Press Conference by the Press Secretary March 3, 1998

Press conference announcements
1. Adoption of United Nations Security Council Resolution 1154
  Foreign Ministry Spokesman Sadaaki Numata: The Government of Japan welcomes the fact that the United Nations Security Council resolution concerning the situation in the Republic of Iraq was adopted unanimously on 2 March at 20:00 -- that is 3 March at 10:00, Japan time. Minister for Foreign Affairs Keizo Obuchi issued a statement on this. This resolution was cosponsored by Japan and the United Kingdom, and its content is very well-balanced. The Government of Japan has been of the view that diplomatic solution is the best option for resolving the current issue concerning Iraq, and in cooperation with the United Kingdom, has made utmost efforts toward adoption of this resolution. In the course of making these diplomatic efforts, Japan had close consultations with all the member countries, and is very pleased to see that these efforts bore fruit. However, it is most important that unconditional and unrestricted inspection by the United Nations Special Commission (UNSCOM) will be put into practice as soon as possible, in accordance with the present resolution. The Government of Japan will continue to closely watch the situation.
2. Study program for government officials of the Russian Federation
  Spokesman Numata: The Ministry of Foreign Affairs of the Government of Japan will invite three groups, totaling twenty government officials from the Russian Federation, to visit Japan from mid-March to the beginning of April. They will be here for a study program in cooperation with relevant ministries and agencies. This program covers three fields: public service system; economic statistical indices; and competition policy. The program is a part of the cooperation in the field of the training of government officials, which is one of the main pillars of the Hashimoto-Yeltsin Plan concerning economic cooperation and which was agreed upon at Krasnoyarsk last November between our two leaders. Under the training program of the public service system, there will be a team of five people from the National Public Service Academy attached to the Russian President's Office. We will be undergoing lecture programs and so forth at Japan's National Personnel Bureau, as well as at the Ministry of Home Affairs. Under the training program on economic statistical indices, there will be three people from the Russian Economic Ministry and two from the Russian National Statistical Committee. They will be studying economic statistical methodology and so forth, in related Japanese Government Agencies, including the Economic Planning Agency. Regarding competition policy, there will be ten people from the Russian Anti-Monopoly Commission and its local branches. They will be undergoing training at Japan's Fair Trade Commission.
3. Situation in Kosovo in the Republic of Serbia of the Federal Republic of Yugoslavia
  Spokesman Numata: Regarding the disturbance in Kosovo, this is a part of Serbia which is in turn a part of the Federal Republic of Yugoslavia. Kosovo has been a source of considerable ethnic tension, given the fact that, out of the population of two million, more than 90 percent are of Albanian descent. They have been calling for separation and independence from Yugoslavia, which is today the Federal Republic of Yugoslavia. There has been tension between Serbian authorities and Albanian forces. From 28 February to 1 March in Kosovo in the Republic of Serbia of the Federal Republic of Yugoslavia, Serbian police clashed with an Albanian armed group, leaving dead more than 20 persons altogether on both sides. Japan deeply worries about this incident and requests self-restraint by the parties concerned. An act of violence only worsens the situation in which the Government of the Republic of Serbia and Albanians are in conflict, making a solution to the problem more difficult. In regard to the situation in Kosovo, Japan shares the stance of the international community that neither human rights repression against Albanians in Kosovo, nor the separation or the independence of Kosovo will be accepted. Japan hopes that the Government of Serbia and the Albanians in Kosovo will make efforts to begin a dialogue as early as possible to attain a solution.
4. Release of prisoners in the Republic of Cuba
  Spokesman Numata: The Government of Japan welcomes the measures taken by the Government of the Republic of Cuba to release prisoners, including political prisoners, in response to international opinion, especially that of the Vatican. In Cuba, however, there are continuing violations of human rights and fundamental freedoms, such as restrictions to the freedom of political activities, freedom of assembly and association, and freedom of expression. Japan remains deeply concerned about that situation. Japan has been urging the Government of Cuba to improve the human rights situation and hopes that the present release of prisoners will lead to further democratization, improvement of the human rights situation, and various economic reforms.
5. Symposium entitled Japan and Mexico Toward the New Century -- Actual Situation and Perspectives on the North America Free Trade Agreement (NAFTA)
  Spokesman Numata: A symposium entitled Japan and Mexico Toward the New Century -- Actual Situation and Perspectives on the North America Free Trade Agreement (NAFTA) is to take place on 11 March in Tokyo under the joint auspices of the Ministry of Foreign Affairs of Japan and the Latin American Society. This is a part of a series of events commemorating the centennial of Japanese immigration to Mexico and the tenth anniversary of the friendly relationship between Japan and the United Mexican States. This symposium will be attended by representatives from the business community, the academic community and other eminent persons from Japan, Mexico, the United States and Brazil. The commemorative speech for the centennial of Japanese immigration will be given by Mr. Eikichi Hayashiya, who is a former Japanese Ambassador to Mexico and to Spain. What is a bit unique about this symposium is that it is not a symposium on Japan-Mexican relations as such, rather the focus is on NAFTA. The reason for that is that we detect that there is a considerable interest in NAFTA on the part of Japanese businesses which have been investing in Mexico. But at the same time, we feel that these Japanese businesses are anxious to have the opportunity to study NAFTA in depth together with a lot of other people. It is in light of this increasing degree of interest in the international economic environment surrounding Mexico that we are holding this symposium. This is also a reflection of the increasing interest in Mexico, in the context of NAFTA, on the part of Japanese businesses. One indication for that is that the direct investment by Japanese businesses to Mexico between January and November of 1997 amounted to US$3.1 billion, which is equivalent to the cumulative total of Japanese direct investment in Mexico up until December 1996. So, there is a considerable degree of interest. A part of the reason for that may be that Japanese businesses are interested in investing in Mexico to have access to the American market, as well. Therefore, that is one indication why they have an interest in NAFTA. And, it is in light of all these factors that the focus of this Symposium will be on NAFTA, as well as on Mercado Com n del Sur (Mercosur).
Visit to Japan by Minister for Fuel and Energy S.V. Kirienko of the Russian Federation
Q: The Minister of Fuel and Energy of the Russian Federation will arrive in Japan at the invitation of the Minister for Foreign Affairs. What topics will the Japanese side likely be discussing during this visit?

Spokesman Numata: As I understand, he has a very busy program. Minister for Fuel and Energy S.V. Kirienko of the Russian Federation will visit Japan from 3 to 4 March. This is seen as a part of the strengthening of the energy dialogue between our two countries, which is one of the important pillars of the Hashimoto-Yeltsin Plan. We extended the invitation on the occasion of the Japan-Russian Federation Energy Consultation which took place toward the end of last month. In the course of his stay in Japan, the Minister is meeting quite a number of people. Yesterday, I believe he met the President of the National Petroleum Corporation and a group of people at The Japan Federation of Economic Organizations (Keidanren). Today, he is meeting some members of Parliament. He is calling on State Secretary for Foreign Affairs Masahiko Koumura and Vice- Minister Nakagawa of the Ministry of International Trade and Industry. I believe he is also calling on Foreign Minister Obuchi and meeting with Minister Mitsuo Horiuchi of the Ministry of International Trade and Industry, and so forth. We see this visit as a part of the ongoing and intensifying energy dialogue between our two Governments. We hope that these exchanges will help us foster an environment in which Japanese and Russian businesses can work successfully together. It is in this context that this visit is taking place. This is our point of view, and I am sure the Russian side shares a similar view of the purpose of this visit.
Economic structural reform in the Republic of Indonesia
Q: First, could you give your comments on President Suharto's speech concerning the "IPF-Plus?" Secondly, do you think that this has any connection to the announcement on the freezing of the loan by the World Bank?

Spokesman Numata: First, let me deal with the second part of your question on the reported announcement by the World Bank about a temporary freeze. Our comment is that we are not aware that the World Bank has formally decided on such a freeze. In any event, we feel that it is important for the Republic of Indonesia in overcoming its economic difficulties to implement the measures that it has agreed to with the International Monetary Fund (IMF). We, on our part, would like to extend our support to that end. We hope that Indonesia will be successful in carrying out its economic structural reforms. I think that also answers a part of your first question, which is that we feel that this framework that has been agreed on by the Indonesian Government and the IMF is a very important one. Although it may seem like an indirect way of achieving the sort of changes that the Indonesian economy needs, it does remain the best way. Therefore, we attach importance to the IMF framework. Regarding what may have been meant by President Suharto of the Republic of Indonesia by IMF-Plus, we simply have to see what sort of ideas the Indonesian Government may have on that. But at the moment, we continue to attach importance to the IMF framework.

Q: Plus CBS --

Spokesman Numata: On the question of the currency-board system (CBS), I think that we share the sentiment by a number of other countries that there are certain elements or conditions that need to be fulfilled for that system to work. From that viewpoint, that idea needs to be looked at very carefully. I also note that President Suharto, in referring to this idea of the CBS in his speech, did mention that this subject should be looked at very carefully -- I believe that the need for careful consideration was mentioned.
North America Free Trade Agreement (NAFTA)
Q: Regarding the symposium you mentioned, I understand that business people with interests in the Gulf of Mexico are becoming more interested in NAFTA. Does Japan have any new position on NAFTA?

Spokesman Numata: Not in general, our position on NAFTA has been consistent in the sense that we hope that NAFTA will evolve as a framework for open regional cooperation and thereby contribute to the revitalization and liberalization of trade in North America, because if it succeeds in doing that, it will also benefit the economic development of the Asia-Pacific region and will also be helpful for maintaining and strengthening the multilateral free trading system. But for these objectives to be met, we consider it important that NAFTA will not be turned into a protectionist block and that it remain consistent with the rules of the World Trade Organization (WTO). Also, we hope that it will take into account the trading and investment interests of the countries outside of the group. This has been the position that we have been taking with respect to NAFTA, and this is the position that we have been mentioning firstly in the General Agreement on Trade and Tariffs (GATT) and then in the WTO. We attach importance to GATT consistency.
Japanese sponsorship of the symposium entitled Japan and Mexico Toward the New Century -- Actual Situation and Perspectives on the North America Free Trade Agreement (NAFTA)
Q: Why is Ministry of Foreign Affairs sponsoring this symposium? Is it due to the centennial, or some other factors?

Spokesman Numata: We are sponsoring the Symposium for a number of reasons. One reason is that we feel that being responsive to the concerns and interests of the business community is an important part of foreign policy, as well. Secondly, as we look at these events of the centennial and so forth, yes, the centennial has substantial foreign policy implications. But at the same time, the fact that 100 years have elapsed since the first Japanese emigration also means that our relationship has evolved in many ways and that the world has changed. One of the ways in which the world has changed is the emergence of NAFTA. So, we felt that this was not only a good opportunity for us to reflect on what has been happening for the past 100 years, but also to get together with the business community and other people to think about issues which are of contemporary relevance.

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