Russia: Visa-Free Trips to America?

There is a serious buzz in the Russian establishment following the statement by US Consul General Kurt Amend that Washington is not just deliberating the introduction of visa-free regime between Russia and the United States, but rather considers such move one of its foreign policy goals. However, according to Russian experts, such policy does not seem feasible in the near future, but rather reflects the desire of the United States to use this idea as one of the trump cards in the forthcoming talks between Presidents Medvedev and Obama. "We are discussing this issue with the Government of Russia, how we can move on this matter. We believe that it is necessary to do so gradually, step by step. This process must be mutual, and is our overall goal," said the American Embassy official this past Friday to "Russian News Service" radio station. Amend also pointed out the recent trend in reduction of number of refusals in visa issuance to Russians. "In 95% of all cases, visas are issued," emphasized Consul General and stated that in 2008, the U.S. Embassy had issued 170,000 visas for Russian citizens.

In October 2008, three former Soviet republics - Latvia, Estonia and Lithuania - as well as a number of Eastern European countries, were added to the visa-free travel regime with the United States. Maxim Minayev, leading expert at the Center for Political Studies, believes that this statement by Consul General fits the general trend of Russian-American relations, which the Obama administration recently dubbed "Reset": "I do not think that the representatives of the diplomatic mission of the U.S. can afford reckless statements. Their positions in large part must conform to the general views on the development of bilateral relations that are developed in Washington."

According to Minayev, visa-free regime usually characterizes a high degree of confidence on the part of America towards its allies: "Such a declaration for the United States is a demonstration of a high degree of allied relations. Plus, it is also the desire to obtain from those allies further dividends in the bilateral relations." Minayev noted that for the Eastern European countries, visa-free regime was a cost for participation of their military contingents in Afghanistan, while recent granting of such regime to South Korea reflects a long-standing military alliance with America.

"The introduction of visa-free regime with Russia means that we are either going to be strategic allies, or Washington is waiting for us to give significant concessions in addressing key international issues. This, obviously, involves Iran and support for actions in Afghanistan, including the inducement of Moscow to agree to the emergence in Central Asia of an alternative to the Manas military base," said the expert.

Eager to offset the effects of the global financial crisis on their economy, Russians are seriously deliberating the creation of an alternative reserve currency to the US Dollar. Recent proposals by Russians to establish such currency did not receive much attention until last week, when China put its support behind this idea. At one point the idea was also picked up by the most distinguished global economists. The world is now seriously talking about the possibility of the emergence of supranational Reserve unit, based on Special Drawing Rights - quasi-currency of the International Monetary Fund.

The dollar recently suffered another blow, inflicted by Dominique Strauss-Kahn, Head of the IMF, who said that discussions about new global reserve currency are legitimate and could be held in in the coming months. According to Russians, Strauss-Kahn's haste is obvious - if a new reserve currency emerges that is based on the SDR, then the International Monetary Fund will be the most powerful entity on Earth - the issuer of the world's money. This attitude suits Russia just fine - now, the prospect of creating a new, non-dollar currency becomes short-term, rather than a long-term project.

Russia responded immediately to such developments - on Thursday, March 26, First Deputy Foreign Minister Andrey Denisov suggested convening an international conference with the authorized representatives of governments and financial experts to discuss the creation of a single global currency. According to the diplomat, such conference should be the next step after the upcoming G-20 London Summit and after June conference at United Nations. However, the discussions, even at the highest levels, are not enough - there should be policy decisions agreed upon by all countries. "This is an issue that must be discussed in order to develop a consensus, its not enough to solve this by a simple majority. It must be agreed by virtually all participants of the international economic and financial exchange. Only then can this idea be realized," admitted Denisov.

In the ongoing public relations battle over Soviet history in the Baltic countries, Russian "Studio Third Rome" released a film called "Baltics: This History of so-called "Occupation." The film tells about the years when the Baltic countries were part the USSR. It tries to answer questions such as why Estonia, Latvia and Lithuania were considered to be "showcases of socialism," were on a special account with the Soviet leadership and were receiving large investments into their economies. The film also asks why, after the proclamation of independence and accession to the European Union, people's lives there have not become better and richer.

After the collapse of the Soviet Union, the Baltic countries decided to "cross off" the legacy of Soviet industrial development. The film showed the destroyed sections of the industrial plants, rusting piers at Klaipeda shipworks, deserted beaches of Jurmala, the "vacation pearl" of the Baltics. The directors and producers visited the Ignalina nuclear power plant, which the EU at the request of the Lithuanian authorities will have to close next year. The film asks if destruction of the Soviet economic legacy is worth it for the Baltic states. The picture also tries to show that the current financial crisis has already confirmed the "malignancy of non-Soviet economic inheritance."