IZVESTIA
President Vladimir Putin has met Mohamed ElBaradei, Director General of the International Atomic Energy Agency (IAEA), at his Novo-Ogaryovo country residence. Mr ElBaradei said the nuclear plant Russia was constructing in Bushehr, Iran, was a matter for Moscow and Tehran. This means, according to Izvestia, that the West no longer takes a negative view on Russia's role in the project. However, this is nothing compared to the other news: an international dump for spent nuclear materials may be built in Russia.
The IAEA chief said Russia had impressive experience in processing spent nuclear fuel just like France, Britain, the United States, Japan and Germany. France and Britain are the world's leaders in spent nuclear fuel processing today (they compete with each other in this sphere), then come Russia and the United States.
According to the London Uranium Institute, the world's uranium reserves total 4.4 million tonnes. Experts believe importing spent nuclear fuel could be highly profitable for Russia. The country can receive up to 20,000 tonnes of spent fuel (not exceeding 1,000 tonnes a year) for storage and processing in the next few years, according to the Federal Nuclear Energy Agency. This is around 10% of the world's overall spent nuclear fuel reserves.
The market value of this "boon", writes the paper, is an average of $20 billion. Russia could earn the money by importing spent nuclear fuel alone. The nuclear energy agency noted that processed fuel could be then used again at nuclear power plants.
KOMMERSANT
The NATO nations have concluded a summit in Istanbul. This was the first time the alliance had gathered for a meeting since its eastward enlargement and the admittance of former socialist countries. The Russia-NATO Council held a meeting on the sidelines of the summit, where representatives of the two parties only "took an inventory" of problems facing the partner-countries. These problems will be addressed at a different forum and on a different level. Foreign Minister Sergei Lavrov represented Russia in Istanbul. He had to endure a rather tough dispute with the allied NATO forces, as the latter took a firm position urging Russia to withdraw its forces from Georgia and Moldova. They insisted that Moscow fulfil the obligations it took on at the OSCE summit in Istanbul five years ago. They also linked the ratification of the adjusted Treaty on Conventional Armed Forces in Europe (CFE) to the withdrawal.
Mr Lavrov objected to the link between CFE ratification and the withdrawal of the Russian bases from Georgia and Moldova, saying there were no legal links between those issues. "These demands are not legally correct as agreements on settling things with the bases in Georgia and the pullout of Russia military equipment from the Dniester region were of a political rather than legal nature," said Mr Lavrov. "They are being fulfilled but no strict withdrawal deadlines were set."
Mr Lavrov, for his part, reproached NATO for developing its military presence in the Baltics, which is the most stable region in Europe, writes Kommersant. "NATO continues to rely largely on its internal regulations seeking to protect its members rather than on realistic combined assessments of security threats in different regions," the Russian minister concluded, calling on NATO to show restraint at least in the Baltic region, writes the paper.
VREMYA NOVOSTEI
Paul Tomsen, chief of the International Monetary Fund (IMF) Russian representation, has held a press conference elaborating on an unexpectedly severe statement issued by the IMF mission in Moscow last week. Mr Tomsen focused on the adverse effect of inflation on the Russian economy, writes VN. Inflation in Russia has run at 10% a year over the past few years. Double-digit inflation rates have only been registered in the world's poorest regions lately, according to Mr Tomsen.
The fund has found the president-set objective of bringing inflation to 3% a year realistic. However, experts believe the Russian government and the Central Bank have to take a series of additional measures to achieve the objective. Some of these measures are rather surprising. The IMF believes the Central Bank should focus on fighting inflation and stop containing rouble growth and exchange rates. Mr Tomsen believes it is impossible to slow rouble growth and fight inflation at the same time.
The question arises as to what the government should do about the IMF recommendation to make the country's non-primary industries more attractive for investment. Local producers are already struggling against imports, while the stronger rouble will make them totally uncompetitive.
The IMF approved of Russia's prime economic objective of doubling GDP. Mr Tomsen described it as ambitious but attainable.
The IMF report is generally approving, although it contains a certain amount of criticism, writes VN. Besides, IMF recommendations are not binding. The fund has often been criticised for providing recommendations that have caused problems in the countries that followed them.
GAZETA
The day of reckoning between the Yukos oil major and the state has arrived, writes Gazeta. The Moscow Arbitration Court's ruling that the company will have to pay $3.4 billion in back taxes came into force on Tuesday. The company can pay only $1 billion. The tax authorities have refused to conclude an amicable agreement with the oil company. Yukos is, therefore, facing bankruptcy, which President Putin has said is undesirable. Selling company assets or an amicable agreement signed at any stage of regulating the dispute could ward off bankruptcy.
Yukos has put forward a plan for repaying the tax debt. The company is seeking to pay the debt in portions and the possibility of selling part of its assets, the process that will be controlled by the state. In the event that Yukos does not raise enough money to pay its tax arrears, it will sell shares of Group Menatep, its core shareholder, to the state or a company chosen by the state, writes the paper.
NEZAVISIMAYA GAZETA
World oil prices have dropped by 3.5% since the start of the week. The price for Brent crude fell to $33.70 per dollar, which is the lowest index for the last few months. Experts link the decline to the resumption of oil exports from Iraq and the end of oil workers' strikes in Norway. Reports on the early transfer of power to an Iraqi government made the fall more unexpected and dramatic.
Andrei Lusnikov, an expert at Finmarket investment, said oil prices had been forced up in recent months as oil importers had accumulated reserves in anticipation of a rise in OPEC basket oil prices to over $35. This was another reason behind the price decline, according to the expert.
