It’s around this time of year (as well as at the end of June) that Euronerds’ thoughts turn to the EU member-state about to take over the six-month rotating EU Council Presidency. By most accounts I have seen, the presidency about to end – that of Belgium – has gone rather well, despite being the first one ever to be conducted entirely by a caretaker national government. Next up is Hungary, which has already publicized its intended agenda emphasizing topics such as treatment of the EU’s Roma population, Croatia’s membership application, and something called the “Danube Initiative.”

However, as we can see from a good summary in Der Spiegel, it looks like the rest of the EU might well insist on another item, namely Hungary’s new structure of state media supervision. That country’s right-wing ruling party, FIDESZ (the Young Democrats), gained a more than two-thirds majority in the national parliament in elections last April as the country threw out a detested, incompetent, and mendacious Socialist Party government. That enabled FIDESZ to alter the state constitution how it likes, and the new set of media laws are part of a series of sweeping changes the new government has introduced.

The problem is, it plainly looks like the new legal regime for media is designed to impose firm government control, of a sort strange to most free societies that more resembles the sort of Communist regime from which Hungary managed a peaceful transition more than twenty years ago. There is to be a Media Council, inevitably staffed by FIDESZ politicians, with the power to fine TV, radio, magazine and newspaper organizations as it pleases, presumably for any trumped-up charge it can come up with, with no possibility for appeal. Further, journalists from now on will be required to disclose their sources, whenever the matter at issue can be fit by the authorities within the flexible category of “national security.”

Already, even before Hungary has had a chance to assume the Presidency, there have been outcries against these new media laws from within the EU, such as from European Parliament members and even the foreign minister of Luxembourg, who publicly stated that Hungary risks putting itself in the same authoritarian category as Belarus. The Der Spiegel lede states the question baldly: “Can something like this be – in the middle of Europe?”

Unfortunately, this won’t be that easy to address. First, is it really true that the country’s FIDESZ government has in mind the creation of an authoritarian state? Even if so, what can be done? – especially in view of the awkward fact that Hungarian officials will be charged over the next six months with an important leadership role in guiding the EU’s business? The denunciations made public so far are fine, but in the institutional realm EU member-states are rather loathe to chide each other for their internal behavior. (As opposed to candidate states: both the EU itself and its more-powerful member-states see no problem in bossing them around.) I suppose the test-case here could be the shunning of Austria within the EU back in 2000 after Jörg Haider’s right-wing party entered the governing coalition there; I don’t recall that was very effective.

It’s an ugly situation, which I doubt will really ever be addressed in any substantive way. It’s potentially made even worse when you consider the financial dimension: Hungarian premier Victor Orban has been notably hostile to outside pressure to tighten state finances. Yet his country still has its own currency, the forint, and the amazing proportion of native debtors who have obligations denominated in some foreign currency instead (often the Swiss franc) makes them (and those who loaned them money) very vulnerable to any forint loss of value. Watch this space – that is, if you have the sort of morbid curiosity always looking for the next highway pile-up. This could turn out to be another Ireland, but an authoritarian one; that is, it could get very ugly.

UPDATE: Now what was I sayin’? Here’s Josept Cotterill of FT Alphaville on the Fitch rating agency’s downgrade today of Hungarian sovereign debt to BBB-, just one step above “junk” status.

Tomorrow, 30 June, marks the formal end to the six-month term of the Czech Republic as European Union president, as Sweden takes over the next day for the second half of 2009. In reality, though, the Czech presidency effectively came to an end a bit earlier than that, namely on March 24, as Kilian Kirchgeßner points out in his analysis of that presidency for the Frankfurter Rundschau (Well, it wasn’t a complete flop). For that was the day that the Czech Civic Democratic (ODS) government, headed by premier Mirek Topolánek, was booted out of office in a vote of no-confidence by the lower house of the Czech parliament.

Check out that article title again (with whose translation I promise I took only very slight liberties), though: could someone kindly e-mail to me the German expression for “damn with faint praise”? Kirchgeßner’s purpose here is clearly to bend over backwards to cast the Czech presidency in the best-possible light. His piece’s very first sentence (i.e. after the lede) is “Probably no country has encountered such hostility during its EU presidency as the Czech Republic,” going on to cite all the EU and other national officials (especially the French) who cast doubt on the Czechs’ very competence to handle the assignment, and who continued to cruelly snipe at them thereafter – mostly behind-the-scenes, of course. What is more, it turned out to be a tough time to take up the job, what with the world financial crisis, Israel’s attack into Gaza, new disputes about ratifying the Lisbon Treaty, etc. – oh, and also the latest installment of the perennial Russian-Ukrainian gas dispute, which actually gave the Czechs the opportunity to mediate effectively and so chalk up an early success to their credit. (more…)

The Czech government of Mirek Topolánek – having lost a vote of confidence in the lower house of the Czech parliament at the end of March – is now on its way out the door. The new caretaker government headed by the former head of the Czech National Statistical Office, Jan Fischer, has submitted all the names of its ministers to Václav Klaus, the Czech president, and so is ready to take over. But what of the EU presidency, which after all the Czech Republic has had entrusted to it ever since the beginning of this year? That has largely been given up for lost, according to the Washington correspondent for the Czech Republic’s leading business newspaper, Hospodářské noviny, Daniel Anýž (Sad end to the presidency, USA summit postponed).

Let me take care to note here that that “sad end” cited in Anýž’s title does not refer to now, i.e. the first week of May, but rather indeed to what was supposed to be the “end” of the Czech presidency according to the calendar, namely the end of June. Anýž already knows that that is going to be sad, mainly because that was when the usual semi-annual US-EU summit was supposed to happen, this time in Washington, but the Americans have now let it be known that they want to postpone it to sometime in the fall, when the Swedes will be EU president. Now, you might well say that the Czechs already had their US-EU summit, and in Prague, which happened over the weekend of 4-5 April, following on from the London G20 summit during President Obama’s European trip. But that was officially an “informal” meeting; the US-EU get-together in Washington was really supposed to happen, as it always does, in June. But it won’t.

Meanwhile, Anýž notes that the phrase “Czech EU presidency” seems to have disappeared entirely from the American media. And he quotes an analyst from the German Marshall Fund (in Washington) that the Czechs basically lost three months off of their presidency by the change-of-government, and that leaves hardly enough time for any member-state to accomplish the desired EU agenda with which it would have started its presidency. At least the Czechs did take the ratification process for the Lisbon Treaty all the way up to the point where it only needs the president’s signature; this ensures at least “sad might-have-been” status in the eyes of fellow EU citizens, whereas a failure of ratification would have marked them as something considerably worse.

UPDATE: Here’s another cost of switching your government in the middle of your term as EU president: you stage summits and hardly anybody important bothers to show up.

The funniest sort of scandal erupted this past week in Brussels, in connection with the brand-new (and first-time) Czech presidency of the European Union. Have you heard of this? The New York Times has its account here. It had to do with a huge sculpture that the Czech government commissioned for erection at the building that houses the European Council, one that – as you would expect – was supposed to reflect in some way upon on the EU and its member-states. But the Czechs made a key mistake in entrusting the task to the (Czech) artist David Černý. As the sculpture was set up over the weekend, for completion by Monday, it soon became clear that there was something very wrong; by the time the dedication ceremony was supposed to happen on Thursday, yesterday (and it did), controversy was flying thick and fast.

What were the Czech authorities in charge of EU relations thinking? Černý, after all (whose last name simply means “black”), has always been notorious, it’s accurate to say, rather than just “famous” within the Czech cultural world, bursting onto that scene in 1991 by painting the tank constituting a Soviet war-memorial in Prague a shocking pink color in one daring night-time raid. Although he was briefly arrested for that, that pink tank became a metaphor for the wacky, world-turned-upside down ambiance of the Czech Republic, and Prague in particular, in the years immediately after the 1989 “Velvet Revolution.” Barely pausing to catch his breath, Černý went on to produce a series of additional eye-catching works of sculpture, a few of which you can appreciate on his Wikipedia page. Those “tower babies,” for example: you can pick them out crawling all over the gigantic TV tower, itself located in the Prague 3 district, from much of the rest of the city. And that “riding a dead horse” statue is mighty big and impressive in its own right – look for it at the internal shopping-and-movie-theater-area located within the Lucerna building at the corner of Wenceslas Square and Vodičkova Street (a magnificent building once owned by Václav Havel himself, built by his father – also named Václav Havel). (more…)

Let me start here with a quick apology to my €S readers: I know that the subject dominating the headlines these days is the Israeli incursion into the Gaza Strip, so I am overdue in bringing up for discussion on this forum some apposite article in the non-English-language press that supplies a piquant perspective on the tragedy unfolding there. And “overdue” I will have to continue to be, as I have yet to find a piece that truly qualifies for that treatment, unless you are willing to count my indirect approach to the Mid-East in the form of my previous discussion of what is possibly – but probably not – a little-known source of EU leverage over Israel.

I’ve got another indirect take for you here: Questions of leverage apart, has the question crossed your mind as to why on earth there appear to be two EU delegations heading to Israel to try to influence things there, namely the one headed by the Czech foreign minister Karel Schwarzenberg and the one with French president Nicolas Sarkozy? Seems rather inefficient, no? Still, it all becomes perfectly logical in light of the fear and loathing felt across the EU at the accession – brought about simply by the requirements of the EU calendar – of the Czech Republic and Václav Klaus to the EU presidency for the next six months. To these observers, the contrast between what they fear from the Czechs and the admirable activism that marked France’s just-completed term at the presidency is so agonizing that they simply can’t let go – and thus you see, in effect, both “before” and “after” versions of EU diplomatic delegations in the MidEast.

This fear of what the Czechs may bring to the EU at what has turned out to be a crucial period, both for its internal affairs and its external relations, is real. Quite apart from the beginner’s mistakes you can expect from a small country undertaking the presidency for the first time, there is great worry over Klaus’ controversial stands on various EU issues and how they might serve to gum up the works still further. (A broad segment even of Czech opinion shares these concerns, by the way. I’ve got to see if I can find an article or two out of the Czech press about that to discuss.) But today there comes a most interesting opinion piece in the Financial Times Deutschland, by Nils Kreimeier (Witch-hunt in Prague), that bravely takes up the unconventional view that maybe Václav Klaus is not someone to worry much about but rather is the sort of personality that the EU should welcome. (more…)

The leading Dutch daily NRC Handelsblad had an interesting item over the press conference given by Minister of Finance (and Cabinet chairmen in the absence of Dutch premier Jan Peter Balkenende, who is visiting China) Wouter Bos, which we can see in the article’s headline: Bos alludes to extension of French EU chairmanship.

From the very beginning of the European Union (i.e. from 1958; it was then known as the European Economic Community) the member-states have taken turns, at six-month intervals, at assuming the “EU presidency,” although the role is more-accurately described as the presidency/chairmanship of the Council of the European Union, which is the legislative forum for the member-states and usually the most-powerful of the EU’s component institutions. Naturally, the queue of countries waiting to serve their turn as president includes all EU member-states, and it was in the first half of this year that the first country from the great 10-country EU enlargement of May, 2004, had its turn as president, namely Slovenia.

The thing is, the second half of 2008 has proved to be far-from-normal times. First there was the diplomatic crisis over the conflict between Russia and Georgia, and now we have the international system of finance seriously in need of some restructuring. France is now EU President, and French president Nicolas Sarkozy has by all accounts done a credible job in responding to the worldwide financial panic. (His intervention in the Russian-Georgian conflict to secure the cease-fire was subject to rather more mixed reviews.) The comfort the EU has had with Sarkozy as point-man on that crisis may have much to do with the French president’s own personal qualities, but it also stems from France’s status as one of the EU’s major powers and its deep and capable governmental machinery. What if one or more of these grave problems had arisen during the Slovenian presidency: could President Danilo Turk and the Slovenian government have effectively handled the task of leading the EU response? (more…)

The chain continues! Of articles examining EU economic performance and policy and/or that of individual member-states, that is. And, as half-promised previously, this time we go to the French press, specifically flagship Le Monde, which announces that The Netherlands Makes the Modernization of the European Economy Its Priority. (more…)

I was hoping to move on to other subjects than the fitness of Silvio Berlusconi for the European Union presidency, but his insulting outburst yesterday while in the EU Parliament to present his president’s agenda naturally keeps me on this subject. And I was hoping to move on from reporting on the German press, which I’ve covered a bit disproportionally in the past several weeks, but it only seems logical and fair to report on reactions from the country whose MEP (Member of the European Parliament) was the target of Berlusconi’s insult, a defamation that touched on Germany’s sensitive Nazi past.

The incident took place in the debate after Berlusconi had made his “inaugural” address to Parliament. (more…)

It’s July 1, so the half-yearly presidency of the European Union changes hands again (for possibly the second-to-the-last time, if the EU Constitution, which changes this system, is ratified within the first half of 2004 as planned). Good-bye to Greece; ciao to Italy, specifically to Silvio Berlusconi, the Italian prime minster. (more…)