Lithuania’s former President has cancer

One of the last remaining political Mohican of Lithuania, Mr Brazauskas has admitted to the Lietuvos Rytas daily that he is suffering from the lymphatic node cancer.  The former President, Prime Minister and honorary chairman of the Lithuania’s Social Democrat Party, the last First Secretary of the Lithuania’s Communist Party was informed about his condition on December. 

As the paper reports Mr Brazauskas has undergone four chemotherapy sessions, however, even though the cancer development has stabilised the healing is not happening either.  Mr Brazauskas, who is 76, was advised to undertake an aggressive treatment and is on the hormone treatment currently.  ‘As you see my face is swallowed, I have to take some forty tablets of prednizol a day.’

It was an open secret that Mr Brazauskas was gravely ill.  Media speculated that he was treated from the prostate cancer few years earlier, apparently successfully.  Ms Grybauskaite, Lithuania’s President elect was a Minister of Finance in the Brazauskas’ cabinet before she was delegated to the EU Commission.

Sarkozy invited Grybauskaite to France

According to the delfi.lt web portal the French President Nicolas Sarkozy has invited the Lithuania’s President-elect Ms Dalia Grybauskaite to France.  When she was asked which country she will visit first Ms Grybauskaite told that she should go where it will be in the best interest of Lithuania.

Some of the political scientists predict that Lithuania’s foreign policy will change by diverting some of its focus from the Easter partners to the Western Europe.  The so-called strategic partnership with Poland might be followed with a less enthusiasm also.  But all of it still remains to be seen.

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Bloomberg.com exaggerated – Lithuanian Gvnt says that it doesn’t need IMF aid now

Lithuanian Prime Minister Andrius Kubilius said on Thursday that currently the government does not plan to borrow from the International Monetary Fund noted the BNS.

As the agency BNS wrote the Lithuanian central bank governor also said earlier in the day that the country does not need international financial aid at the moment. However, he did not rule out turning to international institutions for help in the future, if a sharp economic downturn led to a budget revenue shortfall.

“We are not planning [to borrow] at the moment. The International Monetary Fund has given good marks to our [anti-crisis] plan. I will not attempt to predict today how the situation may develop in the future,” Kubilius told BNS.

Reinoldijus Sarkinas, the Bank of Lithuania’s governor, told BNS: “I don’t think that the situation in Lithuania is as bad as the International Monetary Fund’s representative says it is. It is quite possible that in the future we will have to cooperate with the IMF and other international organizations and to borrow, but today there is no need for borrowing.”

He was commenting on a Bloomberg report, which quoted Christoph Rosenberg, the head of the IMF’s mission to central Europe, as saying that Lithuania could be “the next east European economy in need of an international bailout after neighbouring Latvia was forced to seek aid because of the effects of the global financial crisis.”

However, the original message appears to be so updated that it does not really corresponds to the original message.  Just to compare this I have attached the original message on the bottom of this post.  It seems that Bloomberg have exaggerated this time.

The central bank governor said he was not certain if Rosenberg had actually said that Lithuania might have to borrow from the IMF.

The IMF last month extended a 7.5 billion-euro loan to Latvia.

As the BNS reminds Catriona Purfield, the head of an IMF mission, said in Vilnius last month that she did not see the need for Lithuania borrow from the fund.

This is the original message from the Bloomberg.com which stirred some waters in Lithuania.

Jan. 8 (Bloomberg) — Lithuania’s economy may be the next east European economy in need of an international bailout after neighboring Latvia was forced to seek aid because of the effects of the global financial crisis, Christoph Rosenberg, head of the International Monetary Fund’s mission to central Europe, said.
The Baltic economy may contract “at least” 2 percent this year, the Washington-based fund said in December compared with the Lithuanian central bank’s October outlook for an expansion of 1.2 percent. The IMF forecast signals that Lithuania will follow Latvia and Estonia into a recession next year as domestic demand wanes after banks tightened lending.
The three Baltic countries, which spent almost half a century as communist-run Soviet states, have been hit hard by the crisis as banks saw external funding dry up and exports slowed. Last month Latvia took a 7.5 billion-euro ($10.2 billion) IMF-led loan to strengthen the currency and shore up the banking system.
“Lithuania is in a more difficult position” than Estonia, Rosenberg said. “Estonia is the least vulnerable of the Baltics because it has big buffers. It’s been running a budget surplus for a number of years now and so there are fiscal assets.”
Lithuania’s economic sentiment index, which measures expectations in sectors including manufacturing, construction, retail and services, fell to the lowest in six years in December as concerns grow over a recession this year.
Baltic Slowdown
Estonia and Latvia lead the EU’s slowdown after contracting an annual 3.5 percent and 4.6 percent in the third quarter, respectively. Lithuania’s economy expanded 2.9 percent for the period. Latvia joined Iceland, Belarus and Hungary and other emerging-market nations in asking the IMF for aid.
Latvia’s problems were created by a soaring wages and a credit boom which saw funds channeled into non-tradable industries like real estate, retail and banking, Rosenberg said.
The economy wasn’t diversified enough and officials failed to curtail rapid credit growth or use counter-cyclical fiscal policies to cool the economy off before it was too late, he added.
“Latvia had the highest growth rate in the EU for several years, but it was a bubble,” he added.
Moody’s Investors Service said yesterday it had cut Latvia’s foreign-credit rating for the second time in three months amid fears of a deeper-than-expected economic decline. Inflation in Latvia, at 11.8 percent in November, is the highest in the 27- member European Union, compared with 2.1 percent in the euro area.
According to Rosenberg, the largest of the EU’s eastern members, Poland, is better equipped to survive the credit crunch.
“Poland avoided bubbles like the ones we’ve seen in the Baltics, where the economies are small and a few sectors have all resources poured into them,” he said. “Poland is fundamentally in a good position. Its economic fundamentals are much sounder than in the countries that are in trouble at the moment like Hungary or Latvia.”  

Lithuania – Sweden ‘Let’s get connected!’

The Swedish Vice-PM Mrs. Olofsson visited Lithuania on 5-6 February.  The visit has attracted a wide Lithuanian media attention.  The reason for this attention was that the visit took place in the heated debates on the energy issues background.  The Law of the establishment of the National Investor the LEO LT passed the parliament few days before, there is an intensive debate about prolonging of the Ignalina Power Plant life span and a debate what will happen when (if) the plant will terminate its electricity production at the end of 2009.  Only a thought that the Ignalina provides 75% of all electricity in Lithuania and that Lithuania still has no electrical connections to the West raises the temperature in Lithuanian political scene.  Not to mention that the elections to Seimas will take place in October.In addition another important event took only a day before the Vice-PM’s visit.  Lithuanian Lietuvos Energija and its Swedish counterpart, Svenska Kraftnat, completed a feasibility study on linking the energy systems of the two countries. The heads of the two companies signed in Stockholm a memorandum stating their intentions to continue cooperation on the project on February 5.

The Lietuvos Energija CEO Rymantas Juozaitis said in a statement: “We highly appreciate this effective and mutually beneficial cooperation between Lithuanian and Swedish energy experts. The goals set for the study have been fully achieved. We have agreed with Svenska Kraftnat to continue discussions on project implementation issues.”

He also stated that that both Lithuania and Sweden viewed the project as a good opportunity to connect their electricity markets and to create the conditions for the Baltic countries’ integration into the EU’s energy market. The BNS reminded that the power connection would also help deal with issues of system reliability, safe electricity supplies and diversification of energy sources.

The study evaluated the possibility of linking the electricity grids of the two countries via a 350-kilometer cable under the Baltic Sea. If it were decided to build wind turbines and hook them up to the underwater cable, it would require a capacity of 1,000 megawatts.

Lietuvos Energija reminded that a 1,000 MW power link would allow the two countries not only to link their energy systems, but also to develop renewable electricity generation. The results of the study showed that the power link project would be feasible and economically viable and that it could be implemented by 2015.

After Mrs. Olofsson’s meeting with the President the Palace press office issued a statement, which also said that “Amid the upcoming decommissioning of the Ignalina Nuclear Power Plant, the project carries not only a commercial but also strategic importance to entire region and Lithuania.”

The energy link was discussed also in the meetings with the Lithuanian PM and the Minister of the Economy.

However, Mrs Olofsson had to explain the Lithuanian politicians that Stockholm perceives the construction of the electrical grid only as a commercial project.  During the press conference she had to remind the Lithuanian media that the Swedish Government cannot decide for the Svenska Kraftnat what to do, this is a project between Lietuvos Energija and the Svenska Kraftnat.

The Lithuanian side sees this project as a strategic necessity and received some news about the SwedLit with a dose of scepticism.  The crux of the matter is that the Lithuanian politicians wrongly convinced the Lithuanian media and the public that the SwedLit will be built by 2012.  This date is even written in the National Energy strategy.

However, the cautious Swedes informed that Lithuanian side that the date of the grid’s completion could be 2015.  The Lithuanian media, which likes to hear what it wants to hear, exclaimed that the SwedLit will be completed only by 2015.  However, it sounds that the Vice-PM meant 2015 is the latest date of completion.  However, the biggest question ‘IF’ is replaced by ‘WHEN’.

The Nord Stream was also discussed.  The President’s press office stated that “Lithuania is particularly alarmed over the impact of the Baltic pipeline to the ecology of the Baltic Sea, therefore, we cannot come up with argumentation why the Amber Pipe project was not planned via the Baltics of territories of other EU members.”Furthermore, the press office informed that Mrs. Olofsson underscored that all matters relating to the ecology of the Baltic Sea required professional analysis and assessment. In her words, Sweden and its companies are willing to share their technological experience in generating energy from renewable sources and reduction of climate pollution.

Hence, the Swedish-Lithuanian energy cooperation is getting a shape and is intensifying, better later that never.  ‘Let’s get connected!’

Lithuanian President in Davos – EU should not signed new EU-Russia Partnership and Cooperation Agreement

The President of Lithuanian made a speech, during a dinner discussion on Russian and its neighbours in Davos.  The speech was made day after a controversial remark by the US Secretary of State Condoleezza Rice  who noted  ‘Ladies and gentlemen, the recent talk about a new Cold War is hyperbolic nonsense.’

Lithuanian President called the EU not to rush signed the new agreements with Russia, since the Kremlin does not comply with the already signed agreements ‘There is no necessity to rush with the new EU-Russia Partnership and Cooperation Agreement, the so called post-PCA, as well. The relationship of the international community with Russia should correspond to the level of Russia‘s readiness to commit to the international community.’

President Adamkus continued that ‘It is necessary to allow Russia define the level of its global responsibility itself and accordingly to define our relations with Russia. If Russia is seeking global responsibility and a global role, there are some benchmarks to be overcome:
- to withdraw troops from Georgia and Moldova, which is foreseen under the Istanbul Agreements;
- to ratify the Energy Charter;
- to follow the promises made when joining the Council of Europe;
- to follow intergovernmental agreements with other countries, including the Baltic States.’

Read all speech also watch and listen to the speech on the YouTube.

January 13, 1991 – Lithuania’s ‘Winter War’

Lithuania is commemorating a day of Freedom defenders.  17 years ago the Soviet troops – the Pskov division and the KGB elite Alfa Special Forces attempted to crush the newly reborn Lithuanian state.  Some died from the shot wounds; the Soviet tanks crushed some.  In total 14 peaceful civilian freedom defenders lost their lives, hundreds more wounded.

The January 13 events are deeply ingrained in the Lithuanian’s hearts.  I would place this date to one of the most important events in the Lithuanian history.  I would call it Lithuania’s ‘Winter War’, which came some 50 years later.  Same like the Fins in 1939 decided to fight with the much larger enemy despite the fears that the Soviets swiftly will crush the resistance.

The Lithuanian Winter War in January 1991 was a crucial for the survival of our nation as the Žalgiris battle in 1410, as the Lithuanians fights against the Bolsheviks in 1920, as the Partisan War after World War two.  The January events as one Lithuanian commentator noted, materialised and institutionalised Lithuania’s freedom, which was declared in March 1990.

This day is a pride of Lithuania, and the probably the most important day in my life.  In this day a teenager turned into a responsible citizen of a free nation, who was ready to sacrifice his life for motherland and freedom.  I had a honour to be amongst thousands in the square in the front of the Parliament, listening to the creaking Soviet tanks coming after they already ‘done their duty for the Soviet motherland’ next to the TV tower. We heard what happened some hour ago in the front of the TV Tower, we new that the soldiers were using the real bullets; we knew that the tanks crushed the people.

At that moment a rumour had it that during the storm of the TV tower the Soviets killed hundreds of people.  And hence, we were waiting for those same Soviet solders to come to the square, shoot at us, crush us, and take away from us not only our lives but also our freedom.

Freedom from all of us in this square and from all in Lithuania; in the towns and villages who gathered to defend institutions which defined our statehood; the post offices, the TV and radio studios, the train stations, the municipality buildings.  All of us, teenagers who still went to the school, like myself, the pensioners, the students, the teachers, the factory workers, the bus drivers, all of us!

However, the Parliament was the heart of our statehood, the square around it was a human shield which had nothing just their love of freedom, motherland, believe, hope.  Our only weapon was against the Soviet tanks and the Kalashnikovs was our bear arms and our songs, which made a huge crowd as a one body. Your hear the squeak of the tanks, you feel the vibrating ground under your feet, you hear a pledge form the loudspeaker coming out of the Parliament urging the old, women and children to leave the square.  No one moves an inch.

You hear the voice of a priest Grigas, who gives to the people last redemption of signs.  Not to the soldiers who are given orders ‘take the parliament by all means’, but to the people whom those soldiers peppered to slaughter.  Then you hear voice from the loudspeaker to move away from the Parliament’s glass walls, since the falling glass will heart many.  Yes, we heard they the tanks were shooting while storming the TV tower.

Then you wait, hoping that by standing on this spot you will be an obstacle on the way of the solders and tanks that will storm the Parliament.  You, hope that maybe you will prolong Lithuania’s freedom for a tiny wee second.  You catch yourself thinking what you have done in your life, to whom you would like to apologies, to whom you would like to say thank you, or I love you, or I am sorry…  You and people around you are preparing yourself for a final sacrifice, final duty to your motherland…

This was the purest and the strongest feeling I have ever experienced.  It makes my eyes water when I return to those moments in January 13, 1991.  A miracle appeared – the soviet tanks stopped, the soldiers retuned to they barracks and the bloodshed was avoided.  A little nation became a big nation, the Soviet Empire collapsed.

I thank God and my destiny for giving me an opportunity to live through those honourable moments and perhaps understand what a freedom defender felt in the Baltic Forrest during the resistance to the Soviet occupation, or a simple Finish solder facing advancing numerous Soviet troops in the Winter War.  Long live momories of those fallen 14 heroes who sacrificed their lives in January 13, 1991.

Read more on Calr Bildt blog and in the Everyday’s Holiday blog        

‘The Polish EconMin is blackmailing Lithuania’ or “atomic scandal in Vilnius”.

Some developments took place on Friday that put some strain on the Lithuanian Polish ‘strategic partnership’.  As the Polish daily called it the ‘Polish EconMin is blackmailing Lithuania’.

The Polish EconMin Wozniak  was in Vilnius to take part in a seminar on cooperation in the process of integration of the Baltic energy system into UCTE.  However, at the press conference the Polish Minister stated that “All projects will go behind schedule unless we get 1200 MW of capacity. The minimum capacity that would, painfully, satisfy Poland would be 1000 MW and the normal capacity would be 1200 MW”.

Other key projects include an electricity link between Lithuania and Poland, which is necessary for Lithuania to be admitted to the common European energy system UCTE.Lithuanian official reaction was swift and resolute the Minister’s scheduled meetings with the President Adamkus and Lithuanian PM Kirkilas were called off on the Lithuanian initiative.

The PM’s office gave an official explanation that ‘”There is a lot of work to do, and the Prime Minister will depart to Ireland early next week. The meeting has been called off since the Cabinet shall complete the draft budget to be passed [to the parliament]“.  However, the PM attended a new German made train launch in Vilnius Train Station later on the day.

The President was more straight forward stating in the front of the cameras that ‘I have nothing to talk about with him (the Polish EconMin).’  The Lithuanian president, Adamkus, told journalists that he had discussed energy projects with his Polish counterpart last week and agreed on the necessity to complete the electricity bridge project.

As the BNS noticed Poland’s largest daily newspaper Gazeta Wyborcza described the event as an “atomic scandal in Vilnius”. According to the Polish daily, the power station should become “a symbol of harmonious cooperation between Poland and the Baltic states.”The daily said that Wozniak’s words drew sensitive and strong responses from Lithuanian President Valdas Adamkus and Gediminas Kirkilas who recalled their meetings with the Polish minister.

Gazeta Wyborcza said that Latvia and Estonia were originally against Poland’s participation in the construction of the power plant. “It was Lithuania that persuaded Latvia and Estonia to include the Poles in the project,” said the daily. Unlike Poland, Latvia and Estonia have made no categorical request as to their shares of the plant’s generation capacity.

On the other hand the leader of the Homeland Union (Concervatives)Kubilius said to the BNS that Lithuania is  “inflexible” and “ruining the negotiations.”  The politician noted that  “The negotiations are hard and hence call for some rigidness, but I should urge our politicians not to demonstrate their ambitions and ruin the negotiations”.

Furthermore  Mr Kubilius is convinced that “Poland’s demand are not entirely made up — building a link with Lithuania, it will be facing immense reconstruction of the interior grid and it is therefore natural that the Poles want to know the amount of power they will be getting and the throughput of the power lines that needs to be set up”.

On the other hand, the Director of the Energy Institute Mr Vilemas told the Lithuanian Business daily today that this Polish action only indicates that Poland would like to opt out from the project all together and is looking for an escape root.  Once again Mr Vilemas stated that the Baltic states could build the plant with Poland and that Lithuania should concentrate on the Power grid to Sweden.   

More than 400 refugees are residing in Lithuania

As the Lithuania’s migration department announced there are 450 refugees currently residing in Lithuania with permanent or temporary permits to live in the country.

Over the past ten years, over 4,000 applications for asylum from foreign individuals — 106 of them were given refugee status.  According to the same report some 400 individuals are enjoying or have been enjoying extra protection, which means that the person does not acquire refugee status but is not being extradited to their own country.As the coordinator of the United Nations’ chief commissioner of refugees in Lithuania Vladimiras Siniovas explained to the BNS that most of the applicants for refugee status are the Chechens.  They account for almost 80% of all applicants for asylum in Lithuania.

As the BNS reported the refugees from Afghanistan are ranking second, yet their migration to Lithuanian peaked in 1997-1999 — at this time, in Siniovas’ words, there are about 20 Afghans living in Lithuania. As of 2000, applicants for asylum have been dominated by Chechens.

According to the information available from the board of the United Nation’s chief commissioner of refugees, some 60 percent of all refugees in Lithuania are women and children.

Lituanica is on holiday

Litunica is on holiday, it should resume posting next week.