No. 111, 12 June 1992

SUCCESSOR STATES TO THE USSR

RUSSIA CRITICAL OF UKRAINIAN MOVES ON STRATEGIC WEAPONS. . .
General Yurii Maksimov, the commander in chief of the CIS Strategic
Forces, recently warned that the CIS and Ukraine were headed
for a struggle over strategic nuclear weapons that would make
the dispute over the Black Sea Fleet "look like child's play."
In an interview published in Izvestiya on 11 June, Maksimov pointed
out that servicemen in a number of strategic units in Ukraine
had recently taken an oath of allegiance to that republic, while
the Ukrainian Ministry of Defense was attempting to take "administrative
control" of these units, effectively creating a confusing dual
command and dual leadership of the strategic nuclear forces.
Maksimov charged that these developments had, in practice, removed
his headquarters from decisions concerning the manning, training,
and combat readiness of these units, and were in violation of
previous CIS agreements. While it supposedly retains operational
control, Maksimov questioned his command's ability in this regard,
since "people on duty on the nuclear button will carry out orders
not from Moscow, but from the capital of Ukraine." (Doug Clarke)


. . . UKRAINE RESPONDS. Ukrainian President Leonid Kravchuk dismissed
Maksimov's charges, saying that the CIS general was "talking
after the fact." According to the 11 June account by Reuters
of Kravchuk's press conference, the Ukrainian leader said that
Ukraine, Belarus, and Kazakhstan were full parties to the Strategic
Arms Reduction Treaty (START), so "Russia cannot today speak
in the name of all four states. That question is decided." (Doug
Clarke)

OFFICERS TO BE TRANSFERRED FROM UKRAINE. As reported earlier
(see Daily Report for 9 June), Ukrainian Defense Minister Konstantin
Morozov has issued an order that will transfer out of Ukraine
some 6,000 officers who have refused to swear the oath of loyalty
of Ukraine. According to an 11 June Reuters report, the Ukrainian
deputy defense minister for personnel, Oleksandr Ihnatenko, told
Narodnaya armiya that 9,500 officers had refused to take the
oath, and that 3,500 of them had already decided to be demobilized.
While the transfer order emphasizes that the remaining 6,000
officers are to be treated fairly and with full honors, there
is apparently fear in Ukraine that they could become a disruptive
"fifth column." At the same time, Ukraine is trying to arrange
for the transfer to Ukraine of ethnic Ukrainian officers serving
outside the republic, particularly from "hot spots," and charges
that the CIS command has been uncooperative in this matter. (Stephen
Foye)

KRAVCHUK ON UKRAINIAN-RUSSIAN RELATIONS. Speaking to journalists
in Kiev on 11 June before an official visit to France, Ukrainian
President Leonid Kravchuk described his Russian counterpart Boris
Yeltsin as leader with whom it was possible to conduct a dialogue,
But, according to Reuters, Kravchuk also stressed that for relations
between Kiev and Russia to improve, "Russia would have to recognize
Ukraine as independent state without any qualifications, 'like
Germany or France,' and drop any suggestion of territorial claims."
The Ukrainian president argued that "an independent Ukraine is
a condition for democratization in Russia. If Ukraine remains
dependent on Russia," he explained, "then Russia remains an empire."
(Bohdan Nahaylo)

KRAVCHUK WARNS OF REACTIONARY RUSSIAN ANTI-YELTSIN FORCES. The
Ukrainian president also expressed his concern about the rise
of "revanchist" right-wing nationalist and communist opposition
forces in Russia to President Boris Yeltsin, which, he said,
are seeking to re-establish the Russian empire within the borders
of the former Soviet Union. "These forces," Kravchuk declared,
"are a danger not only to Ukraine but to all of Europe and the
whole world." "If Yeltsin was defeated by the Russian imperial-nationalists,"
he added, "it would be practically impossible" for Kiev and Moscow
"to hold a dialogue." Kravchuk's comments reflect the indignation
which is currently being expressed in the Ukrainian press with
a statement made by Sergei Baburin,the leader of the Russian
parliamentary faction "Rossiya." According to Izvestiya of 27
May, Baburin told the official Ukrainian representative in Moscow:
"Either Ukraine reunites with Russia, or [there will be] war."
(Bohdan Nahaylo)

CONSERVATIVE FORCES COULD TRY AND REMOVE YELTSIN. Sergei Shakhrai,
Yeltsin's former legal affairs advisor, has suggested that conservative
forces in Russia could try to remove Boris Yeltsin from the post
of president before the end of the year, "Vesti" reported on
11 June. In a Reuters interview, Shakhrai argued that the military-industrial
complex and the agricultural sector, who have a powerful base
of support in the parliament and in the executive, continue to
resist Yeltsin's reform policies. Resistance to the Russian president
could manifest itself in an "outwardly legitimate" way by pushing
motions in parliament to demand Yeltsin's resignation. (Carla
Thorson/Chris Hummel)

YELTSIN INTERVIEW. On 11 June, Russian President Boris Yeltsin
gave an interview to the chairman of the Russian TV and Radio
Broadcasting Company, Oleg Poptsov, and chief editor of Izvestiya
Igor Golembiovsky. The interview was connected to Russian Independence
Day (12 June). In the interview, Yeltsin said that he had kept
the situation in Russia under control and intended to continue
with economic reforms, despite criticism in the media. He reiterated
that he had no intention to run for president again in 1996.
He also rejected suggestions that he wanted to set up a presidential
party, arguing that any party that enjoyed special protection
from a president would gradually become similar to the CPSU and
would start claiming monopoly on political power. The Russian
president stressed, however, that a multi-party system was still
underdeveloped in Russia. He said that among the twenty largest
Russian parties, not a single one was strong enough to seriously
influence politics in the republic. (Vera Tolz)

RUSSIAN LOCAL ELECTIONS TO BE POSTPONED UNTIL 1994? Izvestiya,
on 6 June, quoted Boris Yeltsin as saying, during his meetings
with representatives of the Union of Russian Cities, that there
will be no local elections until 1994. These elections had been
scheduled for 1991, but in December Yeltsin convinced the Russian
parliament and the Fifth Congress of People's Deputies to postpone
the elections and allow him to appoint the regional and city
governors until the end of 1992. Yeltsin had argued that local
elections would disrupt the implementation of rapid economic
reform, but this was a controversial and quasi-legal move. (Julia
Wishnevsky)

RUSSIAN PRIVATIZATION PROGRAM ADOPTED. The Russian Supreme Soviet
adopted the government privatization program on 11 June, ITAR-TASS
reported. More than twenty-five types of state property are excluded
from privatization, including water resources, cultural and historical
properties, republican hard currency reserves, the central bank,
and the pension fund. The privatization program will officially
take effect after additional enabling legislation is drawn up.
This process is scheduled for completion by 25 July. It is estimated
that the privatization program will bring 91 billion rubles into
the Russian budget. (Sarah Helmstadter)

RUSSIANS TO RECEIVE PRIVATIZATION VOUCHERS. Deputy Prime Minister
Anatolii Chubais has said vouchers for purchasing shares in state-owned
property will be given to all Russian citizens by 1 December,
pending approval by the Supreme Soviet. Western agencies quoted
Chubais as saying the amount of the vouchers will depend on the
Supreme Soviet's decision: they could be worth anything from
700 to 8,000 rubles. Aleksei Ulyukaev, a government economic
advisor, said the government hopes the 150 million vouchers to
be distributed this year will be valued between 5,000 to 10,000
rubles. (Sarah Helmstadter)

SINGLE EXCHANGE RATE FOR THE RUBLE STARTING 1 JULY. ITAR-TASS
reported 11 June that Sergei Vasilev, an economic advisor, repeated
the government's intention to introduce a single rate of exchange
for the ruble on 1 July, 1992. He said that with the introduction
of the market exchange rate for the ruble, Russia will stop using
foreign currency for all types of transactions. ITAR-TASS reported
that once the ruble has floated against other currencies for
several months, an exchange rate of 80 rubles to the US dollar
would be set. (Sarah Helmstadter)

STERN MEASURES TO PROTECT RUBLE ZONE. First Deputy Prime Minister
Egor Gaidar told a meeting of the cabinet on 11 June that Russia
would impose very tough terms on republics that wished to remain
in the ruble zone, ITARTASS reported. The chairman of the State
Committee for Economic Cooperation with CIS States, Vladimir
Mashchits, proposed that, if these states did not sign bilateral
agreements with Russia on financial relations, Russia should
unilaterally take stern measures including demanding foreign
currency forraw materials and denying them cash. (Ann Sheehy)


TENS OF BILLIONS OF RUBLES DIVERTED TO CHECHNYA. The Russian
Ministry of Internal Affairs is investigating the transfer of
tens of billions of rubles in cash from Moscow banks to a bank
in Chechnya, Krim-PRESS reported on 11 June. The affair is described
as the largest bank robbery in the world. The transfers have
taken place since the beginning of spring 1992, and are said
to have been facilitated by the collapse of the banking system.
At the end of May nearly 10 billion rubles were transferred,
and a few days later another 15 billion. The documents were made
out in the name of various commercial structures associated with
the so-called "Chechen Commune." (Ann Sheehy)

YELTSIN SENDS MESSAGE TO RUSSIA'S MUSLIMS. In a message of congratulations
to Russia's millions of Muslims to mark Kurban Bairam, Yeltsin
called for ethnic and religious harmony, Reuters reported on
11 June. For the first time the feast is being celebrated officially
in Tatarstan and the Karachai-Cherkess republic. Muslims in Tatarstan,
Bashkortostan, and the North Caucasus are currently trying to
assert their independence from Russia and probably represent
the greatest threat to Russia's integrity. The Saudi press agency
reported that 15,409 pilgrims from the CIS states were in Mecca,
ITAR-TASS reported on 11 June. This is well up on the estmiated
4,000 that went last year. (Ann Sheehy)

TATARS AND RUSSIANS OBJECT TO DRAFT BASHKORTOSTAN CONSTITUTION.
The Bashkir section of the Tatar Public Center and the duma of
the "Rus" public association have criticized the recently published
draft constitution of Bashkortostan for giving the right of self-determination
only to the indigenous nationality, Radio Rossii reported on
10 June. They also complained that the draft constitution disavows
the federal treaty, and grants Bashkortostan the right to conduct
its own foreign policy, have an independent judiciary, and secede
from the Russian Federation. (Ann Sheehy)

MORE DEATHS IN UKRAINIAN MINING DISASTER. The death toll in the
mining disaster in the eastern Ukrainian town of Krasnodon has
risen to 53, CIS agencies reported on 11 June, and the final
total may be as high as 57 or 58. Four of those killed, were
volunteer rescue workers. Another 21 miners are in hospital,
four in a serious condition. (Bohdan Nahaylo)

UKRAINIAN AUTHORITIES DENY CURBING RIGHTS OF ETHNIC ROMANIANS.
Ethnic Romanians living in Ukraine's south-western Chernivtsi
oblast (the disputed region of Northern Bukovyna) accused the
Kiev authorities of placing curbs on travel and other contacts
with Romania. Ukrainian officials have denied these charges and
pointed to the cultural facilities enjoyed by the Chernivtsi
region's Romanians, (where they constitute about 20% of the population).
These facilities, the Ukrainian officials argued, are superior
to those which the Ukrainian minority in Romania have, and there
has not been a single complaint from the Romanians in Chernivtsi
oblast, Reuters reported on 9-10 June. During the recent referendum
on Ukrainian independence, some ethnic Romanians were reported
to have supported calls for a boycott. (Bohdan Nahaylo)

KAZAKH SOLDIERS MUTINY IN RUSSIA. "Vesti" reported on 11 June
that Kazakh soldiers have mutinied in Arkhangelsk Oblast, because
they object to having to serve in a foreign state. They had been
assigned to guard a prison colony. Twenty-eight Kazakh soldiers
deserted with their weapons. In the scuffle that occurred, two
of the Kazakhs were injured. If such attitudes become widespread
among Central Asians stationed outside their home countries,
it could undermine the CIS defense agreement reached at Tashkent.
(Bess Brown)

CENTRAL ASIAN STATES TO BE RECOGNIZED AS "DEVELOPING." Japanese
officials expect that the five Central Asian countries will soon
be recognized as "developing countries" by the OECD, ITAR-TASS
reported on 11 June. Such a designation would make it easier
for the Central Asians to obtain development assistance. Japan
sent a team of trade and industrial experts to Central Asia at
the end of May to assess the region's needs. According to ITAR-TASS,
the team reported that all five countries need immediate help.
The Japanese were quoted as saying that France agreed with their
assessment of the Central Asian situation. (Bess Brown)

"STEPS TOWARD DEMOCRACY" IN ALMA-ATA. The Washington-based International
Republican Institute is sponsoring a conference, "Steps Towards
Democracy," which opens 13 June in Alma-Ata, Kazakhstan, Kyrgyz
journalist Tynchtybek Chorotegin reported on 12 June. Representatives
from Kazakhstan, Kyrgyzstan, Mongolia and southern Russia will
receive advice on conducting election campaigns and public discussions,
on the principles of governing in a multi-party system. (Cassandra
Cavanaugh)





CENTRAL AND EASTERN EUROPE

CZECH-SLOVAK TALKS ON THE COUNTRY'S FUTURE. On 11 June negotiations
between the Czech election winner, Vaclav Klaus, and his Slovak
counterpart Vladimir Meciar over the future relations of the
Czech and the Slovak republics ended in a deadlock. Both sides
said their initial positions had not changed. Among the bones
of contention is the Slovak side's conception of a confederation,
its insistence on a referendum to decide on the form of joint
state by the end of 1992, its determination to be represented
in the UN and other international bodies, and its rejection of
Vaclav Havel's continuing as president. The Czechs insist on
a strong federation, a referendum to take place later this year,
and, especially, Havel's reelection. Another parliamentary meeting
between the Czech and the Slovak parliamentary leaders is scheduled
Sunday in Bratislava, Western media report. (Peter Matuska)

MUSLIMS AND CROATS ABOUT TO BREAK SIEGE OF MOSTAR? Radio Bosnia-Herzegovina
said on 11 June that Muslim and Croat forces have taken key Serbian
positions around Herzegovina's main city and were ready to end
the Serbian grip on the mainly Muslim and Croat town. There has
been no independent confirmation of the report. Meanwhile, international
media quoted UN Secretary-General Boutros Boutros-Ghali as calling
the situation in Bosnia-Herzegovina "desperate." A UN team arrived
in Sarajevo on 11 June to negotiate the reopening of the airport
for relief flights, but local residents were skeptical, given
the track record of past cease-fires and the fact that the new
agreement would not require the Serbs to stop attacking the town
completely. (Patrick Moore)

MORE DISCUSSION ON POSSIBLE MILITARY INTERVENTION. The European
Parliament on 11 June rejected calls for intervention while demanding
the "orderly" disarming of the Serbian-dominated federal forces
by the UN, Western news agencies said. The 12 June Washington
Post quoted President Bush as saying that "we will do what we
should do, but I'm not going to go into the fact of using US
troops. We're not the world's policeman." Meanwhile, on 11 June
the Washington Times carried an article by Senator Richard Lugar,
who called for the US to "lead the United Nations and NATO to
stern enforcement of a cease-fire in Yugoslavia before it's too
late." He warned that otherwise armed ethnic conflicts could
multiply around the world in "an almost endless replication."
Finally, on 12 June a Canadian staff officer was quoted in Western
papers as describing the situation in Bosnia-Herzegovina as "so
badly screwed up [that] it can't be unscrewed." (Patrick Moore)


PAWLAK OPTIMISTIC ON FORMING NEW GOVERNMENT. On 11 June after
talks with Bronislaw Geremek of the Democratic Union (UD) and
acting Agriculture Minister Gabriel Janowski of the Polish Peasant
PartyPeasant Accord (PSL-PL), Polish Prime Minister Waldemar
Pawlak said the atmosphere is improving" and he sees "better
prospects" for a positive outcome to his efforts to form a government.
Geremek told reporters the UD fully agreed on the terms for entering
the cabinet previously announced by the Liberal-Democratic Congress
(KLD). He criticized the Confederation for Independent Poland
(KPN) and several smaller parties for not adopting concrete positions
on many issues. Jankowski, however, said there is little chance
of forming a new government, PAP reports. (Wladyslaw Minkiewicz)


SEJM DEPUTIES SUGGEST EARLY ELECTIONS. Echoing Jankowski's tone,
several Sejm deputies suggested new parliamentary elections if
the prime minister does not form a cabinet soon. According to
Western and Polish media, Waldemar Kuczynski of the UD said that
chances for agreement on economic issues are growing even smaller.
Donald Tusk of the KLD said that a quick election was likely
if a three-party "little coalition" (UD, KLD and PPG) and Pawlak's
PSL do not receive Sejm support. Leszek Moczulski, chairman of
the KPN, said "if Pawlak fails, we need early elections; time
is pressing." (Wladyslaw Minkiewicz)

WALESA: POLITICAL SITUATION SERIOUS AND DANGEROUS. On 11 June
President Lech Walesa told a press conference in Warsaw that
the political situation in Poland is dangerous and that he may
consider taking over the premiership himself as a last resort.
He said that the country is at a crossroads and called on rival
factions to stop quarreling so that a new government can be formed
and a new constitution adopted. He also said that the previous
Olszewski government tried "to blackmail" him with information
allegedly tying him to the former communists secret police. Western
and Polish wire services carried the story. (Wladyslaw Minkiewicz)


EASTERN EUROPE AT RIO. President Ion Iliescu, Foreign Affairs
Minister Adrian Nastase, and other Romanian officials traveled
to Rio de Janeiro on 11 June. Iliescu stressed the significance
of the environment summit and welcomed the opportunity to meet
with other political, business, and media leaders. Bulgarian
President Zhelyu Zhelev heads his county's delegation and is
using the occasion to make official visits to Venezuela, Uruguay,
and Argentina. The three Baltic delegations are lead by the supreme
council chairmen, all of whom will address the meeting on 12
June. Before departing for Rio, Latvian Anatolijs Gorbunovs told
Radio Riga that he plans to outline the ecological situation
in Latvia and invite the participants to hold a follow-up conference
in Jurmala. Poland is represented in Rio by Environmental Protection
Minister Stefan Kozlowski. Slovenia, Croatia, and the United
States, among others, protested Yugoslavia's participation, but
the UN credentials committee has ruled that the delegation can
stay, Reuters reports. (Charles Trumbull & RI staff)

RIO DELEGATES HEAR CENTRAL EUROPEAN VIEWS. On 10 June Hungarian
Minister for Environment and Regional Policy Sandor Keresztes
told the Rio conference that Hungary is willing to pay a high
price to integrate environmental protection into economic development,
Western news agencies report. Hungary will seek to remedy damages
to its environment by "mistaken environmental policies" of previous
decades, but this will require "considerable support" from Western
countries. Keresztes said that the biodiversity of the Carpathian
Basin survived in a relatively good state environmentally and
its protection is in the interest of the entire northern hemisphere.
The same day Czechoslovak Environment Minister Josef Vavrousek
said his country is not competing for funds with the developing
world even if the transition from communism to capitalism causes
economic hardship. He said Eastern Europe would be "very glad"
to receive financial help for specific projects, such as making
its nuclear plants safe and cleaning up air pollution and soil
contamination caused by Soviet troops, an RFE/RL correspondent
reports. (Edith Oltay & Peter Matuska)

BOX SCORE ON RIO CONVENTIONS. According to UN counts released
on 11 June, Bulgaria, Kazakhstan, Poland, and Romania are among
the 31 countries that have so far signed the Convention on Climate
Change, with Belarus, Estonia, Hungary, Latvia, Lithuania, Moldova,
Russia, and Ukraine promising to sign before the conference ends
on Sunday. The Convention on Biological Diversity has also been
signed by 31 nations so far, including Moldova, Poland, and Romania,
with Belarus, Bulgaria, Hungary, Latvia, Russia, and Ukraine
expected to do so this week. (Jeff Endrst/NCA)

BALTS ENLIST KOHL'S SUPPORT ON TROOPS. The three Baltic supreme
council chairmenVytautas Landsbergis of Lithuania, Anatolijs
Gorbunovs of Latvia, and Arnold Ruutel of Estoniaused the occasion
of attending the Rio conference to hold talks with a number of
other world leaders. On 11 June they met with German Chancellor
Helmut Kohl and primarily discussed the withdrawal of former
USSR troops from their territories. Kohl promised to raise the
question in all European forums and at his meeting with Russian
President Boris Yeltsin, the VOA Lithuanian Service reported
on 12 June. (Saulius Girnius)

LITHUANIAN PLEBISCITE ON TROOP WITHDRAWAL. On 14 June citizens
of Lithuania will vote on whether or not to demand the withdrawal
this year of all former USSR troops. On 11 June Radio Lithuania
noted that the Northwestern Group of Forces informed Lithuania
on 1 January that 34,852 officers and soldiers were stationed
in the republic. At the present time there are about 180 military
bases with about 68,000 hectares of land. During the first three
months of this year 253 troops were withdrawn from Lithuania,
but many new recruits have arrived and the number of troops is
probably unchanged. Lithuania has submitted a provisional bill
of $143 billion for damages caused by the military, but it will
increase after Lithuania can determine the ecological damages
on the bases still occupied by the troops. (Saulius Girnius)


NEW HEAD OF LATVIAN CITIZENSHIP AND IMMIGRATION DEPARTMENT. Radio
Riga announced on 11 June that Viesturs Karnups has been appointed
director of Latvia's Citizenship and Immigration Department.
An Australian specialist in demographics and statistics, Karnups
is a close associate of Maris Plavnieks, the previous department
head. The department will henceforth be answerable to the Ministry
of State. The organizational changes were necessitated by a conflict
between the department and its oversight body, the Ministry of
Justice. (Dzintra Bungs)

RESIDENCE PERMITS REQUIRED IN LATVIA. As of 1 July all foreigners
and stateless persons wishing to stay in Latvia longer than three
months will have to obtain a residence permit. A law to that
effect was adopted by Latvia's Supreme Council on 10 June, BNS
reports. Deputy Rolands Rikards said that initially this would
affect about 150,000 persons. The law does not deal with officially
registered non-Latvians residents of Latvia. Further legislation
is expected on these issues, especially since Latvia does not
consider itself to be a land of immigration. (Dzintra Bungs)


PUTSCH IN THE HUNGARIAN SMALLHOLDERS' PARTY? Smallholders' chairman
Jozsef Torgyan told MTI on 11 June that the party's general secretary,
Bela Nemeth, and a few followers tried to "seize control [of
the party] through a putsch." Nemeth ordered Torgyan's suspension
as president and is considering disciplinary action for alleged
offences. According to Torgyan, Nemeth and followers tried first
to forcibly remove him from his office, and then locked him up.
He was freed by supporters on the same day. The Smallholders'
Party is the second largest party in the ruling coalition; it
split into two parliamentary groups some months ago because of
internal disputes. (Edith Oltay)

ETHNIC HUNGARIANS PROTEST ROMANIAN LAW. Ethnic Hungarians held
meetings throughout Transylvania to protest a law on education
currently being prepared that reportedly would reduce Hungarian-language
education in schools, Radio Budapest reported on 11 June. The
Hungarian Democratic Federation of Romania, the representative
organization of Hungarians in Romania, initiated the protest
meetings and held a meeting in Tirgu Mures. (Edith Oltay)

DIENSTBIER WARNS BAVARIA ON SUDETEN CLAIMS. On 11 June Czechoslovak
Foreign Minister Jiri Dienstbier sharply criticized Bavarian
state Prime Minister Max Streibl for saying Germany should press
claims by Sudeten Germans expelled after World War II. Dienstbier
was reacting to comments made by Streibl on 7 June when he said
Bavaria could not support the new Czechoslovak-German treaty
of friendship because it "legitimizes the expulsion of 2.5 million
Sudeten Germans after the war." The treaty is due to be voted
on by Germany's parliament next month, an RFE/RL correspondent
reports. (Peter Matuska)

BULGARIAN AIR CONTROLLERS TO STRIKE. For several days Bulgaria's
air controllers have been warning of a strike. They demand improved
pay and working conditions to increase flight safety. Following
contacts with government representatives the daily press on 9
June reported that the controllers agreed to wait 48 hours. In
the morning of 12 June Bulgarian Radio said continued talks were
fruitless and the strike will begin early on 13 June. Bulgaria's
air space could be closed by the strike. (Rada Nikolaev)

COURT RULES ON BULGARIAN CHURCH. On 11 June the Constitutional
Court ruled that the activities of the Directorate on Religions
at the Council of Ministers in connection with the conflict in
the Bulgarian Orthodox Church represent an inadmissible interference
by the state in church affairs, BTA reports. Court President
Asen Manov was quoted as saying the Orthodox Church must decide
for itself which of the two synods is the real one. Duma on 12
June predicted that the head of the Directorate, Metodi Spasov,
will be replaced. (Rada Nikolaev)

IMF GIVES ROMANIA LOAN FOR OIL. The International Monetary Fund
has approved a loan to Romania of about $108 million under its
special compensatory and contingency financing facility of to
cover the excess cost of oil imports during 1991, an RFE/RL correspondent
reports. The collapse of the USSR oil export industry and the
effects of the Gulf War sent Romania's oil import costs soaring
over the last two years. Earlier this month, the IMF approved
a standby credit for Romania of about $440 million to support
the Romanian economic reform program. (Crisula Stefanescu)

[As of 1200 CET]

Compiled by Carla Thorson & Charles Trumbull



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