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MILS: News from the FYROM, 97-06-30

Macedonian Information Liaison Service Directory - Previous Article - Next Article

From: "Macedonian Information Liaison Service" <mils@mils.spic.org.mk>


CONTENTS

  • [01] AT FORUM KRAN MONTANA - CRVENKOVSKI ON DEVELOPMENT OF MACEDONIA
  • [02] IVAN KOSTOV - THE MACEDONIAN CONFLICT ARTIFICIAL AND OVERBLOWN
  • [03] NEW PHASE IN RELATIONS BETWEEN SR YUGOSLAVIA AND MACEDONIA
  • [04] ARBEN DZAFERI - KOSOVO ISSUES NOT TO BE SOLVED ACCORDING TO A MACEDONIAN MODEL
  • [05] PARLIAMENT DISCUSSIONS ON NATIONALITIES BANNERS NEXT WEDNESDAY
  • [06] DPM DEMANDS FROM GOVERNMENT QUICK AND EFFECTIVE REACTION
  • [07] `TAT' CLIENTS DO NOT ACCEPT THE LATEST PROPOSAL ON COMPENSATION
  • [08] IN ROUND ONE OF MULTILATERAL COMPENSATION DOMESTIC DEBT DECREASED FOR 100 MILLION DM
  • [09] SYNDICATE - GOVERNMENT - PAYMENT OD UNSETTLED INTEREST FREE FEES
  • [10] STARTING FROM TOMORROW CUSTOM DUTY ON SKOPJE AIRPORT ACCORDING TO ECD DOCUMENT
  • [11] AGREEMENT ON COLLABORATION BETWEEN OHIS AND TEXACO
  • [12] TALKS ON EXPORT OF TIKVESH WINES TO FRANCE
  • [13] `DNEVNIK' - ON DISLOCATING LAND MINES NEAR PESHTANI GOVERNMENT ORDER IS AWAITED
  • [14] ATTEMPT OF A HEAVY MANIPULATION WITH LOTTERY GAME `LOTO'

    MILS SUPPLEMENT

  • [15] `Denar About to Devaluate - But Inflation Under Control?' (`Dnevnik' - 27th June 1997)

  • MILS NEWS

    Skopje, 30 June, 1997

    [01] AT FORUM KRAN MONTANA - CRVENKOVSKI ON DEVELOPMENT OF MACEDONIA

    Within the frames of this year's forum `Kran Montana' which was held in Switzerland, Macedonian MP Branko Crvenkovski held a speech on the topic - economic situations in Macedonia and investment possibilities. Above all, the President of the Macedonian Government spoke about the basic postulates on which the overall development of the state is founded - love of peace, readiness for collaboration as well as the achieved legitimacy affirmed by over than 80 world countries with which Macedonia has established diplomats relationships. As Crvenkovski emphasized the realized macroeconomic stability in Macedonia according to the IMF assessments is a result of one of the most successful stabilizing programmes from the transition states.

    With a part of his speech Crvenkovski dwelled on the privatization in Macedonia which had turned 96% of the social ownership firms into privately owned ones. Crvenkovski had also emphasized that the banking system is also dominated by the private capital, while the Economy Bank compasses capital from the Austrian Giro- Credit Bank and the Greek National Bank. Regarding the small market, such as the Macedonian, Crvenkovski had underlined that it has already been overcome by the signed agreements on free trade with Slovenia, Croatia, SR Yugoslavia and BIH. Three is an endeavor on the Macedonian part such agreements to be signed also with Albania and Bulgaria, which would lead to realization of the Macedonian intention to have open borders and free flow of capital, people and ideas with its neighbours, underlined Crvenkovski.

    [02] IVAN KOSTOV - THE MACEDONIAN CONFLICT ARTIFICIAL AND OVERBLOWN

    As the Macedonian papers report, PM Crvenkovski at the Forum Kran Montana had realized many bilateral meetings - with the President of the Swiss Conference Council, Flavio Koti, the President of the Slovenian Parliament, Janez Podobnik and the Trade Minister of Lebanon, Jasin Zzaber, and as the most important one is regarded the meeting with the new Bulgarian PM, Ivan Kostov.

    According to `Vecher', the talks between the two prime ministers lasted about an hour during which they discussed bilateral issues hindering the development of the relations between the two countries. Underlining that there have been no detail discussions, PM Crvenkovski informed that both sides showed intention to talk on all levels including the Foreign Affairs ministries so as to overcome the problems which hinder the signing of 19 agreements as a legal frame for collaboration development. He also pointed out that at this meeting the Bulgarian Prime Minister suggested that an agreement should be signed on free trade exchange between the two countries and this has been received with pleasure.

    Bulgarian PM Kostov, as reported by the Sofian `Trud', at the meeting with PM Crvenkovski stated that the language debate with Macedonia is an artificially disastrous fall. According to Kostov Bulgaria has suggested 9 formulas on overcoming the debate, and if necessary he will suggest a 10th which will based on the previous ones and should put an end to this artificial problem. The Sofian information services particularly objected to the Macedonian PM listening of Kostovs' speech translated in English through headphones although he had spoken in pure Bulgarian. It has also been emphasized that these two Prime ministers had previously been speaking with no translator.

    [03] NEW PHASE IN RELATIONS BETWEEN SR YUGOSLAVIA AND MACEDONIA

    The SR Yugoslavia Government has recently assessed the current relations with the Macedonian Republic as highly successful, reports `Makfaks' agency. This assessment has been brought about at a session of the Yugoslav Government where the platform for talks between PMs Radoje Konticc and Branko Crvenkovski is scheduled for the 3 and 4. July in Belgrade. According to assessments of the Yugoslav Government, the return visit of Crvenkovski in Belgrade will present the end of one and the beginning of a new phase in the successful relations between the two states. Otherwise, according to `Makfaks', during Crvenkovski's visit to Belgrade the two states should sign many bilateral agreements.

    [04] ARBEN DZAFERI - KOSOVO ISSUES NOT TO BE SOLVED ACCORDING TO A MACEDONIAN MODEL

    `The solution of the Kosovo issue should not be done according to the strategy `step by step', which had been practiced in Macedonia and had proven not to be successful', stated at the Serbo-Albanian dialogue for Kosovo in Uljcin the leader of the PDPA Party, Arben Dzaferi. At this meeting organized by several non- governmental organizations in the USA and Canada, the Helsinki Committee of Serbia and the Board on Human Rights in Prishtina, from Macedonia besides Dzaferi there have also been invited Pande Lazarevski (general manager of `Nova Makedonia'), Ferid Muhicc (professor at the Philosophy Faculty) and Ilija Trajkovski, but they didn't show up. Arben Dzaferi had the meeting with the Albanian parties in Kosovo.

    After this Dzaferi has stated that there had been talks regarding joined action, but not in the negative sense, yet in a the direction of pressuring the international community. `We clearly say that we will live in Macedonia. Contacts with the political parties from Kosovo and Albania exist but not as some would like to regard them with an extremist background but so as to solve the problems of the Albanians who really exist', stated Dzaferi for `Dnevnik'.

    [05] PARLIAMENT DISCUSSIONS ON NATIONALITIES BANNERS NEXT WEDNESDAY

    At the session of the Macedonian Parliament which is to be held next Wednesday on 2 July among other there will be a discussion regarding the legal suggestion on usage of the banner, hymn, and coat of arms of the Macedonian Republic including the usage of the banners by which nationalities present their identity and national trait. Recently, as it is known, the Constitutional Court has taken a temporary measure on taking down the nationalities banners, i.e. the banners of Albania and Turkey in front of the building in Gostivar municipality and Tetovo.

    This decision of the Court resulted the assessment that the decision of the Councils of the municipalities of Gostivar and Tetovo to rise banners of foreign states as a national trait is not constitutional. The decision of the Constitutional Court is of a temporary character and will be in force until laying down a Law on usage of the nationalities banners. The measure of the Constitutional Court on taking down the banners has not been done by the Government which in the mean time has brought a bill which will be discussed upon in the Assembly on Wednesday.

    [06] DPM DEMANDS FROM GOVERNMENT QUICK AND EFFECTIVE REACTION

    The Leader of the Democrat Party of Macedonia, Tomislav Stojanovski Bombaj these days has assessed that it is aimless to set fort separate initiatives on taking down the nationalities banners because the Constitutional Court should make a decision on the whole territory of the Republic of Macedonia.

    According to Stojanovski the Government should perform the decisions of the Constitutional Court which are final because otherwise it may happen the governmental functions to be taken over by certain political subjects such as MAAK-Conservative Party whose leader Strasho Angelovski has threatened that with his activists will take down the banners in Gostivar and Tetovo. As reported by `Nova Makedonija', Stojanovski stated that he believes this time the Government will act quickly and effectively because it itself besides DPM has given the initiative to assess the constitutionality of the decisions made by the Councils of the municipalities of Gostivar and tetovo.

    [07] `TAT' CLIENTS DO NOT ACCEPT THE LATEST PROPOSAL ON COMPENSATION

    The clients of TAT' do not accept the proposal to be compensated within a time term of 36 months with foreign currency bonds and they stand on their demand of a total pay off of the savings money together with interests. The Macedonian Television reports, this was emphasized at yesterday's rally in Bitola organized by the Clients' Council at which they expressed their attitudes regarding the latest proposal on compensation made by PM Crvenkovski. At this rally non- present were the President of the Clients' Association, Mende Mladenovski, wile the president of the Clients' Board, Ilija Nevenovski also supported the idea of total compensation.

    According to Nevenovski, information reveal that the results of the expert opinion reveal a more optimistic picture of the `TAT' finance situation in comparison to the one given after the NBM supervision. Representatives of the Clients' Council, Kire Kovachev, Zoran Popccevski and Alexandar Ilievki at the rally in Bitola openly criticized the Government and the PM because as they had assessed ` with diplomatic evasion they prolong the case with the `TAT' bank and do not accept negotiations on just compensation'.

    From the pulpit slogans have been shouted out such as `Down with the Government', `Robbers', Down with the Prime Minister' and insults have been directed towards the spokesmen of the Clients' Association, Mende Mladenovski who acts in compliance with the Government. At the end the leaders of the clients Mladenovski and Nevenovski have been released from their functions and a mandate on talks with the Government has been given to the Clients' Council.

    [08] IN ROUND ONE OF MULTILATERAL COMPENSATION DOMESTIC DEBT DECREASED FOR 100 MILLION DM

    According to data from the Payment Flow Institute of Macedonia in the first round of the multilateral compensation which was held last Saturday included round 6.000 firms which demanded settlement of their debts amounting up to 28,8 billion denars (approximately more than a billion DM).

    According to the Institute through the compensation the domestic debt has been decreased for about 2,7 billion denars and around 100 million DM. The effect of the multilateral compensation ( out of the total 28,8 billion debt and the settled 2,7 billion denars) is 9,4% and according to experts from the Institute this is the largest ever performed cycle of multilateral compensation.

    According to data in this first round of multilateral compensation in the country this year participated around 10% of the giro account owners, but they also included (by reporting the trustees whom they owed) around 60% of the giro accounts which are being handled by the Payment Flow Institute. A novelty in this multilateral compensation is the difference made by including the ministries, state institutions and bodies in the settlement of debts and demands.

    [09] SYNDICATE - GOVERNMENT - PAYMENT OD UNSETTLED INTEREST FREE FEES

    The Council of the Macedonian Union Syndicate last Friday signed an agreement with the Government on settling the problem with the unpaid fees of the firms amounting up to 8,5 billion denars. In the agreement, `Dnevnik' reports, it has been established that the interests are to be removed due to their unsettled debts towards the state.

    [10] STARTING FROM TOMORROW CUSTOM DUTY ON SKOPJE AIRPORT ACCORDING TO ECD DOCUMENT

    The custom duty payment on the Skopje airport starting from the 1st of July this year will be carried out by filling in the unique customs form (ECD) as a import customs declaration, announced the customs administration of Macedonia. This presents introduction of ECD as an import customs declaration and at the same its implementation in the customs specialized software programme ASIKUDA. In the announcement it is also reported that besides the fact that the customs and legal subjects have been trained to perform in this customs section yet there are chances for occurrence of problems.

    [11] AGREEMENT ON COLLABORATION BETWEEN OHIS AND TEXACO

    In Skopje these days an agreement has been signed on a working-technical collaboration between A.D.OHIS and the multinational company TEXACO, section for cooling devices. According to `Nova Makedonija', the agreement announces production of devices for motor cooling in OHIS for which TEXACO will give its total production support. For the products that will be delivered from OHIS to the agreed regions, TEXACO will affirm that they have been produced according to its standards. According to the agreement the two companies have agreed to widen the collaboration in the field of another TEXACO programme.

    TALKS ON EXPORT OF TIKVESH WINES TO FRANCE

    The French ambassador in Macedonia Zak Huncinger during his work visit to Kavadarci had had talks with the mayor Mancho Micajkov and members of the municipality Council, regarding connecting the firms from Kavadarci with the French merchants. The French ambassador, `Vecher' reports, has visited the largest vine production house on the Balkans - AK `Tikvesh' and had talks regarding export of the most famous Tikvesh beverage to France, especially high sorted wines.

    [12] TALKS ON EXPORT OF TIKVESH WINES TO FRANCE

    The French ambassador in Macedonia Zak Huncinger during his work visit to Kavadarci had had talks with the mayor Mancho Micajkov and members of the municipality Council, regarding connecting the firms from Kavadarci with the French merchants. The French ambassador, `Vecher' reports, has visited the largest vine production house on the Balkans - AK `Tikvesh' and had talks regarding export of the most famous Tikvesh beverage to France, especially high sorted wines.

    [13] `DNEVNIK' - ON DISLOCATING LAND MINES NEAR PESHTANI GOVERNMENT ORDER IS AWAITED

    `Dnevnik' reports that the Macedonian Government has still not given an order to the units of Civilian protection to dislocate the found unexploded artillery mines on the beach near the village Peshtani on the lake of Ohrid. According to `Dnevnik' these mines which have been found 3 meters from the shore of the lake during a digging of a main sewer route is to be discussed today by the Government. A decision is to be made on the manner of dislocating the mines and of the possible postponement of the main sewer building in this part of the lake.

    [14] ATTEMPT OF A HEAVY MANIPULATION WITH LOTTERY GAME `LOTO'

    Last Tuesday before the drawing of the 25th series of the lottery game `Loto' the Lottery of Macedonia revealed a heavy manipulation, report the Macedonian media. As it has been reported, in the checking done before the beginning of the lottery drawing it has been found out that 24 balls out of 39 to be heavier than allowed. The organizer of the game and the commission established that the balls had been filled with an unknown liquid. The whole set of balls had been replaced by a new one and the regular drawing of the 25th series took place. This case has been reported to the police and an investigation is in process.

    The Lottery of Macedonia point out that temporarily they had to keep this manipulation secret from the public so as not to harm the investigation. As it has been reported last Friday, the mixer, the balls and the whole equipment which are used in the process of drawing of this popular game in Macedonia are kept in an office in the building of the Macedonian Television the key of which is kept by the organizers from the Lottery of Macedonian and the MTV. Among the Macedonian public for a longer period of time there have been speculations that during the `Loto' drawing manipulations take place which put at stake the regularity of the game.

    MILS SUPPLEMENT

    [15] `Denar About to Devaluate - But Inflation Under Control?'

    (`Dnevnik' - 27th June 1997)

    According to Macedonian exporters and certain opposition circles, these days representatives of the IMF and NBM have been negotiating the `downing' of the denar exchange rate, which currently amounts to 27.10 denars per 1 DM. As we have found out `off-the-record' the IMF requests this exchange rate intervention i.e. the devaluation of the denar or a 20% rise of the DM. The Government, however, is only ready to yield 8%.

    Vice-Governor Bishev claims that during the first two stages of negotiations with the IMF this subject was not on the agenda - while adding that talks with Robert Corker have been scheduled in three stages. Thus it is not impossible that the devaluation of the denar may be discussed. Pedantic analysts have calculated: should the domestic currency still be devaluated by 8%, this would entail the maximum inflation rate of 5%. This would still embody an abandoning of the Government's exchange rate and monetary policy for this year. What happens if the Government and the IMF still agree to devaluate the denar by 8%? According to monetary experts, the inflation rate is bound to exceed 2%, another violation of their credo that `there would be no inflation over 2% by the end of the year.' Complementary to this, such a measure would mean the steering away form the so-called `dirty exchange rate' policy.

    The latter reference denotes an exchange rate denoted as `subsistent' by the Government (i.e. subject to the demand and offer of hard currency). The actual exchange rate however remains fixed, as from 1993 till the present the NBM has permanently intervened by purchasing or selling hard currency assets. Thus it has been constantly controlling the actual exchange rate. Should the Government and the IMF reach a consensus on the devaluation of the denar (i.e. `its dropping'), the denar assets in circulation will have to be increased.

    This means that besides a reviewing of the exchange rate policy, it will be necessary to re-examine the entire monetary policy of the state and ergo commence what insiders have denoted as a `rational development policy within the country' with an inflation rate of 5%. `So far we have never discussed anything of this sort with Mr. Corker, the Head of the IMF mission in Macedonia. We have merely been considering how to tighten up the Budget i.e. how to decrease public expenditures which is restrictive enough by itself. It will nevertheless facilitate the speedy settling of dues', stated NBM Vice-Governor Gligor Bishev for `Dnevnik'. He further added that negotiations with IMF representatives are being conducted in three stages. First they are to concentrate on a joint analysis of structural change within Macedonian economy. The second stage constituted of an analysis of current macro- economic policy (with respect o exchange rates and monetary policy) and the third stage would study the measures in these two sectors which should be undertaken by the Government and the NBM by the end of this year.

    Thus Bishev has virtually left the door open for discussions on the denar exchange rate (i.e. its devaluation). A financial expert who attended the negotiations with the IMF states that whenever this institution had talked about this subject, the country's trade balance served as a main prop to their point, as Macedonia's balance permanently results in a negative deficit. Therefore, this expert claims, the Government of Macedonia would wage war on this negative trade balance by devaluating the denar..

    Exporters have been asking for a change of the denar exchange rate over a longer period of time, even at the ratio of 31 denar per 1 DM as this would boost production and export in Macedonia, on whose account then the import of goods from abroad would decrease. This again would decrease the outflow of hard currency assets and the trade balance deficit since more hard currency assets would flow into the country.

    (end)

    mils news 30 June, 1997


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