Official website of the President of Russia

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Tarja Halonen (translation from Russian): Dear media representatives!

Excellent relations have developed between Finland and Russia. Today, we were engaged in lengthy and substantial discussions that touched on a great deal of different issues. So many questions were discussed, that I asked to be given a summary of the fundamental issues of the negotiations. Of course, my lasting impression is that both countries sincerely wish to find the answers to questions, even difficult ones, which invariably arise between countries such as ours, where there is intensive collaboration and cooperation.

In all likelihood, President Putin and I will meet again in St Petersburg in autumn of this year.

In sum, we discussed our collaboration in the lumber sector, in the high-tech industry, in the sphere of innovation, issues of our shared border’s regime and its functioning, and the development of infrastructure. In other words, we covered every topic, even cows.

Today we will travel to the city of Turku, where experts and specialists will have the opportunity to present contemporary Finnish science, and especially biotechnology, to President Putin.

Vladimir Putin: Thank you.

Dear Ladies and Gentlemen!

First of all, I wish to thank the President of Finland for the gracious invitation to her summer residence [Kultaranta]. I am thankful, both for the substantial discussions we have had, and for the warm welcome. It is very beautiful here. Yesterday evening, after the negotiations, I had the opportunity to visit a sauna and drink some beers with the President of Finland’s husband. It was a wonderful experience.

I will not enumerate all of the themes that were raised during our discussions, because President Halonen has already done so exhaustively. However, I would just like to note how satisfied I am with the present state of Russian-Finnish relations and their development over the last few years. Today, relations are very close. This applies to both political and economic cooperation. It is enough to say that the volume of trade between our countries has attained a record level of 12 billion dollars. In the first four months of this year, the volume of trade between our countries increased by more than 30 percent. Depending on the estimate, it increased between 35 and 38 percent. Moreover, because of the equal growth of imports and exports on both sides, the overall growth is balanced. Russia is presently Finland’s third biggest trading partner, and Finland is the Russian Federation’s eighth biggest. Both of these positions are very respectable.

In which areas do we see scope for the development and strengthening of our relations? First of all, there are possibilities regarding investment. The total amount of Finnish investments in Russia is about a billion dollars, whereas Russian investments in the Finnish economy are half of that – about 500 million. This is far too little for neighbours as close as Russia and Finland. The absence of a new, bilateral investment treaty is one of the major obstacles to increasing the level of foreign investment. We will actively continue working on this issue. Up until now, we have been able to solve all problems that have presented themselves. I believe that we will solve the problems referred to by the President in the same way. Here I have in mind barriers to imports of Finnish pedigree livestock into Russia. These limitations will be scrapped in the near future.

I believe that there are excellent perspectives for collaboration, both in more traditional areas and in the newer, high-tech branches of industry. In the near future, a Finnish company will establish an electronics business in St Petersburg. The adoption of new laws in Russia, especially in the area of the lumber industry and through support for high-tech branches of industry by creating special economic zones, will give our Finnish partners additional possibilities to play a more active role in the Russian market.

I sincerely hope that the President will be able to take part in the events in St Petersburg in September of this year, surrounding the launch of the South-West waste water treatment plant. This construction will take place within the context of “Northern Dimension.” There, we will have the opportunity to continue our discussions on the future development of relations between Russia and Finland.

Thank you very much for your attention.

Question: My question concerns the work of non-governmental organisations in Russia. We know that Russian NGOs receive financial aid from abroad, including from Finland, for purposes such as environmental protection in the Gulf of Finland and developing the culture of peoples related to the Finns. Mr President, how do view this kind of cooperation and this kind of work?

President Vladimir Putin: I view it positively, especially if the money is being spent on the purposes this or that NGO has set out as its area of activity. What I would object to is money, through whatever channels, being used to finance political activity in Russia, but this has nothing to do with environmental protection or cultural development.

There is one point I would like to make: quite honestly, what we have noticed is that in the various regions of our country – and we have a vast territory, Russia is the biggest country in the world – be it in the east, the south, the north or the west, the moment major, competitive projects with our partners begin to get underway, environmental problems suddenly emerge. We have an interest in carrying out competent and thorough environmental impact studies of all projects, but we object to environmental issues being used as an instrument in market competition. That is my position on this matter.

President of Finland Tarja Halonen: Just to give a brief answer, President Putin is no doubt aware that I have personally taken part in work to support non-governmental organisations operating in St Petersburg, including organisations providing assistance for young mothers. I also took part in work to support solo mothers using the model developed in Finland.

Like President Putin, I am also active on environmental issues. Of course, there can be no restricting the work of NGOs here. You could say that friendly support from the state for such organisations is the order of the day in today’s Europe.

It is good that there are no longer blue-green algae in our beautiful Baltic Sea, whose waters lap the shore of the residence [the Finnish President’s summer residence of Kultaranta].

One good example of cooperation in environmental protection is the treatment and purification facilities in St Petersburg. Both individual states and numerous NGOs took part in financing this project.

Another example is the new port that is being built in Helsinki. Practically all the NGOs working in the areas of ecology and environmental protection took part in the decade of discussions on this project. Now, having heard all the criticism and the different opinions, we can build one of the most modern ports in Europe.

Question: This is a two-part question. The first part is for both presidents. Finland will take over the presidency of the European Union in the second half of 2006. This coincides with the time when the European Constitution is supposed to be adopted. How do Russia and Finland intend building their relations with each during this period?

And the second part of the question: some European countries – France, Germany and Italy, to be precise – have concluded bilateral agreements on simplified visa procedures with Russia. This question is more for President Halonen: would you not like also to conclude such an agreement with Russia?

Tarja Halonen: Yes, Finland will preside over the European Union for the second time in the second half of 2006. Our previous experience helps us to understand better what holding the EU presidency means. We know from experience that many of the issues to be examined will be handed on to us by the previous presiding countries. But with thorough preparation work, the presiding country can add some new questions and problems of interest to it to the agenda for the presidency.

Earlier, we thought that the Constitution would come into effect during the Finnish presidency. Now, however, we find ourselves having to take time out to think and look at how we can move forward in this direction. Of course, we should remember that the proposed constitution contains many provisions that are already part of previous EU agreements. Often they are simply set out in a different order. So, life continues as normal even without the Constitution being approved. The Finnish negotiators and Finland’s political leadership supported the Constitution’s adoption and therefore have an interest now in analysing the criticism voiced with regard to this document. Of course, the Constitution’s rejection in some countries sent a very strong signal from the population of those countries. I hope that during the Finnish presidency in the second half of 2006 we will have a better understanding of the reasons behind this rejection and the situation that has developed regarding the Constitution.

We will continue efforts to promote the draft Constitution, but other issues will also be important for our presidency, including making decisions on a budget framework for the EU. We hope that these decisions will be made before we take over the presidency, so that we will be able to concentrate on other issues such as the “Northern Dimension” and on relations between the EU and Russia. This includes looking over the agreements and organisation regulating these relations, given that the partnership and cooperation agreement between the EU and Russia will be expiring. These issues will all be priorities during our presidency.

I would like to take the opportunity to thank President Putin and the Russian side for Russia’s interest and desire for cooperation and for the support it gives to the “Northern Dimension” programme.

President Putin and I discussed the future of the partnership and cooperation agreement. We think it important that Russia feels right from the start that this agreement will be bilateral in nature.

Of course, we spoke about the visa issue. It would have been strange if this issue had not come up, given that Finland is Russia’s biggest partner among the EU member states when it comes to issuing visas. Concluding a framework agreement on simplifying visa procedures between Russia and the European Union certainly is a priority for Finland. Of course, we are interested in studying the agreements that exist between Russia and other countries, but our own system for issuing visas really works so well that we would probably do well to make this a reciprocal process.

We discussed this issue today and will discuss it further, this autumn, for example.

Vladimir Putin: We did indeed discuss all these different issues. What I would like to say is that relations between Russia and Finland, between the Russians and the Finns, go back a very long time and developed long before there was ever any European Union, and long before the emergence of modern Russia and modern Finland.

These relations have been different at different times, but they have very ancient origins. Recent studies in the Lake Ladoga area, including studies of material objects, show that Slavic and Finno-Ugric tribes lived together, not simply alongside each other, and formed a kind of proto-state there, a kind of community. What I want to stress is that these objective studies show that this was a very harmonious coexistence. The origins of our shared traditions, similar cultural elements and so on go right back to this time, well before the era of the Russian Empire when we lived together within the borders of a single state.

Our focus now, of course, is today’s situation and, basing ourselves on all the best in our past, we need to look to the future. I am very glad that the President just said that developing relations between Russia and the EU would be one of the priorities for the Finnish presidency of the EU.

We still have many unresolved questions before us, but I am sure that if we continue to build on our good-neighbourly relations, including with Finland, we will be able to find solutions that are in the interests of the entire European family and of the Russian Federation. This also goes for Russian-Finnish relations. Our immediate task, of course, is to take steps to combine our efforts with those of our British partners, currently presiding over the EU, so as to begin work at a practical level. We already have a programme for joint activity – the Four Common Spaces. Our priority is to make headway in this direction.

Thank you.

Question: This is a question for President Putin. Your presidential term comes to an end in 2008. There has been plenty of speculation that you would like to stay in office beyond this date. Could you say something about your plans for the future?

Vladimir Putin: Perhaps I would like to stay in office, but our country’s Constitution does not allow it. I think that what is most important for Russia today is stability, and we can achieve this stability only by respecting the laws that are in force and abiding by the constitution’s provisions. 2008 is still quite a long way off and I am sure that there is still much work to do, including work with the Finnish leadership.

Tarja Halonen: President Putin has my congratulations because until around late May-early July, it was me who was getting asked that kind of question. I was being asked if I had decided to run for President of Finland again. Now I see that the question has crossed the border and it is President Putin’s turn to get asked.

Thank you for your interest. I wish Mr Putin personally and Russia all the best.

Question: Mr President, what do you think of Finnish cuisine?

Vladimir Putin: I already spoke about how ties that go back centuries bind us together. Yesterday evening, the President’s husband and I were in the sauna. When we came out, I noticed the shoes that were placed at the entrance. They were traditional Finnish shoes – what we in Russia call ‘lapty’. It would be hard to say whether these shoes came to Finland from Russia or to Russia from Finland. The same goes for cuisine and for other elements of our culture. How could I not like what to a considerable degree I feel to be my own?

What’s more, over the last decade Finland has distinguished itself for its high standards of quality in all areas of activity and not just in cuisine.

As for what motivated your question, I understand that you are referring to Mr Berlusconi’s comments. I have known Mr Berlusconi for many years now. I can assure you that he is a fine and decent person. It was not his intention, of course, to offend anyone. It’s just that people are all different. He’s a southerner, and southerners are known for being vibrant and showy, be it in art, the way they express themselves, the way they dress — in everything. They’re like the southern sun. He spoke those words in the context of defending Italy’s national interests with regard to what perhaps is a small matter — the choice of location for the EU food safety authority. But Finland found a solution because Italy made concessions on deciding a similar matter and agreeing that another committee, the committee on chemical goods, would be based in Finland.

I think it would be wrong to seize upon any trifle and create problems where they really do not exist.

Question: This is a question for Finnish President Halonen. It is with pain that our newspaper writes about how in the Baltic states, in Latvia and Estonia, in particular – countries that have joined the European Union – there are serious violations of Russian-speaking citizens’ rights. Just how this conforms to European standards is not clear. As was already said, Finland will take over the EU presidency next year. You have said a lot about your priorities for the presidency, Mrs President, but you have not said anything on this matter. Can I ask you then, how do you view this serious situation, the situation that could be called lawlessness, and do you intend taking any steps to defend the rights of Russian-speaking citizens in Latvia and Estonia?

Tarja Halonen: We did discuss this issue during our talks today. It is my sincere desire that the agreements on Russia’s border with Latvia and Estonia be adopted. This would be one problem less for us. I strongly supported the Baltic states’ accession to the European Union and also did a lot of work to help them meet the accession criteria set by the EU.

Respect for human rights, for democracy and the rule of law is paramount in the European Union. As you know, the EU works closely with the OSCE and the Council of Europe. According to my information, Russia will be presiding in the Council of Europe at the same time as Finland will hold the EU presidency. Again, according to my information, the Council of Europe and the OSCE have concluded that Estonia and Latvia conform to the legislative requirements set by these organisations.

But we do realise that attitudes towards each other in everyday and administrative affairs are a different matter. It is my impression that Estonia and Latvia seek the best results in this area and are doing all they can to improve things. I think that when it comes to such issues, no one, including the representative [of Russia] who raised this question, should show an arrogant attitude, because problems can arise in any country, in any state. What we need to do is work together to settle these issues through the European Union, the Council of Europe, the OSCE and the United Nations.

Regarding citizenship, I think it is normal and natural that people should be citizens of the country they live in. But people themselves have to show their desire to receive this citizenship. According to international law, countries have the right to set certain conditions for being able to obtain citizenship. I think that we have already gone through this stage and that everything is in order. What I am pleased to note is that the state authorities in these countries are actively encouraging people still without citizenship to obtain it. This is confirmed by objective figures. I don’t think this issue will be a major priority for the Finnish presidency, not because such issues do not interest me, but because I am certain that they will be settled as part of the ongoing working process and through close interaction within the European Union and cooperation with other countries.

Vladimir Putin: We would very much like that these problems could be settled, and not through some kind of exclusive procedures but on the basis of common standards. All countries with developed legislation share a common approach in this area based on the fundamental categories of citizen, foreign citizen, stateless person and person with dual nationality. Our partners in the Baltic states have come up with a concept of their own – that of the ‘non-citizen’. No modern legal system has such a concept. In some documents they even go so far as to write ‘alien’.

We consider this absolutely unacceptable and not in compliance with modern requirements, including those in force within the European Union. Any restrictions based on ethnic considerations are unacceptable. Of course, nothing should be done that could deliberately exacerbate the situation, and thereby risk harming the very people whose interests we are trying to defend, and so we believe that we will work calmly and consistently with our colleagues, including with our Finnish partners, and pursue settlement of these issues in a normal and good-neighbourly atmosphere.