Select Committee on Foreign Affairs Minutes of Evidence


APPENDIX 11

Memorandum submitted by Mr John Thornhill, Moscow Bureau Chief for the Financial Times

  In response to an invitation to submit evidence to the Foreign Affairs Committee of the House of Commons, I enclose the following memorandum:

  In general, I would say that the UK has been blessed with a series of exceptional ambassadors to Russia in recent years. The BBC World Service and the British Council have also done much valuable work in raising the awareness of the UK and capitalising on the enormous interest among the Russian population in our language, culture, educational opportunities, and business links.

  But I would like to make a series of suggestions about how UK-Russian relations could be further improved.

  1.  The current visa regime for the UK causes an enormous amount of ill-will and should be reviewed. During my time in Moscow, I have heard countless complaints about the difficulties of obtaining visas for the UK and the rudeness of the staff who conduct personal interviews. It seems that young, single women can often face a particularly gruelling time. It is also a mystery to me why the UK keeps no record of people leaving the country. Such a system would surely help check the effectiveness of the visa regime. Many other western embassies have equally bad, if not worse, reputations in this regard. But the UK could still make a greater effort to lead by example.

  2.  It seems to me that much of the international community's support to Russia has been misdirected. The International Monetary Fund has been asked to play the lead role in supporting reform in Russia, a task for which it is unsuited. The challenge now is to help Russia build stronger economic and political institutions to enhance the credibility of the market and democracy. There must be plenty of creative—and relatively cost effective—ways the UK can help in this process given its rich history in both areas. The Know How fund has been shifting more efforts towards supporting NGOs and the formation of civil society but more could be done in this field. There must be hundreds of charities, local governments, small businesses, and educational institutions which could usefully share their valuable expertise and insights with their Russian counterparts if only there were a co-ordinating body to marshall their efforts.

  3.  The European Bank for Reconstruction and Development could perhaps be refocussed to support such aims. As an important shareholder in the EBRD, the UK could press the bank to devote more resources to supporting small-scale projects. As a rule, western assistance should be targeted as close to the ground as possible; the bank has had some striking success in providing micro-finance to individual entrepeneurs and small enterprises. The EBRD could also invest more in reconstruction and development. I remember visiting southern Ireland and seeing countless plaques noting that this bridge or that kindergarten had been built with EU regional assistance money.Not surprisingly, the local population was very well- disposed towards the EU. I would hope that similar EBRD-sponsored projects in Russia in building telephone exchanges, bridges, hosptals, schools etc, could provide similar levels of goodwill towards the EU and teach Russians about project finance and management.

  4.  Do not despair of Russia. It has become fashionable, especially in Washington, to decry the rise of the Russian "kleptocracy" and to urge disengagement. But it should be recognised that Russia is still in the early stages of a historic transformation towards a market economy and a democracy. The West cannot—and should not—instruct Russia how to achieve these goals but it can provide smarter help to enable Russians to learn by themselves. It may be that Russia requires 40 years in the post-Soviet wilderness to cleanse itself of its totalitarian past and reach the promised land. But the dream of a prosperous and stable Russia fully engaged in international organisations and acting as a force for good in the world should never be abandoned.


 
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