Sofia, June 15 (BTA) - Today's sitting of the cabinet approved a project for structural adjustment of the health care system in Bulgaria with World Bank financing. Health Care Minister Mimi Vitkova was given a mandate to negotiate with the World Bank a lending agreement. Vitkova believes that the negotiation will start this autumn if Parliament adopts a decision to that effect before its summer recess.
Bulgaria, the Czech Republic and Slovakia on June 19 are launching trilateral negotiations for the opening of a free trade zone, said Minister of Trade and Foreign Economic Cooperation Kiril Tsochev. Tsochev believes that the negotiations will be held in three or four rounds and a final agreement will take effect as of early 1996.
The cabinet also decided to sign a lending agreement with the World Bank for US$ 98 millions to be used for structural adjustment of the water supply system. Bulgarian Ambassador to the US Snezhana Boutousharova was authorized to sign the agreement on behalf of Bulgaria.
Under the agreement, Bulgaria is expected to provide US$ 33 million making up 25% of the above figure. The loan is repayable for 18 years with a 4 years grace period and an annual interest of 7.02%. Deputy Minister of Construction and Regional Development Daniel Leviev believes the lending terms are quite burdensome. The Bulgarian side insisted on a 5 years grace period and 20 years for repaying the loan, but this is unlikely to be accepted by the other side, according to Leviev. He further said the lending agreement has no express provisions for a mark-up of water prices but there might be a requirement for increasing the profitability of water supplying companies which is sure to push up water prices when the lending agreement takes effect.
The cabinet today nominated Lieutenant Colonel Yuli Georgiev for the directorship of the National Security Service and proposed to President Zhelev to issue a decree on his appointment. Currently Georgiev is Deputy Director of the NSS.
Sitting behind closed doors, the cabinet today approved the position of the Bulgarian delegation on Prime Minister Videnov's upcoming visit to Greece on June 19 and 20. A discussion of the national security concept began.
The cabinet approved a draft cooperation agreement between the defence ministries of Bulgaria and Slovakia, which will form a basis for talks. Defence Minister Dimiter Pavlov was authorized to negotiate and sign the agreement.
In 1995, 19,075 full-time students and 3,755 extramural students will be admitted to Bulgarian universities for state-financed education, up 5 per cent from 1994. The cabinet will not fix a quota for private universities this year. This will become possible after the passage of a new law on higher education. Twenty-two new courses will be offered in 1995-96.
Sofia, June 15 (BTA) - Bulgaria and Portugal will sign a declaration on friendship and cooperation and this is expected to happen during the forthcoming official visit in Lisbon by Bulgarian President Zhelyu Zhelev.
"There are no open problems between Bulgaria and Portugal but we should seek a more tangible dimension of bilateral relations, " Portuguese Foreign Minister Jose Durao Barroso said at the end of his two-day official visit in Sofia. The Bulgarian agenda of the guest included meetings with President Zhelyu Zhelev, Prime Minister Zhan Videnov, his Bulgarian counterpart Georgi Pirinski and National Assembly Chairman Blagovest Sendov. The two countries' Foreign Ministers this morning signed an agreement on avoidance of double taxation. Speaking at a joint news conference, the two stressed that the agreement will facilitate mostly investment cooperation.
The present state of, and prospects for Bulgarian- Portuguese ties, European integration and the situation in the Balkans were also discussed during Jose Durao Barroso's visit here.
The Bulgarian side was interested in the talks, because being a country with similar experience in the transformation of society, Portugal is an important partner of this country, said the Bulgarian Foreign Minister.
The Portuguese guest assessed in highly positive terms Bulgaria's aspiration for integration into the European Union. "Bulgaria is firmly in favour of accession to the EU with a view to obtaining full membership; Portugal is not only politically supportive of this stand, but is also ready to offer practical assistance with its experience from the negotiations for entry into the EU and from the EU membership, " said Foreign Minister Barroso.
Forthcoming high-level visits to both countries were also discussed at the meetings. Discussing economic issues, the sides identified a need for more active contacts on company level, particularly in the private sector. The talks further stressed that Bulgarian-Portuguese cooperation helps break through on third countries' markets, including the South part of Africa and the Middle East. The two Foreign Ministers considered the idea for holding a business workshop to discuss joint operation in third markets.
During discussions on international issues, the Bulgarian side reiterated its stand for finding a negotiated peaceful and lasting solution to the Yugoconflict and step- by-step suspending of the UN sanctions. The hosts further stressed the need for external assistance in overcoming the aftermaths of the losses incurred as a result of the observation of the Yugoembargo by some countries including Bulgaria. Jose Durao Barroso was briefed on an initiative of the Bulgarian Prime Minister for multilateral regional cooperation in building the infrastructure in the Balkans on the basis of goodneighbourly cooperation, as a step toward the region's integration into European structures. "The specific proposals of Prime Minister Videnov sound quite sensible, " said the Portuguese Foreign Minister.
Sofia, June 15 (BTA) - Bulgarian Foreign Minister Georgi Pirinski and his Portuguese counterpart Jose Manuel Durao Barroso, who is on a formal visit to Sofia, signed today at noon an agreement on the avoidance of double taxation between Bulgaria and Portugal.
Sofia, June 15 (BTA) - Bulgaria has invested 250 million US dollars in the hunting industry since the 1960s and until the collapse of the totalitarian regime in 1989, reads a report in "Douma". The cited figure does not include expenses, incurred by municipalities and individual enterprizes. According to the paper, in 1989 the hunting industry brought 7.5 million US dollars with prospects for making up to 20 million US dollars per year, while over the last few years the proceeds from the business have not exceeded 3 million US dollars. Corrupted state officials, in charge of the industry, have been operating to the detriment of the state, the author of the report concludes.
A report in "Douma" considers the economic aspects of the army's military and organisational restructuring in case of a future association of Bulgaria with NATO. In order to become a full NATO member, Bulgaria should spend some 27, 329, 450, 000 US dollars only to replace the five basic types of armament. This exceeds more than 50 times the 1995 Defence Ministry's budget allocations, the author says. He believes that about twice that sum will be required for ammunitions, retraining etc. According to the President of the North Atlantic Assembly Karsten Voigt, who was on a visit to Sofia until yesterday, NATO membership will cost Bulgaria between 10,000 and 20,000 million USD, the financial daily "Pari" says.
Age restrictions should be imposed on old cars imported to Bulgaria and preferencial customs policy should be implemented towards the importers of up-to-date and environment-friendly motor vehicles, says Todor Nikolov, Chairman of the Union of Car Importers in Bulgaria, interviewed for "Pari".
The areas under roses in Bulgaria are currently as little as 900 ha, says a report in "Douma". The Bulgarian rose oil is still in demand and at 4, 100 USD/kg, it is more expensive than oil from lower quality rose sorts from other countries, the daily says. Rose production, however, is on the decline, mainly because of the financial difficulties that the processing factories are facing, the author says and calls on for the passage of legislation on the rose industry. A rose industry bill has already been prepared and is going to be moved to the National Assembly. The legislation will provide guarantees for new purchase prices of the rose flowers and for quality unification on a national scale, the report says.
"Moscow, Sofia and Athens Negotiate on Caspian Oil; Turkey Will Bring Oil from Azerbaijan and Kazakhstan, " reads a headline in "Pari", capping a front-page report on the working meetings between experts from Russia, Bulgaria and Greece on the oil pipeline, connecting Novorossiisk, Bourgas and Alexandroupolis which started yesterday in Moscow. The conditions the project should comply with have to be specified by Sunday, "Pari" quotes Deputy Prime Minister Doncho Konaktchiev as telling a news conference. Bulgaria offers the best conditions because of the low altitude of the terrain over which the pipeline will be constructed, Mr Konaktchiev is quoted as saying by "Standart News".
"NATO Membership Does'n Mean Automatically Security, " reads a headline in "Douma", capping a report on the three-day Rose-Roth conference, organised by the North Atlantic Assembly with the assistance of the Bulgarian National Assembly, which ended in Sofia yesterday. The headline quotes a statement made by NAA President Karsten Voigt who was on an official two-day visit to Sofia at the invitation of Bulgaria's Parliament. "NATO Expects Bulgaria's Membership Application, " "Demokratsiya" says in a headline, reporting about about Voigt's visit. The dailies write about Voigt's promise to support Bulgaria's candidacy if it decides to seek membership in NATO, made to the Bulgarian MPs yesterday.
ENDS WATER RATIONING IN SOFIA The dailies write about yesterday's decision of the Sofia City Council to terminate the rationing of drinking water in the city. Water rationing was introduced last autumn because of the critically low water levels in Sofia's main reservoir, the Iskar Dam. "We shall never know who devised the water crisis, where 150 million cu.m. of water went, who benefited from the shady deal that exposed one million Sofianites to the risk of epidemic outbreak, and on what ground water prices went up six-fold while it was rationed at the same time, " says a signed commentary in "Continent".
"Demokratsiya" runs the details of an interview with Brien Thomas, a representative of the ITV British television channel. He has been interviewed in connection with an ITV report broadcast Tuesday that implicated the Bulgarian state company Kintex in arm deliveries to miltiary groups in Rwanda. Brien Thomas claims that the findings f Amnesty International about Bulgaria violating the UN embargo on arms sales to Rwanda, dismissed by the Bulgarian Government as allegations, proved to be true. Speaking to Reuter, yesterday General Augustine Bizimungu, commander of Rwanda's ousted Hutu army, denied having ever imported weapons from Bulgaria.
Bulgarian Ambassador in London Stefan Tafrov told ITV that he had no information about such a deal, "24 Chassa" writes. "Kintex has not exported weapons to Africa for a long time, " "Demokratsiya" writes quoting Ivan Kolev, Deputy Chairman of the Interdepartmental Council for the Military Industrial Complex and National Mobilization Readiness. Other papers also carry publications on the same topic.
The case of the so-called "Albanian deal" will be tried within a month, "Standart News" writes citing Military Prosecutor Colonel Mityu Markov. The question is about a consignment of the Bulgarian Defence Ministry that consisted of 100 mine-throwers, 10, 000 mines and 250 sniper rifles totalling 670, 000 US dollars which disappeared in Macedonia on its way to Albania. It is not clear how the carrier Mario Stoichkov, who in on the Interpol wanted list, can be made to appear in court, the paper writes. The same paper writes that eleven days ago Ivan M., a military intelligence officer who was in charge of was reported missing foreign currency remittances at the department, was reported missing.
On Friday President Zhelyu Zhelev is going to visit the Kurdjali district, an area with a compact population of ethnic Turks in Southern Bulgaria. Citing what are described as well informed sources, "Douma" writes that the trip has been prompted by the forthcoming visit of Turkish President Suleyman Demirel to Bulgaria on July 4, 1995. The Bulgarian head of State will receive a package of demands for the applictaion of measures to prevent the area's further depopulation, "24 Chassa" says citing a local mayor. "An agreement on migration is not expected to be signed on July 4 and the visa requirements will not be automatically abolished, but if the problem of separated families is discussed, this would be a step towards a similar document between Bulgaria and Turkey, " writes the author of an article in "24 Chassa", commenting on demirel's forthcoming visit.
"No doubt Horace and Virgil visited Bulgaria, "Papal Nuncio in Sofia, Monsignor Mario Rizze, says in an interview for "Douma". "It is my wish and I hope I will be able to write something about Bulgaria", he says speaking about his literary pursuits. The ambassador of the Holy See describes the diplomatic relations between the Vatican and Bulgaria as excellent.
"Bulgaria should enter Europe but Europe should enter Bulgaria too. It should adopt the values of new Europe, the spirit of tolerance and national awareness but not nationalism, the ambition for integration, " Miguel Martinez, President of the Council of Europe's Parliamentary Assembly, who recently visited Bulgaria, is cited as saying by "Douma".
"The possibility of a spillover of the conflict in Yugoslavia is only theoretical, though a serious danger may be created - for instance, a direct war between Croatia and the Federal Republic of Yugoslavia. Through its preventive diplomacy, the European Union Monitor Mission (EUMM) works in earnest to avert such a danger, "EUMM Albert Turot, who recently visited Sofia, said in an interview for "Standart News".
From this autumn on new conscripts will be trained separately from the older ones at special training centres, "24 Chassa" writes, reporting about yesterday's decision of the General Staff of the Bulgarian Army. It is believed that this will help minimize the conflicts between conscripts of different age groups and abuses in the army. There will be four conscriptions a year instead of two, the paper says. "Continent" also reports about the General Staff's decision, referring to a Defence Ministry press release.
The state totalizer introduces a new type of figure gambling as of July 18; the money will go to the Bulgarian Olympic Committee, which will use it for the training of Bulgarian athletes for the Olympic Games.
"The World Bank Is Grudging Every Cent; Civil Servants Foil Loans or Make Arrangement at Disadvantage", reads the headline of an article in "24 Chassa" coommenting on government loans cntracted over the last few years.
Sofia, June 15 (BTA) - Parliament today passed the first amendment to the Excise Duty Act since February 15, 1994 when it was enacted.
The bill of amendment updates the excise duties on goods and services set in absolute terms. It also introduces new excise duties on wine used in vinegar production so as to cut vinegar production costs.
The correct calculation and collection of excise duty on lotteries and raffles and on taxable goods made with materials provided by the client will be regulated by a law, instead of by the implementing regulations of the Excise Duty Act of March 1994.
Under the amended Excise Duty Act, temporary and transit import will be cleared against a bank guarantee. Money deposits will be required as security for the shipment of goods from one free trade zone to another.
Excise revenue stamps were introduced for wine and spirits as a further step to enforce the licensing requirement for wine-makers and distillers. The sale of unlicensed wine and spirits carries a 100, 000 to 500, 000 leva fine.
The provisions on gambling were also amended. Natural persons running unlicensed gambling games, including bingo and roulettes, are liable to a 1 million leva fine. Juristic persons running illegal gambling casinos and bingo halls are liable to the confiscation of 1 million leva worth of property. Unlicensed owners of gambling machines will have their proceeds impounded and will be fined 500, 000 leva.
The amendments to the Excise Duty Act are consistent with the recently adopted 1995 Budget Act.
Sofia, June 15 (BTA) - An agreement on cooperation between the Bulgarian and Moldovan Defence Ministries was signed here today in the first day of the official two-day visit of Moldovan Defence Minister Major General Pavel Creanga. General Creanga's visit to Bulgaria seeks to promote bilateral relations in the sphere of defence. The agreement the two sides signed today envisages exchange of expertise in military legislation and training, as well as exchange of military observers and joint military exercises.
At their meeting today, the Moldovan Defence Minister and his Bulgarian counterpart Dimiter Pavlov discussed the danger for a spill-over of the conflict in Bosnia and Hercegovina, the arms imbalances in the Balkans, the participation of the two countries in the Partnership for Peace (PfP) initiative and their efforts to provide national security guarantees.
"We are not against Russia or NATO; we want contacts and partnership with Russia as well as with the US and NATO, " Dimiter Pavlov said during the talks. The guest briefed him on the progress of building Moldova's national armed forces, on their capacity and on the readiness of the Moldovan army to join PfP peace-keeping and rescue operations. General Pavel Creanga officially invited his Bulgarian counterpart to visit Moldova.
Asked by journalists at the Sofia Airport whether the resignation of 14th Russian Army Commander Alexander Lebed, endorsed by President Boris Yeltsin, was a sign that the Russian troops are withdrawing from the Trans-Dniester region, General Creanga said the withdrawal will take three years under an October 1994 accord with the Russian government, and Moldova expects no changes in this. Moldova plans no military actions, it is committed to its policy for peaceful solution of the problem and believes that complications in the region are unlikely, said the Moldovan Defence Minister.
The second day of his official visit includes cultural events and official dinner given by Bulgarian Defence Minister Pavlov. Before leaving Bulgaria tomorrow, general Creanga will meet the chair of the parliamentary National Security Committee and National Assembly Chairman Blagovest Sendov.
Sofia, June 15 (BTA) - Specific tariffs on white and yellow cheese and butter were introduced by the Cabinet today to protect home producers of milk and dairy products. A specific duty on powdered milk will be in force from June 1 to September 30.
The specific tariffs will act as a barrier to the import of cheap dairy products of poor quality and will help solve the problems which led to lower milk purchase prices, said Deputy Prime Minister and Minister of Trade and Foreign Economic Cooperation Kiril Tsochev. In his view, legally imported white and yellow cheese should cost at least 230 leva/kg and butter 240 leva/kg.
The specific tariffs will become known after the amended tariff schedule is gazetted. A draft decree circulated to the press set the following minimum import prices: US$ 185 to 250 per tonne for powdered milk, US$ 750 to 1, 000 per tonne for butter, and US$ 480 to 600 per tonne for white and yellow cheese. Seasonal tariffs were introduced for cucumbers and gherkins. Separate import duties were set for white cheese and yellow cheese, and cucumbers and gherkins, said Tsochev.
Sofia, June 15 (BTA) - The appointment of senior managers of Top Energy, the Bulgarian-Russian gas company, violates the Commercial Code, Deputy Prime Minister and Minister of Trade and Foreign Economic Cooperation Kiril Tsochev told journalists here today, quoting a report by cabinet lawyers.
Tsochev said he would submit the report to the cabinet, expecting it to pronounce on the matter by the end of the week. "There will probably be changes in the company's supervisory board, " he said.
In late May Socialist MP Andrei Loukanov, a former prime minister, said he would head Top Energy, the joint venture set up during Russian Prime Minister Chernomyrdin's visit to Bulgaria. Speaking to journalists several days later, Minister Tsochev said he had learned about the appointment of Top Energy's management from a BTA bulletin. He questioned the legitimacy of the company's board. In his view, the managers on the Bulgarian side should be appointed by the cabinet because this country is represented in the joint venture by the fully state-owned Bulgargas company.
Varna, June 15 (BTA corr.) - Both France and Bulgaria are in Europe and are part of it, Admiral Jean- Charles Lefevre, Commander of the French Navy, told a news conference in this Black Sea city today. He compared Bulgaria to a distant member of the European family that has been out of sight for decades and is now reestablishing its family ties.
During his three-day visit to Sofia and Varna, which ended today, Admiral Lefevre and Bulgarian officials reached agreement on cooperation between the two navies, including exchange of visits, brief exercises, practice for Bulgarian naval officers on French ships and post-graduate courses at French military academies. In August a Bulgarian officer will have several weeks' practice on board a French warship.
Sofia, June 15 (BTA) - The National Bank of Bulgaria today cut the base rate 6 percentage points to 48 per cent, effective as of June 21. The interest rate cut became possible two weeks ago but was delayed by technical problems arising from the introduction of a new accounting scheme. The base rate was cut last to 54 per cent from 60 percent on May 8. According to the central bank, inflation has been curbed and the economic situation has stabilized, which accounts for several base rate cuts this year. Last September the base rate was at a record 72 per cent.
Sofia, June 15 (BTA) - "Neither Kintex nor any other Bulgarian company has ever supplied arms to Rwanda, as British journalist Brian Thomas Johnson claimed, " Anton Saldjiiski, Chairman of Kintex Board of Directors, told a BTA reporter. Nobody has asked the specialized interdepartmental council for an export permit and this is the only way to export weapons from this country, Saldjiiski went on to say.
Saldjiiski further expressed his bewilderment at the accusations, saying that "the allegations mention sizeable shipments of weapons, and not 200 cartridges, for example, that are easily available on the black market."
Commenting on the allegations that Kintex delivered weapons and ammunition to Hutu militias, Saldjiiski said, "I know nothing about the Hutus. We do not do business with tribes."
He believes that all this is a fabrication and no evidence will be produced against Kintex.
Following recent reports by international news agencies quoting allegations by Amnesty International about secret Bulgarian arms supplies to Rwanda, the cabinet press office issued a declaration on June 13 which read in part:
"This is not the first time Bulgaria has been implicated in allegations of arms supplies to terrorist organizations and regimes condemned by the international community.
"Bulgaria pursues a nationally responsible policy as regards arms trade. This is s sensitive issue and this country will continue to stand by its national interests in full compliance with the international standards, " the declaration said.
"Attempts to accuse this country of actions violating international rules are being made by circles that stand to gain from having Bulgaria's defence industry crippled.
"We will continue to pursue the cabinet's policy towards stabilization of the national defence industry as a way to provide national security guarantees, " the declaration said.