DATE=6/9/99
TYPE=CORRESPONDENT REPORT
NUMBER=2-250429
TITLE=AID TO RUSSIA (L-ONLY)
BYLINE=BARRY WOOD
DATELINE=WASHINGTON
CONTENT=
VOICED AT:
INTRO: THE U-S HOUSE OF REPRESENTATIVES INTERNATIONAL RELATIONS
COMMITTEE WEDNESDAY HELD HEARINGS ON CONTINUED U-S ASSISTANCE TO
PROMOTE ECONOMIC REFORM IN RUSSIA. V-O-A'S BARRY WOOD REPORTS
MEMBERS ARE CONCERNED THAT AID MONEY IS BEING STOLEN AND THAT
REFORM ISN'T TAKING HOLD.
TEXT: COMMITTEE CHAIRMAN BENJAMIN GILMAN ASKED WHEN WILL U-S
ASSISTANCE TO RUSSIA COME TO AN END ? THE PANEL OF EXPERTS
SUGGESTED THAT U-S AID WOULD CONTINUE FOR SEVERAL MORE YEARS.
SINCE 1991 THE U-S GOVERNMENT HAS PROVIDED SIX BILLION DOLLARS OF
AID FOR RUSSIA. THE INTERNATIONAL MONETARY FUND HAS PROVIDED
LOANS OF ABOUT 20 BILLION DOLLARS.
THE CONSENSUS VIEW IS THAT RUSSIA'S ECONOMY HAS REGISTERED NO
PROGRESS AND THERE IS LITTLE CHANCE OF EARLY IMPROVEMENT. PETER
STAVRAKIS IS A POLITICAL SCIENCE PROFESSOR AT THE UNIVERSITY OF
VERMONT.
//STAVRAKIS ACT//
IF WE LOOK BACK OVER THE LAST SEVEN YEARS, RUSSIA IS A
MESS. EIGHT CONSECUTIVE YEARS OF ECONOMIC CONTRACTION,
PERVASIVE CRIMINALIZATION OF STATE AND SOCIETY, DECREPIT
AND INEFFICIENT STATE INSTITUTIONS, WIDESPREAD PUBLIC
PRIVATION, ENSUING WITHDRAWAL FROM SOCIETY. IT IS A
SOCIETY THAT IS FREER BUT CITIZENS ARE LIVING FEWER
YEARS TO ENJOY THE BENEFITS OF THAT FREEDOM. AND THE
CIRCUMSTANCES OF THEIR EXISTENCE ARE CONSIDERABLY
UNHAPPIER ECONOMICALLY.
//END ACT//
MR. STAVRAKIS AND ANOTHER EXPERT, MARSHALL GOLDMAN OF HARVARD
UNIVERSITY, SAY FOREIGN AID IS PROBABLY DOING MORE HARM THAT
GOOD. PRESIDENT BORIS YELTSIN WAS CHARACTERIZED AS AN
INEFFECTIVE LEADER WHO INCREASINGLY OPPOSES MARKET BASED REFORM.
DAVID KRAMER OF THE CARNEGIE ENDOWMENT FOR INTERNATIONAL PEACE
SAYS THE U-S GOVERNMENT HAS A DILEMMA, NEEDING TO KEEP ENGAGED
WITH RUSSIA BUT NOT WANTING TO ENRICH CRIMINALS THROUGH ITS
FOREIGN AID. MR. KRAMER SAYS HE SUPPORTS THE RESUMPTION OF AID TO
RUSSIA BY THE INTERNATIONAL MONETARY FUND BUT HE INSISTS THAT THE
MONEY SHOULD REMAIN UNDER INTERNATIONAL CONTROL.
//KRAMER ACT//
IT SHOULD NOT BE TRANSFERRED TO MOSCOW, WHERE I FEAR IT
WOULD VANISH JUST AS LAST SUMMER'S (FOUR BILLION DOLLAR)
TRANCHE DID. WE SIMPLY NOT RISK THE POSSIBILITY ONCE
AGAIN THAT BILLIONS OF DOLLARS WILL ONCE AGAIN DISAPPEAR
INTO FOREIGN BANK ACCOUNTS AND BE MISUSED BY CORRUPT
OFFICIALS.
//END ACT//
MEMBERS OF CONGRESS SUGGEST THAT U-S AID WILL CONTINUE BUT THAT
ITS USE WILL BE MORE CLOSELY SCRUTINIZED. THE UNIVERSAL VIEW
AMONG WITNESSES WAS THAT RUSSIA'S ECONOMIC REFORMS HAVE BEEN OFF
TRACK SINCE LAST AUGUST'S CURRENCY DEVALUATION AND OUSTER OF A
REFORMIST GOVERNMENT.(SIGNED)
NEB/BDW/PT
09-Jun-99 3:00 PM EDT (1900 UTC)
NNNN
Source: Voice of America
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