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French, Russian PMs bond over economy

20 September 2008, 23:11 CET
French, Russian PMs bond over economy

Russia-EU

(SOCHI) - The prime ministers of France and Russia sought Saturday to overcome tensions thrown up by the conflict in Georgia by focusing their attention on economic issues.

Meeting in this Black Sea resort of Sochi, near the frontier with the breakaway Georgian region of Abkhazia, French Prime Minister Francois Fillon said he hoped that talks on an EU-Russia strategic partnership would still go ahead in October.

"It's in the interest of the two sides to conclude such an accord," said Russian counterpart Vladimir Putin, who stressed the outlook for economic cooperation, given Russia's robust growth rate.

At an emergency summit on September 1, leaders of the European Union put dialogue with Russia on political, economic and energy issues on ice in protest over Russia's military thrust into Georgia in August.

France currently holds the rotating EU presidency.

Putin, who as Russia's former president wields considerable power in the Kremlin, said economic relations with France had not been affected by differences over Georgia.

"We have a good many projects underway," he said. "Nothing has been frozen or put back. Everything is going according to plan, and we have agreed to up our cooperation."

Fillon, who thinks France's economic presence in Russia is lacking, brought with him to Russia a group of French captains of industry.

They included Patrick Kron of engineering group Alstom, Jean-Yves Le Gall of commercial space launch consortium Arianespace, Christophe de Margerie of oil and energy group Total and Jose Luis Duran of global retailer Carrefour.

The most significant deal agreed Saturday involves the purchase by Arianespace of 10 Soyuz rockets from the Russian space agency Roskosmos, with the first to lift off in September 2009 from French Guiana.

Fillon wished for "the presence of more Russian investors in France," in reponse to a concern expressed by Putin.

Overall, he said, "France and Russia are in a situation of interdependence... There is no alternative to a strong relationship based on cooperation, trust, dialogue and respect for law."

His words stood in stark contrast to those of US Secretary of State Condoleezza Rice, who earlier this week called for transatlantic unity in the face of what she called an aggressive Russia.

On Georgia, Fillon said: "We have discussed it with candour. It's the mark of a true friendly relationship that we can talk together on issues where we disagree."

Putin, for his part, expressed "enormous appreciation" for French President Nicolas Sarkozy's efforts in mediating an end to the fighting between Georgian and Russian military forces.

Fillon nevertheless reiterated European condemnation of Russia's decision to recognise the independence of South Ossetia, the breakaway Georgian region at the heart of last month's fighting, and Abkhazia.

Putin responded by recalling Russia's opposition to Kosovo's Western-backed declaration of independence in February -- a development that he said amounted to "opening a Pandora's box."

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