From the CEO OF EMIS

Back in April I wrote about uncertainty in Poland caused by the forceful approach taken by the ruling Law and Justice party. Now the European Commission (the EU’s executive arm) has issued a warning to the Polish government that its actions constitute “a systemic risk to the rule of law”.

The EU rarely goes this far in criticising member states and this admonition indicates the level of concern around

European governments that democracy in one of its most important states is being eroded. Whether this reprimand has any immediate effect is doubtful. Reaction from the Polish government has been largely disdainful with claims of unnecessary external interference and suggestions that the warning is just a ploy to get Poland to agree to mandatory refugee quotas.

This latest development means that there is now an air of conflict between the EU and Poland that is at odds with a previously harmonious relationship that had benefited the country hugely through structural funding and the freedom of employment for its widespread workforce.

Further sanctions available to the EU are limited and may not even be voted through but even the fact that disapproval has been expressed shows how serious the situation is. It is a warning that the Polish government needs to take seriously if the country wants to participate fully in the wider European community.

Guy Dunn
Chief Executive Officer

Here are a few articles I came across on the EMIS service this week related to the situation in Poland:

POLAND UNDER RULE OF LAW

Recent facts in Poland regarding the Constitutional Court, made the European Commission to open a dialogue with the Polish Government.

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POLAND LOSES POSITION IN THE INVESTMENT ATTRACTIVENESS RANKING IN CEE

Poland has the third place in the investment attractiveness ranking of CEE countries survey, after three years of topping it.

Q&A OF COMMISSION OPINION ON THE RULE OF LAW IN POLAND AND THE RULE OF LAW FRAMEWORK

The political and legal dispute concerning the composition of the Constitutional Tribunal, and the non-publication of judgments.

While Russia experienced a bump in deal flow as oil companies seek to improve their debts, Turkey took a sharp downturn as a result of geopolitical uncertainty, security risks and high inflation gave investors pause for the time-being. Poland remained relatively stable, experiencing only a little decline in transactions volume and value.

CHILE RETAIL SECTOR: CONQUERING LATIN AMERICA

Chile's saturated retail sector provides little room for new competitors and segment development inside Chile, so domestic retailers are expanding to other countries in the region.

CZECH AUTOMOTIVE SECTOR: MY OTHER CAR IS SKODA!

Total vehicle production in the Czech Republic rose by 4.2% year-on-year in 2015, to 1.303mn units – the highest in the country’s history both as an independent state and as part of Czechoslovakia.

Ministry of Health will be implementing the rule to display photographic health warnings on cigarette boxes in line with Article 11 of the World Health Organization’s Framework.

The creation of the Department of Information and Communications Technology, which was recently signed into law as Republic Act 10844.

In a report released on Thursday, Fitch anticipates India’s GDP will continue to grow from 7.5% in fiscal year ending March 2016.

The Colombian financial system posted 17.2tn aggregate profit in March, according to Colombian Financial Superintendent.

Chile’s National Institute of Statistics (INE) reported on Tuesday that the steel price index dropped 15.6% year-on-year in April compared with the same month last year.

As per data released by Brazil’s Institution of Foreign Trade Studies (Funcex), exports of Brazilian industrial goods to the EU rose by 15.6% in the first four months of the year.

The first Starbucks coffee in Slovakia has recently opened, and it is possible that the number of its stores in the central European country may increase.

Poland will not extend its existing long-term contract with Russia for natural gas supply, which expires in 2022, newswire Prime reported on Tuesday.

The European Commission has presented three-pronged plan which could make e-commerce easier for more than 500 million consumers in the European Union.

Despite a recent slump in the oil price, Kuwait will invest KWD 34.5 billion ($115 billion) in oil projects in the next five years, according to media reports.

Read more…

Tehran expects to sign a $3billion investment deal with Turkish privately-owned companies for the construction of a 5,000 megawatt power plant in Iran.

Read more…

Palestine holding company Hammoudeh is set to invest $30 million in a dairy in Uruguay in Florida, southern Uruguay, M-Brain - News Monitoring reported.

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