FOR THE RECORD (09/01/96)

FOR THE RECORD

Below, in an exclusive, The Weekly reprints a correspondence between Rep. Robert Torricelli of New Jersey and President Bill Clinton regarding the $225 million earmark for Ukraine in the Foreign Assistance Act for fiscal year 1997.

Rep. Torricelli urges support for earmark...

Dear Mr. President:

I am writing to urge you to support an earmark of $225 million in aid for Ukraine as part of the Foreign Assistance Act for 1997. As you know, Ukraine is going through a very difficult adjustment period as it transforms to a market economy. Ukraine desperately needs financial aid to close down the Chornobyl nuclear station and to develop alternative sources of energy by the year 2000.

In the past, you and Secretary [of State] Warren Christopher have expressed strong support for Ukraine and its President Leonid Kuchma, who advocates market reforms and shows an unwavering commitment to human rights and the development of a pluralistic society. Since 1991, Ukraine has actively promoted the cultural and religious diversity within its borders, and has gone out of its way to pursue peace in Eastern Europe. Ukraine's participation in the peacekeeping mission in Bosnia and its removal of nuclear weapons have earned America's unqualified support.

I hope that you will use your influence with our Democratic colleagues in the House [of Representatives] and speak out in favor of the allocation of $225 million for Ukraine when the foreign aid bill reaches the conference committee. This is a very modest investment to promote democracy in a nation which Secretary Christopher has called the "strategic linchpin" of Eastern Europe. This earmark has won bipartisan support in the Senate, but I am concerned that the administration and the Democratic leadership in the House must show strong support for it because it is being closely watched, not only in New Jersey, but in other key states with large Ukrainian American communities such as Ohio, Michigan, Illinois, Pennsylvania and Florida.

I would be glad to discuss this issue with you and your staff in greater detail.

Robert G. Torricelli
Member of Congress

...President Clinton's response

Dear Bob:

Thank you for your letter on Ukraine's economic needs and the important role of our assistance programs.

I share your concern that Ukraine faces a difficult adjustment period, but I am also pleased that steady perseverance is showing positive results. President Kuchma's economic reforms have cut monthly inflation from 18 percent to 1 percent, stabilized the currency and shifted half the economy to private hands. We are also optimistic that Ukraine's new Constitution, adopted on June 28, will provide a legal foundation for investment and growth.

In meetings with President Kuchma and Prime Minister Lazarenko over the last few weeks, senior members of my administration have reaffirmed our strong support for Ukraine's reform program. We have helped mobilize $1.9 billion in international commitments for Ukraine in 1996, and we continue our advocacy for quick action on the $3 billion G-7 program, crafted under U.S. leadership, to close Chornobyl. Bilaterally, we have budgeted for Ukraine more assistance in FY 1996 than for any other country in the NIS: $330 million in grants under the Freedom Support Act and other accounts, and $675 million in trade credits.

I believe our outstanding record on support for Ukraine makes an earmark unnecessary. You can be assured that, as Ukraine moves forward with reform, my administration will continue to mobilize international support.

Sincerely,
Bill Clinton