Moscow Insists on Bank Control
- Share via
MOSCOW — Soviet President Mikhail S. Gorbachev overruled his chief radical opponent, Boris N. Yeltsin, with a decree Sunday reaffirming central control over the country’s banks.
The decree, reported by Tass news agency, said the existing system for the issue of credit and payments will remain in force until a new “union treaty” establishing relations between the 15 republics and Moscow is ready.
But Gorbachev tempered this by saying that until the treaty is ready, banking policy will be run jointly by the Soviet central bank Gosbank and the central banks of the republics.
The Parliament of the Russian Federation, which is headed by President Yeltsin, passed a resolution in June claiming control over all Soviet banks on its territory.
Sign up for Essential California
The most important California stories and recommendations in your inbox every morning.
You may occasionally receive promotional content from the Los Angeles Times.
