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4 DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTSberzNIK number 23 Date 19.05.2008

AFTER SUCCESSFUL TAKEOVER ON THE MACEDONIAN STOCK EXCHANGE

- ADG Mavrovo will grow into a moderncompany with recognizable reputation,announces Croatian company Ingra after thesuccessful takeover of the Mavrovo. Ingra plansadditional investments in the modernizationprocess of ADG Mavrovo. Simultaneously withthe company`s modernization, Ingra plans toinclude Mavrovo in its projects.

- We see Mavrovo as Ingra`s partner, sayofficials from Ingra, who believe that Mavrovo

has the potential and power for joint appear-ance on the world markets. The modernizationof ADG Mavrovo and the joint appearance onthe domestic and foreign markets will improvethe positions of both companies. According tothe plans, both companies willhave joint appearance not onlyon the domestic market, butalso on the markets in theregion, in Russia, Ukraine andother former soviet republics,as well as in Algeria and theMiddle East.

- ADG Mavrovo is a com-pany with considerable experi-

ence in the engineering on thedomestic and the foreign mar-ket, owning highly qualifiedstaff. We in Ingra are satisfiedthat the shareholders in Mav-rovo have recognized us aspartners. I am glad to say thatthe takeover of Mavrovo wasperformed in the shortest period possible,which was contributed by all competent institu-tions of Macedonia, said Igor Oppenheim,President of the Ingra Management Board. He

announced that in the following period, a transi-tional team will try to settle the problem with the25 million dollar debt of the Macedonian build-ing company and to collect the claims of around20 million euros. Most of the debt consists ofunsettled liabilities towards the Public Revenueoffice and unpaid contributions for the employ-ees.

- The company has gone through transi-tional problems, but with the help of the state

and the Trade Union, we can bring the compa-ny on the right road. We plan to keep all 1000employees and regulate the liabilities towardsthem with collective contract with the TradeUnion-stated Oppenheim.

The enterprise will keep its name, Mavrovo,but will be supplemented with a reference indi-cating the company is a member of the IngraGroup. Besides the investments for moderniza-

tion of Mavrovo, the Croatian company also an-nounces investments in the field of tourism andcivil engineering in Macedonia. What we aretalking about here is new joint projects of AGMavrovo and Ingra with its partners. The detail

analyses for finding suitable projectsare already on. The Croatians areexpecting with Mavrovo to get moreinvestment projects in this countryand the region, and the first projectthat will include Mavrovo outside theborders of the country is the offer forconstruction of large dam in Algeria.

However, Ingra had becomeowner of 79.01% of the shares of the

Shareholding Company Mavrovo.Ingra obtained the 52.08% of theshares of the Shareholding Compa-ny Mavrovo, by public offer that hasfinished at the end of the last month.The Securities commission declaredthe public offer for taking over ofMav rovo as successful. Ingra se cu-

red the rest of the shares through the Macedo-nian stock market.

MAVROVO BECOMES INGRA`S PARTNER IN

MACEDONIA AND IN THE WORLDIngra 800 investment projects

Ingra is one of the well known construc-tion companies from Croatia with enormous

international experience. The company,besides on the Croatian market is also pres-ent in several markets in European countries,the Middle East and Algeria. Through its activ-ities, Ingra has participated in the realizationof 800 investments projects from varioustypes, such as energetic projects, hotel com-plexes, roads, industrial capacities, dams andsilos. In the last year, Ingra has realized prof-its from 96.6 millions of euros, and the profitsfor the same year amounted 9.6 millions ofeuros. The overall value of the agreed work isover 400 millions of euros. The company isfounded more than fifty years ago.

In the period to come, Ingra is to invest into the modernization of ADG Mavrovo, which is to be followed by integration of Mavrovo into Ingra`s projects. Besidesthese investments, Ingra also announces new investments in Macedonia in thefiled of tourism and civil engineering

Investbanka AD Skopje is negotiating withSteiermrkische Bank und Sparkassen AG(Steiermrkische) regarding the potential

gaining strategic control over Investbanka for asuggested price of 151 euros per share or atotal amount of 38.5 million euros. Ste ier mrk-ische Bank is founded in 1825 in Graz, Austria.It is second biggest member of Austrian Sa -vings Banks Group, which is under the man-agement of Erste Bank AG. Erste Bank AG

owns 25% of Steiermrkische Bank. At the endof last year, the Austrian bank had funds in theamount of 12 billion euros. It has 170 subsi -diaries and about 1650 employees in Austria. It

has a significant influence in Southeast Europe,and it also has 245 subsidiaries and about 350employees in the countries from the region Bosnia and Herzegovina, Croatia, Monte

Negro, Serbia and Slovenia.

Investbanka is founded 1992 in Skopje. It isone of the leading banks in Macedonia and it is

listed on the Macedonian Stock Exchange Super Listings. At the end of last year,Investbanka had funds in the amount of 105 mi-llion euros. It has 21 subsidiaries and over 150

employees in this country. Investbanka usesthe consulting services of the international con-sulting firms Phalanx Capital and Linklaters andthe local office Knezovic and associates.

NOVELTIES IN THE BANKING SECTOR

INVESTBANKA UNDER THE

UMBRELLA OF STEIERMRKISCHE

BANK

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DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS 5Date 19.05.2008 number 23 berzNIK

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. LOANS OF PROCREDIT BANK FOR BUYING OF PEUGEOT UNTIL 9TH OF JUNE (***)2. ONTEL SECOND FIXED OPERATOR (**)

12.05.2008 MONDAY

1. SHORT REVIEW OF EVENTS

DNEVNIKp.1 THE CARDS ARE USED ONLY FOR CASH

FORM CASH DISPENSERp.5 COSMOFON TO BE REBRANDED IN T-

MOBILE

p.9 THE CARDS ARE USED FOR CASH FROMCASH DISPENSERSp.9 VELES DAIRY BANKRUPTS

BIZNISp.1 EUROPEAN WINDS FOR THE MACEDONIAN

BUSINESS CLIMATEp.2 POOR TURNOVER PRICES WITHOUT SIG-

NIFICANT CHANGESp.3 SMALL AND MEDIUM SIZE ENTERPRISES

GENERATE ECONOMIC GROWTHp.4 WITHOUT BIGGER INTEREST RATES FOR

NOW?p.4 THE CHAMBER OF COMMERCE IS BREATH-

LESSp.5 LOANS IN MARCH INCREASE 42.2%p.7 ONTEL SECOND FIXED OPERATORp.11 EUROPEAN WINDS FOR THE MACEDONIAN

BUSINESS CLIMATEp.15 MBI-10 DROPPED BY 21.28 INDEX POINTS

p.15 15,431,872.90 DENARS MADE ON THE OFFI-CIAL MARKET

p.16 BUSINESS LOAN FOR PURCHASE OF PEU-GEOT VEHICLES

UTRINSKI VESNIKp.1 THE STATE IS GIVING SUBVENTIONS, THE

FOOD IS APPRECIATINGp.4 THE UNEMPLOYMENT NUMBER IS REALIS-

TICp.8 THE STATE IS GIVING SUBVENTIONS, THE

FOOD IS APPRECIATINGp.8 FROM 17 MAY MAKEDONSKI TELEKOM WITH

NEW PACKAGESp.8 LOANS OF PROCREDIT BANK FOR BUYING

OF PEUGEOT UNTIL 9TH OF MAYp.9 IMF WARNS: INFLATION RETURNS

VECERp.1 ONTEL SECOND FIXED OPERATORp.6 TRADING CHEAPp.6 SO FAR 45.000 APPLICATIONS FOR SUB-

VENTIONSp.7 ONTEL SECOND FIXED OPERATOR

VREMEp.6 ONLY IN MACEDONIA LANDLINE TELEPHO-

NY IS LUXURYp.6 FISCALIZATION TO WIPE OUT MARKETSp.6 UNATTRACTIVE WEEK ON MACEDONIAN

STOCK EXCHANGEVEST

p.8 CREDITS FROM PROCREDIT BANK FOR

PURCHASING PEUGEOT UNTIL 9TH OF JULYNOVA MAKEDONIJA

p.8 TURNOVER OF 100 MILLION DENARSp.8 PRO GOLD CARD FOR VITAMINKA OF

PRILEP

Unattractive week on the Macedonian stock ex-change is shortly the description of events and acti-vities on the Macedonian capital market the pastweek, marked by almost all Monday editions. Vremewrites that not many sellers and buyers of shareshave called last stock exchange week when the re -alized turnover was 21 million Euros and the leaderof this turnover is Komercijalna banka.

An event that took the anemic week on theStock Exchange out of the shadow is the entranceof the new brokerage house Eurohouse from Sara-

jevo, which opened brokerage house in Macedonia,and founders of the branch are Saso Drakulovski,Abdulmenaf Bedgeti and Saud Kurtkehajik. Themanagers announced new investment funds from

America, Austria and Russia, which wanted to in-vest in the banking sector, metallurgy and civil engi-neering.

Only in Macedonia landline telephony is luxury,is the title of the text in paper Vreme, in which analy -zed has been the monopoly of Makedonski Te leko-munikacii in the landline telephony in the country. Inseven years, the impulse became seven times ex-pensive, while in the world are offering cheap pack-ages of landline telephony and internet services. InGermany, where the salaries are measured by se-veral thousand Euros, from operator One and One,for 25 euro per month 24 hours high speed internetaccess has been offered, free local landline conver-sations and mobile SIM-cards with free local con-versations. In Maktels offering subscription for land-line telephone costs 470 denars with included VAT.That price includes 100 denars of conversation, butthe citizens are spending much more. In 2000 theywere paying 0, 80 denars for three minute impulse.Now they are paying 5, 4 denars - stated SimeGruevski, former director of Macedonian telecom-munications.

At the same time, it looks like On Net will startrealizing the much announced competition in the

landline telephony monopoly. Supported by TelecomSlovenia Group, the second landline operator in thecountry-Ontel will start operating, which will functionon the market as a separate brand of the companyOn.net. They say that at first they will offer most fa-vorable package of services for the users of landlinetelephony, and that the delay was due to the unfavo-

rable conditions for interconnection that MakedonskiTelekomunikacii imposes to them. The Agency forelectronic communications, as regulatory organsays that they will manage providing fair work condi-tions for all competitors of Telekom.

In Dnevnik you can read that citizens do not gi-ve up cash, they use cards to draw cash from the

ATMs. According to the last report of the Nationalbank, the main purpose of these payment instru-ments is paying in the trade network. It is estimatedthat there are many reasons why the cards nevercrowed the cash payment in the country. The busi-ness community from the Economic chamber statethat the citizens are still not used to card payment.They find the main reason in the unfinished fiscalprocess. The main products, like food and clothesare purchased on the green markets and in localshops that have no fiscal registers. To rise the levelpaying with credit cards conditions have to be es-tablished - SSK says.

The action for the businesses of ProCredit bankand Euroimpeks is the novelty by which these twocompanies will offer favorable business credits forsupply of cars from the brand Peugeot. Within theaction, which will last until 9th of June, only ownersof businesses and producers of agricultural pro-ducts can apply for the loan. The loan is with a 10%deposit, payment period of up to 7 years and fixedinterest rate of 8.2%, which will not be changed untilthe action is ongoing. This cooperation has been ini-tiated because of the evident increase of the sale inthe segment of commercial vehicles in the last fewyears, the representatives of both companies said.

Vecer reports that so far more than 45.000 far-mers submitted application for receiving state sub-ventions for their production. The minister for agri-culture, Aco Spasenoski is satisfied that the num-ber of applicants this year is larger than last yearand expects this number to reach 60.000.

The increased number of applicants is due to

lower criteria introduced this year, as well as campa-igns and advices we give to agriculturists on the fi-eld Spasenoski said. Farmers are requested to re-port the planted fileds. This way, Spasenoski says,we will avoid giving subsidy to two persons on thesame land- the lands owner and the one who tookrented it.

Publishing: INTERNACIONAL NIK AD - SkopjeMedia library and digital archiveEditors office: berzNIK

Address: Square MAKEDONIJA bb, p.box882 Skopje, 1000,R.Makedonija

Phone. 02/25.32.800 faks:02/25.32.839web: www.inter NIK.com.mk;e-mail: [email protected]

Executive Director: Zdravko JosifovskiAccount Menager: Divna Pesic

Public relations: Natasa DimovskaICT Manager: Kiro Velkovski

Marketing manager: Ivona JosifovskaAssistent: Stojne Danilova

Logistics manager: Ana PetrovaFinance manager: Gordana Stojanovska

STOCK EXCHANGE REVIEW OF EVENTS IN THEPRINT MEDIA berzNIK

berzNIK is founded in year 2007.

STOCK EXCHANGE REVIEW OF EVENTS IN THEPRINT MEDIA berzNIKNumber: 23

Date: 19.05.2008

IT IS DISTRIBUTED FOR SUBSCRIBERS ONLY

FRONT PAGE PHOTO:BUSINESS MEETING SSK - CRVENKOVSKI

Photo:Robert Spasovski

Editorial staff ofberzNIKInternet distributive system: www.interNIK.com.mkEditor: Makedonka BaldazarskaJournalist: Vaska Mickoska, Kiro SimonovskiDTP: Tatijana TrpkovskaEditorial staff:News Evaluator:Anita Bashoska, R. Tasovska[operators]:Mare Lazarevska, Arslan Skoro, Zoran Stamatovski,Martin Arsovski, Gorge Redzik, Toni Arsovski i Darko Tripunovski[translators]: translator's manager Senka Mihajlovska, Angelina

Filipovska, Slobodan Trajkovski, Aleksandar Stamenkovski, AnetaMenoska, Filip Koviloski, Darko IvanovskiFotoreporter: Robert Spasovski

Marketing, distribucija i prodazba:INTERNACIONAL NIK AD - Skopje

I M P R E S S U M

C O N T E N T S

INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . 3

AFTER SUCCESSFUL TAKEOVER ON THEMACEDONIAN STOCK EXCHANGE. . . . . . . . . . . . 4

NOVELTIES IN THE BANKING SECTOR. . . . . . . . 4

berzNIK, MONDAY, TUESDAY, WEDNESDAY... .. ... .. . 5-7

THE USAID COMPETITIVENESS PROJECT..8-9

REGIONAL CONFERENCE ON SECURITY ANDFACILITATION OF GLOBAL TRADE. . . . . . . . . . . . .8 -9

GOVERNMENTAL POLICIES FOR SUPPORTOF THE ENTREPRENEURSHIP AND COMPETI-TIVENESS .............. .............. .............10-11

CONFERENCE FOR INDUSTRIAL PROPERTYRIGHTS FOR PHARMACEUTICAL INDUSTRY....12

berzNIK, THURSDAY, FRIDAY, SATURDAY.. .. .. .. .. .13-15

WEEKLY MAGAZINES.............. ....... ........ ....... .16

EVENTS THAT MARKED THE WEEK..............17

WEEKLY REVIEW OF THE MACEDONIAN STOCKEXCHANGE...............................................18-19

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OnTel will break the monopoly of Makedon-ski telekomunikacii, is a headline and top topicin most of the newspapers in Macedonia. TheEconomic columns announce that finally there is

a competition in the fixed telephony, which wasrevealed by the firm OnNet. The new operatorwill offer a package of 990 denars in the beginn -ing, plus VAT, and the subscribers will get 300free minutes toward the network of MT and afree connection and local conversations in theirnetwork. The prices of the international calls willbe by 60 per cent lower than those of Makedon-ski Telekom.

- For start we offer only this package at thisprice that causes us loss. After the ElectronicCommunications Agency makes rebalance ofthe mutual prices with Telekom, we will be ableto offer other packages at lower prices, becausewhat we now pay to Telekom for the resources

does not allow us reduce the price, underlinedthe director of OnNet, Predrag Chemerikjikj.The minister of transport and communications,Mile Janakieski expects that the second fixedoperator will reduce the prices in the fixed telep-hony, as VIP operator did that in the mobile te-lephony.

The once more price rise up of the fuels inthe country is also a top story in the newspa-pers. The selling price of the diesel is raised by3, 5 per cent, the extra light fuels by 3, and thepetrol by 1, 5 denars a litre. Such decision wasadopted yesterday by the Energy regulatorycommission with an explanation that the price ri -se is a result of the rise of the average raw oilprice on the world stock exchanges, as well as

the denar currency rise over the dollar. Thenewspapers conclude that this price rise reach-ed a record of the derivatives prices after trucksand cars are driven.

Macedonia is an important economic part-ner for Serbia, not only in trade and agricultureand food products exchange, but in the othereconomic areas as well, report the newspapersafter the visit of Macedonian journalists at theEconomic chamber of Vojvodina. Despite that,as Vest informs, Macedonia this year should nothope that it can import wheat from Serbia, beca-use in the greatest granary, Panonija are ex pec-ted 40 per cent less proceeds in June, whichmeans that the total harvest will be used to sat-isfy their own needs. Serbia is the greatestwheat exporter in Macedonia, but the countrycan expect only flour from Serbia, and eventual-ly, some amount of corn, which import will be li-

beralized. There will be wheat export prohibitionthis year too, say from the Chamber of Vojvodi-na.

The wine tourism, the most frequent topic inthe biggest wine region of Tikvesh in the last pe-riod, slowly becomes reality, optimistically an-nounce the written media, informing for the wi-nery Grkov, which began reception of touristswho want to taste their wines, but also introducethe production capacity of the winery. About 50guests form the country and abroad had thepossibility to taste the organic wines that areproduced only in this winery in the country fornow. The winery owner, Jovan Grkov says thatthis year they will receive the necessary certifi-cate for organic wines that he plans to offer on

the Switzerland and German markets, as count-ries with highest awareness for organic pro-ducts.

The newspapers note the operation start of

the new propelling for fodder at Chelopek, Teto-vo, in which 1, 1 million dollars are invested. Inthe propel equipped with most modern techno-logy, for now will be produced 1000 tones foddera month, and half of them will be used by the ag-ricultural association Edinstvo, which is owner ofthis capacity.

The newspapers also inform that Stopan-ska Banka has implemented the newest softwa-re solution T- 24 successfully, which is a basisfor completion of the every day financial activiti-es. This solution increases the operativeness,the approach to the information is easier andfaster, the security and evaluation of risks ishigh er, which means improvement of the service

to clients. Stopanska Banka is the first to imple-ment this system among the banks of South-East Europe.

In the ordinary stock exchange report ofBiznis, it can be read that on the official marketof the Macedonian Stock Exchange, most trad-ed were the shares of RZ Institut Skopje, MakstilSkop je and Alkaloid Skopje. Also, more signifi-cant trade was noted at the bonds of the seconddenationalization issue of the Republic of Mace-donia, and most traded shares were those onthe Regular market were the shares of iDevelopSkop je, and second were the shares ofMakedonski Telekom.



1. THE SECOND FIXED OPERATOR ONTEL STARTS WORKING (*****)2. NO EXPORT OF WHEAT, WE WILL RECEIVE ONLY FLOUR (***)

13.05.2008 TUESDAY

DNEVNIKp.12 NO SUBVENTIONS FOR UNREGISTERED AGRICULTURISTSp.12 JOB FOR 111 PRILEP CITIZENSp.12 SSK WITH ITS OWN REPRESENTATIVE IN GREAT BRITAINp.12 MORE TOBACCO TO BE PLANTED IN STRUMICAp.13 BREAD AND TRANSPORT TO INCREASE, AGAINp.13 ONTEL OFFERS CHEAPER TELEPHONYp.13 DEUTSCHE TELECOM AND OTE BEFORE CLOSING THE DEAL

BIZNISp.1 THE PETROL IS MOST EXPENSIVE SINCE AUTOMOBILES ARE

BEING DRIVEN IN MACEDONIA

p.1 PACKAGE OF ONTEL OFFERS 300 FREE MINUTES FOR 990DENARSp.3 THE TOURISM NEW PHASE OF THE INVESTMENT PROCESSp.4 MAIZE EXPORT BAN TO BE LIFTEDp.11 MBI-10 DROPS 22.57 INDEX POINTSp.11 SHARES OF RZ INSTITUT, MAKSTIL AND ALKALOID MOST

TRADEDp.12 TTK BANKA WITH A GAIN OF 12.4 MILLIONS OF DENARS FOR A

PERIOD OF THREE MONTHSp.12 SHARE BUY-BACKSp.12 NON-TRADE TRANSFER OF LISTED COMPANIES` SHARESp.12 111.3 MILLION DENARS IN THE FIRST QUARTILEp.15 THE BIGGEST INCREASE OF THE INDEX BUDAPEST BUXp.15 BELEX 15 INCREASED BY 5.33 PERCENTp.15 INVESTBANKA WITH PROFIT GROWTH OF 13.2 PERCENT

UTRINSKI VESNIKp.9 THE SECOND FIXED OPERATOR ONTEL STARTS WORKINGp.9 EDINSTVO-CELOPEK OPENS FODDER FACTORY

p.11 WINE VAULT GRKOV OPENS DOORS FOR WINE TOURISMp.11 DARKO KAMEV MCCS REPRESENTATIVE IN GREAT BRITAINp.11 JUMP AGAIN- DIESEL RISES IN PRICE FOR 3, 5 DENARS, WHILE

PETROLEUM FOR 1, 5VECER

p.1 ONTEL TO BRING DOWN MONOPOLY OF MAKEDONSKI TELE-

KOMp.6 THE PETROL MORE EXPENSIVE FOR 1.5, AND THE DIESEL FOR

3.5 DENARSp.6 THE MOST ADVANCED SOFTWARE INSTALLEDp.6 NO EXPORT OF WHEAT, WE WILL RECEIVE ONLY FLOUR

VREMEp.5 THEY MELTED A MINE IN BOSNIAp.6 THE SECOND FIXED OPERATOR STARTS WORKINGp.6 40 FIRMS TO BE OPENEDp.6 ALBANIA TO GIVE 48 MILLION EUROS TO THE FARMERSp.6 ELECTIONS WILL INCREASE THE INFLATION

p.7 WAGONS ARE STILL STUCK ON THE RAILSp.7 TOXIC COOKING OIL FROM UKRAINE COMES IN MACEDONIA?VEST

p.3 DIESEL APPRECIATES BY 3.5 DENARS, PETROL BY 1.5 DENARSp.3 NEW FODDER PLANT NEAR CELOPEK, TETOVO REGIONp.8 ONTEL WITH 1,000 DENARS SUBSCRIPTIONp.8 SERBIA WILL NOT EXPORT WHEAT TO MACEDONIAp.14 DOLLAR STRENGTHENS, OIL CHEAPENSp.14 AUSTRALIAN BANK WESTPAC WANTS TO TAKE OVER ST

GEORGE BANKNOVA MAKEDONIJA

p.8 MBI 10 DECREASED FOR 0.39 PERCENTS, THE BONDS DOM-INATE

p.8 THE PETROL BECOMES MORE EXPENSIVE FOR 1.5, AND THEDIESEL FOR 3.5 DENARS

p.8 IN THE REGION OF STRUMICA, STARTS THE SEEDTIME OF THETOBACCO

p.8 GOSEV: GO EASY ON CREDITS FOR CITIZENS!

p.9 THE SECOND FIXED OPERATOR STARTS FUNCTIONINGp.9 THE RAILWAY TOWARDS GREECE BLOCKED ONLY TO MACE-DONIAN RAILWAY CARRIAGES

SPICp.7 MONOPOLY IN THE FIXED TELEPHONY FALLSp.7 DIESEL AND PETROL INCREASE

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Today`s hottest news in the daily newspa-pers is Ingra`s plan for the fate of Mavrovo.Namely, the Croatian company, which hasbecome dominant owner of 80% of the capital of

Mavrovo for a price of seven million euros, plansto put this Macedonian building company onsolid grounds by the end of the year. Ingraannounced that a transitional team would try tosettle the problems regarding the indebtednessof this building company of 25 million euros, andto collect the debts of around 20 million euros.

The largest part of Mavrovo`s debt istowards the Public Revenues Office and theunpaid contributions for the employees. Ingraplans to keep all 1.100 workers with a promisefor settled debts and employment of new staff.Mavrovo will keep its brand with the referencethat indicates that it is a member of the Ingragroup. The Croatians, who are working on sev-eral markets in the world, especially in the

Middle East, say they have already workedtogether with Mavrovo on a project for construc-tion of a dam in Algeria. There are plans for part-nership, especially in the region, on projects inMacedonia and Bulgaria, inform today`s news-paper editions.

On the occasion of its 15th anniversary,DHL Macedonia yesterday promoted its newbusiness premises in the vicinity of BellevueHotel at the entrance of Skopje. The new serv-ice center, which cover an area of 2.500 squaremeters is equipped according to the higheststandards, will reduce the time for road activi-ties, and improve the quality in the regarding theof customs duties and security. DHL Macedonia,which has been founded with completely foreign

capital, participates on the delivery market with80% and is a partner of more than 2.000 com-panies and institutions in Macedonia in theirinternational communication. The company con-

ducts transport of 280 tons of shipments in twodirections from the Skopje airport with specialDHL flight on daily basis and also realizes morethan 45.000 export and around 125.000 import

deliveries.Minister of Finance Trajko Slaveski yester-day stated that the Government had no intentionto increase the taxes, as one of the possiblemeasures for curbing the inflation.

In different conditions we might havethought of increasing the taxes and gather thepeople`s money to prevent them from spending,but now we wouldn`t dare to do such thing,stated Slaveski after his visit to the free exami-nation center in Topaana, informs UtrinskiVesnik. According to the Central Bank, there isstill a risk of further heating up of the inflationexpectations and impairment of the externaleconomic position. The high credit growth ratesand the increased salary growth in relation with

the productivity add to the risk of inflation pres-sure and impairment of the external positions onmiddle terms, Nova Makedonija carries thestory.

The National Bank has at its disposal sever-al measures for curbing the inflations. Amongthem is the policy of open market, which will beused for sale of foreign exchange resources thatare to pump out the denars, and the increase ofthe mandatory bank reserves as anothermeans.

The increase of the treasury bills interestrates is a good and efficient measure for controlover the inflation. Thus, the Central Bank moti-vates the business banks, instead in the econo-my and among the citizens, to market their

assets in less risky operations-says ZoranIvanovski, professor at the European Universityfor the interview for Nova Makedonija.

According to him, the unfavorable effect of this

measure of the National Bank of the Republic ofMacedonia is its influence on the banks toincrease the loan interest rates.

The amount of 7, 6 million euros being

demanded by the trustees for the sale of theVeles smeltry was reduced for about ten timesin less than a year, Vreme discovers. The pricefor which the Swiss company Mineko has pur-chased the claims of the large trusteesKomercijalna Banka, Fersped, Veteks andMakpetrol still remains a secret. Yesterday, theyrefused to comment this case. The greatesttrustee, Mineko, which owns more than 60% ofthe claims, is expected to invite to tender forselling the smeltry at a price of only one millioneuros in about two weeks-informs today`s edi-tion of Vreme.

Within the framework of the project for intro-duction of the social responsibility for the enter-prises in Southeast Europe, along with Invent,

Basme KT and Balkan NET, Makpetrol is thefourth company that has won the MacedonianOscar for social responsibility for 2007. It has adeveloped network of 120 gas stations withmodern appearance and technological systemsfor management of fuels, warehouses and labo-ratories with applied modern equipment forreceiving, storing and measuring of fuels, aswell as the first Biodiesel installation in theRepublic of Macedonia, Biznis has the story.

Several daily newspapers reveal the resultsof yesterday`s trading on the Macedonian secu-rities market. The Stock Exchange yesterdaymarked increase turnover in relation with theMonday, but the shares of Komercijalna Bankahad the largest part which gained a turnover of

around 13 million denars and the block transac-tion of Invest Banka. The overall tradingturnover was at the amount of MKD 39.943.129,72 through 206 transactions.



1.INGRA WILL STRENGTHEN MAVROVO (*****)2. DHL IS NOT EXCLUSIVITY ONLY OF THE MAJOR COMPANIES (***)

14.05.2008 WEDNESDAY

DNEVNIKp.7 INGRA WANTS TO DEVELOP MAVROVO IN SEVEN MONTHSp.9 THE GREEKS BLOCK MACEDONIAN, AND ALLOW SERBIAN

WAGONS TO PASS BY

p.9 DHL TO INVEST 2 MILLIONBIZNISp.1 CRASH OF THE THREE STOCK MARKET INDEXESp.1 KOMERCIJALNA BANKA SHARES MOST TRADEDp.3 INGRA AND MAVROVO ARE GETTING READY FOR ALGERIAp.3 WITH 2.000.000 INVESTMENT TO FASTER SERVICEp.3 PRICE INDEX OF INDUSTRIAL PRODUCTS INCREASES BY

10.7%p.4 WITH RENEWABLE ENERGY SOURCES TO HEALTHY LIVING

ENVIRONMENTp.12 INCREASED INCOMES OF CURRENT OPERATIONSp.12 BLOCK TRADEp.12 NON-TRADE TRANSFERS OF LISTED COMPANIES` SHARESp.13 CRASH OF THE THREE STOCK MARKET INDEXESp.13 KOMERCIJALNA BANKA SHARES MOST TRADEDp.14 OHRIDSKA BANKA WITH 302.7 MILLION DENARS BANK EARN-

INGSp.14 REDUCED LOSSES OF CURRENT OPERATIONS

UTRINSKI VESNIKp.10 PETROLEUM MORE AND MORE EXPENSIVE BUT ALL PER-

SISTENTLY DRIVE THEIR CARSp.10 INGRA WILL STRENGTHEN MAVROVOp.10 DHL MAKEDONIJA OPENS NEW SERVICE CENTER

p.11 THE PRICES OF THE INDUSTRIAL PRODUCTS INCREASED BY10.7%

p.11 ARE THE STATE FOREIGN EXCHANGE RESERVES SLOWLYRUNNING OUT?

p.11 SLAVESKI: WE WILL NOT INCREASE TAXES TO DIMINISH INFLA-TION

VECERp.1 INGRA AND MAVROVO TO BUILD A DAM IN ALGERIAp.6 DHL IS NOT EXCLUSIVITY ONLY OF THE MAJOR COMPANIESp.7 INGRA AND MAVROVO TO BUILD A DAM IN ALGERIAp.7 NEW BUSINESS LOANp.7 APPRECIATED BY 10.7%

VREMEp.4 MINEKO TO SELL AND BUY THE SMELTERY FROM VELESp.6 INGRA BRINGS MAVROVO AROUND THE WORLDp.6 REDUCED PETROLEUM SALE, INCREASED GAS SALE

VESTp.3 DHL INVESTS 2 MILLION EUROS IN BUSINESS PREMISESp.7 INGRA WILL NOT RENAME MAVROVO

NOVA MAKEDONIJAp.8 NBM CAN NOT FIGHT THE CORRUPTION BY ITSELFp.8 KOMERCIJALNA WITH 42 PERCENTS OF THE TURNOVER ON

THE STOCK MARKETp.8 MACEDONIAN POSTS WILL HAVE TO PAY TO POSTENSKABANKA FOR THE ROBBERIES

p.8 CITIZENS OF PRILEP START BUSINESS ON CREDIT

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THE USAID COMPETITIVENESS PROJECT

CHEAP WORKFORCE IS NOT AN ADVANTAGEANYMORE

Investing in workforce is one of the most

important factors for enabling every economyto enter the global market. Skilled workforce,

which is capable of meeting the requirements ofthe growing industries, is also crucial for theeconomic development of Macedonia, whichmakes efforts to get closer to the global eco-nomic trends. But, does this country has work-ers who have knowledge about the latest tech-nical-technological achievements and innova-tions, which are everyday work tools for theircolleagues from the developed economies, atits disposal? The recent estimation, carried outand financed by USAID through the Com -petitiveness Project, confirmed that there is anenormous gap between the educational institu-

tions which provide the workforce and the busi-nesses and the demand for skilled workforce. Despite of the high unemployment rate inMacedonia, a number of businessmen and for-eign investors inform about a critical need ofskilled and trained workers-says PatriciaRader, USAID Mission Director in Macedonia. Businessmen often comment that the fresh uni-versity graduates do not have skills which makethem competitive on the workforce market andtherefore the companies have to invest inresources and additional training.

In order to support the efforts for develop-ment of skilled workforce, USAID initiated an

implementation of a five-year project whichwould be dedicated to the development of theMacedonian economy and to creating a numberof sustainable jobs. The beginning of the dialogbetween all subjects in the development ofworkforce, including here all human resourcescompanies and providers of training, wasmarked with the Workforce Development Con -ference, which recently took place in Skopje.

This will be a long process which will require

enormous efforts and dedication from all, andUSAID will support every step of the way -Ra-der emphasized.

From the recent activities in the USAIDCompetitiveness Project, as USAID Competiti-veness Project Chief of Party Nimish Jhaveriexplained, it was concluded that the workforceis the most critical area which should be im-proved, because until now, it was developed bythe supply, it is not developed enough to meetthe requirements of the demand. Actually, it isnot only the accessibility of the workforce thatmatters, but also how fast is it accessible, howmuch money and time is needed for developing

quality workforce and what is needed for keep-ing the same, especially in a field where thereis a big demand for personnel with good skillsand abilities.

These estimations for the workforce inMacedonia were also confirmed by EduardoTugendhat, President and CEO of CARANACorporation, who said that, even though this

country did a good job with the creation of polit-ical surrounding for attracting direct foreigninvestments, it must pay enormous attention tothe quality of the personnel. The foreign in-vestors are more focused on the quality. Theywish to have technically and business trainedworkforce engineers and professionals of allkinds and fields. The old idea for workers withlow or without any qualifications does not exist

anymore. Now they are all technicians and they

should be developed. There should be a sur-rounding which will motivate the creativity andknowledge-Tugendhat emphasized. By com-paring the data for the high percentage ofenrolling in the high education in Macedoniawith the other Southeast European countries,we can see the quantity, but not the quality ofthe people who have obtained a higher educa-tion degree. The rate of enrolment inMacedonia is something over 20% and thesame rate up North is approximately 6%.

Carefully analyzing workforce situation,Tugendhat pointed out that Macedonia, like theother countries from East Europe, can be proud

with high quality academic education, which,regretfully, is just theoretical. On the otherhand, there is a secondary vocation education,which trains personnel for an industry which isdisappearing or which has completely disappe-ared. Tugendhat recommends functional speci-alization connected to the concrete industrywhich is developed in the country. For example,there are many job positions in the service sec-tor which do not require theoretical universityknowledge, but a concrete specialization.

CEO of the Agency for Foreign Investmentsof the Republic of Macedonia Viktor Mizoexplained that Macedonia was working on cre-

ating favorable business climate these past 17years, and that was the reason because ofwhich the country was not on the radar of anumber of companies, which invested in theother countries from East Europe, but not inMacedonia. Now, when we are on the radar,we should go deeper and direct all effortstoward meeting the needs and requirements ofthe foreign investors, not only in the field of the

As a country which wants to attract foreigninvestments, Macedonia should providequalified, flexible and productive work-force, which would be on the same level

with the workforce from Southeast Europe

Customs Directorate will implement aggres-sive campaign for promotion of the simpler cus-toms procedures, in cooperation with the cham-bers and the business community in Macedonia

Last week in Skopje, the World CustomsOrganization presented its Program on Securityand Facilitation of Global Trade (SAFE) chal-lenges for the region, in front of the regionalCustoms Directorates and representatives fromthe business communities in Macedonia.

On the regional conference, which at the

same time referred to the Governmental institu-tions, the economic chambers, the shippingcompanies and other subjects which could usethis program, it was discussed about the pur-

poses and principals of the SAFE program, aswell as the details regarding its implementation.

The framework of Standards to Secure andFacilitate Trade envisages certain criteria foreconomic operators which should be identicaleverywhere all with purpose of identical imple-mentation of security measures from their sideand on side of the Customs Directorates, aswell as mutual understanding of the verifica-tions from one to other Customs, stated thedirector of the Customs Directorate Vancho

Kargov, pointing out that it is a matter of intro-ducing electronic possibility for transferringtransport information to the Customs.

He emphasized that Macedonian Customs

already has exchange of written Customs infor-mation with Serbia, Greece and Kosovo, andcertain efforts are made for exchange of infor-mation with the Customs from Bulgaria and

Albania.Kargov send a message to the domestic

and the foreign companies that they can usethe benefits of the simpler Customs proce-dures.

- The Macedonian companies are still notvery interested in using the simpler customsprocedures and their benefits.

The classic terminal clearing dominatesover the simpler, with which the importers or theexporters can perform the duty in their premis-es by themselves with no charges for declara-tions, Customs terminals and weigh, and also

the time for the Customs formalities is lowered Kargov announced.

These changes in the clearing goodsthrough customs were adopted by the Customs

REGIONAL CONFERENCE ON SECURITY AND FACILITATION OF GLOBAL TRADE

INSTEAD TERMINAL - OFFICE DECLARINGOF THE MERCHANDISE


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infrastructure, but in the field ofqualified personnel as well.

Actually, it is very importantwhat is happening in the fieldof the workforce from anaspect of the qualification, flex-ibility, productiveness andthriftiness. The data for thesefactors indicate that we are better than thecountries from East Europe regarding the thrifti-ness of the workforce. The foreign companiesfeel that the Czech Republic, Poland, Slovakia,

Hungary are actually becoming pretty expen-sive. As a country which wants to attract foreigninvestments, Macedonia should provide quali-fied, flexible and productive workforce, whichwould be on the same level with the workforcefrom those countries, because, as Mizo pointedout, Macedonia cannot win the battle with laborprice alone.

Here, the question what is currently offered

to the foreign investors in Macedonia as labor israised. According to Mizo, the theoreticalknowledge which the technical faculties inMacedonia currently are enormous, but the

possibility that those people will find workimmediately after graduating, without additionaltraining, is not good enough. From there, theemployees who entered the program ofJohnson Controls and the Faculty of mechani-cal engineering are already being trained. Thiscompany is satisfied with the qualifications ofthe people who come from there and it is prob-ably mentioned in their factory in France that

the qualifications and theabilities of the workforce inMacedonia exceeds theirbasic requirements andexpectations and that theyfound better workers herethan in Romania andSlovakia, countries in which

they planned to invest.In order to improve the technical-technolog-

ical capabilities of the current and the futureworkforce in Macedonia, which will be able to

meet investors requirements, Mizo suggestedseveral options, such as introduction of summerinternship of the students in the companies. Itwould mean concrete deepening of the cooper-ation between the universities and the domesticand foreign investors, which would result withgenerating personnel that will have knowledgeand skills which are needed for the real world.

V.M.

Competition project goals

Explaining the objectives and the forth-coming activities, USAID CompetitivenessProject Chief of Party Nimish Jhaveri empha-sized that the foreign and the domestic invest-

ments in this country will be stimulated throughthe project, which is essential out of severalreasons. In addition, the most important reasonis that, apart from capital, the foreign invest-ments bring knowledge, technology, solutions,as well as an approach to foreign markets,which is crucial for the Mace-donian suppliers who are try-ing to reach those markets.The next field where it wouldbe acted is the transformationand the improvement of theexisting industries in Macedo-nia, from which, three con-crete industries light produc-

tion, information communications technologiesand fashion industry, meaning shoes, clothes,confection were chosen. The third field onwhich we are focused is to carry out interven-tions which will enable system changes in theeconomy. It could be multiple interventions

which include infrastructure, capital, marketapproach, and maybe even forming of newcompanies which would give an opportunity forthe local economy to exist in a different kind ofway- Jhaveri says.

The approach used in the project is based

on the idea that the growth is possible only ifthe domestic suppliers are able to sell theirproducts on the global market. In the currentsituation, the domestic suppliers made the con-tact with the foreign buyers through mediators,thus making only a small step forward.

Through the project, USAID is cooperating withthe suppliers and helps them enter on the serv-ices market. We are also working on detect-ing foreign investments, and not only withInvest in Macedonia, but also with other invest-ment groups in this country. Because we are

successful, the existingMacedonian suppliers havean opportunity to connect tothe global supply chains,thus entering on the foreignmarkets which previouslywere inaccessible to them -Jhaveri says.

Directorate of Macedonia last month, all withpurpose to facilitate the trade and to help theeconomic operators. It is a matter of simplifyingthe declaration of goods, whereupon moneyand time will be saved, and other news is theintroduction of authorized sender and recipientin the transit procedure, which means that thesame can be implemented by the very compa-ny in their own premises.

The Director of the Macedonian CustomsDirectorate pointed out that round 70 compa-nies in Macedonia already submitted requestfor authorized economic operator and that theyare making efforts to reach the European stan-dards and the local clearing to become domi-nant. At the moment in Macedonia dominatesthe traditional clearing instead of the terminalway of clearing.

Still, the criteria which the companies sho-

uld fulfill in order to receive approval for usingthese facilitations, are extremely high, admitpeople from the Customs Directorate.

- There are still too rigorous criteria in the

regulations, which we examine to see whetherand how much we can release it, without losingthe control. So far, small number of companieshas fulfilled the criteria for receiving approvalfor this kind of clearing. In order to increasetheir number in the future, the Customs Di recto-rate will implement aggressive campaign forpromotion of the simpler customs procedures,in cooperation with the chambers and the busi-ness community in Macedonia, said the directorof the Customs Directorate, Vancho Kargov.

On the Conference of the World CustomsOrganization held on the Faculty of Economy, itwas also promoted the introduction of the

Authorized Economic Operator AEO and theconditions for receiving this status, as well asthe one-stop-shop system on the borders.

The Conference was organized in coopera-tion with the World Customs organization,

USAID-BEA Project for Improving the businesssurrounding and the Faculty of Economy,Skopje.

K.S.


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-The importance and development of smalland medium enterprises (SMEs) and en -trepreneurship is recognized by

Macedonian economy, not only as a mean foradvancement and treating of the entrepre-neurship spirit, but also for development of theawareness for consistent necessity forchanges and reforms in the economy, as one

of the most important priorities of MacedonianGovernment. Regarding the fact that SMEshire more than 70% of the total num-ber of workers in the country, theyare important participants in theeconomy as whole and importantcreators of the social product. SMEshave the front seat in the emplo-yment generating and country`s eco-nomic growth. Former Minister ofEco nomy Vera Rafajlovska usedthese sentences to position SMEs inthe state, on the panel-discussion en -titled Governmental policies for sup-port of the entrepreneurship and com-

petitiveness, on the Europe Entrepre-neurship Day 2008, which was heldon 9th of May in Skopje.

- Although many activities forimprovement of favorable conditions that createthe development of SMEs were realized up untilnow, crucial challenges for Government`s nearfuture are development of policies and conduct-ing of reforms that lead towards more dynamiceconomic development, Rafajlovska said.

MEANS TO OVERCOME PROBLEMS AREDIFFERENT

Although we can ascertain that problemsthat Macedonian SMEs face are similar tothose of the European companies (in theframe), the difference between us and EU is inthe means of governmental policies used toovercome these problems. Are they quality andprompt, or not i.e. do governmental policiestrace the path towards the goal increase ofthe growth. According to Jelisaveta Georgiev-ska, General Secretary of Economic Chamberof Macedonia (ECM), in order of governmentalpolicies to be in function of those that are goingto employ them, there is necessity for devel-oped social-economic dialogue in the society,because it solves all issues important for the

development of the development of the eco-nomic policy, businesses development andemployment policy. European social dialogue isconsisted of talks, consultations and negotia-tions that provide unity in achieving of general

values, based upon differences of demands.And general values are cohesion, solidarity andmutual trust. These are European standardsthat should be implemented in Macedoniansociety between the business and public sector.

Officials in ECM, which is consisted of 98%of small and medium enterprises, stress that fitlegislation, as an instrument for implementationof governmental policies, is in favor of smalland medium companies, and implies obligatoryconsultations of the Government with the econ-omy, before and after passing the legislation

and Government`s readiness to react promptlyon initiatives moved by business community. Fit

legislation implies its simplification regardingthe implementation (in EU this practice is usedin years). In cases where it would be justifiedsupport to SMEs, officials in the Chamber rec-ommend making distinction in legal actsbetween small and medium enterprises; dereg-ulation should be applied in all cases where thesystem is not endangered, because manybylaws increase the price of implementation,and very often create conflict situations.

In the process of creation of favorableambience for development of SMEs in the co-untry, businessmen stress one very importantelement implementation of system for calcu-lation and payment of gross-salaries adjustedto European practice. This way it will be com-prehensible for foreign investors, becauseexpenses for the labor force represent the mostimportant item in their business plans. This isnot only underlined and accepted by Cham-ber`s Council of Foreign Investors, but it is alsoobligation of our Government suggested byexperts of IMF. The Government should removesocial moments, consisted in the system ofgross-salary, and regulate them with its own

measures and instruments.

Members of ECM also demand reduction ofcontributions, because the current system ofsalaries is burdened by contributions and it is

unfavorable for economic operators and it isamong highest in Europe, which is huge factorof demotivation for foreign investors and ex-ceeds Government`s efforts for promotion ofbetter business climate.

THE STATE HAS OBLIGATION TOSUPPORT SMEs

Exceptional importance of the private sec-tor in creation of policies for economic growthwas also stressed by the Chamber of Com mer-ce of the Republic of Macedonia. Because

SMEs have the greatest potential for growthand development, meaning potential to be le-

ader of the development ofMacedonia economy, officials inthis Chamber consider that thestate has the obligation to supportand promote these companies.

- In all developed countriesthere is intensive communicationand existence of successful coop-eration between the business sec-tor on one hand and state adminis-tration, on the other. In many suc-cessful countries with high stan-

dard and well being of their citi-zens, the very cooperation betweenthe public and private sector is thekey to their advancement and freedevelopment. This should be appli-

ed in Macedonia, as well, Mirce Cekredji, VicePresident of ECM, stressed.

- Government`s role is the create such leg-islation that will help SMEs to become morecompetitive on the global market and contributetowards creation of bigger economic growth inthe future.

The fight against corruption, especially inthe administration, Customs Directorate, ca-dastre and judiciary, are the field in which thecabinet should strengthen its engagement.Officials in ECM are even more precise andconsider that there is necessity of forming ofprofessional and efficient cadastre, in order ofprotection of privacy.

- The efficiency of the judiciary, in sense ofshortening of terms, should contribute towardsimprovement of the payment, which we consid-er to be one of the major problems inMacedonian business, Cekredji stresses.

SMEs ARE NOT READY TO COMPETE

Small and medium enterprises in Macedo-nia are not ready to compete on the global mar-ket, Kasam Vendeli, Vice President of the Eco-nomic Chamber of North-West Macedonia,stressed.

GOVERNMENTAL POLICIES FOR SUPPORT OF THE ENTREPRENEURSHIP AND COMPETITIVENESS

29 MILLION DOLLARS FOR DEVELOPMENTMajor problems that these capacities face are the deficit of capital, skill and information, necessary to produce organizational and tech-

nology changes in order of increasing long term productivity and competitiveness

Due to combination of limited technical, manageri-al and marketing skills of owners of small busi-nesses, banks consider SMEs to be risky

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OF SMALL AND MEDIUM ENTERPRISES

- Major problems that these capacities faceare the deficit of capital, skill and information,necessary to produce organizational and tech-nology changes in order of increasing long termproductivity and competitiveness. Also, SMEsface lack skills, technology and difficulties instrengthening of partnership relations withdemands of foreign investors and other clients,Vendeli stresses.

- Many enterprises in Macedonia operateon low level of technology and have aversiontowards the risk, which would potentially

increase their competitiveness. Compared toother countries in transition, they are character-ized with low level of productivity and low com-petitiveness on world markets. The rateof investments in new equipment is low,and in the same time followed by lowrate of utilization of research as com-mercial opportunity, Vendeli stresses.

Starting from the fact that innova-tions represent crucial factor for thegrowth, competitiveness and socialwell-being in the XXI century, entrepre-neurships in small and medium enter-prises point out on the necessity the

state to instigate and support the initia-tive for integration on three sides of theso called triangle of knowledge or mindtriangle high education, research centers andbusiness, inventive, in order national economyto be able to compete with modern challengesthat it faces.

- Transformation of the educational systemand commercial results in commercial opportu-nities will enable Republic of Macedonia toreduce the gap with EU member states and theregion, Vendeli explains.

- Sustainable competitiveness lies in tech-nology capacities, i.e. capability for import,assimilation, adaptation, approval and diffusionof the new technology. But, we should also takeinto consideration that it is not to be simply tran-sferred. Before all, absorption capacity is calledinto question, which in advance imposes thenecessity for technical knowledge, skills andsources to learn how technology will be effi-ciently used.

Therefore, members of the EconomicChamber of North-West Macedonia considerthat in the process of creation of economic pol-icy, strategy and programs, the Governmentshould engage for strengthening of the institu-tions, locally and centrally, for support of SMEs`

entrepreneurship and competitiveness, increa-sing of the support and creation of new busi-ness centers, as well as upgrading of the exist-ing business infrastructure. Entrepreneurs de -mand improvement of the approach to finances,

which in fact is the major problem for SMEs.They also have problem with the approach tocommercial loans, which is pegged to the insuf-ficiently developed banking system and insuffi-cient assets, i.e. poor capitalization, limitedideas for development and vulnerable of themarket movements. Due to combination of lim-ited technical, managerial and marketing skillsof owners of small businesses, banks considerSMEs to be risky. According to companies,overcoming of this problem lies in engaging ofthe Government in order of establishing of newfunds, stimulation of SMEs and improvement of

guarantee fund`s operability, i.e. observing ofcauses for not using the Fund by SMEs.

PRELIMINARY RESULTS ARE POSITIVE

Presenting Government`s program for sup-port of SMEs, Sasa Shindilovski of Ministry ofEconomy SMEs` Entrepreneurship and Com-petitiveness Sector, stressed that it is mainlyfocused towards four goals institutional infra-structure, business environment, finances andtaxation, and originality and competitiveness,where preliminary results already appear. In thepart of business environment are made manyfacilitations for SMEs, such as simplification ofcompanies` registration, reduction of expensesfor permissions and licenses, and many laws

and bylaws are canceled or revised by the reg-ulatory guillotine. There are also activities in thepart of e-trade, i.e. e-payment of taxes of bigpayers already runs, and now there is prepara-tion of software for other enterprises.

In the part of finances and taxation there isimprovement in the access to finances.Regarding the guarantee fund, its non-function-ing is due to the determination from the Law onMacedonian Banka for Development Support,which restricts the part that is supported byguarantees, Shindilovski explained, and addedthat the transformation of this fund is in

progress, in order of giving guarantees not onlyfor credits, but guarantees for export as well,which are really necessary for SMEs. Increased

incomes in PRO, which are result of thetax rate reduction, were pointed out as apositive result.

- Every year from the Budget we arereceiving finances intended for institu-tional support, and other part for proj-ects, for non-financial support of SMEs,which means promotions, training, net-work development, Shindilovski says.

- This year there are 29 million

denars, out of which 10 are paid fromthen Ministry of Economy, for institu-tions` growth and 19 million denars from

APPM. Government`s program for SMEs`development, which is revised in accordance tothe Lisbon Agenda and European Charter forSMEs, in the following period will be realized bycontinuation of the support of local businesscenters and incubators, giving services forintroduction of standards, promotion of newproducts, introduction of voucher system ofcompensation of given consulting services tounemployed citizens who intend to open theirown business, looking for alternatives forfinancing and means for eliminating of the grayeconomy.

V.M.

European and Macedonian entrepreneurs face thesame problems

EU countries comprise 23 million small and medium enterprises, which, compared toMacedonian, operate in incomparable better business environment. Despite this, Brussels offi-cials stress the necessity these companies to be enabled full facilitation of their potential forgrowth, innovations and creation of new working posts. In order to reach that goal, EuropeanCommission proposed adoption of document European Act for Small Businesses, whichincludes principles and concrete measures for improving of European small and medium com-panies, having on mind their diversity. To see what problems companies face, there was con-ducted survey among companies in the 25 EU member-states, which results were presented on22nd of April. More than 60% pointed on administrative and legislative burdening, followed by:

access to finances, lack of skills, access to public procurements, biased or forced competition,Labor Law, access to the united market, access to EU programs, late payment, access to inter-national markets, access to information and advice accessibility, instable world economy andenergy expenses, definition of the small and medium enterprises. This list of problem, with cer-tain additions which are result of the local ambience, can occur in Macedonia, as well.

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Darko Kamev, from the MacedonianChambers of Commerce (MCC) is ap-pointed representative in Great Britain,

promoter who will affirm and increase collabo-ration between Macedonian and British compa-nies. -Appointing of Darko Kamev as our repre-sentative in Great Britain is a result of our incre-ased efforts for our products export on the in-ternational market, as well as flow of touristsfrom Great Britain and tourists from other devel-oped countries of EU, stated Venko Gligorov,president of MCC. - There are couple touristoperators in Great Britain , which organize tou-rist arrangements for Balkan countries, andMacedonia is not found in their maps- and wewant to turn this situation in our favor.

Darko Kavel lives and works in London formore than 15 years, and his specialty is market-ing and establishing of business relations. Hehas wide circle of business friends in GreatBritain and has experience in the internationalbusiness relations.

Recently, representatives of companiesfrom the new formed Catering chamber (CC)within MCC visited Great Britain and made con-tacts with British tour operators. Also, they hadinformal meeting with Macedonian ambassador

in Great Britain - Marija Efremova. CC makesefforts for attracting over 2000 brutish tourists inone year.

- Macedonia offers natural and cultur-

al-historic rarities. Our artificial lakes and natu-ral lakes, mountains, hotels, churches, monas-teries, mosques as well as the opportunities foralternative tourism, speleological and huntingclubs will be presented, stated Ognjan Cigov-ski, president of CC.

MCC will use part of the financial fundsfrom the British embassy in Skopje, to bring thebest tour operators from Great Britain, and toacquaint with CC members and the opportuni-ties that offer Macedonia for Great Britainstourists.

According to CCs survey for British tourist-s visit in Bulgaria, British tourist is needed fulltourist package starting from airplane tickets ,hotel accommodation, transportation from andto the airports, sport and leisure activities andfun. For them, it is very important the country to

have charter airplane flights from and toLondon, as well as their time to be fulfilled withwide range of activities. At the recent meeting ofMCC with the governmental team, headed byPrime MinisterNikola Gruevski, MCC required

the government to make efforts for maintainingthe opening of charter flights from Skopje toLondon and some other European capitals.MCC made contacts, also, with British BusinessGroup in Macedonia and there is principal ac-cordance for lobbing and negotiations for inclu-sion of low budget European companies in Ma-cedonia.

Attracting of increased number of foreigntourists in Macedonia has multiple meaning andgaining. Apart from the intensified economicactivity of tourist- catering capacities, touristsare the most serious candidates for investmentin Macedonia. - In order to invest in Macedonia,it is necessary one to meet it better and to getto love it. Foreign business man are neededlocal partner with whom they can realize theirbusiness ideas and projects, says VenkoGligorov.

- Tourism may be in the first phase of theprocess for accelerated foreign investments, inthe rank of 100.000 euro to couple of millioneuro per business.

Intellectual property rights in Macedonia, inthe field of pharmaceutical industry, mainly,are respected and in this field the misusage

percent is smaller. Directive is estimated asexcellent, but it is recommended to have higherinspection controls, is the conclusion of the par-ticipants in First Conference for economic valueand the importance of industrial property rightsin pharmaceutical industry in Republic ofMacedonia. Conference had been organized bythe Faculty of pharmacy in collaboration with

the Faculty of law, Iustinianus I, within theUniversity- ss. Cyril and Methodius in Skopje.Conference focusing related to technologytransfer, patenting, trade marks, and industrialproperty protection in pharmaceutical industry.These fields are of great importance for devel-opment of new technologies, which are mainprecondition for attracting foreign investments.

Foreigners and what we look for foreigndirect investments, we will never achieve if

intellectual property rights are not respectedconsiderably. As much we respect, as much willresult in foreign investments. We have excellentlegislation, but what is missing is its enforce-ment in practice. There are still violations ofindustrial property rights, underlined professorJadranka Dabovik Anastasovska from theFaculty of law.

- She appointed the case of violat ionof the popular medicine for headache, cafetin,

which is recognizable brand name of Alkaloidas example of industrial property rights viola-tion.

Lawyer Valentin Pepeljugoski said that, inpharmacy field the trade marks forging havesmaller percent.

- Our forgers dont have funds toinvest in making generic substances which arenot compatible to the worlds standards. Mostly

forged are drinks, textile industry, cosmeticswhich have some common aspects with thepharmaceutical houses, said he.

Pepeljugoski added that there are cases ofviolation which, still, are not having effective

decree and cannot be discussed, but he namedthe agreement for medicines phenobarbitonand Phenobarbital.

- Intellectual property rights protectionin our country is at very low level. A positivestep is made. Inspections has started to workmore on terrain to that we have certain positiveresults, but in the medicines field we havemore illegal import of medicines, which meansviolation of intellectual property rights byautomatism, said Pepeljugoski.

General director of Alkaloid, ZivkoMukaetov, estimated that in this domain things

are getting better compared to the last years,both from intellectual property aspect and ofaspect of illegal import and export of medicine.-We reached the minimum at the present time-said Mukaetov.

The head of Faculty of pharmacy, LjubicaSuturkova stated that in Macedonia, genericmedicines are slightly protected and t are pro-duced by all home pharmaceutical companies.

MCC WITH THEIR REPRESENTATIVE IN GREAT BRITAIN

FIRST TASK - MACEDONIAON ENGLISH TOURIST MAP

- There are couple major tour operators in Great Britain, which organize tourist arrangements forBalkan countries, and Macedonia is not placed on their tourist maps- and we want to turn thissituation in our favor

CONFERENCE FOR INDUSTRIAL PROPERTY RIGHTS FOR PHARMACEUTICAL INDUSTRY

ADVANCED INSPECTION CONTROLS- BETTER PROTECTION OFINTELLECTUAL PROPERTYTransfer and development of new technologies, patenting, trade marks and industrial propertyprotection in pharmaceutical industry is one of the main preconditions for attracting foreigninvestments

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1. JOHNSON MATTHEY TO START TO BUILD IN TWO TO THREE WEEKS (****)

2. TUS OPENS SUPERMARKET IN SHTIP (*****)

15.05.2008 THURSDAY

The entry of the Slovenian trade chain Tusinto the Macedonian market is undoubtedly thetop news in all printed media issues today. Thesupermarket in Stip is built according to the

highest European standards and is the first projected chain of 20 supermarkets, which in thefollowing five years this Slovenian companyplans to build in Macedonia. According to com-pany`s director, Mr. Aleksandar Svetelsek,this supermarket will offer 14.000 products atcustomers` disposal and there are productswith available prices for rich people as well asfor people with less money. It is smart toinvest in Macedonia because it is a country withpotential, which has a need of foreign invest-ments. We are interested of investing, but thebureaucracy is a problem- Mr. Svetelsek says.The Slovenian trade giant plans to completethe supermarket in Kumanovo, and next yearthe supermarkets in Skopje, Bitola, Gevgelijaand Strumica would be finished as well.

This year, Macedonia will supply approxi-mately 60 percents of the needs for corn fromdomestic production, whilst the rest will beimported from Bulgaria, Romania and Ukraine,newspapers inform. There will be no importfrom Serbia because of Governments ban abean of corn not to be exported from the coun-trys borders. The great demand for bread corn

will continue in the following years and as aresult many countries are starting negotiationsfor their supplies for 2009 and 2010. Accordingto the Ministry of Agriculture, there is no room

for panic for now since all countries from theregion are acquainted of our needs. - Our mainproblem is that with the domestic corn we donot meet the requirements. The good thing isthat, this year, 30 percents more than envis-aged corn fields were sowed.

Newspapers eagerly expect the start of theconstruction of Johnson Matthey`s plant, whichaccording to the strategic planning manager ofthis British company, Mr. Colin Jeffrey, shouldhappen in two to three weeks. Jeffrey explain-ed that they are entering the final phase of thenegotiation process with the Governmentregarding the location in the industrial develop-ment zone Bunardzik. According to him, thefacilities should be completed by October orNovember this year and the production of cata-lysts should start in May, 2009. The parts forthe motor industry that the plant in Skopje isgoing to manufacture will be placed exclusivelyon the European market.

Today`s newspapers announce the biddingfor electricity night surpluses for the periodbetween 19 and 25 May this year. According toMEPSO, 2450 megawatt hours of electricity will

be offered on sale at initial price of 28.98 europer megawatt-hour. The price was set by theEnergy Regulatory Commission. All interestedcompanies traders, direct consumers from

the country and transmission system operatorsfrom the region can submit offers.Dnevnik conveys World Bank approved

two loans for development projects inMacedonia in total amount of 135 million dol-lars. The first credit in amount of 110 milliondollars has payment deadline of 20 years withfive-year grace period and is projected for con-struction of regional and local roads. The cred-it in amount of 25 million dollars with paymentdeadline of 17 years and five-year interest freeperiod will be used for Government support forimprovement of the business climate and pub-lic sector efficiency.

Banking sector includes the news for ex-panding the business networks of two banks.Namely, Ohridska banka has opened newbranch in Kumanovo, while the new branch ofInvestbanka is located in the City ShoppingCentre in Skopje. Komercijalna banka, on theother hand, enlarges service palette by introdu-cing Drive Up ATM, which is the first ATM ad-justed for drivers of motor vehicle in Ma cedo-nia.


DNEVNIK

p.4 JOHNSON METTY GIVES MONEY TO ALL POLITICAL PAR-TIES

p.7 CORN IMPORT TO 2010 IS NEGOTIATEDp.7 EU RECOMMENDS CLOSE MONITORING OF THE PRICESp.7 TWO BANKS WITH NEW SUBSIDIARIESp.7 TUS OPENS SUPERMARKET IN SHTIPp.7 CREDIT FOR ROADS FROM WORLD BANK

BIZNISp.2 THE FUTURE IS IN THE WINE TOURISM AND THE ORGANIC

WINEp.3 CATALYSTS PRODUCTION STARTING MAY 2009p.3 2,450 MEGAWATTS OF NIGHT ELECTRICITYp.3 AS OF JUNE - DIGITAL TELEVISIONp.11 LOSS ON THE START OF THE YEARp.11 CONVERSION OF PRIORITY SHARES TO BE PREFORMEDp.13 MBI-10 INCREASED BY 9.89 INDEX POINTSp.13 REALIZED 17.4 MILLION DENARS THROUGH 165 TRANSAC-

TIONSp.14 STOPANSKA BANKA BITOLA WITH INCOMES OF 217 MIL-

LIONS OF DENARSp.14 SHARE BUY-BACKSp.14 NON-TRADE TRANSFERS OF LISTED COMPANIES` SHARESp.16 THE PRICE OF THE OIL REACHED 127 DOLLARS PER BAR-

RELp.16 OHRIDSKA BANKA OPENS NEW SUBSIDIARY IN KUMANOVOp.16 FOR THE FIRST TIME IN MACEDONIA DRIVE UP ATMp.16 NEW BRANCH TO BE OPENED IN SKOPJE

UTRINSKI VESNIKp.9 MACEDONIA MUST REDOUBLE PRODUCTION OF WHEATp.10 JOHNSON MATTHEY TO START TO BUILD IN TWO TO THREE

WEEKSp.10 NEW SUBSIDIARY OF OHRIDSKA BANKA IN KUMANOVOp.10 SLOVENIAN TUS FINALLY ENTERED MACEDONIA THROUGH

STIPp.10 KOMERCIJALNA BANKA PLACES THE FIRST DRIVE-UPTELLER MACHINE

VECERp.1 JOHNSON MATTHEY STARTS CONSTRUCTION OF THE FAC-

TORY

p.6 SALE OF NIGHT ELECTRICITY SURPLUSESp.6 OHRIDSKA BANKA WITH A NEW SUBSIDIARYp.6 STUDENT CREDITS UP TO 10.000 EUROp.7 JOHNSON MATTHEY STARTS CONSTRUCTION OF THE FAC-

TORYp.7 SUPERMARKET FROM THE BRAND TUS IN SHTIPp.7 DEADLINE EXTENDEDp.7 22 PUBLIC ENTERPRISES LEFT WITHOUT ELECTRICITYp.7 VIP WORKS WITH LOSS

VREMEp.1 COOKING OIL IS NOT AS UKRAINIAN AS IT WAS THOUGHTp.5 SLOVENIANS TO BUILD 20 SHOPPING CENTERSp.5 UKRAINIAN COOKING OIL IS NOT AS UKRAINIAN AS IT WAS

THOUGHTp.7 OHIS TO TAKE CHLORINE CISTERN

VESTp.3 EU: DIMINISHED EXPORT RISKS FOR MACEDONIAp.6 JUST IN CASE WE GIVE DONATIONS TO EVERY PARTYp.7 WORLD BANK APPROVES 100 MILLION DOLLARS FOR

ROADS RECONSTRUCTIONp.8 SLOVENIAN ENGROTUS OPENED THE FIRST SUPERMAR-

KETp.8 STOPANSKA BANKA AD SKOPJE INTRODUCES NEW FINAN-

CIAL SOFTWARENOVA MAKEDONIJA

p.2 THE INVESTORS WITHOUT COMMENT FOR THE BUSINESSCLIMATE WITH GREECE

p.3 GREECE IS AGAIN BLOCKING THE RAILWAY TRAFFICp.8 CABLETEL STARTS WITH PACKAGE OFF 44 DIGITAL TV-

CHANNELSp.8 STABILE STOCK EXCHANGE, MBI-10 INCREASED BY 0.17

PERCENTp.8 EU: MACEDONIA WITH AN OBVIOUS PROGRESS IN THE

ECONOMY

p.8 OHRIDSKA BANKA OPENS SUBSIDIARY IN KUMANOVOSPIC.1 MINEKO TO RUIN THE HEALTH OF VELES CITIZENSp.6 CABLETEL WITH DIGITAL TELEVISIONp.6 TUS OPENS FIRST MARKET IN STIPp.7 JOHNSON MATTHEY STARTS BUILDING IN BUNARDZIK


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1. ERSTE BANK ENTERS MACEDONIA (***)

2. SLOVENIAN WINE KNIGHTS IN MACEDONIA (****)

16.05.2008 FRIDAY


The visit Knights of European Wine Orderseated in Slovenia, who paid visit to winerySkovin, was the topic to attract the greatest inter-est in today editions of printed media. All newspa-

pers convey the assessment of Slovenian WineKnight Karl Recer, after testing the mostrenowned wines produced by Skovin, that in thelast twenty years, Macedonian wine increased itsquality and does not falls behind top Frenchwines. However, the purpose of the return-visit ofWine Knights is establishment of greater cooper-ation in this area between Macedonia and Slove-nia, as well as decent presentation and sell of Ma-cedonian wines on Slovenian market.

Buying of the Greek operator OTE bytelecommunications giant Deutsche Telekom, istop news in today editions as well. This is inspiredby the fact that this deal makes Deutsche Telekomowner of 92% of the mobile telephony market in

the country. What will be the reaction of theCommission for Protection of Competition,regarding the content of the decision which anti-monopoly commission should prevent the returnof telecommunications monopoly in Macedonia,will be known next week, since the information

from Deutsche Telekom will be submitted to CPC.This company is also related to rebranding ofMakedonski Telekomunikacii, with more informa-tion in the interview that Vecer made with Nikolaj

Meyer, Makedonski Telekom CEO.Transfer of technology, patenting and protec-

tion of industrial property in the area of pharmacyis the basic condition for attracting of foreigninvestments in the country. In this sector there isminor percent of piracy, despite this, the protec-tion of intellectual property is still low. These aresome of recommendations stated by experts onthe first conference for economic values andimportance of the right of industrial property forthe pharmaceutical industry in Macedonia, whichwere conveyed by printed media. According to thehead of Alkaloid, Zivko Mukaetov, things areimproving from the aspect of intellectual propertyand illegal import, confirmed by the example of

Alkaloid`s golden brand Cafetin.Macedonia takes 75th position out of 178

countries in the world according to economic free-dom, is said in World Bank`s report DoingBusiness, which was conveyed by some papers. According to the report, Macedonia is on of the

ten countries from Western Europe and CentralAsia with conducted reforms for freedom of busi-ness. From the Balkan states, Slovenia takes 55thplace, Serbia 86th, Croatia 97th, Greece 100th,

Bosnia-Herzegovina 105th and Albania 136thplace.

EU Ministers of Finance in Brussels advisedtheir Macedonian counterpart Trajko Slavevskitoy pay watchful attention on global risks that canoriginate of the possible further price growth ofraw material and energy, printed media conveyed.EU Ministers also recommended tracking of risksfrom possible reduction of the demand forMacedonian export from countries that are impor-tant markets for Macedonia.

Erste Bank enters in Macedonia, is the titleused by Dnevnik to mark the finalization of thenegotiations between Invest Banka and Steier-markische Bank und Sparkassed AG, in which

Erste Bank owns 25% of shares, for sale of thestrategic portion. Proposed price per share is 151euros, and the whole package costs 38.5 millioneuros.

DNEVNIK

p.1 ERSTE BANK ENTERS MACEDONIAp.10 WINE KNIGHTS IMPRESSED BY MACEDONIAN WINEp.11 BANKS EARN FROM THE MONEY OF THE DIASPORAp.11 DEUTSCHE TELEKOM WILL OWN 25% OF COSMOFONp.11 HELLENIC TO INCREASE THE INCOMESp.11 KOMERCIJALNA BANKA INSTALLED ATM FOR DRIVERS

BIZNIS

p.1 MACEDONIA IS 75TH ACCORDING TO ECONOMIC FREE-DOM

p.1 INFLATION LURKSp.1 SKOVIN TO BE THE HOST OF 47 WINE KNIGHTSp.3 IN MARCH, MORE TOURISTS, BUT LESS ACCOMMODA-

TIONSp.4 CULTURE`S AFFIRMATION THROUGH CULTURAL VALUESp.9 INFLATION LURKS

p.12 ALLOCATION OF LAST YEAR`S PROFIT OF MKD 16.5 MIL-LION

p.12 TUTUNSKI KOMBINAT-PRILEP WITH LOSSESp.13 UNI BANKA WITH BANKING INCOMES OF 309.5 MILLIONS OF

DENARSp.13 INCREASED GAIN FOR 108 PERCENTSp.14 GROWTH OF ALL THREE MSE INDICESp.14 STOCK TRADE VALUE REACHES 12.4 MILLION DENARSp.15 STEIERMARKISCHE BANK TO PURCHASE INVESTBANKAp.15 THE SHARES OF ZITO LUKS WITH THE BIGGEST INCRE-

ASE OF THE PRICEp.16 THE PRICE OF THE OIL REDUCES FOR NEARLY TWO DOL-

LARS

UTRINSKI VESNIK

p.10 THE CONSTRUCTION OF JOHNSON MATTHEY`S FACTORYFAILS TO START BEFORE THE ELECTIONS

p.10 SLOVENIAN WINE KNIGHTS IN MACEDONIAp.10 APPROVED OTE`S SALE

VECER

p.1 T-HOME WILL BRING COMMUNICATION, KNOWLEDGE ANDFUN

p.1 BRAND NAME ALKALOID LEADER IN THE REGIONp.2 BRAND NAME ALKALOID- LEADER IN THE REGIONp.6 THE HEATING PRICE RISE UP IN FRONT OF THE CONSTITU-

TIONAL COURTp.6 C MARK FOR FACILITATED TRADEp.7 T-HOME WILL BRING COMMUNICATION, KNOWLEDGE AND

FUN

VREME

p.7 MACEDONIA IS ON THE 75TH PLACE WITH FREE MARKETECONOMY

p.7 RWE GAINING REDUCES FOR 48 PERCENTSp.7 EURO APPRECIATES

VEST

p.5 DEUTSCHE TELEKOM WILL BUY COSMOFON AS WELLp.6 YOU HAVE THE BEST WINE IN EUROPE

NOVA MAKEDONIJA

p.5 EVERYBODY DISSOCIATE THEMSELVES FROM JOHNSONMATTHEY`S MONEY

p.8 MBI-10 CONTINUES TO INCREASEp.8 SDSM: VMRO-DPMNE RUINED TUTUNSKI KOMBINATp.8 DEUTSCHE TELEKOM WILL DEFEND ITSELF IN FRONT OF

KZKp.8 INVESTBANK TO OPEN NEW BRANCH OFFICE IN GTCp.9 NEW RECORD 127 DOLLARS PER BARREL

p.9 ISRAELI GIANT BUYS DONCAFE IN MACEDONIA

SPIC

p.5 A MONOPOLY OF MOBILE OPERATORS IN THE OFFING

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1. AUSTRIAN BANK TO OFFER 38.5 MILLIONS OF EUROS FOR INVESTBANKA (*****)

2. 27 MILLION EUROS FOR THE GOVERNMENT FORT TWO YEARS (****)

17.05.2008 SATURDAY


The news that Invest bank is on sale is topsubject today on the printed media. This informa-tion has officially been confirmed the bank man-agement, from where they say that they are in

intense negotiations with the Austrian Steiermar-kische. The Austrians are interested to buy 100percents of Invest Banka, but according to the offi-cial information, it is possible that only 80 per-cents from the capital of the bank will be sold inthe first packet. The shares are selling with a priceof 151 euros per a security, and the Austrian bankis prepared to pay 38.5 millions of euros, in orderto get the strategic control upon Invest Banka.Steiermarkische is founded in 1825 with a siege inGraz, Austria. It is second big member of theAustrian savings banks group, managed by Erstebank AG. Erste bank AG owns 25 percents fromSteiermarkische. Conclusively with 31st ofDecember, last year, Steiermarkische has a total

capital of around 12.2 billions of euros, 170branch offices and around 1 650 employees inAustria. The Macedonian Invest Banka is foundedin 1992, and it disposes with a total capital of aro -und 105 millions of euros, 21 branch offices thro -ughout the country and over 150 employees

Todays newspapers convey the decision ofthe Board of Directors of the Macedonian Telecomto suggest the Assembly of the shareholders apayment of a dividend for 2007. The Board sug-gests for 50 percents of the gain for 2007 to bepaid, amounting around 146 millions of euros. Forpayment of the dividend for the last year, 80.6 mil-lions of euros have been projected. The value ofone share is 56.71 denars. The government and

Madjar Telecom will split a dividend of 79.53 mil-lions of euros. In accordance with the percentage

owned by Macedonian Telecom, the governmentwill get 27 millions of euros. Around 2.3 percentsof the shares are in free sales and are owned bynatural persons, and 1.9 percents is in the hands

of the IFC, reports Vecer from today.Utrinski vesnik conveys: Deutsche telecom

that is boss of our T Mobile, has bought 25 per-cents from the Greek OTE, which throughKosmote is owner of our second mobile operatorin the country, Kosmofon. This means that in theownership of Deutsche telecom could be the twomobile operators holding together 92% of themarket in the country. For that, the Commissionfor protection of the competitiveness could pre-vent the creation of monopoly, the director, ChedoKralevski claims: we can proclaim that concen-tration as forbidden i.e. incompatible with the lawsin Macedonia, because with this merge a newmonopoly could be created on the market.

The International financial corporation IFCwill buy part of the shareholding capital of theAustrian company Soravija, and in this way it willsupport several investments in the sector of com-mercial real estate in Macedonia, Bulgaria, Roma-nia and in Serbia, conveys Dnevnik. Yesterday theIFC informed that they have signed an agreementfor cooperation with Soravija for the support of thecons truction of business area in the Balkan inorder to create better conditions for work of thecompanies in the region. This is first investment ofIFC in a company in the area of the real estatesbeing performed on the Balkan. According to thefinancial sector of Soravija, Martin Oneberg, thisdeal represents a beginning of very important

strategic partnerships with IFC, which is memberof the World Bank.

The Vardar Croatia Company that provideslife insurances, has renamed itself into Croatia in-surance life. The Croatian insurance company isa dominant shareholder in the Macedonian com-

pany. Croatia insurance life has announced newservices, among which the first is childrens sav-ings insurance. In the company, they expect a sig-nificant increase of the life insurance in Macedo-nia.

In todays newspapers you will read for thesuccess achieved by the Macedonian wine leaderof this years agro fair in Novu Sad. Merlot specialselection, Barik limited edition, Cabaret Sauvig-non, Tga za Jug and Zolta rakija with 45 percentsof alcohol were rewarded with golden medals onthe fair, while Temjanka, Cabaret special selecti-on, Kratoshija and the new products that will soonshow on the market, White and Red Aleksandrijahave been rewarded with silver medals. Tikvesh

will receive the reward for the most desired part-ner in the region, in Belgrade on the 25th of June.

After the two day consequent increase of theMBI 10 index, the stock market has marked adecrease in the Friday, which statistically looking,is becoming unwritten rule. The overall turnoveramounted 20.3 millions of denars, and theturnover had been performed through 154 trans-actions. MBI 10 has lost 1.05 percents with a fallof 61.5 index points, ending up with 5.806 indexpoints. The most solvent has been the share ofKomercijalna banka with 5.1 millions of denars ofturnover, but with a fall of 0.76 percents, endingon 5 952 denars.

DNEVNIK

p.7 28 MILLION EUROS DIVIDEND FOR THE GOVERNMENT

p.7 VIP WITH LOSS OF 6,9 MILLION EURO

p.7 VARDAR CROATIA TO BE REBRANDED

p.9 RAILROADS TO GREECE STILL BLOCKED

p.9 ERSTE BANK AND INVESTBANKA ARE CLOSE TO BUY-OFF

AGREEMENTp.9 IFC TO HELP WITH INVESTMENTS ON THE BALKANS

ACROSS SORAVIA

UTRINSKI VESNIK

p.1 THE WINES OF THE WINERY TIKVESH HAVE WON THE

CHAMPIONSHIP CUP

p.9 TIKVESH HAVE WON THE CHAMPIONSHIP CUP ON THE

FAIR IN NOVI SAD

p.9 HOW IS THE MONOPOLY IN THE MOBILE TELE-PHONY

GOING TO BE RESOLVED?

p.10 AUSTRIAN BANK TO OFFER 38.5 MILLIONS OF EUROS FOR

INVESTBANKA

p.10 NEW PRE PAID OFFER FOR THE VIP SUB-SCRIBERS

VECER

p.1 AUSTRIANS TAKE OVER INVESTBANKA

p.6 AUSTRIANS TAKE OVER INVESTBANKA

p.6 27 MILLION EUROS FOR THE GOVERNMENT FORT TWO

YEARS

p.6 USJE BUYS NOCTURNAL ELECTRICITY SURPLUSES

p.6 BLOCKADE OF THE RAILWAYS CONTINUES

p.7 SORAVIA EXTENDS IN THE REGION

VREME

p.1 NOBODY KNOWS WHETHER THE SALAD OIL IS TOXIC

p.6 FROM MACEDONIAN COWS TO BE MILKED ORGANIC MILKp.6 INVESTBANKA IN THE HANDS OF AN AUSTRIAN BANK!?

p.7 NOBODY KNOWS WHETHER THE SALAD OIL IS TOXIC

p.7 VINE-GROWING BACK ON THE STAGE

p.7 TELECOM WILL DIVIDE A DIVIDEND IN THE AMOUNT OF 73

MILLION EUROS

VEST

p.9 SHARE BOUNCES TO 657 DENARS

p.9 TELECOM WILL ALLOCATE DIVIDEND IN JUNE

p.9 AUSTRIAN BANK TAKES OVER INVESTBANKA

NOVA MAKEDONIJA

p.8 ERSTE BANK TAKES OVER INVESTBANKA

p.8 MACEDONIA EXPORTS SOFTWARE

SPIC

p.5 TELECOM DOES NOT ADVERTIZE POLITICAL PARTIES

p.5 CRVENKOVSKI: THE NATIONAL BANK LONE AGAINST THE

INFLATION


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GLOBUS

Pg.28 EXCAVATOR IN REK RUINS RULING PARTIES` RATING

There is no doubt that ruling party`s Achilles heel has at least three seri-

ous points when it comes to defending of the achievements in period 2006-

2008, energy, inflation and health. The disappointment in these three areas,

and why not the fear of the population, shifts voter`s point of view, makes

orange book 100 steps (including the upgrade), to be insufficient in its will

be variation to prevent changing of propaganda notes with serious econom-

ic and social analysis.

From Bitola point of view, the situation in REK Bitola becomes especial-

ly critical point that will defend the position of the powerful energy lobby with-

in the frames of VMRO-DPMNE this lobby will either be unveiled as inca-

pable to produce sufficient kilowatts for country`s necessities, so it will be

compensated by import of more expensive strategy of dependence, and also

as a prove of one tendentious and immature policy, or it will be shown as

more sophisticated option of forced spending of citizens` money by the pub-

lic sector.

KAPITAL

C.12 MACEDONIA HAS GOT SECOND FIXED OPERATOR - ONTEL

Finally, competition in the fixed telephony. Under the brand Ontel, from

the beginning of the week starts to function the long announced second fixed

operator in the country, under the hat of Ontel, and in the ownership of

Telekom Slovenia.

C.13 GREEK EMBARGO FOR THE MACEDONIAN TRAINS, THE

COMPANIES TO HAVE HUGE DAMAGES

The railway traffic towards Greece remains blocked for the Macedonian

cargo trains. The management of the Greek railway, has again like in the lastvisit of Skopje, been persuading that there is no political background in the

blockade, but the development of the events does not say the same thing.

C.13 WITH THE BUSINESS OFFER OF PROCREDIT BANK AND

EUROIMPEKS TO GET NEW PEUGEOT

Procredit bank with cooperation of Euroimpeks the general importer of

Peugeot in Macedonia have represented the joint offer for crediting, special-

ly created for the purpose of the businesses intended for supplying vehicles

from the Peugeot brand.

C.30 THE ENTREPRENEUR IS THE RULER OF HIS/HERS FUTURE

The entrepreneur, mover of the development, has been the motto under

which this years annual European day of the entrepreneur has been held in

Macedonia. The event was held on the 9th of May, on the day of the

European Union, as a central part of the International conference for entre-preneurship, innovations and regional development lasting four days, from

the eight until the eleventh of May and has encompassed three cities

Prilep, Skopje and Ohrid.

C.34 WE INVEST OVER MILLION OF EUROS IN NEW PLANT

Recently, Skovin dislocated all of the production in a completely new

plant.

Tell us more about this investment, from when it is prepared, how much

it is invested and which were the motives for the investment?

C.35 THE GOLD IS MAGNET for the investors in the world, but not in

Macedonia

Towards the middle of March this year, the gold has reached the higher

price in the history 1 000 dollars per ounce (1 ounce=31 gram). The con-cern about the recession in USA moves the investors to focus on the goods

such as the gold, as an alternative of the company shares and the weak

American dollar.

C.46 THE INCOMES FROM THE SALES TO DECREASE FOR 47%

In the first trimester of this year, Makletrol has realized a positive finan-

cial result. The profits amount 582 thousands of euros( around 35.7 millions

of denars), which is opposed to the same period last year when a heavy lost

had been realized weighing 261 thousands of euros (around 16 millions of

denars).

C.50 PROFITS FROM THE CONCRETE DECREASED FOR 38.6%

The profit from the construction company Beton, has decreased for

38.6% in the first quarter, and now it amounts 91 thousands of euros (around

5.57 millions of euros), in relation to the same period last year when it

amounted 148

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