E. Europe Bank Gets Nod
PARIS — A NEW $12 billion development bank to help Eastern European countries rebuild their economies could be in full operation by year's end. Officials from 34 countries - 27 from the West and seven from Eastern Europe - took part in two days of negotiations that ended here Tuesday. The talks defined issues remaining to be settled before the bank becomes reality.
First proposed by French President Fran,cois Mitterrand last October, the bank will receive majority capitalization from the European Community. Though the bank's exact funding has yet to be decided, several officials said they expected $12 billion to be the final figure.
Among issues that are open to discussion include membership in the bank, the kinds of loans to be allowed, and the bank's location. The United States and Britain are said to favor loans to private enterprise only; other West and East European countries support loans to public enterprises and projects.
Three working groups will meet later this month, with plans set for drafting the bank's treaty in Paris March 10 and 11. Several countries have submitted bids for the bank's headquarters, but Czechoslovakia says it already has a building in mind - the quarters of the Communist Party Central Committee.