Russia, Japan agree to resume talks on peace treaty after stalling for 10 years
RT | April 29, 2013
President Vladimir Putin and Japanese Prime Minister Shinzo Abe say the countries foreign ministers are to resume speedy talks on a peace treaty that was suspended in 2003.
“The heads of the two nations have expressed their resolution to overcome the existing differences in the parties’ positions and to sign the peace treaty by finally solving the question in a mutually acceptable form,” reads a joint statement after a meeting between the two men.
The statement also describes as “not normal” the situation in which the two neighboring nations cannot sign a peace treaty 67 years after the end of the war.
However, the Russian President said in an answer to a reporter’s question that the resumption of talks did not mean that all problems will be resolved on the next day. He also added that development of economic ties would be the best support for the diplomatic dialogue.
“It was not us who created this problem. We inherited it from the past. And we sincerely want to solve it in conditions that are mutually acceptable for both sides,” Putin said.
Shinzo Abe’s visit to Russia is the first by a Japanese leader in 10 years, the same time since Russia and Japan suspended talks over the peace treaty.
Putin and Abe agreed to promote the peace treaty talks on the basis of all previously approved documents and agreements.
The Japanese PM said he invited Vladimir Putin to visit Japan in 2014 and that the Russian leader thanked him for the invitation.
Since the end of the WWII Russia and Japan have coexisted peacefully, and investment and trade between the countries is constantly developing. However, diplomatic relations are tense as Japan refuses to sign a peace treaty with Russia claiming that there is an unresolved territorial issue – the row over several small islands known as South Kuriles in Russia and as the Northern Territories in Japan.
Because of loose definitions in the international treaties signed at the end of the war ,Tokyo demands the return of the islands that were captured by Soviet troops in 1945. Russia insists the islands became a part of the USSR after the war and therefore Russian sovereignty over this territory cannot be revised.
Immediately before Shinzo Abe’s visit to Moscow the Russian Foreign Ministry issued a statement urging a ‘calm and respectful atmosphere’ in looking for a solution.
In recent years the island row has led to several incidents between Russia and Japan. After the most recent, the Japanese Foreign Ministry summoned the Russian Ambassador to protest Russian Prime Minister Dmitry Medvedev’s visit to the Kuriles in 2012. Russia replied that Japan had no right to advise a top official on the choice of destination as he travels in his country’s own territory.
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Russia and Japan create joint investment pot with $1bn entry ticket
RT | April 29, 2013
Russia and Japan have launched a new tool for the development of mutual investments. The new Russo-Japanese investment platform involves injections starting from $1 billion and is aimed at boosting Russia’s Far East.
The agreement was reached on an official visit of Japanese Prime Minister Shinzo Abe to Moscow where he met with Russia’s President Vladimir Putin. It was the first official trip by a Japanese Premier to Russia for ten years.
The two sides agreed to jointly invest in infrastructure, medicine and health, technology, “smart cities” and alternative energy sources.
Among the top priorities for regional investment program are Russia’s Far East and Eastern Siberia. Russia’s Eastern regions provide excellent conditions for creating highly profitable projects due to the resource base and transport potential, and companies that are already involved in business there will get additional efficiency with the influx of foreign investment, Kirill Dmitriev, Director General of Russian Direct Investment Fund (RDIF) said.
The new two-way platform is based on a powerful financial component. In addition to RDIF, Russia’s Vnesheconombank and Japan Bank for International Cooperation is also on board.
“The new mechanism is designed to simplify the exchange of technology and experience,” Dmitriev said. “The Japanese economy is built on advanced technology, and this is exactly what we are lacking.”
Leading Japanese corporations were invited to meet on the sidelines of the Prime Minister’s visit to Moscow. Toshiba, Mitsubishi, Kawasaki and Olympus and many have expressed interest in in investing in Russia. “Now RDIF’s goal is to turn that interest into real projects,” Dmitriev said.
Another cooperation agreement was reached between Japan’s Hokkaido Bank and the government of Russia’s Amur region.
Earlier it was reported that Russian-Japanese joint investments may increase by 10 times over the next three years. “But with such financial and technological support we have reason to think that the real figures can get higher. So far Russia’s interest in Japanese foreign investments is less than 1% (0.62% in 2012). But we already have a lot of positive examples of investment by Japanese companies in our country,” Dmitriev said.
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- Abe, Putin vow to increase efforts to sign Japan-Russia peace treaty (japandailypress.com)
Russia instructs ‘Foreign Agent’ NGOs to report spending quarterly
RT | April 30, 2013
The Russian Justice Ministry has published an order for all NGOs that register as foreign agents, telling them to detail the spending of their funds every three months.
The ministry also instructs those groups with foreign agent status to prepare reports on their activities and management every six months and a full audit of their accounting books once a year.
So far, no organization has registered as a foreign agent in Russia even though the corresponding law came into force in November last year. This year the authorities launched a major inspection throughout the country and the prosecutors and the Justice Ministry now claim that 18 groups must receive the status.
The NGO audit is still underway.
This decision only led to protests from the groups who said that the inspection was ill-founded and any foreign sponsorship had taken place before the law came into force.
International organizations and rights groups, as well as foreign governments, have criticized the Russian Law on Foreign Agents as such, saying that it can be used as means of pressure and lead to underfunding of Russian rights organizations.
Russian sponsors of the law, including senior officials, replied that the law simply required the activists to clearly indicate the sources of their funding in order to better inform the public. The Russian side several times emphasized that no organization can be closed under the existing law.
President Vladimir Putin said in a recent interview with the German broadcaster ARD that the number of foreign-funded non-governmental organizations operating in Russia amounted to 654. He also said that these organizations received 28.3 billion rubles, or almost $1 billion, from their foreign sponsors in just four months that passed after the adoption of the Foreign Agents Law.
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Rosneft sets sights on Iraq and Venezuela
RT | April 24, 2013
Rosneft has announced joint ventures with ExxonMobil in Iraq, and with a Venezuelan national oil company. According to CEO the expansion will double the company’s share of the Russian gas market.
Igor Sechin told reporters on Tuesday that the company is considering teaming up with veteran business partner ExxonMobil in Iraq.
“We will work with anyone who offers good terms, we’ll work with ExxonMobil too,” Reuters reported Sechin as saying.
An Iraqi oil ministry delegation will arrive in Moscow on May 10 to further discuss the deal.
Since Sechin became CEO, Russia’s largest producer of oil Rosneft, has upped its game against state-controlled rival Gazprom which currently controls 70% of Russian gas exports.
His first big step was acquiring the Anglo-Russian company TNK-BP from BP for $55 billion on March 21 2013, which will give it an Arctic niche.
Sechin aims to chip away at the Gazprom monopoly, and to double Rosneft’s domestic gas market by 2020, from 9% to 19-22%, plans made clear at an investor meeting in London on Tuesday.
“We like to work with gas very much,” Sechin said at the meeting. “The domestic market is also attractive, and it suits us well.”
Sechin predicts the new mega company may reach a market capitalization of $120 billion in the next two years, which would trump Gazprom’s estimated value of $73-90 billion.
According to the Oxford Institute for Energy Studies, by 2013 Russia will even outperform its pre-crisis levels of 2008.
Rosneft expects to produce more than 40 billion cubic meters (bcm) of gas in 2013, over 60 by 2016 and 100 bcm in 2020, half of which will be produced in new projects.
The company is also on Gazprom’s heels in LNG development, as both companies are looking to expand their influence, particularly in exports to China.
Venezuelan vision
Just hours after the Iraq announcement, Venezuela’s government trumpeted a joint venture with Rosneft and PDVSA, the national oil company that dominates the Venezuelan market.
Rosneft will get a 40% share and the preliminary license is set for 25 years, and subject to extension.
The Venezuelan project will develop 342 kilometers in the Orinoco River basin, one of the richest oil reserves in the world, with an estimated 86.4 billion barrels, according to RIA Novosti.
Russian companies are involved in 5 oil projects in Venezuela, the world’s fifth largest oil exporter.
Venezuelan Oil Minister Rafael Ramirez has estimated the joint Russian-Venezuelan projects will be worth close to $50 billion by 2019.
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Nicaragua and Russia Make Cocaine Bust in Caribbean
Latin America Herald Tribune | April 13, 2013
MANAGUA – Nicaraguan naval forces and Russian drug enforcement agents seized 100 packages of cocaine on the high seas, state media reported, citing military spokesmen.
The seizure was made 30 nautical miles from Quitasueño key in the Caribbean waters administered by Colombia for 84 years until an International Court of Justice ruling on Nov. 19, 2012, restored sovereignty over the area to Nicaragua, armed forces spokesman Col. Orlando Palacios said.
The cocaine was being smuggled in a two-engine boat and arrests were made, Palacios said, without specifying how many suspects were detained.
Nicaragua’s Caribbean region provides a natural smuggling corridor for drug traffickers moving narcotics from Colombia into the United States.
The Nicaraguan armed forces seized 6,870 kilos of cocaine, arrested 143 people and confiscated 52 boats in 2012, the government said.
Nicaragua and Russia signed an agreement to fight drug trafficking.
Russian officials placed the cornerstone for an anti-drug training center in Managua in March.
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- Nicaragua, Russia Break Up Drug-Trafficking Ring (rferl.org)
Putin: No plans to close NGOs, public has right to know
RT | April 5, 2013
Recent checks in Russian NGOs are completely in line with the law and have the sole objective of informing the Russian public on these groups’ activities, according to President Vladimir Putin.
In an interview with the German broadcaster ARD, Putin said that the recently-approved law on foreign agents that caused the major NGO audit had parallels in international practice. He also noted the extremely disproportionate representation of non-governmental presence from foreign countries in Russia.
In the very beginning of the interview, the Russian President noted that it was not the objective of the NGO inspections to scare the public or the activists, adding that the mass media was performing that function.
Putin added that the real situation differed greatly from what was presented by the Western mass media. In particular, the fresh Russian law demanding that non-government organizations engaged in Russia’s internal political processes and sponsored from abroad must be registered as foreign agents was noting new. The United States has had a very similar law since 1938.
Putin noted that the US law is enforced by the Department of Justice. All groups operating in the US must regularly submit information about their activities and this information is then reviewed by the counterespionage section.
The German reporter admitted he was not aware of such practices in the United States.
Putin went on to point out that there were 654 foreign-funded groups operating in Russia, while Russia sponsored only two foreign NGOs – one in France and one in the United States.
He also disclosed that foreign diplomatic missions transferred $1 billion. Eight hundred and fifty-five million was to the accounts of Russian-based NGOs in just the four months that passed since the approval of the Foreign Agents Law.
Putin told the interviewer that in his view, Russian society had the full right to know about the extensive network of foreign-sponsored organizations operating in the country, as well as about the amount of funding these groups were getting from their foreign sponsors.
The Russian leader then again stressed that the Russian authorities did not intend to pressure or shut down any organizations.
“We only ask them to admit: ‘Yes, we are engaged in political activities, and we are funded from abroad,’” Putin said. “The public has the right to know this.”
Putin also emphasized in his interview that the Russian authorities fully supported political competition, as without it the development of the country and the people is impossible. He said that the opposition had every right to protest, but even during these protests the rally-goers must abide by the law.
“There must be order. It is a well-known rule. It is universal and applicable in any country,” he stated, noting that the recent events in North Africa were a vivid example of what might happen if this principle is neglected.
The president recalled the recent changes in the law on political parties that drastically simplified both the registration and the work of these organizations. He also spoke of as other moves to liberalize the political system, such as the return of the gubernatorial elections, saying that this was proof that he and his supporters encouraged political competition.
‘Feeling the Cyprus pinch’
When asked about the scope of Russian investment in Cyprus, Putin said it was “absurd” to view private Russian business interests operating in an EU country as having any connection with the activities of the Russian government itself.
He did, however, state that following the $13 billion bailout agreement with Cyprus, which included a one-time tax on deposits held in Cypriot banks, foreign investors feeling the pinch in the EU were more likely to “come to our financial institutions and keep their money in our banks.”
Reacting to claims that Cyprus was a safe haven for dirty money, Putin stressed that Russia neither created the offshore zone, nor had anyone provided evidence of financial misconduct on the Mediterranean island. But while no criminal wrongdoing has been proven, people who had merely deposited their money without breaking any laws now risk forfeiting 60 percent of their deposits as a result of the Cyprus bailout deal.
The Russian president continued that apart from Cyprus, other zones had been created by the European Union, and it was a red herring to place the blame for illicit activities on investors who benefited from them.
“If you consider such zones a bad thing, then close them. Why do you shift responsibility for all problems that have arisen in Cyprus to investors irrespective of their nationality (British, Russian, French or whatever else).”
When asked if he had felt snubbed by the EU when it opted not to turn to Russia for help despite the number of Russian nationals affected, Putin resolutely answered no.
“On the contrary I am even glad, to some extent, because the events have shown how risky and insecure investments in Western financial institutions can be.”
‘We trust the Euro’
Despite previous criticism of certain aspects of the European financial system, Putin stated emphatically that “we trust the euro.”
Putin was unwilling to comment in depth on the internal workings of the EU that had no direct bearing on Russia, as it would be disrespectful to EU leaders.
He did say, however, that despite several points of contention between the EU and Russia, they “are fundamentally moving in the right direction” and Russia had made the right decision in keeping such a large share of its gold and currency reserves “in the European currency.”
Reiterating Russia’s trust in the economic policy of major European countries, Putin remains confident that Europe will overcome the difficulties it is currently facing.
Click here to read the full transcript of the interview
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Russia expects progress in Iranian nuclear talks
Xinhua – 2013-04-03
MOSCOW – Moscow hopes proposals made by world mediators to Iran over its nuclear program could lay the foundation for negotiations on solving the problem, Deputy Foreign Minister Igor Morgulov said Wednesday.
Russia was “closely coordinating” with the P5+1 group, which includes China, France, Russia, the United Kingdom, the United States and Germany, on the Iranian nuclear issue, Morgulov told the Interfax news agency.
Moscow expected “an updated package of demands” given by the Sextet to Iran during the late February Almaty meeting could lay the foundation for “consistent progress” in the nuclear talks, Morgulov said.
The parties held expert-level nuclear talks in Istanbul in late March to discuss a revised proposal that asks Iran to suspend its enrichment of uranium and disable the underground Fordow facility in exchange for limited sanction relief.
The next round of nuclear talks is scheduled for April 5-6 in Almaty, Kazakhstan.
Russia believes a long-term settlement towards the Iranian nuclear issue should be based on the recognition of Iran’s “unconditional right to develop its civilian nuclear program,” Morgulov said.
Meanwhile, Russia highly values close dialogue with China over the Iranian nuclear program, as the two countries shared common positions in many aspects, he added.
Russia, together with China, believe the use of unilateral sanctions and political pressure on Iran only lead to a dead end, Morgulov said, adding that such moves were counterproductive and undermined diplomatic efforts in solving the problem.
Iraq to resume $4.2bn Russian arms deal
RT | April 1, 2013
Baghdad and Moscow have agreed to renew an arms deal worth $4.2 billion that was put on ice in 2012 amid corruption allegations. Russia reportedly agreed to send four extra assault helicopters as part of the renegotiation.
It will be post-Saddam Iraq’s largest arms deal with a partner other than the US and its key allies. The agreement has not yet been formally signed, but will be soon, Russian newspaper Vedomosti reported, citing a source in the Russian arms export industry.
The trade agreement was initially signed in October 2012 during Iraqi Prime Minister Nouri al-Maliki’s visit to Moscow. Russia agreed to supply Iraq with 48 Pantsir-S1 short-to-medium-range air defense systems and 28 Mil Mi-28NE strike helicopters, among other arms.
But the deal faced scrutiny in Iraq over corruption allegations. At the time, conflicting reports emerged over whether the contract had been scrapped entirely or subjected to renegotiation.
The situation was aggravated by turmoil in the Iraqi parliament, which saw heated debate over the national general budget for 2013. The disagreement was finally shelved in March 2013 after months of debate, as the country’s Defense Ministry was given a free hand in procuring military hardware.
A new version of the multibillion-dollar arms deal was presented in Moscow last Monday after a delegation of top Iraqi military officials visited Russia, according to Iraqi news agency Al-Mada Press.
Moscow met the corruption concerns undermining the deal by offering four extra Mi-28 attack helicopters, the source told Vedomosti. An Iraqi MP reported similar terms last week to Russian news agency RIA Novosti. Ali al-Sha’la from al-Maliki’s Rule of Law coalition said the new deal covers more advanced technology, including aircraft weapons and instruments that will beef up Iraq’s air capabilities.
Some Iraqi lawmakers have expressed resistance to signing the contract. Deputy Parliament Speaker Aref Taifour of the Kurdistan Alliance faction criticized the deal days after it was renegotiated, calling it a “waste of public funds and continuation of the corruption in the country” in a statement.
The Mil Mi-28NE ‘night hunger’ is the export version of an upgraded variant of the Mi-28 attack helicopter. Compared to the older Mil-28 helicopter, a ‘tank killer,’ it has all-weather and night combat capabilities, allowing it to strike at more targets.
The Pantsir-S1 combines surface-to-air missiles and anti-aircraft dual auto-cannons capable of engaging aerial targets at medium- and short-range. The Pantsir is designed to work in tandem with long-range SAM systems like Russia’s S-400 to protect critical infrastructure against air strikes.
The first batch of arms under the contract is expected to be delivered shortly after the agreement is signed later this year. Iraq is reportedly seeking to purchase other advanced Russian hardware, including Mikoyan Mig-29 fighter jets.
Russia slams US ‘interference’ for vowing to continue NGO funding
RT | March 30, 2013
Russia’s Foreign Ministry has condemned the US over its plan to continue financing certain Russian NGOs. Moscow has accused Washington of meddling in its domestic affairs.
“We consider the statement by the US State Department official representative Victoria Nuland, saying the US is going to continue financing some of Russia’s NGOs through intermediaries in third countries, avoiding the Russian legislature, a blatant interference into our internal affairs,” Russian Foreign Ministry spokesperson Aleksandr Lukashevich said in a statement on Saturday.
Mass audits of Russian NGOs started on March 21, on orders from the Justice Ministry and the Prosecutor General’s office.
The checks immediately sparked criticism in the international rights community, which labeled them an attempt to pressure activists. Russia has maintained the checks are regular inspections to see if NGO work complies with Russian law – legislation was recently amended to require that NGOs receiving foreign funding register as ‘foreign agents.’
Victoria Nuland, US State Department spokesperson, said that Washington’s NGO funding will continue unabated: “We are providing funding through platforms outside of Russia for those organizations that continue to want to work with us,” she said at a Thursday briefing.
The Russian Foreign Ministry believes the US is engaged in “direct instigating of certain non-governmental and public structures to violate legislation related to the work of non-governmental organisations in the Russian Federation,” according to Lukashevich’s statement.
Russian diplomats were also incensed by Victoria Nuland’s description of the NGO raids as a “witch hunt.” Lukashevich’s statement described his American counterpart’s choice of words as “cynical and provocative.”
Moscow has said that its NGO policy is in line with generally accepted international practices. So far, auditors have reported no infractions in the activities of non-governmental groups, apart from one incident. On Thursday, ‘For Human Rights’ leader Lev Ponomaryov refused to turn over working documents to inspectors, saying that his organization had already been subjected to a recent check.
Law enforcers said the act was a refusal to comply with lawful demands, and started an administrative case against the activist.
President Putin on Friday asked Russia’s top Human Rights Commissioner, Vladimir Lukin, to monitor the situation with the NGO raids. “I would like to rule out any excesses there,” Putin said.
