The presidential election that has been brought forwards to 31st May remains an open race. The two candidates running are Valdis Zatlers, director of the casualty and orthopaedic hospital in Riga and Aivars Endzins, former President of the Constitutional Court. The government coalition, which is supporting Valdis Zatlers, has the absolute majority in theory. However nothing is yet settled since the vote is a secret one; the 100 MPs might not follow the voting advice provided by their parties. The Latvians who are not called to vote on their choice with regard to the President of the Republic were invited on 25th May in the TV programme "What's new in Latvia?" on the channel LTV to choose between the candidates. Aivars Endzins easily won with 15,420 votes and 3,842 for Valdis Zatlers. If the first round does not lead to the election of one of the candidates a second round is organised 10 days later when new personalities may enter the arena.

On 22nd May 29 European countries - the 27 EU member states, Switzerland and Norway - voted a resolution on the European space policy providing for the first time ever joint strategic guidelines; "Until now the member countries of ESA had a space policy, there were national policies and community policies. Today we have rallied these three dimensions together in one common framework," explained ESA Director Jean-Jacques Dordain. This decision enables a better use of Europe's capabilities in space to the benefit of European citizens. The use of space for Europe's political goals in the areas of environment monitoring, communication, transport, civil security is a high point in this resolution. This policy might also lead to the writing of a common international relations strategy.

During the Competitiveness Council on 21st May European Ministers came to an agreement on the modification of the Consumer Credit Directive by introducing a maximum amount of harmonisation to the rules regulating consumer credit by guaranteeing a high level of protection for consumers. The latter will enjoy the same rights and be able to compare all European offers. The consumer credit market is estimated at 800 billion euro. The directive now has to be submitted for second reading in Parliament.

On 23rd May the Commission adopted three proposals aimed at modernising the rules governing admission to the occupation of road transport operator and access to the road transport market. The proposals provide for compulsory training for transport managers, an enforceable definition of cabotage which can be carried out within a Member State, and mechanisms for imposing sanctions across the national borders. The proposed regulations will reduce distortions of competition and improve transport operators' compliance with the provisions of social legislation and road safety rules. According to the impact assessment, the administrative costs borne by companies and the authorities could be reduced by as much as €190 million per annum. According to Jacques Barrot, the Commission Vice-President in charge of transport, "to enable the internal market to operate properly, our rules need to be clear, they must be uniform and they must be applied by all transport operators in all Member States".

"The sole means of achieving a formal agreement on energy, ratified by Russia, is to negotiate a new framework document, i.e. in the context of the new partnership and co-operation agreement" says the International Trade Committee in an own-initiative report by Godelieve Quisthoudt-Rowohl (EPP-ED, DE) adopted on 21st May. The current partnership agreement expires in December 2007 and negotiations on a new one have reached deadlock. The EU remains highly dependent for its energy on the Russian Federation, taking 63% of the latter's oil exports and 62% of its natural gas exports. The International Trade Committee has issued an appeal for constructive dialogue on economic relations between the European Union and Russia, an area overshadowed by recent disputes.

The European Ombudsman, P Nikiforos Diamandouros has pointed to the right of each European citizen to communicate with the European institutions in the 23 official languages and to receive a response in the language of his choice. He also insisted on the importance of establishing clear rules for generalised communication with citizens such as for example via internet sites. With regard to internal communications within the European institutions the Ombudsman acknowledges that the use of 23 official languages seemed impossible and that it was necessary therefore to privilege "working languages."

The President of the Italian Council Romano Prodi re-iterated his attachment to the Constitutional Treaty when speaking to MEPs on 22nd May and said that he refused a low-rate compromise. "We must aim for a top-rate compromise," he declared adding, "I think that we do not necessarily all have to move forwards at the same time." He quoted "vital elements that had to be protected" such as a stable Council, the extension of the vote to the qualified majority, the abandonment of the intergovernmental method and the appointment of a European Foreign Minister. With regard to the latter he said,"We are afraid of calling it that but do we realise that the price we shall have to pay if we don't have one will be high? All we need to do is to note our absence in the Middle-East. It is about our responsiblity with regard to history."

On 23rd May the Council of Europe and the EU signed an agreement to promote mutual co-operation. The institutional framework aims to enhance co-operation in areas such as human rights, the state of law, democracy, culture, education and social cohesion. It confirms the Council of Europe's role and also stipulates the guarantee of coherence between community law and Council of Europe conventions in the areas of human rights and fundamental freedom.

In 2006 France remained Germany's main economic partner.It was the target of 9.6% of German exports to a total of 86.1 billion euro. France lies ahead of the USA (8.7%-78 billion euro) and the UK (7.3%-65.3 billion euro). It has been Germany's leading economic client since 1961. It also remains its main supplier. 8.7% of German imports (63.5 billion euro) come from France, ahead of the Netherlands (8.3%-60.5 billion euro). Germany achieved the position of the world's leading exporter last year for the fourth year running. 62.3% of its exports (558.5 billion euro) went to EU countries, 42% of which to the euro zone. The structure of Germany's foreign trade has changed little in comparison with 2005. Amongst the 15 leading clients who take up 73.3% of German exports 11 are EU countries. However China has replaced the US as Germany's third biggest supplier.

In a declaration during the 8th session of the Forum for a Partnership with Africa that took place on 22nd and 23rd May in Berlin, Danish Prime Minister Anders Fogh Rasmussen indicated the vital role of women in development and pointed with satisfaciton to the new leadership taken up by women in Africa notably with Ellen Johnson Sirleaf as head of state in Liberia and Louisa Diogo in Mozambique. He deplored the lack of education and training amongst African women and appealed for equal opportunities between men and women, in so-called "conjoint leadership." The G8 summit in December next that will take place at the same time as that of the African Union will include the idea of parity between men and women as part of its priorities.

After ten years in power outgoing Prime Minister Bertie Ahern won the general elections on 24th May and will start his search for allies for a third term in office as head of government. His party Fianna Fail won 78 out of 166 seats in the Dail Eireann, the lower Chamber in Parliament. Hence he confirms his lead over his closest centre-left rival, Fine Gael led by Enda Kenny who won 51 seats, but he will not enjoy an absolute majority of 83 seats in parliament and will have to look for "other partners" to build the coalition.

Ten days after the general elections on 12th May Prime Minister Geir Haarde announced on 22nd May the formation of a coalition government between his centre-right party and the social democrats of the Alliance. Alliance President,Ingiborg Solrun Gisladottir has taken the Foreign Affairs portfolio. The government comprises 12 ministers including four women.

The film "Four months, three weeks and two days," by the Romanian Christian Mungiu won the Palme d'Or on 27th May at the 60th Film Festival in Cannes. The film which was budgeted at 600,000 euros is a raw, powerful tale of abortion which was illegal under the communist regime. Its director, Cristian Mungiu was spotted when he made his first full-length film, "West" presented in 2002 in the parallel selection of the "Fifteen Directors". Born in 1968 Cristian Mungiu is one of the most emblematic directors of the "Post December" movement that started after the fall of the Ceaucescu regime in December 1989. In 1998 he graduated from the Academy of Theatre and Film in Bucarest. At the same time he became the second assistant to Bertrand Tavernier on "Capitaine Conan" and worked with Radu Mihaileanu in "Train of Life."

On 23rd May the UK presented a project to renew its energy policy focused on securing supplies and the fight against global warming; the project relies mainly on the building of nuclear power stations and energy saving measures. The UK's supplies of oil and gas in the North Sea are indeed drying up and as many other European countries it is dependent on gas supplies from Russia. "It seems clear to me that it is vital to have a diversified energy supply (...) and not to become too dependent on imported gas. It is bad for the environment and it is worrying for the security of future provisions of energy," declared Alistair Darling, Trade and Industry Minister when he presented his White Paper on energy. In addition to this the UK would like to achieve its objectives with regard to reducing CO2 emissions.

Russian President Vladimir Putin travelled to Austria on 24th May to strengthen bilateral economic relations with regard to the energy and automotive sectors. Both countries signed about thirty contracts to a total of 3 billion euro. Austrian President, Heinz Fisher said that he was concerned about the continued infringements with regard to human rights in Russia. On 25th May in Luxembourg the Russian President met Prime Minister Jean-Claude Juncker, who said that relations could be improved if a number of differences did not exist (human rights, international subjects).

The Turkish Head of State Ahmet Necdet Sezer rejected the law establishing the election of the president of the republic by universal suffrage and sent the text to Parliament. This is to be voted on again on 28th May. This will comprise a first round of voting then according to the procedure MPs will have to confirm their vote in a second round organised at least 48 hours afterwards.

An agreement on the date for early general elections was reached on 27th May between the Ukrainian President Yushenko and his adversary Prime Minister Yanukovich thereby ending the political crisis. The two men finally agreed to establish the date for the election for 30th September. A parliamentary vote still has to confirm the agreement in the next few days.

According to Eurobarometer results one smoker in three has tried to stop smoking over the last twelve months, but over 70% of them start up again within two months. The survey also reveals that 82% of those who have tried to stop smoking did not ask the help of a healthcare professional. An overwhelming majority of those interviewed (88%) are in favour of prohibiting smoking in offices as well as in places of work and in closed public places.

According to the first estimates published by Eurostat on 23rd May the euro industrial new orders index rose by 2.7% in March 2007 compared with February 2007. The index fell by 0.6% in February and remained stable in January. EU27 new orders grew by 2.8% in March 2007, after an increase of 0.1% in February and a decrease of 1.4% in January.In March 2007, among the Member States for which data are available, total manufacturing working on orders rose in fifteen Member States and fell in five. The highest increases were recorded in Poland (+9.1%), Spain and Portugal (both +5.1%) and Italy (+4.7%). The largest decreases were registered in Hungary (-13.3%) and Denmark (-12.6%). In March 2007 compared with March 2006, industrial new orders increased by 8.0% in the euro area and by 8.1% in the EU27.

1,400 participants from around 100 countries took part in workshops that addressed a wide range of subjects associated with the controls demanded by community legislation with regard to foodstuffs and animal fodder. The training workshops aimed to help the authorities responsible for official controls to understand fully and apply community legislation correctly. The first annual report on the theme "Better Training for Safer Food in 2006" published by the Commission on 24th May draws up a detailed overview of training activities undertaken in 2006. It also includes information received by the Commission from participants. Finally the report describes the programme planned in 2007 and looks at how training will be organised in the future in order to ensure better results.