CUBANET ... CUBANEWS

December 15, 2000



Castro and Putin confront the $20bn problem

By Ben Aris. Irish Independent Online. December 15, 2000

RUSSIAN and Cuban presidents Vladimir Putin and Fidel Castro yesterday agreed to breathe new life into Moscow-Havana ties but failed to resolve a major money problem - the communist island's enormous Soviet-era debt.

"There are still some problems remaining which have accumulated in the last 10 years. The Soviet Union invested a lot in Cuba's economy. This is worth billions of dollars," said Mr Putin, the first Russian leader to visit Cuba since the collapse of the USSR.

Cuba's debt to the ex-Soviet Union, inherited by Russia, has been previously estimated in Moscow at around $20bn.

But Mr Castro disputes this figure and argues in return that the damage caused to its economy by the collapse of the Soviet Union in 1991 adds up to an equivalent value.

The presidents signed a joint declaration which condemned the US trade embargo against Cuba.

Mr Putin wants to rekindle Moscow's political and economic ties with its former Cold War ally.

In addition to the bilateral trade and investment benefits for Cuba, Mr Putin is thought to want to rebuild Russia's global role.

GREAT

Meanwhile, an American businessman sentenced last week to 20 years in s Russian labour camp for spying left the country yesterday after he was pardoned by President Putin.

Edmond Pope was given Russia's maximum sentence for espionage for trying to buy Russian naval secrets. The Kremlin said he was being freed because of his poor health and the importance of relations with America.

Mr Pope (54) arrived at a US base in Germany where he will undergo medical tests on his rare bone cancer.

He announced: "It's great. I feel great. I feel good." He added that it was great to be "back in the real world". The case against him was brought by the FSB, the successor to the KGB.

Mr Pope, who had been buying information about Russia's high-speed torpedo, claimed that all the information was publicly available. His family asked for clemency because of his cancer.

After Mr Putin signed the decree, Mr Pope was taken to a Moscow airport where he boarded a special flight.

Mr Pope was the first westerner convicted of spying since the Cold War.

He had already spent eight months in prison awaiting trial.

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