The US Capitol building hosted several high ranking US Congressmen (including Senator John McCain and House Speaker Nancy Pelosi), EU Parliament officials (via a video link from Brussels), current and former Central and Eastern European Parliamentarians as well as leading human rights leaders, academics and activists.
According to several speakers, democracy is being challenged like never before. Negative effects of the global recession, growing social inequality and legitimization of several semi authoritarian regimes have all put serious strains on democracy’s development and progress.
What is worse, international bodies like the UN Human Rights Council prefer non-confrontation and simply refuse to engage with some of its nastiest offenders. Among the many issues discussed was the need to fight democratic regression in countries like Belarus, Ukraine, Georgia, Moldova and Russia.
At the very heart of strengthening democracy, civil society and human rights, the missing link seems to be a strong US-EU response and alliance. Although individual EU members like Poland and Sweden have made important contributions, critical partners like Germany and Italy choose to look the other way, preferring national energy security and economic interests over European authority and leadership.
One Polish official mentioned that the most effective way to strengthen democracy is to build and develop knowledge and awareness among local populations. As such, the media should be used as a critical tool, partner and proliferate voice.
The cornerstone of any successful democracy is an open and free press. But with growing harassment of Ukrainian journalists as well as an upcoming presidential election in Belarus to cover, the concluding chapter of Eastern Europe’s democratic Odyssey may be far from written.
Having benefited from Poland’s ability to withstand the worst of the global financial crisis, Civic Platform (PO) and President Komorowski campaigned on the promise of a modern, competent government and continued economic and structural reforms. One of the main arguments against voting for Jarosław Kaczyński and PiS was that critical legislative proposals would risk being vetoed, and therefore, stifle Poland’s economic recovery and social development.
Now that Mr Komorowski is president, all eyes will be on PO and their ability to successfully tackle Poland’s major challenges, including the rising deficit, unemployment, tax reform, social transfers and economic competitiveness. The government’s response to recent floods in southern Poland, and especially its ability to assist (and compensate) flood victims, will also determine the government’s capacity and credibility for crisis management. This summer’s floods have caused approximately €2.9 billion in damage and affected over a quarter of a million inhabitants. In addition, thousands of kilometers of regional and local roads (including bridges) have been destroyed, adding to Poland’s long-standing infrastructure woes. Let’s not forget the Euro 2012 soccer championship is just around the corner.
More importantly, the Komorowski victory will be a major test for PO before parliamentary elections take place in October 2011. On the one hand real tangible reforms cannot come without austerity measures and some social pain, as evidenced throughout Europe. On the other, the Polish electorates’ tolerance for additional public-spending cuts and growing financial burdens is waning.
In both cases, inaction risks tarnishing PO’s reform credentials. If President Komorowski fails voters’ expectations, this will only embolden PiS and draw new supporters. The August break will soon be over and it will be time to get to work. PO’s plate already looks full.
As Poland's presidential race reaches its climax this weekend, much has been said about the country's political divide. Many suggest that voters are deeply split over the direction Poland should take, with debates centered on whether Poland should be "modern" or traditional, eucentric or independent, secular or religious. Equally, both Polish and foreign media has played up the socio-economic differences between voters. In some cases the media has pitted urban against rural, free market beneficiaries against post-transition losers, young against old.
Interestingly, Poland's political divide is also felt across the Atlantic. The Polish diaspora in the US and Canada, numbering approximately 12 million, voted overwhelmingly for Jarosław Kaczyński in the first round. Many are conservative and fled Poland after 1945 due to their anti-communist beliefs and continue to feel resentment towards the embedded remnants of the former Party system. Most felt Kaczyński was the better candidate to represent Poland and preserve its national interests. This has angered some who question the validity and right of those living outside Poland (most on a permanent basis) to vote on its future political leadership.
These internal divisions create unnecessary noise, and mean participants miss the bigger picture. Poles have an enormous amount to gain and lose in this election. Amid the personal jabs and political squabbles there are difficult policy choices on the horizon, related to: public debt, national security, EU relations and euro adoption, energy policy, the economy, pensions, healthcare and education reform. They will affect each and every citizen across the political spectrum for years (perhaps generations) to come.
It is imperative that Polish voters show some sophistication and vote on the substantive issues, the candidates' platforms and ultimately for the candidate that will help lead Poland into a more secure and prosperous future. I am sure at least on this point we can all agree.
Against the backdrop of a global economic recession, risk averse capital markets and a pan-European debt crisis, Poland has forged ahead with its planned privatization programs. The intended goal is not only to open up some of Poland's largest sectors (energy, chemicals, and financial services) to competition, but to make Poland a sustainable and truly modern post-communist economy.
In addition to developing "national champions," one major factor that will contribute to Poland's long-term economic success is supporting and nurturing small and medium-sized enterprises as well as the next generation of young entrepreneurs.
One organization determined to help young Polish entrepreneurs break through not only nationally, but in the international arena is Academic Business Incubators (ABI). ABI is part of the greater ABI Group, a network of institutions working to develop the idea of entrepreneurship in Poland. Since its inception in 2004, the ABI has over 1,100 developing companies operating within their framework. They possess 40 business centers throughout Poland, providing physical infrastructure, mentorship, legal, and professional business consulting services for young entrepreneurs looking to launch a start-up as well as teaching entrepreneurship classes at several Polish universities.
One of ABI chairman Dariusz Żuk's major goals is to improve Poland's international branding and showcase its potential as a place for high-tech start-ups and top notch talent. Hopefully, the Polish government will take notice and take a stronger role in positioning the country as a land of educated and innovative entrepreneurs. Having avoided a major economic disaster, now is the time for Poland to take advantage of existing opportunities. This means improving Poland's education infrastructure, attracting capital and providing funding (in the form of grants) for business investment.
As the Shanghai 2010 Expo has demonstrated, competition to attract global business and investment is increasingly fierce. This is especially true among struggling (and increasingly nationalistic) European economies hoping to expand their footprint into Asia and other emerging markets. Unlike past market booms and bubbles, investing in Poland's young start-ups and human capital, is one investment surely to bring positive returns.
The power of compound interest as applied to the current debt crisis
BY Les Nemethy











