PRESS RELEASE (93)47                                    8 July 1993

                         1993 NATO ECONOMICS COLLOQUIUM
                 "ECONOMIC DEVELOPMENTS IN COOPERATION PARTNER
                     COUNTRIES FROM A SECTORAL PERSPECTIVE"

From 30 June to 2 July some 200 representatives of business, academia
and government, from both Western and Eastern countries, participated
in the 22nd annual NATO Economics Colloquium on "Economic Developments
in Cooperation Partner Countries from a Sectoral Perspective".  Over 30
speakers presented formal papers on sectoral developments in the
countries of Central and Eastern Europe, including the former Soviet
Union.  Half the speakers were represen- tatives of Cooperation Partner
countries, under the auspices of the North Atlantic Co-operation
Council (NACC) Work Plan for 1993.  The keynote speech was delivered by
the former Polish Finance Minister and distinguished reform economist,
Mr. Leszek Balcerowicz.  In his address he noted that successful reform
will differ in Partner countries, depending on initial internal and
external conditions.  However, all countries must undertake a certain
degree of risk, for the option of a "no risk" policy does not exist.
In his view, a radical reform policy is more likely to achieve success.
He stated that it is trade, not aid, which guarantees a lasting
partnership with Western countries.

Presentations and discussions over the three days ranged from factors
of internal stability like living standards, social welfare and
employment to specific critical areas of industrial restructuring and
defence conversion and energy supplies.  One panel examined the
potential for instabilities arising from demographic developments and
ethnic tensions, which might give rise to large-scale migrations of
people.  Potential environmental threats, including nuclear safety
problems, were examined by another panel.  In both cases there was
agreement that continuing attention should be given to these sensitive
areas. The sectoral approach to examination of current economic
developments and reforms in Partner countries more clearly illustrated
the close linkages between these developments and political and social
stability.

Overall the Colloquium provided a major venue for a free exchange of
views among participants.  The presence of a substantial number of
eminent speakers from Cooperation Partner countries greatly enriched
the exchanges.  The conference results will fertilize the future
economic dialogue and co-operation within the framework of the North
Atlantic Co-operation Council.