Identifier
Created
Classification
Origin
07LJUBLJANA564
2007-08-30 17:36:00
CONFIDENTIAL//NOFORN
Embassy Ljubljana
Cable title:  

OECD ACCESSION CRITERIA FOR SLOVENIA

Tags:  ECON ETRD PGOV OECD KDEM SENV SI 
pdf how-to read a cable
VZCZCXYZ0010
RR RUEHWEB

DE RUEHLJ #0564/01 2421736
ZNY CCCCC ZZH
R 301736Z AUG 07
FM AMEMBASSY LJUBLJANA
TO RUEHC/SECSTATE WASHDC 6094
INFO RUEHSS/OECD POSTS COLLECTIVE
RUEHMO/AMEMBASSY MOSCOW 0247
RUEHSG/AMEMBASSY SANTIAGO 0015
RUEHTL/AMEMBASSY TALLINN 0126
RUEHTV/AMEMBASSY TEL AVIV 0083
RUEATRS/DEPT OF TREASURY WASHDC
RUEAIIA/CIA WASHDC
RHEHNSC/NSC WASHDC
C O N F I D E N T I A L LJUBLJANA 000564 

SIPDIS

SENSITIVE
SIPDIS

EUR/ERA FOR BGUSS, EEB/EPPD FOR JMUDGE

E.O. 12958: DECL: 09/04/2017
TAGS: ECON ETRD PGOV OECD KDEM SENV SI
SUBJECT: OECD ACCESSION CRITERIA FOR SLOVENIA

REF: STATE 118192

Classified By: CDA GShelton, Reasons 1.4 (b,d)

SUMMARY
-------

C O N F I D E N T I A L LJUBLJANA 000564

SIPDIS

SENSITIVE
SIPDIS

EUR/ERA FOR BGUSS, EEB/EPPD FOR JMUDGE

E.O. 12958: DECL: 09/04/2017
TAGS: ECON ETRD PGOV OECD KDEM SENV SI
SUBJECT: OECD ACCESSION CRITERIA FOR SLOVENIA

REF: STATE 118192

Classified By: CDA GShelton, Reasons 1.4 (b,d)

SUMMARY
--------------


1. (SBU) In post's judgment, Slovenia should not have many
difficulties fulfilling the accession to the OECD. It meets
many of the pre-accession criteria and shares the fundamental
common values. Since independence in 1991, its foreign
policy goal has been to integrate into the Euro-Atlantic
community; it joined both NATO and the EU in 2004. Although
the GOS has indicated its resources will be stretched thin
during the EU Presidency (January through June 2008),it is
committed to the accession process. On August 30, the
Government of Slovenia established a working group headed by
Dr. Ziga Turk, Minister without Portfolio (in the Prime
Minister's office),responsible for coordination and
implementation of the Slovenian Development Strategy and
Social and Economic Reforms, to lead Slovenia's accession
negotiations. The accession process should spur Slovenia to
sped up its slow, cautious approach to economic refom,
including privatization. The accession negotitions could
also provide an incentive to pressur Slovenia to improve its
anti-corruption laws, wich Parliament will review in
October. End Summay.

PRE-ACCESSION CRITERIA
--------------


2. (SBU) Slovenia is one of the founding membrs of the World
Trade Organization. It is an acive and constructive
participant in other interntional or regional organizations
whose work is rlevant to that of the OECD, including
significan technical agencies such as the World Intellectual
Property Organization (WIPO),he International Laor
Organization (ILO),the International Monetar Fund, the
World Bank, and the European Bank forReconstruction and
Development. It participatesas a donor in the latter two
IFIs.

LIKE-MINDEDESS
--------------


3. (SBU) As a member of bth the European Union and NATO
since 2004, Sloveia shares the common values that serve as

implict foundations for the work of OECD committees.
Sovenia is currently serving as the Chairman of the
International Atomic Energy Agency (IAEA) Board of Governors
and it served as the Organization for Security and
Cooperation in Europe (OSCE) Chairman-in-Office in 2005.
Since the break-up of the former Yugoslavia, Slovenia has
instituted a stable, multi-party, democratic political
system, characterized by regular elections. It is a
parliamentary democracy and constitutional republic.

4. (U) Slovenia generally respects its citizens' human
rights. As documented in the 2006 Human Rights Report,
however, there were problems in some areas, including trial
delays, cursory procedures for reviews of asylum
applications, indirect governmental influence on the media,
discrimination and violence against Roma and homosexuals, and
discrimination against former Yugoslav residents without
legal status.

5. (SBU) Slovenia takes a cautious and measured approach to
reform, however, its record of economic management since
independence in 1991 has been very good. Slovenia became the
first of the new EU accession countries to join the Euro zone
with its successful adoption of the Euro on January 1, 2007.
Foreign trade is very important to the Slovenian economy,
with the annual volume of imports and exports exceeding 100
percent of GDP. Nearly two-thirds of Slovenia's overall
trade is with the EU, and the vast majority is with Germany,
Italy, Austria and France. However, the current government
has yet to implement the larger economic reforms promised
when it came to power in 2004. The government introduced a
minor tax reform in January 2007, but other reforms such as
more drastic tax changes, an overhaul of the pension system
in this graying country, a more flexible labor market and
stimulating entrepreneurship will most likely have to wait
until after the 2008 Parliamentary elections. Privatization
has also been slower than we had hoped; sales of several
remaining large state holdings, although planned for several
years, have yet to occur. In the first quarter of 2007, its
growth rate was 7.2 percent with indications that this would
continue throughout 2007. Slovenia is also committed to
sustainable development.

OECD INSTRUMENTS AND RECOMMENDATIONS
--------------


6. (C) A member of the Convention on Combating Bribery of
Foreign Public Officials in International Business
Transactions, Slovenia hosted an OECD Working Group in
January-February 2007, which made a number of
recommendations. The Working Group's concern about
anti-bribery received a lot of public attention. In an
August 30 meeting, the head of the Kos Commission for the
Prevention of Corruption told Emboff that Parliament would
consider competing drafts on anti-corruption in October. He
explained that while the Ministry of Public Administration
had proposed a draft law that would transfer anti-corruption
responsibilities to the Court of Audits, a concern of the
Working Group, the Kos Commission would also submit a draft
law. The Kos Commission draft would broaden the current law
to cover lobbying, a wider area of conflicts of interest,
protection of whistle-blowers, financing of political parties
and elections, and strengthen articles on anti-corruption in
general. Kos doubted that the Public Administration's draft
would withstand challenges in the constitutional court, but
he noted that if his commission's draft passed in the first
reading in October, which is a public session, it stood a
good chance of final passage.
SHELTON