NEWSBRIEFS


Kyiv upbeat on economic growth

KYIV - First Vice Prime Minister Mykola Azarov told a Cabinet meeting on February 19 that implementation of the government's economic program will allow the economy to grow by 5 to 6 percent in 2003 and by some 8 percent in 2004, Interfax reported. Ukraine's GDP grew by 4.1 percent in 2002. Mr. Azarov also said the Cabinet and the Parliament will strive to adopt a Tax Code this year that provides for a gradual reduction of the profit tax to 20 percent, value-added tax to 15 percent and individual income tax to 20 percent. (RFE/RL Newsline)


Four states agree on economic zone

MOSCOW - President Vladimir Putin and the presidents of Ukraine, Belarus and Kazakstan held an unexpected meeting in the Moscow suburb of Novo-Ogarevo on February 23, after which they announced that they had reached agreement in principle on the creation of a "joint economic space" covering the four countries, Western and Russian news agencies reported. Speaking to journalists after the meeting, Ukrainian President Leonid Kuchma said the countries will prepare an agreement on the project by September and take measures to coordinate their economic policies and legislative environments. Mr. Putin said the four countries have agreed to create a supranational commission on trade and tariffs that will be based in Kyiv and will be initially headed by a representative of Kazakstan. He said this commission will not be subordinate to the governments of the four countries. The ultimate goal of the economic alliance will be the creation of a regional-integration organization that will be open to other countries that might want to join, Mr. Putin said. Kazak President Nursultan Nazarbaev said the new economic zone will not replace the Commonwealth of Independent States, but represents a new form of integration under which economic ties will have priority over political relations. (RFE/RL Newsline)


Kyiv: 'joint economic space' ready by July

KYIV - Presidential administration deputy chief Anatolii Orel told journalists on February 24 that a "high-level group" will work out the concept of joint economic space for Ukraine, Russia, Belarus and Kazakstan by July, the UNIAN news service reported. Mr. Orel was referring to a recent statement by the presidents of Ukraine, Russia, Belarus and Kazakstan on their intention to create such a trade bloc. According to Mr. Orel, the four states are going to sign an accord on the creation of such a joint economic area that could involve "liberalization of trade, protection of investments and coordination of competition policies" and be based on the principles of the World Trade Organization. Meanwhile, Borys Tarasyuk, head of the Verkhovna Rada's Committee for European Integration, said the same day that the statement of the four presidents is "yet another initiative without a future." (RFE/RL Newsline)


Joint statement generates mixed reaction

MOSCOW - The declaration of a joint economic space could mark a milestone for the countries that emerged after the collapse of the Soviet Union, NTV commented on February 23. The network said that although the declaration could be interpreted as the kind of forced integration that the national elites of the former Soviet republics have long feared, it is in reality yet another effort to stimulate the economic revival of the Commonwealth of Independent States. Economic Development and Trade Minister German Gref said that the creation of the joint economic zone will accelerate the fundamental economic restructuring being carried out in the countries involved. He said the zone will require uniform customs, currency and budgetary policies, and that the four countries enter the World Trade Organization as an integrated economic bloc, ITAR-TASS reported on February 23. Mr. Gref added that such economic coordination will also stimulate increased political integration. RTR, however, commented on February 23 that political considerations might be playing the leading role. The station argued that the move was stimulated by international instability and particularly the situation concerning Iraq, which is pushing the four countries to integrate. (RFE/RL Newsline)


Polish security chief visits Kyiv...

KYIV - Ukrainian President Leonid Kuchma and visiting Polish National Security Bureau Chief Marek Siwiec on February 25 discussed deepening their countries' strategic bilateral and multilateral partnerships, Interfax reported, quoting Mr. Kuchma's spokeswoman Olena Hromnytska. She said the meeting "confirmed Kyiv's readiness to begin an active implementation of the Polish concept of an 'Eastern dimension' in European Union joint foreign policy." (RFE/RL Newsline)


... discusses 1943 Volyn massacre

KYIV - The Ukrainian president's spokeswoman Olena Hromnytska said on February 25 that the two politicians agreed to prepare the joint commemoration of the 1943 Volyn massacre (see last week's Newsbriefs). Meanwhile, the PAP news service quoted Polish National Security Bureau Chief Marek Siwiec as saying in Kyiv that "our aim is to reach a convergence of views" on the massacre. Mr. Siwiec said the Polish side wants the Ukrainian authorities, society and elites to voice assessments on the Volyn massacre that contain the term "genocide." Polish historians believe the Ukrainian Insurgent Army murdered some 75,000 Poles during an ethnic-cleansing campaign in 1943 in Nazi-occupied Volyn. Some 35,000 Ukrainians are thought to have died as a result of retaliation by the Polish Home Army. (RFE/RL Newsline)


Yushchenko reacts to bogus letter

KYIV - Our Ukraine head Viktor Yushchenko on February 21 charged that "criminals in politics who are in the top echelons of power" are responsible for preparing and disseminating a false message to voters that attacks fellow opposition politician Yulia Tymoshenko, the UNIAN news service reported on February 22. The letter bears what appears to be his signature and was distributed primarily by post in western Ukraine earlier this month. "Only they [those in power] are capable of using state institutions like Ukrposhta [the state postal service] in such a way," Mr. Yushchenko added. Some 2 million leaflets carried the logo of Our Ukraine and Mr. Yushchenko's portrait, as well as his signature, under a text touching upon his relations with Ms. Tymoshenko, the leader of the eponymous opposition bloc. The bogus letter suggests that Ms. Tymoshenko's place is in prison and calls her a "Trojan horse" among Ukraine's national-democratic forces. The letter charges that Ms. Tymoshenko's real aim is to prevent Mr. Yushchenko from becoming president. "This is ignoble and primitive," Mr. Yushchenko said, adding that the message was concocted to sow discord among the leaders of democratic forces. "Our relations have never been, are not, and will never be base. We are political partners," Mr. Yushchenko said in reference to Ms. Tymoshenko. (RFE/RL Newsline)


Copyright © The Ukrainian Weekly, March 2, 2003, No. 9, Vol. LXXI


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