II. Country Assessments and Performance Measures

The Kyrgyz Republic has strongly supported the Global War on Terrorism. The Manas Coalition Airbase, which is located next to the Manas International Airport just outside of Bishkek, houses approximately 1,100 Coalition troops, services Coalition support aircraft and has played a key role in the success of Operation Enduring Freedom. The Kyrgyz Republic is a significant transit country for narcotics smuggled out of Afghanistan and headed to markets in Russia and Europe. The extreme poverty of the population (sixty percent of which earns $22 or less per month) contributes to the potential for regional instability, as well as increased trafficking of narcotics and persons. The U.S. Government’s strategic goals in the Kyrgyz Republic include promoting counterterrorism, regional stability, the development of a democratic, market-based economy, and combating narcotics smuggling.

In FY 2004, the USG provided an estimated $109.39 million in assistance to the Kyrgyz Republic (including $330,000 in FY 2003 FREEDOM Support Act funds):

In FY 2004, over 203 Kyrgyz citizens traveled to the United States on USG-funded training and exchange programs implemented by USAID and the U.S. Departments of Agriculture, Commerce and State, bringing the cumulative number of Kyrgyz participants trained in the United States to over 2,900. Also in FY 2004, more than 3,400 Kyrgyz citizens were trained in the Central Asian region or in third countries on issues such as civil society, microfinance, business education, and health.

Democratic Reform Programs: USG-funded programs to support democratic reform in the Kyrgyz Republic will be critically important over the next year in the run-up to parliamentary and presidential elections scheduled for 2005. The Kyrgyz Republic has the potential to become the first post-independence Central Asian country to have a peaceful, democratic change in presidential power. In FY 2004, the USG launched new efforts to increase non-partisan engagement of political parties, civic organizations, and independent media in the electoral process. USAID provided assistance to Parliament to facilitate public hearings and discussion on a variety of laws, while USG assistance to local governments promoted transparency and accountability through public budget hearings. The USG also provided assistance to strengthen the independent media and non-governmental organizations (NGOs) to improve the ability of these two key sectors to advocate effectively for issues such as greater transparency and accountability in government. A USG-funded program provided support to local human rights defenders in monitoring and advocacy on issues such as torture and public assembly.

Economic and Social-Sector Reform Programs: USG technical assistance programs in 2004 continued to focus on improving the business climate for small and medium-sized enterprises (SMEs), increasing transparency in the legislative and budget formulation processes, strengthening the banking system, fostering dialogue between business and government counterparts, and achieving more efficiency in the country’s energy and water sectors. Implementers involved in the Ferghana Valley Agribusiness Initiative worked together to strengthen the supply chain between input suppliers, farmers, wholesalers, processors, and exporters. Their focus continued to be on providing business and trade advisory services; reducing cross-border barriers to trade; assisting farmers to better realize the benefits of incorporating higher-value crops into their farming plans; and fostering private sales of fertilizer, seeds, and crop protection products. USG-funded technical assistance also helped with the drafting and recent passage of a new Customs Code, development of an equalization formula for determining intergovernmental transfers and subventions and facilitated the publication of and public access to judicial opinions.

Security, Regional Stability and Law Enforcement Programs: Although the security situation in the Kyrgyz Republic remained stable in 2004, several events led to heightened concerns, including a suicide grenade attack on a policeman in the southern city of Osh. The Islamic Movement of Uzbekistan (IMU) remained active in the region. Although no terrorist acts have been clearly linked to Hizb ut-Tahrir, the organization continued to generate concern among the host nation's security services. The Kyrgyz Government remained focused on the increasing problem of drug trafficking through Kyrgyz territory, and the corresponding increase in drug use in the Kyrgyz Republic. The USG is the sole donor in the establishment of a Kyrgyz Drug Control Agency. In addition, several U.S. programs assist in strengthening the Kyrgyz Republic’s ability to defend its own borders. The USG helped to combat religious extremism by sending the country’s Muslim leadership to the United States on religious tolerance programs. Further, a USG-funded partnership between Bishkek's Islamic University and the Social Science Research Council began as part of a three-year program to introduce secular curricula at the University and madrassas throughout the country. Finally, the USG also supported the fight against trafficking in persons with a new program aimed at prevention and victim protection.

The pace of democratic reform generally remained unchanged in the Kyrgyz Republic during FY 2004. Incidents of government harassment of NGOs continued to occur. Internal corruption continued to be rampant, despite the formation of a National Council on Good Governance. Transparency International, assessing the Kyrgyz Republic for the first time, ranked the country 122 out of 145 in terms of perceived corruption. Reformist and anti-reform elements within the Kyrgyz Government continued to struggle for dominance. A pro-government political party increased in size and influence during the year, presenting a challenge to the large number of smaller parties, most of which lack strong platforms or constituencies. A new electoral code was adopted that contains improvements in some areas, but still falls short of international standards. Despite these negative tendencies, however, the Kyrgyz Republic remained the most open, free society in Central Asia and the one most likely to achieve sustainable reforms.

USG-funded human rights programs focused on prisons, torture, freedom of assembly, and freedom of journalists. USG assistance to Parliament facilitated public hearings on a variety of laws. The USG-funded local governance program assisted in drafting amendments to the Basic Principles of Budget Law, signed by the President in July and which will grant local governments significantly more control in drafting their own budgets. In the area of conflict resolution, USAID worked with communities in the densely populated Ferghana Valley to reduce sources of local conflict. A network of 11 NGO resource centers located throughout the Kyrgyz Republic began offering legal assistance on NGO issues, in addition to training and consulting services. With the help of USG assistance, NGOs undertook successful advocacy campaigns in 2004 on issues such as freedom of assembly, NGO legislation, and consumers’ rights. USAID introduced an enhanced civic advocacy component to existing programs during FY 2004. USG-supported organizations began to work more intensively with political parties to improve the level of parties’ organizational development and engagement in elections.

In FY 2004, pressure and harassment in the form of libel lawsuits against independent media outlets diminished in comparison to FY 2003. Nonetheless, Bishkek's most active and independent television station was the victim of government induced transmission problems and ultimately was sold. Its most talented journalists left and its programming no longer has a broad impact on society. Nonetheless, with the help of USG-funded small grants, some regional television stations continued to aggressively report on local issues; their ability to remain economically viable, however, remained in question, given the country’s poorly- developed advertising market. With USG assistance, a few radio stations began to produce more of their own news and informational programming, but this area of the independent media sector remained largely unexplored. USG assistance also supported a local journalists’ association to conduct monitoring of press freedom. The USG-funded independent printing press had a successful first year, expanding operations nearly to the point of covering its own costs.

In spite of, and perhaps because of, its lack of natural resources, the Kyrgyz Republic has been a leader of economic reform in the region. Kyrgyz Government data indicate that the country’s GDP will grow by 4.5 percent in FY 2004; GDP is still less than eighty percent of the 1989 GDP level. The private sector share of GDP has grown considerably to seventy-five percent in 2004 and the export share of GDP rebounded to 6.6 percent. The agricultural sector represents 35.5 percent of total GDP and will grow by 4.2 percent in of 2004. The volume of exports increased by 39.7 percent over 2003, as exports to China grew significantly, especially in scrap metals. Exports were also buoyed by rising gold prices. SME employment as a percent of total employment is 63.22 percent.

Per capita income for 2004 is $375.44 and the average monthly salary (January to September 2004) increased by 13.75 percent. External debt was $1.98 billion at the end of the second quarter of 2004, a 4.3 percent increase over the second quarter of 2003 ($1.89 billion). According to the latest aide memoir, the Kyrgyz Government has successfully met all IMF conditions, making Paris Club debt relief promising when discussions take place in March 2005. The tax collection/GDP ratio was 14.7 percent for 2004 and total tax collections increased by about 11.8 percent. Inflation is projected to be four percent for the full year of 2004, the lowest rate of inflation of any country in the Central Asia Region. The Kyrgyz som remained stable against the dollar at 42-43 soms per dollar. Total commercial bank deposits increased by twenty-eight percent and average annual interest rates on commercial loans have fallen to about twenty percent. Approximately 3,500 construction permits were issued in the first nine months of 2004 compared to 2,846 in 2003 and car registrations increased by twenty-seven percent from 2003 to 2004, reflecting a marked increase in economic activity.

The USG-supported Investor Roundtable continues to facilitate dialogue between the private sector, donor community, and government to improve the business climate in the Kyrgyz Republic. More progress needs to be achieved in the area of implementing the laws and regulations that the Roundtable has played such an active role in drafting and lobbying for passage. For example, the Mayor of Osh promulgated an order, which set a target quota for inspection fines to be collected and transferred to the city budget. This was against the law, and when raised publicly, was rescinded. Regional trade patterns suggest large unexploited potential in major trading markets like Russia, Kazakhstan, China, and Afghanistan. USG assistance in promoting regional trade will assist local Kyrgyz companies to tap into these markets. USG assistance with drafting of the Customs Code and its supporting legislation lessen the costs of trade and greatly simplify customs clearance and customs control procedures as well as reduce costs and corruption by reducing regulatory ambiguity and increasing transparency.

A draft of a new Tax Code was the focal point of USG assistance in the area of fiscal reform. The draft code is principles-based and unifies the disparate elements of tax legislation, creating a single, consistent set of rules—an improvement for both tax administration and the taxpayer. Passage of the tax code is projected to take place in early spring 2005. USG is supporting access to microfinance. The EBRD/USG micro and small business bank-lending program has expanded to eight new towns (up from one town last fiscal year), with 24 new outlets (up from four last year). The program disburses 1,670 loans per month, which greatly exceeds the expected level of 300 loans per month.

USG assistance is active in the energy, health, and education sectors. Key to improvements in the Kyrgyz energy sector are policy reforms that bring about more transparency, cost recovery tariffs, and an effective regulatory agency. To assist utility companies to reduce the amount of electricity losses, USG-funded demonstration projects at the distribution and transmission level were installed in three locations. The health sector continued to suffer from low budget allocations and low salaries for healthcare workers. USG assistance strengthened the National TB Center’s laboratory capacity and helped develop a TB epidemiology surveillance case-based management system. USAID continues to assist the Ministry of Health on TB control with implementation of the WHO-recommended Directly Observed Treatment Short-course (DOTS) Strategy. The USG launched a new, five-year HIV/AIDS prevention and control activity, which will build technical capacity in launching large-scale and urgent responses to HIV/AIDS. The USG assisted in the establishment of 11 school-based teacher-training centers to work with 84 newly selected cluster schools to train primary and secondary teachers and administrators. Finally, the USG is also providing a $10 million in prior year funding for an endowment for the American University of Central Asia (AUCA) to be matched by $5 million in support from the Soros-funded Open Society institute. The endowment will contribute to the sustainability of AUCA in providing a model of free inquiry and transparency in education for the region.

In FY 2004, the USG continued to provide security assistance to and conduct cooperative activities with the Kyrgyz Government, most visibly through the continued presence of U.S. Air Force personnel and aircraft at the Manas Airbase. Under Freedom Support Act FY 2002 Supplemental funding, the Aviation/Interdiction Project refurbished two Russian helicopters to enhance the Kyrgyz Republic’s border security and upgrade the country’s interdiction capability. The USG continued to provide security assistance to the Kyrgyz Government in the areas of border control and law enforcement. The Kyrgyz Republic made positive strides in the field of inspection and control but continues to fall behind in export control. They ratified the Biological Weapons Convention (BWA) and increased the number of border guards and customs inspectors. However, due to the lack of resources and expertise within the country, the National Control List remains incomplete and the Government must rely on Russia and Kazakhstan for assistance.

The Export Control and Related Border Security Program (EXBS) has worked with the Kyrgyz Government to design a five-year plan to address many border security and export control concerns. Border Guard and Customs inspection teams in Bishkek and on the border with Kazakhstan were provided with equipment, communications, and training. The Mountain Rescue Training Academy was refurbished and equipment and training was provided, which proved invaluable when a helicopter carrying U.S. citizens crashed at over 6,000 meters in remote Naryn Oblast. USG-provided equipment assisted in the detection of several large commercial shipments hidden in false compartments as well as the identification/seizure of suspect false passports/documents. At the Bishkek airport, Customs agents were provided with radiation detectors, which resulted in the rejection of two commercial shipments due to high radiation counts. EXBS also provided assistance to the Kyrgyz government in implementing sufficient training procedures for licensing officials.

Foreign Military Financing (FMF) and International Military Equipment and Training (IMET) programs contributed to interoperability. FMF improved Kyrgyz counter-terrorism capabilities and help modernize and democratize the Kyrgyz Armed Forces. Assistance supported training and equipping of Special Forces and NCO Corps modernization. IMET focused on English language training.

In FY 2004, the Department of State's Diplomatic Security Service held several courses in conjunction with the Anti-Terrorist Assistance (ATA) program, including the ILEA Budapest course on the "Role of Police in Combating Terrorism," where Kyrgyz took part alongside Uzbek, Tajik, and Kazakh counterparts; "Antiterrorism Instructor Training;" "Surveillance Detection;" and "Consultation-Protective Operations Management," a regional event with participation of Uzbek, Tajik, and Kazakh counterparts.

In the law enforcement arena, the Kyrgyz Government created the Drug Control Agency (DCA) with USG support. The DCA’s headquarters in Bishkek were officially opened in May 2004. The southern headquarters in Osh also became partially operational in FY 2004. The DCA has produced several seizures totaling over 300 kilograms of controlled substances, coupled with the arrest of the drug traffickers. The DCA has identified several distribution routes from Afghanistan to Eastern Europe that transit the Kyrgyz Republic. USG funding enabled the Kyrgyz Government to finalize their new international passport. The first internationally acceptable sample was produced in July, with countrywide distribution expected in December 2004.

In FY 2004, the USG supported the Kyrgyz Government’s efforts to combat human trafficking. The USG continued supporting the Kyrgyz Government to retain and improve its Tier II status. A new USG-funded anti-trafficking program was launched to increase the ability of individuals and institutions to combat human trafficking. Local organizations received grants to implement public outreach and education activities on prevention of human trafficking, and provision of protection services to trafficking victims such as hotlines and shelters.

An estimated forty-one percent of the population of the Kyrgyz Republic lived below the poverty line in FY 2004, a decrease from forty-four percent. Although a problem in urban centers, poverty is most prevalent in rural areas. Extreme poverty fell from fourteen percent to nine percent from 2003 to 2004, with twelve percent of the rural population living in extreme poverty compared to five percent of the urban population.

Kyrgyz Government support for social institutions that serve the neediest segments of the population remained underfunded. Despite an impressive record of reform, the Kyrgyz Republic continued to experience acute shortages of medicines. September 2004 marked the commencement of the largest single USG humanitarian assistance project for the Kyrgyz Republic since its independence. Operation Provide Hope (OPH) was a special coordination effort between the USG and the private sector. The project consisted of the shipment of approximately $8.6 million in medical supplies and $15 million in medicines for distribution throughout the Kyrgyz Republic. The total value of this humanitarian assistance project, including costs to cover shipping, distribution, and personnel expenses, was more than $30 million. Another $16 million in USG humanitarian assistance provided additional medicine and medical supplies, as well as clothing, books, and food.

In FY 2004, the U.S. Department of Agriculture (USDA) donated approximately $3.5 million in food assistance to the Kyrgyz Republic. The monetization proceeds were used to support micro-credit programs and school feeding programs.

COUNTRY PERFORMANCE MEASURES

Democratic reform fared poorly in the Kyrgyz Republic in FY 2004. Presidential control over political and civic society tightened, and independent media came under increasing government pressure. At the same time, however, the Kyrgyz Republic continued as an economic reform leader. In 2004, the banking system grew stronger, and the overall investment climate improved modestly.

Data are drawn from EBRD, Transition Report (November 2004) & Freedom House, Nations in Transit 2004 & Freedom in the World 2004. Ratings are based on a 1-to-5 scale with 5 representing the most advanced.

Latest-year observation refers to 2004 economic reform data and 2003 democratic reform data; i.e., 2004 data for democratic reforms are not yet available.

The Kyrgyz Republic recorded strong economic growth in FY 2004, particularly in the mining sector due to high gold prices and the natural resources sectors. There also was a surge in construction activity. The Government is continuing to enact private sector friendly policies, which will lead to enhanced SME development, as well. However, health and other social sectors continued to suffer from a lack of central government funding and a failure to implement widespread reforms to improve efficiencies and coverage.

World Bank, World Development Indicators 2004 (2004); UNICEF, Social Monitor 2004 (2004); EBRD, Transition Report (November 2004); and UNDP, Human Development Report (2004).

Performance Indicator: Democratization Index Rating, Drawing from Freedom House, Nations in Transit 2004 as modified by, "Monitoring Country Progress in Eastern Europe and Eurasia" USAID/E&E/PO, #9 January 6, 2005. (1-lowest, 5-highest; data based on previous calendar year)

FY 2002 Baseline	FY 2003 Actual	FY 2004 Target	FY 2004 Actual
2.03	1.89	2.0	1.89

FY 2004 Results: Harassment of NGOs and independent media generally was less prevalent than in the previous year. Corruption remained high. The Kyrgyz Government formed a new body to focus on governance issues, but the group took little real action. The new election law reflected some, but not all the recommendations provided by the Organization for Security and Cooperation in Europe and other interested parties. Draft legislation on political parties stalled in Parliament after political parties expressed strong objections. The law on public assemblies was amended to remove bureaucratic obstacles to peaceful demonstrations. Local elections in October were generally free of administrative interference, although reports of minor violations were widespread.

Performance Indicator: USAID NGO Sustainability Index (1 = highest, 7 = lowest)

FY 2002 Baseline	FY 2003 Actual	FY 2004 Target	FY 2004 Actual
4.1	4.2	4.0	4.0*

(*This is not the final, official NGOSI score, but rather a performance measure tracked solely by the missions.)

FY 2004 Results: The NGO sector in the Kyrgyz Republic is still highly dependent upon foreign donors. However, the Kyrgyz Government has become increasingly supportive of NGOs, especially those that work in social services for which the government lacks resources. Many NGOs, while discouraged by the outcome of the 2003 Constitutional referendum, continued to be active in both the political and social arenas. The increasing maturity of the NGO community was demonstrated through several successful advocacy campaigns and a high level of involvement in observing local elections in October.

Performance Indicators: Economic Reform Index, Drawing from Freedom House, Nations in Transit 2004 as modified by, "Monitoring Country Progress in Eastern Europe and Eurasia" USAID/E&E/PO, #9 January 6, 2005. (1-lowest, 5-highest; data based on previous calendar year)

FY 2002 Baseline	FY 2003 Actual	FY 2004 Target	FY 2004 Actual
2.96	2.96	N/A	3.08

FY 2004 Results: After no improvement from 1999 to 2003, the Kyrgyz Republic posted a net gain in overall economic reform indexes monitored by the EBRD. It is important to note that this increase was driven by improvements in only two (infrastructure reform and large scale privatization) of the nine indicators. The rest maintained the status quo of the last five years. In FY 2004, the Kyrgyz Government continued to make progress in the area of trade liberalization by passing a WTO compliant customs code. The Kyrgyz Republic is still the leader in the region for foreign exchange liberalization. The improvement in the EBRD large-scale privatization indicator is a result of the Kyrgyz Telecom privatization process moving into final negotiation stages with its German bidder (to be named later) while a draft privatization law for KyrgyzNeftgas will be presented to Parliament shortly. The draft law for the privatization of the distribution company, SeverElektro, has not yet been considered in Parliament and there is no assurance that this will happen soon. The anti-money-laundering law drafted last year has still not yet been passed by Parliament. Although much assistance has been put toward redrafting the Joint Stock Company Law, there are still problems for minority shareholders. The overall business environment in the Kyrgyz Republic showed modest improvement, according to a USAID survey of business perceptions. The USG supported micro and small lending programs, which disbursed more than $16 million to more than 30,000 clients.

Performance Indicator: Incidence of Tuberculosis (new cases per 100,000) Source: UNICEF

This indicator has an 18-month lag time; therefore, FY 2003 and FY 2004 actual data is not yet available. Also, it is important to note that this indicator will probably not show much difference from year to year.

FY 2002 Baseline	FY 2003 Actual	FY 2004 Target	FY 2005 Actual
126.5	N/A	N/A	N/A

FY 2004 Results: In 2003, the national tuberculosis program detected fifty-two percent of the new pulmonary smear-positive cases occurring in the country. At this pace, the program will achieve the target of seventy percent only in the year 2009. Tuberculosis (TB) laboratories and facilities met targets on minimum standards. In the 2002 cohort of new smear-positive patients, the national tuberculosis program achieved the overall eighty-two percent treatment success rate, however, with reported large differences among the oblasts. Since 1995, the TB case notification rate has risen by forty-three percent (from 72.4 in 1995 to 124.2 per 100,000 of population in 2003). Rising case notification numbers and reasonably large numbers of total cases, with markedly higher smear conversion rates among new smear positive cases are indicators of positive program performance as a result of technical assistance received from the USG. The mortality rate has decreased from 13.4 per 100,000 in 1995 to 11.9 per 100,000 in 2003, another indication of progress.

Performance Indicator: Narcotics seizures (Data reported by Kyrgyz Drug Control Agency)

FY 2002 baseline	FY 2003 Actual	FY 2004 Target	FY 2004 Actual
N/A	3,548kg 884grams	N/A	3,720kg 364grams (10 months of 2004)

FY 2004 Results: The FSA-funded Kyrgyz Drug Control Agency is only partially staffed and not yet fully operational. FY 2004, therefore, showed a slight increase in narcotics seizures. The real impact of this program will be visible in FY 2005, which is the first year in which specific seizure targets will be established.

Performance Indicator: Weapons of Mass Destruction material interdictions (Data reported by Kyrgyz Border Service and State Security Service)

FY 2002 baseline	FY 2003 Actual	FY 2004 Target	FY 2004 Actual
N/A	0	N/A	4 instances (seizure of plutonium, cesium, and two radioactive shipments from China)

FY 2004 Results: The Export Control and Border Security (EXBS) assistance is gradually building the capability for border and custom services to detect WMD materials, particularly radioactive materials, crossing the Kyrgyz Republic’s frontiers. None of the interdictions of materials have been linked with specific plans to create WMD devices. The increasing detection capability, however, will continue to yield interdictions that are a critical sign of growing vigilance at the borders. Specific target levels of these interdictions will be established for FY 2005.

TOTAL USG FUNDS BUDGETED:	$56.27 m
VALUE OF DONATED HUMANITARIAN COMMODITIES	$52.78 m

TOTAL FY 2004 USG ASSISTANCE:	$109.05 m

FSA Total:$36.74 m
Agency for Internat'l. Dev. (USAID)
Democratic Reform	$7.83
Environmental Management	$1.81
Private Sector Initiatives	$12.53
Social Sector Reform	$5.47
Special/Cross-Cutting Initiatives	$0.97
x Community Exchanges	$0.50
x Eurasia Foundation	$0.80
x Parking Fine Withholding	$0.02

Total USAID: $29.91
Dept. of State
EUR Democracy Programs (incl. Dem. Comms. & NED)	$1.05
Export Control & Related Border Security Asst. (EXBS)	$2.00
Humanitarian Transport	$1.80
Law Enforcement Assistance	$1.00

Total State: $5.85
Dept. of Agriculture (USDA)
Cochran Fellowship Program	$0.16
Faculty Exchange Program	$0.05

Total USDA: $0.20
Dept. of Commerce
Business Info. Service for the NIS (BISNIS)	$0.08
Special American Business Internship Training (SABIT)	$0.20

Total Commerce: $0.28
National Science Foundation
Civilian R&D Foundation (CRDF)	$0.50

non-FSA Total:$19.53 m
Agency for Internat'l. Dev. (USAID)
Economic Restructuring	$0.22

Dept. of State
Anti-Terrorism Assistance (ATA)	$0.38
Export Control & Related Border Security Asst. (EXBS)	$0.50
Foreign Military Financing (FMF)	$4.08
Human Rights & Democracy Fund (HRDF)	$1.96
Humanitarian Assistance	$0.08
International Information Programs (IIP)	$0.02
International Military Educ. & Training (IMET)	$1.05
Nonproliferation of WMD Expertise	$1.01
Public Diplomacy Exchanges	$2.78

Total State: $11.84
Dept. of Agriculture (USDA)
PVO / NGO Food Aid	$3.74

Dept. of Defense
Humanitarian Assistance	$0.35
Warsaw Initiative	$0.79

Total DoD: $1.14
Dept. of Education
Fulbright-Hays Programs	$0.08

Dept. of Energy
Material Protection, Control & Accounting (MPC&A)	$0.30
Nonproliferation & International Security Programs	$0.07

Total DoEnergy: $0.37
Dept. of Labor
International Child Labor Program	$0.44

National Science Foundation
Civilian R&D Foundation (CRDF)	$0.01

Peace Corps
Volunteers / General Operations	$1.67

Trade & Development Agency (USTDA)
Feasibility Studies / Trade Promotion	$0.02