1. Leadership and Reforms Mr. Stefan Sofianski, Mayor of Sofia, Former Prime-Minister of Bulgaria Presentation at MADAGASCAR GOVERNMENT LEARNING RETREAT ‘‘Good Governance and Private Sector-led Growth for Sustainable Development: Challenges and Perspectives’’ Antananarivo June 13-15, 2003

2. Leadership and Reforms Changing modalities of political leadership in Bulgaria 1990-2003

3. The Background Stable regime in the period 1944-1990 Close ally of the USSR; no aspirations for greater independence Privileged position in the relations with the USSR (cheap raw materials, loans, etc.) Perception of Russia and the USSR as liberators

4. The Start 1989: Avoiding the ethnic crisis Background: ethnic fears of the population The role of UDF and MRF: dialogue and new leadership style. Cooperative BSP leaders. The exploitation of the “ethnic issue” by the old elites in the 1990 elections

5. The Economic Breakdown Fear in 1990-1991 Administrative economy and the shortage crisis (Fall 1990) Reaching the political compromise (expert government of UDF and BSP) The political management of price liberalization and “shock therapy”

6. The Political Crisis Ousting the first anticommunist union (UDF) from power (1992) Revival of the communist elite (1994-1996) Employment of old leadership styles, methods and goals The social and economic crisis of 1996- 1997: party interest overriding vision of the future, political will and morale

7. Stabilization of the Political System: 1997 Launching reform ideas (governments of Stefan Sofianski and Ivan Kostov) Channeling public unrest into support for painful reforms; control of street pressure Converting dissatisfaction into political support Managing political change (resignation of BSP and preliminary elections)

8. 1998-2003: Good, Bad and Evil Good Achieving economic stability Initiating real, long-term oriented social and economic reforms Stabilizing the political system and maintaining the support of the public

9. 1998-2003: Good, Bad and Evil Bad Converting public support into political monopoly Fostering the perception of faultlessness among the political elite Using political power to achieve economic control

10. 1998-2003: Good, Bad and Evil Evil Corruption Locating party interests ahead of national interests Increasing potential of organized crime groups; political umbrellas Non-transparent political party financing

11. Leadership challenges New ideas and political vision = ? Is it possible to sacrifice the party for the benefit of the country? How to deal with corruption and preserve a favorable image? How to regain the confidence of people?