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Vladimir Putin: Ladies and gentlemen,

First of all I would like to thank you for your interest in this meeting. My colleagues and I would like to share with you our impressions of the summit and its results – the way we see them.

We have every reason to say that the forum was a milestone not only for the United Nations, but for the history of international relations. Indeed, our generation has the honour and the great responsibility to review the results of the historical path traversed by the world community and to chart the course of further development.

We believe that an important result of the Millennium Summit is that it has reaffirmed the authority of the Untied Nations. It reaffirmed that the UN should continue to play the key role in coordinating the actions of regional and subregional organisations, and in creating a viable system of collective security and control of global processes.

During the Summit Russia, as you know, came up with several initiatives aimed at making the world a safer, more just and more democratic place. For example, we proposed holding in Moscow, under the UN aegis, in the spring of 2001 an international conference on preventing the militarisation of outer space timed for the first manned space flight. As you know, the first man in space was our fellow countryman, Yuri Gagarin, and naturally we have proposed Moscow, the capital of Russia, as the venue for that conference. We are glad that many of our colleagues have reacted positively to this initiative.

Another proposal we made is to develop, under the IAEA aegis, an international document to rule out the use of enriched uranium and pure plutonium in peaceful nuclear energy. That initiative, we are convinced, would not only make a solid contribution to nuclear non-proliferation, but would pave the way for ridding humankind of the extremely serious problem of radioactive waste. As you know, many countries face that problem.

The Security Council Session was undoubtedly a signal event. It took place at the highest level. Its participants voted unanimously for preserving the broad powers of the Security Council and improving its operational potential as the guarantor of lasting international stability.

Peace-keeping operations are becoming a priority area in the work of the UN. In this connection we will actively contribute to improving the peace-keeping potential of the United Nations and strengthening its central role in ensuring peace and stability at the global and regional levels. We are also convinced that the system of collective security should be based on such clear and enforceable principles as supremacy of the law, overall responsibility for stability in the world, and a collective approach to the settlement of disputes and conflicts, and the establishment of peace.

The joint statement of the five permanent members of the UN Security Council will have far-reaching practical consequences. The permanent members of the Security Council have reaffirmed their commitment to enhancing the role of the UN and its Security Council, stressed the need for strict respect of the exclusive powers of the Council to authorise the use of force for peace-making purposes. The Security Council alone has the right to give a go-ahead for the extreme measure in crisis response – the use of force – and do it on behalf of the whole international community.

Such a large-scale forum provides a unique opportunity to meet with the leaders of many states, to discuss with them – in a very practical, hands-on way – topical issues of bilateral relations and key international problems. During the meeting with the US President in New York we had a serious and thorough discussion on cooperation between Russia and the US in strengthening strategic stability and issued a statement at the end of these talks.

Also in New York, I held fruitful meetings with the Chairman of the People’s Republic of China, the Federal Chancellor of Germany, the Presidents of Indonesia, Cyprus, Iran, Turkey, Mexico, Venezuela, the Republic of Yemen and South Africa, with the Prime Minister of Israel and the Prime Minister of Great Britain. That list will grow. Tomorrow we will hold meetings with the Chairman of the State Council and the Council of Ministers of the Republic of Cuba, the President of the Republic of Korea and the Norwegian Prime Minister. I have been able to talk with many other colleagues during the event. It is difficult and probably wrong to rank the numerous meetings in terms of their significance. But I would like to single out the meeting due to be held tomorrow with the Secretary General of the Untied Nations Kofi Annan, whose activities in this high office Russia actively supports.

In conclusion I would like to note that the Millennium Summit has reaffirmed the effectiveness of the coordinated efforts of the world community, the high responsibility and readiness of the national governments to work jointly for the sake of peace and international stability.

Thank you for your attention. I am ready to take your questions.

Question: How do you assess the importance of this meeting for the UN, which seems to be entering a phase of active reforms, and for Russia?

Vladimir Putin: I thought I made it clear in my statement, but I can repeat it. In our opinion, the most significant thing is that the Summit has reaffirmed the role of the United Nations as a key international organisation. Today the importance of the UN as a universal international instrument for resolving international disputes is coming to the fore. These wishes have been reaffirmed in the declaration on that subject and in the statements of the Security Council and the five permanent members of the Security Council.

Question: How exactly do you see the reform of the UN Security Council?

Vladimir Putin: If it is to be an effective instrument in tackling international tasks, the Untied Nations should rely on the countries which carry weight and have influence in international relations. As a Japanese media representative, you will be interested to know that in Russia’s opinion Japan is without any doubt such a country. So Russia is in favour of Japan becoming a member of the Security Council.

At the same time I would like to stress – and I have said it to my Japanese counterpart – that there should be no hurry to reorganise, and reorganisation should take into account the opinions of the members of the United Nations and the members of the Security Council. It would be best if the Security Council members pass such decisions by consensus. But, I repeat, the reform is overdue, and it is necessary.

Question: Mr Putin, in the light of your meetings and discussions at the Summit, how do you see the outlook for cooperation among the leading world countries in preventing regional conflicts?

Vladimir Putin: I can merely reiterate what I said in my address to the General Assembly and some other audiences. I am absolutely convinced that if we want regional conflicts to be resolved fairly, on just principles, and effectively, we should adhere to the fundamental principles of international law enshrined in the UN Charter and other United Nations documents.

In this connection I would like to note that in passing such decisions, especially decisions on the use of force, the UN Security Council speaks for the whole world community and bears a special responsibility. The documents it passes should describe clearly the whole procedure of dispute resolution and conflict settlement. Only this approach gives hope that the activities of the UN in that area will be effective.

Question: My question is about the rapprochement between North and South Korea, and the relations between the Russian Far East and the Asia-Pacific countries. The Siberian Energy Institute has for years been designing a single power grid for Russia, Korea, China and Japan. The creation of a unified energy system would benefit the economies of these countries and serve the cause of peace on the Korean Peninsula. Russia is still the leader in building power transmission equipment and simultaneously plays the role of peace-keeper in the region. It has a strong position.

Are you aware of the plans to create a single power grid and how can you comment on them?

Vladimir Putin: I wouldn’t discuss the issue of who stands to gain more from the implementation of such large-scale projects. The Asia-Pacific countries need such projects. In general, many Asian countries are short of energy resources and fuel. Russia possesses such potential and we are ready for joint work. Provided, of course, it suits everyone and everyone stands to gain.

I came to New York from Tokyo, where we discussed such projects with our colleagues, with the Japanese Government, with the Prime Minister. Japan is interested in getting energy and fuel, and taking part in some projects that will bring in third countries as well. So I wouldn’t say that someone stands to gain more and someone less.

In my opinion, if a project offers a great advantage to any party, it is unlikely to be implemented. As a rule, such projects should be commercial, and they are only effective if they benefit all the parties equally.

As regards North and South Korea, you know that an active dialogue is underway on the Korean Peninsula. It is a pity that there are no representatives of North Korea in New York, although a meeting between the leaders of North and South Korea had been scheduled. It is a pity the meeting did not take place, but I don’t think it will be an obstacle to a continued dialogue. I am absolutely convinced that economic projects will undoubtedly provide a good basis for resolving political issues.

Question: Do you think the members of the world community will comply with the Security Council resolutions, because we have examples of the opposite? And the second question: could you comment on the decision of Boris Berezovsky to transfer ORT shares to some journalists?

Vladimir Putin: As regards guarantees, you know the joke that only an insurance policy gives a guarantee. But we should all try to make sure that all the resolutions passed by the Security Council and the United Nations are fulfilled. To do this it is necessary to create a situation in the world in which even a small infraction is perceived as an act aimed at undermining the foundations of the world community. If we achieve such a state of affairs, there will be more confidence that the UN resolutions will be fulfilled. If we do not pay proper attention to compliance with UN resolutions we will never achieve the desired situation. I think the results of our work at the Summit give grounds for optimism.

As for Boris Berezovsky’s decision to transfer his shares to a group of journalists, creative people, I think this action deserves nothing but praise. But it is important that they should be independent people. And if we witness shares being shifted from one pocket to another, if these are people totally amenable to Mr Berezovsky, we won’t see the desired effect.

Question: Mr Putin, The New York Times reports that you have received fresh information about the Kursk submarine from President Clinton. Can you indicate what sort of information it is?

Vladimir Putin: The information was received by Sergei Ivanov, the Secretary of the Russian Security Council. It was about technical observations of the area around the sinking of the Kursk on the day of the disaster. The Americans received evidence, through their technical means, about possible explosions in the area. Such information has been received and it will be used by our experts to assess the situation and establish the final cause of the disaster.

Question: If the Russian initiative on ruling out the use of enriched uranium and pure plutonium in peaceful nuclear energy is adopted, what should be the role of international organisations in the implementation of that project?

Vladimir Putin: As regards the initiative on the non-use of the enriched uranium and pure plutonium, that is, weapons-grade nuclear materials, in peaceful nuclear energy, I have this to say.

Russia has carried out research which confirms that it is possible to generate nuclear energy without these materials. The project, if it is to be implemented, will have to be international and without any doubt will have to be carried out under the supervision and, better still, with the participation of the IAEA. And it is up to the specialists to determine in what capacity and to what extent Russia can be involved in this work. But because Russia is putting forward the proposal, because it has relevant research results, confirming that such large-scale work is possible, Russia of course will play a leading role in implementing the plan that I mentioned when I spoke at the opening of the Summit.

Question: Mr President, what measures are you planning to develop the Russian economy?

Vladimir Putin: The Russian economy should be little different from the economies of other civilised countries. It would be great if it were a bit more effective than other economies. But as regards its structure and the principle of organisation, it should not be much different from the economies of other developed countries, industrialised countries.

We have a whole programme envisaged by the Government’s decisions. Without any doubt, one of the first tasks facing Russia is to put economic legislation in order. We are currently working on that. It involves reducing the tax burden, restructuring the banking sector, reorganising customs taxation and compliance with the budgetary macroeconomic indicators.

I must say that in all these areas we are taking practical steps and, as you know, we already have clear, albeit modest, results to report. We believe that this year the Russian GDP will grow by at least 7%, perhaps by more. IMF experts think it will be 8%. But we assume it will be at least 7%. Inflation is very low. The currency reserves of the Central Bank have doubled since last year. Industrial output in some sectors has grown by 15–20%.

We still have a lot to do, and I think one of the main tasks facing us is to strengthen government institutions to enable them to control and ensure compliance with the law. The main thing we have succeeded in doing is something that on the face of it has nothing to do with the economy, but it underlies any success, and that is we have achieved consensus among the majority of the political forces in the country on what should be done and how. That alone explains why we have managed to adopt the Tax Code and some other laws which will be pivotal for the development of the Russian economy. It gives us optimism, but I think that it would be proper if we reported to you at the end of the fiscal year.

Thank you.