To: long-gone who wrote (23828 ) 12/4/1998 7:26:00 PM From: goldsnow Read Replies (1) | Respond to of 116764
Full story INTERVIEW-Kremlin aide warns of ''social explosion'' 08:19 a.m. Dec 04, 1998 Eastern By Adam Tanner MOSCOW, Dec 4 (Reuters) - A top Kremlin aide said on Friday that Russia needs more international credits so it can focus its resources on preventing social unrest. ''It is completely clear that the amounts Russia is supposed to pay off in 1999 are much higher than the government's ability,'' the president's deputy chief of staff Oleg Sysuyev said in an interview. ''Therefore we must think of new credits to fulfill our government's major obligation, that of covering its social expenses to bar a social explosion.'' The International Monetary Fund's Managing Director Michel Camdessus visited Moscow this week and said the IMF could come to prompt agreements in many areas with Prime Minister Yevgeny Primakov's government, but he made no firm commitment to future lending. The Russian government said it would draft a medium-term economic programme by January and discuss it then with another IMF mission, Asked if Russia's message was 'give us money or expect a social explosion', Sysuyev said: ''We are already used to hearing terrible stories....We are saying a stable, developing Russia with a normal economy is in the interest of all countries.'' The IMF has held off giving billions of dollars more in previously promised loans because of lingering concerns about the reform cabinet's economic plans and, more fundamentally, on fears it might abandon market reforms. A prominent member of the opposition Communist Party on Thursday hit back at the IMF, which is deeply mistrusted by Communists and nationalists. He said Russia should break with the Fund. ''I would settle accounts with the IMF and say 'Thank you','' said Gennady Seleznyov, speaker of the State Duma, the lower house of parliament. ''We have to get these shackles off Russia's legs.'' Sysuyev said the Kremlin still felt more credits were needed to help Russia during a time of economic instability. ''Even if we now decided to get on without the help of international financial institutions -- and this is hardly possible -- we would still have to think as orderly people that we owe these institutions significant sums and we must pay these amounts,'' he said. ''The integration of all countries on our planet is such that it is unlikely that we can decline further cooperation with these financial institutions in the future, even if the situation in our country is positive,'' he continued. Copyright 1998 Reuters Limited.