THE RECONSTRUCTION OF CHECHNIA. A LONG-TERM AND DAUNTING TASK

Daniel LINOTTE
Megumi YOSHII


Daniel Linotte, Senior Economic Adviser, OSCE Secretariat (Vienna, Austria)

Megumi Yoshii, Expert/Consultant, OSCE Secretariat (Vienna, Austria)


Introduction

Following the March 2003 Referendum that, according to officials, underscores the strong willingness of Chechen people to remain part of the Russian Federation, priority must be given to the reconstruction of a sustainable economy and stable society in Chechnia. Taking into account the extent of destruction, social disintegration and psychological despair, the task seems tremendous, or even daunting when observing past performances in the region. Nevertheless, the organization of the referendum indicates the determination of Russian authorities to take a step that could ultimately bring the conflict to halt. The Russian Federation has also elaborated a plan for rebuilding Chechnia’s economic and social spheres. A successful implementation of the plan requires efforts that go beyond mere acquisition of materials and rebuilding of houses and infrastructures—institutional development is also a priority, relating to many dimensions, e.g. the quality of governance, social norms and values, human rights and democratic rules.

In the first part we briefly review the situation in Chechnia in a broad term, including political developments, social and economic conditions, as well as the environmental situation. Moreover, we refer to the economics of conflicts and draw lessons for Chechnia. The second part presents the Federal Program and governmental actions for reconstructing the region, and the assistance provided by the international community. We also underline key challenges and risks that should be addressed in order to avoid further disillusions in the reconstruction and……….


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