VZCZCXRO1468
RR RUEHAG RUEHAST RUEHDA RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA RUEHLN
RUEHLZ RUEHPOD RUEHROV RUEHSR RUEHVK RUEHYG
DE RUEHSK #0051/01 0251727
ZNR UUUUU ZZH
R 251727Z JAN 08
FM AMEMBASSY MINSK
TO RUEHC/SECSTATE WASHDC 6842
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE
RUEHVEN/USMISSION USOSCE 1804
RUEHNE/AMEMBASSY NEW DELHI 0034
RHMFISS/HQ USEUCOM VAIHINGEN GE
RUFOADA/JAC MOLESWORTH RAF MOLESWORTH UK

UNCLAS SECTION 01 OF 02 MINSK 000051 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PREL PHUM ECON ENRG BO
SUBJECT: EMBASSY MINSK WEEKLY POL/ECON REPORT - January 25, 2008 
 
¶1.  The following are brief items of interest compiled by Embassy 
Minsk. 
 
TABLE OF CONTENTS 
 
Civil Society 
------------- 
 
- Journalist Sentenced for Mohammed Cartoons (para. 2) 
- Opposition Youth Banned from Traveling Abroad (para. 3) 
- Elderly Activist Fined for Newspaper Distribution (para. 4) 
- Opposition Establishes Patriotic Association (para. 5) 
- GOB Calls for More Cooperation with Orthodox Church (para. 6) 
- Anti-Nuclear Plant Campaigners Launch Website (para. 7) 
 
Domestic Economy 
---------------- 
 
- Belarus' Net Foreign Assets up 160 Percent (para. 8) 
- Natural Gas Price for Businesses to Rise 20 Percent  (para. 9) 
 
International Trade 
------------------- 
 
- India Trade Ties to Expand (para. 10) 
- Baltic Beverages to Invest in Brewery (para. 11) 
 
Quote of the Week (para. 12) 
----------------- 
 
------------- 
Civil Society 
------------- 
 
¶2.  Journalist Sentenced for Mohammed Cartoons 
 
A Minsk city court sentenced former Deputy Editor-in-Chief of the 
independent weekly "Zgoda" Aleksandr Sdvizhkov January 18 to 3 years 
in a high security jail.  The judge found Sdvizhkov guilty of 
inciting religious and ethnic hatred following the paper's 
re-publication of controversial cartoons of the prophet Mohammed 
last February.  The Supreme Economic Court shut the weekly down in 
March 2006, and Sdvizhkov fled the country to escape criminal 
prosecution.  He was arrested in Borisov November 18, 2007, and 
tried behind closed doors.  The local Muslim community considers the 
sentence excessive, and observers call the charges politically 
motivated. 
 
¶3.  Opposition Youth Banned from Traveling Abroad 
 
Malady Front activist and "Nasha Niva" reporter Yaroslav Grishchenya 
received official notification January 22 that authorities placed 
him on the government's foreign travel ban list.  Grishchenya called 
the ban politically motivated and aimed at the isolation of 
opposition members.  Authorities did not cite reasons for the ban. 
 
¶4.  Elderly Activist Fined for Newspaper Distribution 
 
A Minsk district court fined senior citizen activist Svetlana 
Danilova 175,000 BYR (USD 80) January 21.  The police arrested 
Danilova in central Minsk January 20 while she was distributing 
independent newspapers publicizing the January 21 entrepreneurs' 
demonstration.  They seized all copies of the newspapers and charged 
the activist with violating regulations concerning mass events. 
Danilova said she does not plan to appeal the ruling because she has 
no trust in the court system. 
 
¶5.  Opposition Establishes Patriotic Association 
 
On January 20 opposition activists held the founding convention to 
establish the new NGO "Gorizontal."  The organization will promote 
civil society development, carry out projects to promote patriotism, 
social justice, equality, and democracy, and develop "the patriotic 
and democratic traditions and achievements of Belarusians." 
Delegates elected opposition Communist Party Leader Sergey Kalyakin 
chairman of the NGO's council.  The Council plans to file for 
registration with the Justice Ministry soon. 
 
¶6.  GOB Calls for More Cooperation with Orthodox Church 
 
Aleksandr Lukashenko January 24 called for closer cooperation 
between the Orthodox Church and the government in boosting birth 
rates and improving the health and moral standards of the nation. 
Lukashenko made the call for cooperation while meeting with the 
Synod of the Russian Orthodox Church in Belarus, saying that the 
government had successfully created conditions for what he called 
the normal operation of all denominations that are acting within the 
framework of the law.  Minsk and Slutsk Metropolitan Filaret, head 
of the Russian Orthodox Church in Belarus, asked the Belarusian 
 
MINSK 00000051  002 OF 002 
 
 
leader to help set up an Orthodox Christian radio station. 
 
¶7.  Anti-Nuclear Plant Campaigners Launch Website 
 
Activists opposed to GOB plans to build a nuclear power plant 
launched a website January 24 to publicize their opposition to the 
project.  The website, atomby.net, highlights environmental risks 
posed by nuclear power plants and nuclear waste.  Organizers plan to 
post a petition on the site calling on the GOB to abandon the 
project. 
 
---------------- 
Domestic Economy 
---------------- 
 
¶8.  Belarus' Net Foreign Assets up 160 Percent 
 
Net foreign assets of the Belarusian government and National Bank of 
Belarus amounted to USD 4.19 billion as of January 1, 2008, an 
increase of 160 percent for the year.  Foreign assets placed in hard 
currency amounted to USD 4.49 billion and soft currency assets 
reached USD 310 million, while liabilities reached USD 604.8 
million. 
 
¶9.  Natural Gas Price for Businesses to Rise 20 Percent 
 
The Belarusian Ministry of Economy announced a 20 percent increase 
in natural gas prices for local businesses January 18.  As of 
February 1 the new price will be USD 146 per thousand cubic meters 
(tcm).  This year Belarus will buy Russian natural gas at an average 
price of USD 125 per tcm, a figure supposedly equal to 70 percent of 
the price for Poland, minus transport costs. 
 
------------------- 
International Trade 
------------------- 
 
¶10.  India Trade Ties to Expand 
 
India's Ambassador to Belarus Rajendra Kumar Tyagi told a news 
conference on January 22 that his country is interested in imports 
of Belarusian-made heavy duty trucks and potassium fertilizers.  He 
also stated that Indian businesses are ready to invest hundreds of 
millions dollars in a joint venture with Belarus' Belshina to 
produce large tires in India.  India is also seeking to sign 
contracts to upgrade Belarusian power plants.  An intergovernmental 
trade and cooperation committee will address further trade 
possibilities in March. 
 
¶11.  Baltic Beverages to Invest in Brewery 
 
Baltic Beverages Holding (BBH), a joint venture between 
Edinburgh-based S&N and the Danish brewer Carlsberg, announced plans 
January 23 to invest USD 6 million in Olivaria Breweries 
(www.alivaria.by) this year.  Officials at Olivaria stated that the 
company plans to increase exports during the next quarter, and that 
in addition to recently signed contracts to supply Moscow and 
southern Russia, exports to Ukraine and other CIS countries will 
begin soon.  The European Bank for Reconstruction and Development 
invested in Olivaria in 2005 and currently holds a 21 percent stake. 
 BBH acquired a 30 percent stake in the brewery in late 2006. 
 
---------------------- 
¶12.  Quote of the Week 
---------------------- 
 
Industry analyst Larisa Nefedov describing the government's plan to 
expand requirements for the nighttime use of reflectors on clothing 
as part of its campaign to increase pedestrian safety: 
 
"According to the new reflector-use standards, reflective tape will 
be required on both sleeves, around the bottom of jackets, along the 
back, and down each side.  Regular pedestrians will end up having 
more glowing tape attached to them than highway patrolmen." 
 
Stewart