he Uzbek oil and gas association has extracted 5m tonnes of liquid hydrocarbons and 37bn c.m. of gas over the past eight months, `Novosti Nedeli' weekly reported on 29th September. "This year alone the specialists of the sector have laid a gas pipeline with a total length of over 160 km," the report said. It added: "The natural gas which is being extracted in the country fully satisfies the growing demand for this product not only inside the country, but also makes it possible to permanently increase the export of gas to neighbouring countries such as Kyrgyzstan, Tajikistan and Kazakhstan."

"The management of the Uzbek oil and gas national holding company thinks that with the further growth of technology the achievements of the sector will be even more significant. At present, oil and gas deposits in Kokdumalak, Shurtan, Olan, Urgin and south-Tandirchi [all in southwestern Uzbekistan] are being developed at full swing. Oil tanks are being constructed in Angren [Tashkent Region] and Pap [eastern Namangan Region]", the report said.

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he head of the ADB's permanent mission in Uzbekistan, V.N. Gnanathurai, told a news conference in the Uzbek capital, Tashkent, that the bank was confident that Central Asian governments had the security situation fully under control and was therefore "not worried" about bank investments in the region. The ADB is giving Uzbekistan financial assistance to carry out agricultural and educational reform and to upgrade the urban infrastructure and improve the railway system. The bank classifies Uzbekistan as a Category C country, and therefore not entitled to soft loans. Uzbekistan is gradually moving towards currency convertibility and has announced that the currency market will be fully liberalized by July 2001. The following are excerpts from the news conference, by Izoslav Lyubovskiy, as published in `Nalogovyye i Tamozhennyye Vesti' on 28th September:

The Asian Development Bank [ADB] plays a tangible role in the economies of the Asian and Pacific Ocean countries. As an international financial institution, it aims to reduce poverty in its member countries by investing in their economic growth and social development and to support a rational level of economic management, improve the social status of women, protect the environment and develop the private sector.

Recently the director of the bank's department [for agriculture and the social sector], Nihal Amerasinghe, and the chief advisor to the ADB board of directors, Bruce Carad visited [Uzbek capital] Tashkent. Their aim was to familiarize themselves with the reforms under way in the republic, find out difficulties and major stumbling blocks and discuss the implementation of planned projects. The guests attended a news conference organized by the head of the ADB's permanent mission in Uzbekistan, V. N. Gnanathurai, which generated keen interest among local and foreign journalists.

[Question] Uzbekistan's government is doing a great deal to achieve grain independence. However, the republic has seen a certain fall in its grain harvest in the last few years. What help can the ADB give the country in this area and with its other reforms?

[Answer] Our study has shown that Uzbekistan enjoys great potential to increase its yield of grain crops. Gross grain output can be raised and grain independence virtually gained by realizing this potential. To bring this about several technical and institutional issues should be resolved.

In particular, seeds and fertilizers of higher quality are needed and they should be supplied in good time. The implementation of projects for assisting the reforms in agriculture will make it possible to back up seed research centres, define the most efficient ways of financing agricultural sectors and offer farmers agricultural machinery services. A total of 20m dollars will be allocated in 2001 for a project to increase the yield of grain crops.

A number of projects are already helping to develop agricultural financial institutions, medium and small private firms and to train farmers.

[Q] A 57m-dollar programme was approved this February for supporting the Uzbek government in implementing a national programme for training personnel and reforming education. What is it intended for?

[A] The programme supports the reforms in secondary, special and vocational education that were started back in 1998. It is intended to work out a system for planning and managing education and for raising the efficiency of financial investments in education. Efforts are concentrated mainly on ensuring that education should meet international standards and that graduates be employed in line with the requirements of the local labour market.

Moreover, the ADB is going to allot 1m dollars to set up a system for monitoring the effectiveness of education.

[Q] What about the programme for developing the urban social infrastructure?

[A] The ADB pays particular attention to tackling social issues. What is meant here is not only education and health care, but also supplying the population with high-quality drinking water and tackling hygiene and other questions.

At present a programme for developing the urban social infrastructure is being drawn up and it will be implemented in 2001. It will deal with supplying the urban, suburban and rural population with drinking water and improving the sewerage system, processing domestic waste and some of the issues of urban economic management. Credits to the tune of 40m dollars will be allocated for the programme.

[Q] Currently, the ADB is also funding the upgrading of the Chingeldi [southwest of capital, Tashkent]-Samarkand railway sector. Are you planning any new projects to further improve communications?

[A] The first project for reconstructing railways was approved in November 1998 and is currently being successfully implemented. The second project, a follow-up to the first, is intended to modernize the railway route from Samarkand to Bukhara and then that from Bukhara to Navoi [from eastern to central Uzbekistan] Like the first one, the project will be allotted 70m dollars. The implementation of the projects will make it possible to upgrade the existing routes. Trains are having to run at lower speeds on certain stretches of railway because of the poor railway bed. Yet another project has been planned for 2003 and envisages building new railways.

The chief objective of these modernizations is lay a corridor from Navoi to Uchkuduk [central Uzbekistan] and further on to [the capital of northwestern Karakalpakistan] Nukus across Uzbek territory, in an effort to avoid having to cross the territory of Turkmenistan in transit.

[Q] Are there plans to allocate Uzbekistan privileged, so-called soft loans? What does the ADB take into account when setting an interest rate?

[A] The ADB divides its debtor countries into several categories. Uzbekistan comes under category C - medium per-capita-income countries. In other words, we think that such a country can afford to take out loans on the general terms. The opportunity of a soft loan can be offered to countries with weak economies.

The interest rate for moderately developed economies is the same: it depends on and matches the interest rate in the international capital market at the time the loan is taken out.

[Q] How does the ADB rate the prospect of Uzbekistan paying off its debts?

[A] Uzbekistan receives all ADB credits under government guarantee. It needs to be emphasized that this country's government settles its foreign debts in good time.

The majority of our loans are given for 25 years and the interest on them is paid only after five or 10 years. Without doubt, the difficulties of the transitional period will have been overcome by the time the interest and the principle of the loan are due to be paid.

The issue of the convertibility of the national currency is being gradually tackled. International financial organizations have been notified that the republic will have its currency market completely liberalized by July 2001. Some practical steps have already been taken to this end. In particular, Uzbekistan's Cabinet of Ministers issued a resolution No 250, on 30th June 2000, on measures for the further liberalization of the currency market and extension of currency exchange operations.

According to the International Monetary Fund, 35 stages have to be gone through before full currency convertibility is introduced. Uzbekistan's government is moving in this direction step by step, ensuring social support for the most vulnerable strata of the population.

[Q] Are all the Central Asian countries members of the Asian Development Bank? How is assistance shared among them?

[A] Today all the Central Asian countries have been granted ADB membership.

In terms of the total amount allocated by the ADB to these countries, Uzbekistan ranks first, as the figure for Uzbekistan is 160m dollars a year. Those of the remaining countries are far lower. For example, the amount allocated to Kyrgyzstan is 80m dollars a year.

As for grants for technical assistance, all the Central Asian states are given almost the same amount of money, 4m dollars a year.

[Q] Might the Asian Development Bank change its attitude towards the Central Asian republics in the light of the manifestations of terrorism there? Indeed, one is sure to be worried by the explosions of violence that are becoming frequent in the Asian region.

Without doubt, the opponents of democratic reforms are attempting to produce a similar result in the Central Asian republics too. But we are certain that they will not achieve their aims. We have sufficient grounds to be confident that the Central Asian governments are in complete control of the situation and that they have the strength to resist enemy attacks. Therefore we are not worried about the future of our investments in the Central Asian countries. In no way will the tragic events have a negative impact on the activities of the Asian Development Bank in the Central Asian countries.

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he fight against "religious extremism" has been stepped up in Syrdarya District, southwest of the capital, Tashkent, following the unrest in southern border areas in August, the District prosecutor told Uzbek radio on 5th October.

"By now we have revealed 63 people inclined to religious extremism in Syrdarya and Bakht [towns]. Criminal proceedings were instituted against 18 of them, their cases were sent to the court and they were sentenced [to various terms]," Qochqor Ghoziyev said.

He said ten of those "inclined to religious extremism" had repented and returned to "peaceful life". "They have atoned for their deeds and came to the prosecutor's office. We pardoned them and they were warned against breaching the law in the future," Ghoziyev said.

The radio added that the fight against religious extremism in the country was currently at an "all-time high level".

"What is worrying our people now is the emergence of terrorists, their shedding blood to realize their evil intentions and brainwashing young people under the cover of religion. The peace-loving people are not indifferent to all this. The struggle against religious extremism is currently at an all-time high level," the radio said.

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zbekistan's new Defence Minister Qadir Ghulomov has informed a `Kommersant' correspondent about the reduction of the military grouping on the border with that part of Afghanistan that is controlled by the Taleban.

Mr Ghulomov explained the withdrawal of the troops from the border with Afghanistan as follows: "In accordance with the national security concept we are not being threatened by a large-scale war."

The results of unofficial contacts between Uzbek diplomats and representatives of the Taleban movement formed the basis for this concept. In particular, an unofficial meeting between Uzbek Ambassador to Pakistan Shukhrat Kobilov and the Taleban movement's Ambassador Mola Abdol Salam Zaif took place in Islamabad Sunday [1st October]. It is known in particular that the mola proposed that a bridge "be opened for Taleban businessman" across the Amudarya in Termez Region. Uzbek diplomats taken aback by the audacity of the Taleban representative have so far not responded to this proposal

However, at a meeting with journalists Tuesday [3rd October] Uzbek Foreign Ministry head Abdulaziz Komilov admitted: "I myself have repeatedly met with Taleban head Mola Omar and his Foreign Minister Molah Motawakkil recently." (Russian newspaper 'Kommersant', October 5)

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zbekistan is on the verge of a food crisis. Huge areas of crops have died due to the severe drought in this summer. Official Tashkent has been forced to appeal to the world community for aid.

This summer's very severe drought has destroyed almost 50,000 ha of rice fields in Uzbekistan. A negligible amount of cotton has been harvested. This is a sheer catastrophe for a country where agriculture accounts for a major proportion of the economy and where rice and cotton are the main agricultural crops.

According to weathermen, there was less than 25 per cent of the [average] annual precipitation in the country's northwest this year. The level of water in the Amudarya river has never been so low for the past 100 years. The Uzbek Aral [Sea] zone has suffered most of all.

Fields were already shrivelled in [northwestern] Khorezm Region and Karakalpakstan [Autonomous Republic of Karakalpakstan in the country's extreme northwest] in the spring. Farmers who foresaw the arid summer did not even sow.

According to modest calculations, the Aral Sea zone will need about 40m dollars. The Uzbek goverment has no such sums. In the middle of September the government appealed to the UN to set up and finance a special programme for aid for the people afflicted by the drought, but so far the UN has not replied. Tashkent hopes to settle the problem very soon because social problems have followed economic ones. Due to the shortage of [drinking] water the number of hepatitis and tuberculosis patients has sharply increased in the two worst-affected regions, Khorezm Region and Karakalpakstan. (Kazak Khabar TV)

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s part of its charity activities in Uzbekistan, the German Federal department for social protection has sent to the Uzbek Health Ministry humanitarian aid through some German banks and companies and with the involvement of the Uzbek embassy in Germany.

The humanitarian cargo delivered by two trucks of the Ortaosiyotrans [Central Asian transport] enterprise is intended for casualty departments in the country's remote areas. About 190 kinds of medicines, surgical and laboratory equipment and equipment for traumatology research were sent. This is enough to fully fit out an accident hospital for 350 patients.

The humanitarian cargo contains medical equipment, hospital equipment and medicines worth about DM5.5m.

Apart from the medical equipment, several sets of Pentium personal computers, fax machines and printers worth a total of DM125,000 were sent. It was said at the presentation ceremony that all these were sent for academic lyceums and vocational colleges to help reform the republic's education system and improve the teaching of the German language.

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ddressing journalists following the meeting with Prime Minister Bulent Ecevit, Foreign Minister of Turkey Ismail Cem said that he informed the prime minister on his contacts in Uzbekistan. "We have recorded serious progress in political and economic relations with Uzbekistan. We will prepare several agreements till President Ahmet Necdet Sezer's visit to Uzbekistan on 1st October [as received]. These agreements are expected to be signed by presidents of two countries," he told reporters. (Turkish news agency Anatolia, October 4)

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zbek President Islam Karimov met the country's Olympic team at the Oqsaroy presidential residence October 4. Welcoming those who held on to the main Olympic motto: "Be stronger, higher and faster", the Uzbek president, Islam Karimov, congratulated them on behalf of Uzbekistan's people on their successful performance in Sydney.

[Karimov] I understand that the Olympics do not have medals for all sportsmen. It is natural and everyone knows this. But I think and am convinced that the fact that one is sent by one's people to participate in the Olympic Games, or that the nation managed to train such a sportsman, is in itself a great victory. Why? Because each sportsman goes through a series of selection contests before taking part in the Olympics, and I am convinced that not everyone can go through all these and gain the opportunity to represent their country and homeland in the Olympic Games. Therefore, I would like to emphasize again that I am certain that each of you has done all that you could, I repeat, to properly represent Uzbekistan at the Olympic Games far away in Australia, before the whole world.

The Uzbek leader highly rated the Olympic team's contribution to the total number of the country's Olympic medals and the perfomance of those sportsmen who failed to win medals, still taking fourth, fifth and sixth places and showing good results amongst the planet's strongest sportspeople.

Addressing Uzbekistan's Olympic participants, the country's president, Islam Karimov, wished them all confidence in their strength and good luck in all their future contests.

A state adviser to the president, Khayriddin Sultonov, read out a Cabinet of Ministers resolution signed by Islam Karimov on awarding gifts of money to the Uzbek medalists and prize winners at the Sydney Olympics.

Under the resolution, Muhammadqodir Abdullayev will be given 100,000 dollars for winning the Olympics. The holder of a silver medal, Artur Taymazov, will be awarded 50,000 dollars and bronze holders Sergei Mikhailov and Rustam Saidov - 25,000 dollars each. (Uzbek TV, October 4)

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zbekistan is placing land mines on parts of its border to prevent the entry of Islamist rebels it says are based in neighbouring Tajikistan, Defence Minister Kadyr Gulomov said late on Tuesday.

"As we do not have the possibility to erect checkpoints everywhere on the border, the most vulnerable parts are being equipped with the necessary technical means," Gulomov said. "Of course the mined parts will be carefully demarcated."

Several people have been wounded in Tajikistan in recent days after stumbling on mines in areas near the Uzbek border, but Gulomov said the mines were being placed only on Uzbekistan's own territory.

"This is a difficult measure but we are forced to take it," he said.

Ex-Soviet Uzbekistan and neighbouring Kyrgyzstan have faced incursions throughout the summer by Islamist gunmen they believe are operating from Tajik bases. The Tajik government has denied the rebels are based on its territory. (Reuters, October 4)

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ver the first eight months of the year, a total of 237 people joined the banned Hezb-e Tahrir movement in the town of Margilan in eastern Uzbekistan's Fergana Region and most of those trying to distribute the movement's leaflets were from Margilan, the Region's newspaper `Ferganskaya Pravda' reported on 20th September. "This was evidence of the fact that work on increasing people's vigilance in the town was carried out inefficiently and that educational work among young people who had been led astray was poor," the report said.

The report headlined "Let us protect our children from provocations by traitors" added: "Unregistered people had been living in certain neighbourhoods. Night watches at enterprises and organizations were organized formally as a blind."

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he council of people's deputies of Uzun District in [southern] Surkhandarya Region [hit by militants in August 2000] held an extraordinary session on October 4. It considered a personnel issue.

Safar Hasanov was relieved of the post of governor of Uzun District. At the recommendation of the Surkhandarya Region governor, Bakhtiyor Olimjonov, Abduvohid Turdiyev was appointed head of Uzun District. The Regional head, Bahtiyor Olimjonov, delivered a speech at the session. (Uzbek Radio)

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he court in eastern Uzbekistan's Andizhan Region sentenced six men to various prison terms for distributing leaflets of the banned Hezb-e Tahrir religious movement, a Regional newspaper, `Andijonnoma', reported on 23rd September.

Abduvahob Rahmonov, born in 1970, and Ikhvol Tolakov, born in 1971, in Pakhtaabad District "deliberately joined Hezb-e Tahrir religious extremist organization's activity which had been banned in Uzbekistan".

At an open court sitting, their parents begged them to repent. "However, they declared that they were patriotic members of the Hezb-e Tahrir religious extremist movement. They said that they were right when they had brought in and distributed seven types of 35 leaflets consisting of various slander." The court sentenced Rahmonov to 17 and Tolakov to 16 years of imprisonment in a strict-regime colony, the report said.

Another four members of the Hezb-e Tahrir movement, named as Qudratilla Tursunov, Oktam Khidirov, Dilshod Sheraliyev and Abduhamid Sotvoldiyev, were all sentenced to 16 years each in jail in strict-regime colonies by Oltinkol District court in Andizhan Region, with the confiscation of their property, the report said.

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he visiting executive vice-president of the International Finance Corporation, Peter Woicke, gave a briefing at the World Bank's mission in Uzbekistan October 3.

It was repeatedly said at the briefing that the most authoritative foreign investors were growing confident in the steady development of our multifaceted economy. It was also said that the corporation approved of our government's policy of developing medium and small-sized businesses.

It has been only 20 months since I took up the post, Peter Woicke told the briefing. It is my first visit to Central Asia and all the four days of my visit were very fruitful, he said.

Peter Woicke told the briefing about his impressions from his talks in Samarkand, Bukhara and Tashkent. I believe that Uzbekistan has a promising future, he continued. The conditions created in the country point at that.

The guest particularly stressed that his meeting with our president Islam Karimov would create great opportunities for his corporations' future activities in Uzbekistan. (Uzbek TV)

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he new Uzbek defence minister gave his first news conference on 3rd October in Tashkent, Uzbek TV reported the same day. Qodir Ghulomov, the first ever civilian defence minister, said that as the country was building a civil society, this required greater openness from all institutions. He said military experts had to be more responsible and different job was expected from the administrative staff now. "Market relations have come to the army too," he said. The secretary of the Uzbek Security Council, Mirakbar Rahmonqulov, told the briefing that the military reform in the country was aimed at creating "a new military organization" with mobile, efficient armed forces.

[Rahmonqulov] Those who are attentively observing the military system in our country know that a programme of consistent reforms has been carried out in the armed forces over the past few years by the supreme commander of the armed forces, Uzbekistan's president, Islam Karimov. The main purpose of the military reform is to create a qualitatively new military organization, with mobile, selfsufficient, efficient, well-equipped, professionally trained armed forces, meeting the highest requirements, in its core. Tasks and directions of the reform have been determined on the basis of a deep analysis of the existing potential military threats, taking into account the nature of modern warfare, achievements of the modern military science and art and the available resources.

[Rahmonqulov] The models and mechanisms adopted for reforming the armed forces have undergone approbation during many tactic, command and staff exercises and during the anti-terrorist operations this year in Surkhandarya and Tashkent Regions. They have shown that our country's president's decisions on reforming the armed forces were timely and absolutely correct.

[Defence Minister Qodir Ghulomov] The whole organization depends on the system of administration. It is worth mentioning that we are building, as Prof Rahmonqulov has already mentioned, a civil society. We have been preparing this step for a long time. By a civil society we mean openness of all institutions.

Despite the fact that the Ministry of Defence and the United Staff have different functions, they are one and indivisible [body]. They simply fulfil two different tasks aimed at defending the country and and guaranteeing its security. The first thing [the united staff has to do] is urgent strategic planning and administration of the armed forces, not only the Defence Ministry troops, but all the military formations on the territory of Uzbekistan. As regards the Ministry of Defence, it will conduct the state policy defined by the Supreme Assembly [parliament]. And secondly, it will carry out administrative management of the armed forces. From this point of view it is clear that they are two sides of the same coin. (Uzbek TV, October 3)

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new Uzbek defence minister has been appointed to continue the reform of the armed forces. The new minister, Kodir Gulomov, is the first civilian among CIS defence ministers, National Security Council Secretary Mirakbar Rahmonqulov said today.

Gulomov, a Doctor of Sciences (Physics-Maths) and a member of the country's Academy of Sciences, was hired by the armed forces a year ago and appointed to head the Academy of the Armed Forces. Before that he served as director-general of the Solar Physics Science and Production Association, reporting to the Academy of Sciences.

A new command structure, a Joint Staff of the armed forces, has been set up and placed under the command of Deputy Defence Minister Lt-Gen Tulkun Kasymov, Rahmonqulov said.

The reform must lead to a new military organization whose core will be a mobile, self-sufficient, optimally structured, well equipped and thoroughly trained army, he said. (Russian news agency Interfax, October 3)

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zbek President Islam Karimov met the visiting executive vice-president of the International Finance Corporation, Peter Woicke, at the Oqsaroy presidential residence October 3.

The International Finance Corporation's executive vice-president's visit to Uzbekistan confirms once again that major foreign investors are increasingly confident about the stability and reliability of our economy.

Welcoming the guest to the country, Islam Karimov emphasized that Uzbekistan paid particular attention to cooperation with this financial institution. The International Finance Corporation's role in carrying out various projects is to conduct studies before projects are launched and attract foreign investments.

The corporation's involvement in a project is a kind of a guarantee that it will be profitable for the investor. The International Finance Corporation has approved 13 projects in Uzbekistan, investing about 100m dollars in them.

An agreement has recently been signed between the corporation and the Parvina-Bank to open a credit line through the bank for developing medium and small-sized businesses.

The organization's executive vice-president expressed his readiness to develop comprehensive, mutually beneficial relations with Uzbekistan in the future. Currently, the corporation is considering another three projects worth a total of more than 56m dollars. (Uzbek TV, October 3)

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he Taleban's triumph has drastically altered the situation not only in Afghanistan but also in the region as a whole. The rapid advance of the former madrasah students towards the borders of the CIS was predicted by many people. But the response to the Taleban movement's military successes on the part of several CIS members has come as a complete surprise. Particularly for Russia. Uzbekistan, for instance, began direct talks with the Taleban leadership at the weekend.

According to some reports the Taleban have promised Tashkent they will not intervene in Uzbek internal affairs. Moreover, the "eternal students" are even prepared to placate the "Islamic Movement of Uzbekistan" which has become a real headache for the leaders of that Central Asian country.

The Taleban's position has undergone strange metamorphoses recently. Only recently they were promising the whole world they would export their laws. Today they are trying to persuade their neighbours they are harmless. The Taleban seem to have been very successful in their Eastern diplomacy.

Last week Uzbekistan President Islam Karimov urged Russia not to intimidate the region's countries and primarily Uzbekistan with the Taleban. In Karimov's opinion the Taleban threat and the "danger of internal Islamism" are not only greatly exaggerated but in many respects have been thought up by Moscow in order to preserve its military-political influence in Central Asia.

This step by the president was soon backed up by talks with the Taleban. You form the impression that Tashkent intends to set up relations with Afghanistan's masters and is doing so without a thought for Moscow. The Uzbek authorities are evidently convinced that after reaching agreement with the Taleban it will be easier to deal with the local Islamists.

Tashkent is wrong to believe the former students' promises. For several years now the latter have been hiding "number one terrorist" Usamah Bin Ladin on their territory, the Bin Ladin who is supporting extremists throughout the world - be it in Chechnya, Uzbekistan, or the Philippines. The Taleban call Bin Ladin their "dear guest" and are making active use of his cut-throats in the fighting against the anti-Taleban alliance.

The fundamentalists' talks with the CIS countries are nothing but a trap. Caught in the clutches of international sanctions, the Taleban need support, even if it is only moral support, as much as they need air. And from the republics of the former USSR the Taleban movement also needs at least military neutrality.

Last summer Russia hinted at the possibility of rendering wide-ranging aid to Ahmad Shah Masud right up to massive bombing raids on the terrorists' training camps. Without Uzbekistan an anti-Taleban "second front" is hardly possible. The Taleban may have won their first diplomatic victory by safeguarding their positions and weakening Russian influence in Central Asia. But that is only the start of a big-league game.

Moscow, however, does not intend to surrender its positions. On Saturday [30th September] President Vladimir Putin met security ministers and the head of the Foreign Ministry. Russia's position has not changed. The Taleban present not only a military but also a political threat. (Russian newspaper 'Izvestiya', 3rd of October)

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he World Bank group's International Finance Corporation has opened a 1m dollar credit line through an Uzbek private bank for developing small business in Uzbekistan, the `Pravda Vostoka' newspaper reported on 3rd October.

The credit was given for seven years and will be administered by Parvina-Bank, a private commercial bank based in Samarkand. The agreement was signed in Samarkand on 1st October by the executive vice-president of the International Finance Corporation, Peter Woicke, and the chairman of the board of Parvina-Bank, Dilshod Polatov, the paper said.

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zbekistan has barred tour companies from taking foreigners to its mountain and border regions because of recent fighting, the national tour operator said yesterday.

The move appeared to be in response to the threat posed by Islamic militants seeking to carve out a state where the borders of Uzbekistan, Kyrgyzstan and Tajikistan converge. Troops from all three countries have been fighting the insurgents since the start of summer.

Uzbek Tourism told Uzbek tour agencies which work with foreign firms that they should cancel trips to the remote regions "to prevent any critical situations in which the safety of tourists can be put into jeopardy". The statement added that the government would suspend the licence of any tour company that did not comply.

Much of the area affected is dominated by pristine mountains and glaciers that have become increasingly popular destinations since the borders of Central Asia opened up with the collapse of the Soviet Union.

This summer three American hikers were kidnapped in Kyrgyzstan near the Uzbekistan border and held for several days before escaping. (AP, September 30)

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zbek Foreign Minister Abdulaziz Komilov has confirmed that talks between Uzbek and Taleban representatives have been held in Islamabad.

Speaking at a Monday [2nd October] press conference in Tashkent, Komilov reported that the Uzbek ambassador had had an official meeting with his Taleban counterpart in Islamabad. "It is not our first meeting," Kamilov said, adding that he had met with some Taleban leaders before.

"The sole purpose of these meetings is to get the sides to reconfirm their noninterference in each other's internal affairs. At the last meeting, Uzbekistan reaffirmed its intention to cooperate with the government that will be in Afghanistan," the minister said.

"Now, quite a few states bordering with Afghanistan as well as those which are a distance away from it are having such meetings," he said. (Russian news agency Interfax, October 2)

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oting that Turkey and Uzbekistan are sharing political, cultural and historical similarities, Foreign Minister Ismail Cem said, "Turkey, using its past experience in relations with Uzbekistan, will open a new page with this country."

Meetings between Turkish and Uzbek delegations started on Monday [2nd October] under the leadership of Cem and Uzbek Foreign Minister Abdulaziz Komolov. Before the meetings between delegations, Cem and Komolov had a private meeting which lasted for an hour.

Cem, in a statement he made before the meetings, said his visit to Uzbekistan aimed to advance Turkish-Uzbek relations which are already at a good level.

"Turkey will always support Uzbekistan," Cem said and added that he believed Uzbekistan would overcome the obstacles it sometimes faces.

Speaking after the meetings, Komolov said he believed the relations between his country and Turkey would improve after Monday's meetings between the two delegations. He also drew attention to the meeting between Turkish and Uzbek presidents in New York. Komolov said during the meetings they will focus on President Ahmet Necdet Sezer's visit to Uzbekistan, as well as regional developments.

During his meeting with Cem, Komolov said they discussed international terrorism, drug and arms smuggling, and fundamentalism, and they agreed on a joint combat between Turkey and Uzbekistan against these threats... The meetings later continued closed to the press.

Cem said on Monday that the new page opened in the relations between Turkey and Uzbekistan has three dimensions, listing them as economy, terrorism and politics.

Cem came together with Turkish and Uzbek businessmen following the meeting of the Uzbek Foreign Economic Relations Minister Elyor Ghaniyev with Turkish and Uzbek businessmen.

Speaking to businessmen, Cem said that the new page opened in the relations between the two countries should be evaluated well. Businessmen said that the thing that matters for them is the good relations between the two countries.

Uzbek officials said that the bilateral relations, rather than concrete projects were generally taken up in the meeting between Ghaniyev and Turkish and Uzbek businessmen. (Anatolia news agency, October 2)

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n Uzbek woman wrestler has won a gold medal in an international Kurash wrestling tournament held in the British town of Bedford. The competition, named in honour of Uzbek President Islam Karimov, was hosted by the British Kurash Wrestling Association. The other four Uzbek contestants, all men, all won medals - two golds, one silver and a bronze.

Despite the fact that it was set up only a year ago, the British Kurash Wrestling Association already stands out against those of other European countries by its dynamism. The association conducted its first tournament in March and began preparing for the Islam Karimov international tournament after the second international tournament in Antalya [Turkey] in May.

The sportsmen, experts and audience involved in the contest said that the tournament had been organized very well in all respects. The parents of young Kurash wrestlers say that Kurash wrestling is winning fame across Europe day by day because it has many advantages over other types of wrestling.

Athletes and women in a total of 13 weight categories fought for the championship. All the five sportsmen and women defending Uzbekistan won medals: Feruza Khaytinbetova, Botir Khojayev and Bakhrom Ermatov earned gold medals and Sherali Boronov and Shokir Qoshqonov silver and bronze medals, respectively.

The Irish branch of the UK Kurash wrestling association will hold an open championship in the Republic of Ireland on 20th October.

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seminar on the subject of "The fight against Terrorism" took place at the Uzbek Internal Affairs Ministry academy. It was conducted by instructors from the German Federal Office for Public Security's anti-terrorism department.

This year alone German specialists have organized several such workshops and trianing seminars for officers of various sectors of Uzbekistan's internal affairs agencies. The last such seminar discussed detecting explosives and explosive devices, methods of identifying and defusing them and also collecting evidence when investigating crimes that involve drug consumption and sale.

The fight against manifestations of terrorism is an urgent task facing the whole world. Therefore, it is natural that the methods used by advanced countries' law-enforcement agencies to counteract such crimes arouse interest. The German colleagues introduced the seminar participants to the basics of the system employed by their police to guard their state and the work of their crime police in this area. Particular attention was given to providing information and processing data on people suspected of terrorist activities. During the seminar its organizers gave an assessment of Islamic terrorism, which is also manifesting itself in Germany, and laid special emphasis on the role of international cooperation in the fight against terrorism.

The seminar is being held in the form of discussion and exchange of opinions and expertise. At the end those who attended will be awarded certificates.

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resident Islam Karimov met with visiting Turkish Foreign Minister Ismail Cem at his Oqsaroy residence in Tashkent October 2.

Welcoming the guest to Uzbekistan, the president said that both countries were interested in raising bilateral relations to a new level, strengthening friendly ties and developing all-round Uzbek-Turkish relations. The centuries old relations with the Turkish people and their respectful attitude towards our country show that our friendship is eternal, the president said.

Expressing his gratitude for the cordial reception, Turkish Foreign Minister Ismail Cem said that his visit would raise bilateral relations to a new level and the friendly relations would continue to develop.

Issues of comprehensive development of Uzbek-Turkish relations and overcoming the existing problems were also discussed during the meeting. (Uzbek TV, October 2)

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azakh border guards have fired at a truck with an Uzbek number plate in Saryagash District in South Kazakhstan Region, the Region's main police department told an Interfax-Kazakhstan news agency correspondent.

According to the department, the truck loaded with agricultural produce was travelling from Uzbekistan to Shymkent (the centre of South Kazakhstan Region).

The sources said that the driver and the people accompanying the cargo had ignored the border guards' request to stop for a documents and cargo check and continued movement. This is precisely why the border guards were forced to open fire, the police department stressed.

The department said that an investigation had been launched into the incident and the driver of the truck and the people who were accompanying the cargo had been detained until all the circumstances were investigated. (Kazakh news agency Interfax-Kazakhstan, October 2)

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n 1st October the leader of the National Islamic Movement of Afghanistan (NIMA), [Gen] Abdorrashid Dostum, categorically denied reports about his supporters's fighting on the side of Uzbek government troops against fighters of the [banned opposition] Islamic Movement of Uzbekistan [IMU].

The Uzbek government is capable of coping with criminal groups on its own and does not need anybody's support, he said.

The IMU leader, Tohir Yoldoshev, said earlier in an interview with the BBC Persian service that Dostum and [Tajik rebel Col] Mahmud Khudoyberdiyev supporters had fought against IMU fighters in the mountains in [southern] Saryassiya and Bostanlyk [northeast of capital] Districts of Uzbekistan. According to him, the Uzbek government forces "cannot resist the IMU fighters as they have no combat experience".

Abdorrashid Dostum said: "By this provocative statement, the IMU leader is trying to raise his authority, which has been recognized by nobody."

Dostum said that the IMU was too insignificant to be an opponent to the NIMA. According to him, NIMA fighters are currently fighting Taleban formations in [Afghan] Samangan, Balkh, Jowzjan and Takhar Provinces. Dostum warned the IMU leader about consequences of his thoughtless statements. (Tajik news agency Asia-Plus, October 2)

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zbek President Islam Karimov has expressed his faith in his country's ability to defend itself using its own capabilities, according to a report on his visit to Kyrgyzstan published in a Russian newspaper. He criticized the Russian media for exaggerating the seriousness of the invasion of Uzbekistan and Kyrgyzstan by Islamist extremists, and the Russian authorities for "pushing countries in the region towards unification and Uzbekistan towards joining the CIS Collective Security Treaty, from which the republic withdrew quite recently". The following is the text of the report, published in 'Nezavisimaya Gazeta' on 28th September:

Uzbek President Islam Karimov has completed his visit to Kyrgyzstan. The two heads of state signed a number of documents, adopted a joint statement and also concluded a bilateral agreement on military and military-technical aid.

The subject of security in Central Asia held a special place in the talks. According to Islam Karimov, Tashkent is capable of independently guaranteeing its own security and, in addition, Uzbekistan intends to give Kyrgyzstan military-technical aid in the fight against international terrorism. "If we ourselves do not safeguard security here, I am sure that no-one will come to us from outside and offer assistance," the Uzbek leader said.

[Kyrgyz President] Askar Akayev supported his colleague and said that the signed agreement on military and military-technical cooperation "is an extremely important document for the security of the entire Central Asian region". Akayev also pointed out that, until now, the republic has only had this kind of agreement with Russia. Now, in his opinion, Kyrgyzstan is entering a new level of relations with its closest neighbours and, together with Uzbekistan, will concentrate on "safeguarding its own security, the inviolability of its borders and its territorial integrity, and also on maintaining stability in the region". The agreement envisages joint operations against rebel formations, plus a broad exchange of information and intelligence data.

The sides noted that Afghanistan still poses the main threat as far as destabilization of the situation in the region is concerned. The Uzbek president believes that the Taleban's seizure of the northern territories certainly does not signal the beginning of long-awaited peace there. In order to achieve peace, all ethnic and regional forces must be brought together in a coalition government. In Karimov's opinion, the Taleban must also agree with this proposal. In addition, the Russian government, various international and human rights organizations all over the world and the UN Security Council must discuss the situation in Afghanistan in the very near future.

According to the Uzbek leader, the UN Security Council is closely monitoring the situation in Kosovo and Yugoslavia, but "is paying no attention at all" to Afghanistan. "The situation in this country requires the Security Council to discuss it and to prevent an escalation of the war in Afghanistan itself and beyond its borders," President Karimov noted. According to him, Uzbekistan has no problems in its relations with the Taleban, although their forces have in fact been at the Uzbek border for two years. Karimov believes it will take Afghanistan a long time to solve its internal problems. "It now needs to boost its economy and develop, but it will not be able to do this quickly without the countries in the Central Asian region." The threat to security and stability in Central Asia will remain until the civil war in Afghanistan is over. Karimov stressed that, "as long as this state remains the main supplier of narcotics for the world market, there will be a threat to stability in Central Asia".

In addition to the agreement on military-technical cooperation, the two countries' leaders endorsed economic projects, the main ones being the construction of new roads and hydroelectric power plants. Kyrgyzstan and Uzbekistan have quite considerable water resources and can supply the entire region with cheap electricity. President Karimov feels that the two states' existing economic potential has still not been fully exploited. Consequently, it is essential to use all available natural resources in the interests of both republics.

No less an important project is the construction of a road from Tashkent to Kashgar via Andizhan and Osh, which will go from Uzbekistan to China via Kyrgyzstan. It will allow these countries to reach markets and ports in southeast Asia.

The Uzbek president once again expressed his dissatisfaction with the Russian mass media. In particular, he believes that the press is making too much fuss and deliberately whipping up the situation surrounding the invasion of Uzbekistan and Kyrgyzstan by Islamist extremists. All this is intended to create panic and uncertainty in Central Asia. He also said that Moscow is pushing countries in the region towards unification and Uzbekistan towards joining the CIS Collective Security Treaty, from which the republic withdrew quite recently. But Tashkent intends to take care of its own defence and is holding talks with various countries on supplying the weapons and military hardware needed to strengthen the combat ability of the Uzbek army. (Russian 'Nezavisimaya Gazeta' newspaper, September 28)

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he chairman of the US Supreme Islamic Council, Shaykh Muhammad Hisham Kabbani, has condemned the Islamic militants who intruded into Central Asian countries, including Uzbekistan, under the cover of Islam. He was the studio guest of a 40-minute patriotic programme entitled "Why do I love Uzbekistan?" broadcast on 28th September; he was speaking in Arabic with overlaid translation into Uzbek.

Kabbani said that Islam categorically rejected extremism, adding that "there is no place for Islamic terrorism in the religion". "Islamic terrorist parties and organizations" based in some Arab countries have been banned because their ideology is against Islam and they want to establish a caliphate. A caliphate cannot be set up in Islam, he said, because it must have its own rules, and these rules do not currently exist. Such organization "must not sow seeds of provocations and terrorism" in Central Asia, he said. "Their real aim is to smuggle drugs and weapons," and to use the cover of Islam to gain wealth, he added.

Kabbani also briefed the viewers about his meeting with Uzbek President Islam Karimov in New York during the latter's visit to the USA to attend the Millenium Summit. Asked about the five pillars of Islam, he also observed that women were equal to men in Islam, and that whether they wore the hejab or not was less important than the faith in their hearts.

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special task force detachment in the east of Uzbekistan detained a group of four men selling an assault rifle and grenades in a market, Fergana Region's `Vesti Doliny' (`News of the Valley') newspaper reported on 9th September.

In his interview to the newspaper, the commander of the special task force detachment under Fergana Region's police directorate of internal affairs, Tohir Turghunov, said: "Over two months ago we detained people selling an assault rifle and grenades in the area of Fergana central bazaar. The rifle was in the car and there were four people sitting inside the car. All our experts were in their civvies. They approached the car from various sides and at a given signal took all four out of the car and disarmed them. The operation took no more than 10 seconds and without a single shot being fired. Since that time there has not been any serious incident. Should there be a need for our assistance in our Region or on our republic's borders we are ready to go and help straight away."

All members of the special task force detachment are tall, healthy, have served in the national guard and are excellent fighters, the report added.

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n September 30, AmeriCares, a U.S.- based international disaster relief agency, delivered close to one million dollars worth of insulin and syringes to Uzbekistan. The shipment is intended for those who suffer from diabetes and are in need of such medication.

Ms. Molly O'Neal, Charge d'Affaires of the U.S. Embassy in Tashkent and Uzbekistan's senior health officials along with other officials from the U.S. Government and the Government of Uzbekistan, were at Tashkent's airport for the arrival of the shipment.

The air shipment was sponsored by the U.S. Government through the U.S. Department of State and U.S. Agency for International Development (USAID). Eli Lilly, a U.S. based pharmaceutical company, donated 51,000 vials of insulin. BD (Becton Dickinson), a U.S. based medical supplied company, is supplying the syringes for the insulin.

AmeriCares has been a long-time partner with the Uzbek non-governmental organization, Soglum Avlod Uchun Foundation. These two organizations will work together in order to ensure distribution of the insulin and syringes throughout the country. The Foundation has a well established infrastructure with regional offices and mobile brigades of workers.

AmeriCares is the world's largest private, non-profit disaster relief and humanitarian aid organization. Since its inception in 1982, AmeriCares has responded to the needs of people around the world with emergency medicines, medical supplies and nutritional items. To date AmeriCares has provided more than $2.5 billion in relief supplies to over 137 countries worldwide, including the United States.

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hile being registered at the Navruzobod border customs complex in Khavast District in Uzbekistan's central Syrdarya Region, four male citizens of Tajikistan attracted the attention of the customs officers because they all wore new shoes and were walking "awkwardly". An examination revealed that their shoes contained 1.5 kg of heroin, `Pravda Vostoka' newspaper wrote on 26th September in a series of reports by the National Security Committee on drug seizures.

The National Security Committee's Dzhizak regional directorate and customs officers noticed "worried" looks on the faces of three women passengers of a VAZ-2103 motor vehicle which entered the Kushkent customs point from Tajikistan. The officers found 5 kg of heroin in large bags carried by the women, two of whom were Tajik nationals and one an Uzbek national.

A former traffic police officer tried to behave "confidently" when his car was stopped at the administrative border between central Samarkand and Dzhizak Regions. But his mood changed when officers started to examine his car. They found more than 1 kg of heroin in it.

An ex-weightlifting champion of the USSR was caught red-handed while digging drugs out of a hiding place. The "weight" of 43 kg of raw opium will not place him on a pedestal, the newspaper said. Officers of the National Security Committee for southern Surkhandarya Region also detained his accomplice, a resident of the town of Termez, it said.

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round-table discussion entitled "For the security of the country, nation and every citizen" has been held as part of the the Citizenship forum project at the Republican Public Opinion centre.

One of the priority directions in ensuring security is to create a system of human rights, the head of the analysis and research department of the Uzbek National Human Rights Centre, Bahodir Ismoilov, told a Turkiston-press correspondent. Since the first years of our independence major attention has been paid to protecting citizens' and human rights. The fact that the National Human Rights Centre and the Institute for monitoring the existing legislation have been set up testify to this.

The round-table meeting also analyzed the results of a survey held to find out how far various sections of the population were aware of human rights laws adopted. The analysis showed that people in Surkhandarya, Khorezm, Samarkand and Andizhan Regions have good legal knowledge. It has become clear that such knowledge is in low in other Regions. Also, the results of a poll on topical issues conducted by the National Public Opinion Centre have become known. For example, asked what were the main reasons for the religious extremist and terrorist actions, the majority [of those polled] said that it was the influence of foreign countries, while others saw the reason to lie in inadequate work with young people. Asked who could be trusted as the guarantor of stability in Uzbekistan, 70 per cent of the population answered that the president could be entrusted with this.

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zbekistan's law-enforcement agencies have seized over 1,387 kg of drugs since the start of 2000, destroying drug-bearing plants cultivated on 12,838 sq. m. of land, Uzbek TV reported on 30th September.

In a special 15-minute programme called "For public peace", the television said that the total drugs seized included more than 355 kg of heroin, over 900 kg of opium, almost 25 kg of hashish, amost 92 kg of marijuana, about 15 kg of poppy and more than 500 g of drug-containing medicines.

The police have entered the second stage of its nationwide anti-drug operation "Opium-2000" on 1st September, the television programme said, adding that wild narcotic plants growing on 42, 491 sq. m. of land had also been destoyed.

Video clips showed narcotic plants under cultivation, officers destroying wild narcotic plants and taking out what were described as drugs from hiding places, scenes at police stations.

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he Fidokorlar National Democratic party of Uzbekistan held its regular, second sitting on 26th September. Taking part were members of the party Central Council and the party faction in the Supreme Assembly.

Questions of organizing subscriptions to the party's only publication, `Fidokor' newspaper, and nominating candidates to the seats vacant in the Supreme Assembly of the second convocation were included on the agenda.

Then Akhtan Tursunov dwelled on the nomination of party candidates to stand in the elections to the Supreme Assembly planned for 22nd October under the 20th September resolution of the Central Electoral Commission [CEC] and said: "During the last elections our party nominated the largest number of candidates. The expected results were not achieved in the elections because there were many mistakes and shortcomings in nominating candidates and in campaigning. Drawing a good lesson from these mistakes, we decided to choose our candidates from among those who are capable and respected by people and who have something to say to people."

After that the president of the Uzbek Academy of Sciences, academician Behzod Yoldoshev from the 160th Parkent electoral district and the vice-chairman of the Uzbek Writers' Union for working with young people, People's Poet Muhammad Yusuf from the 171st Chinoz electoral district, were nominated for election.

The first secretary called on all party members to act unitedly, observing the law during the forthcoming election process. Because the failure of a party candidate in the elections also shows in a sense that the electorate in the given electoral district does not trust that party. He also said that it would naturally damage the prestige of both the party and its candidate to make various pledges first and not to fulfil them later. Therefore he gave instructions to the members of the party Central Council who are responsible for setting up propaganda groups to form groups of culture workers, scientists and representatives in the production sphere who would not simply praise the candidates but show the people their real features.

"It is very good that a great scientist [that is, Behzod Yoldoshev] in charge of reforming the work of the Academy of Sciences and bringing science closer to the national economy has joined our ranks,'' a member of the [party] Central Council, Narzulla Jorayev, said during the debate.

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n important meeting was held between the Afghan and Uzbek ambassadors in Islamabad on Sunday.

According to reports, the Afghan ambassador to Pakistan, Mola Abdol Salam Zaif, and the Uzbek ambassador to Pakistan, Shuhrat Qobilov, had a meeting in the residence of the Afghan ambassador in Islamabad which lasted for an hour and a quarter.

Speaking to Afghan Islamic Press about this meeting, the Afghan ambassador, Mola Abdol Salam Zaif, said that the Uzbek ambassador had briefed him on the speeches made by Uzbek president Islam Karimov in Ashgabat, Turkmenistan and Bishkek, Kyrgyzstan and had stated that in Uzbekistan's opinion the Afghan government's actions were directed towards solving its own problems and to strengthening its internal position. The Uzbek ambassador added that he believed that the Taleban would never intend to interfere in the internal affairs of others.

Mola [Abdol Salam] Zaif said: The Uzbek ambassador advocated that the two sides [Afghanistan and Uzbekistan] should solve their differences and problems through dialogue and that this dialogue should be conducted directly between the two countries.

The Uzbek ambassador said: For these reason there is no need for the mediation or interposition of any other countries.

The Afghan ambassador said that he welcomed this positive change in Uzbek policy and told the Uzbek ambassador: Thanks be to God, the realities are now clear to you.

The Afghan ambassador once again gave assurances that the Islamic Emirate of Afghanistan would never interfere in the internal affairs of others and desired to have good ties and relations with all countries, particularly its neighbours.

At this meeting discussions were held about matters of mutual interest, economic and commercial issues and particularly about the export of natural gas and some other matters. The Afghan ambassador requested that Hayraton port [on Uzbek-Afghan border] should be opened for exchange of commercial goods between Afghanistan and Uzbekistan. Likewise the Afghan ambassador proposed that for further negotiations, delegations of both sides should be exchanged.

The Uzbek side promised to present this issue to its government.

Analysts are of the opinion that this shift on Uzbekistan's part is to be considered a big change. At present it seems that the Taleban victories in the north have strengthened the stance of the Taleban. In other words, the countries neighbouring on the Taleban must maintain good-neighbourly relations with them.

The Taleban's relations with Pakistan and Turkmenistan have long been good and they are not bad with Iran. Uzbekistan's new stance is a good sign and heralds the possibility that Tajikistan may also choose the way of understanding. (Afghan Islamic Press news agency, October 1)

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zbekistan's President Islam Karimov fired the Central Asian country's defense minister on Friday and replaced him with his deputy, the ministry's press service said.

Lt. Gen. Yuri Agzamov was removed from the post to make way for former deputy Maj. Gen. Kodir Gulomov, also the former head of the country's Armed Forces Academy, the ministry said. No reason was given for the move.

Uzbekistan, along with neighbors Tajikistan and Kyrgyzstan, is struggling to suppress small bands of Islamic fighters in the mountainous areas where the three countries share a border.

Uzbekistan also shares a border with Afghanistan, where the advance of the hardline Taliban militia has alarmed neighboring states concerned about the spread of militant Islam. (AP, September 30)

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ight-welterweight (63.5 kg) Uzbekistan's Muhammadkodir Abdullaev won first and only Olympic gold medal in boxing on Sunday for Uzbekistan, and sent the United States home without a title for the first time since 1948. Abdullaev beat American Ricardo Williams by 27-20.

Muhammadkodir Abdullaev

Men's Wrestling Freestyle 130kg Final Match 233
TAYMAZOV Artur, gets first and only silver medal for Uzbekistan by loosing Russian David MOUSSOULBES 2-5

Men's Wrestling Freestyle 58kg Final Match 226
ZAKHARTDINOV Damir could have got a bronze medal for Uzbekistan but lost to American BRANDS Terry by 2-3

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ussia's David Moussoulbes won gold by defeating Uzbekistan's Artur Taymazov on Sunday in the 130kg Freestyle Wrestling Finals.

Both wrestlers fought well, with Taymazov leading initially in the opening fifty seconds, with a throw scoring him a point. However, towards the fourth minute, Moussoulbes fought back and threw Taymazov for three points. Moussoulbes scored another point turning his opponent on his back in the fifth minute.

On winning the gold, Moussoulbes waved to the cheering audience as Taymazov hung his head in disappointment and disbelief.

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zbekistan said on Thursday it planned to launch sweeping economic reforms, including full convertibility of its currency, in 2001 and would seek standby support from the International Monetary Fund.

Speaking on the fringes of the annual meeting of the World Bank and the IMF, Finance Minister Rustam Azimov told Reuters the Central Asian state would work closely with the Fund after unifying the two exchange rates used for the sum currency. "We believe the central bank's policy of bringing the official and interbank rates gradually closer ... and tight monetary policy this and the coming year will allow us to unify the two rates by mid-2001," Azimov said in a rare interview.

He said IMF Vice-President Johannes Linn would visit the Uzbek capital Tashkent at the end of October.

Currency convertibility is a vital issue for Uzbekistan, which has seen investment levels drop, debt levels rise and economic growth slow after controls were imposed in 1996. The central bank rate is now 299 sum to the dollar while the currency trades on the black market at about 800.

CAUTIOUS ON REFORM

Uzbekistan has made tentative attempts to dismantle the system, fearing sudden reforms could trigger a spike in inflation in the country of 24 million, but economists say faster action is needed. The IMF has said international lenders could put together a package of up to $700 million for Uzbekistan to cushion the effects of the change, but Azimov said initially only $50 million would be needed for balance of payments support.

Economists say that Uzbekistan has run down its hard currency reserves, reduced imports and borrowed heavily to ease pressure on the balance of payments. But Azimov said there was no danger Uzbekistan would default on its debts.

"Uzbekistan is one of the most disciplined borrowers -- never have we delayed or restructured debt repayments," he said but added the country would exercise caution in borrowing in future. "We are concentrating not on loans to finance the balance of payments but investment credits to modernise production and finance import substitution," he said.

Azimov said Uzbekistan would end 2000 with a foreign debt of $4.15 billion, which would drop to $3.90 billion by end-2001. The country has enough hard currency reserves to cover five months of imports, he said.

Azimov said Uzbekistan was also in talks with the World Bank on a three-year cooperation programme to reform the financial sector and privatise the country's five leading state-owned banks. He said funds were also being sought for structural reforms in agriculture, energy, medicine, education and housing. (Reuters, September 29)

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resident Ahmet Necdet Sezer will pay a visit to four Turkic republics in Central Asia between 16th and 20th October.

Tacan Ildem, presidential cabinet chief and foreign affairs chief consultant, and Metin Yalman, presidential spokesman and press counsellor, staged the weekly press conference at the presidential palace. Ildem said that Sezer attributes vital importance to improvement of relations with the Turkish republics in the Caucasus and Central Asia.

Within this framework, Sezer will visit Uzbekistan on 16th October, Turkmenistan on 17th October, Kyrgyzstan on 18th October and Kazakhstan on 19th October, Ildem noted. Ildem stad that after attending the ceremonies to mark 1,500th anniversary of the foundation of Turkistan city as honorary guest on 20th October, Sezer will return to Turkey.

Reminding the reporters that Sezer met with Uzbek President [Islam] Karimov during the United Nations (UN) Millennium Summit, Ildem said that there were some problems between the two countries in the past but that the meeting in New York was a milestone in the bilateral relations. Ildem stressed that Sezer believes that the relations between the two countries can be further improved.

Pointing out that Turkey attributes importance to struggle against terrorism, Ildem said that Turkey is determined to help the regional countries in this struggle. Uzbekistan was uneasy about this issue, Ildem said, adding that contacts in technical level continue to help this country.

When asked whether or not an agreement will be signed with Uzbekistan during Sezer's meeting, Ildem said that he cannot give any information about this issue at this stage. Ildem added that Czech Republic [President] Vaclav Havel will pay a visit to Turkey as the official guest of Sezer between 10th and 12th October. (Turkish News Agency Anatolia, September 30)

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