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FOCUS OF THE PRESS: PRESS-CONFERENCE BY RUSSIAN PRESIDENT VLADIMIR PUTIN
RIA Novosti, July 19
Russian president Vladimir Putin held his Kremlin first press-conference on July 18. Practically every daily has commented on this event.
Komsomolskaya Pravda writes: "Yesterday was Press Day in the Kremlin. Borovitsky Hill (on which the Kremlin stands) has not seen such a concentration of newsmen for a long time - there were over 60 TV cameras alone. All in all, the Kremlin honoured the requests of 502 Russian and foreign journalists in the proportion 50:50. The RTR and CNN TV companies conducted live coverage of the press-conference. According to the newspaper's data, since Vladimir Putin's coming to power, over a thousand letters from Russian and foreign media requesting an interview have accumulated in the Kremlin. If Putin had met all requests, he would have had no time left to work as the president. The presidential press-service did not know what to do and cherished the hope: perhaps 'a journalists' forum' could help remove the queue? Judging by everything, this was the main point of yesterday's press-conference".
Kommersant writes that the idea of holding a press-conference, according to an admission made by Putin's press-secretary, was to stimulate interest in Russia on the eve of the G8 summit in Genoa.
The newspaper Vremya MN notes that Vladimir Putin decided to meet the press - a rather wicked public that can ask not only an inconvenient question but also make a remark the Kremlin executives would not even dare to think of - after eighteen months in office. "Well, apparently Putin has gained experience and finally decided to give up the image of a invisible front fighter, feeling that it is time to live up to the image of a public politician both abroad and at home".
Izvestia writes: "The president is mastering a method that is new for both himself and the entire 'post-Soviet' country: he is making politics public and responsible before the citizens and the world. Putin's statements against reinstating capital punishment and on strategic orientation towards Europe, press-conference on the eve of the Genoa summit - all these acts are of one and the same category of values. Yeltsin's arm-chair style of the last years of his rule is becoming a thing of the past, together with friendly "no-ties" get-togethers. Instead, Putin is demonstrating his political resource in public. Consequently, Putin the politician has risen to a new level in just one year." The newspaper draws the readers' attention to the fact that the president's press-conference coincided with a concert of Placido Domingo, the world-renowned tenor, in the Kremlin. There had been no intention to postpone it deliberately, "not because political technologists were out to arrange a competition between Domingo and Putin. This coincidence is a symbol of a new political style. Russia is now trying to become a part of a different, more open world", writes Izvestia.
The newspaper Vremya Novostei notes that there were no dramatics at the press-conference, nor was any particular news reported. "Perhaps, this is the highest appraisal of the president's activity over his 18 months in office. This is a good sign indeed. It means that life has become better, and duller. We have no more 'politics' in the traditional Russian, Yeltsinist sense of the word. On the contrary, there is 'consensus and stability', which Putin, by his own admission, 'values very much' and would not trade for anything in the world. Politics has been called off, which means that one should not expect anything 'sweet', 'hot' or 'spicy' from public events involving the president. Instead of politics, - orientation towards the economy and the need to learn in order to work. Putin had set top priorities for the next few years long ago and confirmed them yesterday. These are a law-governed federative state, liberalization of the economy, development of the party political system, and a peaceful and proud foreign policy. In the three and a half years to go before the expiration of his term (Putin ignored the high probability of its extension), the president wants to do more than any other Russian ruler has ever managed to do. 'I would like the things that we have started today and are most actively translating into life to yield practical results, which every ordinary can feel in financial respect. So that the country's citizens feel safe, live better, become richer and have a constantly growing feeling of pride for their country'. That is, Vladimir Putin wants to restore a normal life in the country. No more and no less," concludes the newspaper.
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RUSSIAN-CHINESE PACT FORMALIZES BILATERAL STRATEGIC PARTNERSHIP
By Georgy KUNADZE, former deputy Russian foreign minister, leading expert, Institute of the Global Economy and International Relations, Russian Academy of Sciences, RIA Novosti
President Vladimir Putin of the Russian Federation and PRC (People's Republic of China) President Jiang Zemin have signed the Good-Neighbourly Treaty of Friendship and Cooperation in Moscow the other day. This document elevates Russian-Chinese relations to an entirely new level. Such relations used to develop purposefully throughout the 1990s. Our two countries have entered the 21-st century as strategic partners, which maintain extremely trustful relations. Such relations are based on their coinciding opinion of the most important international problems. Moreover, Russia and China have a common opinion of global stability and specific principles of such stability.
Current Russian-Chinese strategic partnership, which is formalized by the new treaty, differs considerably from that 1950-vintage "eternal friendship" that was proclaimed by Stalin and Mao. According to that principle, the USSR played the part of China's big brother. It goes without saying that China would never agree to this today. For its own part, the new democratic Russia has long discarded the limited-sovereignty doctrine that was preached by the USSR in its relations with socialist partners. Russia now needs China as a full-fledged partner, which is linked with it by obvious common geo-political interests. The leaders of our two countries agree that not a single problem impedes bilateral cooperation for the sake of creating a 21-st century global order that would make it possible to heed the interests of all countries.
However, Washington aspires for a different global order. Consequently, speaking of geo-political aspects, both Moscow and Beijing are experiencing extremely serious pressure on the part of a uni-polar world's advocates. The United States would like to act as a mentor and a supreme judge with regard to other countries, handing out final verdicts that would have to be unfailingly fulfilled by the international community. Naturally enough, neither Moscow, nor Beijing can agree with this.
Russia and China are worried about US intentions to deploy the NMD (National Missile Defense) system; in fact, Washington has virtually launched NMD tests today. Our two countries believe that America's unilateral withdrawal from the 1972 ABM (Anti-Ballistic Missile) Treaty would drastically aggravate the international situation, also entailing yet another arms race and threatening peace all the same. It is to be hoped that the staunch and agreed-upon Russian-Chinese position, as well as their desire to retain worldwide stability (that were displayed in the course of negotiations between Putin and Zemin), will duly influence the United States, compelling it to once again assess the possible consequences of its NMD adventure.
However, Russian-Chinese rapprochement doesn't necessarily mean that the Cold War-era bipolar confrontation will resume once again. Cooperation between Moscow and Beijing, including military-technical cooperation, is not spearheaded against the United States or any other country. Such cooperation serves the interests of peace, positively affecting the international situation already today. Bilateral cooperation will, surely, become ever more important.
Moscow and Beijing voice identical positions on many global and regional issues. Both sides have managed to establish effective cooperation within the framework of the so-called Shanghai forum, which comprises Russia, China, as well as several Central Asian countries from the former Soviet Union. All of them are interested in enhancing their security and territorial integrity; besides, they want to fight extremism and terrorism. They have a sober opinion of the fact that Afghanistan's Taliban regime endangers regional stability.
Regional Russian-Chinese cooperation doesn't boil down to Central Asia alone. Such cooperation also has pretty good prospects in the Asia-Pacific region. The situation on the Korean Peninsula also depends greatly on the position of Moscow and Beijing, as well as on their coordinated efforts. Russia and China would like to stabilize the situation and to ensure the continuation of dialogue between North Korean and South Korean leaders that was launched last year. Moreover, they would like the two countries to score additional successes on the road toward peaceful reunification.
Moscow and Beijing have settled their territorial disputes rather successfully; well, this should also set a good example for Tokyo. The Russian-Chinese Good-Neighbourly Treaty of Friendship and Cooperation, which was signed in Moscow, states expressly that both countries lack any mutual territorial claims. At the same time, the document notes that the sides will continue their border-demarcation talks. The thing is that China has its own opinion about the future of the Tarabarov, Bolshoi and Bolshoi Ussuriisky islands, which are now controlled by Russia. However, this problem didn't prevent Moscow and Beijing from inking the afore-said pact. This constitutes a positive example for settling the Russian-Japanese territorial dispute.
As far as bilateral economic cooperation is concerned, one should admit that such cooperation still lags behind our active political dialogue. Nonetheless, Russian-Chinese economic cooperation boasts a tremendous potential. Moscow is sure that the bilateral trade turnover can be boosted with the help of some large-scale joint projects in such areas as the power-machinery sector, the general-purpose machinery sector, the nuclear power industry, civil aviation and others being envisaged by the Moscow treaty.
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ECONOMIC NEWS DIGEST
RIA Novosti
* The Federation Council (upper house of parliament) has approved several laws concerning tax reform. These laws introduce amendments and additions to the Tax Code and other legislative acts. Firstly, they introduce a tax on mineral mining. This tax will subsume the current tax on reproduction of minerals and raw materials, and for oil companies, also excises on oil. As government experts note, the adoption of this law will contribute 150 billion roubles in extra receipts to the treasury as a minimum.
Secondly, all rouble excises will be raised by 12 per cent. This law is expected to maintain tax revenues from excises to Russia's budget through indexing of specific rates of excises and expanding the taxable base. Excises are to be indexed on ethyl alcohol, wines and spirits, tobacco raw materials, and oil.
The Federation Council also adopted a law reducing a tax on the profits of enterprises and organisations from 35 to 24 per cent. It also abolished all tax breaks on profits.
After approval by the Federation Council the laws will be sent to the president for signature.
* Russia's Deputy Prime Minister and Finance Minister Alexei Kudrin believes that the adoption of tax laws will benefit both the federal budget and producers. Despite the fact that constituent members of the Russian Federation lose partly in the profit tax and in the mineral tax, members of the upper house of the Russian parliament agreed to this, knowing that "it is a step into the future", said Kudrin. "Society is consolidated in its desire to march forward, even with temporary losses," he emphasised. Kudrin expressed hope that the payment of taxes by everyone, including the raw materials branches, will improve. According to him, the adoption of all tax laws benefits not only the budget but also the producers, because the tax burden is eased.
* The Federation Council (upper house of parliament) has approved laws to debureaucratise the Russian economy. Senators supported a law "On Licensing Individual Types of Activity," and also a law "On State Registration of Legal Entities". The former law removes unwarranted administrative barriers in the way of licensing. The latter simplifies to a maximum the registration of legal entities, which will now be merely informative. The aim is to dismantle unjustified barriers against entrepreneurs entering the market and to protect consumers' rights.
The Federation Council also approved a law "On Countering Legalisation /Laundering/ of Criminally Obtained Proceeds". The law provides for enabling legislation to make the struggle against laundering of proceeds of crimes more successful and efficient.
* The Federation Council has approved a law reducing the mandatory sales of hard currency earnings from 75 to 50 per cent. The law, according to Economic Development and Trade Minister German Gref, "encourages exporters, which is typical in all civilised countries". Its adoption will not affect the nations' gold and hard currency reserves, because the country "does not face a currency squeeze".
Gref also said that the Russian government proposed transferring from the Central Bank to the president powers to regulate obligatory sales of currency earnings by exporters. Relevant bills will be submitted to the lower house of parliament this autumn.
* Russia's Prime Minister Mikhail Kasyanov has met Vietnam's Vice-Premier Nguyen Manh Cam to discuss trade and economic cooperation between Russia and Vietnam. The two pointed to the more promising areas of cooperation between the two countries, which are above all else oil production and refining and also participation of Russian firms and companies in Vietnam's energy industries. Besides, they discussed promising road and bridge projects.
Among the biggest successful projects in the trade and economic field of the two countries is modernisation and retooling of enterprises built by the Soviet Union, of which there are about 300. Besides, a very significant project remains the joint Vietsovpetro venture, producing oil from the shelf.
* In Grozny, one of the largest plants in the republic - Elektropribor - has opened. Four of its functioning shops produce electric tools and plastic articles and two, machine metal. The plants was restored by its workers with funds for raw materials allocated by the republic's government. The start of the enterprise will create more than 50 jobs and before the year's end their number will increase to 120.
* From July 20, Russia is ceasing sturgeon fisheries in the Caspian. This decision was taken last June in Paris at a session of the permanent committee of the UN convention on international protection of endangered species. A similar measure is envisaged for three more Caspian countries - Azerbaijan, Kazakhstan and Turkmenia. Anatoly Makoyedov, deputy chairman of the State Fisheries Committee, said that this is an "agreed position" of the Caspian states and signatories to the UN convention on the international protection of species with a view to preserving and restoring sturgeon stocks.
A directly opposite position was voiced by Mark Karpyuk, head of the fisheries department of the Astrakhan regional administration. Protection of Caspian sturgeon, he believes, should be effected by the state taking drastic steps against poaching, and not restricting legal fisheries.
* A delegation from the Chinese bank China Everbright, from Heilongjiang Province, and the management of Khabarovsk's Vneshtorgbank (Far East) have begun talks on mechanisms for mutual support of clients of these banks in Russia and China, and also on details of a basic financing agreement being drawn up. Khabarovsk's Vneshtorgbank said that this agreement allows enterprises working with Chinese firms to make reciprocal settlements day on day, including on the basis of credit lines. Earlier, transactions had to be carried out via third-country banks.
Khabarovsk-based Vneshtorgbank has already signed a similar agreement with the Bank of China, also from Heilongjiang Province. It is expected that similar documents on direct relations will be signed one of these days by the banks of Chita and Blagoveshchensk (cities in the Far East) with Chinese banks in the city of Heihe and in Inner Mongolia Province.
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MOSCOW - WASHINGTON: IN SEARCH OF CONSENSUS
Alexei BOGATUROV, professor. deputy director of the Institute of USA and Canada Studies of the Russian Academy of Sciences, RIA Novosti
The Presidents of Russia and the United States have laid a good foundation for establishing personal relations and trying to find solutions to difficult problems which have not yet been settled. This is the appraisal of the present state of the Russian-American relations which was given by Russian President Vladimir Putin at the news conference in Moscow. It shows that the leaders of the two powers have reached mutual understanding and intend to conduct a fruitful and constructive dialogue.
Judging by the statements and concrete steps of Vladimir Putin, he attaches great importance to personal diplomacy, and it is becoming for him an increasingly important resource in streamlining Russo-American relations. During the fifteen months of his presidency Vladimir Putin has shown himself as a skilful diplomat who can find a common language with a person he is talking with and to produce a good impression by his competence and openness. George W. Bush, too, in Putin's opinion, is a quite competent man to talk with. "It is easy to talk with him, " said he.
If we look at the history of the Moscow-Washington dialogue, we can say that its fruitfulness always depended on mutual relations between the leaders. Mutual respect between Stalin and Roosevelt, their personal contacts in Teheran and Yalta in many respects contributed to close cooperation between the Soviet Union and United States in the years of the Second World War. The absence of diplomatic abilities of Nikita Khrushchev, his inability to keep up a dialogue at a proper level, plus many other reasons, of course, presupposed the failure of that Soviet leader to establish contact with Dwight Eisenhower and John Kennedy. However, Leonid Brezhnev succeeded in finding mutual understanding with Richard Nixon, and this fact played not the last role in the circumstances that the policy of detente started and a number of important agreements were reached, including the Moscow Anti-Ballistic Missile Treaty of 1972.
Today, the fate of this treaty has been jeopardised. The United States wants to withdraw from it, and Putin needs to be firm and flexible at one and the same time to convince Bush of erroneousness of his step - to build a national missile defence system. It is difficult to say, however, whether Putin will be able to do it. But many things testify to the fact that Bush heeds the arguments of the Russian President and does not want the USA to unilaterally withdraw from the Moscow Treaty, hoping for joint actions with Moscow.
In his time, the father of the White House incumbent, George Bush, Sr., managed to reach an agreement with Moscow. His meeting with Soviet President Mikhail Gorbachev on Malta became an important milestone in the history of Russian-American relations. In general, Gorbachev was very much respected in the West. But to win this respect was much easier for Gorbachev, who stood at the head of the mightiest power, than to Putin, the leader of a new Russia which is living through great difficulties after the collapse of the Soviet Union. Yet, he succeeds in maintaining an equitable dialogue with Washington and in achieving a respectful attitude to Russia which has its own points of view, different from the American ones, on the most important world problems. This shows the importance of the personal qualities which the Russian President intensively uses in his foreign policy activity.
It will be recalled that sceptics foretold a quarrel between Putin and Bush during their meeting in Ljubljana. However, it has not occurred. On the contrary, according to the Presidents themselves, trusting relations have been established between them. Sceptics also foretold an inevitable confrontation between Moscow and Washington after the United State has actually started testing the national missile defence system, but this has not happened either, which can be seen from Vladimir Putin's press conference and the latest statements made by George W. Bush. And, consequently, this means that realism and the understanding of the necessity to look for consensus are becoming more and more a determining factor in mutual relations between Russia and the United States. It is to be hoped that this tendency will be continued.
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92 UNIVERSITIES AND COLLEGES IN RUSSIA PREPARED TO ENROL CHECHEN ENTRANTS
RIA Novosti
Ninety-two universities and colleges in Russia are prepared to enrol Chechen entrants, Vladimir Yelagin, Russia's Minister for Chechnya, told a news briefing in the Government House on Friday.
Entry examinations to colleges have already been passed by 916 young people, covering 280 specialities needed mostly in Chechnya. According to Yelagin, 5,000 Chechen young people have been selected for studying at vocational schools and the Ministry of Education is ready "to provide more with state support". A programme for medical and psychological rehabilitation of youth is being drafted in Chechnya.
Yelagin also commented on the coverage of life in the republic in the mass media. He said that the republic already publishes 8 newspapers, including one for the whole republic. However, the information they carry concerns mainly military matters. In the minister's view, "it is necessary to highlight the feats not only of the military, but also different feats - the feat of a teacher, or of a grain grower working in the field." It is necessary to show the conditions in which the people of Chechnya work. "People work in difficult conditions, but they are ready to rehabilitate the republic," he emphasised.
The minister thinks it necessary to show the development of peaceful life in the republic, since, as he said, no one knows, for example, that Grozny already has running water.
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