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YELTSIN REARRANGES GOVERNMENT
In his 22 September decree, President
Boris Yeltsin abolished three ministries, three state committees, and
two federal services and created five new ministries, five new state
committees, and two federal services. That results in a net gain of two
new ministries and two new state committees. The new ministry for Anti-
Trust Policies and Support of Entrepreneurship will handle the work of
several old committees and federal services, including the now defunct
State Anti-Monopoly Committee. Yeltsin divided the old Ministry for
Regional and Ethnic Policy into two separate ministries: the Ministry
for Regional Affairs and Ministry for Ethnic Policy. He also restored
the Ministry for CIS Affairs (abolished at the last CIS summit, in
April) and created a Ministry of Trade, eliminating the old Ministry of
Industry and Trade. The new state committees will deal with land, youth
affairs, fishing, construction, and standardization and metrology. And
in a move likely to undermine the independence of the Central Bank and
Academy of Sciences, Yeltsin made their chairmen cabinet-level
officials. JAC
INDUSTRIAL, AGRICULTURAL LOBBY GAINS STRENGTH
"Kommersant-Daily" on 22
September reported that representatives of Russia's military-industrial
complex have gained influence in the Kremlin at the expense of the "oil
and gas lobby" and the "oligarchs." The newspaper cited Primakov's
recent appearance at a meeting of the Russian Union of Industrialists
and Entrepreneurs, where Primakov was presented with a proposal for the
government to provide "targeted loans for high-tech exports." It
concluded that the interests of the agriculture sector will also be well
represented by Deputy Prime Minister Gennadii Kulik. A member of the
Agrarian faction, Kulik "intends to lobby for maintaining agricultural
output prices at the same level as manufacturing." JAC
ZYUGANOV-LUZHKOV ALLIANCE EMERGING?
"Kommersant-Daily" on 22 September
pointed out the sudden show of public warmth between Communist Party
leader Gennadii Zyuganov and Moscow Mayor Yurii Luzhkov and concluded
that the pair have formed an alliance of convenience to promote their
mutual interests in the State Duma. However, the partnership may last
only until presidential elections in 2000, when both men are likely to
run for president. Zyuganov told reporters on 19 September that Luzhkov
had "adopted a stance in favor of strengthening order in the country"
during the crisis. According to the newspaper, Luzhkov on 21 September
"stated unambiguously that he really is headed in the same direction as
the Communists: 'It is not a question of a chance situation occurring
but of a consolidation for the sake of implementing the important
principles that we serve.'" JAC
FIGHTER PLANES TURNED INTO PLOWSHARES?
Despite one of the worst harvests
in the last three decades, acting Minister of Food and Agriculture
Viktor Semenov told Interfax on 22 September that Russia will not import
large quantities of grain. He said grain imports will not exceed 3
million tons. Semenov, however, does not rule out barter. The same day,
Interfax reported that Russia has offered Hungary between five and eight
MiG-29s in exchange for wheat. JAC
RUSSIAN AUDITOR MISQUOTED...
Audit Chamber Deputy Chairman Yurii
Boldyrev told Ekho Moskvy on 22 September that his agency has discovered
that the Central Bank violated regulations governing the financial
institution, such as not financing its expenses out of its profits. In
addition, Boldyrev claims that the bank spent large sums of money
intended for public purposes on "various centers and funds," which, in
turn, paid their employees wages of $3000 to $15,000 a month and
negotiated "preposterous contracts" for consulting services. Meanwhile,
according to "Trud," Veniamin Sokolov, chief auditor of the Audit
Chamber, said his recent interview with BBC was mistranslated and that
he did not in fact claim that the Central Bank had made inappropriate
use of the IMF credit (see "RFE/RL Newsline," 22 September 1998). JAC
...AND WORLD BANK MISUNDERSTOOD?
The Audit Chamber released its report
on the Russian government's use of World Bank loans on 22 September. The
chamber claimed, according to Interfax, that the Russian government used
$1.4 billion extended to the government by the World Bank for economic
restructuring projects to finance federal spending and servicing the
foreign debt. The report concluded that "as a result, the target
economic indices were not reached--the budget deficit has not decreased
and GDP has not increased--which were the main goals of the loans."
However, the "Moscow Times" of 23 September cited an economist familiar
with the bank's work as saying that the Audit Chamber misunderstood the
conditions of the bank's structural loans. The Finance Ministry had
discretion to use the Bank monies as it wished and the so-called "target
economic indices" are conditions of IMF credits not World Bank loans,
according to the economist. JAC
GERASHCHENKO INSTALLS ANOTHER ALLY AT BANK
On 23 September,
"Kommersant-Daily" reported that Central Bank chairman Viktor
Gerashchenko has appointed Oleg Mozhaiskov, an associate from his first
tenure at the Central Bank during the Soviet era, as deputy chairman.
Mozhaiskov was deputy board chairman of the International Moscow Bank,
which Gerashchenko previously headed. JAC
PURER VODKA MAY MEAN STRONGER GOVERNMENT
Contradicting an earlier
statement by his spokesman, First Deputy Prime Minister Yurii Maslyukov
said that a state monopoly on tobacco and alcohol will be introduced and
the money used for pensioners and low-income families, ITAR-TASS
reported on 22 September (see "RFE/RL Newsline," 21 September 1998). Tax
inspectors in St. Petersburg told ITAR-TASS that tougher control over
alcohol production and trade added 82 million rubles ($5 million) to
excise duties in the first half of 1998. Russian Television reported
that Prime Minister Primakov signed a resolution for the formation of a
working commission for the implementation of a state monopoly on alcohol
as well as tobacco. In his book "A History of Vodka" (London: Verso,
1992), Rus
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UN PERSONNEL ATTACKED, INJURED IN ABKHAZIA
Gunmen opened fire on a
minibus carrying members of the UN observer force in the Abkhaz capital,
Sukhumi, late on 21 September. Four UN servicemen were injured, three
of whom were evacuated to Turkey for hospital treatment. Abkhaz
President Vladislav Ardzinba condemned the shooting, which he blamed on
Georgia, as intended to destabilize the region. He also imposed a
night-time curfew throughout Abkhazia, according to ITAR-TASS. The
Russian Foreign Ministry issued a statement condemning the attack, which
it said "once again proves the need for resolute action on the part of
the Georgian and Abkhaz authorities to normalize the situation." While
both UN personnel and Russian peacekeepers have been attacked in the
vicinity of the border between Abkhazia and the rest of Georgia, this is
the first attack on UN personnel in Sukhumi, which, located some 50 km
from the border, is outside the normal sphere of operation of Georgian
guerrilla organizations. LF
ABKHAZ PREMIER IN TBILISI
Sergei Bagapsh was in Tbilisi on 22 September
to attend a session of the Coordinating Commission created last November
under UN auspices to deal with Abkhaz economic issues, Caucasus Press
reported. Bagapsh told journalists before leaving Sukhumi that the talks
will focus on resuming rail transport between Georgia and Abkhazia,
natural gas supplies, and repairs to the Inguri hydroelectric power
station, according to ITAR-TASS. Bagapsh also held separate talks with
Minister of State Vazha Lortkipanidze and with Georgian President Eduard
Shevardnadze, who expressed his willingness to travel to Sukhumi for
direct talks with Ardzinba. Ardzinba had proposed such a meeting in a
letter to Shevardnadze. In the same letter, he also expressed concern
about reports that Tbilisi is preparing new terrorist acts in Abkhazia's
Gali Raion on 30 September. LF
ADJAR LEADER ON DJAVAKHK
Speaking on Adjar Television, Supreme Council
chairman Aslan Abashidze said he has held talks with representatives of
Djavakhk, the organization that is lobbying for autonomy for several
predominantly Armenian-populated districts in southwestern Georgia,
"Nezavisimaya gazeta" reported on 23 September. Abashidze said the
Armenians have proposed that the districts be subsumed into neighboring
Adjaria, which has autonomous status within Georgia. Abashidze said that
he does not consider that proposal "separatist." Caucasus Press on 7
September had quoted Abashidze as denying having invited Djavakhk's
leaders to Adjaria or being aligned with them. LF
DETAINED AZERBAIJANI DEMONSTRATORS RELEASED
Following a meeting on 22
September between Azerbaijani Prosecutor-General Eldar Huseinov and
members of the opposition Movement for Democratic Elections and
Electoral Reform, the Azerbaijani authorities released 28 of the 63
people detained during the 12 September clashes between police and
demonstrators in Baku. The criminal charges against those released
remain in place, however. Former Premier Panah Huseinov, one of those
released, confirmed opposition claims that some of the detainees had
been tortured, but he denied that he personally had been beaten,
according to Turan. LF
FORMER KAZAKH PREMIER'S AIDE RELEASED
Akezhan Kazhegeldin's aide,
Mikhail Vasilienko, who was detained in Astana by Kazakh security
officials on 18 September, has been released after being tried and
sentenced on charges of hooliganism (see "RFE/RL Newsline," 21 September
1998), RFE/RL's Almaty bureau reported on 23 September. Vasilienko had
planned to submit to the Kazakh leadership four volumes of proposals
drafted by the Businessmen's Association on amending the country's
electoral legislation and constitution. LF
KYRGYZ PARLIAMENT TO DISCUSS REFERENDUM
Parliamentary speaker Abdygany
Erkebayev told journalists in Bishkek on 22 September that lawmakers
plan to debate the proposed referendum on changes in the parliament's
structure and powers at the fall session, which begins on 29 September,
RFE/RL's Bishkek bureau reported. Erkebayev said he learned of the
planned referendum from the media and that neither President Askar
Akayev, who announced the referendum on 1 September, nor any member of
the presidential staff has discussed with him the implications of the
proposed changes. Those changes would increase the number of deputies in
the Legislative Assembly from 35 to 67, of whom 15 are to be elected on
party lists. The number of seats in the People's Assembly would be cut
from 70 to 38. In addition, the conditions under which deputies can be
granted immunity from prosecution will be limited. LF
UN CONDEMNS TAJIK MURDER
The UN mission in Tajikistan on 22 September
issued a statement deploring the murder earlier that day of prominent
oppositionist Otakhon Latifi and calling upon both the Tajik government
and the opposition to abide by their commitment to the peace process,
Interfax reported. Both the government and opposition have condemned the
killing as "a stab in the back" to the peace process and as intended to
create the impression of instability in the country. The Aga Khan, who
is currently visiting Dushanbe, expressed his condolences to United
Tajik Opposition leader Said Abdullo Nuri. The two men discussed
programs aimed at improving the economic situation in the country and
the ongoing repatriation of Tajik refugees from Afghanistan, according
to ITAR-TASS. LF
RETURN OF TAJIK OPPOSITION FIGHTERS HALTED
The repatriation from
Afghanistan to Tajikistan of the last contingent of Tajik opposition
fighters, which began on 21 September, was suspended almost
immediately, Russian agencies reported. Some 150-200 men, together with
50 or so refugees, are believed to comprise that contingent. Interfax
reported that a 20 kg bomb was found on the barge that was to transport
the returnees across the Pyandj River, which marks the border between
the two countries. LF
UZBEK DEFENSE MINISTER WARNS OF AFGHAN THREAT
Echoing alarmist
statements by President Islam Karimov, Khikmatulla Tursunov on 22
September characterized Afghanistan as a center o
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UKRAINIAN PRIME MINISTER LOCKS UP DEBTORS AGAIN
Valeriy Pustovoytenko
on 22 September began a new crackdown on debtor companies by locking up
executives from more than 50 firms in a government building and
demanding that they sign obligations to pay their debts, Ukrainian
Television reported. Pustovoytenko applied a similar measure to some
2,000 tax debtors in early August (see "RFE/RL Newsline," 6 August
1998). This time, the target of his campaign are managers who have been
slow in returning foreign debts guaranteed by the government.
Pustovoytenko said the government needs the $734 million it paid to
foreign creditors on behalf of debtor companies. Both Prosecutor-General
Mykhaylo Potebenko and Pustovoytenko have threatened to take executives
of debtor companies to court and initiate bankruptcy proceedings. JM
UKRAINIAN CHIEF BANKER SAYS FOREIGN INVESTORS ACCEPT T-BILL CONVERSION
Ukrainian National Bank Chairman Viktor Yushchenko on 22 September said
that most foreign investors have agreed to swap their Ukrainian domestic
treasury bills for longer-term bonds under a government debt
restructuring plan, AP reported. The plan is intended to postpone some
of the government's debt payments in view of insufficient budget
revenues. Details of the plans were not made public, but Ukrainian
bankers assert that foreign investors were offered the chance to redeem
20 percent of the bonds immediately and to change the rest into
Eurobonds with a 20 percent annual interest rate. The new bonds are
redeemable in September and December 2000. It is estimated that foreign
investors hold 1.8 billion hryvni ($580 million) in Ukrainian bonds that
are due to mature in 1999. JM
TEACHERS' STRIKE LEAVES 12,000 UKRAINIAN PUPILS OUT OF SCHOOL
Some
12,000 schoolchildren in Kyiv, Chernihiv, Kirovohrad, and Zakarpatska
Oblasts have not been to school since the beginning of the school year
on 1 September owing to a teachers' strike over unpaid wages, AP
reported on 22 September. Ukrainian teachers are owed some 410 million
hryvni ($132 million) in back wages. Ukrainian Television reported that
teachers are paid full and regular wages only in the city of Kyiv. JM
LUKASHENKA SLAMS CABINET FOR INEFFICIENCY
At a cabinet meeting on 22
September, Belarusian President Alyaksandr Lukashenka harshly criticized
the government for not efficiently dealing with "visible economic
tensions in the republic," Interfax reported. In particular, he
criticized Foreign Affairs Minister Ivan Antanovich and Foreign Trade
Minister Mikhail Marynich for a lack of coordination between their
ministries. Lukashenka said Belarus is now experiencing its second
crisis this year. The first crisis, he said, was in March, after a fall
in the value of the Belarusian ruble was "initiated in Moscow." From
January-August, prices in Belarus rose by 30 percent, instead of the
planned 17 percent, while the Belarusian ruble fell by 60 percent, he
noted. He called upon his ministers to end the "endless and empty
discussions and procrastination. Those who do not want to work should
resign without waiting for the president's moves," he added. JM
SEVERAL LATVIAN NGOS URGE 'NO' VOTE IN CITIZENSHIP REFERENDUM
Several
non-governmental organizations have urged Latvians to vote against
amendments to the citizenship law passed earlier this summer by the
parliament, BNS reported on 22 September. At a news conference in Riga
the previous day, representatives of the Baltic Unity Association, the
Latvian Education Association, the Artists' Union, the Theater
Association, and several Latvian organizations abroad voiced concern
that the ruling parties showed a "lack of interest" in Latvia's fate by
approving the amendments "in a hurry" and yielding to pressure from
Russia and European organizations. They argued that the amendments
should be adopted by the new parliament and should be adapted to reflect
Latvian interests rather than European requirements. The amendments will
be put to a popular vote at the beginning of next month, at the same
time as the parliamentary elections. JC
LITHUANIA ADOPTS MEASURES TO CUSHION IMPACT OF RUSSIAN CRISIS
The
government on 22 September adopted 39 measures aimed at shielding
domestic industry from the impact of the ongoing financial crisis in
Russia, dpa reported. Those measures include restrictions on imports,
subsidies for exports, increased patrols along Lithuanian borders to
combat smuggling, and low-interest loans to firms in a bid to boost
short-term turnover. The German news agency reports that Lithuanian
exports to Russia and the CIS, which accounted for 46.4 percent of total
exports last year, have virtually ceased since the ruble's devaluation
in August. JC
POLISH PARLIAMENT VOTES TO OPEN SECRET POLICE FILES...
The Sejm has
voted by 237 to 157 with two abstentions to pass a law allowing
individuals to look at their communist-era secret service files, PAP
reported on 22 September. The bill, which still requires the upper
house's and president's approval, is seen as a means of screening secret
service collaborators in order to bar them from top state posts. It
provides for setting up an Institute of National Remembrance in January
1999 to maintain secret service files from 1944-1989. The institute will
make those files available by the end of 1999 to victims of the
totalitarian regime and reveal the names of communist agents and
informers. According to Janusz Palubicki, minister in charge of Poland's
secret service, as many as 4 million people in Poland may be interested
in checking their files. JM
...PASSES LAW ON SOCIAL SECURITY REFORM
By a vote of 222 to 76 with 106
abstentions, the lower house also approved a law on reforming the
social security system, PAP reported. Under the law the Social Security
Agency (ZUS) is to keep account of contributions by all insured
persons. Contributions may be divided between the so-called first and
second insurance pillar. People over 50 will not be covered by the new
system. Those over 31 and under 50 will be free to choose whether to
send their contributions to the ZUS or a pension fund of their choice.
Those u
YUGOSLAVIA CRITICIZED AT UN
German Foreign Minister Klaus Kinkel told
the UN General Assembly on 22 September that the international community
is ready to use force in an effort to end Serbian military offensives in
Kosova, an RFE/RL correspondent reported. Kinkel ascribed most of the
blame for the crisis on Yugoslav President Slobodan Milosevic. Austrian
Foreign Minister Wolfgang Schuessel, also speaking for the EU, said the
violence in Kosova has created "consequences for the civilian population
that are out of any justifiable proportion." Russian designate-Foreign
Minister Igor Ivanov appealed for peace in Kosova but warned that
Western military intervention would cause a "big war" with "unforeseen
consequences." But the Russian ambassador to the UN, Sergei Lavrov, said
Moscow will accept a UN resolution that does not authorize an immediate
use of force. UN Security Council President Hans Dahlgren said a
resolution demanding a cease-fire could be voted on any day. PB
HEAVY FIGHTING REPORTED IN KOSOVA
Serbian forces launched new attacks
against ethnic Albanian villages in various parts of the province on 22
September, AFP and Reuters reported. Serbian offensives were reported in
central and northwestern parts of Kosova. Serbian police reported
"strong resistance" northwest of Prishtina in small villages near
Cicevica. There are no reliable reports of casualties, though thousands
of more people are said to have left their villages amid the fighting.
Large quantities of weapons were reportedly seized, and several
buildings were on fire. PB
KOSOVAR PARLIAMENT CALLS FOR RELEASE OF POLITICIANS
The presidency of
the unofficial Kosova parliament made an appeal for the Kosova
Liberation Army (UCK) to release a group of ethnic Albanian politicians
it has detained, dpa reported on 22 September. The deputy speaker of the
parliament, Gjergj Dedaj, is among those being held in the village of
Skenderaj since 20 September. In a statement, the presidency said such
an act hurts the "concerted action of all the political and state
institutions in their struggle for the freedom and independence of
Kosova." The UCK, which has few official political allies, has
criticized efforts by ethnic Albanian political parties to negotiate
with Belgrade on the province's status. PB
ALBANIAN COALITION PARTNER PLEDGES SUPPORT TO PREMIER
Gramoz Pashko, a
leader of the Democratic Alliance Party, pledged his continued support
for the embattled government of Prime Minister Fatos Nano, ATA reported
on 21 September. Pashko, whose party is a member of the ruling
government, said a resolute investigation of the murder of Democratic
Party deputy Azem Hajdari would return stability to the country. Pashko
denounced the violent acts committed in the past week and said
Democratic Party leader Sali Berisha bears responsibility for them.
Berisha, meanwhile, called on his countrymen to continue their anti-
government protests. A rally on 21 September was called off because of
poor attendance. PB
EU, WESTERN OFFICIALS WARN BOSNIAN SERB HARD-LINERS
Robert Gelbard, the
U.S. special envoy to the Balkans, noted in Sarajevo on 22 September
that the West will be closely watching ultranationalist Nikola Poplasen,
the expected winner in the election for the Bosnian Serb presidency,
Reuters reported. Although Poplasen, an ally of indicted war criminal
Radovan Karadzic, has not yet been officially declared the winner,
incumbent President Biljana Plavsic has conceded that she lost the
election (see "RFE/RL Newsline," 22 September 1998). Despite assurances
from Poplasen that he will adhere to the Dayton agreement, Gelbard said
"concrete results, not words" are important. Carlos Westendorp, the
international community's high representative in Bosnia-Herzegovina,
said Bosnian Serb entities that do not follow Dayton will be cut off
from Western financial help. Official election results are expected
later this week. PB
CROATS TO RETURN TO CENTRAL BOSNIAN VILLAGES
Representatives of a
working group on the return of refugees have agreed with officials from
the Vitez and Travnik municipalities on the return of Bosnian Croats to
three villages in the area, Bosnian Television reported on 22 September.
Jason Taylor, the head of the working group, said the agreement will
allow refugees to return to Velika Bukovica, Grahovcic, and Brajkovic.
He said that the people of Gacice have not agreed on the return and that
they continue to block access to the village. PB
SKOPJE OFFICIAL SAYS UCK IN MACEDONIA
Vlado Popovski, the Macedonian
intelligence chief, said on 22 September that members of the UCK are in
Macedonia, AFP reported. Popovski said the UCK has an "infrastructure in
Macedonia" but that he does not think it will be active because "the
situation in this country is much better than in Kosova or Albania." He
added that ethnic Albanian parties take part in the civic and political
institutions. Popovski said the greatest threat to Macedonia would be
posed by the smuggling of weapons into the country from Albania or a
large influx of ethnic Albanian refugees from Kosova. PB
ROMANIAN PRESIDENT WANTS COALITION TO EXIST TILL 2004
President Emil
Constantinescu on 22 September met separately with leaders of the
Democratic Party and the Hungarian Democratic Federation of Romania
(UDMR). Mediafax reported that Constantinescu said the present ruling
coalition must reach agreements facilitating its continued existence
till 2004. Alexandru Sassu, who led the Democrats' team, said that his
party cannot give a "blank check" to the coalition and that its support
depends on whether a solution can be found to such urgent problems as
privatization and restructuring "within six months." Constantinescu told
the UDMR that he supports finding a compromise on the Hungarian-language
state university that would be backed by a large majority in the
parliament. But the same day, the Chamber of Deputies' Education
Commission voted against resuming the discussion of the article in the
amended education law that forbids state universities in national
minority languages. MS
DEMOCRATIC PARTY REJECTS SEVERIN APPEAL
The Democratic Party's
Commission on Ethics on 22 September rejected what it called an appeal
by former Deputy Chairman Adrian Severin against the party's National
Coordination Council 19 September decision to strip him of his post.
Severin responded that he never appealed to the commission, noting that
it had merely discussed a letter he sent party chairman Petre Roman
after the vote in the National Coordination Council. He also pointed out
that the commission did not invite him to the debate, Mediafax reported.
MS
FORMER COURT POET RESIGNS FROM PARTY
Adrian Paunescu, the executive
deputy chairman of the Socialist Labor Party (PSM), told journalists in
Bucharest on 21 September that he is resigning from the PSM. The former
Ceausescu court poet said he opposes a compromise reached by the PSM and
Socialist Party leaderships according to which the two formations are to
have equal representation at the congress that will approve their
merger. The compromise also stipulates that at county and national
leadership level, the PSM and the Socialist Party will be represented
proportionally in line with their respective present strength. The
Socialist Party split from the PSM in 1994, largely owing to its
opposition to Paunescu's growing prominence within the formation. The
PSM is headed by former Communist Premier Ilie Verdet. MS
MOLDOVAN PREMIER MEETS TRANSDNIESTER OFFICIAL
Ion Ciubuc and the deputy
head of the Transdniester separatist government, Viktor Sinev, met in
Chisinau on 22 September to discuss a number of accords that will be
signed by President Petru Lucinschi and separatist leader Igor Smirnov
at their next summit, which is to take place either on 30 September or 1
October, RFE/RL's Chisinau bureau reported. The two leaders agreed
that Chisinau will take over the $15 million debt owed by Tiraspol to
the Russian Gazprom conglomerate in partial settlement of the debt owed
to the separatist region by the Moldovan authorities for energy
deliveries. According to Tiraspol, that debt totals $22 million. Ciubuc
said later that by the end of this year, Chisinau will pay $10 million
in cash to Tiraspol toward paying off its 1998 debt in full. MS
BELARUS LOSES ITS BATTLE FOR THE HARVEST
by Jan Maksymiuk
On 31 July, in a televised conference with oblast and raion
administration leaders at regional television centers throughout the
country, Belarusian President Alyaksandr Lukashenka called upon the
nation to launch a "battle for the harvest." He described "grain and
agriculture" as the foundations of Belarusian statehood and independence
and announced that Belarus would switch to an "emergency operation mode"
during this year's harvest. "This means in plain folks' idiom that all
living creatures, everything that moves or is able to move, should be
sent to gather crops," he explained.
Lukashenka compared today's situation in Belarus to that of the
Brest fortress on the German-Soviet front line in 1941, when "the
[German-Soviet] front moved further east, while the fortress was still
resisting and not surrendering." He elaborated this military imagery by
saying that "the front of economic cataclysm is now sweeping over former
USSR countries. Belarus has so far stood firm, and it should continue to
stand firm. We have nobody to rely on but ourselves."
Military vocabulary applied to harvesting rye or barley is not
unusual in Belarus. Decades of Soviet indoctrination have left deep
marks on the national psyche, including people's ability to use and
understand language. The memory of the Soviet military effort in World
War II (called the Great Patriotic War in the former USSR) was kept
alive by the communist authorities throughout the entire post-war
period. In particular, the Belorussian SSR, which was made a Soviet
guerrilla stronghold during the war, cherished Soviet military
traditions and vocabulary. Thus, Lukashenka's appeal to mobilize the
nation for a heroic battle doubtless had an effect on both the conscious
and the subliminal levels, regardless of whether the battle involved
tanks and aircraft or tractors and harvest combines.
In keeping with the traditions of the command economy, Lukashenka
appointed top government officials to oversee the harvest campaign in
the Belarusian regions. National Bank Chairman Pyotr Prakapovich was
given the responsibility of securing a victory in his native Brest
Oblast. While Prakapovich was carrying out his harvest mission, the
Belarusian ruble exchange rate plummeted from 70,000 to 120,000 to $1 by
the end of August and then to 200,000 to $1 in mid-September. Not only
Russia's financial turmoil should be blamed for the Belarusian ruble's
plunge.
The "emergency operation mode" required emergency measures to prop
up the Belarusian agricultural sector. According to independent
analysts, more than 50 percent of the collective farms are de facto
bankrupt. Even the Ministry of Agriculture has officially admitted that
only 62 out of Belarus's nearly 3,000 collective farms are in a
"satisfactory" financial situation. Reports in the Belarusian
independent press suggest that the National Bank printed some 14
trillion Belarusian rubles ($280 million, according to the official
exchange rate) to provide financial support to the shaky sector.
Belarus's financial market reacted with galloping inflation.
The harvest campaign provides a graphic illustration of how
Lukashenka's government is running the agricultural sector. Whenever the
need arises--and it routinely does twice a year, first in the sowing and
then in the harvesting season--the National Bank switches on its
printing presses and grants collective farms both credits and advances.
Those monies are seldom paid back, but the state compensates their loss
by purchasing grain, meat, and milk well below the production cost. Both
the inflation rate and prices are rising as real incomes fall.
Nonetheless, state statisticians are happy to report production growth.
Such tactics have somehow worked and, if one believes official
data, are still working in Belarus's industrial sector. But they are no
longer working in agriculture. Despite the nationwide mobilization for
the harvest, the kolkhozes failed to reach their targets. The total
grain output this year was 5 million tons, down from 6 million tons last
year. The average grain yield was 2.34 tons per hectare, compared with
2.70 tons per hectare in 1997. Deputy Agricultural Minister Ivan Shakola
has said Belarus will double feed grain imports this year to compensate
for the loss of crops owing to the heat waves and storms that severely
hit the countryside this year. This was an implicit admission that
Belarus lost its "battle for the harvest."
Lukashenka put on a brave face at the official celebration of the
harvest's end in the town of Nyasvizh on 19 September. "You saved the
country," he told the best-performing tractor and harvest combine
operators, awarding new Lada cars to 12 of them. And he pledged food aid
to crisis-stricken Russia.
He did not, however, breathe a word about what is an open secret
in Belarus: a majority of Belarusians place their hope to stay alive not
on a state-sponsored "battle for the harvest" but on tiny plots of land
near their country homes and dachas. There, they grow their meager crop
of vegetables and potatoes to sustain themselves through the winter. As
for the Belarusian government, even half a century after the war it
still wants people to believe that food provision is a heroic exploit,
not a routine economic task.
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