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Where there is no law, but every man does what is right in his own eyes, there is the least of real liberty
Henry M. Robert

Italian Pres. SCALFARO: "Italy understands Ukraine"

2 February, 1999 - 00:00

By Viktor ZAMYATIN, The Day
President Oscar Luigi Scalfaro of Italy might perhaps have chosen a better
time to visit Ukraine: Kyiv was living on January 28 through a diplomatic
time of troubles caused by the visit of the Canadian Prime Minister and
Leonid Kuchma's departure for the Davos forum. It is clear, however, that
presidents never come calling just without reason.

"Italy understands Ukrainian problems. Now they must be understood by
IMF and the Word Bank. The IMF must support Ukraine the way it did Russia,
and the EU the way it did Rumania during the coal-miners' march," said
Mr. Scalfaro after talks with Mr. Kuchma, guaranteeing Ukraine the "concrete
and true" friendship of Italy. The Iveco Company, part of Fiat, plans to
expand its presence in Ukraine, namely, at the Kremenchuk automotive factory.
As far as is known, the tentative intention is to increase the Italian
investment by $200 million. However, these intentions will remain just
that if it is simpler and cheaper in the future to import a small truck
or minivan direct from Italy than assemble one in Kremenchuk with Ukrainian-made
components. This topic was high on the agenda during Mr. Scalfaro's previous
visit in October 1996 and could remain so for a long time.

Another subject of long discussions seems to be the destiny of the Lysychansk-based
LINOS oil refinery, once invested in by Italy and now in fact standing
idle. The Russians finally refused to buy 40% of its stock well before
the August crisis. It is anybody's guess how to repay an over $100 million
loan. There have been no radical changes for the better since the two presidents
met last.

This means that talk about Italy's possible future support of signing
an association agreement between Ukraine and the European Union could remain
just talk. All discussions of increased investment will also bear the reservation,
"perhaps, in the future." Yet, Mr. Scalfaro's visit also shows that all
is not lost, that Rome retains some expectations. Indeed, no other Western
leader has twice visited President Kuchma's Ukraine. That the two presidents
had little time only shows that good friends can agree to everything even
in a few minutes.

 

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