Ukraine's ambassador to the U.S. updates community leadership (03/02/97)

Ukraine's ambassador to the U.S. updates community leadership

by Roma Hadzewycz

NEW YORK - Ukraine's ambassador to the United States met with some 60 leaders of Ukrainian American community organizations and institutions, including the press, on Sunday, February 9. It was the fourth in a series of meetings organized during the past two and a half years, as Ambassador Yuri Shcherbak put it, to promote "discussions of our mutual problems and joint efforts."

The meeting, the first such gathering held in New York City, as all prior sessions had taken place in Washington, was hosted by the Ukrainian Institute of America.

The ambassador began the meeting with a presentation that focused on three main topics: new developments in Ukraine, the status of Ukrainian-American relations, and cooperation with the Ukrainian American community.

Without a doubt, the most significant development in Ukraine during 1996 was adoption of the new Constitution, said Dr. Shcherbak. Another very significant development, he observed, was the sea change in thinking in Ukraine as there was a complete turn away from Moscow-centrism; in its place came Kyiv-centered thinking.

As an example of this turnaround, the ambassador cited the fact that during 1996 "more than 100 delegations from Ukraine passed through our Embassy, and each delegation included young people who do not think of themselves outside of the Ukrainian government context."

He pointed out also that discussions of the "Eurasian space" no longer figure in Ukraine's foreign policy and that the country's orientation is toward Europe: "We see ourselves as an integral part of Europe."

With regard to NATO's expansion eastward, Dr. Shcherbak explained that "Ukraine welcomes expansion." He added, "We will have 7,500 kilometers of mutual borders with member-states if the next tier become members." He pointed out that Ukraine had asked for a non-nuclear zone in the new NATO member-states; its proposal was adopted by NATO in December 1996.

While Ukraine is seeking a "special agreement" with NATO, "we support Russia's relations with NATO, but we do not want to be left in the gray zone of security," he underlined.

Ambassador Shcherbak noted how Ukraine's international relations had moved forward: to date, 140 countries recognize Ukraine; there are 68 diplomatic representations in Ukraine, along with 350 diplomats and 200 foreign journalists; Ukraine has diplomatic representations in 55 countries around the globe (Mexico will soon become the newest addition to that list).

On the subject of Ukraine's economy, the ambassador said the hryvnia, practically speaking, has become a convertible currency and that the people have now started to save money because they have confidence in the new currency. Other achievements he cited were: the completion of small- and medium-scale privatization (some 36,000 enterprises); the existence of 200 commercial banks in Ukraine; and the growth of foreign investment from $180 million in 1993 to $366 million in 1994, $750 million in 1995 and $1.5 billion in 1996; as well as the increase in foreign trade.

There are problems as well: privatization of large-scale enterprises (approximately 6,000 such entities) has not yet begun, the shadow economy has grown to somewhere between 40 percent and 50 percent of the country's economy; and Ukraine continues to have a massive debt to Russia.

Ambassador Shcherbak informed his audience that at the recent international economic forum in Davos, Switzerland, President Leonid Kuchma had discussed the possibility of Germany restructuring Ukraine's $3.5 billion debt to Russia. This, the speaker noted, would be very beneficial as Ukraine would then be rid of what is seen as a "political debt" to its larger and more powerful neighbor.

Another problem is the lack of a budget for 1997, Ambassador Shcherbak said, adding that President Kuchma has said he will not sign the budget without reform of the tax system; that reform is to decreases taxes - which currently are so steep that they force many businesses into the shadow economy - to a maximum of 35 percent.

Importance of strategic partnership

Turning to his second topic, U.S.-Ukraine relations, Dr. Shcherbak emphasized that "today we are on the level of a strategic partnership with the world's only remaining superpower," and this status is delineated in various agreements. Only six other countries, he explained, enjoy strategic partnership relations with the U.S.: Canada, Mexico, the United Kingdom, Israel, Japan and Poland.

The ambassador also pointed to three serious blemishes on Ukraine's record from the point of view of the United States.

First he cited allegations of a "Libyan connection" via which Ukrainian missiles were purportedly sold to Libya. Though there were "some discussions" by government representatives with Libya, Ambassador Shcherbak underscored that no agreement to provide missiles was ever signed, no missiles were sold, and all contacts were severed on the directive of President Kuchma. Nonetheless, Ambassador Shcherbak said, the damage was done as Ukraine's relations with the U.S. Congress were strained.

The second and third "blemishes" noted by the ambassador were the lack of laws in Ukraine to support the development of business, and corruption, which he described as "a leftover from Soviet days when there were no laws" to prevent such abuses. On a positive note, Dr. Shcherbak pointed out that President Kuchma had just announced Operation Clean Hands to weed out corruption from government bodies and that an FBI-type body, the Bureau of National Investigations, would soon be created in Ukraine.

Relations with Ukrainian Americans

In this section of his exhaustive report, Ambassador Shcherbak stated that he is well aware of the divisiveness that exists within the Ukrainian American community. However, he underlined, "We do not and will not interfere in the internal affairs of your community. We do not wish to become involved. Your unity - or disunity - is your affair."

He continued, "Regardless of whether there is one organization or 200 organizations here, there is only one Ukraine. Thus, there is a basis for cooperation on mutual goals."

"We ask that you support Ukraine's independence," he said. "Remember, by supporting Ukraine you are supporting a strategic partner of the United States."

He also cautioned his audience to have "a pragmatic, not a romantic attitude" toward Ukraine. There is a "harsh reality" in Ukraine that should be studied. That is why, he said, "we would like to see more analytical articles in the press about the economy, sociological problems, etc."

The ambassador also had several other requests of the Ukrainian American community:

He suggested more visits by Ukrainian American groups to regions of Ukraine other than Kyiv and Lviv. One avenue for such contacts is inter-regional exchanges, such as those that have occurred between Florida and Crimea.
He noted that, though Ukrainian Americans may not have a lobby in Washington, they can work with their congressmen and help Ukraine establish contacts with key officials in their areas.
He expressed disappointment that there was not more reaction by the Ukrainian American community to recent Russian statements regarding Sevastopol, located in Crimea, and the question of borders with Romania.
He informed the audience that the Embassy of Ukraine wants to create a George Washington room in its building, for that is where Washington signed historic documents creating the District of Columbia. The ambassador requested donations for this project.

After the ambassador's address, the floor was opened to questions from community activists. These covered topics ranging from the recently imposed tax on humanitarian assistance arriving in Ukraine (see story on page 1) and the state of Ukraine's broadcasting to the anniversary of Akcja Wisla (the forced resettlement of Ukrainians living in Poland) and the status of Ukrainian Orthodox Churches in Ukraine.

During his stay in New York, Ambassador Shcherbak also met separately with representatives of the Ukrainian American Coordinating Council and with the council of advisors to the Ukrainian Congress Committee of America.

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