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Action Ukraine Report

"THE ACTION UKRAINE REPORT"
An International Newsletter
In-Depth Ukrainian News, Analysis, and Commentary

"The Art of Ukrainian History, Culture, Arts, Business, Religion,
Sports, Government, and Politics, in Ukraine and Around the World"

"THE ACTION UKRAINE REPORT" - Number 447
E. Morgan Williams, Publisher and Editor
morganw@patriot.net, ArtUkraine.com@starpower.net
Washington, D.C. and Kyiv, Ukraine, WEDNESDAY, March 23, 2005

-----INDEX OF ARTICLES-----
"Major International News Headlines and Articles"

1. PRESIDENT YUSHCHENKO'S WELCOME COMMITTEE PLANS
TWO MAJOR PUBLIC EVENTS FOR HIS VISIT TO THE U.S.
Rally at Shevchenko Monument, Banquet Honoring Yushchenko
By E. Morgan Williams, Publisher & Editor
THE ACTION UKRAINE REPORT
Washington, D.C., Wed, March 23, 2005

2. FOREIGN MINISTER TARASYUK: PRESIDENT YUSHCHENKO'S
VISIT TO UNITED STATES WILL LAY FOUNDATION FOR
NEW UKRAINIAN-AMERICAN RELATIONS
Ukrinform, Kyiv, Ukraine, Tue, March 22, 2005

3. CONGRESSIONAL UKRAINIAN CAUCUS LETTER TO SPEAKER
OF THE HOUSE OF REPRESENTATIVES DENNIS HASTERT
U.S. House of Representatives
Washington, D.C., Wednesday, January 19, 2005

4. JOINT SESSION OF CONGRESS FOR PRESIDENT YUSHCHENKO
UNIS ACTION ITEM
Ukrainian National Information Service (UNIS)
Washington, D.C., March 15, 2005

5. PRESIDENT VIKTOR YUSHCHENKO LEAVES FOR TWO-DAY
OFFICIAL VISIT TO TURKMENISTAN
Ukrinform, Kyiv, Ukraine, Tue, March 22, 2005

6. UKRAINIAN DPM OLEH RYBACHUK EXPECTS FDI
TO REACH 10 BILLION DOLLARS IN 2005
Inter TV, Kiev, in Ukrainian 1800 gmt 22 Mar 05
BBC Monitoring Service, UK, in English, March 22, 2005

7. UKRAINE'S ANTI-MONOPOLY BODY URGES
WESTERN UNION TO REDUCE RATES
TV 5 Kanal, Kiev, in Ukrainian, 22 Mar 05
BBC Monitoring Service, UK, in English, Tue, March 22, 2005

8. RAIFFEISENBANK (UKRAINE) TO CREATE NETWORK OF 450
STRUCTURAL SUBDIVISIONS THROUGHOUT UKRAINE
May Acquire Ukrainian Bank
Ukrainian News Agency, Kyiv, Ukraine, Tue, March 22, 2005

9. RE-PRIVATIZATION: HOW IT WILL BE DONE
Ukraine attracts foreign investors after Yuschenko's victory
- how safe is it?
Andrey Voltornist, Ukraine Analyst
IntelliNews - Ukraine This Week
Kyiv, Ukraine, Monday, March 21, 2005

10. BRITISH AMBASSADOR BRINKLEY: BRITAIN SUPPORTS
UKRAINE IN ITS BID TO INTEGRATE INTO EUROPE, JOIN WTO,
AND SECURE MARKET ECONOMY STATUS
Ukrinform, Kyiv, Ukraine, Fri, March 18, 2005

11. OUR BEST WEAPON IS DEMOCRACY
The Ukrainian Foreign Minister talks to Kommersant
Interview with Ukraine's FM Boris Tarasyuk by Igor Sedykh
Kommersant Daily, New Russia's First Independent Newspaper
Moscow, Russia, Friday, March 18, 2005

12. ROMANIA CONSIDERS THE VICTORY OF DEMOCRACY IN
UKRAINE IMPORTANT TO EASTERN EUROPE
Ukrainian News Agency, Kyiv, Ukraine, Tue, March 22, 2005

13. PRESIDENT'S SPOUSE KATERYNA YUSHCHENKO AND MINISTER
FOR MATTERS OF YOUTH AND SPORTS YURI PAVLENKO
HOLD MEETING WITH PUBLIC ORGANIZATIONS,
WORKING IN INTERESTS OF CHILDREN
Ukrinform, Kyiv, Ukraine, Tuesday, March 22, 2005

14. EGG PROVIDES UNIQUE CANVAS FOR PYSANKY ARTIST
Ukrainian egg decorating
By Jeff Pikulsky, Valley Independent
PittsburghLIVE.com, Pittsburgh, PA, Monday, March 14, 2005

15. UKRAINE'S CHIEF RABBI: NO NEED TO FEAR YUSHCHENKO
By Sam Ser, The Jerusalem Post
Jerusalem, Israel, Monday, Mar. 21, 2005

16. NO RELIGIOUS FREEDOM WITHOUT DEMOCRACY:
A LESSON FROM THE 'ORANGE REVOLUTION'
COMMENTARY: By Myroslav Marynovych,
Vice-Rector Ukrainian Catholic University, Lviv, Ukraine
Forum 18 News Service, Oslo, Norway, March 16, 2004

17. MINISTRY FOR CULTURE AND ARTS ANNOUNCES CONTEST
FOR BEST SCRIPT TO SHOOT TARAS BULBA FEATURE FILM
Viktor Chukhlib, Ukrinform, Kyiv, Ukraine, Wed, March 16, 2005

18. CALIFORNIA STATE GOVERNOR AND FAMOUS ACTOR
ARNOLD SCHWARZENEGGER WILL VISIT UKRAINE IN DECEMBER
Ukrayinska Pravda, Kyiv, Ukraine, Tue, March 22, 2005
==========================================================
1. PRESIDENT YUSHCHENKO'S WELCOME COMMITTEE PLANS
TWO MAJOR PUBLIC EVENTS FOR HIS VISIT TO THE U.S.
Rally at Shevchenko Monument, Banquet Honoring Yushchenko

By E. Morgan Williams, Publisher & Editor
THE ACTION UKRAINE REPORT
Washington, D.C., Wednewday, March 23, 2005

WASHINGTON, D.C. - President Yushchenko's Welcome
Committee in Washington, D.C. is in the process of finalizing
their plans for two major public events the Committee will
sponsor in honor of the new Ukrainian President, Viktor
Yushchenko, while he is in the United States for his first
official visit as President.

The first public event will be held at the Taras Shevchenko
Monument in Washington, D.C. at 1:30 p.m. on Wednesday,
April 4. President Yushchenko will lay a wreath at the
monument to the most famous Ukrainian, Taras Shevchenko
(1814-1861), an honored poet, writer, artist and fighter for
personal liberty and national independence.

Yushchenko will then speak at a large public Rally of Ukrainian-
Americans and other friends of Ukraine who will gather at the
Shevchenko monument to celebrate the victory of the Orange
Revolution which resulted in the election of Viktor Yushchenko
as president of Ukraine in December of 2004. Yushchenko was
inaugurated on Sunday, January 23, 2005.

Several thousand people are expected at this event. Plans are
being made for people to come to Washington in special buses
from such places as New York City, Philadelphia and other cities.

The monument to Taras Shevchenko in Washington was unveiled
on June 27, 1964 by President Dwight D. Eisenhower.
(http://www.artukraine.com/taras/monumentp2.htm)

The second event will be a large banquet in honor of President
Yushchenko to be held in the Omni Shoreham Hotel ballroom
in Washington. The banquet will be held at 7:30 p.m. on
Wednesday, April 6. Tickets are being sold to the public for
the banquet. President Yushchenko will also speak at the
banquet.

EVENT ONE - Wreath Laying and Rally, Shevchenko Monument

Event: Wreath Laying and Speech By Viktor Yushchenko
President of Ukraine

Where: Shevchenko Monument, Washington, D.C.
Located near DuPont Circle, P & 22nd Street

When: Wednesday, April 6, 2005, 1:30 p.m.- 2:45 p.m

Attendance: The event is open to the public.

EVENT TWO - Banquet in Honor of President Yushchenko

Event: Banquet in Honor of Viktor Yushchenko
President of Ukraine

Where: Omni Shoreham Hotel, Washington, D.C.
2500 Calvert Street, N.W. (at Connecticut Ave)

When: Wednesday, April 6, 2005
Reception: 6:30 p.m.
Dinner: 7:30 p.m.

Dress: Black Tie Optional

Attendance: Tickets for the banquet are now on sale to the
public for $200.00 each. One can purchase a ticket by check.
Seating is limited and the space available will be sold on
the basis of when a check arrives. The banquet is
expected to be sold out in a very short period of time.

Checks should be made out to the 'Yushchenko Banquet
Committee' and mailed [with complete contact information]
immediately to the:

Ukrainian Washington Credit Union
P.O. Box 19288
Alexandria, Virginia 22320-1228.

Financial sponsors are needed for the two events. Special
sponsor tables (seating ten people) are available for the
Yushchenko banquet for $2,500.00 each. Please contact
the Committee for complete sponsor information.

Arrangements are also being made to purchase tickets by
credit card. These arrangements will announced by Thursday,
March 24th and will be published in The Action Ukraine Report.

Co-chairs of President Yushchenko's Welcome Committee are:

(1) Nadia Komarnyckyj McConnell, President
U.S.-Ukraine Foundation (USUF)
(2) Ihor Gawdiak, President
Ukrainian American Coordinating Council (UACC)
(3) Ihor Kotlarchuk, President
The Washington Group (TWG)
(4) Michael Sawkiw, President
Ukrainian Congress Committee of America (UCCA)
(5) Iryna Kurowyckyj, President
Ukrainian National Women's League of America

Other organizations represented on President Yushchenko's
Welcome Committee include the Ukrainian Federation of
America, Ukrainian Institute of America, United Ukrainian
American Relief Committee, The Bleyzer Foundation, Ukrainian
Human Rights Committee, Ukrainian Scouting Organization
(Plast), Ukrainian National Information Service, Ukrainian
National Association and the Action Ukraine Coalition.

For additional information call:
1. U.S.-Ukraine Foundation, 202 347 4264
2. Ukrainian Congress Committee of America, 202 547 0018

As further information becomes available about these two major
events they will be published in The Action Ukraine Report. -30-
----------------------------------------------------------------------------------------------------
NOTE: Your editor is a member of the finance committee of
President Yushchenko's Welcome Committee. If you need
further information please send me an e-mail at morganw@patriot.net.
===========================================================
2. FOREIGN MINISTER TARASYUK: PRESIDENT YUSHCHENKO'S
VISIT TO UNITED STATES WILL LAY FOUNDATION FOR
NEW UKRAINIAN-AMERICAN RELATIONS

Ukrinform, Kyiv, Ukraine, Tue, March 22, 2005

KYIV - President Viktor Yushchenko's visit to the United States, which is
scheduled for early April, will lay a foundation for the start of new
Ukrainian-American relations. Foreign Affairs Minister Borys Tarasyuk
expressed this view on Tuesday while analyzing the current state of the
relations between the two countries.

According to Mr. Tarasyuk, Ukraine and the United States will show political
will for development of Ukrainian-American relations at a qualitatively new
level. According to him, the relations between the two countries have been
in a state of stagnation for over four years because of lack of trust
between the two countries. However, according to him, there exists an
opportunity to return to constructive relations and make them really
strategic.

According to Mr. Tarasyuk, the issue of granting Ukraine the status of a
market economy and bilateral agreements on access to markets of goods
and services - which will open the way for Ukraine's admission into the
World Trade Organization - will be considered during Mr. Yushchenko's
visit to the United States.

Many issues involving international politics, including Ukrainian assistance
in stabilizing the situations in Afghanistan and Kosovo, will also be
discussed. They will also discuss Ukrainian-American cooperation in the
area of nonproliferation of weapons of mass destruction and development
of high-technology industries will also be discussed during the visit. In
particular, Ukrainian-American-Russia-Norwegian cooperation in the
Sea Lunch project will be discussed. -30-
======================== ====================================
3. CONGRESSIONAL UKRAINIAN CAUCUS LETTER TO SPEAKER
OF THE HOUSE OF REPRESENTATIVES DENNIS HASTERT

U.S. House of Representatives
Washington, D.C., January 19,2005

January 19, 2005

The Honorable Dennis Hastert
Speaker
U.S. House of Representatives
H-232, The Capitol
Washington, D.C. 20515

Dear Mr. Speaker:

As Co-Chairs of the Congressional Ukrainian Caucus, we respectfully
request that you extend an invitation to the recently-elected President
of Ukraine, Viktor Yushchenko, to share his momentous victory with us
in an address to the Joint Session of Congress. We believe that it is
important that the United States express our commitment to a stronger
relationship with Ukraine under his leadership.

Ukraine's Orange Revolution demonstrated that people have the ability
to peacefully affect the future of democracy in their country. Hundreds
of thousands of Ukrainians peacefully protested the first and second
round of elections, resulting in Ukraine's Supreme Court reversing the
earlier election results and convening a third round of elections. One
Monday, January 10, 2005, Ukraine's Central Election Commission
declared Viktor Yushchenko the winner of the presidential election.

As the United States looks to the future in Central Europe, Ukraine will
play a critical role economically, politically and militarily. We have
worked with Mr. Yushchenko since he was the Prime Minister of Ukraine
and have full confidence in his leadership to spearhead genuine reform.
An invitation from you would send a signal to Ukraine and its neighbors that
the Congress welcomes Ukraine into the world community of democracies.

Thank you for your consideration of this request. Please do not hesitate
to contact us if you have any questions regarding this matter.

Sincerely,

SANDER LEVIN MARCY KAPTUR CURT WELDON
Member of Congress Member of Congress Member of Congress
============================================================
FOOTNOTE: Please note the date on this letter. The letter went to
House Speaker Hastert on January 19, 2005. The Speaker has had
over two months to respond. To date there has not been a response
from House Speaker Hastert. (EDITOR)
============================================================
4. JOINT SESSION OF CONGRESS FOR PRESIDENT YUSHCHENKO

UNIS ACTION ITEM
Ukrainian National Information Service (UNIS)
Washington, D.C., March 15, 2005

WASHINGTON - In recent months, the new government of Ukraine has
achieved significant progress in securing democratic governance as it
embarks on a series of ambitious reforms. During his short period in
office, newly-elected President Viktor Yushchenko has visited various
countries and addressed a number of governments describing his
administration's plans for Ukraine's development, as well as urging
international support for Ukraine in this complex post-revolutionary
transition.

The Bush Administration has invited President Yushchenko to visit
Washington, D.C. in early April 2005. The Congressional Ukrainian Caucus
has initiated a campaign to hold a joint session of Congress for President
Yushchenko to address the American legislators. UNIS urges the Ukrainian
American community to join this initiative and contact Speaker Hastert with
the same request.

Below please find a sample letter to Speaker Hastert. This letter may be
sent directly to the Speaker from his website at:
http://www.house.gov/hastert/write1.shtml

Letters may be sent directly from the UCCA website at: http://www.ucca.org/.

The fax number to the Speaker's office is 202-225-0697.

Should you have any questions, please contact UNIS at (202) 547-0018
or via e-mail at unis@ucca.org. .

SAMPLE LETTER

The Honorable Dennis Hastert
Speaker of the House of Representatives
H 232, The Capitol
Washington, D.C. 20515

Dear Mr. Speaker:

As a Ukrainian American, I am delighted with the gracious invitation
extended by the Bush Administration to newly-elected President of Ukraine
Viktor Yushchenko to visit Washington. This visit will be historical for
the Ukrainian people who stood up for their right to a democratic election.
It will indicate that the new government of Ukraine is viewed by the most
powerful democracy in the world as a true strategic partner of the United
States.

It is my humbly opinion that President Yushchenko should have the
opportunity to address a joint session Congress as he did at the European
Parliament, the German Bundestag, and other legislative bodies. I urge you,
Mr. Speaker, to afford him this opportunity while President Yushchenko is in
Washington in order to honor the millions of Ukrainians who fearlessly stood
up against the abuses of their democratic rights and won in the struggle for
democracy.

I thank you in advance for your consideration of this extremely important
matter.

Sincerely,
(Name)

Please take action now and request Speaker Hastert to have President
Yushchenko speak before a Joint Session of Congress!! -30-
-------------------------------------------------------------------------------------------------------------
email: unis@ucca.org; phone: 202-547-0018
fax: 202-543-5502; web: http://www.ucca.org/unis/
============================================================
5. PRESIDENT VIKTOR YUSHCHENKO LEAVES FOR TWO-DAY
OFFICIAL VISIT TO TURKMENISTAN

Ukrinform, Kyiv, Ukraine, Tue, March 22, 2005

KYIV - President Viktor Yushchenko left for a two-day official visit to
Turkmenistan, where he was to meet with Turkmen President Saparmurat
Niyazov. Viktor Yushchenko is being accompanied by State Secretary
Oleksandr Zinchenko, First Vice Prime Minister Anatoli Kinakh, the
President's first aide Aleksandr Tretyakov, Justice Minister Roman Zvarych,
National Bank Governor Volodymyr Stelmakh, Donetsk Governor Vadym
Chuprum, First Deputy Foreign Minister Anton Buteiko, Chairman of the
national joint-stock company "NaftoGaz Ukrainy" Oleksi Ivchenko and
business representatives.

Viktor Yushchenko and Saparmurat Niyazov were to view the Turkmen
President's proposal, which he made in 2003, on the construction of a new
Transcaspian gas pipeline by Turkmenistan, Russia and Ukraine, which would
allow increasing the import of Turkmen gas. The item on the construction of
the gas pipeline along the Caspian Sea through Kazakhstan has been included
into a 25-year contract for 2007 - 2032, which is currently being drafted by
Ukraine and Turkmenistan.

The proposal was first made during Leonid Kuchma's visit to Turkmenistan in
April 2003. As Mr Niyazov supposed, the pipeline may be launched by 2006 if
the parties invest to the project some one billion USD.

In 2004 the Ukrainian company "NaftoGaz Ukrainy" and the international
energy company "Itera" purchased respectively 36 and 10 billion cubic
meters of Turkmen gas, which was transported through the existing gas
pipeline, which inlet capability amounts to only 70 bn. cu.m. The supplies
were made under the traditional scheme: 50 percent in hard currency
and another 50 percent in goods and services.

Still, the only chance for Ukraine to increase supplies in Turkmen gas is to
take part in the tripartite project. The term of the current long-term
Ukrainian-Turkmen gas contract ends in 2006. As the President of
Turkmenistan repeatedly stressed, the Turkmen-Russian gas contract won't
adversely influence gas supplies to Ukraine. According to him, the future
Transcaspian gas pipeline, with the length of 1070 km and inlet capability
of 30 to 40 cu.m per year, together with the existing pipeline, which runs
to Russia through Uzbekistan, might fully satisfy gas needs of Ukraine and
Russia. -30- [The Action Ukraine Report Monitoring Service]
===========================================================
6. UKRAINIAN DPM OLEH RYBACHUK EXPECTS FDI
TO REACH 10 BILLION DOLLARS IN 2005

Inter TV, Kiev, in Ukrainian 1800 gmt 22 Mar 05
BBC Monitoring Service, UK, in English, March 22, 2005

KYIV - Deputy Prime Minister Oleh Rybachuk told a Ukrainian-French business
forum that foreign direct investment (FDI) in the Ukrainian economy may grow
by 25 per cent in 2005 and reach 10bn dollars, the Inter TV channel reported
on 22 March. The forum in Kiev was attended by representatives of 70 large
French companies. -30- [The Action Ukraine Report Monitoring Service]
===========================================================
7. UKRAINE'S ANTI-MONOPOLY BODY URGES
WESTERN UNION TO REDUCE RATES

TV 5 Kanal, Kiev, in Ukrainian, 22 Mar 05
BBC Monitoring Service, UK, in English, Tue, March 22, 2005

KYIV - [Presenter] The Anti-Monopoly Committee [AMC] has demanded that
Western Union reduce its rates for money transfers from abroad. The
committee considers that the rates are too high. Western Union has refrained
from comment.

[Correspondent] The AMC is demanding that Western Union substantially
reduces its rates for money transfers from abroad. The committee believes
the company is openly abusing its monopoly position on the money-transfer
market. It is demanding that it set fair rates for money transfers.

[AMC head Oleksiy Kostusev, in Russian] And when these people send the
money they have earned home to their children and relatives, they again
become a source of earnings. We consider that the rates for the transfer
of money by individuals to Ukraine set by the US company Western Union
are monopolistic.

[Correspondent] The case against Western Union was opened last May. In
September, the company reduced rates for transfers from Russia to Ukraine
by 60 per cent. Western Union has not yet stated its official position on
further reductions.

[Mykhaylo Kharenko, captioned as Western Union representative, in Russian]
Western Union will give its commentary shortly, I hope.

[Correspondent] Up to 700mn dollars a year is transferred [to Ukraine]
through the Western Union system. [Passage omitted: Vox pop.]

[Correspondent] The deadline for the company to report that it is reducing
its rates is 24 March. The AMC says that if it fails to do so, it will be
fined. -30- [The Action Ukraine Report Monitoring Service]
============================================================
8. RAIFFEISENBANK (UKRAINE) TO CREATE NETWORK OF 450
STRUCTURAL SUBDIVISIONS THROUGHOUT UKRAINE
May Acquire Ukrainian Bank

Ukrainian News Agency, Kyiv, Ukraine, Tue, March 22, 2005

KYIV - Raiffeisenbank (Ukraine), one of the ten largest banks in Ukraine,
intends to create a network of 450 structural subdivisions throughout
Ukraine before the year 2008 and is not ruling out the possibility of
acquiring a Ukrainian bank for this purpose. The bank's Board Chairman
Ihor Frantskevych announced this to journalists.

According to him, the bank is presently considering creating a broad
network of structural subdivisions by itself or acquiring an existing
financial institution with a broad network. "No final decision has been
made," he said. He also said that the issue would be resolved before
the end of the spring.

According to Frantskevych, the Raiffeisen group has a policy of acquiring
as many shares as possible in the financial institutions it is taking over.
Raiffeisenbank (Ukraine) presently has eight affiliates and six branches
throughout Ukraine. As Ukrainian News earlier reported, Raiffeisenbank
(Ukraine) announced in February 2005 that it planned to increase the
number of its regional subdivisions, including affiliates and branches,
by 39 to reach 53.

The net assets of Raiffeisenbank (Ukraine) were valued at UAH 4,407.3
million as of January 1, 2005, when its credit and investment portfolio
amounted to UAH 3,429.7 million and its own capital amounted to UAH
354.2 million. Raiffeisenbank (Ukraine) reported profits totaling UAH
22.9 million for the year 2004. Raiffeisenbank (Ukraine) was founded
in April 1998 by Austria's Raiffeisen banking group.

The shareholders of Raiffeisenbank (Ukraine) are the Raiffeisen
International Bank Holding AG (it owns 99.997% of the shares in the
bank) and Raiffeisen Zentralbank Osterreich (0.003%). -30-
===========================================================
9. RE-PRIVATIZATION: HOW IT WILL BE DONE
Ukraine attracts foreign investors after Yuschenko's victory
- how safe is it?

Andrey Voltornist, Ukraine Analyst
IntelliNews - Ukraine This Week
Kyiv, Ukraine, Monday, March 21, 2005

Usually, our weekly focus articles cover essential topics of the Ukrainian
economy or politics. Sometimes they follow important events which
happened recently in the state, explaining them and providing our
expectations and forecasts. This time we would simply give our
impressions on a recent event which attracted attention of the international
investment community. The article would come as a follow-up to our
research, "Re-Privatization: Who Will Lose, Who Will Gain", published
on Mar 14.

On Mar 15-16, Adam Smith Conferences held the Ukrainian Investment
Summit in London. While visiting the 2-day event, I had the opportunity
to listen to government officials, Ukrainian top-managers, potential
investors and all those, who consider Ukraine to be the fastest growing
economy.

Last year, GDP rose 12.1% y/y, and industrial output - 12.5%. Foreign trade
surplus made up USD 3.68bn in 2004. A real emerging market leader in
Eastern Europe! Now everyone expects significant inflow of foreign capital
in Ukraine in 2005, following the victory of pro-Western Viktor Yuschenko in
the presidential elections. FDI inflow totaled USD 1.56bn in 2004 versus
USD 1.32bn in 2003. Accumulated FDI stock made up USD 8.35bn as of
Jan 1, 2005.

Ukrainian officials arrive to explain views on the situation in the country

The conference started with what was anticipated the most - a government
overview of key priorities for the investment climate in Ukraine. The
government delegation included EconMin Serhiy Teriokhin, deputy PM for
European integration Oleh Rybachuk, minister for transport and
communications Yevgenyi Chervonenko, and head of NBU Volodymyr
Stelmakh.

Extremely ambitious Rybachuk stands for EU integration

Then deputy PM for European integration Oleh Rybachuk took to the stand.
He spoke with confidence. The first thing Rybachuk mentioned was ambition.
He said Ukrainian authorities are considered being extremely ambitious.
The speaker assured they are that. It is not bad, he underlined.

Before, he noted, the world did not know what to expect from the Ukrainian
government. In our view, it is true. Often Ukraine's authorities shifted in
its external policy from the West to the East and back. Now, Rybachuk
stressed the new government is going full-speed a-West. The main goal
manifested by president, PM and government is integration into EU.

Rybachuk referred to the president's words that Ukraine is not a EU
neighbour but part of Europe, thus its place is in EU. Our impression is
state officials are trying to sell Ukraine as expensively as possible.

Still, we do not believe Ukraine will enter EU soon, as it was claimed. The
earliest possible year, in our view, is 2015. Current authorities tend to
mix up the words "Europe" and "EU". The latter is an economic and political
union, entrance into which for particular countries must be justified both
economically and policy-wise.

But Ukraine still looks both ways

The Ukrainian government is simultaneously developing cooperation with
Russia, its biggest neighbor and trade partner. We are not trying to
determine if it's good or bad. This is just a reality some unbridled
enthusiasts in the West have to learn to live with.

Stelmakh provides some details of monetary policy

Next speaker, head of NBU Stelmakh, started with macro indices of 2004
and then explained monetary policy for this year. His speech was in
Ukrainian and was supported with many figures, which made the
presentation a little bit confusing. However, Stelmakh promised that
NBU will continue to accumulate FX reserves and correctly regulate the
local monetary market. NBU will keep curbing UAH/USD appreciation,
but will slightly ease the grip due to rising inflation. FX reserve
accumulation will continue, exceeding state external debt.

EconMin Teriokhin explains how government will hold revision of
privatisation deals

After Rybachuk and Stelmakh, EconMin Serhiy Teriokhin stepped on the
platform and started his speech. In the presentation, Teriokhin brought up
an issue of utmost importance: re-privatization. New authorities claim the
state was robbed during the last few years. We agree that in 2004,
privatization of metallurgic assets in Ukraine was "mildly strange".

Many tenders were in fact closed, in the sense there were only one or
two bidders. A number of foreign investors, who were ready to invest in
Ukraine's economy, were barred from the auctions, despite the fact their
bids were higher than those of local buyers.

EconMin explained how government is going to act. The plan consists
of 5 stages:

(1) In 2-3 weeks government will publish the final list of privatisation
deals to be revised (Teriokhin said there will be 20-30 enterprises
included).
(2) Revaluation of the listed assets (this time the assets will be
fairly priced according to their real market values).
(3) Importantly, current owners will be offered to pay the difference
(government believes this scheme is not similar to nationalization or
re-privatization). We think the latter does correctly describe the process.
(4) If owners refuse to pay, official lawsuits will follow (the deals
will be examined in court)
(5) Finally, old owners will be fully compensated, if new tenders take
place.

Teriokhin perfectly clarified government's intentions. However, the minister
did not provide any details. Let us briefly analyse every step of the
government's plan. First, authorities finally agreed how much deals should
be examined and revised. It is not 3,000 deals, as PM Yulia Tymoshenko
mentioned in February, but several dozens, as president Yuschenko
promised.

However, which assets will appear in the list, remains unclear. We can, of
course, expect that steel producer Kryvorizhstal will certainly appear at
the very top of the black list, then, entities previously entering the
statutory fund of mining major Ukrrudprom, and other sector assets. He did
not explain who will evaluate the assets and how. Clearly, the market value
of a plant does not equal to the sum of values of its fixed assets.

It is essential how much profit the plant earns. Potential economic and
political risks reduce the market value of the asset. And political risks
last year were really high. Besides, please mind that new owners have
already invested in their new assets, or at least they brought their own
team of managers, which also cost some money.

Another observation: newborn minister Teriokhin was very nervous during
the first part of his presentation. His hands shook. Still, he managed to
calm down and continued speaking.

Carnegie Foundation's Dr Aslund concerned about situation in Ukraine
....but says prospects are bright

This first section ended with the speech of Dr Andreas Aslund, senior
associate from Carnegie Endowment for International Peace. His
presentation was the most structured, well organized and clear for
understanding. Aslund specified the key concerns about today's Ukraine.

First, reforms, second re-privatisation, and third, the old Rada.
Re-privatisation must be transparent and careful, in order not to worsen
the business climate. As for the third issue, Ukraine recently elected a
new president, but parliament (Rada) remained the same. The nearest
general vote is scheduled for 2006.

Of course, there are many MPs who support Yuschenko, but practically
Rada sympathizes with the old government. In our view, the situation will
change only after the 2006 vote. Still, Aslund noted that never in its
history Ukraine had such a favorable position as now. Opportunities
are promising, and authorities have all chances to realise them.

New government needs to become more transparent, to really
assure investors

Summing up, we should note that first, foreign investors are not in a rush
to enter the Ukrainian economy. They want to see what will happen next.
The reason is quite simple: almost nothing was changed since Yuschenko
became president and government was formed. Currently, we hear only
manifests (although promising and optimistic) and intentions of the
government. We do not want to say they do nothing.

But they did not have enough time to implement proposals. Second,
government again did not specify how it will fulfil promises. Yes, we
know it intends to legally revise some unclear privatisation deals. But
how they will choose evaluators and resale targets - is not transparent.

So, do have patience for a while. But do not wait for too long as you
might be late to enter the growing Ukrainian market. -30-
===========================================================
10. BRITISH AMBASSADOR BRINKLEY: BRITAIN SUPPORTS
UKRAINE IN ITS BID TO INTEGRATE INTO EUROPE, JOIN WTO,
AND SECURE MARKET ECONOMY STATUS

Ukrinform, Kyiv, Ukraine, Fri, March 18, 2005

KYIV - Ukraine's State Secretary Viktor Zinchenko met with Britain's
Ambassador to Ukraine Robert Brinkley on Friday, the presidential
press service has reported.

Mr. Brinkley said during the meeting that Europe, particularly Great
Britain, is presently showing significant interest in the events in Ukraine.
According to him, this was demonstrated by, among other things, the
Ukrainian investment summit in London that gathered a record number
of participants.

Mr. Brinkley confirmed Britain's support for Ukraine's bid to integrate into
Europe, join the World Trade Organization, and secure the status of a
market economy. -30- [The Action Ukraine Report Monitoring Service]
===========================================================
11. OUR BEST WEAPON IS DEMOCRACY
The Ukrainian Foreign Minister talks to Kommersant

Inteview with Ukraine's FM Boris Tarasyuk by Igor Sedykh
Kommersant Daily, New Russia's First Independent Newspaper
Moscow, Russia, Friday, March 18, 2005

The 61st session of the Human Rights Commission has begun in Geneva.
Boris Tarasyuk, the new head of the Ukrainian Foreign Ministry, is taking
part in it for the first time and has already become one of its biggest
newsmakers.

His statement, based on the example of the Orange Revolution, that a
people have the right to defend its rights and freedoms nonviolently.
He spoke about the new priorities in Ukrainian politics in an exclusive
interview with Kommersant's Igor Sedykh in Geneva.

[Q] What is the sense of the "new integration" of Ukraine into the European
Union and NATO? The course toward integration was officially declared in
1991 when the country obtained its independence.

The former leadership of the country, with Leonid Kuchma in charge, really
did say all the time that the goal of Ukraine was entrance into the EU and
NATO. But that was only a declaration. Now we are not only declaring it, we
are acting. President Yushchenko is saying that European integration and
admission to the EU is a priority. Ukrainian can bring peace, stability and
security to the European continent, especially in areas of conflict. In
addition, we are prepared to take on the mission of cooperating to spread
democracy and justice to neighboring states.

[Q] In that connection, they are saying that Ukraine is preparing to export
the Orange Revolution. Is that so?

I spoke before the Human Rights Commission because the Orange
Revolution was an expression of what is the subject of the commission's
activities. The people rose up to fight for their right for an election, the
right to remove a corrupt regime nonviolently. With that revolution, Ukraine
advanced democracy in Europe and the world. But exporting revolution
is not our practice. If the situation does not arise in a country, if the
people's dissatisfaction has not come to a critical mass and they are not
ready to take up the struggle for its rights and freedoms, no export will
help. But we can't help but see that the Orange revolution has been a
magnet for all freedom fighters.

[Q] Then how can Ukraine enable its neighbors confirm the principles of
democracy?

For example, our president has announced his intentions to increase efforts
to reach a settlement of the conflict in Transdniester and, to achieve that
goal, has met with Moldovan President Vladimir Voronin. We are showing the
Moldovan authorities that a solution can be found even in the most explosive
situations. We had a similar situation in the Crimea, but we solved the
problem through negotiations, just as we did in Sevastopol. The Russian
Black Sea Fleet is located there against our will (unlike the situation in
Moldova and Georgia), but in accordance with our political will. We gave the
Russian Black Sea Fleet the right to be based in our port and rent our
facilities, and that agreement will remain in force until 2017.

[Q] What place does Russia have in Ukrainian foreign policy in that context?

Russia should hold one of the key positions among Ukraine's partners for an
obvious reason: Russia is our biggest neighbor. We have centuries-long ties
with Russia, including human ties. Russia is our biggest trading partner
after the EU. Therefore, we have no alternative to friendly neighborly
relations.

[Q] What plans does Ukraine have in relation to the common economic space?

There is no common economic space yet. There are framework agreements,
but the common economic space does not exist yet. To form it, about 90
agreements have to be prepared, of which 29 are now ready. Now the
government is studying those documents along with the base framework again,
and only after that analysis is completed will we be ready to announce our
decision.

[Q] Kiev's course toward entry into NATO means that Ukraine's huge defense
industry, including tank, plane, missile manufacture, will be changed from
Soviet standards to NATO's. Aren't you worried about losing Russian
purchasers before you have any Western ones?

That is not a real concern for us. Specialists in modern military technology
say that those weapons are the weapons of the last century. Industry should
produce what is in demand. What isn't in demand should be eliminated from
production.

[Q] How does this process look to you?

The European Union has proposed that we take part in the Galileo project
[satellite navigation system] and the development of an EU space project.
Today, 13 percent of the world's space launches are carried out with
Ukrainian rockets. We think the An-70 transport plane may be of interest to
the EU as well.

[Q] All the same, it seems that they are not overeager to receive Ukraine
into the European Union. After the euphoria of the Orange Revolution wore
off, Europe was more reserved.

Yes. Although we are interested in joining Europe, we have yet to receive an
adequate response from the European Union. Unfortunately, the EU has no
clear concept of Ukraine's future in united Europe. We are approaching the
issue for a realistic perspective. They need time for that. We have to show
that we can do our "homework" and are already doing so. I hope the EU will
reconsider its position fairly soon.

[Q] In Geneva, you also took part in the conference on disarmament. You
spoke in favor of destroying "excessive stockpiles of light firearms." What
is that initiative linked to?

When it became independent in 1991, Ukraine inherited the biggest military
complex in the world, with about a million people, the world's third largest
nuclear potential, more than 6000 tanks, and equal number of armored
vehicles, not to mention light weapons. By rejecting nuclear weaponry and
curtailing it traditional weapons and armed forces, Ukraine made a
contribution to the security of Europe and is now among the countries
leading the fight against excessive armament, especially light firearms. We
have no need for excessive weaponry. Our best weapon is democracy and
enlightenment. -30- [The Action Ukraine Report Monitoring Service]
--------------------------------------------------------------------------------------------------------
LINK: http://www.kommersant.com/page.asp?id=555184
===========================================================
12. ROMANIA CONSIDERS THE VICTORY OF DEMOCRACY IN
UKRAINE IMPORTANT TO EASTERN EUROPE

Ukrainian News Agency, Kyiv, Ukraine, Tue, March 22, 2005

KYIV - Romania considers the victory of democracy in Ukraine
important to Eastern Europe. Romania's Foreign Affairs Minister
Mihai Razvan Ungureanu announced this during a meeting with
Foreign Affairs Minister Borys Tarasiuk.\

"It is a sign that democracy is being established in this part of the
world," Ungureanu said. According to him, the changes that took place
in Ukraine marked the start of changes in the eastern European region.

Ungureanu said that the events in Ukraine also provided significant hope
to Romanians. "[Ukrainian President Viktor] Yuschenko would also have
had many voters in Romania if Romanians had the right to vote here in
Ukraine," Ungureanu said.

Ungureanu and Tarasiuk stressed the mutual desire of Ukraine and
Romanian to develop cooperation. Tarasiuk noted the significant
similarities in the processes presently taking place in the two countries.

Tarasiuk stressed that the leaderships of Ukraine and Romania bore
significant responsibility for the development of good relations between
the two countries. As Ukrainian News earlier reported, Ungureanu arrived
in Ukraine on March 22 for an official visit. -30-
===========================================================
13. PRESIDENT'S SPOUSE KATERYNA YUSHCHENKO AND MINISTER
FOR MATTERS OF YOUTH AND SPORTS YURI PAVLENKO
HOLD MEETING WITH PUBLIC ORGANIZATIONS,
WORKING IN INTERESTS OF CHILDREN

Ukrinform, Kyiv, Ukraine, Tuesday, March 22, 2005

KYIV - The Government resolutely stands for improvement of children's
status in Ukraine, for overcoming the state, when there are homeless
children and social orphans in Ukraine, this was emphasized during a
meeting, held by President's wife Kateryna Yushchenko and Minister for
matters of youth and sports Yuri Pavlenko with public organizations,
working in the interests of children.

It was pointed out at the meeting, that the growing number of the NGOs
of the all-Ukrainian and regional levels, which promote by their activities
development of a democratic society, realization of citizens' main rights
and freedoms, improvement of the status of family and children, is a proof
of Ukraine's confident stride toward construction of the civil society.

Therefore, a public collegium will be created at the Ministry, which will be
functioning as a standing body, the aim of which will be to pay special
attention to problem issues of childhood. -30-
===========================================================
14. EGG PROVIDES UNIQUE CANVAS FOR PYSANKY ARTIST
Ukrainian egg decorating

By Jeff Pikulsky, Valley Independent
PittsburghLIVE.com, Pittsburgh, PA, Monday, March 14, 2005

BENTLEYVILLE - Julia Urdenis is passionate about egg-shaped art. For
about 35 years, the 67-year-old Hungarian artist has practiced pysanky, a
style of Ukrainian egg decorating that originated more than 2000 years ago.
At age 13, Urdenis came to America with her family and eventually made
a home in Bentleyville [Pennsylvania].

The inside of her house resembles an art gallery, with glass cases of her
pysanky eggs found in just about every room. Urdenis said she simply
cannot part with the coveted creations she proudly displays for guests.

Traditionally, pysanky eggs are given as gifts to convey good will and
friendship and to symbolize the renewal of life and new beginnings
associated with spring. In creating pysanky eggs, Urdenis first uses a
kistka, a tool that resembles an ink fountain pen. She scrapes the metal tip
of the kistka on a disc of beeswax, heats it with a blessed candle and draws
a design on the egg.

The wax placed on the egg protects the areas that will remain white. The egg
is then dipped in a light-colored dye, usually yellow. More wax is applied
to areas of the egg intended to stay yellow. Then the egg subsequently is
dipped in a darker dye. The process is repeated many times, depending on
how many colors are to be used.

Finally, the entire egg is heated and the wax is wiped away to reveal the
completed design, a multi-colored work of art with many intricate designs.
After the egg is painted, Urdenis removes the egg white and yolk. Varnish
is applied to the shell to give it a lasting shine.

While the concept of creating pysanky is simple, mastering the technique
takes years, Urdenis said. But there is much more to it than simply creating
a visually appealing egg. Some of the symbols hold special meanings. "Let's
say your neighbor had a poor harvest; you put some wheat on it to wish him
luck," Urdenis said. "Say you know a couple that had been infertile. Then
you put a rooster on it so they do become fertile. Butterflies mean
resurrection."

Pysanky eggs are most popular during the Easter season. Urdenis said her
love for creating the masterpieces is constant and sometimes approaches
obsession. "I won't go to bed tonight until I finish that egg," she said of
one project on her work table. The effort and care Urdenis invests in her
egg creations is evident.

The pysanky perfectionist spends 15 to 20 hours on each egg. And when one
breaks? "You cry. Then you make scrambled eggs," Urdenis said with a smile.
The artist said the process demands precision, patience and a steady hand,
attributes she learned as a painter in a family of artists.
"It's in my blood, so to speak," she said.

While Urdenis sometimes tries to duplicate her designs, no two eggs come
out exactly the same because the dyes set differently each time.
Revealing the finished product is always a surprise for Urdenis. For years,
she has sold her decorated eggs.

The proceeds help restock her pysanky materials and she donates the
remainder of the profit to her church, Holy Resurrection Orthodox Church in
Belle Vernon. "My husband is president of the church council, so I've got to
do something for the church or he'll kill me," Urdenis said jokingly. "I
think that's my way of contributing."

Some of Urdenis' eggs represent many ethnicities and have become
collectors' favorites. She said her Irish-themed eggs, which feature
shamrock designs, are her best sellers.

To Urdenis, the shape of an egg provides a unique and challenging canvas.
"The egg dictates it to me," she said of her designs. "I love the art form.
It is intertwined with tradition." Urdenis recognizes the history behind
pysanky and has made the creative process her own precious art form.
The next step for her is to teach the discipline to children. "They say that
as long as someone is making pysanky, the world will never end," Urdenis
said. To purchase pysanky eggs, call (724) 239-3764. -30-
--------------------------------------------------------------------------------------------------------------
Jeff Pikulsky can be reached at jpikulsky@tribweb.com.
http://pittsburghlive.com/x/tribune-review/trib/newssummary/s_313199.html
============================================================
15. UKRAINE'S CHIEF RABBI: NO NEED TO FEAR YUSHCHENKO

By Sam Ser, The Jerusalem Post
Jerusalem, Israel, Monday, Mar. 21, 2005

Jews should not fear Ukrainian President Viktor Yushchenko, despite
his support for a newspaper that was censured last year for inciting
anti-Semitism, the country's chief rabbi told The Jerusalem Post.

While Yushchenko was presenting the staff of the daily Silski Visti with
medals "for significant personal contribution to the development of
Ukrainian journalism" recently, Rabbi Yaakov Bleich said, "it would have
been prudent of him to mention also that they had printed anti-Semitic
articles in the past, and said something to the effect that he was glad that
they stopped it."

The Jewish community, Bleich added, is much more concerned about
other widely distributed magazines published by the unabashedly anti-
Semitic MAUP organization.

However, Yushchenko's support of Silski Visti only contributed to a larger
concern about his relationship with the Jewish community because his
right-wing power base includes nationalists and anti-Semites. "It has
undermined our efforts in the fight against anti-Semitism," Eduard Dolinsky,
executive director of the United Jewish Community of Ukraine, told the Post.

Both Bleich and Dolinsky believe that Yushchenko himself is not a threat to
the Jewish community, noting that he joins a Kiev synagogue each year to
light Hanukka candles and saying that the president seems sincere in his
attempts to foster good relations. "He very publicly walked over to me and
embraced me as a friend" at recent political function, said Bleich.

"He went to Auschwitz" last month for the commemoration of the 60th
anniversary of its liberation, Dolinsky pointed out, "and said that there
would never be a Jewish problem in Ukraine, because he would make
every effort to fight anti-Semitism."

Yet for both men, doubts remain. "[Yushchenko] is definitely not
anti-Semitic," said Bleich, "but he is maybe too tolerant of people who are,
and that definitely has to be addressed. He has to go to greater lengths to
prove his democratic values."

As a way of doing that, Bleich suggested, Yushchenko should make a public
appearance at the upcoming celebration marking 15 years of Jewish renewal
in Ukraine and use that opportunity to speak out against anti-Semitic forces
within in the general Ukrainian community.

"I think [Yushchenko] is very sincere," said Dolinsky, "but to this point we
have seen no change. So we have asked him to receive a delegation of the
Jewish community in order to discuss these problems."

"And if he won't see us and still won't deal with this," Dolinsky added,
"then we are going to demonstrate, organize mass rallies, etc. This event
has shaken the feelings of the Jewish community." -30-
============================================================
16. NO RELIGIOUS FREEDOM WITHOUT DEMOCRACY:
A LESSON FROM THE 'ORANGE REVOLUTION'

COMMENTARY: By Myroslav Marynovych,
Vice-Rector Ukrainian Catholic University, Lviv, Ukraine
Forum 18 News Service, Oslo, Norway, March 16, 2004

In this personal commentary for Forum 18 News Service
http://www.forum18.org, former Soviet political prisoner Professor Myroslav
Marynovych, who is now vice-rector of the Ukrainian Catholic University
http://www.ucu.edu.ua in Lviv, argues that Ukrainian President Viktor
Yushchenko's surprise announcement last month of the abolition of the
State Committee for Religious Affairs is a powerful signal to the rest
of the region that governments should end their meddling in religious life.

He regards the feeling in Ukraine that the communist model of controlling
religion is now dead as the greatest gain of the "Orange Revolution" in the
sphere of religion. Yet he warns that other countries will find it hard to
learn from the proclaimed end of Ukrainian government interference in
religious matters, without wider respect for human rights and accountable
government. Without democratic change - which should bring in its wake
greater freedom for religious communities from state control and meddling -
it is unlikely that religious communities will escape from government
efforts to control them. [Commentary by Professor Myroslav Marynovych
follows.]

Within weeks of becoming president in what was dubbed the "Orange
Revolution", Viktor Yushchenko took a bold move in church-state relations.
Surprising his listeners on a visit to Zhytomyr in central Ukraine on 8
February, he announced that among a whole sweep of government agencies
to be abolished was the State Committee for Religious Affairs, including
its local offices. More than 150 officials employed on religious affairs
will thus be axed.

"The government will work with every religion openly," Yushchenko pledged,
promising the equal treatment of all faiths and an end to state interference
in the internal life of religious communities. "It is not our goal to create
deliberate obstacles for one or another faith or church." He stressed that
it is "the business of the individual" to choose which faith to follow.

Yushchenko has more than once outlined his insistence that the state must
be religiously neutral. "My government's policy proceeds from the basis that
no-one in this hall can point their finger at you and say which church you
must attend," he explained to an audience in the eastern town of Donetsk
soon after his inauguration. "I'm speaking above all about a secular state.
It's none of our business - it's the right of each person to choose. There
might be people here who attend synagogue, others go to the mosque, others
to an Orthodox church, others still to a Catholic church. No one of them has
any privileges compared to the others."

Amplifying this, and explicitly citing Yushchenko's authority, deputy prime
minister Mykola Tomenko insisted in March that the state budget could no
longer be used to finance the building of places of worship of whatever
faith. "If a community wants a new church to appear in their village, they
should raise the funds themselves," he said.

Yushchenko's move to end state meddling in religious affairs is a powerful
signal to the entire region. Yet it remains open how far other former Soviet
republics which have continued the Soviet-style government agencies to
control religion will succumb to the wind of change coming from Ukraine.

Two of our country's neighbours, Belarus and Moldova, have religious affairs
agencies that have been eager to implement discriminatory official policies
favouring the Moscow Patriarchate and protecting it from rival Orthodox and
non-Orthodox groups.

Further afield - especially in Azerbaijan, Uzbekistan and Turkmenistan -
powerful religious affairs committees seek to suppress disfavoured religious
communities. Few of these government agencies - and the secret police that
stand behind them - are likely to yield their control over religious
communities soon, though hope is greatest in Moldova, which has just seen
fairly free elections.

In Ukraine, the general feeling that the former communist model of
church-state relations has finally been left behind is perhaps the Orange
revolution's main gain in the sphere of religion. It became clear that not
only must the state be free from interference by the Church, but also that
the Church must not be wedded to the interests of the government and
political parties. Some religious congregations - even entire Churches -
which did not realise this before the start of the revolution lost out
strongly in the eyes of their own members, while those participating in the
protests on Kiev's Independence Square against the falsification of the
election results passed the test with flying colours.

The religious and denominational polyphony of Independence Square
illustrated splendidly how in today's Ukraine the state can only be neutral
towards religious bodies. Yet it soon emerged how much easier this is to say
than to put into practice. On 4 February, the day the new government was
inaugurated, conflict broke out between warring parts of the Ukrainian
Autocephalous Orthodox Church when one faction violently seized premises
in Kiev occupied by a rival faction. The state organs, however, did not dare
to intervene, failing to distinguish between the state's duty to be neutral
in internal church conflicts and the duty to respond promptly to violent
acts committed by any citizen.

The striving of the new president and his government to maintain neutrality
seems to be sincere and is even born of suffering (clergy and believers of
the Ukrainian Orthodox Church of the Moscow Patriarchate openly
campaigned against Yushchenko during the elections). Yet at least one
more challenge to this goal remains: the schism within Ukrainian Orthodoxy.

Many in the different Orthodox jurisdictions are calling on the state to
facilitate the unification of their faith. Since the different communities
have differing ideas about how such unity should be achieved, there is a
collision of concepts which government officials - who generally fail to
understand the nature of the Church - will be hard put to resolve.

Few of Ukraine's religious leaders will mourn the demise of the State
Committee for Religious Affairs, the instrument of the former communist
tradition of controlling religious organisations. On the other hand, many
analysts are concerned at the absence (even if only temporary) of a body
which could have a coordinating function and be a mediator between religious
organisations and the state. Whether this concern results from the inertia
of old ways of thinking or a real need which could be met by other mediatory
structures will soon become clear.

Ukraine is not for the first time trying to forget the Soviet model of
repressive control over the activity of religious organisations. The first
attempt to abolish the Committee took place soon after Ukraine's
independence in 1991, but it was fairly quickly reestablished. Since then
its work has illustrated the much higher level of religious freedom compared
with the Soviet regime and at the same time the surviving tradition of
administrative control in the sphere of religion for the benefit of the
regime of the then President Leonid Kuchma.

However, the main bastion of such traditions of administrative control is
not in the structures as such but in the functions they are given. Russia
has no government Council for Religious Affairs, but the degree of
subordination of the Orthodox Church to the state and the extent to which
laws are discriminatory is much greater than in Ukraine. Everything depends
not on the formal titles of mediatory structures but on the tasks the
government gives them.

As the almost 15 years of Ukrainian independence show, the best guarantee
of religious freedom was the country's religious, confessional and
denominational pluralism and the approximate parity of strength of the main
religious communities. These factors do not permit the system to renew the
former model of the Church being an instrument of the state. However, the
parity of strength and the absence of an obvious monopoly religion is a
specific feature of Ukraine in contrast to all the other post-Soviet
republics (not taking into account the Baltic republics).

So while Orange Ukraine's move to abolish the government agency that
sought to control religious communities is admirable and an example
other states would do well to follow, implementing such a move elsewhere
would be far from simple.

It is likely that Ukraine's example of setting religious groups free from
the state will be encouraging for the whole post-Soviet space not as a
model for direct imitation, but only in the sense of encouraging general
democracy. Such a model cannot be imposed mechanically on other
countries.

Ukraine's example, if successful, will facilitate the search by its
neighbours for forms of state administration which will not allow those
flagrant abuses of human rights which sparked the non-violent revolutions
first in Georgia and later in Ukraine. In other words, these countries have
helped to raise the level of respect for the worth of individual human
beings.

I have to be realistic though. Hope for wider democratic change - which
should bring in its wake greater freedom for religious communities from
state control and meddling - is greatest in Belarus and Moldova, which
share a similar mentality to Ukraine. In Belarus a democratic segment
of the population looks to Europe, while for Moldova the example of
Romania is a great encouragement. Unfortunately hopes for greater
democracy and genuine freedom for religious communities are probably
unrealistic in Central Asia in the near future - these states have a
completely different style of government.

But what has already proved true for Ukraine goes for all: without wider
respect for human rights and accountable government, it is unlikely
religious communities will escape from government efforts to control
hem. -30- [The Action Ukraine Report Monitoring Service]
---------------------------------------------------------------------------------------------------------
Professor Myroslav Marynovych is Vice-Rector of the Ukrainian Catholic
University http://www.ucu.edu.ua in Lviv and Director of its Institute of
Religion and Society. Professor Marynovych contributed this comment to
Forum 18 News Service. Commentaries are personal views and do not
necessarily represent the views of F18News or Forum 18. LINK:
http://www.forum18.org/Archive.php?article_id=526
============================================================
17. MINISTRY FOR CULTURE AND ARTS ANNOUNCES CONTEST
FOR BEST SCRIPT TO SHOOT TARAS BULBA FEATURE FILM

Viktor Chukhlib, Ukrinform, Kyiv, Ukraine, Wed, March 16, 2005

KYIV - As Minister for culture and arts Oksana Bilozir tipped off to
journalists in Kyiv Tuesday after she met at President Viktor
Yushchenko's office with the French movie celebrity, Gerard
Depardieu, a contest will be shortly announced for the best script
to shoot a feature film about Taras Bulba, the writer Nikolai Gogol's
immortal character.

As Ms Bilozir noted, Gerard Depardieu's visit to Ukraine has been by
no means accidental as he will likely be the film's producer. The film
will be the brainchild of a triangular, Franco-Ukrainian-Polish artistic
project. According to Oksana Bilozir, President Viktor Yushchenko
will personally patronize the project's materialization. -30-
============================================================
18. CALIFORNIA STATE GOVERNOR AND FAMOUS ACTOR
ARNOLD SCHWARZENEGGER WILL VISIT UKRAINE IN DECEMBER

Ukrayinska Pravda, Kyiv, Ukraine, Tue, March 22, 2005

KYIV - California state governor and famous actor Arnold Schwarzen-
egger will visit Ukraine in December of this year.

He plants to visit the "Stars of Power" supertournament, which will be
held in Zaporizhzhya on December 7-12, UNIAN was informed by
Zaporizhzhya city hall.

"The inspiration for this tournament is the legendary Ukrainian weightlifter
Leonid Zhabotynsky, who is a friend of Schwarzenegger for a long time",
according to the city hall.

According to them, at a press conference after the "Arnold Zhabotynsky
is a traditional guest of almost all events held in the US under the
sponsorship of Schwarzenegger. It was he who invited the American
actor and governor to Zaporizhzhya, according to the press service. -30-
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PUBLISHER AND EDITOR
Mr. E. Morgan Williams, Director, Government Affairs
Washington Office, SigmaBleyzer Investment Banking Group
P.O. Box 2607, Washington, D.C. 20013, Tel: 202 437 4707
mwilliams@SigmaBleyzer.com; www.SigmaBleyzer.com
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Senior Advisor; Ukrainian Federation of America (UFA)
Coordinator, Action Ukraine Coalition (AUC)
Senior Advisor, U.S.-Ukraine Foundation (USUF)
Interim Secretary-Treasurer, Ukraine-U.S. Business Council
Publisher, Ukraine Information Website, www.ArtUkraine.com
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