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RFE/RL Newsline, Vol. 4, No. 174, 00-09-08Radio Free Europe/Radio Liberty: Newsline Directory - Previous Article - Next ArticleFrom: Radio Free Europe/Radio Liberty <http://www.rferl.org>RFE/RL NEWSLINEVol. 4, No. 174, 8 September 2000CONTENTS[A] TRANSCAUCASUS AND CENTRAL ASIA
[B] SOUTHEASTERN EUROPE
[C] END NOTE
[A] TRANSCAUCASUS AND CENTRAL ASIA[01] SOUTH CAUCASUS PRESIDENTS ADDRESS MILLENNIUM SUMMITIn their 7 September speeches to the UN Millennium Summit, the presidents of Armenia, Azerbaijan, and Georgia--Robert Kocharian, Heidar Aliev, and Eduard Shevardnadze--all affirmed their commitment to democratization but said progress to a free market economy is hindered by unresolved conflicts, RFE/RL's UN correspondent reported. Kocharian said Armenia remains committed to finding a peaceful solution to the Karabakh conflict and will continue bilateral talks with Azerbaijan to that end. But he added that "we think direct negotiations between Azerbaijan and Nagorno- Karabakh would be more productive." Aliev and Kocharian met on the sidelines of the summit on 7 September, but no details of their talks have been disclosed. Shevardnadze, for his part, deplored the fact that 23 UN Security Council resolutions on Abkhazia adopted over the past seven years have failed to expedite a solution to that conflict. LF[02] ARMENIAN OPPOSITION PARTY LEADER RULES OUT ENTERING NEW ALLIANCEVazgen Manukian, chairman of the center-right National Democratic Union (AZhM), told journalists in Yerevan on 7 September that while he may hold talks at intervals with President Kocharian and Prime Minister Andranik Markarian, the AZhM does not intend to form an alliance with Markarian's Republican Party of Armenia or with any other party, RFE/RL's Yerevan bureau reported. He said the AZhM should not be considered in opposition to Markarian's government, in which it has one minister. Manukian argued against pre-term parliamentary elections on the grounds that the country's leading parties are not ready for them and the elections laws are seriously flawed. He also rejected as exaggerated rumors of serious disagreements within the AZhM. LF[03] ARMENIA, IRAN DISCUSS SECURITYArmenian Defense Minister Serzh Sarkisian met in Yerevan on 7 September with Iranian Ambassador Mohammad Farhad Koleini to discuss bilateral relations and the military and security situation in the region, Noyan Tapan reported. LF[04] ARMENIA, POLAND PLEDGE TO REVERSE DECLINE IN BILATERAL TRADEVisiting Polish Deputy Premier and Economy Minister Janusz Steinhoff attended an Armenian-Polish business forum in Yerevan on 7 September, Noyan Tapan and RFE/RL's Yerevan bureau reported. Armenian government ministers stressed the importance Armenia attaches to economic ties with Poland, while Steinhoff underlined the potential for cooperation in agriculture, the machine- building and chemical industries, and the manufacture of jewelry. Both sides expressed dissatisfaction at last year's decline in bilateral trade to $4 million, compared with $8 million in 1998. Steinhoff also noted Poland's interest in participating in the INOGATE and TRACECA projects. He pledged Warsaw's support for Armenia's efforts to join the World Trade Organization and integrate into other European structures. LF[05] U.S. STATE DEPARTMENT URGES AZERBAIJAN TO ENSURE PARLIAMENTARY POLL IS DEMOCRATICIn a statement released in Washington, U.S. State Department deputy spokesman Philip Reeker called on the leadership of Azerbaijan to implement the remaining proposals by the OSCE's Office for Democratic Institutions and Human Rights aimed at creating conditions that will ensure that the 5 November parliamentary poll is free and fair, Turan reported. Those proposals include guaranteeing access to polling stations by independent domestic election observers and allowing the functioning of free media. The statement also encouraged the Azerbaijani leadership to engage in a constructive dialogue with the opposition in the runup to the ballot. LF[06] CITY MAYOR REJECTS AZERBAIJANI EDITORS' REQUEST TO HOLD PROTEST DEMOThe Baku municipal authorities have rejected a request by the independent Union of Editors to convene a picket outside the Prosecutor-General's Office to protest the arrest of opposition "Yeni Musavat" newspaper editor Rauf Arifoglu, Turan reported on 7 September. Deputy mayor Gabil Abbasoglu said such a protest could be construed as pressure intended to influence the conduct of the investigation. Arifoglu is accused of terrorism, illegal possession of a firearm, and complicity in an abortive plane hijack attempt last month (see "RFE/RL Newsline," 21 and 23 August 2000). Also on 7 September, presidential administration official Ali Hasanov told a news conference in Baku that Arifoglu's arrest does not constitute oppression of the independent media and that he will be released if found not guilty. LF[07] AZERBAIJANI OPPOSITIONISTS FINED FOR 'HOOLIGANISM'A Baku district court on 7 September handed down fines of $600 each to four members of the Azerbaijan National Independence Party (AMIP) charged with hooliganism after picketing the home of parliamentary deputy Shamil Gurbanov, Turan reported. The four were protesting what they termed slanderous statements Gurbanov had made in the parliament on 21 July about AMIP chairman Etibar Mamedov. LF[08] MASS GRAVE UNCOVERED IN KAZAKHSTANA burial site containing the remains of several hundred persons was discovered during construction work on the territory of the Aqtobe Metal Plant in northwestern Kazakhstan earlier this week, RFE/RL's Kazakh Service reported on 7 September. It is thought the bodies are those of German forced laborers taken prisoner during World War II. LF[09] MORE FIGHTING REPORTED IN SOUTHERN KYRGYZSTANKyrgyz government forces clashed with fighters from the banned Islamic Movement of Uzbekistan (IMU) during the night of 6-7 September and early in the morning of 7 September, RFE/RL's Bishkek bureau reported on 7 September, citing the Kyrgyz Defense Ministry. One group of some 10 fighters attacked the Jyluu-suu border post overnight, and two militants were killed in a separate attack on a second border post in the Toeroe pass. Speaking at a press conference in Bishkek on 7 September, Kyrgyzstan's National Security Minister Tashtemir Aitbaev said he fears the militants' attacks may become an annual occurrence unless there is a political settlement of the civil war in Afghanistan whereby the border between Afghanistan and Tajikistan can be controlled, ITAR-TASS reported. LF[10] KYRGYZSTAN TO SET UP COMMITTEE FOR FOREIGN DEBTKyrgyzstan's Finance Ministry is to set up a special committee to deal with the country's foreign debt, Interfax reported on 7 September. The government has drafted and will soon submit to the parliament legislation on the state debt and its repayment. Kyrgyzstan's total foreign debt is estimated at $1.2 billion, its main creditor being Russia ($30.5 million). The country must repay $56.9 million in principal and $26.6 million in interest this year. LF[11] TURKMENISTAN, INDIA PLAN TO EXPAND COOPERATIONTurkmenistan's President Saparmurat Niyazov met in Ashgabat on 5 September with Indian Minister of Culture and Tourism Ananth Kumar, Asia Plus- Blitz reported on 7 September. The two discussed bilateral cooperation, including the creation of a joint working group that will focus on power engineering projects. Indian Prime Minister A.T. Vajpayee is to visit Turkmenistan soon. LF[12] UZBEK PRESIDENT SAYS CHINA SUPPORTS STRUGGLE AGAINST 'TERRORISTS'Chinese leader Jiang Zemin has written to Uzbekistan's President Islam Karimov assuring him that Beijing backs the Uzbek government's campaign to protect the country's sovereignty against incursions by the IMU, Interfax reported on 7 September quoting the Uzbek presidential press service. Jiang said he believes the anti-terrorism measures jointly endorsed by the "Shanghai Five" at their summit in April will facilitate the struggle against separatism and terrorism and also promote military and security cooperation between China and Uzbekistan. Beijing has recently given Tashkent military equipment worth some $365,000, including sniper rifles and ammunition. LF[13] FOUR GUUAM PRESIDENTS MEETThe presidents of Georgia, Ukraine, Azerbaijan, and Moldova met on 7 September in New York on the sidelines of the UN Millennium Summit to discuss how to transform the grouping from an informal into a formal organization, UNIAN and Interfax reported. Uzbek President Karimov did not attend, as he was still en route to New York. Azerbaijani President Aliev and his Georgian counterpart, Shevardnadze, both said that GUUAM's primary focus should be the realization of the Eurasian Transport corridor project. Shevardnadze and Ukrainian President Leonid Kuchma said the delays and problems in creating a CIS free trade zone and Russia's withdrawal from the Bishkek agreement on visa-free travel between CIS member states highlight the need for GUUAM states to introduce their own free trade regime. LF[B] SOUTHEASTERN EUROPE[14] GREEK FOREIGN MINISTER GIVEN COOL RECEPTION BY MILOSEVICGeorge Papandreou told Yugoslav President Slobodan Milosevic in Belgrade on 7 September that the upcoming elections must be "free and democratic" and that Yugoslavia "must establish normal relations with Europe," Reuters reported. Milosevic thanked Papandreou for Greece's support of Yugoslavia during the war in Kosova but lashed out at the West's "shameful policies of pressure and blackmail." He added that Serbs see their future in Europe "only under conditions of free development and...cooperation, free from all discrimination and tutorial attitudes." The U.S. State Department said it is "unfortunate" that Papandreou met with Milosevic, saying it is concerned Milosevic will use the meeting to boost his chances in the 24 September elections. Papandreou later met with leading opposition presidential candidate Vojislav Kostunica, who said he was encouraged by the visit and that there is a "consciousness abroad that [Serbs] deserve to live without sanctions in a democratic society." Papandreou is to fly to Kosova and Montenegro on 8 September. PB[15] PAPANDREOU ANGERED BY DETENTION OF STUDENT ACTIVISTSGreek Foreign Minister Papandreou issued a demarche on 7 September after four members of the opposition student group Otpor were detained after being forced to leave the Greek's ambassador's residence in Belgrade, Reuters reported. One of the four, Slobodan Homen, said the students were kicked out of a reception at the residence by Yugoslav security officials and then detained for two hours by police. They were released after the demarche was issued and later met with Papandreou at his hotel. Papandreou said "we reacted immediately and the issue was rectified." PB[16] BELGRADE ACCUSES MONTENEGRO OF OBSTRUCTING ELECTIONS...The Yugoslav government said on 7 September that the pro-Western government in Podgorica is pressuring people not to vote in the 24 September Yugoslav elections, Reuters reported. A government statement said "there is organized and systematic pressure on Montenegrin citizens aimed at denying them the constitutional right to directly elect Yugoslav's federal bodies." The Montenegrin government rejected the charges. The ruling party has decided not to participate in the elections and has called on people to boycott them. In other news, Yugoslav Deputy Prime Minister Nikola Sainovic refuted reports that former Yugoslav President Zoran Lilic had resigned his senior posts in Milosevic's Socialist party, as reported earlier by Serbia's independent press. PB[17] ...WHILE U.S. WARNS MILOSEVIC NOT TO INTERFERE IN MONTENEGROU.S. Secretary of State Madeleine Albright said in New York on 7 September that Yugoslav President Milosevic should stay out of Montenegrin affairs, Reuters reported. Albright said after a meeting with Montenegrin President Milo Djukanovic that "we are paying attention everywhere...and nobody should miscalculate. Milosevic...should not think that the U.S. is out of business during the election period." Albright praised Djukanovic, who she said "is taking a lot of risks for democracy in Montenegro." She added that there are concerns about his safety. PB[18] OSCE SLAMS SERBIA FOR BOYCOTTING KOSOVA ELECTIONSDaan Everts, the head of the OSCE mission in Kosova, said in Stockholm on 7 September that Serbian arguments for not participating in the 28 October municipal elections in the Serbian province of Kosova are "hollow and hypocritical," Reuters reported. Everts said "the Serbs have been given every opportunity to participate. It has been their own decision to abstain- -it's a self-imposed isolation." Fewer than 1,000 of the approximately 100, 000 Serbs living in the UN-run province have registered to vote. He said most are afraid of a backlash from Serb hard-liners if they participate in the elections. Meanwhile, Carl Bildt, the UN special envoy for the Balkans, said the same day that he expects Milosevic to falsify "several hundred thousands of votes" from Kosova during the 24 September presidential election. "They are not going to be free and fair elections--there's going to be massive fraud," he said. PB[19] SUPPORTERS, OPPONENTS OF MILOSEVIC CLASH IN KOSOVAFighting broke out in the Serbian part of the ethnically-divided city of Kosovska Mitrovica on 7 September between supporters and opponents of Yugoslav President Milosevic, Reuters reported. Oliver Ivanovic, the leader of the Serb National Council and an avowed Milosevic opponent, said the fighting was started by Milosevic backers and was "very organized." One of his deputies said the instigators were members of Milosevic's ruling Socialist Party and its coalition partner, the Yugoslav Left. Fighting took place at two locations and was broken up by UN police. Some people suffered minor injuries. PB[20] BOSNIAN SERB PARLIAMENT VOTES NO CONFIDENCE IN GOVERNMENTThe parliament of the Republika Srpska in Banja Luka passed a no- confidence motion in the government of Western-backed Premier Milorad Dodik on 7 September, Reuters reported. The vote was 43 to one with two abstentions. Muslim and Croatian deputies did not vote, and the deputies from the ruling Sloga coalition left the assembly to protest the vote. Parliamentary speaker Petar Djokic said the vote relieves the government of its duties. Dodik said "the government accepts the decision and continues to work in accordance with the law and the constitution until the election of the new government." Bosnia's municipal elections are scheduled for 11 November. PB[21] KARADZIC SIGHTED IN SARAJEVOFugitive former Bosnian Serb leader and indicted war criminal Radovan Karadzic was reportedly seen in a Serbian-dominated suburb of Sarajevo last weekend, according to Reuters, citing the daily "Oslobodjenje." The daily said that Karadzic dined at a small bar in Lukavica and that he looked weary. It said Karadzic is purported to be staying with friends near Sarajevo, although he spends most of his time in eastern Bosnia. PB[22] MACEDONIAN ELECTIONS CRUCIAL TEST FOR GOVERNMENTMacedonian Prime Minister Ljupco Georgievski has said he favors an early election if his three-party coalition loses by more than 10 percentage points to the opposition in the 10 September local elections, Reuters reported on 8 September. Voters will elect municipal mayors and councils, with a second round to be held two weeks later if necessary. Analysts, including the think-tank the International Crisis Group, say that the election is in fact a popularity test for the ruling coalition, made up of the VMRO- DPMNE, the Democratic Alternative, and Democratic Party of Albanians. Branko Crvenkovski, the leader of the opposition Social Democratic Union of Macedonia, said he is confident of victory: "We will not wait for the election results, we will come out on to the squares and celebrate before [the votes are counted] because we are simply bound to win." PB[23] TRADE UNION LEADER MURDERED IN ROMANIAVirgil Sahleanu, leader of the trade union at the Iasi Tepro steel pipe factory, was murdered on 7 September, an RFE/RL correspondent in Iasi reported. Sahleanu was stabbed by two unknown assailants, who managed to flee. The authorities launched a search for the murderers and ordered that checks be carried out at the borders. Sahleanu, a member of the opposition Greater Romania Party (PRM), has led the long-standing protest against the privatization of Tepro. Opponents of that privatization say the Czech company that acquired Tepro failed to carry out the plant's modernization, while dismissing half of its workers. Some 1,500 workers marched though Iasi to protest Sahleanu's murder, saying it was linked to "mafia opposition" to his campaign. The PRM and the opposition Party of Social Democracy in Romania (PDSR) have also expressed that view. MS[24] ROMANIAN LABOR MINISTER RESIGNSLabor and Social Affairs Minister Smaranda Dobrescu submitted her resignation on 8 September, following a government decision the previous day to dismiss two prefects and two deputy prefects representing her Social Democratic Party of Romania (PSDR), Romanian Radio reported. The cabinet's decision came after the 7 September announcement that the PSDR and the PDSR have agreed that the new formation that results from their impending merger will be called the Social Democratic Party. Also on 7 September, the cabinet decided to shorten the election campaign from 60 to 45 days. MS[25] ROMANIAN GOVERNMENT APPROVES ANTI-DISCRIMINATION LEGISLATIONPeter Eckstein Kovacs, minister in charge of minority rights, told journalists on 6 September that the cabinet has "recently" approved an "urgent ordinance" against discrimination. Urgent ordinances are enforced prior to the parliament's approval. The new legislation prohibits any form of discrimination on grounds of nationality, race, ethnicity, age, gender, or sexual orientation and stipulates heavy fines for those who violate its provisions. The Department for the Protection of National Minorities, headed by Eckstein Kovacs, drew up the ordinance as part of the effort to bring Romanian legislation into line with EU standards. MS[26] DEL PONTE SAYS SUSPECTED YUGOSLAV CRIMINALS VISIT ROMANIA ON REGULAR BASISUN War Crimes Tribunal Chief Prosecutor Carla del Ponte on 7 September told journalists in Bucharest that she has information that suspected Yugoslav war criminals make regular short visits to Romania. She called on the Romanian authorities to arrest those individuals, RFE/RL's Bucharest bureau reported. MS[27] MOLDOVAN PARLIAMENTARY SPEAKER ADDRESSES RFE/RL FORUMDumitru Diacov told a press briefing at RFE/RL's Washington office on 7 September that Moldova's July decision to switch from a semi-presidential to a parliamentary system will benefit both its citizens and democracy. Diacov, who is accompanied in the U.S. by Party of Moldovan Communists Chairman Vladimir Voronin, said many post-communist states face problems because they have a presidential system in which too much power is concentrated in one pair of hands. He said Moldova is "a small country with big problems" facing numerous challenges and having to perform a "difficult balancing act between East and West." He noted that if Ukraine becomes part of NATO, Moldova will also seek membership in that organization. MS[28] BULGARIAN PREMIER ANNOUNCES POPULAR MEASURESIn what Reuters said was a "mix of populism and reform," Prime Minister Ivan Kostov presented to the parliament on 7 September a plan to cut taxes, raise the salaries of state employees, and freeze heating and electricity prices for the winter season. The plan also provides for selling Bulgaria's remaining state monopolies to reliable "strategic investors." In recent opinion polls, Kostov's Union of Democratic Forces is running neck-and-neck with the opposition Socialist Party, following a sharp drop in popularity since its electoral landslide of 1997. General elections are due next year. MS[29] BULGARIA DEPORTS TWO RUSSIANS OVER ALLEGATIONS OF ILLICIT ARMS DEALINGSBulgaria on 7 September deported two Russian businessmen, accusing them of involvement in international arms smuggling, dpa reported. The Interior Ministry said the two are among five Russian citizens who were declared persona non grata last month. A third person left voluntarily last week. MS[C] END NOTE[30] SOFTWARE BOOM BRIGHTENS ARMENIA'S ECONOMIC REALITYby Emil DanielyanAmid the gloom of Armenia's depressed economy, there is one bright spot offering the potential for recovery. The country's computer software industry has experienced a major upswing over the past several years, owing to an influx of foreign investment. Western companies are pulling the strings, offering Armenia the opportunity to preserve part of the hi-tech orientation it boasted before the collapse of the USSR. At least 12 U.S. software companies and several European ones are currently known to have subsidiaries in Armenia, and the number is likely grow in the coming months. For Armenia's unemployment-stricken economy, this has meant hundreds of jobs and good prospects for the creation of new ones. Government officials already view computer programming and information technologies in general as one of the main potential engines of economic growth. "Herein lies our future," says Aleksandr Adamian, deputy directory of HPLA, the Armenia subsidiary of the California-based Heuristic Physics Laboratories. Founded in 1995, HPLA is one of the pioneers of Western hi- tech investment in Armenia. It started off with just give programmers and now boasts more than 60. HPLA specializes in the development of a special software that is used for detecting defects in electronic microchips. It was HPLA's positive experience that inspired another Silicon Valley company, Credence Systems, to launch operations in Armenia two years ago. Its Yerevan branch now employs about 50 people. The business is "very promising," according to its manager, Manuk Gevorgian. Chilli Technologies, a Yerevan-based company also owned by Americans, was opened six months ago but already has more employees than Credence. Its manager, Vasily Turovtsev, is equally enthusiastic: "I believe that this is one of the best ways of developing our economy." It is the shared opinion of industry insiders that the low cost of skilled labor is the primary factor attracting foreign investors to the sector. An experienced programmer working in an U.S.-owned firm in Armenia is paid an average of $500 a month, 20 times less than their counterparts in the US. The overall volume of investment needed to launch a software subsidiary is fairly low compared with other sectors of the economy. High transportation costs resulting from Armenia's geographical position and the Nagorno- Karabakh conflict do not affect information technologies. Also important is the fact that the sector is export- oriented thanks to foreign companies. The more than 30 local firms have been very successful on the domestic market, where most banks and other businesses use Armenian software to keep their computerized financial records. But very few of those firms have found export markets on their own. Information technologies is now one of the few areas where Armenia may soon be faced with a shortage of skilled specialists. The government has already increased the number of places in the computer science programs of state- run universities. The high likelihood of finding a well-paid job lures many young people to computer departments. "There should be no illusions about skilled programmers in Armenia. There aren't too many of them," says Hakob Duvalian, head of the Yerevan branch of the US firm Virage Logic. The adequate training of specialists is thus high on the list of demands addressed to the Armenian government by the software sector. The "strategic importance" of that sector is recognized by the Ministry of Industry and Trade, which has come up with a program to promote information technologies with "state assistance." The program "outlines those important directions that should enjoy state privileges and an appropriate legal framework," deputy minister Armen Grigorian said in a recent newspaper interview. One idea being considered is the creation of a "technopark" near Yerevan--a kind of tax haven for hi-tech businesses. The government hopes to secure funding from the World Bank for that purpose. Despite robust growth, the Armenian software industry is still modest in size. Its annual output is at best $15 million, compared with a global market worth trillions of dollars. As HPLA chief executive Andranik Hovannisian puts it: "Most Western software firms don't even know of Armenia's existence." If the government is to ensure a greater influx of foreign capital, Hovannisian and other industry insiders say, it has to meet a number of conditions. Software companies frequently complain about high taxation and customs administration. Customs officials are widely accused of the arbitrary taxation of imported computer equipment and programs. The official monopoly on Internet services enjoyed by the ArmenTel national telecom operator is also thought to be stifling growth. Companies that do not have a satellite connection with the rest of the world have to rely on ArmenTel's services, which are expensive even by international standards. There is also the question of compulsory military service. Armenian university graduates serve two years in the armed forces and, as company executives say, need time to update their skills after returning home. "The loss of a single programmer who gets drafted to army may seriously hinder the ongoing projects and the business in general," Hovannisian warns. The Armenian state has so far had only limited involvement in the emergence of the software industry. Analysts say the government can no longer stand by if it is intent on turning the information technology sector into a manufacturing leader. A comprehensive government strategy for hi-tech development would be a welcome boost, they add. The author is an RFE/RL correspondent based in Yerevan. 08-09-00 Reprinted with permission of Radio Free Europe/Radio Liberty
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