POLAND: DEALING WITH WESTERN BANK DEBTS

Created: 1/13/1982

OCR scan of the original document, errors are possible

POLAND: Dealing With Western Pan* Debts

financial officials on Monday told|

'_h^ overdue interest payments to ban* amounted8 million throughanuary, an increaseillion since the end of December. The Poles askedff^jmsmmsmnmnvhethsr he would prefer Warsaw to pay interest only to smallmost likely to declarepay all banks six months laf-

Comment: The growing arrearages since the beginning of this year indicate that recent interest payments have baen leas than new payments coming due.

increased Production

aiming officials told] (yesterday that production or coaj erals has increased since the imposition of martial law because of greater work discipline but that output has stagnated In sectors dependent upon Western materials. Ono official said that the six-day workweek bad been introduced largely in the mining and transportation sectors} other militarised sectors work longer hours only if materials are available. Be added that the compulsory six-day workweek would end with the lifting

2

Approved for Release

Aim

of martial law and the governmentthen have to increase market supplies to encourage miners and other key workers to work overtime voluntarily in return for extra pay. SBj

Comment: Increased production in mining is due to the six-day workweek rather than "high discipline.- the government will be very reluctant to give up the extra output and is therefore likely to prolong this element of martial law. The authorities may also extend the workweek in other militarized sectors if it can assure regular supplier,.

End to Martial Law?

A government spokesman told foreign journaliststhat the authorities "would like to end" martial lawebruary but hastily added that there is no timetable and thatove "depends on the situation. Another spokesman said thatlace would be found for Walesa" in future agreements on trade unions. The same official said, however, that "we demand loyalty to thend added that union activity had beenbanned from government institutions and ministries, j |

Comment: Tho modcrato comments seem intended toestern audience and do not presage any Martial law authorities do not yet feel secure enough to end restrictions or to release significant numbers of those detained, f |

The authorities would like to have Walesa'sbut he still Eterns unprepared to play their game. The harsher references to loyalty ore probably more representative of prevailing attitudes among regime officials.

J^JonuaryI982

Original document.

---

---