HL Deb 09 March 1994 vol 552 cc103-4WA
Lord Kennet

asked Her Majesty's Government:

Whether advice was conveyed from the International Monetary fund (IMF) to the Russian Government that wages due to the armed forces, to the miners, to workers for state radio and television organisations, etc. should not be paid, and what was the IMF's understanding of the likely social and political consequences of this advice; and

What were the conclusions of the recent meeting between an IMF delegation and the Russian Finance Ministry in Moscow to study the state of the Russian economy.

Lord Henley

The IMF and Russian authorities are holding ongoing discussions with a view to reaching agreement on an economic programme which could form the basis of further support from IMF resources. The details of these negotiations are confidential to the IMF and Russian Government. At their meeting in Kronberg on 26 February, the Chancellor, other G7 Finance Ministers, the European Commission and Central Bank Governors urged the Russian Government to strengthen its efforts to achieve macroeconomic stabilisation and to establish a credible programme of social support. They also encouraged the IMF and the World Bank to reach agreement with the Russian Government on reform programmes, including support to address social hardships.