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Viewing cable 07MINSK929, EMBASSY MINSK WEEKLY POL/ECON REPORT - November 09, 2007

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Reference ID Created Released Classification Origin
07MINSK929 2007-11-08 15:47 2011-08-26 00:00 UNCLASSIFIED Embassy Minsk
VZCZCXRO1719
RR RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHSK #0929/01 3121547
ZNR UUUUU ZZH
R 081547Z NOV 07
FM AMEMBASSY MINSK
TO RUEHC/SECSTATE WASHDC 6630
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHVEN/USMISSION USOSCE 1719
RHMFISS/HQ USEUCOM VAIHINGEN GE
RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK
RUEHBJ/AMEMBASSY BEIJING 0071
RUEHUL/AMEMBASSY SEOUL 0037
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS SECTION 01 OF 03 MINSK 000929 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PHUM ECON ENRG BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - November 09, 2007 
 
 
1.  The following are brief items of interest compiled by Embassy 
Minsk. 
 
TABLE OF CONTENTS 
 
Civil Society 
------------- 
 
- Opposition to Hold 1,500 Rallies in Mid-December (para. 2) 
- Gomel District Court Upholds University Expulsion (para. 3) 
- Christian Democracy Conference Held in Minsk (para. 4) 
- Administration Violates Prisoner's Rights (para. 5) 
- Activist's Son Assaulted in Vitebsk (para. 6) 
- Registered HIV Cases on the Rise (para. 7) 
 
International Relations 
----------------------- 
 
- Belarus Expands Ties with South Korea (para. 8) 
- Chinese Premier in Minsk (para. 9) 
 
Domestic Economy 
---------------- 
 
- Official Unemployment Rate Declines (para. 10) 
- Construction Sector Expands (para. 11) 
 
International Trade 
------------------- 
 
- Credit Agreement with Deere Credit (para. 12) 
 
- Quote of the Week (para. 13) 
 
------------- 
Civil Society 
------------- 
 
2.  Opposition to Hold 1,500 Rallies in Mid-December 
 
Opposition forces plan to hold 1,500 rallies nationwide on December 
17, the day when a government-sponsored law cutting state benefits 
comes into force.  Sergey Kalyakin, leader of the Belarusian Party 
of Communists, said that the opposition will continue its campaign 
to compel lawmakers to meet with constituents to discuss the issue. 
At least 300 eligible voters are required to sign a petition in 
order to force a meeting between lawmakers and constituents, a goal 
already reached in 12 electoral districts. 
 
3.  Gomel District Court Upholds University Expulsion 
 
A judge in Gomel November 5 refused to hear an appeal filed by a 
leader of the Belarusian Popular Front's youth wing regarding his 
expulsion from Gomel State University.  Dmitry Zhaleznichenka, a 
third-year student of the university's mathematics department, was 
expelled September 12 for "regular violations of the university's 
internal rules," though supporters assert the expulsion was 
politically motivated.  Zhaleznichenka plans to appeal the ruling to 
higher courts, prosecutor's offices and the State Control 
Committee. 
 
4.  Christian Democracy Conference Held in Minsk 
 
The Belarusian Popular Front held a conference November 6 in Minsk 
marking 80 years since the founding of the Belarusian Christian 
Democracy Party (BCD).  Pavel Severinets, a co-chairman of the 
founding committee for the reestablishment of the BCD, recalled the 
history of the party, citing Nazi and Communist persecution as well 
as the past executions of several prominent members of the party. 
 
5.  Administration Violates Prisoner's Rights 
 
Political prisoner Andrey Klimov's mother received a letter from her 
son on November 2 stating that prison administrators seized food 
from a parcel she mailed him in early October.  Human rights lawyer 
Igor Rynkevich noted that it was "alarming news" since Klimov has 
diabetes and a serious heart condition.  Klimov's mother stated that 
the lack of necessary food could "lead to grave consequences." 
Klimov is serving a two-year prison sentence at a high security 
facility in Mozyr on charges of advocating the overthrow of the 
government. 
 
6.  Activist's Son Assaulted in Vitebsk 
 
Vitebsk opposition activist Yan Derzhintsev informed the media 
November 2 that his son Aleksandr was attacked and beaten up on his 
 
MINSK 00000929  002 OF 003 
 
 
way home October 29.  Derzhintsev maintained Aleksandr was likely 
assaulted by members of the ultra-nationalist group Russian National 
Unity (RNE).  A number of opposition activists in Vitebsk have 
received letters from RNE threatening punishment for their political 
activities.  Derzhintsev earlier complained about the letters to 
authorities, but police claimed to be unable to find the authors 
since RNE is an unregistered organization. 
 
7.  Registered HIV Cases on the Rise 
 
The National Center of Hygiene, Epidemiology, and Public Health 
informed the media November 5 that 8,557 residents of Belarus have 
been diagnosed with HIV, with 810 new cases registered so far this 
year.  The majority of the infected are young people between 15 and 
30 years of age.  Over 65 percent of new cases this year were caused 
by sexual contact.  As of November 1, 2007, 127 children have tested 
HIV-positive. 
 
----------------------- 
International Relations 
----------------------- 
 
8.  Belarus Expands Ties with South Korea 
 
Belarusian Prime Minister Sergey Sidorsky met with his counterpart, 
Han Duk Soo, in South Korea on a two-day visit November 5 and 6. 
The discussions resulted in several agreements including accords on 
air service, cooperation in culture, visa-free travel for the 
holders of diplomatic passports, and memoranda of understanding 
between the customs departments of the two countries.  The two 
parties also discussed possibilities for the assembly of Hyundai 
trucks in Belarus, joint production of medical equipment at the 
Vitebsk-based Vityaz plant, and a USD 126 million project for the 
production of the chemical paraxylene.  Trade between Belarus and 
South Korea increased by 95.2 percent year-on-year to USD 90.6 
million in the first eight months of 2006.  Belarusian exports rose 
by 140 percent to USD 13.4 million and imports by 88.5 percent to 
USD 77.2 million. 
 
9.  Chinese Premier in Minsk 
 
President Lukashenko met November 5 with Wen Jiabao, the Premier of 
the People's Republic of China.  During the visit, China agreed to 
extend a USD 530 million loan to Belarus to purchase three cement 
production lines, as well as a USD 27 million soft loan.  In 
addition, the two sides signed an agreement on USD 2.7 million in 
non-repayable aid to Belarus and letters of exchange for the Chinese 
government to provide about USD 4 million for reconstruction of the 
in-patient clinic of the Gomel regional cardiology hospital.  China 
is currently taking part in infrastructure development of Belarus' 
third GSM operator BeST, financing the upgrade of Minsk-based power 
cogeneration plant TETs-2, and will soon set up a joint venture in 
Belarus to produce household appliances. 
 
---------------- 
Domestic Economy 
---------------- 
 
10.  Official Unemployment Rate Declines 
 
The Ministry of Statistics released a report November 2 citing a 
decrease in the number of persons officially registered as 
unemployed in Belarus.  The official figure stands at 46,500 as of 
October 1, 2007, or 1 percent of the economically active population, 
down from 1.2 percent a year earlier.  In January-August, 2007, 
companies and organizations created 41,400 new jobs.  According to 
the Ministry, the average monthly unemployment benefit payout was 
USD 21 in September. 
 
11.  Construction Sector Expands 
 
Construction Minister Aleksandr Seleznev told the Presidium of the 
Belarusian Council of Ministers November 6 that Belarus exported USD 
71.2 million worth of construction services in the first nine months 
of 2007, representing an export surplus of USD 41 million in the 
sector.  The export of building materials in the period totaled USD 
326 million, 34 percent more than in the first nine months of 2006, 
and exceeded imports by USD 150 million. 
 
------------------- 
International Trade 
------------------- 
 
12.  Credit Agreement with Deere Credit 
 
Belarusbank signed a credit agreement with Deere Credit providing 
 
MINSK 00000929  003 OF 003 
 
 
financing for the purchase of over 70 John Deere tractors worth more 
than USD 11 million.  The deal makes Belarusbank the first bank in 
Belarus to take a long-term loan from a U.S. financial institution. 
 
---------------------- 
13.  Quote of the Week 
---------------------- 
 
Sergey Kalyakin, leader of the opposition Belarusian Party of 
Communists (BPC), comparing the current situation of Belarusian 
citizens with conditions before the October Revolution: 
 
"The October Revolution is a great event for Belarus.  People in 
Belarus [now] are similarly deprived of many rights and are 
similarly dissatisfied, but they don't know what to do while one man 
is reigning supreme.  However, people are awakening as was the case 
in 1917." 
 
Stewart