Janine Wedel - Collision and Collusion - The Strange Case of Western Aid to Eastern Europe

  33. Interview with Henryka Bochniarz, April 18, 1998.

  34. Interview with Zdeněk Drábek, July 7, 1994.

  35. U.S. General Accounting Office, Enterprise Funds: Evolving Models for Private Sector Development in Central and Eastern Europe, Washington, D.C.: General Accounting Office, March 1994, pp. 20-21.

  36. Interview with Zbigniew Brzezinski, March 10, 1994.

  37. Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995, p. 7.

  38. Interview with Henryka Bochniarz, April 18, 1998.

  39. See, for example, Jane Perlez, “Polish Aid Fund Turns Profit, Posing a Problem,” The New York Times, April 27, 1998, Page A9; and Michael M. Phillips, “Politics & Policy: Another Surplus to Fret About: Poland’s,” The Wall Street Journal, January 25, 1999, p. A20. For discussion within the Polish-American community, see “Polish American Enterprise Fund Liquidation Controversy,” Siec Polska, May 19, 1999, and other articles in Siec Polska.

  40. Polish-American Enterprise Fund, Annual Report 1999, p. 2.

  41.  Newsletter of the Polish Embassy in Washington D.C., vol. VI, March-April 2000.

  42. U.S. General Accounting Office, Enterprise Funds: Evolving Models for Private Sector Development in Central and Eastern Europe, Washington, D.C. GAO, March 1994, p. 28.

  43. Letter from USAID Enterprise Fund adviser (personal services contractor) Timothy Knowlton, May 17, 2000, and fund annual reports.

  44. Half of the Fund’s board of directors were Americans (mostly political appointees) and half were Russians (Anatoly Chubais “had a great input” into the Russian list, says Towbin).

  45. Interview with Robert Towbin, February 18, 1998.

  46. Ibid.

  47. Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995, p. 6.

  48. James H. Holmes, “Prepared Statement of James H. Holmes, Coordinator for East European Assistance, U.S. Department of States, Before the House Committee on International Relations,” Federal News Service, June 26, 1997.

  49. Robert M. Rubin quoted in Leslie Eaton, “Public Money Foots the Bills for ‘Privatized’ Foreign Aid,” The New York Times, February 7, 1996, p. A10.

  50. Michal Illner, “The Regional Aspect of Post-Communist Transformation in the Czech Republic,” Czech Sociological Review, vol. 2, no. 1, 1994, pp. 107-127.

  51. See Jacek Szlachta, “Regional Regularities of Transformation Processes,” Regional Development in Poland (Conference in Warsaw, September 30 to October 1, 1993), Warsaw, Poland: Friedrich Ebert Stiftung, 1994, pp. 12-23; and Regional Development in Poland under Transformation, Warsaw, Poland: Friedrich Ebert Foundation Warsaw Office, 1995, pp. 7-40.

  52. Interview of April 22, 1994, with Jacek Szlachta, deputy director of Poland’s Central Office of Planning, Regional Policy Department; and Szlachta, “Poland’s Regional Development under Economic Transformation,” prepared for the conference on “Regional Development in Poland,” Sept. 30 to Oct. 1, 1993, Warsaw, Poland, and published by the Friedrich Ebert Stiftung in Poland, p. 16.

  53. Interview of June 18, 1998, with Jacek Szlachta; Rocznik Statystyczyny Województw (Warsaw, Poland: Główny Urząd Statystyczny, 1997); and interview of May 29, 2000 with Jacek Szlachta, now professor at the Główna Szkoła Handlowa (Warsaw School of Economics).

  54. Frances Pine and Sue Bridger, “Introduction,” Surviving Post-Socialism: Local Strategies and Regional Responses in Eastern Europe and the former Soviet Union, Sue Bridger and Frances Pine, eds., London, United Kingdom: Routledge, 1998, p. 6.

  55. Interviews of June 18, 1998 and May 29, 2000 with Jacek Szlachta.

  56. The average value of the złoty during 1995 was 2.4244 (obtained from Narodowy Bank Polski).

  57. Interviews with Witold Szwajkowski, chief operations officer, June 19, 1998, and Agata Szostek, international relations and credit director, May 29, 2000; and Annual Report, Fundusz Mikro, 1999. For further information, see website www.funduszmikro.com.pl.

  58. Interview with Witold Szwajkowski, chief operations officer, June 19, 1998; Annual Report, Fundusz Mikro, 1997.

  59. Christopher Bobinski, “Poland’s Small Businesses Rise from the Flood,” Financial Times, December 18, 1997, p. 3; and interviews with participants in other loan programs.

  60. Materials provided by Polska Agencja Rozwoju Regionalnego, Warsaw, Poland; interviews with director Marek Kozak, June 18, 1998 and May 29, 2000, and with deputy director Jakub Sieracki, February 25, 1998.

  61. See, for example, Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995.

  62. Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995, p. ix.

  63. Conversation with USAID Enterprise Fund adviser (personal services contractor) Timothy Knowlton, April 19, 2000.

  64. U.S. General Accounting Office, Enterprise Funds: Evolving Models for Private Sector Development in Central and Eastern Europe, Washington, D.C.: General Accounting Office, March 1994, pp. 22-23.

  65. Interviews with Zdeněk Drábek, former aid coordinator of Czechoslovakia, July 7, 1994; Leighton Klevana of the Slovak Enterprise fund, July 5, 1994; and Paul Gibian of the Czech and Slovak Enterprise funds, July 7, 1994.

  66. Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995, pp. 4, 6, and 33.

  67. See testimony of James H. Holmes, “Prepared Statement of James H. Holmes, Coordinator for East European Assistance, U.S. Department of States, Before the House Committee on International Relations,” Federal News Service, June 26, 1997.

  68. Interview with Barry Thomas, February 18, 1998.

  69. Ibid.

  70. Ibid.

  71. Interview with Paul Gibian, July 7, 1994.

  72. Development Alternatives, Inc., Program Evaluation of the Central and Eastern Europe Enterprise Funds: Final Report, Washington, D.C.: DAI, 1995, p. 39.

  73. Conversations with USAID Enterprise Fund adviser (personal services contractor) Timothy Knowlton, April 19, 2000 and May 31, 2000.

CHAPTER SIX

    1. Commission on Security and Cooperation in Europe, Briefing On U.S. Assistance to Central and Eastern Europe and the NIS: An Assessment, Washington, D.C.: Commission on Security and Cooperation in Europe, February 17, 1995, p. 46.

    2. For details, see European Commission, Regular Report from the Commission on Progress towards Accession by Each of the Candidate Countries, October 13, 1999, www.europa.eu.int/comm/enlargement/report_10_99/intro/index.htm.

    3. Arturo Escobar, Encountering Development: The Making and Unmaking of the Third World, Princeton, NJ: Princeton University Press, 1995, p. 4, and “The Invention of Development,” Current History, vol. 98, no. 631, November 1999, pp. 382-386.

    4. Peter Reddaway, “Questions about Russia’s ‘Dream Team,’” Post-Soviet Prospects, vol. 5, no. 5, Washington, D.C.: Center for Strategic and International Studies, September 1997.