Eat to live, and not live to eat. - Benjamin Franklin
RFE/RL Daily Report

No. 164, 30 August 1994

                              RUSSIA

RUSSIAN VIEW ON POLICY ON EUROPE. Arguing in an interview with
Segodnya of 26 August for the creation of a 1,500 kilometer-wide
buffer zone between Russia and Western Europe, Sergei Karaganov, a
prominent Russian foreign policy expert and member of President
Boris Yeltsin's Presidential Council, said that Russian resistance
was not the only obstacle to NATO's enlargement eastward. "Many in
NATO are not interested in its enlargement, viewing this as a
stick with two ends; and they are using our resistance to it to
foil the [enlargement] process." He added that NATO's "bureaucracy
fears the new, even if it understands that it needs the new for
its own survival." Karaganov proposed a minimal Russian program of
"not permitting NATO's enlargement" and a more ambitious program
of creating in all Europe "a security system with Russia as a full
member." Recommending "extreme caution" in the effort to
reintegrate Ukraine into a military-political alliance with
Russia, lest it alarm the West, Karaganov argued: "Belarus is an
absolutely crucial country for us . . . Once we are in close
alliance with Belarus, the problem of Ukraine will virtually be
solved." Vladimir Socor, RFE/RL, Inc.

RUSSIAN BUSINESSMEN ASK YELTSIN TO STOP PRESSURE FROM LAW
ENFORCEMENT AGENCIES. A group of Russian businessmen and
commercial banks have appealed to President Yeltsin to halt a
campaign of harassment against entrepreneurs and bankers,
Konstantin Borovoi, the leader of the Party of Economic Freedom,
told Russian television on 26 August. The business community,
Borovoi explained, has recently come under double pressure: first,
from corrupt state officials, who extort bribes from bankers and
entrepreneurs; and second, from law enforcement agencies, which
persecute businessmen for "illegal" practices. As examples,
Borovoi mentioned the arrest of prominent businessman Lev Vainberg
and the cases of the financial groups MMM, Russian Home Selenga,
and Tibet. Borovoi said that the businessmen had asked Yeltsin to
ensure that businesses could operate under normal conditions and
to put an end to "the double blackmail" they were subjected to
from state officials and law enforcement agencies. Meanwhile, the
Russian government has canceled the licenses of three more
commercial banks, including Moscow's Investbiznessbank, Russian
television reported on 29 August.  Victor Yasmann, RFE/RL, Inc.

WRITER SELYUNIN DIES AT 66. Vasilii Selyunin, a State Duma deputy
belonging to the radical Russia's Choice party, died in Moscow on
27 August, according to Russian TV's "Vesti" and ITAR-TASS.
Selyunin, who had suffered from cancer, was 66. Selyunin gained
nationwide prominence in Russia in the early days of the Gorbachev
era as a journalist advocating market-oriented economic reform. In
his articles Selyunin argued that reform should begin with the
liberalization of prices; some five years later, in January 1992,
Egor Gaidar, then deputy Russian Prime Minister and now leader of
the Russia's Choice party, pursued precisely such a policy.  Julia
Wishnevsky, RFE/RL, Inc.

AVTURKHANOV, KHASBULATOV TO JOIN FORCES. At a meeting on 29 August
at the headquarters of the opposition Chechen Provisional Council
in Nadterechnyi Raion, Provisional Council Chairman Umar
Avturkhanov and former Russian parliament chairman Ruslan
Khasbulatov agreed to join forces in an attempt to remove Chechen
President Dudaev without violence, Interfax reported. In an
interview given to ITAR-TASS, the head of the Russian Presidential
Administration, Sergei Filatov, had called for such a
consolidation of opposition forces in order to preclude an
eventual power struggle following Dudaev's ouster; Interfax quoted
Filatov as expressing sympathy for Avturkhanov whom he termed
"morally untainted . . . he has not discredited himself with any
political steps against his people." Also on 29 August the Russian
Federal Counter-Intelligence Service (FSK) accused Dudaev of
abducting one of the Service's agents and demanded his immediate
release. In a TV broadcast on 28 August Dudaev claimed that he had
been informed by a senior source within the FSK that Moscow had
allocated 150 billion rubles to destabilize the situation in
Chechnya and that Moscow intended to use the situation there as a
pretext to test "nerve weapons." Liz Fuller, RFE/RL, Inc.

GRACHEV OVERRULED BY YELTSIN, BOWS TO LEBED AS POSSIBLE SUCCESSOR.
Defense Minister Pavel Grachev's orders to downsize the 14th Army
and deprive his critic Aleksandr Lebed of his command were
rescinded after Grachev had met with Yeltsin in Sochi, a Defense
Ministry spokesman told Ekho Moskvy on 26 August. Appearing on
Novosti Television that day, Grachev claimed that he had merely
"invited Lebed to a working meeting," "assured" all concerned that
there had been no intention of replacing Lebed, conceded that his
proposal to send Lebed to Tajikistan "was not accepted," and
announced that he had "come to an agreement" with Lebed--his
subordinate--whom he addressed respectfully as "Aleksandr
Ivanovich." Grachev concluded that Lebed "may even replace me in
the near future." Lebed, for his part, told the
government-controlled Russian TV station the same day that he was
"satisfied" with the outcome and had "found a common language"
with his superior. The outcome of the affair shows that Lebed can
continue to violate military discipline with impunity and that he
retains Yeltsin's support despite his attacks on the president.
Vladimir Socor, RFE/RL, Inc.

MORE POSTMORTEMS ON DNIESTER WAR. The intense debate in Russia
about Lebed's political prospects, by now only tangentially
related to Moldova, continues to produce evidence of the
involvement of Russia's 14th Army in military operations against
Moldova in 1992. In the latest (no. 7) issue of Zhurnalist, the
correspondent who covered that war for Moskovskie novosti
describes several actions undertaken by Lebed that he now says he
left out of his reports at the time, including the bombardment of
right-bank Moldova by the 14th Army's long-range artillery from
the left bank. In Rossiiskie vesti of 23 August the "Dniester
republic's" defense minister, Lieutenant General Stanislav
Khazheev, recounts that "entire units" of the 14th Army were
transferred to the "Dniester" forces both during and after the
fighting and that they still form part of those forces, having
been given "Dniester" flags and designation numbers in place of
their Russian ones. On 15 August Yeltsin praised Lebed and the
14th Army for bringing peace to Moldova.  Vladimir Socor, RFE/RL,
Inc.

MEDICAL INSURANCE WORTH $8 FOR EACH RUSSIAN CITIZEN? In a
commentary on 29 August on the new system of medical insurance
introduced in the Russian Federation this year, Ostankino TV news
disclosed that the national medical foundation spends a mere $8
per capita on health annually. (The previous Russian system and
the Soviet one were financed from the state budget.) Moreover,
even this small sum is distributed unequally, since the system of
privileged in- and out-patient hospitals for members of the
leadership continues to exist in postcommunist Russia, as do great
differences in health spending from region to region.  Julia
Wishnevsky, RFE/RL, Inc.

TATAR RADICALS ACCUSE STATE LEADERS OF BETRAYING SOVEREIGNTY. 30
August is the fourth anniversary of Tatarstan's declaration of
sovereignty. Interfax reported on 29 August that on the eve of
this anniversary the All-Tatar Public Center had accused the
leadership of Tatarstan of deviating from the policy of
sovereignty. In an address in Kazan to the Tatar people, the
Center referred to the bilateral treaty as well as twelve
intergovernmental agreements concluded with the Russian Federation
as examples of what they consider deviations. Authors of the
address said that the democratization of society in Tatarstan was
being hampered and that a political and economic crisis was
developing there. The Center proposes a democratic alternative to
the official course, including elections for a two-house
parliament with representatives from districts and political
parties and the adoption of a national security concept on the
basis of neutrality; it also recommends that Tatarstan join
international organizations to assure that it will receive
recognition for complying with international law. Charles Carlson,
RFE/RL, Inc.

AUSHEV ADDRESSES CONGRESS OF INGUSH PEOPLE. On 27 August the
president of Ingushetia, Ruslan Aushev, addressed the congress of
the Ingush people. Aushev accused the leadership of neighboring
North Ossetia of failing to comply with provisions of the peace
agreement between the two North Caucasian nations, particularly
one giving Ingush who had fled from North Ossetia in the course of
the armed conflict last fall the right to return to their homes.
Aushev also commented on developments in another North Caucasian
republic, Chechnya, warning against Russian interference in
Chechen affairs. He tacitly supported Chechen President Dzhokar
Dudaev's struggle for independence, saying that "the Chechen
people have never agreed [with the Soviet propaganda allegation]
that they joined Russia voluntarily." Julia Wishnevsky, RFE/RL,
Inc.

MILITARY AIRCRAFT TO BE DISPLAYED IN ENGLAND. Russian aircraft
manufacturers plan to display some of their most modern fighters
at the upcoming Farnborough international air fair in England.
Alex Didenko, a senior official from Aviaexport, told Interfax on
29 August that the Sukhoi would demonstrate the SU-30MK and the
Su-35 at the show, while Mikoyan would be represented by the
MiG-29M and MiG-29-CE. Several models of military helicopters
would also be on display as well as several new civilian passenger
liners. Didenko said he was optimistic about the prospects of
Russian products on the world aircraft market. Doug Clarke,
RFE/RL, Inc.

                  TRANSCAUCASIA AND CENTRAL ASIA

UNCONTESTED PRESIDENTIAL ELECTION IN TAJIKISTAN? Chairman of
Tajikistan's Central Election Commission Kadriddin Giesov told
Interfax on 29 August that the registration documents of one of
the two candidates for the post of president had disappeared, so
the election on 25 September may be uncontested. Former Prime
Minister Abdumalik Abdullozhonov submitted his documents to the
Commission on 25 August; Giesov promised that an attempt would be
made to investigate the loss of Abdullozhonov's documentation and
that he would be registered as a candidate if it could be found.
But, in Giesov's view, the election would still be democratic even
if the candidacy of the current head of state, Imomali Rakhmonov,
is uncontested. Bess Brown, RFE/RL, Inc.

                    CENTRAL AND EASTERN EUROPE

MILOSEVIC WANTS A BETTER DEAL ON SANCTIONS. Reuters reported on 29
August that Serbian President Slobodan Milosevic wanted a
substantial lifting of sanctions against rump Yugoslavia before he
allowed monitors to check his self-declared blockade against the
Bosnian Serbs. His recent visitor, Russian Foreign Minister Andrei
Kozyrev, called for the immediate lifting of "at least some
sanctions . . . to reward Belgrade for its courageous approach" in
endorsing the Bosnian partition plan, the New York Times said on
30 August. Meanwhile, RFE/RL's South Slavic Language Service said
on 29 August that Milosevic was continuing to reimpose his control
over the Politika media empire. A few weeks ago he changed editors
at the Politika daily and now has turned his attention to Radio-TV
Politika. Patrick Moore, RFE/RL, Inc.

ALBRIGHT ON ARMS EMBARGO IN BOSNIA. Speaking to journalists in
Prague on 29 August, during her three-day visit to the Czech
Republic, US Ambassador to the United Nations Madeleine Albright
said that the UN was prepared to lift the embargo on arms
deliveries to the Bosnian government if the Bosnian Serbs rejected
the latest peace plan. According to Albright, the US was prepared
to pursue such a policy as a member of the international community
and believed that the lifting of the embargo would be supported by
other members. In the event that such support was not forthcoming,
the US would consider unilaterally lifting the embargo.  Jiri
Pehe, RFE/RL, Inc.

SERBIAN PARLIAMENT TO RE-OPEN PEACE PLAN DEBATE? Borba reports on
30 August that several opposition parties, including the
ultranationalist Serbian Radical Party and Vuk Draskovic's Serbian
Renewal Movement, are pressing for another special parliamentary
session to discuss the "contact group's" peace plan for Bosnia and
Herzegovina. The calls come after a special session of parliament
on 26 August at which a government-backed resolution endorsing the
peace plan received the support of a majority of 126 deputies. At
the same session, many opposition deputies boycotted the vote and
filed out of the chamber in protest at the ruling Socialist Party
of Serbia's alleged improper conduct. Democratic Party leader
Zoran Djindjic has said that a new session to discuss the peace
plan at this juncture seems a particularly frivolous exercise.
Stan Markotich, RFE/RL, Inc.

KARADZIC PREDICTS TOTAL VICTORY. Der Spiegel on 29 August ran an
interview with Bosnian Serb leader Radovan Karadzic, who said he
would gladly resign his office if a greater Serbia were
established. Karadzic predicted that not only the rump Yugoslav
army but also "Russian troops would hurry to our aid if the
[Bosnian] Serb people truly landed in trouble." He threatened to
take UN peacekeepers hostage if the arms embargo against the
Bosnian government were lifted. And he also predicted that an
escalation of the war would lead to a total Serbian victory, with
the Muslims receiving "a certain autonomy around Tuzla, as the
Croats would at Zenica." Patrick Moore, RFE/RL, Inc.

"SERBS DRIVE 2,000 MUSLIMS FROM THEIR HOMES" is a headline in the
30 August New York Times, which describes the intensified "ethnic
cleansing" around Bijeljina, Rogatica, and Banja Luka.
Particularly active are Bijeljina warlord Vojkan Djurkovic and the
internationally wanted war criminal Zeljko "Arkan" Raznjatovic.
Meanwhile, in the "Bihac pocket" in northwestern Bosnia, US
Ambassador to Croatia Peter Galbraith told Reuters on 29 August
that a "safe zone" would be set up in that area to provide
"absolute security" for the 25,000 refugees who had fled across
Serb-held territory to Croatia following the defeat of local
warlord Fikret Abdic by Bosnian government troops. The Serbs would
not let the refugees stay on their territory; the Croats would not
let them enter theirs; but Abdic continued to stir up fears and
hysteria among his people in broadcasts from Serb-held areas, the
Frankfurter Allgemeine Zeitung reports. Galbraith and the UN,
however, now intend a "media blitz" to convince the refugees to
return to the Bihac area. Finally, Borba on 30 August reports on
one of the more neglected aspects of the Wars of the Yugoslav
Succession--namely, the ecological disasters in and around
Serb-held territories in Croatia. Patrick Moore, RFE/RL, Inc.

ROUNDUP OF NEWS FROM THE YUGOSLAV AREA. Vjesnik reported on 29
August that Croatian President Franjo Tudjman told Croatian TV on
27 August he still demanded that Serbia recognize Croatia in its
Tito-era borders. He also said that autonomy for Serbs in any
future arrangement would be limited to the Knin and Glina
districts, which are the only two where Serbs constituted a
majority before they began the "ethnic cleansing" of other areas.
He added, however, that Serbs everywhere would enjoy full civil
rights and that Croatia intended to solve the Krajina question by
peaceful means. The Sueddeutsche Zeitung noted on 29 August that
German Foreign Minister Klaus Kinkel had just visited Tudjman and
reminded him of the importance of observing minority rights and
freedom of the press, as well as of the need to avoid a war in
Krajina. Turning to Macedonia, Politika reported from Skopje that
officials there was willing to begin talks with Greece as soon as
possible rather than wait until after the autumn elections, as
some sources had suggested. Elsewhere, international media said
that Hungary has now recognized Macedonia.  Patrick Moore, RFE/RL,
Inc.

CALL FOR KOSOVAR INFORMATION CENTER IN BELGRADE. Kosovar President
Ibrahim Rugova has again called for a Kosovar information center
to be opened in Belgrade, Rilindja of 27 August reports. Rugova
first made such a request on 19 August. He said that this "act of
good will" had found a great echo in the mass media but that
Belgrade had yet to respond. The main objective of the bureau
would be to promote a dialogue between Belgrade and Pristina. The
self-proclaimed Kosovar Republic has an information center in
Tirana, which has been given a quasi-diplomatic status. Serbian
newspapers have termed Rugova's initiative a clever but
provocative move, arguing that Belgrade's acquiescence would be
tantamount to recognizing Kosovo's independence. Serbian
commentators say that Rugova is trying to make political capital
out of his initiative by maintaining he favors an Albanian-Serbian
dialogue but the other side opposes it.  Louis Zanga, RFE/RL, Inc.

AFTERMATH OF NATURAL DISASTERS IN MOLDOVA. Moldova is "on the
brink of economic catastrophe," ITAR-TASS reported on 29 August
from Chisinau. Damage caused by recent natural disasters is
currently estimated at $200 million, Interfax reported the same
day. State leaders, who are supervising relief operations, have
sent urgent appeals to international organizations and Western
governments for emergency relief. Most needed are construction
materials, medicines, and food. A summer-long drought and a
hurricane accompanied by the worst floods in the country's
recorded history on the weekend have devastated all crops and
decimated livestock. The hurricane and floods destroyed or
severely damaged thousands of homes, most dikes, 49 bridges, and
other structures. Vladimir Socor, RFE/RL, Inc.

ROMANIAN PREMIER VISITS DISASTER AREA. On 29 August Romanian Prime
Minister Nicolae Vacaroiu visited an area in Vaslui County that
had been devastated by floods three days earlier, Radio Bucharest
reports. Vacaroiu, who was accompanied by Defense Minister
Gheorghe Tinca, Environment Minister Aurel Constantin Ilie, and
other high-ranking officials, informed local authorities that the
government would grant financial aid worth 5 billion lei (some $3
million) to the regions affected by floods, including Timis and
Vaslui Counties. He also pledged aid deliveries to the neighboring
Republic of Moldova, where hurricanes and floods wreaked havoc on
26 and 27 August. According to local media reports, the floods
killed two people and destroyed dozens of houses in Vaslui County
alone.  Dan Ionescu, RFE/RL, Inc.

POLISH BISHOPS CALL FOR "POLITICAL WILL" ON CONCORDAT. At a press
conference on 29 August, representatives of the Polish Bishops'
Conference said that the Catholic Church in Poland was intent on
breaking the impasse caused by the Sejm's July decision to put off
indefinitely the ratification of the concordat signed by the
Polish government and the Holy See one year earlier. The bishops,
adopting a more conciliatory tone than in the past, proposed
"extinguishing flash points of conflict, putting away the swords,
and opening dialogue." They pledged to seek ways to overcome
prejudice and appealed to politicians of the ruling postcommunist
coalition to find the necessary "political will," PAP reports.
Anna Sabbat-Swidlicka, RFE/RL, Inc.

PIRATE TV STATIONS CLOSED. PAP reported on 29 August that
representatives of the Prosecutor's Office, the police, and radio
communications authorities raided six of the 12 local television
stations belonging to Nicola Grauso's Polonia 1 network, which
have been operating illegally for more than a year. The six
stations have been using restricted military frequencies and
broadcasting without a license. A Justice Ministry spokesman said
action would be taken against the remaining "pirates" but refused
to give details. Grauso, who flew immediately to Warsaw, accused
former National Broadcasting Council Chairman Marek Markiewicz of
having it in for him.  Anna Sabbat-Swidlicka, RFE/RL, Inc.

SEJM OVERRULES SUGAR VETO. The Sejm overruled President Lech
Walesa's veto of the sugar law on 27 August, PAP reports. Walesa
had criticized the law as a relict of the command economy, saying
that it protected the interests of the sugar lobby and neglected
those of the consumer. The deputies ignored Walesa's request that
the veto vote, which was added to the agenda at short notice, be
postponed until the next Sejm session so that the president's
representative could meet with the relevant commission. The Sejm
also passed a landmark law on economic crime, providing long
prison terms for money laundering, embezzlement, and fraud.  Anna
Sabbat-Swidlicka, RFE/RL, Inc.

CZECH OFFICIAL VISITS FORMER YUGOSLAVIA. CTK reported on 29 August
that Czech First Deputy Foreign Minister Alexander Vondra had left
Prague for a five-day trip to Croatia, Serbia, Bosnia, and
Macedonia. A spokesman for the Foreign Ministry said Vondra's trip
was not a peace-making mission; rather, he would be gathering
information on peace-making efforts. On the first stop of his
tour, Vondra held talks with Croatian officials, discussing, among
other things, the possible reopening of the Adria gas pipeline.
CTK quotes Vondra as telling the Croats that the Czech Republic
considers it "necessary" to extend the mandate of UNPROFOR units
in Krajina beyond 30 September, when they are due to leave. Vondra
will visit Czech troops under UN command in Croatia and meet with
the UN military commander in Zagreb. He is also scheduled to
discuss possible Czech participation in a UN-sponsored project to
rebuild Sarajevo.  Jiri Pehe, RFE/RL, Inc.

SLOVAK BUSINESS DELEGATION EN ROUTE TO CANADA. TASR reported on 28
August that Slovak Economy Minister Peter Magvasi was on his way
to Canada with a delegation of businessmen and company directors.
According to a spokesman for the Slovak Economy Ministry, the
purpose of the visit is to generate interest in trade and
investment and to offer Canadian firms an opportunity to do
business in Slovakia as that country proceeds with privatization.
The delegation will meet with Canadian government officials and
leading Canadian business executives.  Jiri Pehe, RFE/RL, Inc.

BULGARIA'S WORSENING CIVIL-MILITARY RELATIONS. Most Bulgarian
dailies on 30 August report the looming conflict between
Bulgaria's Defense Ministry and the General Staff over the
retirement of 285 colonels. Chief of the General Staff Gen. Lyuben
Petrov, who is currently on an official visit to Germany,
maintains that the army cannot spare the colonels and has
announced a press conference on his return to make his views
known. The Defense Ministry, however, immediately canceled the
conference, noting that Petrov would need the written approval of
the minister to address duty-related issues in public. Whereas the
socialist Duma--which strongly supports Gen. Petrov--claims that
virtually the entire officers corps opposes retiring the colonels,
the opposition Demokratsiya says younger and lower-ranking
officers feel the Defense Ministry is doing the right thing. But a
commentator for the military organ Balgarska armiya remarks that
politicians tend to "either ignore the army or hold it in front of
the cannon's muzzle." Kjell Engelbrekt, RFE/RL, Inc.

BULGARIA, IRAQ DISCUSS RESTORING TRADE TIES. On 29 August the
Iraqi ambassador to Sofia and Bulgarian Trade Minister Kiril
Tsochev informed journalists of their discussions on restoring
bilateral trade as soon as the UN embargo against Iraq was lifted.
Describing present bilateral relations as excellent, Ambassador
Mohammed Amin Ahmed said his government particularly appreciated
the fact that Bulgaria was the first country to have called a
meeting of a joint trade commission. Tsochev nevertheless demanded
assurances from Baghdad that Bulgaria in the future would receive
preferential treatment, BTA reports.  Kjell Engelbrekt, RFE/RL,
Inc.

UNEMPLOYMENT IN UKRAINE. At the end of July, almost 100,000 people
were officially registered as unemployed in Ukraine, Ukrainian
Radio reported on 27 August. This is a 20% increase over the same
period last year. According to the Ministry of Statistics, the
highest levels of unemployment were registered in Volyn,
Vinnytsya, Kharkiv, and Luhansk Oblasts.  Ustina Markus, RFE/RL,
Inc.

BELARUSIAN PRESIDENT CALLS FOR SLAVIC UNIFICATION. Belarusian
President, Alyaksandr Lukashenka, appearing on national television
on 28 August, said he favored Belarusian unification with Russia
and all Slavic countries, Interfax reported the next day. During
the election campaign, Lukashenka had spoken out in favor of the
unification of Russia, Ukraine, and Belarus. He was the only
Belarusian deputy to vote against the Belavezha agreement of 1991,
which created the CIS and formally abolished the USSR. Since his
election, however, Lukashenka has said that it would be
unrealistic to recreate the USSR and that a new arrangement would
have to be reached between the former Soviet republics based on
respect for independent statehood. Lukashenka is well known for
his frequently contradictory statements. Ustina Markus, RFE/RL,
Inc.

A "ROMANIAN MINORITY" IN MOLDOVA? The Moldovan public and press
are currently discussing a proposal--first made on 28 July in
Literatura si Arta, the weekly of the Writers' Union and the
pro-Romanian opposition's Congress of the Intelligentsia--that the
relatively few Moldovans who consider themselves Romanians form an
organization and defend their ethnic minority rights as Romanians.
The "Romanian minority" would, according to the proposal, seek the
same cultural and other rights that Moldova grants its Russian,
Ukrainian, and Bulgarian minorities. The proposal reflects
frustration among pro-Romanian circles over what appears to be the
recent increased awareness of Moldovan, as distinct from Romanian,
ethnic and cultural identity among the native population. The
Popular Front, the other pro-Romanian opposition movement, rejects
the proposal on the grounds that it would lead to "ethnic
laissez-faire" and "tries to convey the view that man is 'free' to
choose his nationality," Popular Front Chairman Iurie Rosca wrote
in the movement's weekly Tara of 23 August. Vladimir Socor,
RFE/RL, Inc.

RUSSIAN TROOP WITHDRAWAL FROM ESTONIA. The official withdrawal of
Russian troops from Estonia should be completed by the 31 August
deadline. On 29 August the last train carrying Russian military
equipment left Estonia, Reuters reports. The last transport ship
with army trucks left Paldiski on 30 August. A small number of
troops remain to complete the handover of Russian bases. Estonian
Foreign Minister Juri Luik said that the list of 10,517 military
pensioners who wished to remain in the country would be
scrutinized. He said that the recent retirement of 400 naval
officers was "against the letter and meaning" of the withdrawal
agreement. Estonia is allowing the 200 officers who each received
US government vouchers worth $25,000 for new housing in Russia to
remain until 12 July 1995. The Russian military, remaining at the
Paldiski submarine base until its two nuclear reactors have been
dismantled by 30 September 1995, are not counted in the withdrawal
since the base will be under civilian control.  Saulius Girnius,
RFE/RL, Inc.

NEW GOVERNMENT IN LATVIA BY MID-SEPTEMBER? After meeting with
President Guntis Ulmanis on 29 August, Prime Minister-designate
Maris Gailis said he aimed to have the nominees for the Council of
Ministers lined up by 10 September and present them for
consideration to the Saeima five days later. Though it appears
that most members of the current government are unlikely to be
nominees, Prime Minister Valdis Birkavs may be nominated as
minister of foreign affairs, Latvian media reported.  Dzintra
Bungs, RFE/RL, Inc.

WORLD BANK CREDITS FOR LITHUANIAN AGRICULTURE. On 26 August World
Bank experts said that credits worth $25-30 million for long-term
investments in Lithuanian agriculture would be available in the
fall, RFE/RL's Lithuanian Service reports. The bank's
representative in the Baltic States, Lars Jeurling, noted that the
World Bank was opposed to state subsidies to agriculture and low
energy prices because they had a negative influence on the
republic's economy. The credits would be given to private farmers
and cooperatives as well as agriculture servicing and
food-processing enterprises whose capital was at least 51%
privately owned.  Saulius Girnius, RFE/RL, Inc.

  [As of 1200 CET]

  Compiled by Penny Morvant and Jan Cleave
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Updated: 1998-11-

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Please write to us with any comments, questions or suggestions -- Natasha Bulashova, Greg Cole