March 17 2005: Andrew Somers, president of the American Chamber of Commerce in Russia made an announcement that US-Russian business relations seen better and improving.
The U.S.-Russian business and political relations are "good" and improving, Andrew Somers, president of the American Chamber of Commerce in Russia said in an interview to Prime-Tass' Capital Markets Report this week. He said that the Yukos affair, which had earlier had a negative impact on the investment climate, is over, and that the authoritarian trends in Russia have no effect on foreign investments.
On March 29, AmCham's 6th Annual Investment Conference will be addressing the investment climate and prospects for investment in Russia. At the conference "these and many other important issues will be discussed by our panelists -- all of whom are high-level business and governmental leaders," Somers said.
Somers said that despite the changes in the Russian legislation and the Yukos affair, U.S. oil companies remain interested in potential investments in Russia. /Prime-Tass/
February 23 2005: UN SHOULD ENCOURAGE FOREIGN INVESTMENTS IN CIS
The United Nations Economic Commission for Europe (UNECE) should offer political backing for direct foreign investments in Commonwealth of Independent States (CIS) countries, Russian Deputy Foreign Minister Yuri Fedotov said at the 60th meeting of the Commission in Geneva.
The meeting participants discussed the mane conclusions of the first 2005 economic review for Europe made by experts of the UNECE that comprises 55 countries.
UNECE experts predict that CIS countries will preserve leading positions in Europe in terms of economic growth rate, although their growth will slow down somewhat. Russia's GDP, for example, will increase 5.8% compared to 6.8% in 2004, while the CIS countries' economic growth in 2005 will be 6.4% overall against 7.9% in 2004.
In the short term, the CIS' economic development will depend on the situation on the petroleum and other natural resources markets, according to UN experts.
Mr. Fedotov spoke out against dividing European countries into groups, saying that "an emphasis should be placed on eliminating present dividing lines in Europe, rather than emphasizing them."
"This is a special, 60th, meeting. Naturally, it has stirred an intense interest, particularly at the present moment when it is important to prevent new dividing lines from appearing in Europe and avoid an unnatural division of European states into different categories: EU members, the countries that intend to join it, and the rest that are treated like students and are given lectures, while the latter's interests are not given a due heed," said the deputy minister.
Yuri Fedotov said Russia would continue cooperating with the commission as it was the most universal of all the UN bodies in charge of economic issues in Europe. /RIA NOVOSTI/
February 11 2005: ONLY COMPANIES REGISTERED IN RUSSIA WILL BE ABLE TO BUY LARGE RESERVES DEPOSITS
MOSCOW - Russian companies must withdraw from offshore structures, Natural Resources Minister Yury Trutnev believes. Speaking about auctions for the nation's largest reserves deposits, Mr. Trutnev stated that only companies registered in Russia would be able to participate in the bidding.
"I am certain that companies will be able to adjust to new regulations. Besides, they will be allowed to create 100% Russian-owned subsidiaries," the minister said commenting on the fact that foreign companies would not be allowed to participate in auctions for large deposits this year.
Today, head of the Federal Mineral Resources Management Service Anatoly Ledovskikh announced in the State Duma that in 2005 the Natural Resources Ministry planned to conduct 270 auctions for oil deposits. He added that the estimated state budget revenue from the proceedings would constitute 26 billion rubles ($1=28.06 rubles). Natural Resources Minister Yury Trutnev stated, "the overall volume of sales of exploration and development licenses in 2004 was six times higher than in 2003." Mr. Ledovskikh reminded the deputies that in 2004 Russia conducted about 140 auctions for oil deposits. The sales revenues exceeded 7 billion rubles. In comparison, the revenues in 2003 amounted only to 1.5 billion rubles /RIA NOVOSTI/
February 03 2005: RUSSIA HAS A CHANCE TO JOIN WTO IN 2005
Following the successful talks on Russia's accession to the World Trade Organization held between Russian Economic Development Minister German Gref and US trade representative Robert Zellik in Zurich on January 31, Russia has a chance to join the World Trade Organization in 2005.
It should be recalled that Russia officially joined the negotiating process on accession to the WTO in 1995, i.e., when this organization was being set up. In 1998, the sides began talks on goods and agriculture and in 1999, on services. In 2000, the negotiating process acquired a full-scale character. Fifty-eight states (the EU as a single state) are conducting talks with Russia on behalf of the WTO. In reality, about a dozen of Russia's biggest trade partners will decide the issue. The most important of them are the European Union, the US, Canada, Japan, China, India, Brazil and some others. Many states orient themselves to the positions of these countries.
These are only some of the problems in the Russia-US talks and solutions on the political level will be needed to make progress. Importantly, the schedule of working meetings for February and March has been agreed. In other words, the current situation has, indeed, created conditions for the talks to be completed this year. This means that Russia might be able to join the WTO at the next ministerial conference scheduled for Hong Kong in December 2005.
