NEWSBRIEFS (07/27/97)

NEWSBRIEFS

Kuchma vows to stop constitutional coup

KYIV - Ukraine's President Leonid Kuchma on July 19 vowed to thwart a bid by his opponents to seize more power for the Parliament and weaken his position by making changes in the Constitution, Ukrainian Radio reported. Verkhovna Rada Chairman Oleksander Moroz had said the previous day that lawmakers will meet in late August to push constitutional changes that would alter the balance of power between the president and the Parliament. Mr. Kuchma accused the speaker, a Socialist, and his anti-reform allies of plotting a "constitutional coup." He said that in his capacity as president he has "sufficient means" to block the proposed amendments. Mr. Kuchma charged the Parliament with destructive self-interest, saying lawmakers "would do better to work on real problems and the creation of a legal base for concrete work." (RFE/RL Newsline)

Gazprom cuts gas supply by a third...

MOSCOW - Russia's Gazprom natural gas monopoly said on July 22 it had cut gas supplies to Ukraine by one-third because of debts for unpaid supplies. "Supplies have been reduced by one-third to 40 million cubic meters a day as of today," said Gazprom spokesman Sergei Smirnov. He said the move would not affect supplies of Russian gas shipped across Ukraine to Europe. Mr. Smirnov said on July 22 that Gazprom had cut deliveries to Belarus by half over Miensk's $125.5 million in debts for supplies. He had no figure for the amount owed by Kyiv. Gazprom, Russia's largest corporate taxpayer, has come under pressure to contribute more to the government budget and in turn is putting the pinch on its customers. Gazprom had fallen behind on tax payments earlier this year because it was owed vast amounts by customers at home and in neighboring countries. (Reuters)

...as it agrees on new deal with Ukraine

KYIV - Rem Vyakhirev, the head of the Russian gas monopoly Gazprom, reached partial agreement with Ukraine on payment of Kyiv's outstanding debt, but some Ukrainian customers seem likely to remain cut off, ITAR-TASS reported. Mr. Vyakhirev met with Ukrainian President Leonid Kuchma in Kyiv on July 23. The country's overdue bills prompted Gazprom to cut gas shipments to Ukraine the previous day. According to Gazprom in Moscow, President Kuchma and Mr. Vyakhirev agreed on an extension of a contract to fill Ukrainian reserves. But there was no agreement to resume regular shipments. Gazprom says Ukraine's outstanding gas bill is between $100 million and $150 million. (RFE/RL Newsline)

Human Rights Convention adopted

KYIV - Ukraine's Verkhovna Rada ratified the European Human Rights Convention, which is aimed at safeguarding human rights, on July 18. Legislators, however, did not vote on a protocol that would abolish capital punishment, an issue that is the subject of an ongoing debate in Ukraine. Kyiv pledged to abolish the death penalty when it joined the Council of Europe in November 1995, but according to the Internal Affairs Ministry, the death penalty was carried out some 170 times last year. No convicts have been put to death so far in 1997. Local media report there are currently about 135 prisoners in Ukraine who have been sentenced to death. (RFE/RL Newsline)

Budget deficit increased

KYIV - Just before breaking for summer holidays on July 18, Ukraine's Parliament voted 239-16 to increase Ukraine's budget deficit by 0.1 percent to finance construction of an iron ore refinery in eastern Ukraine. Viktor Suslov, head of the parliamentary Budget and Finance Committee, told the deputies the money for Ukraine's largest investment project, the Kryvorizhsky Hirnycho-Zbahachevalny Zavod, would be raised through the treasury bill market. The deficit contained in the 1997 budget, which Parliament passed on June 27, had been set at 5.7 percent of gross domestic product. It will now rise to 5.8 percent. Construction of the refinery began in the 1980s, when the Soviet Union still existed, and the total cost has been estimated at $2.4 billion. (Reuters)

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