Medvedev, Obama Talk Russian WTO Membership

Russia stands a high chance of entering the World Trade Organisation (WTO) before the end of the year, president Dmitry Medvedev has said, with the Kremlin citing support from Barrack Obama. However, the ongoing dispute with Georgia could threaten to upset the progress made.

The Kremlin has said that, during a telephone conversation on August 3, the two presidents carried out a detailed discussion on Russia's accession negotiations. It was noted that the momentum has been conducive to making significant progress and assuring membership before the end of the year seems "entirely realistic". The two sides also exchanged opinions on further steps to accelerate and coordinate efforts to ensure accession.

However, the following day Medvedev was interviewed by state radio and television, and questioned on Georgia's ongoing attempts to block Russian WTO membership, prompting strong words of warning. Medvedev said that he does not want to "barter" for Russia's place in the organisation, as that would be "immoral". While he accepts that Georgia has a stance on the accession, Medvedev does not believe that the difficulty lies in the trade issues.

Nevertheless, Medvedev maintained that Russia's chances of acceding to the WTO remain high. Were the Georgian authorities to "show wisdom", it could help relations between the two countries, with the WTO becoming "a point of contact". According to Medvedev, this starting point could then be used to re-establish trade and economic relations, and perhaps even diplomatic relations. In spite of this apparent olive branch, Medvedev was clear that, were political obstacles to come into play, it may require a return to the drawing board. "That would be bad for everyone, including the WTO".

August 7, 2011

Source: Tax News