CZECH REPUBLIC BRIEFING NOTES

Historical Background

Following the First World War, the closely related Czech and Slovaks of the former Austro-Hungarian Empire merged to form Czechoslovakia. After World War II, a truncated Czechoslovakia fell within the Soviet sphere of influence. In 1968, an invasion by Warsaw Pact troops ended efforts of the country’s leaders to liberalise Communist party rule and create "socialism with a human face." Anti-Soviet demonstrations the following year ushered in a period of harsh repression. With the collapse of Soviet authority in 1989, Czechoslovakia regained its freedom through a peaceful "Velvet Revolution." On 1 January 1993, the country underwent a "velvet divorce" into two national components, the Czech Republic and Slovakia. The Czech Republic joined NATO in 1999 and the European Union in 2004.

Population : 10.3 million

Size : 78.8866 sq. km

GDP : EUR 63.3 billion (2001); Growth 2,7% (2002)

Language : Czech, Slovak (2%)

Religion : Mainly Roman Catholic

 

Domestic political situation

Václav Klaus succeeded Václav Havel, with whom he had many clashes in previous years, in the largely ceremonial role of president in February 2003. The Head of State is a President, elected by Parliament for a five-year term. The President appoints a Prime Minister from the majority party. The President of the Czech Republic is the former Prime Minister, Mr Václav Klaus, elected on 28 February 2003 during a joint session of Parliament.

On 26 July 2004, President Václav Klaus appointed Mr Stanislav Gross as new Prime Minister of the Czech Republic. The previous Prime Minister, Mr Vladimir Spidla resigned on 26 June 2004, after the Social Democratic Party’s poor showing at the European elections of 11 and 12 June 2004. The confirmation of Mr Gross as Prime Minister and the approval of his new cabinet means that the Social Democrats have skilfully avoided early elections, which polls showed they would most probably have lost.

 

3. Domestic economic situation

The Czech economy is regarded as a market economy. Transformation from central planning, including large-scale privatisation programmes, has taken place since the beginning of the nineties and was accompanied by strong economic growth. Economic growth evened out in 2004. It is expected that the country’s GDP would grow by 3.6% in real terms on an annual average. Investments and increased exports contribute to real GDP growth. Regional economic experts are of the opinion that economic growth for 2005 and 2006 will not accelerate but it should remain at its present level. Little change is expected with regard to inflation, which reached 2.8% in 2004. Banking experts are of the opinion that there are good chances that the trade balance will show a surplus.

The Czech Republic is regarded as one of the more stable and prosperous of the post-Communist states in Central Europe. It has been recovering from recession since mid-1999. Economic growth is strongly supported by exports to the EU, primarily to Germany, and a near doubling of foreign direct investment. Domestic demand is playing an ever more important role in underpinning growth as interest rates drop and the availability of credit cards and mortgages increase. High current account deficits – averaging around 5% of GDP in the last few years – could become a persistent problem. However, moves to complete banking, telecommunications, and energy privatisation will encourage additional investment, while intensified restructuring among large enterprises and banks, and improvements in the financial sector, should strengthen output growth.

 

4. Foreign policy

Although President Václav Klaus has a reputation as an eurosceptic, on taking office as President he said that full integration into NATO and the European Union (EU) was a top political priority. In December 2002, the Czech Republic was invited to join the EU, and it acceded in 2004. As a member of the EU the Czech Republic is moving towards integration into world markets, a development that poses both opportunities and risks.

 

Government structures

According to the Czech constitution, adopted in January 1993, the legislature consists of a bicameral Parliament composed of the Lower House Chamber of Deputies with 200 members and a Senate with 81 members. Both chambers are directly elected for a four-year term.

Political System : Multi-party democracy

Government : Social Democratic Party coalition

Leading Party : Social Democratic Party (CSSD)

Main Opposition : Civic Democratic Party (ODS),

Communist Party (KSCM)

The Constitutional Court is the highest court and the chairman and deputy chairman are appointed by the President for a 10-year term.

Bilateral relations

6.1 Political

South Africa and the Czech Republic established diplomatic relations in April 1991. Before then, there had been contact between the former Czechoslovakia and South Africa at Consular level. Contact was broken off in 1963 in protest against Apartheid. In September 2000, Deputy President Jacob Zuma paid an official visit to the Czech Republic. The Minister of Environmental Affairs and Tourism, Mr. M van Schalkwyk, visited Prague on 27 and 28 June 2004. He was invited to participate in an international tourism trade fair, "Holiday World", from 17 to 20 February 2005. The Commissioner of Correctional Services in South Africa, Mr. Linda Mti, attended the 5th Annual Government – Industry Forum on Public Private Partnership in Prague from 1 to 3 November 2004. From 4 to 5 November 2004, he met with his Czech counterpart, Mrs Kamila Meclova and toured certain prison facilities. The Deputy Minister of Environmental Affairs and Tourism, Ms. RT Mabudafasi, attended the 16th Meeting of the Parties to the Montreal Protocol in Prague from 25 to 26 November 2004.

Minister Parubek, the newly appointed Minister for Regional Development (which includes tourism), has expressed his intentions to pay a reciprocal visit to South Africa in May 2005.

The Czech Republic is represented in Africa by ten embassies. The indications are that, although with limited means, this Central European country and a member of the EU, might be willing to play a constructive role on the continent, also within the context of NEPAD.

6.2 Economic relations

The Deputy Minister of Trade and Industry, Ms Lindiwe Hendricks, signed a Trade Agreement during her visit to the Czech Republic at the beginning of October 2002. In accordance with the Trade Agreement, the First Session of the Joint Committee took place when the Czech Deputy Minister of Trade and Industry, Mr M Somol, visited South Africa from 3 to 4 March 2003. The Joint Committee was dissolved with the Czech Republic’s accession to the EU. South Africa and the Czech Republic intend to create a new Committee, that will again be responsible for the promotion of trade on a bilateral level between the two countries, in compliance with the commitments of the Czech Republic as a regular member of the EU. In addition, the Czech Republic will apply the Trade, Development and Co-operation Agreement between South Africa and the EU as from the date of its accession. The Czech Republic also acceded to the Partnership Agreement between the members of the ACP Group and the EU as signed in Cotonou in 2000.

There has been a steady increase in trade between South Africa and the Czech Republic since 1994, with exports to the Czech Republic of R108 million in 2001 compared to R27 million in 1998. The current trade balance remains, however, in favour of the Czech Republic with an even bigger increase in Czech exports to South Africa. Trade figures for 2004 are as follows: South African exports to the Czech Republic amount US$67 803 million and South African imports from the Czech Republic amount to US$126 974 million. Total trade for the calendar year 2004 amounted to US$165 746 million, with a surplus of US$88 202 million in the Czech Republic's favour. Trade figures indicate that South Africa remains the Czech Republic’s biggest trading partner in Africa. Approximately 30% of its total trade with the continent are with South Africa. The main Czech export items are machinery, transport equipment and consumer goods. Raw materials, foodstuffs, machinery and market products are amongst the most important articles exported from South Africa to the Czech Republic by South Africa.

6.3 Agreements

The following Agreements have been concluded with the Czech Republic: an Agreement on the Avoidance of Double Taxation; an Agreement on the Promotion and Reciprocal Protection of Investments; an Agreement on Mutual Assistance in Customs Matters; an Agricultural Agreement; an Agreement on Defence Co-operation; and an Air Transport Agreement.

Issues to be discussed and South Africa's position

The proposed State Visit by President Václav Klaus to South Africa.

In September 2000, Deputy President Jacob Zuma paid an official visit to the Czech Republic. The late Minister Alfred Nzo previously extended an invitation to the President, Vaclav Havel, to pay a State Visit to South Africa. Minster Essop Pahad, during an official visit to the Czech Republic in November 2003, renewed the invitation to President Havel's successor, President Václav Klaus. President Klaus accepted the invitation but a date for the visit was not established. President Klaus was scheduled to pay a state visit to South Africa in early December 2004. This would have allowed President Klaus to either commence with his African tour in South Africa or complete it here. The other countries involved are Nigeria, Morocco and Ethiopia. Due to the busy programme of President Mbeki the visit was postponed. President Klaus rescheduled his visit to South Africa and to Africa between late March to late June 2005. During bilateral consultations on 21 April 2005, the Czech Ambassador expressed some concerns about the fact that he has never received any feedback from the Department on the latest proposed dates. The Czech side has now proposed that the State Visit takes place during February 2006.

The possibility of a visit by Minister Dlamini-Zuma to the Czech Republic in the course of this year.

During President Mebeki's inauguration in 2004, Minister Dlamini-Zuma met with the President of the Czech Senate and promised him that she would visit the Czech Republic. The Czech Foreign Ministry proposed dates during the latter part of the 2004. However, the Minister indicated that due to her very full programme she would be unable to visit the Czech Republic during 2004/5.

 

 

 

Curriculum Vitae

Ambassador Jaroslav Siro

Mr Jaroslav Siro is the Czech Republic's Ambassador accredited to the Republic of South Africa, Republic of Botswana, Kingdom of Lesotho, Republic of Mauritius, Republic of Namibia and Kingdom of Swaziland

Date of Birth 4 January 1956

Place of Birth Nymburk, Czech Republic

Education:

Primary School, Nymburk, Czech Republic

Secondary School, Podĕbrady and Žd’ár nad Sázavou,

Czech Republic

Moscow State Institute of International Relations, the USSR Faculty of International Law (Master Degree)

Diplomatic Academy, Vienna Austria


Experience:

Ministry of Foreign Affairs, Prague, Department for Cultural, Educational and Scientific Co-operation

Press and Cultural Attaché, Embassy in Addis Abeba, Ethiopia, 3rd Secretary

12/90-09/91 Ministry of Foreign Affairs, Prague, Head of Western Africa Desk, African Department

09/91-06/92 Diplomatic Academy Vienna, Austria

07/92-09/92 Ministry of Foreign Affairs, Prague, head of Eastern and Southern African Desk, African Department

09/92-12/92 Deputy Director, African Department

01/93-09/94 Director, African Department

12/94-04/97 Chargé d’Affairs a.i. (Minister Counsellor), Harare, Zimbabwe

04/97-11/99 Ambassador Extraordinary and Plenipotentiary of the Czech Republic to the Republic of Zimbabwe, Republic of Zambia, Republic of Malawi and Republic of Mozambique with seat in Harare, Zimbabwe

11/99-2001 Ministry of Foreign Affairs, Prague, Director, African Department

2001 Ambassador Extraordinary and Plenipotentiary of the Czech Republic to the Republic of South Africa, Republic of Botswana, Kingdom of Lesotho, Republic of Mauritius, Republic of Namibia and Kingdom of Swaziland

Knowledge of languages:

English, Russian, partly German

Married with Anna Sirová, born on April 12, 1959

Two daughters: Dagmar (1980) and Jana (1984)