DATE=3/4/98
TYPE=CORRESPONDENT REPORT
NUMBER=2227622-
TITLE=ALBRIGHT UKRAINE (L)
BYLINE=RON PEMSTEIN
DATELINE=STATE DEPARTMENT
CONTENT=
VOICED AT:
INTRO: SECRETARY OF STATE MADELEINE ALBRIGHT LEAVES WASHINGTON
THURSDAY (1 P-M) ON A TRIP THAT WILL TAKE HER TO UKRAINE, ITALY,
GERMANY, FRANCE, BRITAIN AND CANADA. RON PEMSTEIN REPORTS FROM
THE STATE DEPARTMENT, CONGRESS HAS GIVEN HER A WARNING TO TAKE TO
UKRAINE.
TEXT: CONGRESSIONAL REPUBLICANS ARE SENSITIVE TO THE PROBLEMS
AMERICANS FACE IN TRYING TO DO BUSINESS IN UKRAINE. WHEN THE
SECRETARY OF STATE FLIES TO KIEV FRIDAY ON A SHORT VISIT, THEY
WANT HER TO WARN PRESIDENT LEONID KUCHMA THAT UKRAINE FACES A CUT
OFF OF AMERICAN ECONOMIC AID IF IT DOES NOT IMPROVE THE CLIMATE
FOR AMERICAN INVESTORS.
THE WARNINGS CAME FROM THE CHAIRMAN OF THE HOUSE APPROPRIATIONS
COMMITTEE AND THE CHAIRMAN OF THE SUBCOMMITTEE ON FOREIGN
OPERATIONS. THEY ARE BOTH INFLUENTIAL IN SPENDING DECISIONS ON
FOREIGN AID. SUB-COMMITTEE CHAIRMAN SONNY CALLAHAN GAVE THE
SECRETARY OF STATE THE MESSAGE TO CARRY TO KIEV.
///CALLAHAN ACT///
WE'VE HAD REPORTS, THIS COMMITTEE HAS, WITH RESPECT TO
BUSINESS PEOPLE TRYING TO DO BUSINESS IN UKRAINE AND YET
CORRUPTION AND THE HARDSHIP THAT SOME OF THE PEOPLE IN
THE UKRAINE GIVE TO OUR AMERICAN BUSINESS PEOPLE GIVES
US HEARTBURN. I HOPE THAT, WHEN YOU GO TO UKRAINE, YOU
WILL TELL THEM OF THE CONGRESS' CONCERN ABOUT AMERICAN
BUSINESS PEOPLE BEING MISTREATED IN THE MANNER IN WHICH
THEY ARE, AND IF THIS CONTINUES AND SOME OF THE PROBLEMS
THEY HAVE CREATED ARE NOT CORRECTED THAN YOU ARE GOING
TO HAVE DIFFICULTY IN GETTING THIS SUBCOMMITTEE TO
AFFORD ANY MONEY FOR UKRAINE.
///END ACT///
THE CLINTON ADMINISTRATION HAS REQUESTED 225 MILLION DOLLARS TO
HELP UKRAINE DEVELOP A FREE MARKET. COMMITTEE CHAIRMAN ROBERT
LIVINGSTON EMPHASIZED THE WARNING, SAYING CONGRESS IS NOT ONLY
CONCERNED ABOUT THE LACK OF SECURITY FOR INVESTORS IN UKRAINE,
BUT ALSO ABOUT THE PERSONAL SAFETY OF THE AMERICAN BUSINESS
PEOPLE THERE.
THE SECRETARY OF STATE PROMISED TO DELIVER THE MESSAGE.
///ALBRIGHT ACT///
PRESIDENT KUCHMA ASSURED VICE PRESIDENT (AL) GORE THAT
THE UKRAINIAN GOVERNMENT WOULD ACT IN A FORTHRIGHT
MANNER TO SEEK THE RESOLUTION OF THESE DISPUTES AND
WE'RE DETERMINED TO DO EVERYTHING TO GET THE MATTER
SETTLED. WE ARE CONCERNED ABOUT THE FACT THAT WHILE
THERE HAS BEEN SOME PROGRESS IN MACRO ECONOMIC
STABILIZATION AND PRIVATIZATION, WE ARE CONCERNED ABOUT
THE FUNDAMENTAL PACE OF ECONOMIC REFORMS IN UKRAINE AND
I WILL BE RAISING THOSE SUBJECTS THERE. PRIVATE
INVESTORS DO CONTINUE TO FACE MAJOR HURDLES AND SOME OF
THE UNRESOLVED INVESTMENT DISPUTES ARE CREATING AN
UNFAVORABLE CLIMATE.
///END ACT///
IT IS A CHICKEN AND EGG (IT IS A TRICKY) PROBLEM THE SECRETARY
OF STATE TELLS CONGRESS. THE GOVERNMENT NEEDS FOREIGN INVESTMENT
TO CREATE ECONOMIC REFORM BUT WITHOUT REFORM IT WILL NOT ATTRACT
INVESTMENT. SHE WILL GIVE CONGRESS A REPORT CERTIFYING WHETHER
THE BUSINESS CLIMATE IS IMPROVING.
ANOTHER ISSUE IN THE SECRETARY OF STATE'S BRIEF VISIT TO KIEV
WILL BE NUCLEAR NON-PROLIFERATION. THE UNITED STATES HAS BEEN
TRYING TO DISCOURAGE UKRAINE FROM ASSISTING IRAN'S BUSHEIR
NUCLEAR PLANT BECAUSE OF CONCERN IRAN MAY DIVERT THE FUEL FOR A
NUCLEAR WEAPON. UKRAINE HAS BEEN GIVING CONFLICTING SIGNALS
ABOUT WHETHER IT PLANS TO MAKE THE SALE. THE SECRETARY OF STATE
WILL TRY TO CLARIFY UKRAINE'S INTENTIONS FRIDAY BEFORE SHE FLIES
OFF TO ROME. (SIGNED)
NEB/RP/WDC/KL
04-Mar-98 4:43 PM EST (2143 UTC)
NNNN
Source: Voice of America
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