ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, June 22, 1990                   TAG: 9006220130
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A-9   EDITION: METRO 
SOURCE: Associated Press
DATELINE: BONN, WEST GERMANY                                LENGTH: Medium


GERMAN LAWMAKERS OK ECONOMIC MERGER/ BOTH COUNTRIES AGREE NOT TO RECLAIM LAND

East and West German lawmakers overwhelmingly approved a treaty to merge their economies Thursday, removing one of the last remaining obstacles to de facto unification.

Lawmakers in both countries also passed resolutions declaring that a united Germany would guarantee Poland's western border.

The powerful West German Bundestag, the lower house of parliament, late Thursday voted 445-60 with one abstention to pass the economic merger treaty after a sometimes heated debate lasting nearly 15 hours.

Final approval of the historic pact outlining the monetary, economic and social unification of the two Germanys was expected today, when the West German parliament's upper house, the Bundesrat, takes up the issue.

A loud round of applause greeted the announcement of the treaty vote in the Bundestag, which was seen as a major victory for West German Chancellor Helmut Kohl, who has pushed for rapid unification.

Kohl appealed to Bundestag members to pass the treaty, saying he was "convinced that each one of us will one day be judged by whether he or she faintheartedly backed away or gave full support on this momentous occasion."

Earlier Thursday, the East German parliament, or Volkskammer, approved the treaty, ending four decades of failed socialism.

The treaty, to take effect July 2, basically unifies the two German states. However, details of full political unification, particularly the future military alliance of a united Germany, remain to be worked out by the two Germanys together with the victorious World War II allies - the United States, the Soviet Union, Britain and France.

The Bundestag also voted 487-15, with three abstentions, to approve a resolution recognizing the Oder-Neisse rivers as Poland's uncontested western border. The East German parliament earlier in the day passed a similar resolution declaring a united Germany would not seek to reclaim former German territories lost to Poland after World War II.

The issue had become one of the most emotional as the two Germanys move rapidly toward unification.

Poles had feared a united Germany might try to reclaim the former German lands - representing about one-third of Poland's present territory. Ultra-conservative West Germans opposed any moves to abandon German claims to the former territories.

The two German parliaments met simultaneously in their respective capitals Thursday to take final action on the economic merger treaty. The two governments signed the treaty May 18, but approval by both parliaments was necessary.

After the 302-82 vote in favor of the treaty was announced, East German lawmakers rose in a standing ovation. There was one abstention.

Under the treaty, the powerful West German mark becomes the currency of both countries on July 2, and East Germany moves from socialism to capitalism.

East German wages, salaries and pensions will be converted to West German marks at a 1-1 exchange rate. The exchange rate for savings deposits varies with age, with a maximum of $3,600 at the 1-1 rate for those older than 60.

Some experts predict up to 2 million East Germans could lose their jobs as outmoded government-owned factories and businesses try to compete. More than a third of the enterprises are expected to close and there are fears of social unrest.



 by CNB