Business Standard

Chernomyrdin Promises Liberal Russian Cabinet

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Prime Minister Viktor Chernomyrdin said yesterday he was forming a new government of liberal reformers, in a reshuffle the Communist opposition branded ruinous for Russia and vowed to fight.

President Boris Yeltsin, firmly back at the helm after many months of illness, has given the premier one week to reorganise his cabinet. Only Chernomyrdin and new first deputy prime minister Anatoly Chubais are assured of keeping their jobs.

Professional market economists, firm supporters of the presidents course of reforms, will come into the government, Itar-Tass news agency quoted Chernomyrdin as saying.

He gave no names of future cabinet members but said they would be people under 50 with experience of state management.

 

Now there are all possibilities of forming a united and effective team of serious and responsible professionals, Chernomyrdin said, adding personnel changes could be announced even faster than in the seven days given by Yeltsin.

The State Duma, the lower house of parliament, dominated by Yeltsins communist opponents, passed in the first reading a toughly worded draft resolution condemning the reshuffle and demanding a reversal of the changes.

The changes carried out in the government again illustrate the desire of the current authorities to continue the ruinous social-economic course which has brought Russia to the brink of catastrophe, said the draft motion.

They are an eloquent testimony to the readiness of the leadership to subject Russia and her vital interests to the diktat of the International Monetary Fund (IMF) and foreign capital, said the resolution, drafted by the communist faction.

Amendments to the document were to be discussed later yesterday.

Opposition deputies have been particularly enraged by Yeltsins decision to draft Chubais, a youthful liberal, back into the government to oversee economic reforms. Their resolution called his appointment a direct challenge to social opinion in Russia.

Chubais, widely regarded as a brilliant administrator and an uncompromising reformer, is hated by the communists for masterminding Yeltsins successful reelection campaign last year and for his role in overseeing privatisation, in which they say state assets were sold off too cheaply. The Duma has very limited powers under the Russian Constitution, which Yeltsin drew up in 1993 after using tanks to crush the previous Soviet-era parliament.

Yeltsins decree ordering the reshuffle did not say the government had to submit a formal resignation and the Duma has no legal right to prevent the forming of a new cabinet because the premier remains in place.

But the communists have also threatened a no-confidence motion in the government. If voted through twice, Yeltsin would either have to dismiss the cabinet or the Duma itself.

Given Russias deep-seated economic and social problems, a fresh election might return an even less cooperative parliament.

Trade unions, backed by the communists, are planning a nationwide day of strikes on March 27 to protest against long delays in the payment of wages and pensions. Chernomyrdin has blamed tax dodgers for the delays.

The United States has welcomed Yeltsins changes, saying they showed that Yeltsin was back in control and determined to press on with reforms after many months absence from the Kremlin due to heart problems and pneumonia.

The fact that he has retained Prime Minister Chernomyrdin and first deputy prime minister Anatoly Chubais means one thing Russia continues to be headed in a reform direction, said state department spokesman Nicholas Burns on Tuesday.

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First Published: Mar 13 1997 | 12:00 AM IST

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