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BDF is the platform that brings together actors across sectors, borders, regions, and levels of decision-making to facilitate collaboration, develop regional policy, and advance growth and competitiveness in the Baltic Sea Region. Baltic Development Forum follows the principles of “good foundation governance” outlined by the Danish Business Authority.

See more on governance and business at: https://godfondsledelse.dk/english.

BDF’s vision is to make the Baltic Sea Region one of the most dynamic, innovative and competitive growth centers in the world. BDF’s mission is exploring advance growth and competitiveness in the Baltic Sea Region through public-private partnerships among business, government and academia. 

BDF’s history

Baltic Development Forum was founded in 1998 by the former Danish Minister for Foreign Affairs Uffe Ellemann-Jensen, still serving as BDF’s Honorary Chairman. Baltic Development Forum was established in light of a perceived need for a platform for the development of the Baltic Sea Region which gathered not only stakeholders from politics, but also from business, academia and media.

The BDF Summits organised annually since 1999 in cities around the Baltic Sea, serve as the primary meeting place for regional coordination and policy development for Baltic Sea Region affairs. Other BDF flagship products include the annual State of the Region Report which is a key factor in BDFs increasing recognition as a regional think-tank. 

The Baltic Sea Region

The Baltic Sea Region (BSR) is comprised of 11 nations and more than 100 million inhabitants. BDF includes in the Baltic Sea Region countries like Estonia, Latvia, Lithuania, Denmark, Finland, Iceland, Norway, Sweden, Germany, Poland, and Russia’s Northwestern region Kaliningrad.

The BSR features stable democracies, institutional structures favorable to business, proximity of markets, good infrastructure, high levels of education, strong industrial traditions and a shared history of political co-operation as well as trade. The framework for cooperation was further strengthened in 2009 with the launch of the EU Strategy for the Baltic Sea Region – EU’s first macro-regional strategy. Combined, this creates a unique opportunity to establish the Baltic Sea Region as one of the leading growth centers in the world.

More on BDF at: http://www.bdforum.org/news/   

Tal issues under discussion

Brexit, Trump, the refugee crisis and a changing global economy are challenging European issues. Thus the seminar (organised by BDF and the Nordic Council of Ministers) tried to find answers to most urgent issues concerning BSR’s states: how to tackle existing challenges through stronger regional cooperation; how small, open economies in the Nordic-Baltic region could respond and influence the decisions for “future of Europe”; and how to find “a common voice” uniting Nordic-5 and Baltic-3 countries? 

Welcome address was presented by Dagfinn Høybråten, Secretary General of the Nordic Council of Ministers followed by a keynote by Dr. Christian Ketels, Principal Associate from Harvard Business School and co-author of “The Future of Europe and Globalization: Where is the Voice of the Baltic Sea Region?”

Five Danish ambassadors in some BSR states addressed the issue from their respective points of view: Mette Kjuel Nielsen in Iceland; Hans Brask in Latvia; Dan E. Frederiksen in Lithuania; Torben Brylle in Norway and Ove Ullerup in Sweden.  

The debate was moderated by Per Carlsen, Senior Advisor, Baltic Development Forum, Ambassador (ret.). See more in: http://www.bdforum.org/news/  

BSR’s states reflection on political economy in the region

Seminar panelists (with the inspirational presentation by Dr. Ch. Ketels) provided a wide view on the role of political economy in the regional issues. Political approach is important and vital as it is mainly politicians that can make proper national decisions facing future affected by the European and globalisation “threats”.

Three main features are important in such political-economy decision-making: counties-regional competitiveness options; integration issues among Nordic-Baltic “divide”, and EU/global aspects in development.  What countries can do in this regard domestically to fit into modern EU/global challenges? The answers are within both political and economic domain: best, to marriage both into a “polit-econ” (PEs) decision-making process. 

Thus, among “domestic efforts”, the following three main directions in PEs shall be prioritized: a) re-assessing national development strategies to adjust to modern European and global challenges; b) finding “proper/successful” national steps/means/strategies to be included into national-global development planning; and c) re-evaluation the vital benefits of macro-regional collaboration (both within Nordic-5 and Baltic-3 states, as well as among them).

The European Commission has already made some efforts to help the member states in easing difficult PEs decisions: material on European Future, reflection paper on deepening EMU and papers on dealing with Brexit and other global issues. Therefore, domestic politicians simply cannot avoid taking new vital steps in the right direction. 

The BSR’s reaction is generally common: preferences of the EU Single Market, open trade and investment climate, strong nation-states in Europe, optimal collaboration in the BSR and support for common EU programs. 

Nordic model as an example

The main “organizational question” presently in Europe is: who is going to lead the EU’s integration and what could be the most optimal development model on the progressive path? Most optimal is a Nordic model, which can definitely influence “the course of future Europe”. Although not many EU states are able to install that system (due to historic, cultural, financial, etc. reasons), the model can form a background for implementing conditions to organise a common “Baltic voice”.

Bottom-line: the big role of politicians coped with strong and sustainable economies can pave the way… But that needs new kind of leaders knowing and seeing modern EU/global challenges and using national means to tackle them.

Five Danish ambassadors’ views prove that possible: thus Mette Kjuel Nielsen (Danish ambassador in Iceland) argued that politicians need “joint common language” in dialogue with a wide-public; the latter is evolving and adapting to new circumstances much quicker than the “old politicians” presently.

Hans Brask (Danish ambassador in Latvia) underlined that Nordic-Baltic connections are progressively developing in last years, e.g. through some “common” project as via-Baltica and rail-Baltica (the latter is co-financed by the EU). Besides, he argued, the Baltic States are very quick in “learning by good examples” from the Nordic states. 

Dan E. Frederiksen (in Lithuania) also praised the rail-Baltica project, which is both important for the Baltic States themselves and for increasing inter-connections with the rest of Europe. He mentioned as well the need to develop other projects of “mutual interest”, which would be of an advantage to the EU Single Market.   

Torben Brylle (in Norway) said that although Norway is not an EU member, the country does a lot for European integration in providing funds for interested partners and states. While not sharing all the principles of EU Single Market, Norway provides sufficient assistance to the Baltic States in R&D, investment education, culture, etc.

Ove Ullerup (ambassador in Sweden) underlined that Nordic-Baltic cooperation was a “strong mover” in making BSR “speak with one voice” in several sectoral policies: in security, tourism, environment, etc. He mentioned a positive example of a Danish-Swedish bridge construction connecting big Copenhagen with southern Swedish Malmo. Thus, Swedes want a similar closer connection routs with the Baltic States: common Nordic-Baltic approach shall be done at all costs, he concluded.

Certainly, the interests of small states shall be taken into consideration; but that doesn’t limit the politicians’ role and intentions in making new decisions. 

Stronger Nordic voice in the EU

What group of countries is going to have a say in the EU is not a rhetoric question: the issue at stake is a “model’s influence” for European integration process. “United Nordic” –if possible- could optimally bring the Nordic states closer to that leading role.

Presently, in view of Brexit, there are only two “big powers” in the EU, i.e. Germany and France. However, Germany is somehow hesitant to take a leading role due to some historic reminiscences…; and therefore Germany would gladly accept Nordic role.

But that is not an easy process: as some say at the seminar, it’s often good to “be Nordic” but even better to be Danish or Swedish… People still wish to belong to a state they love!

Definitely, macro-regional cooperation in Europe is important: there are already several such efforts besides the EU Baltic Sea Region Strategy, the first one in European integration: there are strategies for Alpine region, for Danube, Adriatic, and some more will probably come soon!    

Modern politicians need to match vision of realities, urgent necessity and available recourses to develop a new narrative for national political economy of domestic and European dimension.