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By Batuk Gathani
On the economic front, Russia is seeking closer relations with the European Union. All this is happening in the background of a new arms treaty signed over the weekend by Mr. George W. Bush and Mr. Vladimir Putin. Russia is paying special attention to its economic agenda and insisting that trade barriers built up over the decades by the West be dismantled. Both on the economic and defence fronts Russia insists on "equal partnership'' status, although according to Western analysts, there is embarrassing imbalance between economic and military resources on both sides of the fence. For example, Russia's defence spending is 1/40th of the U.S. and the size of the former's economy is no bigger than that of Belgium. But Russia has vast economic and strategic potential which can overcome the shortcomings, as Moscow tries to adopt multi-party democracy based on the rule of law. The economy is being structured on the fundamentals of free market economy and all that which goes with it. According to Mr. Bush, the agreement signed last week in Moscow says "the Cold War is over and America and Russia need to be, and will be friends, for the good of the world.'' Such rhetoric has added new dimensions to the relationship Russia proposes to have with the U.S., NATO and the E.U. The NATO-Russia Council (NRC) will lay the foundation for this new era in Rome on Tuesday, when NATO approves an agreement that grants Russia a non-voting seat in the new organisation. The NRC will initially address issues related to global terrorism and seek ways to contain challenges related to global transportation and deployment of search and rescue missions to contain terrorist threats. The Tuesday summit will usher in a new relationship for the former Cold War enemies and for the first time, Russia will get a foothold in the NATO headquarters here. Moscow has been lobbying hard in Western capitals to ensure a symbolic outcome of the relationship, highlighted now by the emergence of the NRC. Many Russians argue that Mr. Putin's epoch-making policy shift is too bold and risky. The country still faces a crisis of national identity and many wonder if it can ever integrate fully with Europe. Russia is seen as an Asian power too as it spans across the Euro-Asian continent.
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