SOVIET UNION EASTERN EUROPE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP79T00865A001700230001-9
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 11
• Document Creation Date: December 15, 2016
• Document Release Date: August 12, 2004
• Sequence Number: 1
• Publication Date: September 10, 1975
• Content Type: NOTES

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NA
(,r)-'71F~ HOUE
Soviet Union
Eastern Europe
Secret
x. 70
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September 10, 1975
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SOVIET UNION - EASTERN EUROPE
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CONTENTS
September 10, 1975
Soviets Toughen Law on "Parasitism".
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Bulgaria: The State of the Nation--
More Work, Less Fun . . . . . . . . . . . . . 4
Soviets Borrowing More Eurodollars .
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Soviets Toughen Law on "Parasitism"
The regime has recently removed a loophole
from the so-called "parasite" law, which will fa-
cilitate conviction of persons deemed to have no
steady employment. The practical effect of the
change remains to be seen; the "parasite" law is
but one of an array of measures used to control the
troublesome dissident and non-dissident fringes of
Soviet society--and most of these measures are ap-
plied arbitrarily. Plugging the loophole, however,
does improve the credibility of the legal threat
and could thus be another in a series of measures
designed--among other things--to discourage Soviet
citizens from applying for emigration. Those who
do apply routinely lose their jobs.
The new law, published on August 14, alters
Article 209 of the Russian republic's criminal code
by adding a provision that any person "leading a
parasitical way of life for a prolonged period of
time" is liable to a one year sentence in jail or
labor camp. The net effect of this provision, to-
gether with some earlier changes in the language
of the relevant article, is that persons charged
with parasitism can no longer take refuge in the
failure of the prosecution to demonstrate willful
refusal of an order to accept work assignments.
Many such persons often accepted assigned jobs for
a short time and then quit, thus buying time be-
fore repeating the cycle.
If discouragement of emigration applications
is indeed one of the new law's goals, it may go
hand in hand with the legislation published in
May that imposed a higher tax on cash remittances
from abroad The latter law,
effective next January 1U appears designed to
September 10, 1975
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reduce the net amount of external financial support
received by dissidents, activists, and others--
mostly Jews--whose applications for emigration have
resulted in loss of employment. The recent amend-
ment to the "parasite" law may thus be another seg-
ment of the legal circle being drawn around these
elements of Soviet society.
September 10, 1975
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Bulgaria: The State of the
Nation--More Work, Less Fun
Bulgarian Premier Stanko Todorov's national
day speech on Monday reaffirmed Sofia's authoritar-
ian approach to domestic policy. It also provided
the first public indication of concern over the
state of the economy.
Addressing a group of high-level party and gov-
ernment officials, Todorov began with the usual
obeisance to the Soviets and indicated Sofia would
continue to follow in Moscow's footsteps.
Todorov nevertheless showed some sensitivity
to the dissatisfaction of Bulgarian nationalists
with the regime's slavishly pro-Soviet stance,
stating that current policies are "no negation of
the 13-century history of the Bulgarian state." He
also implied that the Bulgarian party had solved
some of its special problems without Soviet assist-
ance.
Todorov devoted the main part of his address,
however, to a less-than-rosy economic forecast. He
places at least partial blame on Western inflation,
which Sofia has heretofore maintained did not affect
its domestic economy. Todorov failed to mention
the impact of higher Soviet prices for raw materials,
especially oil. Bulgaria is the only East European
country that has not announced the price hikes which
took effect in January, but some spokesmen have
privately professed not to be concerned over any
possible repercussions.
Todorov again called for greater discipline in
order to increase labor productivity and sustain a
high rate of economic growth. The regime will con-
tinue its campaign to increase shift work to compensate
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for the five-day workweek. He also confirmed that
high-level personnel changes over the past few months
were made to improve economic efficiency and planning.
Although praising recent successes, Todorov added
that some perennially weak sectors, such as housing
and consumer services, continue to be a "serious
cause of concern and alarm."
The Premier had other bad news for the consumer.
He stated that "exaggerated consumer aspirations and
petty bourgeois attitudes do not become socialism"--
words that surely will not be met with enthusiasm.
Todorov may be preparing the public for a slowdown
in the growth of consumer goods and for possible
consumer price rises.
Todorov praised Sofia's "dynamic foreign policy"
and said that the personal contribution of party-state
leader Zhivkov has "enhanced the prestige of our
country." On Bulgarian-Yugoslav relations, Todorov's
remarks were conciliatory. He singled out Zhivkov's
talks with Yugoslav President Tito at the Helsinki
summit, noting they would lead to increased bilateral
cooperation.
September 10, 1975
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Soviets Borrowing More Eurodollars
Moscow is turning more and more to the Eurodollar
market to finance a hard-currency trade deficit that
could run as high as $3 billion this year.
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If the loan materializes, it will be the fourth
time in the last ten months that Moscow will have
tapped the Eurodollar market. The $800 million raised
by the four loans will reduce the pressure on Moscow
to sell gold in a market depressed by the International
Monetary Fund's decision to reduce its gold holdings.
If the Soviets use the Eurodollar loans this year,
they would need to sell only $7,00 million in gold to
cover a $3 billion deficit. Moscow may have already
earned some $600 million from gold sales through
July.
September 10, 1975
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