal ceremony in
Sarajevo this afternoon.
        The Muslim population will be represented by Esad Muhibic, a 61-year-ol
d
lawyer born in Sarajevo, who was formerly justice minister in the Izetbegovic
cabinet.
Vera Jovanovic (47), also a lawyer from Sarajevo, will act on behalf of the
Serbian
nation, and the Croatian ombudsman is Branka Rahuz, a Croatian attorney from
Bugojno.

        Kovacs described the inauguration of the minorities ombudsmen as a step

towards settling the conflict in former Yugoslavia. Earlier today, the foreign
minister
met the Prime Minister of Bosnia-Herzegovina, Haris Silajdzic, and praised the
brave
resistance shown by the inhabitants of the besieged city of Sarajevo.

Romanian Government's General Secretary Expected in Budapest


        Budapest, January 20 (MTI) - Viorel Hrebenciuc, General Secretary of th
e
Romanian government, will pay an official visit to Hungary from January 23 to
26, at
the invitation of Csaba Tabajdi, Parliamentary Secretary of State at the Prime
Minister's Office (PMO).

        The PMO said the two sides would discuss practical questions related to
 the
minorities policies affecting Hungarians in Romania and Romanians in Hungary.
At
Hrebenciuc's request, the discussions will be attended by Csaba Takacs, Acting
President of the Hungarian Democratic Federation of Romania.

        The Romanian politician will be received by Prime Minister Gyula Horn.
He will
hold talks with Foreign Minister Laszlo Kovacs and meet members of Parliament's
Human Rights, Minorities, Religious and Foreign Affairs committees.

Military Diplomacy the Key Element of Hungarian Security Policy


        Budapest, January 21 (MTI) - Foreign policy and military diplomacy cons
titute
the key elements of Hungarian security policy.

        The army is only the ultimate guarantee for averting a potential attack
,
Defence Minister Gyorgy Keleti told a general meeting of the Armed Forces and
Society Friendship Society in Budapest today.

        He also stressed the need for an army, among others for the simple reas
on
that no ethnic, or minority civil war conflicts, a potential source of danger
for Hungary,
could be ruled out in Central-Eastern Europe.

        Keleti stated in part that the threat of war has considerably dwindled
in
Central
Europe, and the idea of an armed attack against Hungary is not formulated at
the
level of official policies.
        He pointed to the need for continuing the transformation of the army to

adjusting it to NATO standards.

        The government will shortly discuss a planned transformation of the
management system of the armed forces from March 1.

        Over several years 25 to 30 per cent cuts are planned in staffs without
 the
need to discharge any professional soldiers.

        The reductions will primarily affect the number and duration of service
 of
enlisted soldiers.

        Next year the army will start a transition to a nine or ten month tour
of duty
for
enlisted soldiers.

        Keleti said a technological modernization of the army can only start wi
thin a
few years. This is a lengthy process since at current price levels a
replacement of
military hardware would cost HUF 1,600 to 1,800 billion forints.

Foreign Minister Kovacs on Sarajevo Trip in BBC Interview


        London, January 21 (MTI) - The leaders of Bosnia are fairly disappointe
d over
the powerlessness of the international community and the various international
organizations, said Hungarian Foreign Minister Laszlo Kovacs in an interview
with the
BBC today. He paid a one-day visit to Sarajevo as chairman in office of the
Organization for Security and Cooperation in Europe.

        He quoted the Bosnian leadership as stressing that it accepted the peac
e plan
of the contact group but would disagree with any modifications therein.

        Kovacs's negotiating partners in Sarajevo consider the Bosnian-Croatian

federation viable, and trust that the Serbs will join it in good time.

        Kovacs said the leadership in Sarajevo mainly expected the OSCE to exer
t
pressure both on Bosnian Serbs and Belgrade to get them to accept the peace
plan.
Sarajevo also expects the OSCE to raise its word in the event of the violation
of the
rights of Moslems in the Sandjak area. They consider it very positive that the
OSCE
had opened a permanent mission in Sarajevo and consider its work and the
appointment of ombudsmen as a very great assistance. The appointment took place
on Friday.

        The Bosnian leadership also expects the international community to give
 its
assent to the lifting of the arms embargo imposed on Bosnia so that they can
defend
themselves if the Serbs refuse the peace plan of the contact group.

        The Bosnian leaders consider the cease-fire in Bosnia as something that
 will
hold, he noted.

        Commenting on his talks in Zagreb Kovacs stressed, that as chairman in
office
of the OSCE he had offered the good offices of the organization to the Croatian
leadership in an effort to prevent a conflict stemming from the revocation of
the
mandate of the UN forces, and to seek a solution. "President Tudjman responded
positively, and said he thought it was conceivable that the OSCE together with
international organizations, particularly the European Union, could examine
ways of
what to do to improve the situation.

National Board of Hungarian Socialist Party Meets


        Budapest, January 21 (MTI) - The greatest lesson of the local elections
 staged
last December is that the coalition parties must cooperate with much greater
patience
and tolerance than in the past, pushing the daily conflicts into the
background,
Socialist vice president Laszlo Mate told reporters after Saturday's meeting of
he
national board of the Socialist Party.

        
        He said a more considerate and clear-cut coalition governing is needed.

        The newly elected officials of the board were then presented to the pre
ss:
general vice-president Miklos Horn and vice- presidents Peter Fritz, Bela Pal
and
Gyorgy Wiener.

        Horn said that the board amended its statute through which its basic du
ty was
to determine the party's strategy, take a stance on fundamental political
issues, and
coordinate cooperation between the government and the parliamentary group.

        Four permanent commissions were then set up:

        1. to determine the party's strategy and programme
        2. to survey social political processes, and the work of the administra
tion
        and the parliamentary group
        3. to monitor the structural activity of the party
        4. to supervise contacts with local governments and civil organizations

        The board will hold its next meeting on February 4 when Prime Minister
Gyula
Horn is to brief the delegates on the activity of the administration.

Free Democrats' National Council Meets - Kuncze on Government' Work


        Budapest, January 21 (MTI) - The National Council, the political decisi
on-
making body of the Alliance of Free Democrats, says the governing coalition -
despite
all public disputes - is capable of functioning. Nevertheless the National
Council
considers a dynamic turn in the substance and style of governmental work
justified,
and calls for a firmer implementation of the government programme, officials
told
reporters today.

        Coalition Deputy Prime Minister Gabor Kuncze who assessed the six-month

work of the government before the council, summed up the debate by saying that
consideration, a proficient preparation of decisions, and implementation of the
government programme could be observed to a lesser extent than expected in the
government's work, and in fact a sizable delay is observed in its
implementation.

        No socio-economic agreement has been reached, Parliament has not passed

an act on privatization, and the efforts of economic policy to bring about
stabilization
have yielded little result.

        The public image of the government is negatively influenced by the pers
onnel
decisions that drag on, the improvisations of the administration, and the
disputes
within the government before the general public. The National Council holds the
view
that the coalition parties should strive to attain loyality to each other and
to avert
public disputes.

        Party chairman Ivan Peto announced that Alajos Dornbach had been electe
d
new chairman of the National Council and he would resign his post as party
executive
on account of his election.

        He is being replaced by MP Tamas Bauer as a member of the executive bod
y.

        The four other members of the presidium of the National Council are MPs

Laszlo Rajk and Edit Rozsa, Eva Mezes who ran for MP in Somogy county, and
Ferenc Torok who was an MP for the Free Democrats in the previous parliamentary
cycle, and a former Olympic champion in modern pentathlon.

        The National Councils unanimously backed the renomination of Arpad Gonc
z
for the post of president of the republic.

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+ - VoA - Hataron tuli magyarok (mind) VÁLASZ  Feladó: (cikkei)

date=1/24/95
type=correspondent report
number=2-172861
title=Ethnic Hungarians (l-only)
byline=Barry Wood
dateline=Prague
content=
voiced at:

Intro:  Officials in Hungary have expressed concerns about the
treatment of ethnic Hungarians in neighboring Slovakia and
Romania.  V-o-A's Barry Wood reports that Hungarian and Slovak
officials are discussing the issue in Budapest Tuesday and
Wednesday.

Text:  About 600-thousand ethnic Hungarians live in  regions just
north of the Danube river inside Slovakia.  In Bratislava, a
nationalist group that is now represented in the Slovak
government has called attention to the privileges enjoyed by the
Hungarian minority.  The Slovak National Party has suggested that
Hungarian language schools and street signs  no  longer be
permitted in Slovakia.

Slovak prime minister Vladimir Meciar is making his first visit
to  Budapest since becoming prime minister last month for the
third time.

Earlier this week in Brussels, where he was pressing the Slovak
case for entry into the European Union, Mr. Meciar expressed
conciliatory words toward the Hungarian minority.  He spoke
approvingly of multi-culturalism and said it was important to
draw the curtain on past differences with Hungary.  Mr. Meciar
said Slovakia wants to intensify its cooperation even further
with Hungary.

During talks with prime minister Gyula Horn, Mr. Meciar will be
discussing guarantees for Slovakia's ethnic Hungarians and a
Hungarian pledge to honor existing international borders.
Completion of a long-awaited friendship treaty between Hungary
and Slovakia is a priority for the government in Budapest.  Mr.
Meciar also says he looks forward to signing a friendship treaty.

But if there is cautious optimism about Slovakia, there is
renewed concern about the larger ethnic Hungarian community in
Romania.  About two-million ethnic Hungarians live in a region of
Romania that was once part of Hungary.  Romanian nationalists,
with their calls for Romanian dominance, have made the Hungarian
community increasingly fearful.

On Tuesday, the Hungarian president and prime minister abruptly
cancelled planned meetings with a visiting Romanian ethnic
affairs specialist.  The Hungarian action came after a
nationalist party that is represented in the Romanian government
condemned ethnic Hungarians for advocating autonomy inside
Romania.

All parties represented in the Hungarian parliament expressed
shock and concern about the attacks against the Hungarian
democratic movement of Romania.  (Signed)

neb/bdw/skh/jwh

24-Jan-95 12:08 pm est (1708 utc)
nnnn

source: Voice of America

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Reposting is supported by Hungarian Human Rights Foundation News
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+ - OMRI Daily Digest - 24 January 1995 (mind) VÁLASZ  Feladó: (cikkei)

OMRI DAILY DIGEST
No. 17, Part II, 24 January 1995

CEFTA MEETING OPENS IN WARSAW. Agriculture ministers from the four
member countries of the Central European Free Trade Agreement (Poland,
Slovakia, the Czech Republic and Hungary) as well as Slovenia began a
two-day meeting in Warsaw on 23 January to discuss speeding up the
removal of barriers to free trade. Czech Agricultural Minister Josef Lux
proposed an accelerated timetable for trade liberalization, saying that
one of the biggest obstacles thus far has been "the protectionist policy
of the European Union," Lidove noviny reports. -- Sharon Fisher, OMRI,
Inc.

SLOVAK PREMIER VISITS BRUSSELS. In an effort to confirm Slovakia's
interest in European integration, Vladimir Meciar traveled to Brussels
on 23 January for a two-day visit, accompanied by Deputy Premier Jozef
Kalman and Foreign Minister Juraj Schenk, Slovak dailies report. Meeting
with officials from NATO, the WEU and the European parliament, one of
the major topics of discussion concerned Slovak-Hungarian relations.
Meciar said he realizes that Western integration depends on resolving
the dispute over minorities with Hungary and assured officials that
"there are no obstacles on our part" to an improvement in bilateral
relations, Reuters reports. Meciar will travel to Hungary on 24-25
January at the invitation of his Hungarian counterpart Gyula Horn to
discuss the bilateral state-treaty and European integration. -- Sharon
Fisher, OMRI, Inc.

INTERETHNIC TENSION IN ROMANIA . . . President Ion Iliescu called on 23
January on the Hungarian Democratic Federation of Romania to dismantle
its newly-established council on local administration. Presidential
spokesman Traian Chebeleu told reporters in Bucharest that the council,
which includes mayors and local councilors, interferes with the work of
local government and is illegal, an RFE/RL correspondent in Bucharest
reports. Earlier, the government denounced the setting up of the council
in a special declaration (see OMRI Daily Digest, 23 January 1995). HDFR
leaders rejected the appeals. They protested the government's stance by
refusing to join a government delegation led by Viorel Hrebenciuc, who
heads the Council for National Minorities. HDFR president Bela Marko
told Radio Bucharest that the "inexplicably vehement" declaration of the
government made the HDFR reconsider its initial acceptance to join the
delegation. The delegation left for Budapest on 23 January, where it
started talks focusing on bilateral ties and national minority issues
with Hungarian officials. Also on 23 January, the Senate's Defense,
Public Order and National Security Commission said the HDFR's autonomy
claims could have "serious consequences for political and social
stability and for Romania's national security," Reuters reported. The
commission called for a meeting of the Supreme Council of National
Defense, which deals with threats to national security and is chaired by
the President, to discuss the matter. -- Michael Shafir., OMRI, Inc.

. . . AND HUNGARY'S RESPONSE. Hungary's six parliamentary parties, in a
joint communique on 23 January, expressed their shock and concern about
recent Romanian statements concerning the policy and status of the
Hungarian Democratic Federation of Romania, MTI reports. The communique
stressed that the HDFR's policy complied with the rule of law as well as
with the Romanian constitution and laws. The statement regretted that
the Romanian government joined the campaign of extremist Romanian
politicians against the Hungarian minority. Scheduled meetings between
Romanian Government Secretary-General Viorel Hrebenciuc, who is
currently visiting Hungary, and Prime Minister Gyula Horn and President
Arpad Goncz were canceled, MTI reported on 24 January. MTI commented
that the reason for the cancellation was probably the recent Romanian
government attacks against the HDFR. -- Edith Oltay, OMRI, Inc.

[As of 1200 CET]

Compiled by Steve Kettle

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A tovabbterjesztest a New York-i szekhelyu Magyar Emberi Jogok
Alapitvany tamogatja.

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Reposting is supported by Hungarian Human Rights Foundation News
and Information Service.
*****************************************************************


+ - CET - 25 January 1995 (mind) VÁLASZ  Feladó: (cikkei)

25 January 1995
Volume 2, Issue 18


REGIONAL NEWS
-------------

**European Group Looks into Chechnya**
  Hungary has announced that the Organization on Security and
  Cooperation in Europe, or OSCE, will begin a two-day
  fact-finding mission to Russia's rebellious Chechnya region
  this Friday. Hungary is currently chairing the OSCE. The OSCE
  delegation will be headed by Hungarian representative Istvan
  Gyarmati. Gyarmati says it'll study the situation in Chechnya
  and, after talks in Moscow, make a recommendation on the role
  the OSCE should take in solving the conflict.

**Hungary Protests Romanian Policy Toward Minorities**
  Recent verbal attacks by Nationalists within the Romanian
  government against  representatives of the Hungarian minority
  in Transylvania yesterday have prompted Hungary's president
  Arpad Goncz and Prime Minister Gyula Horn to cancel meetings
  with a top Romanian official in Budapest. Duncan Shiels
  reports:
  Romanian government Chief Secretary Viorel Hrebenciuc was due
  to meet both Goncz and Horn as part of a three-day visit to
  the Hungarian capital, which ends today. Goncz and Horn
  cancelled the meetings yesterday to protest recent attacks on
  Romania's Hungarian minority in the Romanian parliament. Some
  legislators want to ban the Hungarian Democratic Union of
  Romania party, or HDUR. Hrebenciuc, who has special
  responsibility for the Romanian government's ethnic policy,
  was able to meet with Hungarian Foreign Minister Laszlo
  Kovacs. After the meeting Kovacs said that Romanian statements
  of the recent past are "almost threatening Romania's Hungarian
  minority". Hrebenciuc promised to hold talks with the HDUR on
  his return to Romania.



BUSINESS NEWS
-------------

**CEFTA To Cut Farms Duties**
  Agriculture ministers from the Central European Free Trade
  Agreement, or CEFTA, have voted to cut customs duties in half
  by January first of next year.  The ministers also agreed to
  accept each others' veterinary and sanitary certifications on
  farm products, after July 1.  The prospect of Bulgaria,
  Romania, Lithuania, Latvia and Estonia joining CEFTA was also
  discussed. The CEFTA ministers met yesterday in Warsaw. The
  meeting included representatives from Poland, the Czech
  Republic, Hungary and Slovakia.


**Budapest to begin utility privatization**
  Hungary plans to begin the privatization of its electric
  utilities by the end of March.  The privatization could net
  the country just over a billion dollars this year.  Budapest
  will offer shares in nine electric power plants and five
  distribution companies.  Hungarian Industry and Trade Minister
  Laszlo Pal says the country wants to maintain majority control
  in the M-V-M Magyar Villamos Muvek distribution network and
  the Paks nuclear power plant.  But it plans to retain only a
  golden share in other utilities.  The golden share would give
  the government veto power.


**Hungary approves airport contract**
  Hungary has given final approval to a contract with Canada's
  Huang & Danczkay to build a new terminal at Budapest's
  Ferihegy Airport. The 62 million dollar deal was awarded last
  summer, but on Monday, Prime Minister Gyula Horn said the
  government was reviewing the contract. Yesterday, the
  country's M-T-I news agency reported that a government panel
  had approved the agreement. The panel consisted of
  representatives from the Transport Ministry, Communications
  and Water Management. The terminal is expected to be
  completed next year.



SURVEY
------

**Home Grown: A Promising Future for Industrial Hemp in Hungary**
  by Christina Crowder


  Hemp, or marijuana? The pithy fibres of the Cannabis
  Sativa plant can be made into everything from heavy rope to
  fine cloth and paper. While Western Europe debates
  legalization of Marijuana, Hungarians are using 150 years of
  experience to find new markets for a different kind of home
  grown product. The industry was privatized in 1993, and now
  Hungary's hemp growers and manufacturers are turning away from
  failed Eastern markets and looking Westward. As they try on
  their new corporate hats, they're improving their products and
  agressively seeking new markets.

  The weaving machines at the Heavytex plant in Southern Hungary
  are once again up and running. When the Communist Comecon
  markets broke up after 1990, Hungary's hemp industry fell
  apart. There were six major processing plants 5 years ago.
  Three have gone bankrupt, 2 were privatized in late 1993, and
  the sixth will be sold soon. The privatized factories
  immediately began adapting to the demands of the West. Hal
  Nelson, vice president of American Hamp Mercantile says
  Eastern Europe was a natural place to look to meet a growing
  American demand for hemp products. He says China is an
  uncertain investment and the West is bogged down in the debate
  over whether marijuana should be legalized. Because of this,
  American Hemp Mercantile looked to the producers of the former
  Soviet bloc. Hungary attracted their interest because it has
  Eastern Europe's strongest infrastructure, the best quality
  products and Hungarian management is willing to adapt to
  Western business expectations.

  "The bottom line is that the Hungarians know what they're doing
  about hemp, number one. And number two, I think they just have
  a very forward looking, Western oriented outlook, they're
  ready to learn what they don't know, and we're ready to help
  them".

  Management ingenuity and experience are certainly two major
  factors in the success of Hungary's hemp industry. In fact,
  both of the country's privatized factories were purchased by
  groups of former plant managers. The other factor behind
  Hungary's success is a Western market looking for alternatives
  to synthetics. Jeno Sponer, general director of the Szeged
  Hemp Spinning Factory, says  export revenue in 1994 reached
  500 million forints; 6 times the 1989 figure.

  "I think that the hemp industry will grow because people all
  over the world now have a preference for environmentally
  friendly packaging. Hemp can be grown sustainably without
  hurting the soil, and processed without damaging the
  environment. In the next five years, I don't think we'll see
  the huge increases of the last year, but slow steady
  growth"


  While happy with its initial success, the hemp industry here is
  also looking ahead. Working with foreign investers and the
  Hungarian government, hemp manufacturers  have plans to expand
  production capacity on all levels. If current negotiations are
  successful, American and international investment will bring
  an environmentally friendly paper plant to Southern Hungary as
  soon as next year. Diversification will help fill the
  employment gap left when three of six Hungarian hemp
  processing plants closed after 1990. Attila Galambos, is a
  hemp expert from the Hungarian Ministry for Industry and
  Foreign Trade.  He says the ability to manufacture a variety
  of products will lead to more efficiency and higher profits
  for everyone involved.

  "We want to turn the whole system into a closed one. It means
  that agriculture produces the hemp. After processing it you
  get fibre out of which you produce thread and textiles.
  Another side product is fibre chip which is a basic material
  for the furniture industry. There are also different types of
  wastes that provide raw material for the paper industry. By
  utilizing all of these products one hundred percent, the hemp
  can be processed without any waste".

  Hungary is much closer to this level of integration than any of
  its competitors, so it looks like Hungary is set to corner the
  market for this highly versatile, and completely legal
  product.


ABOUT CET ON-LINE
-----------------

* CET On-Line - copyright 1994 Word Up! Inc. All rights reserved.
  This publication may be freely forwarded, archived, or
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  prohibited.  For more information, contact the publishers.

*****************************************************************
A tovabbterjesztest a New York-i szekhelyu Magyar Emberi Jogok
Alapitvany tamogatja.

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Reposting is supported by Hungarian Human Rights Foundation News
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*****************************************************************



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