NID: USSR: BALTIC REPUBLICS GAIN LIMITED ECONOMIC AUTONOMY

• Document Type: SPECIALCOLLECTION
• Collection: The Collapse of Communism in Eastern Europe: A 30-Year Legacy
• Document Number (FOIA) /ESDN (CREST): 06826806
• Release Decision: RIPPUB
• Original Classification: U
• Document Page Count: 1
• Document Creation Date: November 26, 2019
• Document Release Date: December 10, 2019
• Publication Date: December 6, 1989

Approved for Release: 2019/10/29 C06826806
USSR: Baltic Republics Gain Limited Economic Autonomy.
Although a law adopted by the Supreme So % jet last week gives
the three Baltic republics considerable economic freedom. Moscow
retains key levers of economic control. The law does not give those
republics the exclusive ownership of their laid and natural resources
they had demanded, keeps kcy sectors of thc economy and some
industrial enterprises under Moscow's control. and continues to bind
the three republics to state orders and dependence on centrally
allocated resources. It lets them set up independent banks. create
financial markets. control prices and wages, and introduce their
own currencies for intrarcpublic use.
Comment: The law is a victory for both the Baltic republics and
President Gorbachev, who reportedly maneuvered behind the scenes
for its passage. Gorbachev believes greater Baltic economic autonomy
will dampen secessionist sentiment and provide a favorable testing
ground for his reforms. The law also will aid moderate nationalists
who believe independence can be won by working for gradual change
through existing institutions. While some of is language is ambiguous
and contradictory, the Baltic republics will take the law as a green
light to press for reintroducing private proprrty and a market
economy.
NR Record
9
"IVITSOCTAL
TCS 2982/89
6 December 1989
Approved for Release: 2019/10/29 C06826806