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Eurasia Daily Monitor - 04/05/2005

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  • Eurasia Daily Monitor - 04/05/2005

    The Jamestown Foundation
    Tuesday, April 5, 2005 -- Volume 2, Issue 66
    EURASIA DAILY MONITOR

    IN THIS ISSUE:
    *Voronin returned to office in Moldova
    *Kyrgyz presidential race begins to take shape
    *President Aliev visits Warsaw, seeking advice
    *Georgian, Kazakh leaders discuss trade and transit issues
    ----------------------------------------------------------------------------


    MOLDOVA'S VORONIN REELECTED PRESIDENT WITH BROAD DEMOCRATIC SUPPORT

    On April 4, Moldova's President Vladimir Voronin was reelected to a
    second four-year term by an unprecedented -- indeed, until now,
    unthinkable -- political alliance, ranging from his Communist Party to
    right-wing Christian-Democrats and right-of-center
    Social-Liberals. This informal alliance defeated Moscow's goal of
    unseating Voronin. The parties to this alliance hope against
    considerable odds to turn it into a political construction for the
    four-year duration of the newly elected parliament.

    A ten-point reform agenda (see below), worked out by
    Christian-Democrat People's Party (CDPP) leader Iurie Rosca and
    Social-Liberal Party (SLP) leader Oleg Serebrean with Voronin and his
    aide Mark Tkachuk, laid the basis for the informal alliance that
    reelected the president. Rosca and Tkachuk also co-authored a
    pro-reform inaugural address, read by the parliament's new chairman,
    Marian Lupu, a 38 year-old Western-trained economist without party
    affiliation.

    Under the Moldovan constitution, the president is elected by
    parliament with the votes of at least 61 members out of 101. The March
    6 parliamentary election gave the Communists 56 seats. The staunchly
    anti-communist CDPP and SLP, with 11 and three seats, respectively,
    refused until the last moment to support the reelection of a communist
    president, although Voronin is a communist in name only. The Bloc
    Moldova Democrata's (BMD) "centrist" leaders, Russian-backed but
    waffling, in command of some 20 deputies, maneuvered to prevent a
    61-strong majority from forming. BMD leaders wanted to trigger the
    constitutional mechanism that leads to the dissolution of parliament
    and repeat elections within 45 days. In that case, Russia could have
    amply funded a winning electoral campaign based on the Communist
    retrograde wing, the red-brown "Rodina" movement, and BMD "centrists"
    with financial interests in Russia and Transnistria. Such a campaign
    could have convulsed Moldova, and would have opened the door to
    significant Russian political influence for the next four years.

    While sharing Voronin's sense of alarm at that prospect, CDPP and SLP
    deputies were loath to deviate from life-long anti-communist
    sentiments and work with a president who had only recently overcome
    his past, and whose entourage and party are in large measure still
    mired in that past. Moreover, CDPP and SLP deputies came under intense
    pressure from their party organizations, many voters, and several
    vociferous newspapers, to refuse any cooperation with a "communist
    president" under any circumstances. It was not until April 2 that
    Rosca and Serebrean decided to submit the ten-point reform agenda to
    the president as a basis for cooperation. Finalized with Voronin and
    Tkachuk on the evening before the presidential balloting, the
    agreement became the basis not only for the president's reelection,
    but possibly for a political partnership as well.

    The ten goals are:
    freeing public television and radio from any government control or
    political interference and naming an independent board for the
    broadcasting media;
    closing down government-owned newspapers;
    depoliticizing and ensuring the independence of the Central Electoral
    Commission;
    separating the Prosecutor-General's office from the government, and
    re-staffing it with non-corrupt personnel;
    testing the integrity and competence of judges to weed out the
    corrupt, under a new Magistrate Council, on the model of Georgia's
    judiciary reform carried out by Mikheil Saakashvili while Justice
    Minister there;
    ensuring government transparency at every level through media
    coverage, Internet availability, full publication of all regulations;
    decentralizing local government;
    removing corrupt and/or Russia-connected personnel from the
    intelligence and security services;
    creating a new Constitutional Reform Commission to address existing
    "gray areas" in the Constitution and legislation;
    turning the Accounts Chamber into an effective anti-corruption tool by
    changing its charter to strengthen its independence and integrity.

    Many of these points are closely related to the European Union-Moldova
    Action Plan for 2005-2008 and should facilitate its implementation. It
    is also understood as part of this agreement that the Moldovan party
    system would transition toward a center-left/center-right model, with
    Voronin intending to initiate the Communist Party's transformation
    into a European-type socialist party. Meanwhile, in his April 4
    address to parliament as presidential nominee, and in his acceptance
    speech as president-elect the same day, Voronin announced his
    intention to give up the post of party leader. He called in eloquent
    terms for the withdrawal of Russian troops from Moldova and appealed
    to the United States, the European Union, Ukraine, and Romania to
    support a democratic solution in Transnistria. Ultimately he garnered
    76 votes, including those of several defectors from BMD (Moldpres,
    April 4).

    Former U.S. Congressman John Conlan (R-AZ) was the indispensable
    facilitator in negotiations and document drafting among the political
    leaders and factions in Chisinau over a two-week period. He proved
    highly effective in reducing deep-seated political and inter-personal
    animosities, not only among communists and anti-communists, but also
    among opposition figures with long histories of mutual rivalry. Conlan
    used his political experience in Black Sea region countries, including
    work last year as a consultant to Viktor Yushchenko's election
    campaign.

    --Vladimir Socor


    AKAYEV OFFICIALLY RESIGNS WHILE KULOV DECLARES CANDIDACY FOR PRESIDENT

    Although the mass lootings in Bishkek have ended, Kyrgyzstan's
    political crisis is not over. The legacy of Askar Akayev's regime is
    patently apparent as the new government begins to revise the ownership
    status of the country's major businesses. At the same time, more and
    more political figures are announcing their intention to compete for
    the presidency. As Bishkek businessman Esenbek Abdyldayev remarked,
    "Now the looting begins on the governmental level."

    President Askar Akayev did not reappear publicly until five days after
    the opposition declared its victory on March 24. He then refused to
    officially resign the presidency until various conditions had been
    met. He finally resigned on April 3 after negotiations with a special
    parliamentary commission at the Kyrgyz Embassy in Moscow. Before
    Akayev's interview with Ekho Moskvy radio on March 29, there were no
    official statements about where he and his family had fled when the
    political opposition captured the White House. Akayev and his
    daughter, Bermet Akayeva, gave several interviews to foreign media
    claiming they had been violently forced out of the country as a result
    of a coup d'etat, not a people's revolution (Ekho Moskvy, March 29,
    Komsomolskaya pravda, April 1). After submitting his formal
    resignation, Akayev asked for political asylum in Turkey (Akipress,
    April 4). This is the second country, after Russia, to which he has
    appealed for protection.

    Akayev's refusal to resign quickly after fleeing Kyrgyzstan created a
    legal catch-22. The interim government headed by Kurmanbek Bakiyev was
    recognized both domestically and abroad, but at the same time there
    continued to be an elected president who had lost access to state
    power. The status of the newly elected parliament was another point of
    concern for the interim government. While opposition protesters argued
    for its illegitimacy, opposition leaders such as Felix Kulov strongly
    disagreed with the idea of holding new parliamentary elections because
    the February 27 ballot had largely met international
    standards. Instead, he proposed repeating elections only in some
    disputed districts.

    Meanwhile, Acting Prime Minister Bakiyev is watching as members of
    Akayev's former opposition and pro-Akayev candidates come forward to
    compete in the presidential election in June. But most importantly,
    Bakiyev now has to confront Felix Kulov, the country's best-known
    politician. After being freed from prison, Kulov has managed to regain
    popular support surpassing that of Bakiyev. Kulov's prison term was
    scheduled to end this September and a special working group has been
    formed to review his legal case. The original charges against him will
    likely be dropped within the next few months. It is also evident that
    Bakiyev's interim government is not pleased with Kulov's freedom
    (Kommersant, April 2). Frictions between Bakiyev and Kulov are
    mounting and, although the two have avoided any harsh statements about
    the other, both candidates have made indirect accusations in public.

    Bakiyev has a reputation as a clean politician from the south. He has
    an even temper, yet strong respect for the rule of law. Southern
    residents, including the Uzbek population in Osh Oblast, have great
    hopes for their leader. But there is one more southern candidate,
    Adakhan Modumarov, who was active in mobilizing the crowds that ousted
    Akayev's government. Modumarov refused a deputy prime minister
    position in the interim government and declared his intention to
    compete for presidency.

    Nurbyek Turdukulov, a Kyrgyz businessman, has also registered to run
    for the presidency and has Akayev's support. Turdukulov is CEO of
    Bitel GSM, which controls mobile telephone service in
    Kyrgyzstan. Bitel has over 200,000 subscribers and over 200 employees,
    a high number by local standards. Although it is unlikely that
    Turdukulov will win the presidency, he is laying the groundwork for a
    future career as a politician.

    The new government will have to face the same problems that led to the
    Akayev regime's ouster: rampant corruption, widespread poverty, and
    unbalanced political representation between the northern and southern
    halves of Kyrgyzstan. In the long run, Bakiyev, or any other elected
    president, may find it difficult to lessen the economic cleavage
    between the more prosperous north and the poorer south. The economic
    problems are complicated by general underdevelopment, scarce
    recourses, and overpopulation in the Fergana Valley. If the government
    cannot increase southern living standards in the near future, mass
    tensions might arise again.

    Unlike in Ukraine, where the Kuchma regime lost much of its support
    overnight when evidence of official corruption was revealed to the
    public, there is no substantive evidence of Akayev family involvement
    in Kyrgyzstan's largest businesses or embezzlement. However, Akayev's
    personal diaries have recently been discovered, along with records
    about positions for sale at government agencies, bribe rates, and
    bought parliamentary candidates; these papers might shed light on the
    real state of affairs. However, it is already evident that some large
    businesses, such as Bitel GSM, are ready to be sold to foreign buyers
    without the consent of the new government.

    There are dual-power situations at some state institutions, where old
    leaders are refusing to yield their positions to newly appointed
    officials (Kabar, April 4). For now, the interim government, declared
    presidential candidates, and post-revolution policies are under close
    scrutiny by the Kyrgyz media. The former opposition's online editions
    have recovered from massive hacker attacks and state-funded television
    and newspapers are loosely regulated.

    --Erica Marat



    AZERBAIJAN'S ALIEV SEEKS POLISH HELP FOR EUROPEAN INTEGRATION

    After visits to Saudi Arabia, Iran, and China, Azerbaijan's President
    Ilham Aliev reversed course and paid a visit to a European country --
    Poland -- on March 30. The trip refuted speculations that Azerbaijan
    was gradually shifting its foreign policy course towards the East. The
    visit was important from two perspectives: Poland's involvement in
    energy transport issues in Azerbaijan and the political-military
    assistance that Poland can render to Azerbaijan in its efforts to
    integrate with European institutions. "We should do our utmost to
    widen our links in numerous fields," Aliev said in Warsaw (Baku Sun,
    April 1). Polish President Alexander Kwasniewski responded by saying
    that Poland was ready to help Azerbaijan integrate into Euro-Atlantic
    structures (Zerkalo, March 31).

    As in his visits to other countries, economic issues dominated
    President Aliev's program. The inclusion of Minister of Economic
    Development Farkhad Aliev (no relation to President Aliev) and the
    head of the Customs Committee, Kamaleddin Heydarov, in the delegation
    has become a regular feature of the President's visits. This shows the
    vital role that President Aliev gives to the issues of foreign
    investment, bilateral trade, and increased economic cooperation.

    During Aliev's visit to Poland, the governments of the two countries
    signed several economic agreements on topics such as mutual trade and
    economic cooperation, double taxation, and mutual protection of
    investments (Azeri Times, April 1). President Aliev also met with
    Polish businessmen and encouraged them to invest in the Azerbaijani
    economy by describing the recent legal and economic reforms in the
    country. A group of Polish private sector representatives already
    visited Baku several years ago (Azeri Times, April 1). Poland, which
    has recently joined the European Union, can serve as a good model for
    -- as well as an advocate of -- Azerbaijan, which also aspires to
    become a member of the EU in the future.

    Yet, potential cooperation in the oil and gas sector overshadowed all
    other issues. Poland seemed very eager to cooperate with Azerbaijan on
    the issue of oil and gas transit from the Caspian region. This topic
    has been active since 1998, when Poland's President Kwasniewski
    visited Azerbaijan. On April 3 ANS television's weekly analytical
    program claimed that Poland's interest in this issue comes from its
    desire to lower its dependence on Russian energy supplies. One way
    Poland could boost its role in the East-West energy transport corridor
    is by extending the Odessa-Brody oil pipeline from Ukraine to the
    Polish port of Gdansk on the Baltic Sea. President Kwasniewski has
    repeatedly mentioned this idea during bilateral talks.

    The project is a worthwhile consideration, if for no other reason than
    it would boost the trade between Poland and GUAM members (Georgia,
    Ukraine, Azerbaijan, Moldova) and lower their dependence on Russia
    transit routes. However, in order to fully realize this idea, two
    factors are required: increased amounts of oil coming from the Caspian
    and reversing the flow of the Odessa-Brody pipeline (currently it is
    running southward carrying Russian oil to the Black Sea.) Newly
    elected Ukrainian President Viktor Yushchenko has already expressed
    his intention to reverse the course of that pipeline. As for the first
    factor, Georgian President Mikheil Saakashvili recently visited
    Kazakhstan where he actively urged President Nursultan Nazarbayev to
    ship some Kazakh oil to Europe through Georgia and Ukraine. Nazarbayev
    has reportedly promised to send a governmental delegation to
    Azerbaijan to discuss the tariff issues (Echo, April 2). Should these
    issues be resolved, Poland could become another important outlet for
    Caspian oil, which would further strengthen the European integration
    of Azerbaijan.

    Another issue emphasized in the bilateral talks was military
    cooperation. Azerbaijani Minister of Defense Safar Abiev was added to
    the delegation specifically for this topic. Unlike China, Poland has
    even signed a special agreement with Azerbaijan in the sphere of
    military-technical cooperation and assistance.

    Poland, having recently become a member of NATO, can offer Azerbaijan
    priceless lessons in terms of modernizing its army, raising it to NATO
    standards, and conducting military exercises and training for soldiers
    and officers. Poland could also become a strong advocate of Azerbaijan
    inside the European political and military structures, especially on
    the issue of the Karabakh conflict.

    During the bilateral talks, President Kwasniewski reportedly said that
    Poland supports Azerbaijan's territorial integrity and believes that
    the Karabakh conflict should be resolved according to international
    law. "Baku's offer to give the broadest level of autonomy to
    Nagorno-Karabakh is worth considering," President Kwasniewski said
    (ANS TV, April 3).

    --Fariz Ismailzade



    SAAKASHVILI AND NAZARBAYEV TURN NEW PAGE IN KAZAKH-GEORGIAN RELATIONS

    Georgian President Mikheil Saakashvili made his first visit to
    Kazakhstan on March 31, marking a new, post-Shevardnadze era in
    Kazakh-Georgian relations. The young and beaming Saakashvili, a child
    of the Rose Revolution, sitting together with his aging Kazakh
    counterpart, a lingering shadow from the communist past, would make
    odd bedfellows in other circumstances, but in Astana both leaders
    demonstrated common views on key issues related to security,
    economics, and political reform.

    Saakashvili, whose markedly pro-American stance had puzzled the
    Moscow-oriented policymakers in Kazakhstan, made another unexpected
    overture prior to and during his trip to Astana. The Georgian
    president profusely lauded the Kazakh "economic miracle" under
    Nazarbayev, whom he called "a very wise person who has his own vision
    for many ongoing processes" (Panorama, March 25).

    Carefully sidestepping the thorny subject of regime change in Georgia,
    Ukraine, and Kyrgyzstan -- the last particularly painful for the
    Kazakh leader -- discussion focused chiefly on trade relations,
    business ties, and opportunities for investment in the recovering
    Georgian economy. The talks mainly centered on cooperation in the oil
    and gas sector. Speaking at a Kazakh-Georgian business forum in
    Astana, Kazakhstan's Prime Minister Daniyal Akhmetov reaffirmed his
    government's readiness to discuss a potential oil-transport joint
    venture with Georgia. He added that the efficient operation of the
    Baku-Tbilisi-Ceyhan pipeline plays a key role in transporting
    hydrocarbons.

    One component of developing a Trans-Caucasus transport corridor
    envisages the construction of an oil pipeline along the Caspian
    seabed. However, that costly venture remains on paper so far. More
    realistic at the moment are Black Sea shipments of Kazakh oil through
    the Georgian seaport of Poti, to Romania's Constanta seaport, and
    onward to European markets.

    For Kazakhstan the Black Sea route is the shortest way to access
    energy-intensive European markets. If the agreements reached in Astana
    are successfully implemented, Kazakhstan would channel huge
    investments to update the Georgian seaport infrastructure and boost
    the Georgian economy through transit tariffs for shipments of its oil
    through Georgian seaports. The new maritime route is expected to also
    increase the volume of cargo shipped through the Kazakh seaport of
    Aktau. Kazakhstan also hopes to export its natural gas to Georgia
    (Kazakhstanskaya pravda, April 1).

    Saakashvili spared no words in praising the pace of economic reforms
    in Kazakhstan in anticipation of wide-scale privatization in his own
    country. In fact, the Georgian President presented himself as a modest
    disciple who had come to Kazakhstan not to flaunt the fruits of the
    Rose Revolution but rather to learn from Kazakh experience with social
    and economic reform. These flattering words, much to the delight of
    Nazarbayev, took the wind out of the Kazakh opposition's sails.

    Saakashvili visibly cheered President Nazarbayev when he said, "Events
    in Kyrgyzstan are hardly possible in Kazakhstan, where people prefer
    peaceful economic reforms to revolutionary sentiments." According to
    him, any political structure should be based on a solid economic
    foundation (Kazakhstanskaya pravda, April 1). These views fully
    harmonize with Nazarbayev's approach to political reforms. In his
    public speeches Nazarbayev always stresses the precedence of economic
    growth over political renewal. At the same time, the half-hearted and
    pre-calculated steps in political and economic areas in Kazakhstan are
    no comparison to the radical moves made by Saakashvili to root out
    corruption among high-ranking officials and to impose strict control
    over budgetary spending.

    Saakashvili made an impression on Astana as a pragmatic leader. He
    called on Kazakh businesspeople to invest in the Georgian economy,
    personally guaranteeing the safety of their investment. Some of the
    documents signed during Saakashvili's visit, such as the anti-terror
    agreement, seem to be vague. Talks on this issue were held previously
    "in a narrow format" and then in a larger circle with the participants
    of the talks (Interfax Kazakhstan, March 31). Despite a mutual desire
    to expand bilateral cooperation to the security sphere, Georgia and
    Kazakhstan have little to share in fighting terrorism. Kazakhstan has
    good reason to be preoccupied with ensuring security along the Kyrgyz
    border, fearing the infiltration of Islamic extremists and criminal
    elements set free after the riots in Kyrgyzstan. Georgia has enough to
    handle with the unguarded border with Dagestan and Chechnya.

    But the Kazakh-Georgian rapprochement comes at a time when, in the
    wake of revolutions in Ukraine, Georgia, and Kyrgyzstan, the
    geopolitical balance of power in the Commonwealth of Independent
    States is changing and the very survival of this highly bureaucratized
    and inefficient structure seems uncertain. While Russia increasingly
    distances itself from the European Union, OSCE, and other
    international organizations, Georgia, a WTO member and pro-Western
    state, could help Kazakhstan integrate with the international
    community (Panorama, March 18).

    Partnership with Kazakhstan fully corresponds to Saakashvili's
    personal political beliefs. When asked to explain his reasons for
    visiting Kazakhstan, the Georgian president replied, "Global politics
    is one of the main instruments by which Georgia can protect itself and
    improve its position. Georgia should be part of European Union. We
    want to respect Russia, and we want Russia to respect us" (Imedi TV,
    March 29). That is the goal that really brings Georgia and Kazakhstan
    together.

    --Marat Yermukanov


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

    The Eurasia Daily Monitor, a publication of the Jamestown Foundation,
    is edited by Ann E. Robertson. The opinions expressed in it are those
    of the individual authors and do not necessarily represent those of
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