On 27 January 1993, the Tirana District Court, after a three-week judicial investigation, found the defendants Nexhmije Hoxha and Kino Buxheli guilty. It found the defendant Nexhmije guilty of misappropriating state property on a large scale and sentenced her to 9 years’ imprisonment. Kino Buxheli, meanwhile, was found guilty of abuse of office and sentenced to 4 years’ imprisonment. Democracy is tolerant. RD CORRESPONDENT

— Aleksandër Meksi, Chairman of the Council of Ministers of the Republic of Albania — After nine months of Democratic Party government, if we were to look back at the road travelled, we would see results as well as failures. Their analysis has been made, and I would like to devote only a few lines to addressing more fully the problems that must be resolved in the near future. One of the government’s main tasks was the functioning of institutions, considered in both aspects of reform: institutional and administrative. During the past months, the government has drafted a considerable number of laws and amendments to laws in force in order to create the necessary legal foundation for a democratic state and a free-market economy. These laws have been drafted with the help of foreign advisers, drawing on domestic experience and that of other countries in transition. We can now say that, with the drafting of the laws currently being prepared as well (on the bankruptcy of private entities, «anti-monopronat» and «anti-monopoly»), a complete and coherent framework is being created for the progress of economic reform. As regards administrative reform, work is proceeding along two lines: the creation of administrative structures and working methods that make economic reform possible, and the removal from leadership positions of those identified as lacking commitment and as having an anti-reformist, anti-democratic and corrupt mentality. On the first front, we are working together with World Bank experts, and we believe that from the beginning of the second quarter we will be able to make a concrete assessment. As for the other aspect, continuing the work begun intensively at the previous meeting of the National Council, work is under way to deepen reform in all ministries. Alongside the planned reductions, following the reform approved here (5–10 per cent), a number of employees are being removed whose presence in the ministries is unnecessary, unhelpful and, in many cases, harmful. Coordination between the ministries and the Tirana branch, and a reasoned assessment of each case, are essential and have produced results. The other side of the problem—bringing in qualified staff—remains a task for the future. Preparing capable personnel, professionally qualified and committed to anti-communist reform, is a decisive task for us. We must also make use of every possible avenue, including bringing experts here. Economic reform, our fundamental task in the economic and political sphere, is progressing successfully, but also facing objective difficulties that must be overcome at all costs. This is not the place to say how deeply ruined and disorganized the government we inherited was, or how many obstacles are being put in the way of reform. Nevertheless, by striving to put the DP programme into practice, reform has begun and is generally proceeding well, with the support and encouragement of all international financial institutions, despite the difficulties of the region’s political situation. Following the stabilization of the economy amid the crisis, the foundations were laid for the structural reform of the market economy. The reform has certainly created difficulties for certain groups, but we must ease their suffering and sacrifices through a measured social policy that does not encourage parasitism. Other groups in the cities are living better, as is most of the peasantry. The number of people working has increased considerably; the basic budget targets have been met, with unprecedented positive results in the tax, revenue and customs systems. We are completing the drafting of the economic development programme for 1993 and the agreement with the IMF for this year, and are also preparing for the medium-term agreement with the IMF, which will be drafted during the spring. These represent a step forward for economic reform that is both important and difficult. 1993 is a decisive year for Albania. For economic reform, we must achieve the objectives set for the budget. The future of economic reform in Albania will depend on these results. During the past year, so to speak, we laid the foundations of reform and of a new structure for the Albanian economy. This year, we must build on them through the reorganization of the state’s institutional structure, the necessary laws, the start of investment, and so on. But when speaking of the importance of reform, we must also bear in mind our duties as a party in supporting it. I believe it is essential that we do more work at the grassroots, where we are the implementers of reform; that we build the broadest possible consensus with those forces that support our electoral programme and with the trade unions, which have a role of their own. I believe it is necessary, if not indispensable, for a broad consensus of support to be achieved in Albania as well, so that reform can be carried out in this decisive year. Clear and realistic dialogue and debate with them should enable us to govern calmly during this decisive period on the basis of an approved reform plan, including in parliament, without strikes that seriously damage the economy, Albania’s credibility, and so on. (Continued on page 2) Since the previous meeting of the National Council, work has been under way to deepen reform in all ministries. Alongside unprecedented staff cuts and continuing the reform approved here (5–10 percent), a number of employees are being dismissed branch, and an evidence-based The other side of the problem is recruiting new personnel, which must be done according to strict professional criteria and a proven commitment to reform. We must acknowledge that we have a very serious problem that will affect the future of the reform and the work of our central institutions: the availability of personnel trained for these new duties. I believe that both the government and the Democratic Party should do more, through short-term courses or postgraduate studies. These should include sending people abroad for clearly defined training programmes, to prepare leaders not only for the future, but also for today and the near future. As for the justice system, only minor improvements are currently under way, and we believe that the initiative launched a month ago for short-term courses will bring considerable improvements in the coming months. The government has shown its readiness to organize these courses despite any difficulties. February will be decisive for implementing the planned measures to reform the Academy of Sciences and its institutes, and then the network of scientific institutes under the ministries: their reorganization, alongside the process of selection of this the process of selection

SALI BERISHA: «I am deeply grateful to the IMF and to all the international institutions that have helped Albania overcome the difficulties of this reform.» On 26 January, the «Letter of Understanding» between Albania and the IMF was signed in Tirana. The document, signed by the IMF Executive Director, Mr Mishel Kamdesy, was also signed at the Presidency by President Berisha. Before signing this document, Mr Berisha received and met with the IMF delegation headed by Mr Markus Rodlajer, Head of the IMF Mission for Albania. During the meeting, after thanking the IMF and the other institutions for the assistance they are providing Albania during this difficult period for the progress of reform, Mr Berisha presented several requests relating to the current difficulties of the reform. Mr Berisha thus asked the IMF for help in addressing the situation of pensions, which are very low. Mr Berisha also requested greater assistance for people receiving welfare, who, according to President Berisha, should be put to work as soon as possible. The meeting also discussed ways of introducing a 40-hour working week (that is, two days off per week for each person). Mr Rodlajer first thanked the government and people of Albania for their understanding of the hardships caused by the reform, and for recognizing that reform is the only road to stabilization. Mr Rodlajer then assessed the first six months of reform and described them as successful. These successes pave the way for the implementation of the second phase of reform. — signed, as was the agreement between the Albanian government and the IMF for the second phase of the economic stabilization programme — At the end, Mr Rodlajer once again emphasized the support of the IMF and other international organizations. After the meeting, Mr Berisha made the following remarks to the newspapers: I am very pleased that we have just signed the letter of understanding with Mr Kamdesy and are beginning the second phase of reform. the international institutions that have helped Albania overcome this reform. But I am also deeply grateful to the Albanian citizens who, with their great courage and nobility, are bearing the hardships of the reform, which will undoubtedly create a future for Albania. (Continued on page 4)

LOOK AFTER THE ELDERLY! It breaks your heart to see, day after day, dozens and dozens of people near the savings bank counters. They can wait for 3–5 hours. And when they do not get their work done, they have to start all over again the next day. What is more, lately, in the dead of winter, they are not even let inside. Outside, in the cold, the poor pensioners wait hunched together, while an employee keeps order (this should not be necessary). How much longer will our pensioners continue to be tortured like this? And do the savings banks—the Savings Bank and those above it—which have so far remained in the shadows, not feel it is their duty to free the elderly from this mistreatment? THE OBSERVER

Mr Editor-in-Chief, Your newspaper of 14 January 1993, in one of its articles, described me as a criminal and, wishing to reply, made ironic remarks about what has been written about me; in this way it called into question those fundamental qualities that make up my activity, and with my aims I have not let any party or their newspapers attack me without a response. On the other hand, I think that anyone who picks up a pen to write, just like the newspaper that publishes it, is prompted by what they feel or by what interests them. These are the main motives... [text continues beyond the edge of the image] what interests them. These are the main motives, as I see them. I am not in a position and am unable to analyze the matter and reach conclusions about the motives that led one person or another to write about me, but in the case of your newspaper, as far as I am concerned, I believe neither of the basic motives is justified. I do not know you, but that does not prevent me from offering my best wishes. May things always go well for you, and may the newspaper always tell the truth. Tirana, 16.01.1993 AREDIN SHYTI P.S. To all the living victims and the families of the deceased victims of Aredin Shy[t]i, we put the question: Is this man a criminal or not? Let us answer it together. THE EDITORIAL BOARD