[Public Papers of the Presidents of the United States: William J. Clinton (1995, Book I)]
[May 10, 1995]
[Pages 670-671]
[From the U.S. Government Publishing Office www.gpo.gov]



Joint Statement on Economic Reform, Trade, and Investment
May 10, 1995

    The President of the United States of America and the President of 
the Russian Federation welcomed the significant progress made in Russian 
economic reforms and bilateral trade and investment since their last 
meeting in Washington in September 1994. They underlined their support 
for full and early realization of the bilateral economic partnership 
described in their September 1994 Washington Summit Joint Statement on 
``Partnership for Economic Progress.''

Economic Reform

    The President of the Russian Federation reaffirmed Russia's 
determination to implement firmly its 1995 economic reform program, 
including reduction of government deficits and other anti-inflationary 
measures, privatization, comprehensive tax reform, strengthening of the 
free market and integration into the world economy. The President of the 
United States of America welcomed these policies and pledged continued 
strong U.S. support for their complete implementation.
    The President of the United States of America and the President of 
the Russian Federation commended the deepening interaction between 
Russia and the leading industrial countries and the formation of the 
``Political-8,'' and expressed their hope for fruitful cooperation 
during the forthcoming Halifax Summit in June 1995.

Trade

    The President of the United States of America expressed strong U.S. 
support for Russian accession to the World Trade Organization (WTO), and 
both Presidents agreed to cooperate on accomplishing this objective.
    The President of the United States of America and the President of 
the Russian Federation welcomed the doubling of bilateral trade between 
1992 and 1994 to a level of $5.8 billion. They pledged that as trade 
continues to expand both countries would work together to resolve trade 
frictions when arise in a mature trade relationship. They also agreed 
that bilateral trade and foreign and domestic investment would benefit 
from stricter enforcement of intellectual property rights and they 
agreed that both governments would engage in broader cooperation in this 
area. The President of the United States of America reiterated his 
government's recognition that Russia is an economy in transition to a 
free market.

Investment

    The President of the Russian Federation informed the President of 
the United States of America that his government has issued a decree 
permitting full implementation of the Oil and Gas Framework Agreement, 
under which the U.S. Export-Import Bank can proceed with $1.3 billion in 
approved loans and authorize $700 million in requested loans for the 
important oil and gas sector. The two Presidents also undertook to 
accelerate implementation of the $750 million Eximbank-Gazprom financing 
facility.
    The President of the Russian Federation noted the importance of the 
IL-96M project to civil aviation cooperation between the two countries 
and the President of the United States of America confirmed that the 
U.S. Export-Import Bank is reviewing a financing application for this 
project.
    The two Presidents welcomed progress made in negotiations between 
American and Russian

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companies on production sharing agreements and look forward to the 
signing of these agreements within the next few months, as well as the 
passage of the Law on Production Sharing and the ratification of the 
Bilateral Investment Treaty.
    The President of the United States of America and the President of 
the Russian Federation welcomed the commitments of the Overseas Private 
Investment Corporation of over $2 billion in loan guarantees, insurance 
and investment funds, and of the U.S. Trade and Development Agency of 
over $35 million for feasibility studies on 87 separate projects in the 
Russian Federation. They looked forward to the opening in Moscow in June 
of a new Russian Business Information Service for trade with America, 
with assistance from the U.S. Government.

Future Mandate

    The President of the United States of America and the President of 
the Russian Federation commended the achievements of the Joint 
Commission for Technological and Economic Cooperation (the Gore-
Chernomyrdin Commission) and, stressing their commitment to a strategic 
economic partnership, requested recommendations from the Joint 
Commission on further moves to strengthen and expand bilateral trade and 
investment and market access, and cooperation in the areas of energy, 
space, science and technology, health and agriculture and conversion of 
defense production facilities.
    Noting the importance of regional development, the two Presidents 
announced the inaugural meeting in Seattle this June of the working 
group between the private and public sector leaders of the Russian Far 
East and the U.S. west coast, based on the initiative of the President 
of the Russian Federation in Seattle in September 1994.
    The President of the United States of America and the President of 
the Russian Federation noted that a strong basis for economic, 
commercial and technological cooperation between the two countries has 
been created, which is aimed at supporting the transformation of the 
Russian economy and Russia's full integration into the world economy. 
The two Presidents expressed strong support for these historic goals.

Note: An original was not available for verification of the content of 
this joint statement.