Vladimir Putin answered media questions following
the working sessions of the economic leaders
of the Asia-Pacific Economic Cooperation forum.
November 21, 2016
01:40
Lima
President of Russia Vladimir Putin: Good
afternoon. Or good evening. Or good night already in Moscow. Let
us get straight to your questions, without any introductory remarks.
Please.
Question: There was fear
on the meeting’s sidelines over the consequences of Brexit
and Trump’s election. Many people believe that these two events could have
a negative impact on the APEC trade development plans. Do you
share these fears?
Vladimir Putin: No, and I cannot
say I saw any particular fear. I do not know which sidelines you
mean. Of course, the matters exist, and my colleagues are
obviously asking themselves these questions. However, there should be no fear.
Things will settle down one way or another.
Regarding Brexit much will depend
on the form of exit Britain chooses and its speed. There
are certain challenges, but I believe all of us have enough common
sense, including our colleagues in the EU experts. Britain has very
good professionals.
Therefore, I am absolutely sure that
the situation will develop calmly, and there is no need to whip
up tensions. I do not believe that anyone in Britain or Europe
will act contrary to their interests. Of course, there are certain
challenges, but I do not doubt that we will overcome them.
Regarding the US President-elect. We all
understand, and everyone knows, that there is a difference between
election rhetoric and real policies in practically all countries.
Speaking about Mr Trump’s promise to bring
manufacturing jobs back to the United States — what is bad about
that?
The United States is a leading global
economy, and global economic health largely depends on its
development and the resolution of problems it is facing,
including the problem of a huge sovereign debt.
I believe that other important conditions
include what the FRS does, how it changes the interest rate, whether
the dollar becomes stronger and, if it does, how quickly this happens.
A lot depends on this in emerging economies and markets.
The national currencies and financial resources of APEC member
economies depend on this. We discussed all these issues
in a calm and business-like atmosphere.
Question: Mr Putin, this is not
the first year that much has been said, and certain actions have been
taken within APEC to create completely closed economic blocs, despite
criticism and opposition. As far as we know, a meeting was
held here in Lima to discuss the Trans-Pacific Partnership. You
have spoken on this issue repeatedly. Has your opinion changed? Can
the Eurasian Economic Union (EAEU) somehow rival these closed blocs? Thank
you.
Vladimir Putin: No, my opinion has not
changed. Moreover, I have said yet again that we believe, Russia
believes – and not just Russia, but also many other countries
and the IMF believe, as Christine Lagarde has said today –
that the development of international trade is a factor
of global economic revival. I firmly believe that international trade
cannot develop effectively without the free movement of goods,
capital and the most skilled workforce. Unfortunately, there are many
obstacles to this.
Our position is that regional associations are
important and that we need them. This is a natural process. However,
these associations should be created and developed based on universal
standards accepted by the World Trade Organisation.
This is how the Eurasian Economic Union,
the EAEU, was created, and this is how it is operating. Its goal was
never to rival other regional organisations. Besides, considering
the economic volume of the EAEU countries
and the partnership that is being created in the Pacific
region – they are incomparable, and we do not intend to compete
with anyone in this sense.
However, you know that we are discussing
the possibility of aligning the EAEU and China’s Silk Road
Economic Belt initiative based on the ideas of the Chinese
leadership and President Xi Jinping. This could be the first step.
A second step could be the development
of cooperation within the Shanghai Cooperation Organisation
and other Asian associations. By acting in this manner, we can
create a broad Eurasian cooperation association.
If we opt for this path, our organisation
will be comparable to what is being created within the framework
or in the zone of Pacific partnership.
However, I believe that if we want
to effectively influence global economic processes there should be no
closed associations. If such associations are created, they will not boost
the development of international trade or the global
economy as a whole.
Question: As far as we know, you proposed
economic cooperation on the Kuril Islands during a meeting with
Prime Minister Abe of Japan. What kind of economic cooperation did
you have in mind? This is my first question.
Second, Mr Abe has been highlighting
the importance of a new approach to the issue
of a peace treaty. What approach would you regard as new?
And what is the old approach? Thank you.
Vladimir Putin: I do not want
to get too far ahead of the main issue on our agenda, which
is a peace treaty. I believe it is obvious to Japan
and Russia that the absence of a peace treaty between us is
an anachronism that is preventing us from moving on and from
developing. Moreover, Russia and Japan are natural partners
in the region, where they complement or could complement each
other, if their relations were based on a peace treaty, which is,
unfortunately, not the case.
Both Russia and Japan want to sign
a peace treaty. The path towards it is not simple, but we have been
working on it for a long time. I do not wish to go too
far back into the history of the matter, but you know our
position.
The ownership of the Kuril Islands
was decided as a result of World War II, and we believe
that now they are part of Russia’s sovereign territory, which was sealed
in international documents following WWII.
However, we are ready for a dialogue
on this issue with our Japanese partners. We said that there could be
different options. I would like to remind you that the Soviet
Union and Japan signed a document to this effect in 1956,
under which two islands were to be returned to Japan.
The framework for this was not stipulated; it was not decided which
country would have sovereignty over these two islands,
and the conditions for the transfer were not outlined. We
know the position of our Japanese partners, who want all four
islands. All of this is on our agenda.
I would like to stress yet again that
both Russia and Japan sincerely wish to sign a peace treaty
and are looking for ways to do this. As for which
approach is new and which is old, this I do not know. I only
know that this striving must be supported.
What can the basis
for an agreement be? It can be greater mutual trust, and trust
can be strengthened through broader cooperation. This is why Prime Minister Abe
has proposed a programme for promoting business and economic
ties. I believe it consists of eight points and includes
the implementation of large projects, not only on the islands,
but also between Russia and Japan in general.
At our latest meeting, we also discussed
what we could do together on these islands. There are both economic
and cultural issues. However, it would be premature to speak about
this now, because we have not yet coordinated an agreement.
We will continue our contacts
at the level of foreign ministers. The dialogue has been
resumed at Japan’s initiative. We have agreed that the entire package
of these issues will be also at the top of my agenda
if I visit Japan.
Question: The affair with Mr Ulyukayev
came as a surprise to many. Can you comment on this story?
What impact could it have on the transfer
of the state-owned Bashneft stock to Rosneft? When will
a new minister be appointed, and who might it be?
Vladimir Putin: There is nothing to say
here. Ultimately, comments should come from law enforcement agencies
and the court. Only after that will we be able to express our
opinion on the essence of the matter. However, the fact
itself is very sad. Nevertheless, I would like to say that our
intolerance to events such as this would not abate.
In my opinion, I firmly believe
that such actions by law enforcement agencies not only do not damage
the business environment, but that they are only improving
the business environment in Russia. Everyone must know –
including our partners and people in the country – everyone
must understand and know that absolutely everyone is equal before
the law irrespective of one’s official position.
As for the Bashneft deal, this sad
event cannot have any impact on Rosneft’s action to buy into
Bashneft. Moreover, we expect a big synergetic effect from this
transaction. When we expressed our doubts regarding the expediency
of Rosneft buying a Bashneft package, we said that the state
holds a controlling stake in Rosneft, which is not a state-owned
company. A foreign partner, British Petroleum, holds a large package
in Rosneft, 19.5 percent, if memory serves. The next step –
the privatisation of Rosneft – will involve
the privatisation of the state-owned package. Therefore, we have
not abandoned our privatisation plans in this respect. Of course,
the Government and Rosneft management will be working
to implement the second part of this plan, which is to sell
the state-owned stake in Rosneft.
Remark: When will a new minister be
appointed?
Vladimir Putin: Soon, I hope. There are
candidates, of course, several candidates. I have been discussing
this with the Prime Minister and several other members
of the Government. There are at least three or even four
candidates. We will settle the matter as soon as I return
to Russia.
Question: We saw that you spoke today with
President Obama, who is coming to the end of his term
in office. Could you reveal the secret and tell us what you
talked about with him? This was probably your final chance to speak with
President Obama. Coming back to your conversation with President-elect
Trump, did you reach agreement on a first meeting?
Vladimir Putin: What does one normally talk
about in such cases? The usual matters. As you noted, our
dialogue was not always easy, there were difficult moments and working
together was not always a straightforward process, but nonetheless,
as President Obama and I both noted, we always had respect for each
other and for each other’s positions. I thanked him
for these years of work together and said that we would be happy
to see him in Russia at any time, whenever he feels
the need or desire to visit.
As for my telephone conversation
with the US president-elect, he reiterated his desire to normalise
our bilateral relations. For my part, I said that we seek
the same. We have always said this. We did not discuss a specific
date for a meeting but said it could be useful, perhaps,
to organise a meeting between representatives of our staffs. We see
that the US president-elect is still in the active process
of putting together his own team. It would be difficult to organise
a meeting even between members of our staffs right now when he has
not yet finished putting his official team together. Let us wait for now.
There will be time.
Question: I would like to clarify
my colleague’s question and put a question of my own.
Do you still have confidence in the Government as a whole
following Mr Ulyukayev’s arrest? My second question concerns the OPEC
meeting scheduled for the end of November. How realistic is it
in your opinion that they will reach an agreement on limiting
production, how important would this be for Russia, and are there any
plans or proposals for Russian companies to take similar steps
on their side? Thank you.
Vladimir Putin: Regarding the sad news
about our Economy Minister’s arrest, this has not changed my view
of the Government as a whole. The Government is doing
its job professionally, despite the criticism it receives, which is only natural.
The Government is always in the public spotlight, after all,
with people analysing every step it takes. All of us make mistakes
at times in our work. Perhaps that Government could do some things
faster, but overall, let me say again, I believe they are doing quite
an effective job and are producing results in the difficult
conditions in which we have to work.
By the way, when I met earlier
with Ms Lagarde, I discussed precisely this subject with her
and the IMF’s assessment coincides with my own on the work
of the Government economic and financial blocks
and the Central Bank.
As for the upcoming OPEC meeting,
our position remains unchanged. We have spoken on this matter before
and have said that we are ready to freeze production at today’s
level. We do not think that would create any problems for our energy
sector. The Energy Ministry is in constant contact with the big
energy companies, and they are ready to go ahead with this.
I cannot say for certain whether they
will reach an agreement or not, but I do think it highly
probably that they will. As I see it, the main differences that
existed between the OPEC countries, perhaps not all the differences,
but the bigger ones at least, if they have not been already settled,
they can be. As far as we understand the situation, there are no
serious issues remaining.
For our part, we will do everything our OPEC
partners expect of us; in any case, it is not a problem
for us to freeze production.
Question: Mr President, I think you
might have had the chance to read the news or were briefed
on the fact that the plane that brought officials
and journalists here to the summit before your own arrival was
escorted at very close range, even dangerously close, by the Swiss
air force. Was this an act of aggression or a gesture
of respect? Did F-18 fighter planes approach your plane as welll?
Thank you.
Vladimir Putin: Let us consider it
an honour escort.
Thank you. Good luck.
Do you have any more questions? Go ahead.
Question: You are to visit Japan
in December. How do you assess the current state of preparations
for your visit? This is my first question.
And my second question. You said two
years ago that the ball is in Japan’s court now. Do you think
the ball is rolling a little now? Thank you.
Vladimir Putin: The fact that we can
reach agreement on upcoming contacts, including with Japan, is already
a sign that something is changing in our relations, I believe.
As for the preparations, they have only just begun and it
is too early to talk about them now. However, if we consider
the renewed discussion with our Japanese friends on concluding
a peace treaty, you could say that this already marks progress.
Question: You met with the new
Philippine President. He spoke very positively about you on earlier
occasions. How did the meeting go? Could you say that you have gained
a new ally?
Vladimir Putin: You already know
the situation with Russia’s allies. I will not repeat myself now.
Meanwhile, more productive and substantial
cooperation, with the Philippines as well, is eminently possible.
At any rate, the President of the Philippines said he is
interested in developing relations of this kind. We seek,
of course, to develop relations with all of the APEC
countries.
The Philippines is a big country,
a big economy, and we agreed to consider all
the possibilities. We do not have a great amount of trade
and economic ties at present, but the mutual interest is there
and there are areas that we most certainly can develop. They include
machine building, aircraft manufacturing, the space industry, some
of the high-tech sectors, the energy sector,
and military-technical cooperation. We could develop many interesting
joint projects in these areas. We agreed to establish
the necessary framework for talks and will set to work
identifying the most promising and practical directions
for work.
Thank you very much. All the very best
and have a good journey home.
See also
November 21, 2016
Additional
November 19 − 21, 2016
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