To Russia With Strings

Bailouts of small economies in trouble typically call for painful measures unpopular with those receiving the help. Overhauling a foundering former superpower, a job almost never before attempted, seems to involve much the same formula -- just on a vaster scale. So in working out a package of aid to Russia that could total more than $28 billion, the seven leading industrialized nations -- the Group of Seven -- attached conditions that will make much of the plan unpalatable to Moscow. Nevertheless, said Deputy Prime Minister Boris Fyodorov, Russia welcomes the effort as a "practical, visible approach."

Much of the G-7 aid, including an International Monetary Fund reserve aimed at stabilizing the ruble, is contingent on Russia's curbing its inflation, now running at 25% a month. Other grants, most funneled through international agencies, would be intended to develop energy resources and protect the environment. Only three nations pledged direct assistance: Britain ($600 million), Japan ($1.8 billion) and the U.S., which came up with $1.8 billion in addition to Bill Clinton's $1.6 billion summit ante two weeks ago. The new U.S. funds, however, have yet to be approved by Congress.