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"Investors remain interested; U.S.-Russia cooperation is important"


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Vince Morelli, senior staff advisor to the European Subcommittee of the International Relations Committee in the United States House of Representatives, shares his views on Russia


Aleksei Tarasov


- How long have you been involved in following political developments in Russia

- How long have you been involved in following political developments in Russia?

- I have been a staff assistant in the Congress for 20 years and on the staff of the International Relations Committee for the past 8 years. During this time I have followed Russian affairs closely.

 

- In recent times, the U.S. government expressed its disapproval of Putin’s authoritarianism. In light of that, should American companies that want to work in Russia fear instability?

- It would not appear that Putin’s style of governing is creating a climate of instability. In fact, it appears that most Russians favor this kind of managed approach as opposed to the somewhat chaotic years of the previous government. Investors seem to remain interested in Russia despite the Yukos problem. Businesses which wish to work in Russia must make their own cost-benefit analysis to determine whether the existence of corruption, the role of the security services, the indecision over a reform agenda and the way business could be treated if they crossed the government is too much of a risk for investing.

 

- At present, in what ways do Russia and the United States cooperate on governmental levels?

- There still is cooperation taking place at the counter-terrorism level including intelligence sharing.  Proliferation of weapons and the destruction of wmd seems to be working.  It appears that on some economic fronts such as Russia’s interest in the WTO and in the energy sector there is continued cooperation. Russia seems to be more sensitive to our concerns over Iran’s nuclear program and seems interested in helping resolve our difficulties with North Korea. 

 

- How have U.S.-Russia political and economic relations evolved since Perestroika through the 1990’s?

- During the mid- to late 1990’s, there seemed to be great optimism that U.S.-Russia relations would enter a new era of cooperation and that much could be accomplished.  Even when President Putin and President Bush met for the first time many still felt that the relationship, despite some concerns for the pace of democratic reform in Russia, could be very positive.  However, except for the brief period after September 11, 2001, when counter-terrorism cooperation improved, relations between Moscow and Washington seem to have entered a holding period as both sides try to assess which way the relationship can proceed from here.

 

- How do U.S.-Russia political and economic relations look for the next 5 years? What factors are necessary for their successful development?

- It is unclear where this relationship will go over the next 5 years.  I do not believe either side fully knows what it wants out of the relationship.  Putin seems to want to regain a modicum of international respect as a major influence in the world but his approach to democracy, human rights and Russia’s near abroad including Ukraine, Belarus Moldova and Georgia is opposite what the U.S. wants for Russia and for those nations.  The Congress will continue to demand more political and economic liberalism within Russia and will demand more cooperation on Iran, Iraq and N. Korea.  Economic and trade still seems to have some promise if the environment for doing business appears to be more favorable.

 

- Is Russian-American cooperation important for the current world order?

- Yes.  Although it may not be as important as before because many do not believe Russia can become the security threat to the U.S. as it was in the past.  Many here in the U.S. wonder why the Russians have not appreciated the fact that closer U.S.-Russia ties could serve both countries well as we deal with the international environment.  Many believe Russia still sees the U.S. as competitors and even adversaries and thus refuses to make the policy adjustments necessary to strengthen the partnership.  Many see little advantage for Russia in taking the positions it takes regarding Iran, N. Korea, military forces in Moldova, its support for Abkhazia and pressure on Ukraine.  Neither do people here understand why Putin is so reluctant to embrace democracy more fully or to pursue a reform agenda.  Until those attitude change on both sides, it would not appear that the U.S. and Russia will move much closer to each other.



© 2003-2004 Russian-American Business Magazine Russian-American Business

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