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Finance Minister Alexei Kudrin on the G-20 finance ministers’ meeting (in response to a question from President Vladimir Putin):

I took part in the meeting of finance ministers of the world’s leading 20 countries, the G-20, as it is known. The meeting examined all the key global economic development issues, above all the global economy’s development and the increasing imbalance in financial flows in the world. The economies in some regions, in South-East Asia and the CIS countries, for example, are growing at a faster pace than the economies of Europe and the United States, and the considerable financial successes of these regions are in effect a source of subsidies and borrowing for the key leading European countries and the United States. This situation is creating an overflow of financial resources that has specialists worried today. These imbalances in the world economy were one of our primary subjects of discussion.

We also discussed the high oil prices and the measures that different countries are taking to compensate for these price hikes in order to maintain growth rates and hold expenses for industry in check.

On all these issues I put forward the views that had been previously prepared with the ministries.

Our meeting also discussed reform of the World Bank and the International Monetary Fund in the aim of more clearly delimiting their functions on the one hand, and increasing the role played by fast-growing economies such as China, India, Russia, Brazil and Mexico on the other hand. These economies have considerably increased their importance in the world economy over the last decade and this justifies giving them greater influence in the decision-making processes of these institutions.

These were the key issues we discussed.

We also raised the issue of achieving the millennium goals and providing support for the world’s poorest countries. By the end of the year, in accordance with the decisions that were made at the G-8 summit, all the countries should adopt the programme for achieving the millennium goals. There are a number of areas in which Russia is in a position where we should also be increasing our efforts to reach these goals.

These main results of our meeting are reflected in the G-20’s communique and the two statements issued.

Alexei Kudrin on China’s currency policy (responding to a question from Vladimir Putin):

This was also reflected in the discussions and in the [G-20’s] main communique. The Chinese authorities were chairing this meeting and so they, of course, took the lead in supporting the view that national specificities need to be given greater consideration and that there are general principles that are undoubtedly right when it comes to dealing with crises, but that when it comes to carrying out financial policy, these principles should be given the interpretation that fits the specific features and conditions of the economies where they are to be applied. This view was reflected in the final communique. But there was no heated discussion of the issue at this meeting, out of respect for the Chinese, it would seem.

Foreign Minister Sergei Lavrov on the results of the Russian-French Council on Security’s work in Paris (in response to a question from Vladimir Putin):

Last week, [Defence Minister] Sergei Ivanov and I took part in the latest meeting of the Council on Security that you and President Chirac established four years ago and that brings together the foreign and defence ministers of our two countries.

The meeting showed that this was the right decision. We discussed practically the entire range of regional and international issues and coordinated our positions on a whole series of important issues on the international agenda. We paid particular attention to renewed efforts in the fight against terrorism, especially in light of the resolution recently adopted by the UN Security Council that makes the incitement of terrorism a criminal offence. We and our French counterparts agreed to work together actively to ensure that this resolution is adopted by all the European organisations.

We also discussed issues regarding the non-proliferation of weapons of mass destruction, the Middle East peace process, the situation in Iraq, the Iranian and North Korean nuclear issues and we reached a principle agreement on our positions regarding further reform of the United Nations and cooperation on reforming the OSCE – an area where there is a lot of work to be done. I discussed this matter today with the Chairman of the OSCE – the Slovenian foreign minister.

We are therefore working with the French on these issues on the basis of common positions, and this also goes for our work in the Russia-NATO Council where both sides see prospects for deepening our partnership on specific practical and operational issues. Our French counterparts also reaffirmed their firm support for developing relations between Russia and the European Union on an equal basis, acting in the interests of both sides. This council is therefore, a very useful mechanism. I was participating in its work for the second time now and I think it is one of the most effective foreign policy mechanisms we have.

Prime Minister Mikhail Fradkov on the 19th meeting of the Consultative Council on Foreign Investment (responding to a question from Vladimir Putin):

The consultative council has been working since 1994 and is an instrument for building up relations between Western investors and our ministries and agencies that are involved in creating the conditions for investment to take place. The heads of 27 major Western companies are members of the council.

The general view is that the council’s work is having an effect. At its meeting last year, for example, the council made some recommendations that have been given practical consideration and have been taken into account in the legislation and by the ministries and agencies in their work.

The council’s meeting took place in a good business-like atmosphere – this was the general view. Our colleagues, the Western investors, confirmed their readiness to help us work on reaching the goals of doubling our GDP and diversifying our economy. They understand the situation well and are not looking for an easy road, realising that we have now entered a period of sustainable economic growth, and it is clear to them that whatever happens we will all have to work together on sorting out the problem issues and dealing with bottlenecks and hindrances of any sort. This was stated very clearly. I think that is in a sense the guarantee that our work with foreign investors will develop in the interests of both our economy and the investors concerned. They are examining the prospects for taking part in the processing and manufacturing sectors, in innovation, in science and technology projects, and they are asking us to ensure protection of their intellectual property rights. We have seen that they really are ready to tackle problem issues together with us and this is the guarantee that these issues will not be an obstacle.