German Chancellor Angela Merkel sparred with Russia over rights during a visit on Thursday, urging it to curb the powers of the intelligence agency that was formerly the KGB.
On her way to China, Ms. Merkel spent Wednesday night and Thursday morning meeting with Russian President Dmitry Medvedev. She also watched as German engineering company Siemens signed a package of mega—deals that make exports to Russia a key part of its turnover.
Mr. Medvedev rejected criticism of Russia’s slow investigation of the murder in Ingushetia, exactly a year before of journalist and human rights activist Natalya Estemirova. Rights groups say Ingush authorities may have been complicit in her killing.
The Russian president said the killer had been identified. An international warrant was out for his arrest, and Russian investigators were now trying to discover who had ordered the July 15, 2009 killing.
Mr. Medvedev also defended a bill set to be passed Friday by the Duma parliament to expand the powers of the FSB, Russia’s main intelligence agency.
“Every country has the right to close gaps in its own laws, and this includes anything about the intelligence services. We are going to do it,” he told a news conference after the talks in the Urals city of Ekaterinburg.
Ms. Merkel, who grew up in East Germany, pointed out that exposing past communist secret—police misdeeds had taught Germany to restrict intelligence agency powers.
“Speaking for the two us, if this were in Germany the debate about it would be completely different,” she said.
Ms. Merkel said the FSB bill was “not through and through negative” and one might argue that it was commendable that laws regulating the intelligence services were actually being put in place in Russia.
She praised the overall Berlin—Moscow relationship.
“A very profound and very friendly relationship has developed where difficult topics can be raised,” she said. Mr. Medvedev also called the country’s relationship a “friendship.” German exports to Russia were at the centre of visit. Ms. Merkel’s delegation comprised key business leaders and half her cabinet.
Siemens, the Munich—based conglomerate that makes electronic systems, trains and turbines, signed a memorandum to supply 240 trains worth 2.2 billion euros (2.8 billion dollars) to Russia’s RZDrailway system and the Aeroexpress company of Moscow.
Ms. Merkel and Mr. Medvedev also watched as Siemens committed to building a research lab at Skolkovo, an advanced—science town near Moscow which is intended to be Russia’s answer to Silicon Valley.
Under yet another deal, Siemens will renovate 63 Russian railway marshalling yards. It will also set up a joint venture with two Russian companies to install wind turbines.
Executives of Airbus, the European plane maker, said they were close to selling 11 of the company’s A330 planes to Russia for 2.2 billion euros (2.8 billion dollars).
Asked about Russian requests for formal security ties with the European Union, Ms. Merkel said she favoured a closer partnership and this would be discussed at the foreign—ministers’ level soon.
She said she envisaged constant contact so as to stop conflicts at source.
But she stressed there was no prospect of this replacing the NATO western alliance.
In a meeting with business leaders, the fact that Russians need advance visas to visit the European Union caused friction.
Mr. Medvedev, whose government has been pushing for an end to visa restrictions, called for the rules to be relaxed. Ms. Merkel also supported such a move but added it wouldn’t happen overnight.
Klaus Mangold, chairman of the Federation of German Industry’s committee on Eastern Europe, called obtaining visas “extremely aggravating” for businesses.
The EU—Russia summit in June failed to pave the way for visa—free travel, and Mr. Mangold said Ms. Merkel and Mr. Medvedev should made a new push for it.
