Davos, Friday

FORMER Russian Finance Minister Boris Fyodorov said today that he was

a ''medium-term optimist'' and believed the country was bound to build a

working market economy.

But Fyodorov, the 35-year-old economic reformer who last week refused

to join a new conservative-dominated Government, said policies promised

by Prime Minister Viktor Chernomyrdin could bring ''a disaster in the

short term''.

''I have lots of optimism over the future of Russia in the medium

term,'' he told international business executives, several of whom

expressed anxiety over the prospects for investment, at the World

Economic Forum in Davos, Switzerland.

''So much has already been put in place that nothing can stop a real

market economy from developing . . .

''But what I fear now is that we are going to lose a lot of time. We

face the prospect of several months of policies that could be a disaster

in the short term.''

Chernomyrdin is due to defend his new Government at the annual forum

and seek to reassure business and political leaders that he is

determined to press ahead with reform.

But the Prime Minister, shaped as an executive under the communist

system of old Soviet Union, has alarmed the reformists and the outside

world with talk of restoring price controls and subsidies and cheap

loans to ailing state industry.

In Paris, Russian ultra-nationalist Vladimir Zhirinovsky has committed

his ideas for the future shape of Europe to paper -- redrawing a road

map to wipe out Austria, Slovenia, the Baltic states, the Czech

Republic, and Bosnia.

The French daily newspaper Le Monde carried a copy of the map, which

shrank the size of Poland and Romania and split former Yugoslavia

between the Serbs and the Croats.

A retired Swedish diplomat passed on a copy of the road plan, signed

and modified by Zhirinovsky, with the words ''UN out'' over former

Yugoslavia.

Slovenia tonight asked Zhirinovsky to leave its territory as soon as

possible, accusing his party of violating law and order in a restaurant

in Bled.

Earlier, Zhirinovsky, staying in a retreat once frequented by Marshal

Tito, proclaimed peace in the Balkans and Russia as the country that

would save the world.

He called for the withdrawal of all foreign troops from the former

Yugoslavia and said he would urge Russia to leave the United Nations if

the UN authorised air strikes against the Serbs.--Reuter.