Sofia, June 29 - At a joint news conference today the foreign ministers of Bulgaria and Turkey - Georgi Pirinski and Erdal Inonu, described Mr. Inonu's two-day official visit here as "particularly useful". They expressed satisfaction with the present state of bilateral relations and stressed the need to promote them further. "The relations of cooperation and goodneighborliness which we sought to promote further with Foreign Minister Inonu today, are entirely within the interests of the two peoples and are not directed against third countries, " said Foreign Minister Pirinski who received an invitation to visit Ankara. Pirinski and Inonu signed a protocol for broadening cooperation between Bulgaria and Turkey. It is based on the Treaty for Friendship, Goodneighborliness, Cooperation and Security, signed by the two countries in Ankara in 1992, the ratification documents of which were exchanged today, and on the 1994 protocol for cooperation. The protocol provides for holding political consultations between the two foreign ministries this autumn in Ankara at deputy foreign minister level to discuss the delimitation of the borderline along the mouth of the Rezovska River and the sea border. It was agreed to set up a group of experts to discuss property, social and humanitarian issues at a meeting by the end of this year as well as to hold a meeting of experts in scientific, cultural and educational cooperation. The two sides agreed on holding consultations between the consular departments of the two ministries and on making a review of the legal basis of bilateral relations. In response to a question, Pirinski said opinions on the development of Black Sea Economic Cooperation differed.
During his talks with Foreign Minister Inonu, Pirinski defended the thesis that Black Sea Economic Cooperation should start with the development of specific areas - transport, telecommunications, environment protection and power engineering. The other thesis is the institutionalization of Black Sea Economic Cooperation, Pirinski said. Bulgaria's membership in the Parliamentary Assembly of Black Sea Economic Cooperation was one of the main topics of Inonu's talks this morning with National Assembly Chairman Blagovest Sendov. Sendov told journalists that for the time being Bulgaria is refraining from membership in the Parliamentary Assembly, giving precedence to economic rather than to political and parliamentary cooperation in Black Sea Economic Cooperation, because Bulgaria's policy is directed towards European and Euro-Atlantic structures. Turkish Foreign Minister Inonu expressed the hope that there will be progress on this issue in the near future. Inonu and Sendov noted the upgrade development of bilateral relations. Members of the parliamentary Foreign Policy Committee acquainted Inonu with the stands on issues on which the Bulgarian parliamentary forces have reached consensus. After the meeting the chairman of the Committee, Nikolai Kamov of the ruling Bulgarian Socialist Party (BSP), said the opposition set forth the differences and overtones in the stands on the Yugocrisis and NATO membership. According to Kamov, Bulgaria and Turkey have identical stands on many important issues and where there are differences these could be overcome by means of dialogue and on the basis of bilateral agreements. Turkish Foreign Minister Inonu talked consecutively with the leadership of all parliamentary groups. "We stressed that the policy of the left wing is to strengthen the spirit of cooperation and friendship in the Balkans as a whole and in bilateral relations, " BSP floor leader Krassimir Premyanov said after the meeting. "We promised ourselves mutual support in our efforts for integration with the European structures, " Union of Democratic Forces floor leader Yordan Sokolov said. The MPs of the Popular Union raised the issue of the extension of the border checkpoint at Malko Turnovo (Southern Bulgaria) and easing visa regulations for businessmen. This issue was also raised by MPs of the Bulgarian Business Bloc. The leadership of the parliamentary group of the ethnic Turks' Movement for Rights and Freedoms (MRF) expressed concern over the policy of disintegrating Bulgarian Turks from society, pursued by the BSP over the past five or six months. "Dismissals, open discrimination in some regions, reappointment of people who took an active part in the Regeneration Process and the manipulation of the mufti institution is play with fire, " said MRF leader Ahmed Dogan after the meeting. He stressed that not only the BSP is responsible for the policy of disintegration but the other political forces as well.
Sofia, June 29 - The Presidents of Bulgaria and Azerbaijan, Zhelyu Zhelev and Geidar Aliyev, told a news conference here they were pleased with their talks and the documents they signed. Aliyev made an official visit to Sofia today.
Earlier today the two presidents signed an interstate Treaty for Friendly Relations and Cooperation, as well as six agreements on trade and economic cooperation, legal assistance and transport. President Aliyev met with Prime Minister Zhan Videnov and Parliament Chairman Blagovest Sendov and addressed Parliament.
The role of Bulgaria and Azerbaijan in Black Sea cooperation and European integration was underlined at the meeting between Videnov and Aliyev, the government press office said. Infrastructure and communication projects involving the two countries and the possibility to establish transport links across the Black Sea and the Caspian Sea were on the agenda of the meeting. The sides discussed at length the settlement of regional conflicts and post-conflict cooperation for which the groundwork is being laid now, the press release says.
Speaking at the news conference, President Zhelev said the Bulgarian-Azerbaijani agreements completed what he called the Caucasian round of Bulgaria's diplomatic invasion.
Zhelev stressed that the documents signed today were the second important step in the development of bilateral relations since 1992 when Bulgaria became one of the first countries to recognize the sovereignty and territorial integrity of Azerbaijan. This step was highly praised by Aliyev today. Zhelev said the next step would be the implementing of the agreements a goal for whose achievement Azerbaijan will spare no effort, according to Aliyev.
The export of 35 million dollars' worth of Bulgarian-made Chavdar buses, which will be completed in Azerbaijan, is under way. The Dezintegrator company in Stara Zagora (Southern Bulgaria) is readying to build a pharmaceutical plant in Azerbaijan. Negotiations for the import of 6, 000 tons of cotton in Bulgaria are making good progress. "We are interested in another oil conduit along which we could receive oil products, " Zhelev said. Zhelev and Aliyev exchanged opinions on this issue. "I do not think there is any harm in two oil conduits crossing a country, " Zhelev said in response to a question whether Bulgaria's proposal today does not contradict Bulgarian-Russian talks on an oil pipeline through Bulgaria. According to Zhelev, this would give a country more guarantees of its independence to act. "I see no particular controversy, " Zhelev said. Aliyev said that there are different options for the oil conduit according to the contract signed last year with Western companies - through Russia, Turkey, Iran and Georgia. The talks between Zhelev and Aliyev also discussed the Bourgas option but the Azerbaijani President said he could not be specific on this issue because the final choice would depend on economic and security considerations and possibly on political interests. "We should carefully study all possible options, including the one we discussed with Zhelev today, " Aliyev said. The news conference devoted special attention to the conflict in Nagorno-Karabagh. Aliyev stressed repeatedly that Azerbaijan would do everything possible in order not to break the cease-fire of May last year. "We do not wish a resumption of hostilities, we want this conflict to be solved by peaceful means, " Aliyev said. Zhelev expressed Bulgaria's wish to help, according to its abilities, in solving conflict situations in Nagorno-Karabagh. "Bulgaria supports the Organization for Security and Cooperation in Europe (OSCE) and it is ready to send its civilian observers to help solve the conflicts in a peaceful and just way, " he said. In response to a question, Zhelev added that Bulgaria is ready to participate under other forms as well, "but naturally under the aegis of the OSCE". Aliyev said that at the Politburo of the CC of the CPSU he had repeatedly heard former Bulgarian communist leaders express a wish for Bulgaria to become the 16th Soviet republic. "It is fortunate that this did not happen. This mistake could have cost the Bulgarian people a lot, " Aliyev said.
Washington, June 29 - Bulgarian Deputy Foreign Minister Konstantin Glavanakov made a working visit to Washington on June 26 and 27, the Foreign Ministry said. Glavanakov met with John Smith of the National Security Council, Under Secretary for Political Affairs Peter Tarnoff, Assistant Defense Secretary Joseph Kruzel, and Jay Burgess, Director for Europe and the INS at the Commerce Department. During the talks the sides agreed that bilateral cooperation is making progress in all spheres.
The US officials praised Bulgaria's active balanced foreign policy, characterized by continuity, consistency and practical orientation, thanks to which Bulgaria's stabilizing role in southern Central Europe has won wide recognition, the Foreign Ministry's press office said.
The US administration officials reaffirmed their readiness to continue their support for Bulgaria's reform process, aimed at the strengthening of democratic values and market economy principles. They also pledged support for initiatives of the Bulgarian government intended to guarantee peace and mutually beneficial cooperation, the press release also says.
Bulgaria was assured that it would soon be granted permanent most favored nation status through its exclusion from the Jackson-Vanik amendment to the Trade Reform Bill.
The US will support Bulgaria's candidacy for the World Trade Organization and will join the effort to mitigate the negative effect on third countries' economies of the strict enforcement of sanctions against Serbia and Montenegro.
In New York Glavanakov will meet with the management of the Bulgarian-American Enterprise Fund, the President of the World Jewish Congress and US business representatives, the press release says.
Sofia, June 29 - Representatives of twenty-two countries of Central and Eastern Europe and Central Asia discussed here today joint actions to implement the Biological Diversity Convention. The seminar is organized by the UN Environment Program (UNEP) with the help of the Bulgarian Ministry of the Environment.
It is politically important that the participants adopted a joint communiqui, Mr. Yakola of the UNEP Secretariat told BTA. The document outlines the key problems of biodiversity protection in the transition countries, he said. According to him, in these countries economic issues push to the background environmental issues, which results in damaged ecosystems. The communiqui reflects the participants' wish for regional cooperation.
"We believe that the implementing of the 1992 Biological Diversity Convention will make progress after the seminar and the extinction of endangered species will be prevented.
"Bulgaria was chosen to host the event because at an earlier stage it mapped out, with external financing, its own strategy in this area, " Yakola said.
Bulgaria has not ratified the Rio Convention but has actually been implementing it through a number of projects according to experts of the Environment Ministry.
Sofia, June 29 - The Cabinet approved today an agreement with Moldova on international road transport of passengers and freight signed on December 12, 1994 in Chishinau.
The Government sanctioned the "Ernst Kenkel" Ukrainian scientific research ship to carry out research in Bulgaria's exclusive economic zone in the Black Sea from September 5 to October 5, 1995 in the presence of Bulgarian experts on board and provided the Bulgarian side is acquainted with the data and the results of the research.
The Government sanctioned seven Russian warship to undergo planned repair at the Varna shipyard from July 1, 1995 to May 30, 1996. The repair will be carried out under a long- term agreement between Bulgaria and Russia and all arms and reconnaissance equipment will be taken off board. The Russian "Mius" ship was also allowed to undergo repair at Port Varna from July 13 through September 13, 1995. The Government sanctioned the US Dallas warship to call at Port Varna from July 10 to 13.
The Government heard a report on the resumption of the work of the joint Bulgarian-Australian Committee for Economic Cooperation. Its seventh session will be held from July 4 to 6 in Sofia.
The Cabinet proposed that Bulgaria join the European Foreign languages Centre and assigned the Minister of Education, Science and Technologies to take the necessary steps.
The Government approved an agreement on legal aid in civil and criminal cases and an agreement regulating the extradition of persons between Bulgaria and Slovenia.
After lengthy debates and many delays the cabinet today adopted a Social Insurance Fund Bill. "All proposals have been considered and maximum guarantees have been provided for the fund's success, " said Labour Minister Mincho Koralski.
A National Security Institute accountable to Parliament is to administer the social insurance funds. The sources of funds will be contributions, budget appropriations, proceeds from the property of the Social Insurance Fund, interest, dividends, etc. The budget will make appropriations for certain pensions, one- time maternity allowances and subsidies.
The funds will be administered by banks selected by the central bank and the Finance Ministry on a proposal by the supervisory board of the National Security Institute.
The Bill envisages the allocation of a mandatory reserve that will guarantee the payment of benefits and allowances. In case of temporary difficulties, the fund may receive short-term interest-free loans.
The National Security Institute will have two-tier management and will make decisions by a two-thirds majority.
The Bill aims at the phased separation of social funds from the budget, Koralski said. At present social insurance is entirely financed from the budget. Koralski insists that the Bill should be enacted before Parliament's summer recess.
The trade unions and employers' organizations yesterday criticized the ways of effecting social reform, the fund's administration and the level of state guarantees envisaged in the Bill. Employers claim that the fund's administration is not fully clarified and that Social and Health Insurance Bills are in conflict.
Sofia, June 29 - Deputy Prime Minister and Minister of Economic Development Roumen Gechev ended his visit to Moscow where he took part in a Bulgarian-Russian business forum. During his three-day visit Gechev met Russian Economy Minister Yevgeni Yasin and Finance Minister Vladimir Panskov. Upon his return Gechev said that the agreements exceeded his expectations. An agreement in principle was reached for reducing customs duties on some categories of Bulgarian goods. Among the most important contracts are a Balkancar contract for six joint ventures, an agreement for the exchanging agricultural equipment for Bulgarian goods, an agreement for a joint venture for oil and gas extraction equipment in Russia and an agreement in electronics, National TV said.
Sofia, June 29 - Parliament today passed at second reading a law on securities, stock exchanges and investment funds. During the debates, the parliamentary forces manifested unprecedented unity, Deputy Minister of Economic Development Gancho Ganchev said after the passage of the law. The Securities, Stock Exchanges and Investment Funds Act is one of the most important instruments for the formation of modern market structures in Bulgaria. It will give an impetus to the investment process, facilitate the public debt financing and privatization, and attract fresh foreign investments. Its passage is the first step of laying the groundwork for a smoothly operating financial system and financial markets in this country, Ganchev went on to say. The law regulates the issue of securities and transactions with them, the setting up and functioning of stock exchanges, investment brokers and investment companies, and the government control over them. A motion of the opposition to have a separate law on stock exchanges was rejected at the very opening of the debates. The law further provides for the setting up of a Committee on Securities and Stock Exchanges to control the issue of and transactions with securities, the setting up and operation of stock exchanges, investment brokers and investment companies.
The major task of the Committee is to protect investors' interests and encourage the development of a security market. The law defines securities as negotiable instruments or rights, such as shares and bonds, and other instruments and rights related to shares and bonds. They can also be offered in book- entry form. Securities are put up for sale in public offerings held after the issuer has published a prospectus and an invitation for a tender, providing detailed information about the issuer and the securities to be traded. Share issuers will report periodically to the Committee on Securities and Stock Exchanges. To set up a stock exchange, the applicant should have a minimum capital of 100 million leva. At least 25% of it shall be deposited upon the filing of the application and the rest, when the issue of a permit for setting up a stock exchange. Two-thirds of the capital or more must be held by banks, investment dealers, financial houses or insurance companies. Parliament turned down a motion of the opposition to have this figure set at one-third. A stock exchange shareholder is not allowed to hold more than a 5% interest. This restriction is not valid for the state when it has an interest in the form of equity in kind contributions. Transactions with securities can be effected only by joint-stock companies, banks and limited-liability companies with a capital of at least 1 million leva. All transactions will be registered in a central depository. Settlements in security transactions will be effected by means of bank transfer. Under the law, an investment broker can be a member of one stock exchange only. Legal claims against stock exchange members in connection with transactions effected at the stock exchange, shall be settled by a stock exchange arbitration court. Under the new law, an investment company is a joint-stock company whose line of business is investing in securities. Investment companies will issue limited voting shares against payment of their issue price.
Investment companies can be open-end and closed-end. The first type go on selling shares and buying them back at the request of its shareholders; it cannot borrow or extend loans, or act as a guarantor for a third party. Closed-end investment companies are under no obligation to buy back their shares. The property of investment companies includes securities offered for trade at stock exchanges, government securities, shares of other investment companies, movable and immovable property (shares, movable and immovable property can made up no more than 5% each or 10% taken together, of the company's capital), and equity in cash (it should made up at least 10% of the company capital).
Sofia, June 29 - Russia will deliver gratuitously to Bulgaria 100 T-72 tanks, 100 BMP-1P combat vehicles and 12 MI-24 specialized strike helicopters. This modern combat equipment will be cascaded in compliance with Article 8 of the Conventional Forces in Europe Treaty to replace older equipment of the same type in Bulgaria, Deputy Defense Minister Dimiter Mitkov said at a news conference today. Bulgarian experts will visit Russia to study possibilities for receiving more combat equipment. This agreement was reached today during the talks with an official Russian military delegation visiting here led by Colonel General Dmitri Kharchenko, Chief of the International Military Cooperation Chief Department and Deputy Chief of the General Staff of the Russian Armed Forces. The two sides coordinated the list and prices of spare parts with which Russia will settle part of its debt to Bulgaria as well as the ways of payment. The Bulgarian side raised the issue of exempting the deliveries from export fees and customs duties and for signing deals on a barter basis.
The deliveries will start immediately after the Russian side is ready, Mitkov said. Bulgarian military will continue to be trained at Russian military schools in compliance with the needs of the Bulgarian army, it was announced at the news conference. Last year the Russian General Staff Academy trained nine Bulgarian officers and this year their number is six.
Sofia, June 29- Conscripts will be called up for military service four instead of two times a year, Major General Lyuben Pandev, Chief of the General Staff's Logistics Department, told a news conference today. This measure is intended to ease tensions between successive drafts and eliminate hazing rituals.
Until 1997, recruits will be trained for three months in 30 centers in the larger towns. Laws and statutes, the ensuing rights and obligations and the safe handling of arms will be in the focus of attention of the training courses. During the second stage of reform, rookies of all armed services will be trained in eight larger centers.
Candidates for admission to universities and university students in their last year will be called up in the year following entrance exams or graduation.
Sofia, June 29 - The Bank Consolidation Company (BCC) will sell its interest in the Bank for Agricultural Credit before the end of the year, the papers write today. The BCC holds 25 percent of the private bank's shares. The proceeds will be used for the recapitalization of large state banks, "Troud" says.
"Standart News" reports that foreign investments worth 50 million dollars have been made in Bulgaria since the beginning of 1995. According to Daniela Bobeva, Director of the Foreign Investment Agency, the reason for this small amount is that the Bulgarian law does not provide concessions for large companies. Foreign investors are mainly interested in Bulgaria's power engineering and the food processing industry.
Bulgaria will settle its debt to Hungary supplying medicines, "Standart News" says. Troyapharm, a pharmaceutics plant based in Troyan (Northern Bulgaria) will export medicines to Hungary of 85 million transferable roubles' worth. Bulgaria has already settled its debt to Slovakia and the Czech Republic. Negotiations on the 130 million transferable roubles debt to Poland are underway; it is expected to be paid by the end of the year, the paper writes citing an expert.
Balkancar will set up joint ventures with Russia, the financial news daily "Pari" writes. Agreements were concluded on the establishment of five Bulgarian-Russian partnerships for the assembly, sale, maintenance and repair of industrial trucks. There is great interest in the products of Bulgaria's mechanical engineering, the "Pari" correspondent reports from Moscow. Deputy Prime Minister and Minister of Economic Development Roumen Gechev is visiting Moscow at the moment.
Sofia, June 29 - The central bank's Governing Board today cut the base interest rate by four percentage points to 44 per cent, effective as of July 3. This is the second four-point cut from 52 per cent this month and the sixth base rate cut since January. In 1994 the base rate stood at a record-high 72 per cent for six months.
Sofia, June 29 - The June 30 issue of the BTA Bulgarian Economic Outlook (BEO) weekly runs highlights of the Bulgaria Human Development Report 1995, drawn up on the initiative of the United Nations Development Program. Prominent Bulgarian economists express their views on the investment climate in the country and on whether Bulgaria faces hyperinflation. BEO offers the latest statistical data about Bulgaria's economy and current economic, banking and political news.