How the New Silk Roads are merging into Greater Eurasia

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People take pictures of the first freight train from Shenzhen to Minsk, capital of Belarus, that set out of Yantian Port in Shenzhen in May 2017. Photo: Reuters / stringer

 

Russia’s embrace of the Far East and other parts of Asia is proceeding with a symbiotic embrace of China’s New Silk Roads, or Belt and Road Initiative

The concept of Greater Eurasia has been discussed at the highest levels of Russian academia and policy-making for some time. This week the policy was presented at the Council of Ministers and looks set to be enshrined, without fanfare, as the main guideline of Russian foreign policy for the foreseeable future.

President Putin is unconditionally engaged to make it a success. Already at the St Petersburg International Economic Forum in 2016, Putin referred to an emerging “Eurasian partnership” Continue reading

Iran, Russia May Agree to Trade in Local Currencies ‘Very Soon’

Dethroning of the petrodollar continues:

 

Tehran and Moscow may reach an official agreement on carrying out transactions in national currencies “very soon,” Hossein Yaghoubi Miab, the director general of the international affairs department of Iran’s Central Bank, told Sputnik.

ST PETERSBURG (Sputnik) – Russia has recently started to actively promote financial agreements with Iranian and Chinese bankers in a bid to shift bilateral trading to national currencies to reduce their dependence on the US dollar. Continue reading

Russia Taking Full Advantage Of Greek Crisis

In the meantime, the turmoil offers an opportunity for Russia to advance its interests. Of course, the EU is an absolutely critical trading partner for Russia, so if the bloc starts to fray at the seams, that presents financial risks to an already struggling Russian economy. Russia’s central bank governor Elvira Nabiulllina warned in June of the brewing threat that a Greek default would have on Russia. “We do consider that scenario as one of possible risks which would increase turbulence in the financial markets in the European market, bearing in mind the fact the European Union is one of major trading partners, and we are definitely worried by it,” she said in an interview with CNBC.

With the economic fallout in mind, Russia does see strategic opportunities in growing discord within Europe. First, Russia is pushing its Turkish Stream Pipeline, a natural gas pipeline that it has proposed that would run from Russia through Turkey and link up in Greece. From there, Russian gas would travel on to the rest of Europe. Russia is vying against a separate pipeline project that would send natural gas from the Caspian Sea through Turkey and on to Europe. Continue reading

Greece to invest $2 bn in Turkish Stream, will sign memorandum asap – Energy Minister

This is why it’s oft said here that Greece will not be going anywhere. They’re too strategically important for Europe and will likely become the energy hub for the continent — whether they transit supplies from Cyprus, Russia or wherever else. In a worst case scenario, Greece will be part of a periphery economy should the EU restructure itself.

Ironically, Greece says it cannot meet its next payment due to the IMF June 5th. You can see the payment calender HERE.

 

Greece plans to sign a document on political support for Gazprom’s Turkish Stream project at the St. Petersburg International Economic Forum in June, its Energy Minister announced on Monday. The country plans to invest $2 billion in its construction.

A memorandum on political support for the gas pipeline project will be prepared by June 18-20, when the International Economic Forum (SPIEF-2015) will be held in Russia’s St. Petersburg, Greek Energy Minister Panagiotis Lafazanis announced on Monday. Continue reading