DEPARTMENT OF STATE DAILY PRESS BRIEFING DPC #48 TUESDAY, APRIL 6, 1993, 12:55 P. M. (ON THE RECORD UNLESS OTHERWISE NOTED) MR. BOUCHER: Good afternoon, ladies and gentlemen. I'd like to do a couple things off the top. The first is, we revised the schedule this morning, so I just want to make sure you've noticed that we'll have a photo op of the Secretary and Egyptian Foreign Minister Amre Moussa this afternoon. Pickup time is 1:40 p.m., C Street lobby. The photo op is at 2:00 o'clock. Second of all is, I would like to make a statement by Secretary Christopher on the recent fighting in the area of Nagorno- Karabakh. Last week's offensive by ethnic Armenian forces in the Kelbajar District of Azerbaijan has threatened efforts to resolve the Nagorno-Karabakh conflict peacefully and has created additional suffering for the innocent civilian population of the region. The United States Government condemns this offensive and has expressed its deep concern about the offensive to the highest level of the Government of Armenia and to representatives of the Nagorno-Karabakh Armenians. We have called for the prompt and complete withdrawal of all ethnic Armenian forces from the Kelbajar District. The United States Government remains convinced that the CSCE- sponsored Minsk Group negotiations remain the best hope for a peaceful resolution of the conflict. We call upon all parties to the conflict to refrain from seeking a military solution and to return in good faith to the negotiating table. With that statement, I'd be glad to take your questions. Q Do you have any comment on the remarks by President Milosevic of Serbia, praising U.S. policy towards them? MR. BOUCHER: The President has commented on that, I think, already twice this morning, most recently in his press conference with President Mubarak. Certainly, as the President said, what Milosevic appears to be trying to do is to play politics and try to thwart the effort to have new sanctions. The President has once again stressed his commitment to toughen up the sanctions if the Serbs don't agree to stop the killing and negotiate a solution. In fact we have been meeting with the Security Council. We met yesterday informally to discuss a draft text of the new resolution. We're continuing our consultations on that subject, and we expect to move forward. We're supporting a resolution that calls on the Serbs to reach a peace agreement and that tightens economic sanctions against Serbia-Montenegro. Q On that, Richard, did the Russians ask for still another delay on this rather "Caspar Milquetoast" resolution? MR. BOUCHER: Well, first of all, I would not describe the resolution as "Caspar Milquetoast." The resolution is one that will toughen the economic sanctions on Serbia-Montenegro, which is the prime supporter of the Bosnian Serbs. As you know, it's our intention to go ahead with tighter and tighter economic sanctions if they fail to join in the search for peace. It's a resolution that we continue to work with other members of the Security Council. Q But did the Russians ask for a seven-day delay on this one, too? I think they indicated that they had. MR. BOUCHER: I think they indicated that they wanted some delay. I'm not sure exactly what the time period would be. Q In view of the sensitivities in Russia on this particular resolution and the approach of the April 25 referendum, is the United States willing to have a delay until after the April 25 referendum? MR. BOUCHER: Mark, we continue to work this resolution up in New York. We want to move forward on this resolution. As you know, we've cooperated closely with the Russians in the past. We've cooperated on a series of steps to try to get the parties to reach a peace agreement. We've cooperated in attempts to use our influence with the parties. We've cooperated on the imposition of the enforcement of the "no-fly" resolution, and we'll continue to work with them and cooperate with them on this resolution. I don't have a specific timetable at this point for its passage, but certainly the effort of all of us is devoted to trying to bring pressure on the Serbs so that they understand that if they fail to reach agreement, if they fail to negotiate seriously, and if they fail to abide by the commitments to stop the fighting, they will face more and more pressure from the international community. Q Do you have any comment on the proposal by Vitaly Churkin -- late last week, I believe it was -- to encourage all parties to sign the existing agreement with the prospect that the specific provincial borders could still be negotiated afterwards? MR. BOUCHER: I didn't see that proposal. Certainly, Mark, our efforts and the Russian efforts have been devoted to trying to make the Serbs negotiate seriously on the papers, the documents, that are in New York that the other two parties have already agreed to. The other parties would obviously have to agree to anything; and it's for them to decide, not us. Q Are you discussing with the Turkish Government Armenian attacks on Azerbaijan? MR. BOUCHER: Yes, certainly. They're concerned about it, and we are, too. Q I have another question: Last week Secretary Christopher, he labeled Iran as an international terrorism -- a main source of international terrorism -- and he suggested the U.S. is planning to implement some economic sanctions against Iran also. But last week the Washington Times reported that Armenia and Iran signed an agreement about some pipeline and also exchanging scientists, a top- level software or computer scientists exchange. Do you have any comment on it? MR. BOUCHER: I'm not aware of this agreement. As far as the situation goes with Iran, Iran is and has been for many years on our list of state sponsors of terrorism; and that makes them subject to a whole variety of sanctions from the United States, basically in the areas of high technology. In addition, there are other restrictions on trade and commerce that we have with Iran. And we have been working with other governments to try to ensure that those kinds of things are made more universal. The specific comments the Secretary made, I think, have to do with World Bank loans and lending by international financial institutions; and we also discussed that here last week. Q On Bosnia again, Mr. Christopher apparently said that lifting the arms embargo for the Muslims would result in a more level playing field, and the British Foreign Secretary responded by saying it would result in a more level killing field. Is a split developing between the United States and Europe with the United States wanting tougher policies? MR. BOUCHER: I guess I would question the word "developing." There's a difference on this issue. There has been in the approach to this. Secretary Christopher has been very up front in talking about the considerations. We certainly understand the concerns that are raised by other governments when it comes to considering the arms embargo, and he's explained those many times. He explained them again last night on television. We understand those concerns. At the same time, we do think that if the Serbs continue to fail to participate in the process of trying to reach agreement and fail to stop the killing, we will have to look for other measures. We've made very clear -- the Secretary has made very clear -- that we think the arms embargo is something that we would raise and we think ought to be considered. At the same time, we understand the concerns that others have and that they have raised publicly. It's a very complicated and difficult issue. It will be when we talk to the other countries about it. But we do think it's something that ought to be raised and considered if the Serbs continue their depredations in eastern Bosnia and if they continue to fail to participate in the search for peace. Q On Russia, Richard. Forgive me if this question was asked yesterday. The President intended to ask for assurances from President Yeltsin on the Russian economy; and he had certain specifics in mind on credit, inflation, and so forth. And on those assurances the rest of the package to be presented to the G-7 were based. Can you tell us if the President got those assurances and if work is now going forward on the second part of the package to be presented to the G-7? MR. BOUCHER: John, I don't have any additional information on that. The President, I think, did address those concerns at the press conference that he did with President Yeltsin. He made clear that there were a lot of things in the area of reform that the Russians had to do. But he made clear that we would also be looking at pursuing the efforts that we had undertaken, in addition to the things that we announced over the weekend, and that we were looking at what further measures we could take based on the conversations that we had with President Yeltsin and what further measures we could develop for discussion around the time or at the G-7 in Tokyo. So, yes, we are working on the second tranche. Q That is, even without getting the assurances from President Yeltsin, we're working on the second tranche? MR. BOUCHER: I think the President made clear that overall there are things that the Russians need to do in the area of economic reform. He said that there are things that they have to do. But there are also things that we can do, such as the things that we announced over weekend that help further the process of reform and help build the momentum. Q But, Richard, saying that there are things the Russians need to do and getting the assurances from the Russians that they are going to do them are two different things. Did we get the assurances? MR. BOUCHER: John, I do not remember that the President ever said -- and you can correct me if you have the quote somewhere -- but I do not remember that the President said that we had to have specific assurances from the Russians before we could go forward with some kinds of aid. Q No, the President didn't say that; but two senior Administration officials, briefing reporters before the summit, said that they were necessary. MR. BOUCHER: You might ask those officials, then, if they got the assurances. I don't have any further de-brief on the President's discussions. Q There is a report this morning that the Ex-Im Bank is going to loan $2 billion for some sort of transaction involving Russia. Do you have anything? MR. BOUCHER: The Ex-Im Bank apparently has been -- well, the Ex-Im Bank has been negotiating and discussing with Russian authorities an oil and gas framework agreement that could finance up to $2 billion in U.S. equipment sales and services to the Russian energy sector. I'm sure you can get more details on that from the Ex-Im Bank. Note that in this sector also we announced at the Vancouver summit an energy and environment initiative which will provide $38 million in assistance; $10 million of that will focus on reform efforts in the oil, gas, and coal sectors. Q Do you have anything on Japanese Foreign Minister Watanabe's decision to step down because of his health condition? MR. BOUCHER: Foreign Minister Watanabe has been an able and effective representative of Japan, demonstrating a strong commitment to the U.S.-Japan relationship. Secretary Christopher had very productive discussions with Minister Watanabe during his visit to Washington in March*. We extend our best wishes to him for the recovery of his health. We worked well and closely with Mr. Muto when he was the Minister for International Trade and Industry. We congratulate him on his appointment, and we look forward to a constructive relationship with him as Foreign Minister. Q Richard, do you have anything new on Haiti, on Caputo's mission? * Correction: The visit and meeting were in February. MR. BOUCHER: No, I don't. I think we want to leave it to Mr. Caputo to describe the status of his talks and the status of his mission. We, of course, have been in close touch with him. He met yesterday with Ambassador Pezzullo, our Special Advisor on Haiti, to discuss the situation down there and the status of the negotiations. Q Richard, on Iran, Minister Kozyrev said on one of the talk shows yesterday that Iran could not be termed an "international outlaw" because action against it had not been taken by the U.N. Security Council. Is there any consideration at this point of a move through the Security Council to take a tough stand against Iran? MR. BOUCHER: I don't know, Mark. I haven't heard of any resolutions being tabled or anything like that. But you know about our concerns about Iran, concerns about its support for terrorism, its human rights practices, and concerns in the proliferation area as well. We've worked with other governments in a variety of international organizations to bring those concerns to the fore and to try to see that people's policies toward Iran take into account those factors. Q Do you have anything about Cyprus -- the last week meeting in New York? MR. BOUCHER: No, I don't. Q Thank you. MR. BOUCHER: Mark has one more, I guess. Q Do you have anything on the case of a Baltimore Sun correspondent in Moscow who has been summoned for questioning on articles he wrote about the chemical weapons leak? MR. BOUCHER: Our Embassy in Moscow has expressed our concern about the case to the Russian Foreign Ministry. We'll continue to follow that case closely. The reporter, we understand, has hired legal counsel and will meet with Security Ministry officials tomorrow. An Embassy officer will accompany him to the meeting. That's where we are. Q Thank you. (Press briefing concluded 1:10 p.m.) (###)