Identifier
Created
Classification
Origin
07MINSK711
2007-08-17 13:36:00
UNCLASSIFIED
Embassy Minsk
Cable title:  

EMBASSY MINSK WEEKLY POL/ECON REPORT - August 17, 2007

Tags:  PGOV PREL PHUM ECON ENRG BO 
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FM AMEMBASSY MINSK
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INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUCNOSC/ORGANIZATION FOR SECURITY COOPERATION IN EUROPE
RHMFISS/HQ USEUCOM VAIHINGEN GE
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UNCLAS SECTION 01 OF 03 MINSK 000711 

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON ENRG BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - August 17, 2007


UNCLAS SECTION 01 OF 03 MINSK 000711

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV PREL PHUM ECON ENRG BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - August 17, 2007



1. The following are brief items of interest compiled by Embassy
Minsk.

TABLE OF CONTENTS

Civil Society
--------------

- Demographic Trends (para. 2)
- Entrepreneurs Resolve to Strike and Defend Rights (para. 3)
- Independent Editor Faces Criminal Charges (para. 4)
- Polish Officials Denied Entry To Belarus (para. 5)
- GOB Denies Registration to Left-Wing Coalition (para. 6)
- Customs Officers Detain Activist, Seize Publications (para. 7)
- Organizers Fined for Collection Box at Free Concert (para. 8)
- Activist Resorts to Begging to Pay Damages (para. 9)
- Union Refuses to Disclose Information (para. 10)
- Minsk Court Rejects Historian's Lawsuit (para. 11)

Domestic Economy
--------------

- Lukashenko: Natural Gas Price Hikes Won't Hurt (para. 12)
- No More Russian Ruble Peg (para. 13)

International Trade
--------------

- Belarus Bans Meat Imports in Private Luggage (para. 14)
- Financing Deal for John Deere Shipments (para. 15)

- Quote of the Week (para. 16)

--------------
Civil Society
--------------


2. Demographic Trends

The Ministry of Labor and Social Security announced on August 10 its
newest demographic statistics. The good news: according to the
ministry, the country's birth rate rose by 8.8 percent during the
first half of 2007, while the death rate dropped by 4.2 percent.
The bad news: the number of divorces increased by 15.4 percent and
the number of marriages is up only 5.1 percent. Officials stated
that, as a result, Belarus faces a problem of "instability of family
relations and social orphanhood." Ministries are set to implement
programs to encourage responsible parenting, prepare youth for
family life, and talk about positive family experiences. Other
facts: the mortality rate in rural areas is more than twice as high
as in the cities. Cardiovascular disease, fatal incidents, and
cancer are the leading causes of death.


3. Entrepreneurs Resolve to Strike and Defend Rights

Small business NGO "Initiative" leader Viktor Gorbachev announced
that market vendors plan a national one-day strike set for September

1. The vendors made the decision based on the local authorities'
unsupportive reaction to their protest against recent arbitrary
inspections, seizures, and fines at markets. Gorbachev estimated
50,000 vendors could potentially join the strike across Belarus. He
also said the activists will hold a conference on August 27 to adopt
a statement against increased pressure from the GOB, and to discuss
steps to counter illegal raids.



4. Independent Editor Faces Criminal Charges

Prosecutor's office in Kletsk, Minsk Oblast resumed a criminal case
against Sergey Ponomorev, publisher and editor of a local
independent bulletin. A case against Ponomorev charging him with
slander against law enforcement officers was closed in June 2007
after linguistic experts found no mention of slander in the
publication's articles. Renewed criminal charges came after
Ponomorev filed an application with the local authorities to obtain
permission to stage a picket in support of political prisoner
Aleksandr Kozulin.


5. Polish Officials Denied Entry to Belarus

Belarusian border officials denied entry to the Vice Speaker of the
Polish Senate, the Deputy Head of the Senate Chancellery, and two
members of the Polish legislature. The group was traveling to
Belarus on August 15 to attend Polish Army Day celebrations,
organized by the independent Union of Belarusian Poles in Grodno.
The Belarusian Foreign Ministry stated that the Polish officials are
on the travel ban list because they are traveling with the purposes
of "political propaganda, inciting discord in the Polish community,
and engaging in unconstructive dialogue."


6. GOB Denies Registration to Left-Wing Coalition

MINSK 00000711 002 OF 003



On August 9, Belarus' Ministry of Justice denied for the second time
the registration of the Union of Left Parties, an alliance of three
left-wing opposition parties. The ministry cited mistakes made in
the registration application. The alliance plans to appeal the
decision. The Union's first application was rejected on the pretext
that its founding conference was held in Ukraine, in contradiction
with a Belarusian law forbidding political parties to hold events
abroad. The alliance submitted its second application after holding
another founding conference within Belarus.


7. Customs Officers Detain Activist, Seize Publications

On August 14, Belarusian customs officers held Dzyanis Sadowski, an
opposition activist, at the Polish border for two hours. The
officers confiscated CDs, books and leaflets from among his
belongings. They eventually released him to continue his trip to a
workshop in Poland. The confiscated material included files on
Stalin's purges, literature by Vasil Bykaw and leaflets opposing the
Belarusian religion law.


8. Organizers Fined for Collection Box at Free Concert

On August 10, the Gomel Regional Economic Court fined the organizers
of a pro-opposition concert nearly USD 150 after finding them guilty
of the illegal business activity of collecting money at a supposedly
free concert. The group asserted that the case was politically
motivated and that the code used to impose the fine did not apply to
their case, as they did not earn any income from the concert.


9. Activist Resorts to Begging to Pay Damages

On August 13, police in Vitebsk detained 65-year-old human rights
activist Valery Shchukin as he begged passers-by for money to help
him pay for court-ordered damages. Shchukin was judged guilty of
insulting an elections official for suggesting that she had rigged
recent local elections, and ordered to pay USD 100 in damages.
Authorities released Shchukin, allowing him to continue begging on
the condition that he stopped distributing leaflets regarding the
case.


10. Union Refuses to Discose Information

On August 14, the Free Union ofMetal Workers refused a government
order that deanded a list of the union's members and "detailedinformation" regarding the union's activities. Th union's leader
stated that such a disclosure ofinformation could lead to
government pressure onthe union's individual members. The ministry
lat acquired the union's membership rolls in 2006, an proceeded to
harass members. The group assertsthat this latest demand is part
of a government rackdown on the union.


11. Minsk Court RejectsHistorian's Lawsuit

On August 13, the Minsk Cit Court upheld a refusal to hear a
lawsuit broughtby historian Irina Kashtalyan. Kashtalyan, a
fonding member of an association of independent histrians, filed
the suit against the Supreme Certifcation Commission for rejecting
her doctoral disertation. The commission stated that her
dissertation, which deals with Belarus in the aftermath ofWorld War
II, tries to persuade its reader that he Soviet Union "was not a
natural mother but anevil, heartless stepmother for the Belarusian
peple." The suit also charges the commission with violating
regulations governing the granting of scintific degrees. The Minsk
district judge declind to hear the suit on the grounds that her
jurisiction does not cover scientific disputes.

--------------
Domestic Economy
--------------


12. Lukashenko: Natural Gas Price Hikes Won't Hurt

President Lukashenko stated that higher natural gas prices will not
affect living standards of the people of Belarus or the value of the
ruble. He also pointed out that the country successfully managed to
settle much its gas debt without the help of the USD 1.5 billion
loan that Russia had promised. He further announced that that
Belarus' currency reserves have increased in the past year, ensuring
stability of the Belarusian ruble and the overall economy.


13. No More Russian Ruble Peg

Belarus plans to give up pegging its currency to the Russian ruble.
Belarus has pegged its currency to both U.S. dollar and Russian
ruble since early 2006. According to a National Bank official, the
system caused problems with calculating Belarusian ruble exchange
rates with other currencies. The president must still approve of
the implementation schedule.


MINSK 00000711 003 OF 003


--------------
International Trade
--------------


14. Belarus Bans Meat Imports In Private Luggage

Belarus' State Customs Committee announced an indefinite ban on meat
imports in private luggage starting August 11. The Agriculture
Ministry supposedly initiated the ban because of the worldwide
increase of foot-and-mouth disease, African swine fever, and avian
flu. However, an anonymous official at one of the country's largest
meat processors told Radio Liberty the true purpose was to cut down
competition from Belarusian nationals residing in border areas who
profit from unofficial meat import operations.


15. Financing Deal For John Deere Shipments

On August 9, Belarus' second largest bank, Belagroprombank, signed a
credit agreement with the U.S. "Deere Credit, Inc." The deal
represents the first time a Belarusian bank has signed an agreement
with a foreign non-banking financial organization. The agreement
provides for financing shipments of John Deere equipment to
Belagroprombank clients.

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

16. Quote of the Week
--------------

Minister of Internal Affairs Vladimir Naumov proposed how to reduce
drinking in Belarus, at least when the weather is good:

"In 1985 we sharply reduced the amount of alcohol for sale, but no
alternative was created. In Belarus today a lot is being done so
that there will be an alternative. Just this morning, we talked
about putting a bike path around the ring road so any one who could
want could bike 10 or 20 miles."

Stewart

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