Russia supplies non-military helicopters to Iran

Moscow, Dec 9, IRNA – Russian non-military helicopter manufacturere 'Verthalutirussia' signed an agreement with Iranian company 'Fanavaran Aseman Giti' on Tuesday to supply helicopters to Iran.

According to the agreement, the Iranian company will represent Russian firm in Iran and will have responsibility for marketing and advertisement.
The Russian company intends to supply non-military and multi-purpose helicopters like " Mi-171", " K 226 T" and " K 62" to Iran.
The Russian private company said that Iran is a good market in the Middle East for helicopter technology.
Executive director of the company Andrea Eishinov expressed pleasure that Russian made helicopters are increasing in Iran.
He added that repair centers for Mi and K models are located in Iran's neighboring countries which is an advantage for Russian-made choppers in Iran.
Source : IRNA

Mottaki: Iran-Russia cooperation helps restore regional tranquility

Tehran, Nov 30, IRNA -- Foreign Minister Manouchehr Mottaki said on Monday that constructive cooperation between Iran and Russia helps restore peace and tranquility to the entire region.
Mottaki made the remarks in the 8th meeting of Iran-Russian Joint Economic Commission in Tehran.

He said that ties between Iran and Russia have developed in various fields after the triumph of the Islamic Revolution.

"Iran and Russia with huge natural and energy resources would play leading role in the globe and boost cooperation."

Mottaki called for enhanced level of trade in light of high potentials in various fields the two countries possess.

Mottaki gave a proposal to adopt monitoring system for foreign trade or barter trade to save national economies of both Iran and Russia from the current global financial crisis.

The Russian Energy Minister Sergei Shmatko, for his part, thanked the Iranian foreign minister for hosting the 8th Iran-Russia Joint Economic Commission and said the two countries reviewed all regional developments and ways to expand economic and commercial ties.

Iran and Russia should try to increase current level of cooperation in energy, electricity, oil and gas to a satisfactory level, he said.

The two sides have decided to enhance level of mutual cooperation in gas and oil sectors, he pointed out.

The two sides inked four documents in 17 chapters and 120 articles at the joint economic commission.

Source : IRNA

Russia extends hands to Arabs now

by Amie Ferris-Rotman
Russia, entrenched in economic woes, is positioning itself as a firm trading partner with Arab nations who are keen to rekindle their Soviet-era alliance, government officials said on Thursday.

Trade between the Arab world and Russia currently totals $8bn a year - a figure dwarfed by that of Russia's heavyweight partner, the European Union, amounting to hundreds of billions of dollars - but Russia hopes a wave of new investments will cement trade for years to come.

"The Russians are coming, and not to plunder your wealth," Russia's Vice Premier and the cabinet's top anti-crisis manager, Igor Shuvalov, told a group of Arab ministers at a conference in the country's second city St Petersburg.
"Investment to the Arab world and from the Arab world to Russia is all important and we'll work on it."

Russia's gross domestic product (GDP) shrank by 10.5 percent year on year in April, making it the worst hit major emerging market in the global financial crisis, and its companies owe $400 billion abroad.

Shuvalov said Russian banks are currently "in talks with Muslim banks" over possible joint ventures and said combined Russian-Arab trading platforms should be set up.

The Arabs welcomed the offer, saying they want Russia to help develop their infrastructure and develop energy.

"Saudi Arabia is open (to Russia), like many others in the region," said Amr Dabbagh, the head of Saudi Arabian General Investment Authority.

Kuwait's Trade Minister Ahmad al-Haroun said the Gulf Arab state is banking on Russia -- through joint ventures or direct investment -- to construct railway networks, build car-making plants and develop a port in the north of the country to serve neighbouring Iraq.

"That ($8bn) is not the number we want to obtain here. We have possibilities to enhance trade turnover between our two countries... The investment climate is good," he said.

Another top government official who spoke on condition of anonymity said he hoped trade between Russia and the Arab world would reach $10 billion either this year or in 2010.

Qatar's Finance Minister Youssef Kamal said the world's largest exporter of liquefied natural gas (LNG) wants to develop more mutually beneficial projects in the energy sphere with Russia over the next 10-15 years.

Late last year Russian state-controlled gas giant Gazprom, Iran and Qatar agreed to form a "gas troika" to strengthen cooperation in gas production.
Source : Reuters

Russia, China cooperate on new currency proposals: Kremlin

Moscow (ANTARA News) - Russia and China are coordinating proposals on a new global currency that could replace the US dollar as a reserve currency to prevent a repeat of the global economic crisis, the Kremlin said on Monday.

"We have received proposals from our colleagues in China, detailed proposals," President Dmitry Medvedev's top economic adviser Arkady Dvorkovich was quoted by AFP as saying. "Our positions are very similar.

"We have similar positions on the development of the international financial architecture," he told reporters.

Ahead of the Group of 20 summit in London later this week, the Kremlin has published a raft of proposals to overhaul the global economic order, including plans for a supra-national currency that could replace the US dollar.

China has come forward with similar ideas.

US President Barack Obama has said he does not see why the dollar should be replaced and British Prime Minister Gordon Brown said the summit would have more immediate issues to discuss.

"So far, not everybody is ready for that," acknowledged Dvorkovich. "We will insist on that at all levels."

Medvedev has said the international community should have a say when the world's richest countries make decisions with global implications, as in the US financial crisis, sparked by the collapse of the market for subprime or higher risk mortgages.

Moscow also understood however, that many countries were not ready to undertake additional "political obligations," said Dvorkovich, expressing hope that major economies would at least be open to consultations on the subject.

Dvorkovich said he hoped Russia and other major developing economies would also get an equal say and the attention they deserve during the G20 meeting.

"We are hoping that our voice will be heard but I would like to stress that we do not have a desire to pit our voice against that of our partners," he said, referring to developing economies Brazil, India and China who join Russia in what is known collectively as 'BRIC.'

"There will be no separate joint (BRIC) communique, nor should there be," Dvorkovich said. "This is the summit of the leaders of the G20 countries."

Critics have suggested China and the United States, whose economies are closely intertwined, would likely steal the show by promoting their own agenda and turning the G20 forum into a 'G2' summit.

Dvorkovich said the US and China would have ample time to discuss bilateral issues on the summit's sidelines

Separately, Dvorkovich said Medvedev would meet Australian Prime Minister Kevin Rudd on April 1, just before the summit. Medvedev was also scheduled to meet US President Barack Obama, China's Hu Jintao and Britain's Brown that day.

Faisal Awards presented

Ghazanfar Ali Khan, Arab News
RIYADH: Custodian of the Two Holy Mosques King Abdullah presented awards to this year’s winners of the prestigious King Faisal International Prize (KFIP) at a glittering ceremony here last night. The awards were presented in all five categories to recipients from Saudi Arabia, Egypt, the United Kingdom, the United States, Morocco and Russia.

In the service to Islam category, Egypt’s Principal Shari’ah Society for Qur’an and Sunnah Scholars was honored, while two scholars from the UK and Russia shared and received the prize in the science category.

The presentation ceremony at the Prince Sultan Hall in the Al-Faisaliah complex in Riyadh was attended by a number of princes, Cabinet members, diplomats and senior government officials. Makkah Gov. Prince Khaled Al-Faisal, who is also the director-general of the King Faisal Foundation (KFF) and chair of the KFIP board, welcomed the king and guests.

Abdullah Al-Othaimeen, KFIP secretary-general, read out individual citations for winners, who then received their prizes from King Abdullah.

King Abdullah first presented the Prize for Arabic Language and Literature to Abd Al-Aziz N. Al-Manie of Saudi Arabia, who is professor emeritus of Arabic literature at Riyadh’s King Saud University. In his acceptance speech, Al-Manie thanked the king for the award and said he has been “working, verifying and elucidating several Arabic literary works of the third and seventh century Hijrah through the years.”

Each winner of the award received SR750,000 ($200,000) in cash, a certificate outlining the laureate’s work and a commemorative 22-carat gold medallion. Speaking on the occasion, Al-Othaimeen cited Egypt’s Principal Shari’ah Society for Qur’an and Sunnah Scholars as the winner of the 2009 KFIP for service to Islam.

The prize was given in recognition of the society’s outstanding services to Islam and Muslims, which includes nearly 100 years of dawa work. The society’s services in Egypt include holding religious classes, extending true Islamic teachings and thought through its website, establishing more than 50 institutes for training Muslim preachers, and sponsoring orphans and students at Al-Azhar University.

The organization has also been rigorously contesting anti-Islamic propaganda, carries out a range of social services and has built more than 5,000 mosques across the world.

In the Islamic studies category, Abdessalam M. Cheddadi, a professor at the University Research Institute of Mohammad V University in Rabat, was cited for his pioneering works on Ibn Khaldoun. After receiving the prize from King Abdullah, Cheddadi said that he had been “working in this field for the last 30 years.” Cheddadi has elucidated the basis, concepts, terminology and types of Ibn Khaldoun’s famous theory of “Imran”, comparing them to modern social theories.

In the category of medicine, the prize was presented to Ronald Levy, head of the oncology division at Stanford University Medical School’s Department of Medicine. Levy thanked the king and KFF and said he had been recognized for his pioneering studies in cancer immunotherapy. “Our studies, our efforts and our treatment are for all humanity irrespective of color and religion,” he said.

Almost 30 years ago, he developed antibodies that could distinguish between malignant and benign tumor cells.

Levy, in his works, showed in 1980 that monoclonal antibodies against a tumor-associated antigen could be employed to treat patients with B cell lymphoma. Many of these patients responded well to the treatment. In the last 11 years, the drug he discovered has been used to treat a large number of lymphoma patients with remarkable remission and survival results. In his more recent work, Levy has used patients’ immune system to mount immune responses against their cancer cells.

In the science category, Sir Richard Henry Friend, chairman of the British Council of the School of Physical Sciences and Cavendish professor of physics at the University of Cambridge, and Rashid Alievich Sunyaev, chief scientist at the Space Research Institute at the Russian Academy of Science and director of the Max-Planck Institute for Astrophysics in Germany, shared the prize for their distinguished contributions. Friend, in his speech, thanked KFF and said that he had a pleasant surprise on hearing news of his nomination for the prize.

“Friend has pioneered the physics and engineering of semi-conductor devices made of plastic materials,” said Al-Othaimeen in the citation. On the other hand, Sunyaev has made pioneering and fundamental contributions to astrophysics and cosmology, he added.

Sunyaev’s theoretical works on cosmic background radiation laid the foundation for observational exploration of the structure of the universe. His work on black holes and binary stars has been critical in advancing the field of X-ray astronomy.

In his acceptance speech, Sunyaev appreciated the role of the Kingdom under the leadership of King Abdullah in promoting research, knowledge and scholarly works. Recalling the contributions of Arab scientists and scholars especially in the fields of astronomy, astrophysics and cosmology, he said that the UN has declared 2009 as the year of astronomy. “This is indeed a rare field that needs to be explored more and recognized,” said the space scientist, while referring to Arab contributions in this field.

The King Faisal Awards were established in 1979. The prize is considered the Arab Nobel Prize. Several winners of the King Faisal prize have also won the Nobel Prize.

Topics for the 2010 King Faisal International Prize were also announced. Mathematics will be the subject for the KFIP in the science category, while non-arthroplasty management of degenerative disease will be the topic in the medicine category. Studies dealing with Arabic grammatical thought will be the topic in the Arabic language category, while studies dealing with religious endowments in Islam will be the subject of the prize in the Islamic studies category.

The deadline for nomination for 2010’s KFIP is May 1, 2009.

The King Faisal Foundation was established in 1976 by the eight sons of the late King Faisal. Of the many philanthropic activities of the KFF, the King Faisal International Prize is the most widely known. By drawing attention to important issues and rewarding gifted scientists, the prize’s direct and indirect effects are far reaching. Nominations for the prizes are accepted from international institutions and organizations only, and not from individuals or political parties. Learn more Faysal: Saudi Arabia's King for All Seasons

Minister: Iran, Russia to boost military cooperation

TEHRAN, Feb. 15 (Xinhua) -- Iran's Defense Minister Brigadier General Mostafa Mohammad Najjar said that Iran and Russia are to boost military cooperation, the semi-official Fars news agency reported on Sunday.

"Tehran and Moscow are to review ways to enhance military cooperation during an upcoming visit to Russia by Iranian defense minister," Fars said.

Najjar is scheduled to travel to Moscow on Monday to discuss military and technical cooperation and review implementation of agreements inked by the two countries, according to Iran's defense ministry.

He is also slated to pay a visit to Russian defense industries.

In December, Deputy Director of the Russian Federal Organization for Military and Technical Cooperation Alexander Foumin said that his country intended to expand joint cooperation with Iran, which would have a positive impact on stability in the Middle East region.

Such a cooperation has raised concerns about the rising military capabilities of Iran, as the Western observers has elaborated.

However, earlier this month, Iranian ambassador to Russia Seyed Mahmoud Reza Sajjadi played down such concerns.

"Probably, there will be some changes, but generally the scale of this cooperation is not that large as (the media) allege," Sajjadi told a news conference in Moscow, adding that "We think that Iran-Russia military-technical cooperation is slightly exaggerated." 　

Source : Chinaview.cn

US softens foreign policy stance

Joe Biden, the US vice-president, has struck a conciliatory tone with Iran and Russia in a wide-ranging speech at a security conference in Germany.

He told delegates in Munich on Saturday that Tehran would be isolated if it continues with its controversial nuclear programme.

"We are willing to talk to Iran, and to offer a very clear choice: continue down your current course and there will be pressure and isolation; abandon your illicit nuclear programme and support for terrorism and there will be meaningful incentives," he said.

Biden also said that Washington is prepared to work towards improved relations with Russia, suggesting that Moscow could be consulted over a US missile defence system planned for eastern Europe.
"The last few years have seen a dangerous drift in relations between Russia and the members of [Nato]. It is time, to paraphrase president Obama, to press the reset button and to revisit the many areas where we can and should work together.

"We will continue to develop missile defence to counter a growing Iranian [ballistic missile] capability, provided the technology is proven and it is cost effective. We will do so in consultation with you, our Nato allies, and with Russia," he said.

Biden was speaking to the security conference during his first visit to Europe as US vice-president.

Policies examined

Washington says that its planned missile shield is meant to counter Iran's growing ballistic missile capability, but it has angered Russia, which sees it as a threat.

Al Jazeera's Mark Seddon, reporting from Munich, said that the Obama administration appears to be reworking a host of policies first mooted by the previous administration of George Bush.

"It is almost as if the Obama administration has decided not to do what the Bush administration did, which is rip everything up and start all over again, but to start with what they believe works and establish a degree of continuity," he said.

"Having said all that, there have been some major changes, particularly over Iran."

Washington has long accused Iran of using its uranium enrichment programme towards the creation of a nuclear weapons. Tehran says its nuclear work is solely for generating electricity.

Iran dialogue

The Obama administration has now signalled that it is open to dialogue with Iran, marking a dramatic shift from the Bush era.
"The Iranian people are a great people. The Persian civilisation is a great civilisation," Biden said.

"But Iran has acted in ways that are not conducive to peace in the region or to the prosperity of its people; its illicit nuclear programme is but one of those manifestations.

"Our administration is reviewing policy toward Iran, but this much is clear: We will be willing to talk."

The Obama administration will also work towards a durable peace between Israel and the Palestinians, Biden said.

"It is long time past for us to secure a just two-state solution. We will work to achieve it, and to defeat the extremists who would perpetuate the conflict," he said.

"And, building on the positive elements of the Arab Peace initiative put forward by Saudi Arabia, we will work toward a broader regional peace between Israel and its Arab neighbours."

Sideline meetings

The Munich conference has often been the venue for US administrations to reveal their thinking on foreign policy doctrine.

Biden is set to meet Angela Merkel, Germany's chancellor; Donald Tusk, the Polish prime minister; Yulia Tymoshenko, his Ukrainian counterpart; and Nicolas Sarkozy, the French president.

On the sidelines of the conference, Biden will hold talks on Sunday with Sergei Ivanov, the Russian deputy prime minister.

Ivanov, for his part, has said that Moscow would not start new missile deployments if Washington reviewed plans for a missile defence system in central Europe.

He said Moscow is eager to hold talks on the shield with the Obama administration and is open to a joint assessment of threats with the US.

The softer tone towards Russia by the US government comes as Washington and Nato seek support from Moscow on its war against Taliban fighters in Afghanistan.

"Quite clearly, this new US administration believes that they need Russia on-side and involved in pretty major way in Afghanistan … in his speech, Biden referred to the Taliban as a 'common enemy' that must be defeated by Russia and the US," Hamish McDonald, Al Jazeera’s correspondent in the Afghan capital Kabul, said.

"We are seeing the map in this region being re-drawn very quickly – in the last 24 hours we heard Russia say that it will enable the US to use new supply routes into northern Afghanistan.

"We might see a stage in the next few months where the US and Nato will be reliant on Russia for the success of the war in Afghanistan."

Source: Al Jazeera and agencies

Six-Nation Meeting on Iran Stresses Diplomacy

Senior diplomats from five permanent members of the UN Security council met with their German counterparts to talk over a common strategy toward Iran. The carrot, they think, is a better option than the stick.

The diplomats from the United States, China, Russia, Britain, France and Germany convened in the city of Wiesbaden on Wednesday, Feb. 4. It's the first such meeting since Barack Obama took over from George W. Bush as US president.

In a joint statement after the conference, the participants said the group had "welcomed the willingness of the US administration, as expressed by President Obama, to engage in talks with Iran."

Obama's predecessor refused to speak with Tehran directly about its nuclear program, which Washington, and other European capitals, fears could be aimed at producing atomic weapons.

The group emphasized their commitment to a "diplomatic solution" and urged Iran to cooperate with the UN's nuclear watchdog, the International Atomic Energy Agency.

In an interview with the Sueddeutsche Zeitung newspaper, German Foreign Minister Frank-Walter Steinmeier, encouraged Tehran to "seize the chance" for direct talks.

At the same time, a foreign ministry spokesman said it would be a "miscalculation" for Iran to interpret Obama's willingness to talk as a "sign of weakness."

US Under-Secretary of State William Burns said the Obama administration was reviewing America's policy toward Iran and would keep the other countries apprised of any changes.

Acute concerns

The group said Iran's launching of its first home-built satellite on late Monday did not affect the substance of the talks.

But that launch, which first became widely public on Tuesday, has stirred up old fears about Tehran's intentions and that Iran could master rocket technology necessary to fire ballistic missiles.

"This action does not convince us that Iran is acting responsibly to advance stability or security in the region," White House press secretary Robin Gibbs told reporters.

"Efforts to develop missile delivery capability, efforts to continue on an illicit nuclear program, or threats that Iran makes toward Israel and its sponsorship of terror are of acute concern to this administration," Gibbs added.

Many fear that Iran, if it did develop nuclear weapons, would use them against Israel since leading members of the current Iranian government have called for the destruction of the Jewish state.

Source : Deutsche Welle

German Foreign Minister Presses Iran to Accept US Offer on Talks

Germany's foreign minister Friday warned Iran against rebuffing US President Obama's offer to hold direct talks as diplomats from six nations trying to push Tehran to curb its nuclear ambitions meet next week in Berlin.

Speaking in the German parliament on Friday, Jan 20, Frank-Walter Steinmeier urged Iran not to snub new US President Barack Obama's offer to open direct talks with Tehran on the country's controversial nuclear program, saying diplomacy was the only way to solve the problem.

"It is good that Obama extended his hand and showed willingness to hold direct talks with Iran," the German foreign minister said. "That's why I'm calling on the Iranians to be sensible and be open to the US offer."
It should be done for the people in Iran who "are suffering from the isolation and confrontation resulting from the policies of Tehran and many are also going hungry," Steinmeier added.

Germany to scale back trade with Iran

His comments came as a German official confirmed on Friday that senior diplomats from six world powers trying to persuade Tehran to halt its nuclear program would meet in Berlin next week.

German foreign ministry official Jens Ploetner said that diplomats from the UN Security Council's permanent members -- Britain, China, France, Russia and the United States -- plus Germany will meet on Wednesday near the western city of Frankfurt.

The six countries have offered Tehran a set of economic and energy incentives in exchange for halting its uranium enrichment program which the West suspects is being used as a cover to develop nuclear weapons.

Germany said this week it had drastically cut its export guarantees for companies trading with Iran.

Berlin's move came amid increased criticism, notably from the United States and Israel, over Germany's growing trade with Iran.

German exports to Iran rose 10.5 percent in the first 11 months of 2008 to reach 3.6 billion euros ($4.6 billion), according to government statistics.

US-Iran talks "long overdue"

Next Wednesday's meeting in Berlin of the six world powers on the Iranian nuclear program will mark the first gathering since Barack Obama took office on January 20.

In one of the biggest foreign policy reversals since taking the reins, Obama this week told Arab broadcaster Al-Arabiya he was willing to talk directly with Iran and map out a new future for US relations with Iran after a three-decade diplomatic freeze.

Washington is also at odds with Iran over its threats to destroy Israel as well as Tehran's support of the militant groups Hezbollah in Lebanon and Hamas in the Palestinian territories. The US broke off diplomatic relations with Iran after hard-line students stormed the US Embassy in Tehran in 1979.
At the same time, Obama's administration has refused to rule out any options -- including military strikes -- if Tehran refuses to abandon its uranium enrichment program.

The head of the UN nuclear watchdog welcomed Obama's overtures and called for direct talks without conditions.

"It is the way to go. It is long overdue," Mohamed ElBaradei, the head of the International Atomic Energy Agency (IAEA), said on Thursday on the sidelines of the Davos summit. "The security issue will not be resolved without direct dialogue between Iran and the US."

On Thursday, Iran, which insists its nuclear program is peaceful and solely geared toward electricity generation, promised a positive response if the United States makes genuine policy changes.

But earlier this week, Iran's hard-line President Mahmoud Ahmadinejad demanded Obama apologize for past US "crimes" against the Islamic republic.

Source : Deutsche Welle

Indonesia joins race to host 2018, 2022 World Cup

The Indonesian football federation officially expressed interest in staging one of the tournaments to FIFA late Tuesday, becoming the sixth potential host to show interest ahead of Monday's deadline.

England, Japan, Qatar, Russia and a joint Spain-Portugal candidacy have already declared intentions to bid.

Other contenders including Australia, a combined Belgium-Netherlands-Luxembourg proposal, Canada, China, Mexico and the United States are expected to enter the first stage of a two-year selection process before the cutoff.

Though its team is currently No. 14 in the FIFA world rankings, Indonesia fulfills one major requirement of hosting the world's most-watched sports event - it has a stadium capable of holding at least 80,000 spectators for th opening match and final.

The government-owned Bung Karno Stadium in the capital Jakarta has a capacity of 88,000 and staged the 2007 Asian Cup final, when Iraq beat Saudi Arabia 1-0.

Indonesia has previously made World Cup history.

It became the first Asian nation to play at a World Cup, at the 138 tournament in France under its colonial name of the Dutch East Indies. The team lost 6-0 to eventual runner-up Hungary in a first-round match at Reims.

Indonesia was quickly knocked out of qualifying for the 2010 World Cup being played in South Africa. It advanced through the Asian first round when oppoent Guam withdrew, then lost 11-1 to Syria in a two-legged series in November 2007.

FIFA began the process of choosing the 2018 and 2022 World Cup hosts two weeks ago. It will issue official bid forms next month, which must be returned by March 16.

Candidates capable of providing around 12 stadiums eac holding at least 40,000 fans can apply for either the 2018 or the 2022 tournament, or for both.

FIFA said no South American country can apply for either tournament because Brazil is hosting the 2014 edition. African countries can bid only for the 2022 event because South Africa is hosting next year.

The hosts will be chosen by FIFA's 24-man executive committee in December 2010.

If successful, Indonesia would be the second World Cup host from Asia. The 2002 tournament was played in Japan and South Korea.
Source : The Associated Press

Turkey in talks with Russia, Ukraine to end gas dispute

Ankara (ANTARA News/Xinhua-OANA) - Turkey`s Energy and Natural Resources Minister Mehmet Hilmi Guler said on Saturday Turkey was holding talks with Russia and Ukraine to end their natural gas dispute.

Turkey continued its mediation to solve the natural gas dispute between Russia and Ukraine, Guler was quoted as saying by the semi-official Anatolia news agency.

"We have talked with Gazprom (Russia`s gas company) and Naftogaz (Ukraine`s gas company), and the energy ministers of two countries," Guler said.

Guler said he met Ukrainian Ambassador Sergiy Korsunsky to Turkey on Thursday, and discussed recent developments and proposals for a settlement.

Korsunsky conveyed him a letter signed by deputy prime minister of Ukraine, head of Naftogaz executive board and European commissioner for energy, which is about Ukraine`s demands from Turkey for a settlement, Guler said.

Turkey knew well about its responsibilities to provide natural gas for not only its citizens but also for Europe, and hoped that the dispute would be solved as soon as possible, according to the minister.

On Jan. 6, Guler announced the flow of natural gas from the western line of Russia to Turkey via Ukraine completely stopped.

Russia cut off gas supply to Ukraine on New Year`s Day after the two countries failed to come to terms on Ukraine`s payment of arrears and prices for 2009.

A week later, Russia stopped pumping all gas to Europe through Ukraine, saying it had been forced to do so because Ukraine closed down all gas transit routes to Europe.

European Union (EU) energy experts urged European producers on Friday to hike production as Russian gas supplies to Europe via Ukraine remained cut-off.

"The extent of the current gas crisis is unprecedented in European history," energy experts from the 27 EU member states said in a statement after a meeting with industry representatives under the framework of the EU`s gas coordination group on Friday in Brussels.

They discussed the impact of the current gas crisis and evaluated each country`s situation.

As a short-term measure, EU energy experts called for the increase of production in Norway, the Netherlands, Britain, Romania and Poland to compensate the loss of Russian gas, to the maximum capacity of production and transport means.

"For example, the Netherlands said (it) could increase its production by 10 percent during two weeks," they said.

Another proposal is to increase the withdrawal from gas storage to the maximum capacity, which many EU countries had already been forced to do.

Some most affected EU countries have also implemented fuel switching, replacing gas with other energy sources, while Bulgaria and Slovakia introduced limitation of gas consumption for industry and Hungary temporarily limited gas supplies to large consumers.

EU energy experts said the current crisis showed the need for the quick implementation of mid-long term measures, such as to improve interconnectivity between member states, diversify energy sources and increase investment in storage.

All Russian gas supplies to Europe via Ukraine were shut down on Wednesday as a gas row between Russia and Ukraine escalated, causing a supply crisis for a number of EU countries.

At least 15 European nations, mostly in Central and Eastern Europe, had reported a halt in Russian gas shipments by Wednesday.

Caught up in the gas row and hit by freezing weather, several EU countries were faced with a serious gas crisis, with factories shut down, schools closed and thousands of people left without gas for heating.

UAE may look to invest in US markets

DUBAI // The UAE has remained upbeat in its financial outlook and is looking to invest in US and European markets.

But a key figure in the capital has admitted feasibility of projects is being assessed because of the global financial crisis.

Soud Ba’alawy, executive chairman of Dubai Group, the diversified financial company of Dubai Holding, and Sameer al Ansari, the head of Dubai International Capital, indicated the UAE could weather the world financial crisis and look to invest in the US markets.
The two have been attending the inaugural Summit on Global Agenda, hosted by the World Economic Forum and the Dubai Government.

“There will be fantastic opportunities in the next 12 to 18 months ... and that is not exclusive to Europe and North America. There will be fantastic opportunities in Russia, India, China and this region,” Mr Ansari, who controls about US$13 billion (Dh47.75bn) in assets, said at the summit.

He said his company had done very little in 2008 and would wait until 2010 to invest in foreign markets as prices hit rock bottom.

Mr Ansari said Dubai’s estimated Dh70 billion debt was manageable and it would not need to be bailed out as the credit crunch hit the GCC.

Mr Ba’alawy said availability of cash and low interest rates could help the UAE to weather the crisis, then recover quicker than expected.

Hussain al Nowais, the chairman of Emirates Holdings and a member of the Abu Dhabi Council for Economic Development, said on the opening day of the summit Abu Dhabi was considering mergers in its banking and financial services sector because of the global crisis.

“I think the credit crisis will help us reflect and make sure the projects we are proceeding with are attractive and feasible,” Mr Nowais told Reuters news agency.
“The fundamentals of the economy are strong.”

There has been speculation the credit crunch will force banks in the region to consolidate, with tight lending conditions and slower project funding.

In September, there were rumours that the Abu Dhabi Commercial Bank would merge with the larger National Bank of Abu Dhabi to create the biggest lender in the UAE. Both banks denied it.

Addressing the opening of the inaugural Summit on Global Agenda, Sheikh Mohammed Bin Rashid, the Vice President of the UAE and Ruler of Dubai, blamed financial policies, and not flaws in the economy, for the global financial crisis.

“I am not saying that we must have a protected economy but [we should] promote a process of co-operation to protect regional and international economies,” Sheikh Mohammed said.

There has been speculation the credit crunch will force banks in the region to consolidate, with tight lending conditions and slower project funding.

In September, there were rumours that the Abu Dhabi Commercial Bank would merge with the larger National Bank of Abu Dhabi to create the biggest lender in the UAE. Both banks denied it.

Addressing the opening of the inaugural Summit on Global Agenda, Sheikh Mohammed Bin Rashid, the Vice President of the UAE and Ruler of Dubai, blamed financial policies, not flaws in the economy, for the global financial crisis.

“I am not saying that we must have a protected economy but [we should] promote a process of co-operation to protect regional and international economies,” Sheikh Mohammed said.

Economics and finance were among the key topics to be discussed by more than 700 experts from academia, business, government and society during the three-day conference that ends tomorrow.

Klaus Schwab, founder and executive chairman of the World Economic Forum, said: “This is an exciting and historic venture, made more timely by recent events.

“The challenges faced by the world today are more complex, more interrelated, more intractable than ever before.

“In these crucial times, what we want to do is find the right formula with transparency so that the next generation can benefit. We just have to look at the global financial crisis to see we need to do something about our future.”

Mr Klaus, speaking on the opening day, highlighted the importance of the role developing countries such as the United Arab Emirates could play in framing the future.

“Strong emerging countries have a say on how the future is shaped, and one of the reasons why we will have the summit in Dubai is because the country here has a vision and a strong growth potential,” he said.

Health, religious extremism and social values are also on the agenda for what will become an annual event. Delegates will select the 10 most important ideas for improving the state of the world.

“Problems in the world usually start in the developed countries and then hit the emerging, or developing countries,” said Mohammed Alabbar, member of the Dubai Executive Council and chairman of Emaar, who used as an example the current global economic crises that started with the crash of the US housing market.

“Dubai is a perfect place for such a historic meeting, which comes at a time when the world is facing challenges that have no parallel,” he added.

Ideas from the summit, which is held in partnership with the Government of Dubai and took 11 months to plan, will be presented at annual meeting of the World Economic Forum in Davos, Switzerland, in January.
Source : The National