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Sat, Feb 11 2012
World Bank forecast 3% recession for EU's former planned economies
World Bank president Robert Zoellick.
The economies of 10 European Union countries from the former Communist bloc would shrink by three per cent this year and stagnate around zero per cent next year, the World Bank said in a report on May 22.
Hit by the recession in high-income countries, the main destination of the region's exports, and reduced capital inflows, the 10 Eastern European member states of the EU were experiencing "a sharp downturn and steep rise in unemployment because of the region’s deep trade, capital and labor market integration with the EU and the world economy," the bank said.
The 10 countries - Bulgaria, the Czech Republic, Estonia, Latvia, Lithuania, Hungary, Poland, Slovakia, Slovenia and Romania - had avoided financial meltdown, but faced uncertain prospects for growth and convergence with the rest of the EU.
Still, the initial shock was over, the World Bank said, as "the rate of contraction is expected to moderate from the second quarter onwards, and growth could move into positive territory towards the end of 2009."
The report highlighted some of the differences within the region, but did not give individual forecasts for each country.
Hit by the recession in high-income countries, the main destination of the region's exports, and reduced capital inflows, the 10 Eastern European member states of the EU were experiencing "a sharp downturn and steep rise in unemployment because of the region’s deep trade, capital and labor market integration with the EU and the world economy," the bank said.
The 10 countries - Bulgaria, the Czech Republic, Estonia, Latvia, Lithuania, Hungary, Poland, Slovakia, Slovenia and Romania - had avoided financial meltdown, but faced uncertain prospects for growth and convergence with the rest of the EU.
Still, the initial shock was over, the World Bank said, as "the rate of contraction is expected to moderate from the second quarter onwards, and growth could move into positive territory towards the end of 2009."
The report highlighted some of the differences within the region, but did not give individual forecasts for each country.
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Appointments
British Council
Lyubov Kostova was appointed country manager of British Council Bulgaria effective January 1, replacing Tony Buckby, who left in October 2011 to take a similar position at British Council Greece. Kostova has been with British Council Bulgaria for 11 years, as public communications manager and, since 2008, as the head of project and partnerships department. Prior to joining the British Council, Kostova was head of international activities at the National Academy for Theatre and Cinema Arts (NATFIZ). She has a degree in Indian studies from Kliment Ohridski Sofia University.
CEZ
Stefan Apostolov is the new chief executive of CEZ Razpredelenie Bulgaria, the power transmission subsidiary of Czech energy company CEZ in the country. He replaces interim chief executive Ales Damm, who remains the chairperson of the CEZ Razpredelenie management board. Apostolov has 30 years of experience in the energy sector, joining CEZ in 2007 as director of customer service and was later appointed as head of business development. Apostolov has a master's degree in electric systems from the Belorussian National Technical University in Minsc, management diplomas from Open University London and New Bulgarian University, as well as a master's degree in business administration from Plovdiv University.
BASF Bulgaria
Valentina Dikanska is the new general manager of chemical industry giant BASF subsidiary in Bulgaria, taking over from Herbert Fisch, BASF vice president for Southeastern Europe. Dikanska, who started her career as an expert in the Finance Ministry, joined BASF Bulgaria as director of finance and administration in 2002. She becomes the first Bulgarian to hold the top management position in the company in its 40-year history on the Bulgarian market. Dikanska holds a master's degree in economics from the University for National and World Economy in Sofia.
Rompetrol Bulgaria
Alexander Albin has been appointed chief executive of fuel distributor Rompetrol Bulgaria, replacing Nichita Sorin, who left to become chief executive of Rompetrol Gaz in Romania. Albin was previously chief executive of Rompetrol Georgia. He has more than 15 years of experience in the oil and gas industry; prior to joining Romania's oil group Rompetrol in 2008 as an adviser, he oversaw operations at Atyrau refinery in Kazakhstan, owned by Rompetrol's parent company KazMunaiGaz. He previously held top management positions at two other leading Kazakh oil and gas companies.
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It is never in the interest of the nation or the populace to devalue its currency. This is the same absurd thinking that govt deficit spending will revive an economy. The argument that it will help the export sector, while true, is only one piece of the puzzle.
A nation's economic strength is closely linked to how strong it's currency is. You can't have a strong economy with a weak currency. More purchasing power for the domestic populace is a good thing, not bad.
These countries should devalue their currencies. The peg to the Euro only benefits corrupt politicians and multi-national corporations. It harms the population as a whole.