Bulgarian Telegraph Agency (BTA), 96-11-12

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From: Embassy of Bulgaria <bulgaria@access1.digex.net>

EMBASSY OF BULGARIA - WASHINGTON D.C.

BTA - BULGARIAN TELEGRAPH AGENCY

12 November, 1996

CONTENTS

[01] I.M.F. OFFICIAL MEETS BULGARIAN POLITICIANS

[02] PLENUM OF BSP: 14 HOURS AND COUNTING

[03] VIDENOV NOT EXPECTED TO RESIGN, PARTICIPANTS IN SOCIALIST PLENUM SAY

[04] BULGARIAN POSTS AND TELECOM PROJECTS FINANCED UNDER PHARE

[05] BULGARIA, CHINA SEEK OPPORTUNITIES TO EXPAND COOPERATION

[06] CHAMBER OF COMMERCE AND INDUSTRY: INTERNATIONAL CONTACTS

[07] PROMINENT ACTOR STEFAN GETSOV DIES

[01] I.M.F. OFFICIAL MEETS BULGARIAN POLITICIANS

Mr Deppler arrived unexpectedly at the end of last week, shortly after the regular IMF mission led by Anne McGuirk, and immediately set forth to Bulgarian financiers and politicians the IMF's idea on the introduction of a currency board in this country. He said that the proposal emerged in the multilateral institution after the IMF/World Bank Annual Meeting a month ago and is the best option under the country's present financial circumstances.

"What the currency board is all about is financial discipline," said Finance Minister Dimiter Kostov who attended the meeting between Prime Minister Videnov and Mr Deppler. Mr Kostov does not think that the social safety net programmes are jeopardized by the currency board to a greater extent than by the fast rate of inflation. "Decelerating inflation is the most important social programme," he emphasized.

The United Democratic Forces can offer an alternative to the introduction of a currency board in this country, UDF leader Ivan Kostov said after seeing Mr Deppler today. Mr Kostov said the opposition will not agree to a dialogue and will not be inclined to accept the IMF proposals unless the BSP withdraws from the administration of the country's top financial authorities.

Bulgaria's President elect Peter Stoyanov, who ran on the ticket of the united opposition, said he believed a period of adaptation was needed so as to overcome the shock of the ascertainment of the critical condition of Bulgarian finances and the extremely strong medicine proposed by the IMF at the same time. The state of the country's finances makes it possible to consider the matter of a currency board until the beginning of 1997, when a "yes" or "no" answer will be relevant, Mr Stoyanov said.

Conferring with the IMF officials today, outgoing President Zhelyu Zhelev did not take a definite stand on the Fund's proposal. According to the President's Economic Adviser Kiril Velev, Dr Zhelev will initiate a broad public discussion and consultations on the problem with the political forces and public institutions. Mr McGuirk told the President that the IMF is ready to react immediately if a decision on the introduction of a currency board is made in Bulgaria. She described this choice as "good for the country" and stressed that the critical deadline for start of the currency board is the end of this and the beginning of next year. Before the end of this week, Dr Zhelev is scheduled to meet the central bank's Governing Board, the National Assembly Budgetary Committee, the Minister of Finance, representatives of the Association of Commercial Banks and individual IMF experts.

Local tradeunionists said that before the end of November they will conduct studies and hold consultations on the social ramifications of the introduction of a currency board in Bulgaria.

[02] PLENUM OF BSP: 14 HOURS AND COUNTING

After the close of the debate, the participants are expected to take a vote on the confidence which Mr Videnov asked for his Government and on the motion to schedule an extraordinary BSP congress by the end of this year or early in 1997.

The plenum was called in the wake of the presidential elections in which the Left trailed the united opposition by 20 percentage points and after 19 prominent Socialists, including MPs and members of the party's top leadership, published an open letter demanding a revision of the Left's policies and a new Socialist government. The idea has received backing from some local BSP branches as well.

[03] VIDENOV NOT EXPECTED TO RESIGN, PARTICIPANTS IN SOCIALIST PLENUM SAY

As officially announced, the plenum attended by the BSP top leaders, the Socialist MPs and the Cabinet members will analyse the results of the presidential elections and the situation in the country and will outline the immediate tasks of the Socialist Party. BSP leader Zhan Videnov will present a report. The plenum is also expected to consider the holding of an extraordinary congress and set its date.

The Socialist daily "Douma" wrote today that Zhan Videnov was ready to move for the collective resignation of the Government at the plenum. Socialist functionaries told reporters before the opening of the plenum that they did not expect Videnov's resignation. Videnov himself stated on Saturday, November 17, that Cabinet changes were possible only after clarifying the policy. He hopes that this evening's plenum will make a serious step in clarifying the policy of financial stabilization over the next months. According to participants in the plenum, Videnov had submitted a letter asking for a confidence vote; his keeping the post of Prime Minister would depend on this vote.

"Keep Zhan," followers of the Socialist Party gathered in front of the BSP headquarters in Sofia were telling the participants in the plenum on their arrival. However, many members of the Socialists' top leadership insist on a change in the policy and on forming a new government of the Left.

"I believe that it stands to reason to form another Socialist government," former BSP leader Alexander Lilov stated. He is one of the 19 prominent Socialists who came up with an open letter demanding that the Left revise its policy and compose a new cabinet. Most of them were met with "Traitors" and "Coupsters" by the supporters of the BSP, and Prof. Chavdar Kyuranov, leader of the reformist Alliance for Social Democracy, was booed.

Former Socialist leader Lilov is categorical that there must be changes in the Government of the Left and in the Socialist Party itself, thought "not drastic ones". "The question is about formulating a policy for the fulfilment of the election platform of the Socialist Party until the end of its term," Lilov told reporters.

"Every policy has an alternative from the very first day of its implementation. The question is weather this alternative will be found and realized," Minister of Labour and Social Affairs Mincho Koralski said. Koralski made it clear he is ready to resign but that this question should be decided by the Left's parliamentary group.

"I am interested in politics and not in names," Minister of Trade and Foreign Economic Cooperation Atanas Paparizov said.

MPs Alexander Marinov and Elena Poptodorova said they do not expect Videnov to resign. The two are among the 19 Socialists having signed the open letter.

The reform and its model should be revised so as to strengthen and promote the development of Bulgaria, MP and former agriculture minister Todor Pandov said. Asked about the possible resignation of Prime Minister Videnov, Pandov said the problem is not in the personality but in the model of the reform.

MP Stefan Stoilov, professor in economics and ex-minister in charge of the economic reform, said he is for a new cabinet.

Another Parliament member, Angel Dimov, said a new policy is needed and whoever implements it will govern. According to Dimov, Videnov will keep his position as prime minister.

Kosta Andreev, MP and Editor-in-Chief of the Left-oriented "Zemya" paper, said it is possible that a new Cabinet is assembled with Zhan Videnov ahead of it again.

Nikolai Kamov of the BSP top leadership said the Socialists should make a right and adequate political decision. Kamov is one of the 19 signers of the letter. Kamov noted that the participants in the meetings of the BSP regional structures made statements in support of the changes.

According to press publications, the regional meetings were almost equally divided: half of them supporting Zhan Videnov and the other half demanding new policy and government.

So far opinions on whether Videnov should step down or stay on as Prime Minister are divided, participants in the plenum said. The plenum is expected to continue until past midnight.

[04] BULGARIAN POSTS AND TELECOM PROJECTS FINANCED UNDER PHARE

In the autumn of 1990 Bulgaria signed the First Financing Memorandum with PHARE in the area of telecommunications. So far three financing memoranda for the sum made available for 1991, 1992 and 1993 have been implemented. A fourth one, for the 1994 budget allocation, is being realized at present.

The purpose of the first project of 3 million Ecu worth was to make an overall analysis of the sector of telecommunications and prove its reliability. As a result Bulgaria received a 150 million US dollars' worth loan from the European Bank for Reconstruction and Development, the European Investment Bank and the World Bank for the implementation of the Digital Overlay Network Project (the DON project) which was launched in 1994.

The funds received in compliance with the Second Financing Memorandum (of the same worth as the first one) were used to support various projects in the field of posts. The projects' realization involved the installation of alarm systems in 80 posts facilities nationwide and of surveillance cameras in 15 facilities in Sofia, Snezhana Angelova said. A project on the upgrading of Bulgaria's mail sorting and delivery system was also carried out with money from the 1992 allocation. Equipment for 120,000 Ecu was purchased for the training centres under the same project.

The PHARE funding was also used to develop a concept and a strategy for a national system on monitoring of frequencies. A mobile station for frequencies monitoring of the worth of 260,000 Ecu was purchased and is being installed, Angelova said. Funds extended in compliance with the Third Financing Memorandum were used for the purchase of a fixed monitoring station for 460 million Ecu.

The allocation for 1994 will be used to finance two similar projects. The projects envisage evaluation of the fixed assets of Bulgarian Posts Ltd. and the Bulgarian Telecommunications Company (BTC) and calculation of the expenses on the types of services offered. The Bulgarian Posts' project is of 800,000 Ecu worth and the BTC one - of the worth of 520,000 Ecu. A program on frequency management will also be financed under the fourth memorandum. It is envisaged to draft a project on the creation of a system for an overall control of the quality of the BTC services.

For two years now Bulgaria has been participating in the PHARE investment program for crossborder cooperation. BTC and the Committee of Posts and Telecommunications participate with two projects within the program: one on the building up of an optic fibre link between Kavalla (Greece) and Haskovo (Southern Bulgaria) and the second on the building of an optic fibre link between Sofia and Petrich (near the border with Greece). The projects are of the total worth of 2,600,000 Ecu and should be implemented in 1997, Snezhana Angelova said in the interview.

[05] BULGARIA, CHINA SEEK OPPORTUNITIES TO EXPAND COOPERATION

Sino-Bulgarian trade and economic relations do not correspond to the actual potentials of the two states, Deputy Prime Minister and Minister of Regional Development and Construction Doncho Konaktchiev, who heads the Bulgarian delegation, said after the meeting. In his view today the parties have laid constructive foundations of their future talks. Mr Konaktchiev identified as a direct goal the restoration of the volume of bilateral trade to its 1990 levels. He said that currently the commercial exchange amounts to less than 50 million US dollars. The parties agreed on cooperated manufacture and joint entry on third markets. Banking, insurance and the high technologies were identified as the most promising directions.

China also showed interest in Bulgarian chemical fertilizers and expressed readiness to import coal to Bulgaria. The parties also sought opportunities for cooperation in machine building, food processing and construction materials. Transport and power engineering are also estimated as promising fields. China made a framework proposal for the establishment of joint ventures for the manufacture of ready-made clothes, bicycles, small transport equipment, toys, shoes, TV sets etc. China also showed interest in importing Bulgarian production lines for fruit juices and others.

The two countries should concentrate their efforts in three directions: investment, technologies and manufacture, Mr Li Lanqing said during a meeting with National Assembly Chairman Blagovest Sendov, a representative of the Parliamentary press office said. China reportedly intends to develop in Bulgaria certain lines of business and export the output to third countries. The prospects for cooperation in wine production, where Bulgaria can offer its know-how have been estimated as very good. Bulgaria's stand in support of one China was estimated in positive terms.

During their visit the Chinese governmental delegation is scheduled to meet with current President Zhelyu Zhelev and with the President-elect Peter Stoyanov, as well as with the ministries of trade, of foreign affairs and of industry.

[06] CHAMBER OF COMMERCE AND INDUSTRY: INTERNATIONAL CONTACTS

In October the Chamber presented private and state-owned Bulgarian light-industry enterprises in Sweden and Finland. As a result of the contacts established, some of them reached specific agreements on joint activity and cooperation. Flavia, a state-owned shoe factory of Plovdiv (South Central Bulgaria), was then ordered the delivery of Bulgarian-made footwear and signed a contract for manufacture of shoes with raw materials supplied by the customer from the Ericsson Sitter Shoes chain of stores. Two Gothenburg-based companies showed interest in the output of chinaware maker Kitka of Novi Pazar (Northeastern Bulgaria) and said they want to take delivery of Bulgarian chinaware. Cotton- and polyester-fabric producer Mak of Gabrovo (Central Bulgaria) received an order from the Heneks & Moritz chain which asked the Galatea Fashion House of Varna (on the Black Sea) and Pako of Pazardjik (South Central Bulgaria) to present their autumn and winter 1997 collections and possibly to supply ready-made clothes.

[07] PROMINENT ACTOR STEFAN GETSOV DIES

A brilliant actor, who denied roles rather than make compromises, a perfectionist in his requirements, he graduated from the Higher Institute of Drama in 1954. His tutor there was the great actor- maker Prof. Nikolai Osipovich Masalitinov. After a season with the theatre in Bourgas (on the Black Sea), Getsov joined the Ivan Vazov National Theatre in Sofia.

His last role before his retirement in 1991 was in Hauptmann's "Before Dusk." There was no place for the actor on the stage in recent years, when Bulgarian theatre was severely hit by the economic crisis.

Some time ago he sadly told friends that he would rather not talk about art because only the scum has surfaced everywhere.

He performed some 50 stage and film parts. He appeared in plays by Shakespeare, Gogol and Chekhov and never used an understudy.

Getsov became an immediate favourite with theatre-goers. His exceptional assets: a deep, sonorous voice, expressive feature, an innate grace of motion made him ideal for tragic parts, critics write. They believe it was precisely tragedy that brought out the best in his naturalness and insight. Still, he was a successful character actor and even a comedian. He stood head and shoulders above his colleagues. Great Russian actor and director Sergei Bondarchuk said, referring to his talent, that such actors are born once in 300 years.

An authoritative reference book, published in Leningrad in 1982, listed him alongside Lord Olivier, whom Getsov knew in person and immensely admired. Stefan Getsov was an actor of great magnitude, as Masalitinov described his best loved student.

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