DATE=12/3/1999
TYPE=CORRESPONDENT REPORT
TITLE=RUSSIA I-M-F (LO)
NUMBER=2-256805
BYLINE=BARRY WOOD
DATELINE=WASHINGTON
INTERNET=YES
CONTENT=
VOICED AT:

INTRO:  Russia's top international economist, 
Alexander Livshits, is meeting with International 
Monetary Fund officials today (Friday) in Washington.  
V-O-A'Barry Wood reports the talks concern a delayed 
I-M-F loan installment to Russia. 

TEXT:  I-M-F spokesman Tom Dawson says no date has yet 
been set for when Russia will receive the 640 million 
dollar loan installment that has been delayed since 
September.  In remarks to reporters before the 
officials met, Mr. Dawson suggested that the loan 
could be approved this month and that Russia has come 
close to fulfilling all of the conditions that are 
required.

            /// DAWSON ACT ///

      What I'm indicating is that (Russia's) 
      performance under the program has exceeded most 
      peoples expectations, there are a number of 
      structural benchmarks that have not as yet been 
      fully achieved. So if you define economic 
      program as being both macro performance and 
      structural improvement, then the answer would be 
      no it has not fully met all the criteria. Is it 
      close? Yes, the macro conditions have largely 
      been met. And there are still some issues on the 
      structural side.

            /// END ACT ///

The I-M-F spokesman would not identify what those 
structural issues are except to say that they concern 
the banking sector and the need for transparency in 
disclosing information.  Mr. Livshits is pressing for 
an early release of the loan.

Russia's economy and budget have improved 
significantly with the recent doubling of oil prices. 
Russia is the world's third largest oil producer and 
higher prices make it easier for Russian oil companies 
to pay taxes. Russia's tax receipts this year are 
double what they were last year and the budget deficit 
is being reduced. A tighter budget has been a 
principal I-M-F loan condition.

Although the I-M-F is considered likely to approve the 
loan, the fund has come under increasing pressure from 
member countries to delay it in protest over Russia's 
military actions in Chechnya.

If and when the loan is approved, Russia is expected 
to use it to repay the I-M-F for past loans.  Russia 
is due to repay nearly five billion dollars to the I-
M-F over the next 12 months. (Signed)

NEB/BDW/KL 



03-Dec-1999 15:18 PM EDT (03-Dec-1999 2018 UTC)
NNNN

Source: Voice of America
.