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4 Asian states seek ADB help to go ahead with market economies
FUKUOKA, Japan. May 14: Three Central Asian republics and Mongolia vowed yesterday to press ahead with drives to develop market economies while calling for more help from the Asian Development Bank (ADB), reports AFP.
National Bank of Uzbekistan Chairman Rustam Azimov cited the "Uzbek model" for his country's transition, "distinguished by its Asian approach. which combines certain universal values such as supremacy of law in all spheres of a society with certain Asian traditions and customs."
Speaking at the annual meeting of the ADB here, he said these included "gradualism as opposed to shock therapy" and "the leading role played by state as a main indicator and guarantor of the irreversibility of reforms."
Other Asian aspects of the Uzbek model were "the priority of the economy over any ideological and political ambitions" in addition to the "social orientation in reforms to maintain people's confidence."
Kyrgyz Finance Minister Ta-laibek Koichumanov said support from donor states and in-
ternational financial institutions had prevented his country's economic decline with gross domestic product (GDP) expanding 5.6 per cent in 1996, the first increase in five years.
Industrial output grew 3.9 per cent and agricultural production was up 13.1 per cent, with the budget deficit accounting for 5.8 per cent of GDP.
While reforms stretched to "all the spheres of the economy", the finance minister said agriculture, infrastructure and human resources had been identified as the main priorities under a three-year programme with the ADB amounting to 523.9 million dollars.
Kazakhstan's Economic Minister U Shukeev said the Central Asian republic had "succeeded to overcome severe economic crisis and gained a certain macroeconomic stabilisation."
But she added that the Kazakh economy was still in recession, noting the insolvency of enterprises and a "per-sistingtpyisis" in local society.
In response, she said, tne government had launched a three-year programme to accelerate economic reforms between 1996 and 1998.
Bank of Mongolia Governor Jigjig Unenbat said his country's new government, which took office last year ending 75 years of one-party rule, had shown an "even stronger commitment to fostering the economic reform process.”
While noting that 1996 was "extremely challenging” for the Mongolian central bank, he added that "more reform actions are planned for 1997."
"The action programme of the government, approved by the parliament in November last year, envisages a whole range of government undertakings and measures to Introduce needed economic and structural changes," he said.