• ACI Russia

08/29/1998 14:47:50 Chernomyrdin forms special group to fight crisis

MOSCOW, Aug 29 (Reuters) - Russia's acting Prime Minister

Viktor Chernomyrdin has formed a group of senior reformers with

a task to prepare urgent measures to halt the country's acute

financial crisis, a government spokeswoman said on Saturday.

The group is headed by acting Deputy Prime Minister Boris

Fyodorov and included central bank chairman Sergei Dubinin and

acting Finance Minister Milhail Zadornov.

Fyodorov, Dubinin and Zadornov are leading reformers widely

respected in the West. Two other members of the group are the

chairman of Vneshekonombank, Vladimir Kostin, and the acting

head of Russia's State Property Fund, Igor Shuvalov.

Russia is facing an acute financial and economic crisis

which many fear might have a long-lasting negative effect on

world markets and the global economy.

The International Monetary Fund, the United States and

Germany have issued tough warnings that the West will not come

to Russia's rescue if it reverses its six-year drive towards a

more open, market-based economy.

Chernomyrdin is fighting for approval in his post by the

communist-led lower house of parliament and the two sides are

working out a mutually acceptable economic policy. This has

alarmed the West but on Saturday morning the acting premier

stated firmly there would be no return to Soviet past.

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