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Thursday.

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Today is the last day when the commercial banks will buy the currencies coming out of circulation. These are the monetary units of 12 countries from the Euro zone. From tomorrow the BNB offices will be the only place where they will be exchanged. Yesterday, Germany officially bid farewell to its national currency. On the photo - a German pastry-cook cuts a cake at a farewell ceremony. Photo AP

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Robertson-Passy. NATO Secretary General George Robertson, who is here on a one-day working visit, meets with Foreign Minister Solomon Passy. The two pose to be photographed in front of Passy's car. PressPhoto-BTA Photo: Aneliya Nikolova

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NATO Secretary General George Robertson (L) and Bulgarian Foreign Minister Solomon Passi (R) share jokes inside of a former East German produced Trabant car, after their meeting in Sofia on February 28, 2002. Robertson arrived in a one-day visit to Bulgaria, one of the East European countries seeking a membership to NATO. REUTERS/Oleg Popov

SITUATION IN CRISIS REGIONS.
 
MIA
 
Relatively calm Thursday morning in Tetovo crisis region without firings, unlike the previous night, when some shots with variable intensity from several directions were registered.
 
Sporadic and rifle firings were heard in several occasions from some facilities in Tetovo Teke and the SEE University, from Vonvardarska, Drenovec 2 and Gorna Carsija settlements, as well as from the villages of Selce, Gajre, Lisec, Neraste, Prsovce, Odri, Dobroste, Poroj, Mala Recica and Strmnica.
 
Wednesday night at about 21:00h, a fire broke out in one of the State Reformatory pavilions in Tetovo. The regional fire department - Tetovo, accompanied by OSCE representatives arrived on site immediately and put it out by midnight.
 
No violations of the public order and peace have been registered during Wednesday night and early Thursday morning in Kumanovo - Lipkovo region.
Last armed provocations have been registered Wednesday until 20:00 hours when 54 sporadic and rifle shootouts are heard 13 times from the villages of Slupcane, Vaksince, Lojane, Matejce, Nikustak, Lipkovo and Grusino. One detonation from the village of Lipkovo is registered.
 
Police and army sources say that due to the revolt of the local population it is uncertain whether the patrolling of ethnically mixed police teams is to continue Thursday in Lipkovo villages. Because of this the representatives of the OSCE and NATO Amber Fox mission together with the officials of the Coordinative Body for Crisis Management are on the ground today to meet the local population to lift the blockades.

SITUATION IN CRISIS REGION.
 
MIA
 
Thursday night at 23:30h, as reported by the Media Activity Center at the Coordinate Body for Crisis Management, a fire was opened upon the security checkpoint near the village of Brnjarci, Skopje area.
 
An hour later, five sporadic shots were fired upon the same checkpoint. The police unit did not respond to these provocations and there were no casualties.
Occasional firings from various types of infantry weapons were heard overnight in Tetovo crisis region.
 
According to police and army sources, the firings came from several town districts. Some more intense shootouts were registered from the direction of the locality Arabati Baba Teke, Rasadiste county, along the road Tetovo-Popova Shapka and from the direction of Stipska Street.
 
Series of rifle and sporadic shots were registered also from the villages of Mala Recica, Gejre, Lisec, Selce, Odri and Poroj.
 
It is calm in Kumanovo - Lipkovo region during Thursday night and Friday morning without any violations of the public order and peace, MIA's correspondent reports.
 
Thursday night around 20:00 hours, sporadic and rifle shootouts have been registered 13 times from the villages of Slupcane, Vaksince, Matejce and Nikustak.
 
Mayor of Lipkovo Husamedin Halili announced that it is possible mixed police forces, after two-day recess, again to enter in the seven villages in Lipkovo region.
 
Due to the revolt of the local inhabitants, the ethnically mixed police units Thursday failed to enter the anticipated seven villages in Lipkovo area, Nikustak, Vistica, Ropaljce, Matejce, Orizare, Otlja and Lipkovo.
 
To overcome the problem, some representatives of the OSCE, NATO and EU missions will hold talks with the locals, creating circumstances, as announced, to have the police units patrolling through this village, starting from Friday.
 
In the other two villages, Opae and Lopate, the ethnically mixed police units patrol for 24 hours a day.

Journalist Admits Lying Abour Balkans Massacre.
 
The Australian
 
VETERAN 60 Minutes reporter Richard Carleton has admitted he had misled and lied to viewers by showing footage from another massacre site to illustrate a story about the massacre of Srebrenica.
 
Mr Carleton, 60 Minutes executive producer John Westacott and producer Howard Sacre are suing the ABC and its Media Watch team over two Media Watch segments in July 2000 accusing 60 Minutes of lifting footage from an earlier BBC documentary.
 
Mr Carleton told the ACT supreme court yesterday that being accused of plagiarism was the journalistic equivalent of paedophilia.
 
But under cross-examination by counsel for the ABC, Media Watch presenter Paul Barry and former executive producer Peter McEvoy, Mr Carleton conceded he had knowingly used footage of a morgue and a mass grave site far away from Srebrenica to illustrate the Channel Nine report.
 
Asked by barrister Terence Tobin if he had misled viewers, Mr Carleton said: "In the technical meaning of the word misleading, yes."
 
Asked had he lied, he said: "In so far as the meaning of the word lie is taken (to mean) misleading, yes."
 
But Mr Carleton denied he had behaved unethically as a journalist and said the footage had enhanced viewers' understanding of the 1995 massacre of Muslim residents by Bosnian Serbs.
 
The hearing before Justice Terence Higgins is continuing.

MEMBERSHIP IN EURO-ATLANTIC INSTITUTIONS-STRATEGIC GOAL OF MACEDONIA AND BULGARIA.
 
MIA

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At yesterday's press conference, Macedonian President Boris Trajkovski and his Bulgarian counterpart Georgi Prvanov expressed their satisfaction from the talks, with the estimation that the relations between the two countries were characterised by a high degree of friendship, good neighboring relations and mutual trust.
 
"We agreed on opening a process for accordance of the agreement for good neighboring relations and friendship, which is another confirmation of our strong determination for building and enhancement of our relations and cooperation", President Trajkovski said.
 
He also emphasized that they both agreed that there weren't any differences on the strategic determination of both countries for inclusion in the Euro-Atlantic institutions.
 
The two Presidents concluded that it was necessary to promote not only mutual dialog, but also the dialog with the Euro-Atlantic institutions.
 
Furthermore, signing of a cooperation convention was agreed, which came as a result of the Association and Stabilisation Agreement, and which was in the function of enhancement of relations of Macedonia and Bulgaria with European and Euro-Atlantic institutions.
 
Estimating the talks with Bulgarian President Prvanov as constructive, President Trajkovski stressed that they were led in the direction of transfer of theory into practice.
 
They also concluded that a base for long-term security and political stabilisation of the region should be found, which should be done through economic organisation of the region, for which there are different opportunities.
One of those opportunities, as pointed out by Macedonian President was "called economic spring, unlike the ones that still think about spring offensives".
 
Presidents Trajkovski and Prvanov emphasised that it was necessary to look
towards a different future, freed from the past and prejudices, because, according to them, "the future of our children is in Europe, and not in the labyrinths of history".
 
The two Presidents pledged for a sooner regional energetic and infrastructure connecting, with the Corridor 8 being the priority.
 
President Trajkovski said that the Corridor was multidimensional, offering not only economic perspectives, but at the same time was an opportunity for linking the people in diverse spheres.
 
The Bulgarian President said that priority should be given to the building of railroad Sofia-Skopje, as well as linkage of the energetic systems with a new 400KV line in the course of the year.
 
Answering the question in connection to the language dispute, Bulgarian President said that he was not a linguist, adding that the important thing for him was that he had a good understanding with the Macedonian authorities. "We shouldn't get into these issues, in order not to miss the important things- economic, cultural and education development", Prvanov stated.

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Yesterday, Prvanov delivered a speech at the Macedonian Parliament, within the frameworks of the 102nd parliamentary session.
 
Prvanov, conveying the wishes of Bulgarian people for peace, stability and prosperity, to Macedonian friends, stressed that this was the first time for a Bulgarian President to have an opportunity to address the parliamentarians and people of free and independent Macedonia.
 
"My key message is that Bulgaria will actively continue to co-operate with the Republic of Macedonia and to stimulate the efforts within the frameworks of possibilities for strengthening of its statehood and territorial integrity, its example for tolerant coexistence of ethnic and religious communities and its wish to join the EU and NATO," the Bulgarian President said.
 
Macedonian President Boris Trajkovski, Prime Minister Ljubcho Georgievski, members of the government, representatives of the judiciary, the religious communities and the diplomatic corps attended the session.
 
Bulgarian President Prvanov prior to his address at the Macedonian Parliament met with Parliament Speaker Stojan Andov and laid flowers on the tomb of Goce Delcev in St. Spas Church in Skopje.

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Georgievski and Prvanov expressed satisfaction at yesterday's meeting with the good relations between the two countries, as well as readiness to concentrate their activities in bringing new quality to the mutual cooperation, the Prime Minister's Cabinet said in a press release.
 
In that respect, Georgievski pointed out that in less than two and a half years, Macedonia and Bulgaria signed over 40 agreements in the sphere of politics, which is not the case with the economic sphere. Accordingly, Georgievski said, both countries should foster singing of agreements on joint infrastructure projects, such as construction of a rail road, long-distance power line that will connect the electric power systems of both countries, and completing of the high way construction, part of the East-West Corridor.

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Ministers of Interior of Macedonia - Ljube Boskovski and Bulgaria - Georgi Petkanov signed two agreements for cooperation between the two countries on Tuesday in Skopje.
 
The first agreement refers to the struggle against terrorism, organized crime and illegal trafficking in drugs, and the second one to training of Macedonian police cadets in Bulgaria.
 
Macedonian Minister of Culture Ganka Samoilovska-Cvetanova and Bulgarian Foreign Minister Solomon Pasi also signed an agreement for cooperation which refers to the Program for cultural cooperation between the two countries in the period 2002-2004.

Greeks Must Learn To Adjust.
 
Reality Macedonia

By Galina Schneider,
reporting from Washington, DC

During the Clinton Administration, Richard Holbrooke became famous for being allowed to effect shuttle diplomacy. At a lecture he gave at Johns Hopkins SAIS auditorium in Washington yesterday sponsored together with the Carnegie Council on Ethics and Search for Common Ground, one Hopkins professor characterized him as the “man who did Dayton”. His lecture topic, “Bosnia, Kosovo and Macedonia: Reflections on a Decade of Challenges Securing Peace in the Balkans”, was long on Bosnia , somewhat expressive on Kosovo and light on Macedonia.

It could be argued that Holbrooke’s Shuttle diplomacy concerning Macedonia’s name and symbols is patronizingly emblematic of the previous administration’s neglect of the country and the complexities of that decade of Balkan history. Who, having read Holbrooke’s own account of the affair can fail to remember his description of Demetra Liani Papandreou as a great influence on Andreas Papandreou, greeting his arrival at the presidential Pink Villa “wearing an almost transparent silk pajama suit that barely concealed important parts of her impressive anatomy…”[1]

The lecture was not what a number of people had anticipated. In place of a solely self-congratulatory speech about his career accomplishments in the past decade, he took a critical approach toward the past decade in foreign policy and then tried to tie his analysis of lessons learned to Afghanistan. In retrospect, the six and a half years to Dayton and two and a half years since Kosovo, he found “Not to my satisfaction”, U.S. diplomacy and action “too little too late” and suggested that “had we come in earlier, hundreds of thousands of lives would have been saved.” He hoped to present a “personal balance sheet on where we are” and then present “an analogy to Afghanistan.” He began by contrasting the devastation of the first war in Croatia in 1992 a decade ago with watching huge crowds of Croatians on TV greet Janica Kostelic, their Olympic triple gold medal winner. Croatia was said to be “moving out of the zone of conflict.”

As the lecture is available and archived, it will not be replicated in this article. A few elements I found interesting in the lecture include his early statement that solving the problem of Eastern Slavonia was critical to Dayton’s success, that war has not resumed in Bosnia proves the Dayton Accords a success despite its flaws, and that the Bosnian war characterized a new partnership between NATO and the UN plus Russia and the Ukraine. As for the level of the US’s present involvement, “three-quarters of our troops have left” and “85% of Americans have left” with no one killed. Part of the success in troop protection he attributed to the Annex 1A authority of NATO Command to “shoot first and ask questions later.”

In Bosnia, he cited several failures, among them tactical problems tied to the United Nations system in which Boutros-Boutros Ghali “had to approve every target”, the failure after the war to arrest Karadjic and Mladic, allowing three separate armies in Bosnia, not arming the IPTF and providing too little authority to the central Bosnian government. Several factions had wanted a weak central government from the beginning as in their best interest, whether the HDZ among Croatians or Bosnian factions. The Republika Srpska, still harbouring rapists and war criminals, needed dismantling. The solving of the problem of Brchko proved that “being aggressive in this region will pay off.” He looked forward to Sir Paddy Ashdown taking over in Bosnia-Hercegovina as SRSG, felt sanguine about the new powers of the SRSG and suggested as advice that force levels be kept up since “when you reduce your forces, you reduce your mandate.”

In terms of Kosovo, however, Holbrooke suggested that Kosovo and Bosnia have less in common than Kosovo and Afghanistan. In Bosnia, multiethnicity is possible and fixed, a peace agreement in place and borders fixed. As long as Albanians and Serbs remain divided on issues, troops would have to remain. He felt that UN Security Council Resolution 1244 left too many unresolved issues that need to be resolved. The mission there has an uncertain status. He feels that Kosovo is not a UN success situation. Rugova does not have sufficient control to rule and it remains unclear what Resolution 1244 really means. He suggested that troops would have to remain as long as necessary, reminding people that US troops has been in Korea for 49 years. Moreover, two other issues would have to be solved prior to Kosovo, independence for Montenegro and the situation in Serbia itself. He explained that Serbia rules over two entities which run their own destinies and economies, even their own currencies. He saw no remaining need for the superstructure of the FRY.

Discussing Serbia, he saw Djindjic as more pro western and Kostunica as wielding little personal power. The Serbian people were the big losers in all this. They should, he felt, focus on themselves as Serbs and retake their honor.

Concerning Macedonia, he claimed great pride in Jim Pardew who he felt had brought Macedonia back from the brink of “another messy Balkan war” with the aid of Greg Schulte, sitting in the front row of the audience at the event.

He is distressed that the current administration is talking about drawing down peacekeeping troops.

As for Afghanistan, he saw some similarities but vast differences from his Balkan experience, not the least of which was that Afghanistan is twelve time larger and has been at war for twenty-three years. He felt the U.S. policy to have been a success so far, having taken down the Taliban quickly and effectively.

He was as critical of the UN mandate in Afghanistan as he had been critical earlier in the talk concerning the SRSG’s role in discussing Bosnia, specifically concerning the restriction of peacekeeping forces to the city of Kabul alone, allowing the rest of the country to remain under the control of various warlords. With the restriction, he felt we had significantly narrowed our mandate in the arena. “We cannot wait to create a national Afghan army,” he stated. He remains committed to multiethnicity and tolerance, commenting that the present ad hoc government in Afghanistan is comprised of only 37 Uzbeks, one or two Tadjiks and no other ethnicities.

He see the post military phase of Afghanistan as critical as it was in Bosnia. He felt that we could not succeed either militarily or against drug and warlords with an engagement restricted to Kabul. It solution demanded more troops in a wider geographic area.

The question and answer session was led by a professor from the US Naval Academy who asked directly about NATO enlargement, support for NATO expansion and suggested that “We cannot leave the boundaries between East and West fixed forever. Ambassador Holbrooke was firm on the issue of not wanting Russia to have any kind of veto, was in favor of expansion, suggested that Slovenia should have been brought in last time and saw quick membership for Slovenia, Romania and Bulgaria. As for Macedonia, mentioned by the professor, it would not be given a place in NATO because “Macedonia and Greece still haven’t solved their name problem.” He recommended an article in the Financial Times on the relationship of Russia to NATO.

To a question on how he was able to coordinate activities with various actors including the Europeans and various organizations he answered that “We did not coordinate. We told them what to do.” Although he claims the Europeans are “indispensable,” “I’d rather be criticized for too much leadership than too little.”

Other questions related to the role of NGOs in peacekeeping operations, questions related to failure to prevent conflict and destruction of cultural property in compliant states. He answered most of the questions at length, having the most difficulty with the new Macedonian Ambassador to the U.S.’s comments on seemingly changing policies and support, which he deflected to a discussion on Bosnia.

His various of comments suggesting that Europeans cannot succeed in the Balkans without a large United States lead elicited a few disgruntled comments from various of the European diplomats, professors and students present.

The entire lecture and its question and answer session are available on the Johns Hopkins website in Real Audio here: Lecture: http://www.sais-jhu.edu/mediastream/h1.ram Questions and Answers: http://www.sais-jhu.edu/mediastream/h2.ram

After the lecture when he was leaving the building, I asked him what, in his opinion, the Macedonians should call themselves so that they can solve the problem that Greece has with their name so that they can have membership in euro-Atlantic structures. His surprising answer was “Macedonians.”

“And their country?”

“Macedonia,” he replied.

“And their language would then be Macedonian?”

“Macedonian.”

“Then how to solve the problems that Greeks have with this?”

“Greeks must learn to adjust,” Holbrooke said.

---------------------------------------------------------

1. The description of meetings with former Presidents Gligorov of Macedonia and Papandreou of Greece are in Holbrooke, Richard, To End a War, The Modern Library, New York, 1999 paperback edition, pp. 122-127.

WEEK FOR FIGHT AGAINST CANCER TO START FRIDAY.
 
MIA
 
The number of persons with malignant diseases is constantly increasing. About 4,500 patients, out of whom 2,500 young people, were registered only in the year 2000. Each year, as the chairperson of the Macedonian Anti - Cancer Association - MACA, Lidija Todorovska said, around 3.000 new cases of cancer have been registered in the country, out of which 30 % are young people under the age of 25.
 
Regarding the "Week for Fight Against Cancer", that the World Health Organization (WHO) organizes each year on March 1-7, MACA, in collaboration with the women association of cancer survivors "Life Sparkle", is planing series of activities.
 
Dr. Todorovska pointed out that the most of the activities would be aimed at raising the level of conciseness among population in changing the health habits in order to protect from the harmful factors, which are obviously present in Macedonia.
 
This year, the anti-cancer week will be marked under the motto "More Information - Less Cancer". The activities will include publishing of several brochures on prevention of the skin cancer and protection from harmful sunrays. Booklets on "How to Quit Smoking", "Possibility for Engagement of Volunteers in MACA", "Breast Self-Exam" and "Advises Children Nutrition" are already published.
 
Members of the association "Life Sparkle", in collaboration with "MACA", are planing to visit malignant patients at the Oncology Institute in Skopje on March 4.
 
The traditional gathering of patients with malignant diseases, in cooperation with the Women Association "Lipas", will take place on March 5 in Skopje and two days later in Prilep.
 
Regarding the World Health Day - March 7, MACA is planning to launch a campaign on the rights of patients suffering from malignant diseases.

ARTISTIC COUNCIL OF "YOUTH OPEN THEATER" IS ESTABLISHED.
 
MIA

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The Steering Board of the Youth Cultural Center promoted Thursday the recently established Artistic Council of the international manifestation Youth Open Theater, which will be held for the 27th time in September 2002.
 
The Council will develop the concept of the program, will realize the program and will select the plays that will be shown.
 
The Council will be comprised of Aleksandar Popovski, Nikola Ristanovski, Borce Nikolovski, Goran Stefanovski, Dejan Dukovski, Kiril Dzajkovski and Ljubisa Nikodinovski-Bis.
 
According to Aleksandar Popovski, the Council will focus on realization of four basic tasks. The priority task will be to focus towards Europe and the European theater, and the program will encompass plays, which are "pillars of the European theater."
 
The second task is to promote its own production. Popovski pointed out the idea for creating different types of plays, which will reflect the investigative approach and the free flow of ideas.
 
The third task is to communicate with associations, important names from the theater life in Europe, directors of theater houses following the example of the theater platform.
 
Popovski and Nikodinovski pointed out the professional engagements of Goran Stefanovski in Great Britain and of Dejan Dukovski in Germany as important fact for realizing this task.
 
The Council also stands for organizing exhibitions and concerts during the festival so that the Youth Cultural Center could become a meeting point between the public and the participants. Popovski also pointed out that the Council would work transparently and will be open for suggestions and opinions in order to become landmark of the city.

Parvanov Presented as President of Macedonia.
 
Standartnews
 
Georgi Parvanov was presented as Macedonian President at his speech before the parliament in Skopje yesterday. The error of the Stoyan Andov - chairman of Macedonia's National Assembly, apparently made angry most of the MPs. The Parliament burst in laughter, when the interpreter of Boris Traikovski gave him the floor and introduced him as president of Bulgaria.
 
(SH)

Kostov Refuses to Be UDF Leader.
 
Standartnews

Ivan Kostov thanked us, but put it explicitly that he will not be a nominee for a UDF leader, Vassil Panitza, chief of the UDF-Plovdiv said yesterday. On Monday the local organization in the city nominated the ex-PM. A day later the UDF-Plovdiv declared that it won't allow Kostov to refuse being nominated. The Commander talked with Panitza, but gave him no explanations. His arguments are personal and he'll announce them in due time, the MP said. To him, the new nominations were good. Kostov would talk at the conference on March 10.
 
(PY)

BG Premier Welcomed The Olympic Heroes.
 
Standartnews

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Plamen Valkov

The most prominent person who came to welcome our Olympians from Salt Lake City yesterday was Simeon Saxe-Coburg-Gotha. Both medalists Evgenia Radanova and Irina Nikoulchina were greeted first by the Premier, and then took flowers from Vassil Ivanov - head of DAMS (State Agency for Youth and Sports), Ivan Slavkov - president of the Bulgarian Olympic Committee and politicians, who had come in front of the building of the governmental VIP - being closed for repair works.
 
(SH)

GEORGE ROBERTSON-MEETINGS.

BTA

George Robertson: Bulgaria's Done A Lot to Achieve NATO Membership.

Sofia, February 28 (BTA) - Bulgaria has done a lot to achieve NATO membership but a lot still remains to be donel, NATO Secretary General George Robertson told journalists after meeting with Foreign Minister Solomon Passy on Thursday.

Robertson is on a one-day working visit here as part of a trip that will take him to all membership applicants before the NATO summit in Prague this fall.

The guest noted that there is a lot of time until the Prague summit and that this is a good opportunity for Bulgaria to continue with its membership preparations.

Robertson said they expect more to be done to reform the military and the civilian institutions and to fight corruption. He said Bulgaria has achieved good results so far and that NATO is monitoring its progress.

He is next scheduled to meet with President Georgi Purvanov.

King's MPs Held Responsible for Damaging NMS Prestige.
 
Standartnews

Some people could be asked by the PM to retire, Gerdzhikov said. Media performances of Buchkov and Anastassova lowered the prestige of the NMS.
 
Nadelina Aneva

MPs from NMS Nikolay Buchkov and Elka Anastassova will have to face their fellow-party men reproaches at the next sitting of the PG of the NMS. The decision was taken at a meeting of the NMS on Tuesday, 'Standart' learnt. Elka Atanassova and Nikolay Buchkov will have to explain their media performances, which damaged the prestige of the NMS. The leaders of the NMS PG promised that the discussion of Anastassova's and Buchkov's behavior will be the first point in the agenda. Elka Anastassova and several of her colleagues openly demanded resignation of Milena Milotinova as a chief of the media commission. Buchkov accused four of his colleagues from the NMs of using mobile phones of the Water Supply and Sewage Service in Plovdiv. I've not named anybody, journalists have fabricated the names, he explained in the lobby. There wouldn't be recanted deputies but it may happen that the PM himself could ask some MPs to retire, parliamentary chief Ognyan Gerdzhikov commented the scandal after his return from Venezuela.
 
(PY)

IMF-BULGARIA-LOAN.
 
BTA
 
IMF Approves Two-Year, US$299 Million Stand-By Credit for Bulgaria.
 
Washington, February 28 (BTA) - The Executive Board of the International Monetary Fund (IMF) today approved a two-year stand-by credit for SDR 240 million (about US$299 million) in support of Bulgaria's comprehensive economic program. The decision will enable Bulgaria to draw SDR 32 million (about US$40 million) from the IMF immediately.
 
Following the Executive Board discussion, Mr. Shigemitsu Sugisaki, Deputy Managing Director and Acting Chairman, stated:
 
"The Fund supports the Bulgarian authorities' economic program centered on the currency board arrangement, prudent and flexible fiscal policy, a strict incomes policy, and privatization and other structural reforms. This program offers good prospects for rapid sustained growth, sound external balances, and lower unemployment and poverty.
 
"Prospects for 2002 are generally favorable, with output growth expected to reach 4 percent. The external current account deficit is projected to remain at around 6 percent of GDP, mostly financed by foreign direct investment.
 
Nevertheless, it should be monitored closely, in light of the uncertainty surrounding the recovery in Western Europe. Inflation increased in January owing to administrative price hikes and other one-time effects, but should remain subdued in the remainder of the year. The banking sector is well supervised, highly capitalized, profitable, and resilient to foreign exchange and interest rate risks.
 
"The incomes policy should be implemented strictly, and labor market flexibility should be improved to maintain competitiveness and enhance growth. In addition, the last two large public banks should be sold to well-qualified strategic investors, structural impediments to private sector credit growth eliminated, and the privatization of non-infrastructure enterprises finalized.
 
Other priorities are to continue with the reforms in health care and education, restructure the transportation and energy sectors with a view to improving efficiency and reducing risks to the budget, liberalize trade further, and develop a public debt management strategy aimed at lowering the debt-to-GDP ratio and reducing portfolio and roll-over risk," Mr. Sugisaki stated.
 
Macroeconomic developments have been broadly favorable. Real GDP growth is estimated to have moderated to about 4.5 percent in 2001, as export growth decelerated with the slowdown in the European Union and the crisis in Turkey, and is projected to reach 4 percent this year. Inflation was low during 2001 at 4.8 percent and is expected to remain subdued this year.
 
Unemployment leveled off at around 18 percent in 2001, while real wages increased by 4.5 percent in the first three quarters, the IMF estimates.
 
The approval of the two-year credit indicates the support of the international financial institution for the economic policy conducted by the government which aims to promote economic growth while preserving macro-economic stability and improving the living standards of the population, the press office of the Finance Ministry said in connection with this news.
 
Earlier in the day, parliamentary budget and finance policy committee chairman Ivan Iskrov described the IMF decision as a success for the government achieved despite the attempts to destabilize the country and despite the resistance of the opposition.

PA to Cancel 48 Privatization Deals.
 
Standartnews

The Privatization Agency (PA) included 48 ventures in a public register of deal spoilt because of for systematic negligence of obligations assumed by the buyers.
 
Companies, which before the sale were in a good financial situation and punctual payers to the budget, are among those ventures. After denationalization all of them within a certain time were sanctioned and had to pay over six-digit fines. The fines were due to the fact that they either didn't transfer the instalment payments on the deals or failed to implement their investment and employment programs. Court trials are initiated in most cases on payment of the due penalties. Some of the ventures on the list have already changed their initial owners - Managers and Employees Associations (MEAs). Despite it all, part of the privatized companies are on the brink of bankruptcy. The fact that Apostol Apostolov's administration is trying to introduce order in the privatization chaos is praiseworthy. If only the ventures penalized by the PA managed to pay the due damages on the contracts, serious sums would have replenished the fisc. Furthermore, major part of problems in the state budget could be solved this way.
 
(SH)

Flour Poisoned with Mercury on the Market.
 
Standartnews

The grain was meant for sowing. The chemicals, with which the grain had been treated, are anti- rodent and anti-weeds. Despite that, 13.5 kg had been already milled to flour and prepared for the bakeries The dangerous product is taken away by HEI. Businessman Ivan Hristov was levied the maximum fine of 1,000 levs. Hristov denied to have shipped the flour. Regardless of this fact the inspectors check out the market to confiscate the dangerous product. They will inspect all cooperatives which worked with the "New Way" mill. The mill is closed for three days. The ill-fame of Hristov dates back to 1994. He swindled hundreds of Pleven residents setting up the first pyramid structure in town (Popular Bank) cheating people out of their money. His name was on the list of the so-called "credit millionaires".

Bulgargas and BTC - Sold in 18 Weeks.
 
Standartnews

Company of the World Bank aspire for the BG telecom.
 
Nevena Mircheva
Victoria Seraphimova

The sale's procedures of the Bulgarian Telecommunications Company (BTC), DZI (State Insurance Institute) and Bulgartabak will proceed in 18 weeks, Apostol Apostolov - CEO of the Privatization Agency, said. The state-owned companies will be sold through two-stage tender. The first stage will take 6 weeks after the notice's promulgation in the State Gazette. PA should assess the initial offers for 2 weeks. The candidates, short-listed for the second stage, will dispose 6 more weeks to submit their final proposals. Bulgartabak and DZI will be declared for sale in 2-week term after the act's promulgation, while the BTC - up to 10 days after them, Apostolov elaborated.
 
(SH)

Top Policeman Ousted for Ties with Mafia.
 
Standartnews
Elena Dimitrova

Chief of the anti-mafia forces in Bourgas, Lieutenant Colonel Atanas Hadjiatanassov, will be releived of his post, police authorities said yesterday. The decision was taken after the results of a check-out in the Regional Group for Organized Crime Combat initiated by the "Inspectorate" division to the Interior Ministry. The anti-mafia officers in Bourgas were incriminated in connections with drug-dealers and power abuse. The report was submitted to Minister of Interior, Prof. Georgi Petkanov.

3 Officers to Return Victoriously in The Customs.
 
Standartnews

The employees who kept their jobs after Revisoro's purge are hoping the work to get on well.
 
Vladislava Peeva

Six moths lasted the actions in the 'Customs' Agency. The castling ran non stop both on high and low levels. The last reshuffle was bound to the resignation of the top boss - Emil Dimitrov. The employees in the system heave a sigh of relief. Now the customs officers are looking like a troopers, coming home from a war, make jokes those, who the hurricane of Revisoro didn't blow up.They hope they will have the chance again to do their job in cutting the smuggling and to increase the revenues from duties. Assen Assenov will manage the 'Customs' Agency until the competition for a permanent head is to be held.
 
(SH)

Mayors Wage War in Rousse.
 
Standartnews

Two people run the municipality, within days the third one is to appear on the scene. Instead of saying "Mayor's office", the secretaries say "Hello", picking up phone, the seal is hidden in the registrar's office.
 
Tsvetelina Dontcheva

A ferocious battle for the mayor's office has started in Rousse. About a month before the regular local election the parties in the scandal started wrestling with each other, using the legal tricks, though. The clash has all chances to outclass even the most fierce pre-election campaign. On Monday, all of a sudden Rousse woke up with two mayors. Now, it turned out that there is a third one who will enter the scene within days. The battle for the mayor's office started on Thursday, when the municipal council ousted the acting mayor, Volodia Popov. However, he didn't wait even 24 hours to kick back and declared he will appeal the decision. At the sitting, the councilors elected a new acting mayor - Zhivko Denev. He took oath the same day. Since then the chaos reigns. On Monday, at half-an-hour intervals two briefings were held with heads of the departments. One chaired by Volodia Popov, another, be Zhivko Denev. The secretaries of both answered the telephone with "Hello" instead of hitherto accepted "Mayor's office". The seal of the municipality, is not to be found in a desk drawer of either mayor and is reportedly kept in the registrar's office. Their subordinates claim that the relationships between the two mayors are strained to extreme and they are at daggers with each other. The confusion reached its peak when rumors spread that Rousse may have a third mayor. This was a new legal trick of Volodia Popov. He is preparing to take a leave from March 1 and name his substitute. Most probably, the third in a row will be deputy mayor Dimitar Dimitrov. "I will remain the mayor of Rousse municipality. I will use my right for veto and return to the municipal council its ruling on my dismissal from the post of an acting mayor and my replacement by Zhivko Denev", declared Dr. Volodia Popov. He has sent an objection to the regional governor and prosecutor's office, warning that there is a risk of arbitrary rule in Rousse. Popov is planning to approach the President and Premier to discuss the scandal. He for sure will run for the forthcoming local election on April 20.

Simeon and Parvanov Climb Shipka.
 
Standartnews

President Georgy Parvanov and PM Saxe-Coburg-Gotha will climb together Mount Shipka on March 3. The two of them will take part in the celebration of the National Holiday of Bulgaria. Bishops Gregory and Galaction will chant a requiem in memoriam of the Bulgarians, Russians, Ukrainians, Belorussians, Romanians and Finns who sacrificed their lives in the name of Bulgarian freedom. On Saturday the PM will visit Gabrovo. There he'll have talks with mayor Bogomil Belchev, regional governor Tzvetan Nanov and businessman. Then he will head for Sevlievo. Simeon will visit the Sokolsky nunnery, too.
 
(PY)

25 MPs of UDF and BSP May Join NMS.
 
INTERVIEW Standartnews: Aleko Kjurktchiev

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We may form a majority to amend the Constitution, says NMS deputy, Dr. Aleko Kjurktchiev.

Nadelina Aneva

- Mr. Kjurktchiev, you and Kamen Vlakhov are among the MPs who are being courted by the deputies from other parliamentary groups. Do they still invite you?

- So far we haven't received any concrete invitations. But I think it's natural that we are being courted. The reason is simple - we do have some political background.

- Is there a possibility that you two will leave the parliamentary group of NMS.

- So far such question has not been discussed by the Euro Right formation. NMS is a conglomerate of personalities, people with different political affiliation, who took part in the election on June 17 and are ready to defend the ideas of the NMS to the very end.

- Have you received any tempting offers from the other parliamentary groups?

- I'd sooner say that some people from the other parliamentary groups tend to show interest in joining the NMS, rather than the trend for the formation of a separate parliamentary group with the participation of the NMS MPs. Incredible as it may sound, these could be people from UtdDF, a little less probable - those from Coalition "For Bulgaria".

- If we add up the deputies from the MRF, we can talk of some 170 people.

- How many of them belong to UtdDF and how many to Coalition "For Bulgaria"?

- Some 20-25 people from these parliamentary groups would work for the cause of Bulgaria.

- Will this enable you to form a majority for the amendment of the Constitution?

- At the moment a majority can be formed that could amend certain texts in the Constitution.

Ruling party lawmakers urge prime minister to change policies.
 
AP
 
SOFIA, Bulgaria (AP) -- Legislators in the main government party urged Prime Minister Simeon Saxcoburggotski Thursday to deliver on promises to improve living standards and ethical standards in Bulgaria.
 
Kosta Tsonev, of Saxcoburggotski's National Movement, told the official BTA news agency he and 20 other lawmakers of the party sent a letter to the prime minister saying he wasn't keeping promises that propelled him to power in June elections.
 
The Movement has 120 of the 240 seats in parliament and governs in coalition with the predominantly ethnic Turkish Movement for Rights and Freedom, which controls 24 seats.
 
"An immediate change in the economic and social policies is needed in line with the strategy you formulated yourself," the online newspaper Mediapool quoted the letter as saying.
 
It called also for "full transparency in the government" and more democracy in internal party activities.
 
Confidence in the government of Saxcoburggotski fell by 13 percentage points from 62 percent in December to 49 percent in January, according to a survey by the Alpha Research polling agency. The survey had a margin or error of plus or minus 3 percentage points. No further information was released.
 
Simeon didn't immediately react to the letter. Its signatories were not immediately available for comment.
 
The government has lost popularity mainly due to the lack of substantial improvement of dismal living standards, which Saxcoburggotski had promised to bring.
 
The government has instead introduced a series of price and tax increases triggering several street protests, the latest Thursday.
 
The average monthly salary equals dlrs 125 and the unemployment rate is close to 18 percent.
 
(vz/gj)

Turkey Condemns EU Decision To Recognize Armenian Genocide.
 
AP
 
ANKARA (AP)--Turkey's parliament on Thursday [Today] officially condemned a resolution by the European Parliament that called the killings of Armenians during World War I a genocide.
 
In a unanimous declaration signed by all seven parties in parliament, Turkey called the E.U. resolution "baseless" and "a denial of history."
 
The 626-member European Parliament on Thursday passed the nonbinding resolution, which reiterated a 1987 decree which officially recognized the genocide of Armenians by Turkish forces under Ottoman Empire in 1915.
 
"If this ugly action aspires to pressure Turkey to give up full membership bid (in the E.U.) ... it shall not be successful," Turkey's parliament said.
 
A similar declaration by the French parliament last year strained ties between Turkey and France.
 
Armenians accuse Turks of a genocide of up to 1.5 million Armenians between 1915 and 1923. Turks reject the claim, saying the number of deaths is inflated and that they were killed in civil unrest.

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