Identifier
Created
Classification
Origin
06MINSK1013
2006-09-18 08:36:00
UNCLASSIFIED
Embassy Minsk
Cable title:
EMBASSY MINSK WEEKLY POL/ECON REPORT - SEPTEMBER 18,
how-toVZCZCXRO8340 RR RUEHAST DE RUEHSK #1013/01 2610836 ZNR UUUUU ZZH R 180836Z SEP 06 ZDK FM AMEMBASSY MINSK TO RUEHC/SECSTATE WASHDC 5094 INFO RUCNOSC/ORGANIZATION FOR SECURITY COOPERATION IN EUROPE RHMFISS/HQ USEUCOM VAIHINGEN GE RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK
UNCLAS SECTION 01 OF 03 MINSK 001013
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - SEPTEMBER 18,
2006
MINSK 00001013 001.4 OF 003
UNCLAS SECTION 01 OF 03 MINSK 001013
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - SEPTEMBER 18,
2006
MINSK 00001013 001.4 OF 003
1. The following are brief items of interest compiled by
Embassy Minsk.
TABLE OF CONTENTS
INTERNATIONAL RELATIONS
--------------
- Chinese Defense Minister Meets with Lukashenko in Minsk (para. 2)
- Lukashenko Arrives in Havana for NAM Summit (para. 3)
CIVIL SOCIETY
--------------
- Ex-Parliament Chair Says Lukashenko Should Resign (para. 4)
- Judge Defers Case against Opposition City Councilmen (para. 5)
- Opposition Politician Sivchik Arrested in Minsk (para. 6)
TRADE AND INVESTMENT
--------------
- Belarusian Glass Factory, IKEA Negotiate Joint Venture (para. 7)
DOMESTIC ECONOMICS
--------------
- Oil Refining Industry Top Paying Employer in Belarus (para. 8)
- Belarus' VISA Bankcards Turnover Up 110 Percent (para. 9)
- QUOTE OF THE WEEK (para. 10)
--------------
International Relations
--------------
2. Chinese Defense Minister Meets with Lukashenko in Minsk
On September 13, while receiving China's Minister of National
Defense and Vice Chairman of the Military Commission of the
Communist Party of China Cao Gangchuan, President Lukashenko
expressed satisfaction with military cooperation with China.
Lukashenko noted that the two countries had signed more than 220
military agreements and contracts and described China as a great
friend of Belarus. Cao replied that Lukashenko enjoys strong
support among the Chinese people, including military servicemen.
Cao arrived in Belarus for discussions on Sino-Belarusian military
cooperation with Belarusian Defense Minister Leonid Maltsev.
Following the meeting, Lukashenko presented Cao with Belarus' Order
of Friendship between Peoples.
3. Lukashenko Arrives in Havana for NAM Summit
Evidently without flying over U.S. territory, Lukashenko landed in
Havana late on September 14 and attended the Non-Aligned Movement
(NAM) Conference of Heads of State and Government on September 15
and 16. His speech focused on increasing NAM's effectiveness in
counteracting the West. Lukashenko also met separately with
Presidents Hugo Chavez of Venezuela, Mahmoud Ahmadinejad of Iran,
and Juan Evo Morales of Bolivia. On September 14, Belarusian
Foreign Minister Martynov held meetings with the foreign ministers
of Bolivia, Suriname, and Swaziland and with Cuban Minister of
Foreign Investment and Economic Cooperation Marta Lomas Morales.
Martynov and Morales discussed preparations for a meeting of the
Belarusian-Cuban commission on trade and economic cooperation
scheduled for late 2006.
--------------
Civil Society
--------------
4. Ex-Parliament Chair Says Lukashenko Should Resign
On September 13, former Council of the Republic Chairman Aleksandr
Voitovich published an internet letter in which he called for
President Lukashenko to cede power to Prime Minister Sergey
Sidorsky on September 21 and promised to support Sidorsky as
"Belarus' legitimate acting president." Voitovich noted that,
while the Belarusian constitution as amended by a 2004 referendum
does not limit the number of presidential terms, the Presidency Law
sets a two-term limit. His second term was to expire on September
20, 2006. Earlier this month, former opposition presidential
candidate Aleksandr Kozulin, who is serving a 5 1/2-year prison
sentence on politically motivated charges, also called upon
Lukashenko to cede power to Sidorsky on September 21.
5. Judge Defers Case against Opposition City Councilman
On September 13, a judge of the Bobruisk City and District Court
sent back a case against opposition Bobruisk City Councilman Ales
MINSK 00001013 002.4 OF 003
Chigir to the police on the grounds that the district prosecutor
had illegally charged him. According to the judge's decision, only
a city prosecutor and prosecutors of a higher rank are authorized
to issue a warrant against members of elected councils. Local
police had charged Chigir with staging an unauthorized
demonstration and with disobeying police orders in connection with
Chigir's August 31 protest against being fired from his teaching
position. Chigir believes the dismissal was in retaliation for his
activities as the Mogilev regional head of opposition presidential
candidate Aleksandr Milinkevich's recent campaign. He predicts the
police will appeal the ruling.
6. Opposition Politician Sivchik Arrested in Minsk
On September 12, police arrested former opposition Belarusian
Popular Front (BPF) Deputy Chair Vyacheslav Sivchik while he was
meeting with an independent journalist in a Minsk cafe. On March
29, police had unsuccessfully attempted to apprehend Sivchik as he
was leaving a hospital where he received treatment for head
injuries. Police severely beat him during the opposition "tent
city" demonstration in Minsk's October Square following the March
19 presidential elections. On May 19, a judge sentenced Sivchik in
absentia to ten days in jail under Part 1 of the Administrative
Offenses Code's Article 167, which penalizes participation in an
unauthorized demonstration. Sivchik reportedly had left Belarus
and returned in mid-August.
--------------
Trade and Investment
--------------
7. Belarusian Glass Factory, IKEA Negotiate Joint Venture
On September 12, Belarus' Glass Factory Neman, based in the western
Grodno region, announced talks with IKEA on joint production of
3,000 decorative lamps per year. IKEA is purportedly interested in
a joint venture because of energy and loan preferences granted to
Neman plant by President Lukashenko in exchange for increasing the
state stake in the glass factory to 99.98 percent. Total state
support for Neman is estimated to be USD 19.6 million. Neman was
established in 1883 and went public in 2004. The factory produces
more than 3,000 types of glassware and employs more than 4,000
people. Between January and August, Neman increased sales 22.8
percent on the year to USD 12.7 million. Meanwhile, Neman's
exports rose 54 percent to USD 4.2 million.
--------------
Domestic Economy
--------------
8. Oil Refining Industry Top Paying Employer in Belarus
On September 13, the Belarusian Finance Ministry reported that the
oil refining industry was the highest paying employer in Belarus
during the first six months of 2006. During the period, monthly
pay at oil refining enterprises averaged USD 602. In contrast,
agricultural employees had the lowest monthly pay of USD 152, 70
percent lower than the national average. Bank employees' monthly
pay topped the service sector at USD 443. At the bottom end of the
sector were paramedics and nurses with an average pay of USD 142.
Medical professionals and teachers were paid USD 407 and USD 420,
respectively. Real average pay increased by 20.1 percent on the
year in the first six months of 2006. In June, the average pay
reportedly totaled USD 282, 18.5 percent more than in June 2005.
Real income rose by 18.8 percent to USD 173 per capita.
9. Belarus' VISA Bankcards Turnover Up 110 Percent
On September 12, VISA Area Manager Svetlana Georbelidze announced
that Blarus' VISA bankcards' turnover rose 110 percent beween
June 2005 and June 2006 to USD 2.19 billion During that period,
the number of VISA cards i circulation rose 54.9 percent to 1.383
million. Meanwhile, there were 13.4 million payments with isa
cards for goods and services, 3.8 times the pevious year, and the
volume of payments reached SD 79.3 million, up 3.5 times. Salary
cards accunt for 96 percent of all Visa cards in Belarus. Eleven
Belarusian banks have become members of the VISA system, and two
others have applied for membership recently. According to
Georbelidze, the number of transactions with VISA cards in trade,
services and public catering is rising faster than anywhere else in
the Commonwealth of Independent States.
--------------
Quote of the Week
--------------
10. During a visit to Belarus by a delegation of hunting experts
from the Ukrainian State Forestry Committee, Belarusian Forestry
Ministry Spokeswoman Ruzhena Novitskaya offered the following
observation about Belarus' experience in breeding bison as proof of
MINSK 00001013 003.4 OF 003
her country's comparative development:
"As many as 680 bison are known to dwell in Belarus and, by the end
of the year, their population is expected to reach 730, which is a
good indicator against the background of other European countries."
HOGAN
SIPDIS
SIPDIS
E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON EPET ENRG KTDB BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - SEPTEMBER 18,
2006
MINSK 00001013 001.4 OF 003
1. The following are brief items of interest compiled by
Embassy Minsk.
TABLE OF CONTENTS
INTERNATIONAL RELATIONS
--------------
- Chinese Defense Minister Meets with Lukashenko in Minsk (para. 2)
- Lukashenko Arrives in Havana for NAM Summit (para. 3)
CIVIL SOCIETY
--------------
- Ex-Parliament Chair Says Lukashenko Should Resign (para. 4)
- Judge Defers Case against Opposition City Councilmen (para. 5)
- Opposition Politician Sivchik Arrested in Minsk (para. 6)
TRADE AND INVESTMENT
--------------
- Belarusian Glass Factory, IKEA Negotiate Joint Venture (para. 7)
DOMESTIC ECONOMICS
--------------
- Oil Refining Industry Top Paying Employer in Belarus (para. 8)
- Belarus' VISA Bankcards Turnover Up 110 Percent (para. 9)
- QUOTE OF THE WEEK (para. 10)
--------------
International Relations
--------------
2. Chinese Defense Minister Meets with Lukashenko in Minsk
On September 13, while receiving China's Minister of National
Defense and Vice Chairman of the Military Commission of the
Communist Party of China Cao Gangchuan, President Lukashenko
expressed satisfaction with military cooperation with China.
Lukashenko noted that the two countries had signed more than 220
military agreements and contracts and described China as a great
friend of Belarus. Cao replied that Lukashenko enjoys strong
support among the Chinese people, including military servicemen.
Cao arrived in Belarus for discussions on Sino-Belarusian military
cooperation with Belarusian Defense Minister Leonid Maltsev.
Following the meeting, Lukashenko presented Cao with Belarus' Order
of Friendship between Peoples.
3. Lukashenko Arrives in Havana for NAM Summit
Evidently without flying over U.S. territory, Lukashenko landed in
Havana late on September 14 and attended the Non-Aligned Movement
(NAM) Conference of Heads of State and Government on September 15
and 16. His speech focused on increasing NAM's effectiveness in
counteracting the West. Lukashenko also met separately with
Presidents Hugo Chavez of Venezuela, Mahmoud Ahmadinejad of Iran,
and Juan Evo Morales of Bolivia. On September 14, Belarusian
Foreign Minister Martynov held meetings with the foreign ministers
of Bolivia, Suriname, and Swaziland and with Cuban Minister of
Foreign Investment and Economic Cooperation Marta Lomas Morales.
Martynov and Morales discussed preparations for a meeting of the
Belarusian-Cuban commission on trade and economic cooperation
scheduled for late 2006.
--------------
Civil Society
--------------
4. Ex-Parliament Chair Says Lukashenko Should Resign
On September 13, former Council of the Republic Chairman Aleksandr
Voitovich published an internet letter in which he called for
President Lukashenko to cede power to Prime Minister Sergey
Sidorsky on September 21 and promised to support Sidorsky as
"Belarus' legitimate acting president." Voitovich noted that,
while the Belarusian constitution as amended by a 2004 referendum
does not limit the number of presidential terms, the Presidency Law
sets a two-term limit. His second term was to expire on September
20, 2006. Earlier this month, former opposition presidential
candidate Aleksandr Kozulin, who is serving a 5 1/2-year prison
sentence on politically motivated charges, also called upon
Lukashenko to cede power to Sidorsky on September 21.
5. Judge Defers Case against Opposition City Councilman
On September 13, a judge of the Bobruisk City and District Court
sent back a case against opposition Bobruisk City Councilman Ales
MINSK 00001013 002.4 OF 003
Chigir to the police on the grounds that the district prosecutor
had illegally charged him. According to the judge's decision, only
a city prosecutor and prosecutors of a higher rank are authorized
to issue a warrant against members of elected councils. Local
police had charged Chigir with staging an unauthorized
demonstration and with disobeying police orders in connection with
Chigir's August 31 protest against being fired from his teaching
position. Chigir believes the dismissal was in retaliation for his
activities as the Mogilev regional head of opposition presidential
candidate Aleksandr Milinkevich's recent campaign. He predicts the
police will appeal the ruling.
6. Opposition Politician Sivchik Arrested in Minsk
On September 12, police arrested former opposition Belarusian
Popular Front (BPF) Deputy Chair Vyacheslav Sivchik while he was
meeting with an independent journalist in a Minsk cafe. On March
29, police had unsuccessfully attempted to apprehend Sivchik as he
was leaving a hospital where he received treatment for head
injuries. Police severely beat him during the opposition "tent
city" demonstration in Minsk's October Square following the March
19 presidential elections. On May 19, a judge sentenced Sivchik in
absentia to ten days in jail under Part 1 of the Administrative
Offenses Code's Article 167, which penalizes participation in an
unauthorized demonstration. Sivchik reportedly had left Belarus
and returned in mid-August.
--------------
Trade and Investment
--------------
7. Belarusian Glass Factory, IKEA Negotiate Joint Venture
On September 12, Belarus' Glass Factory Neman, based in the western
Grodno region, announced talks with IKEA on joint production of
3,000 decorative lamps per year. IKEA is purportedly interested in
a joint venture because of energy and loan preferences granted to
Neman plant by President Lukashenko in exchange for increasing the
state stake in the glass factory to 99.98 percent. Total state
support for Neman is estimated to be USD 19.6 million. Neman was
established in 1883 and went public in 2004. The factory produces
more than 3,000 types of glassware and employs more than 4,000
people. Between January and August, Neman increased sales 22.8
percent on the year to USD 12.7 million. Meanwhile, Neman's
exports rose 54 percent to USD 4.2 million.
--------------
Domestic Economy
--------------
8. Oil Refining Industry Top Paying Employer in Belarus
On September 13, the Belarusian Finance Ministry reported that the
oil refining industry was the highest paying employer in Belarus
during the first six months of 2006. During the period, monthly
pay at oil refining enterprises averaged USD 602. In contrast,
agricultural employees had the lowest monthly pay of USD 152, 70
percent lower than the national average. Bank employees' monthly
pay topped the service sector at USD 443. At the bottom end of the
sector were paramedics and nurses with an average pay of USD 142.
Medical professionals and teachers were paid USD 407 and USD 420,
respectively. Real average pay increased by 20.1 percent on the
year in the first six months of 2006. In June, the average pay
reportedly totaled USD 282, 18.5 percent more than in June 2005.
Real income rose by 18.8 percent to USD 173 per capita.
9. Belarus' VISA Bankcards Turnover Up 110 Percent
On September 12, VISA Area Manager Svetlana Georbelidze announced
that Blarus' VISA bankcards' turnover rose 110 percent beween
June 2005 and June 2006 to USD 2.19 billion During that period,
the number of VISA cards i circulation rose 54.9 percent to 1.383
million. Meanwhile, there were 13.4 million payments with isa
cards for goods and services, 3.8 times the pevious year, and the
volume of payments reached SD 79.3 million, up 3.5 times. Salary
cards accunt for 96 percent of all Visa cards in Belarus. Eleven
Belarusian banks have become members of the VISA system, and two
others have applied for membership recently. According to
Georbelidze, the number of transactions with VISA cards in trade,
services and public catering is rising faster than anywhere else in
the Commonwealth of Independent States.
--------------
Quote of the Week
--------------
10. During a visit to Belarus by a delegation of hunting experts
from the Ukrainian State Forestry Committee, Belarusian Forestry
Ministry Spokeswoman Ruzhena Novitskaya offered the following
observation about Belarus' experience in breeding bison as proof of
MINSK 00001013 003.4 OF 003
her country's comparative development:
"As many as 680 bison are known to dwell in Belarus and, by the end
of the year, their population is expected to reach 730, which is a
good indicator against the background of other European countries."
HOGAN