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Friday, October 19, 2007 Volume 11 Number 194
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Russia
PUTIN SAYS 'RUSSIA IS NOT IRAQ,' CAN DEFEND ITSELF...President Vladimir Putin said on October 18 during his three-hour "Direct Line" radio and television question-and-answer broadcast that "Russia has sufficient strength and means to protect its interests on its territory and in other regions of the world," kremlin.ru and Russian media reported. He was responding to a request from a Siberian mechanic to comment on a statement, allegedly made several years ago by former U.S. Secretary of State Madeleine Albright, to the effect that Siberia has too many natural resources to belong to one country, namely Russia. Putin replied that he is not familiar with the alleged comment, but added that "such ideas occupy the minds of certain politicians. This is a kind of political erotica, which perhaps can give some people pleasure but is unlikely to yield any results." He did not elaborate. Russian media have sometimes suggested that populous and dynamic China has its eye on Siberian territory and resources (see End Note, "RFE/RL Newsline," September 12, 2007). In his remarks on October 18, however, Putin seemed to have the United States in mind because he added that Iraq is an excellent example of "such thinking" about acquiring the resources of other countries. He argued that one of Washington's goals in Iraq "was to establish control over the country's oil reserves." He called Iraq "a small country with enormous reserves that is hardly capable of protecting itself." Putin stressed that "Russia, thank God, is not Iraq" and can defend itself. He argued that the Americans should acknowledge that "fighting against the people [of Iraq] is a pointless task," and should set a date for their own withdrawal lest "the Iraqi leadership...not hurry to develop their own armed forces and law enforcement." Putin also said that "together with other members of the international community, Russia is taking steps to resolve [the Iranian nuclear] issue by peaceful means, in the interests of the whole international community, and for the good of the Iranian people." He argued that "direct dialogue leads to success faster than a policy of threats and sanctions." He called Iran a "very important partner" of Russia in the energy sector. PM ...WHILE KEEPING OPTIONS OPEN ON MISSILE DEFENSE... President Putin also noted in his marathon television and radio broadcast on October 18 that "developing relations with the former republics of the Soviet Union is the top priority of Russia's foreign policy," kremlin.ru and Russian media reported. He added that "the levels of our trade and cooperation in various fields of the economy are so high that if there is any damage done in those fields, it can cause whole industries to stop." He said that he hopes that "whatever government is formed in Ukraine and whatever political platform it is based on, objective reality will push our partners to develop cooperation with the Russian Federation." The United States, however, was clearly his top priority in his discussion of Russia's foreign relations (see End Note, "RFE/RL Newsline," September 6, 2007). He noted that the two countries are seeking ways to resolve differences over the proposed U.S. missile-defense program, saying that "the latest contacts with our American colleagues show that they have indeed given some thought to the proposals we made and they are looking for a solution to the problems and for ways to ease our concerns." He warned nonetheless that Russia will retaliate if its interests are not respected, adding that "such steps are being prepared and we will take them. Where we should station what, that is for specialists of the Russian military's General Staff" to decide (see "RFE/RL Newsline," July 9, 2007). In Warsaw on October 18, Polish Prime Minister Jaroslaw Kaczynski said that Poland can help protect itself against Russia by hosting components of the U.S. missile-defense project, Reuters reported. He said that missile defense "will boost our security.... We have to remember that we are in a state of permanent threat. The Russians have not accepted the changes since 1989, and it is obvious that they consider us as within their sphere of influence." PM ...AND PLEDGING TO MODERNIZE MILITARY Using a teleprompter throughout his radio and television broadcast on October 18, President Putin gave a detailed summary of his plans for the modernization of the military, including the development of new nuclear weapons, kremlin.ru and Russian media reported. He stressed that "we will develop missile technologies, including completely new strategic complexes.... Our plans are not simply considerable but grandiose. At the same time, they are also realistic." He said that "we will not only focus on all components of the nuclear triad, meaning the Strategic Missile Forces, strategic aviation, and nuclear submarines, but also on other kinds of weapons.... A weapons-development program leading up to 2015 has been approved for the development of all armed services and branches." Putin said Russia will start building a fourth Borey-class strategic nuclear submarine in 2008. He noted plans to modernize the strategic Tupolev Tu-160 (White Swan or Blackjack) and Tu-95 (Bear) bombers, which were developed decades ago and resumed regular long-range flights in August after a hiatus of about 15 years (see "RFE/RL Newsline," September 4 and 7, 2007). Putin said that Russia hopes to have a "new generation fighter" aircraft in service by 2015. Also on October 18, military officials announced the successful launch of a RS-12 Topol intercontinental ballistic missile (SS-25 Sickle) from the Plesetsk Cosmodrome in Arkhangelsk Oblast to a target on Kamchatka near the Pacific Ocean, RIA Novosti reported. PM U.S. PLAYS DOWN PUTIN'S WEAPONS PLANS U.S. Defense Secretary Robert Gates said in Washington on October 18 that he is not alarmed by President Putin's statements earlier that day on modernizing Russia's military, news agencies reported. Gates said Russia is making use of revenues from higher oil prices to underscore Putin's central message that "Russia is back" and intends to play a major role on the world stage. Gates noted that Russia spends only about 10 percent of what the United States does on defense. Also on October 18, State Department spokesman Tom Casey said that the United States hopes that Putin "conveyed the concerns of the international community" during his recent talks with Iranian leaders in Tehran (see "RFE/RL Newsline," October 17, 2007). Referring to Putin's remarks on Iraq during his October 18 television and radio broadcast, Casey said that "U.S. troops are in Iraq at the invitation of the sovereign Iraqi government.... The fact that Russia disagreed with the [U.S] decision to go into Iraq in the first place is certainly no surprise. The fact that they continue to have problems with it isn't either." Britain's "Financial Times" wrote on October 18 that during their recent visit to Russia, Gates and Secretary of State Condoleezza Rice told Russian officials that Washington is willing to delay "switching on" its proposed missile-defense system until both sides agree that there is a threat from Iran (see "RFE/RL Newsline," October 15, 2007). PM DOES PUTIN HAVE NEWS FROM IRAN FOR ISRAEL? Israeli Prime Minister Ehud Olmert paid a brief visit to Moscow on October 18 to discuss Iran with President Putin, the Russian daily "Kommersant" reported on October 19. The paper added that the trip was agreed on October 10 but was not announced before Putin returned from his recent visit to Tehran. The daily suggested that Putin shared some of the findings from his trip in an effort to maintain a diplomatic balance between Israel and Iran. Britain's "Financial Times" wrote on October 19 that some unnamed Western diplomats believe that Putin is seeking to become the "chief mediator in the long-running standoff between the West and Iran." The paper quoted Kremlin deputy spokesman Dmitry Peskov as saying that the substance of Putin's talks in Iran "is too complicated and too sensitive to be made public." The Russian daily "Vremya novostei" wrote on October 18 that Western leaders are interested in finding out what Putin learned in Tehran. The paper suggested that he might discuss the matter with U.S. President George W. Bush by telephone "very soon." The daily "Gazeta" argued on October 17 that Putin supports Iran's allegedly civilian nuclear program and is not "engaging in shuttle diplomacy" to deliver Western proposals to Tehran. PM PUTIN COMMENTS ON CONFLICT AMONG SECURITY ORGANS... Speaking to reporters on October 18, following his televised question and answer session, President Putin commented on an article that appeared earlier this month in "Kommersant" that was authored by Federal Antinarcotics Committee Chairman Viktor Cherkesov, newsru.com reported on October 19. In that article, Cherkesov warned that a "war" has broken out among the so-called chekisty (see "RFE/RL Newsline," October 10, 2007). Putin said that he has not read Cherkesov's article, but emphasized that "no one is above the law" and said that if everyone understood that, there would be no problem. He said, "things would be much worse if we allowed those who work in the law-enforcement organs to have the illusion that no one is controlling their work." Putin said that he considers it "incorrect" to discuss such matters in the media, adding that the courts are the proper venue for resolving matters of law. RC ...AND DEFENDS RECORD AND LOOKS TO THE FUTURE During his meeting with reporters on October 18, Putin said he believes the results of his two terms in office have been "better than expected," "Nezavisimaya gazeta" reported. Asked when the country's political, economic, and social systems will be able to work independently, without "manual control," Putin answered only in 15-20 years and compared Russia's situation to that of the United States as it emerged from the Great Depression in the 1930s. "In the years when the United States was coming out of the Great Depression, much was done 'manually,' which part of the elite did not like," Putin said. "But the results of that were that the United States emerged from the crisis, which benefited the elite and all citizens of the country." Putin also said directly that "in 2008 there will be another person in the Kremlin." Likewise, he seemed to dismiss speculation that he intends to restructure the political system in order to enable himself to rule the country as prime minister. "I don't think it would be right to take any powers, rights, or duties away from the government or to load it with extra ones," Putin said, RFE/RL reported. "We don't need to create a dual executive branch. I'm against cutting down the powers of the president." "Nezavisimaya gazeta" correspondent Natalya Melnikova said that when she asked a senior Kremlin aide earlier this month whether Putin was serious when he said on October 1 that he might consider becoming prime minister (see "RFE/RL Newsline," October 2, 2007), the aide answered, "You shouldn't take the chief's words so literally." Putin called for creating a "more effective system of interaction among the executive, legislative, and judicial branches," "Nezavisimaya gazeta" reported. Asked if he has regrets because it was his last question-and-answer session as president, Putin said: "There is nothing to regret. We need to build plans for the future. That is what I am doing." RC PRESIDENT ASSURES COUNTRY THAT ECONOMY IS SOUND During his national question-and-answer session on October 18, President Putin assured the country that the economy is sound and that there will be no financial crisis during the upcoming political transition, Russian media reported. Putin noted that foreign debt is down and state reserves are at a record high of $434 billion. He added that unemployment has fallen to 5.7 percent. RC CABINET SESSIONS CLOSED TO MEDIA Prime Minister Viktor Zubkov on October 18 ended the practice of allowing journalists to monitor cabinet sessions as they occur, "Izvestia" and other Russian media reported the next day. Zubkov is returning to the practice of former Prime Minister Mikhail Kasyanov, who allowed journalists to monitor only his opening remarks, and then encouraged ministers to speak with the press following cabinet sessions. Center for Political Information analyst Aleksei Mukhin told "The Moscow Times" that the change might be because of Zubkov's habit of speaking sharply to ministers. "We have seen on TV how rudely he began treating ministers at his first government meetings and how female members of the government reacted," Mukhin said. "I believe that as Zubkov deals with the current spike in inflation and food prices, his language at the meetings will get even more rude." Deputy Prime Minister and Finance Minister Aleksei Kudrin told journalists after the October 18 session that the cameras were turned off in order to encourage a more frank discussion. "When there are cameras, a sense of camaraderie does not allow us -- so to speak -- to air our dirty laundry," Kudrin said, according to "Rossiiskaya gazeta" on October 19. RC FINANCE MINISTER UPS 2007 INFLATION FORECAST Deputy Prime Minister Kudrin on October 18 told journalists that inflation this year will not be 8 percent as forecast but will probably be nearly 10 percent, "Rossiiskaya gazeta" reported on October 19. Kudrin attributed the jump in inflation to an increase in the in-flow of capital, which he said is running at about $30 billion more than last year. The Russian version of "Newsweek" magazine reported this week that milk prices have risen 16.5 percent over the last year, while butter prices have increased 20.3 percent and meat is up 7.4 percent. During his nationally televised question-and-answer session on October 18, President Putin said the government is selling grain from reserves to help combat the increases. The government has also reduced import duties for dairy products. "The Moscow Times" reported on October 19 that the Federal Antimonopoly Commission is investigating Russia's six largest dairy companies on suspicion of price fixing. Analyst Masha Lipman told the daily that, with legislative and presidential elections approaching, the government's solution to the inflation problem will be to spend money rather than carry out unpleasant and difficult reforms. RC DUMA PASSES PENSION HIKE The Duma on October 18 passed in all three readings a bill to raise pensions by 300 rubles ($12) a month (see "RFE/RL Newsline," October 18, 2007), "Rossiiskaya gazeta" reported on October 19. Duma Deputy Speaker Oleg Morozov (Unified Russia) told the daily that the legislature's goal is to double pensions. "Our principle position is that a pension should ensure a worthy living standard, and we are steadily, step-by-step, resolving and definitely must resolve, this question." The increase must now be approved by the Federation Council and signed by the president. RC DUMA DIPS INTO STABILIZATION FUND "Rossiiskaya gazeta" also reported on October 19 that the Duma on the previous day voted to shift 300 billion rubles ($12 billion) out of the Stabilization Fund. Deputies voted to allocate 90 billion to the Investment Fund, 30 billion to capitalize the state company Rosnanotekh, and 180 billion to boost the capital of the state-owned Bank Razvitia. Deputies also allocated 340 billion rubles that had been received from the sale of Yukos shares. Some 240 billion were allocated for reforms of the state housing and communal-services sector and another 100 billion were added to the capital of Rosnanotekh. Leftist opposition deputies have been calling for an easing on restrictions on spending from the Stabilization Fund for a long time, but the government has opposed such spending, fearing it would cause a rise in inflation (see "RFE/RL Newsline," October 1, 2007). Deputy Prime Minister Kudrin in the past has opposed capitalizing state corporations with money from the Stabilization Fund. RC PUTIN APPEALS FOR SUPPORT FOR MILITARY PRESENCE IN DAGHESTAN In the course of his October 18 live televised press conference, President Putin fielded three questions from residents of the mountain village of Botlikh, where construction of a new Russian military base has been delayed by residents' protests, regnum.ru and kavkaz-uzel.ru reported (see "RFE/RL Newsline," August 22, 2007). Putin praised the population of Botlikh for having opposed the advance into Daghestan in August 1999 of a contingent of fighters commanded by radical Chechen field commander Shamil Basayev, and he appealed to the villagers to resolve their differences with the military commanders of the base. Putin also pledged to improve local infrastructure, including schools, and to complete construction of a highway linking Botlikh with Makhachkala, and he singled out as a government priority creating new jobs both in Daghestan and elsewhere in the North Caucasus. LF FSB OFFICER CHARGED IN CONNECTION WITH POLITKOVSKAYA KILLING Former Federal Security Service (FSB) Lieutenant Colonel Pavel Ryaguzov has been formally charged with exceeding his authority in connection with the murder on October 7, 2006 of Russian journalist Anna Politkovskaya, kavkaz-uzel.ru reported on October 17 citing RIA Novosti. Ryaguzov is said to have provided former Achkhoi-Martan Raion administration head Shamil Burayev with the address of the apartment Politkovskaya rented in Moscow. Burayev, who was taken into custody last month and charged with being an accessory in the killing, has admitted knowing Ryaguzov but denies any connection with Politkovskaya's death (see "RFE/RL Newsline," September 17, 18, and 24, 2007). On October 8, Petros Garibian, who heads the investigation into the killing, was quoted by "Novaya gazeta" as saying that the identity of the killer is known, but that he has not yet been formally charged, nor have investigators succeeded in determining who commissioned the murder. LF DUMA REJECTS PROPOSAL TO DECLARE STATE OF EMERGENCY IN INGUSHETIA The Duma considered on October 18 in plenary session, but ultimately rejected, a proposal by former Colonel Viktor Alksnis (People's Union) that a state of emergency should be declared in Ingushetia, kavkaz-uzel.ru reported. Alksnis argued that "a war is under way in Ingushetia, ethnic cleansing, and Russians are being killed." Only seven deputies, including National Union leader Sergei Baburin, supported that proposal, however; the overwhelming majority voted against it. On October 10, the website kavkaz-uzel.ru quoted Interior Ministry troops commander Colonel General Nikolai Rogozhkin as stating that the 2,500 additional Interior Ministry servicemen deployed to Ingushetia in August have been withdrawn. Meanwhile, Russian Interior Minister Rashid Nurgaliyev has appointed four new Ingushetian deputy interior ministers in order to improve the work of that ministry, kavkaz-uzel.ru reported on October 10. Three of the four are Slavs. Colonel Sergei Selivestrov was named first deputy interior minister and head of the criminal police, and Colonel Vadim Selivanov, Colonel Sergei Shumlin, and Magomed Gudiyev were appointed deputy ministers. LF NEW NOGAI ETHNIC DISTRICT FORMALIZED Russian Prime Minister Zubkov has signed a decree formalizing the creation in the Karachayevo-Cherkessia Republic (KChR) of a Nogai Raion, kavkaz-uzel.ru reported on October 18. The raion comprises five predominantly Nogai-populated villages with a total population of some 15,000, whose residents voted overwhelmingly in a referendum one year ago in favor of autonomy (see "RFE/RL Newsline," September 22, October 11 and December 18, 2006). At the time of the 2002 Russian census, there were 14,783 Nogais in the KChR, which was 3.4 percent of the total population of 439,470. LF
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