MILS-NEWS 03/04/95 (M.I.L.S.)

From: "Demetrios E. Paneras" <dep@bu.edu>

CONTENTS

  • [01] SECURITY COUNCIL ADOPTS RESOLUTION ON UNPROFOR

  • [02] GHALI'S REPORT CONSISTS OF FACTS, ANSON SAYS

  • [03] OPPOSITION PARTIES SUPPORT GHALI'S REPORT

  • [04] COUNTRIES AFFECTED BY EMBARGO TO MEET?

  • [05] DATE OF DIRECT TALKS UNCERTAIN

  • [06] GERMANY AIDS MACEDONIA-BULGARIA RAILROAD

  • [07] PROGRAM FOR CULTURAL COOPERATION WITH SLOVENIA

  • [08] SUCCESSFUL COOPERATION WITH ICRC

  • [09] CHARGES BROUGHT AGAINST SULEIMANI AND FEIZI

  • [10] RUGOVA DEMANDS FLEXIBILITY AND UNDERSTANDING

  • [11] THE CARNEGIE REPORT AND THE BALKANS

  • [12] MACEDONIAN POLITICAL EMIGRANTS SEND REQUEST TO UN

  • [13] MILS SPECIAL SUPPLEMENT: COMPANIES CANNOT WAIT ANY LONGER (Vecher, 1-2 April 1995)

    •

    M I L S N E W S

    Skopje, 3 April 1995

    [01] SECURITY COUNCIL ADOPTS RESOLUTION ON UNPROFOR

    Last Friday, the UN Security Council adopted a Resolution 983 regarding the role of UN troops in Macedonia. From now on, the troops will be referred to as UNPREDEP, to stress their preventive nature, as this is the first mission of this kind in the history of the United Nations. Macedonian Foreign Minister Crvenkovski stated that the Resolution is also positive by way of separating the UN forces in Macedonia from the ongoing war in the former Yugoslavia. The Resolution was preceded by the controversial report by Secretary General Boutros Boutros-Ghali, who questioned the regularity of last year's elections and census of population in Macedonia. Furthermore, his report refers to Macedonia's border with Serbia as to an "administrative boundary" and "forgets" that the Greek embargo against Macedonia is illegal. The Macedonian Foreign Ministry did send objections on the report, but they came too late due to, as stated in the media in Macedonia, the inefficient work of Macedonia's permanent representatives in UN. The press (weekly Puls and Vecher) also demands that Denko Malevski, head of the Macedonian mission to the UN, be called accountable.

    [02] GHALI'S REPORT CONSISTS OF FACTS, ANSON SAYS

    In regard to the UN Secretary General's report on Macedonia to the Security Council, the UN special envoy Hugo Anson stated, "I am aware that the report is dissatisfactory for Macedonia, but what was stated in it were only facts and, as far as I am concerned, it is the Secretary General who should answer to any objections. As you all know, the UN monitored the election in Macedonia, along with the OSCE and the Council of Europe, and described them as generally regular and fair. In fact, the report says generally the same thing, except for mentioning that VMRO-DPMNE and DP boycotted the elections and deny the results, which is in fact the truth. But I will once again stress that the UN acknowledged the results. As for the census, the Secretary General's view on this is also clear. Despite the fact that the international community verified the census results as correct, certain ethnic Albanian leaders continue to deny them. This is true, but it is also true that they are in fact denying the entire international community, as it recognized the results." Anson pointed out that the report has already been submitted, but said it would be good to have the written objections of the Foreign Ministry included as an official document at the Security Council. Minister Crvenkovski, he said, has already been asked to do so.

    [03] OPPOSITION PARTIES SUPPORT GHALI'S REPORT

    The Democratic Party of Macedonia and VMRO-DPMNE held separate press-conferences to support UN Secretary General's report on Macedonia. DP leader Petar Goshev said, "in article 40 of his report, the Secretary General objectively presents the power of the opposition in Macedonia, rightfully concluding that the irregularities in the elections in 1994 prevent the constructive political dialogue in the country... Immediately following the report, the government attempted to brainwash the public by presenting a statement of Mr. Hugo Anson, who is quite familiar with the situation in Macedonia and is aware that 470,000 voters in Macedonia said that the elections were irregular. Two days ago, he said that the opinion of the opposition in Macedonia is not relevant, probably in an attempt to lessen the negative effect of the report." VMRO-DPMNE also attacked objections stated by Foreign Minister Crvenkovski, who "irresponsibly claims that the elections were fair and democratic." The party says "this attempt to cover for an obvious forgery will present Macedonia as not a serious partner in international relations." VMRO-DPMNE sent a letter to Boutros-Ghali, enclosing additional evidence on "the elections in Macedonia being a government-organized forgery and results, therefore, cannot be accepted as a basis for establishing a legal and legitimate government."

    [04] COUNTRIES AFFECTED BY EMBARGO TO MEET?

    Bulgaria and Greece repeated their demands for lifting of the international sanctions on Serbia and Montenegro, suggesting a conference of the largest countries in the region to impose pressure on the UN to lift its sanctions, A1 reports. This was agreed upon during the recent visit to Bulgaria of the Greek Foreign Minister Carolos Papoulias. Bulgarian Foreign Minister Georgi Pirinski called on all countries affected by the embargo to address the UN and international community with a joint request for compensation. Papoulias suggested that Bulgaria, Belorussia, Hungary, Romania, Ukraine and maybe Russia attend the conference, to be held in Athens toward the end of this month. The Bulgarian suggestion, on the other hand, is wider and includes Albania, Macedonia, Austria, Italy and Slovenia.

    [05] DATE OF DIRECT TALKS UNCERTAIN

    Media in Greece write that Macedonian Foreign Minister Stevo Crvenkovski last Thursday notified UN mediator Cyrus Vance that Macedonia is presently unable to accept the invitation to start the negotiations with Greece on April 6, due to the Greek embargo still being in force. Nevertheless, the media say the invitation was not refused completely and talks are likely to start in the near future.

    [06] GERMANY AIDS MACEDONIA-BULGARIA RAILROAD

    Macedonian Minister of Traffic and Communication Dimitar Buzlevski met with Hans Lotar Stepan, ambassador of Germany to Macedonia, for talks on ways to use the 5 million German marks aid approved by the German Government for construction works on the Beljakovce-Deve Bair railroad section.

    [07] PROGRAM FOR CULTURAL COOPERATION WITH SLOVENIA

    Several days ago, as part of the Days of Slovenian Culture in Bitola, Macedonia and Slovenia signed a program on cooperation in the field of culture. The program results from last year's Agreement on Cultural Cooperation, and continues from 1995 to 1997. The program was also signed between the two countries' archives.

    [08] SUCCESSFUL COOPERATION WITH ICRC

    Last Friday, the newly appointed chief of the International Red Cross Committee's mission in Macedonia, Finn Ruda, who will replace Peter Luetolf, was introduced at a meeting of the Macedonian Red Cross. They pointed out the Committee's significant role in helping Macedonia complete its legal regulations regarding humanitarian aid, preparing of the Macedonian Red Cross' by-laws necessary so that Macedonia is admitted into the international Red cross family, as well as in forming efficient teams for distribution of humanitarian aid throughout the country.

    [09] CHARGES BROUGHT AGAINST SULEIMANI AND FEIZI

    The Municipal Public Attorney of Tetovo brought charges against Fadil Suleimani, rector of the university in Tetovo, on grounds of a criminal act of inciting to resistance, and against Miliam Feiziu, professor and president of the Human Rights Protection Forum of Gostivar, on grounds of participation in crowds and preventing police officers from exercising their duty. The indictment on Suleimani says he had committed the act by constantly inciting the Albanian population in the Republic of Macedonia to resistance against Government legal decisions and resolutions regarding the illegal university in Tetovo. Both accused will be kept in custody until the trial.

    [10] RUGOVA DEMANDS FLEXIBILITY AND UNDERSTANDING

    Makpress reports that Ibrahim Rugova, leader of the Albanians in Kosovo, said, "the Government and other institutions in Macedonia ought to show greater understanding and flexibility for the political, cultural and other demands by Albanians there." Rugova reportedly reminded that the dialogue between the Macedonian Government and the political parties of Albanians started as early as 1991, as part of the Geneva Convention and under mediation efforts by Gert Arens. "Certain progress has been made since then, and I believe solutions can be found to all problems in Macedonia with a greater envolvement by the international community and through dialogue."

    [11] THE CARNEGIE REPORT AND THE BALKANS

    At an international conference in Sofia, Bulgaria called "The Carnegie Report and the Balkans", participants agreed that the international community can do nothing to help the Balkan states unless they give up their inclination to resolve problems by use of force. A1 Television says the participants from Macedonia, Vladimir Milchin and Jovan Donev, said Macedonia should serve as an example of a state leading neighborly politics, because its borders are open to all friendly states and it has no territorial aspirations toward a neighboring country, despite the large number of Macedonians living in Bulgaria, Greece and Albania. Bulgarian participants attacked their position, insisting that the main goal of the 1913 Carnegie Report was to confirm the Bulgarian character of the Macedonian population.

    [12] MACEDONIAN POLITICAL EMIGRANTS SEND REQUEST TO UN

    Associations of political emigrants and refugees from the Aegean Macedonia sent an open letter to the negotiators in the Macedonian-Greek dispute at the UN - Cyrus Vance, Stevo Crvenkovski and Carolos Papoulias - to include injustices done to Macedonians from this part of Macedonia in the negotiations. The request also asks that Greece be forced to cease its genocide and ethnic cleansing of Macedonians, return the properties confiscated from Macedonians expatriated from Greece during the Civil War, respect the freedom of movement and allow its citizens who are "not Greek in origin" to return to their homes there, cease its discriminatory policies toward Macedonians and enable them to implement their basic rights. The Greek demand that Macedonia give up its name, flag and constitution is aimed at destroying Macedonia's identity and freely continuing with the genocide over Macedonians in Greece, the letter says.

    [13] MILS SPECIAL SUPPLEMENT: COMPANIES CANNOT WAIT ANY LONGER

    (Vecher, 1-2 April 1995)

    Macedonia's efforts to catch up with privatization processes in Central and Eastern Europe has already started to yield results. The number of privatized companies in Macedonia is growing by the day, and the public was recently able to witness the first public sale of shares. In the middle of this enthusiastic campaign which the Government undertook to establish a private portfolio in the country as the only way to a successful national economy, loud rumors continue to object against the model and ways of implementation of the privatization. Information on what the World Bank expects of the privatization in Macedonia are also often contradictory; Minister of Finance Dr. Jane Miljovski said only recently in Parliament that there is an increasing egalitarian resistance toward the privatization in the country. The following is an interview with Dr. Miroljub Shukarev, Director of the Privatization Agency, who tries to explain several dilemmas concerning this issue. Question: The final negotiations between the Macedonian Government and the World Bank on a second loan for economic revival are to begin in Washington today. What is the position that you will present in the U.S.? Answer: First of all, I must underline that the World Bank does not impose any explicit demands of its own, but only insists on realization of the plan as determined by the country itself undergoing privatization . The basic thing to be cleared up in Washington is the definition of a company according to the Macedonian legal system. Macedonia entered the privatization process with about 1,500 companies. We had the list of these companies submitted to us by the Payment Operations Bureau (then Auditing Office), only to realize later that it needs to be clarified on various bases. For instance, there are 35 large corporations in Macedonia with numerous limited sub-companies; only in the 23 largest loss- producing firms, there are 152 sub-companies with separate gyro accounts. They are classified to be small and medium- sized companies by the World Bank, while practically they are still prevented to enter a transformation process. Furthermore, the list also included companies which were either already privatized or even established as privately owned from the very beginning. We have to make sure that the World Bank realizes this and that is why we are going to Washington, equipped with the necessary documentation. Some of the companies have been erased from the list and this is an advantage, as privatization and liquidation are one and the same thing from the Bank's point of view. A second element of the talks in Washington will be the enforcement of a legal and law-making activity in Macedonia in order to accelerate the privatization in sectors excluded from privatization under the current Privatization Act. If we come to terms on all these issues, we will easily achieve the planned number of 940 companies to be transformed this year. We may even do better than this. Question: Rumors are the World Bank also insists on changes in the current Privatization Act to accelerate the process. Is this true or are they just requesting minor corrections? Answer: There has been no mention of changes in the Privatization Act whatsoever. This would be unacceptable from the point of view of the privatization itself and national interests as well, especially now that we have secured a continuation in the process. This would only slow things down. The companies would be faced with another delay and this would be unfavorable not only because of the foreign credits, but also because of the overall economic situation in the country. It is true that we are working on some changes in the appraisal methodology for the purpose of accelerating the entire process, but we are not changing the methodology; it is only to be supplemented by adding the comparative method. The need for this method was there from the very beginning, but we could not implement it since we were presented with no single appraisal and there was nothing to be compared. Now we have 250 completed appraisals and we will publish the figures in the Agency's bulletin, thus helping the evaluators to work more quickly. There have been objections to the objectivity of the appraisal of companies. But, there is an unwritten rule that the evaluator is never in the right. It is the market that determines the real value of companies. Some say that "Oteks of Ohrid, being a textile giant, was under valued, but when its shares were offered at a public sale, their value fell down by 20 per cent. Question: Do these initial public sales indicate the direction in which the private capital in Macedonia will be going? Answer: The capital is in fact a fearful rabbit. It can move quickly back and forth from one branch to another only because a profit can be made more quickly in this other branch. Whether companies will attract investors depends really on the quality of their working and this urges them to try and be competitive, regardless of the branch they belong to. It is too early to talk of any results of the public sales, as they have only begun. What we know for certain, though, is that there will be two types of investors: the first will insist that their capital be secured and will invest in stable companies, while the second type of investors will go for a quick turnover of capital and will invest in companies granting high dividends. This capital will be moving quickly, mostly in small and medium-sized companies. Naturally, all this requires an effective stock market and we are working on this together with the Government, and I believe it will be established by this autumn. In the eyes of the Agency, it is important that the logic of private capital becomes a part of the mindset of companies, as this will impose a pressure on the rest of the social capital to be transformed more quickly. Question: What are your comments on objections on the entire privatization, presented recently at the meeting of the Chamber of Commerce? Answer: Some of them are of a political nature. We, as an official privatization agency, are only implementing a law currently in effect and we refuse to think what would be if things were different. We do accept remarks about the organization of the Agency and work on its improvement constantly. We are doing our best and I believe that we are succeeding in our attempt to grow into an agent in the service of companies. I agree that we may have gone beyond our authorities in some instances, but only because we believe that we will only contribute to establishing the process on a qualitative basis if we offer expert suggestions and advice. For instance, the prospectus for public sales of shares is a job of the companies themselves. We undertook to organize the first sales in order to establish a model for the future. After all, once the companies take over this obligation, this will make things easier for us as well. Question: Is the growing egalitarian resistance against privatization having negative effects on the work of the Agency? Answer: Our sources confirm that there really is such a resistance. An increasing number of people already feel the reality that the privatization is happening. This resistance is probably also partially due to the fact that those opposed to our privatization model have now realized that it is proving successful and are doing all they can to at least slow it down. There is this fear of having an owner of a company at the top, but it is slowly disappearing in the already privatized companies. The neighbors of this country also have an influence on the situation here. If unrest occurs in Hungary, Romania or Russia, it is only normal that a part of this egalitarian fear comes to Macedonia as well. Even more so because certain political parties support such fears, not because they are against privatization, but only because they would like to see the current government fail. Being an agency, we are apolitical. We are assigned a task of carrying out a program and we are doing this professionally and paying no attention to outside pressures.

    (end)

    mils-news 3 April 1995

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