INSOR Russia: Institute of Contemporary Development
Updated June 28, 2019

Analytical Bulletin, Issue 5 (12), May 2013

May 28, 2013

The Institute of Contemporary Development has published its monthly analytical bulletin for May. The main topics of this issue are: the G20 and its critics; the outlook for a transatlantic partnership; and structural maneuvers in the Russian oil and gas sector.

The annotation of Analytical Bulletin No.5 (12) can be found below. The full text of the bulletin in Russian can be found here.

Issue 5 (12), May 2013

Igor Yurgens. The G20: New Functions and New Opportunities

The agenda of the G20 is determined by a constantly changing assortment of problems, risks and limitations of the global economy. However, despite this variability, a certain common driver is apparent – the main focus of both national regulatory actions and global governance is systemic risks, the mitigation of which requires large-scale structural reforms. This is leading to strengthening of the mid-term components of the G20 agenda, simultaneously demarking the threshold beyond which the G20 increasingly transforms into a group for managing systemic risks and addressing long-term challenges, while retaining its functions as an anti-crisis manager.

The agenda for the Russian presidency includes refining and renewing the priorities of the G20 for the 3-5 year perspective. In the mid-term it would be prudent to compile a substantial portion of the components of the next action plan. The St. Petersburg summit could itself represent the starting point for a new round of summits connected by common aims, the pursuit of which could allow for the gradual structuring of global governance to correspond with the transition of the global economy to a new phase of development.

Sergey Kulik. The Australian View of the Optimization of the G20’s Outreach Formats

Experts of the Lowy Institute (Australia) commented on the present and future of the G20 in light of the upcoming Australian presidency of the group. Efforts aimed at the effective execution of interrelated tasks – providing greater clarity in the agreed aims and priorities, strengthening public outreach (including with external stakeholders), increasing transparency and improvement of accountability mechanisms – according to the Australian experts, should be at the core of the position of the Australian presidency. This, in turn, would permit progress in the process of establishing long-term standards which would be used by subsequent chair countries. This type of target-setting is also being actively promoted by Russia as the current chair country.

Sergey Kulik, Nikita Maslennikov. The Transatlantic Trade Bridge – Across or Down the Middle

This past February the US president and leaders of the European Union committed to begin in the second half of the year negotiations which are supposed to lead to the Transatlantic Trade and Investment Partnership agreement. The topic of the transatlantic partnership will also be brought up at the G8 summit at Lough Erne in June. The detailed development of the draft of the transatlantic trade bridge agreement is in itself a serious test for the global economic and political strategies of the United States and the EU, which regardless of the results of the negotiations are certain to face changes.

Sergey Kulik. Russia and China on the Scales in Brussels

Russia and China in the EU’s foreign policy in the report Think Global – Act European IV: Thinking Strategically about the EU's External Action (May 2013) containing recommendations from 16 leading European think tanks and the Charles Grant’s paper The EU, Russia and China (March 2013). “The Russian and Chinese factors seem to be rather significant in processes strengthening the unity of and forming a common strategic vision for the European Union and the acquisition of mechanisms for realizing such a vision. The significance of China, for a number of self-evident reasons, will continue to grow, but Russia’s role will also remain substantial. For both countries the likely strengthening of the centralization of mechanisms for making and implementing decisions of the EU will have a great significance, in part due to the fact that they have accomplished much through bilateral relations with specific countries and the practice of playing off the internal disagreements within the European Union.”

Nikita Maslennikov. The Oil and Gas Repositioning Reserve in the World Economy

On the problems facing the development of a modern Russian oil and gas chemical industry; the current difficulties, world experience and global challenges. “The aggregate of external and internal challenges that are already permanent fixtures of the Russian energy sector unequivocally demands diversification: the revolution in extraction technologies must be continued in the deep modernization of oil and gas processing and the creation (in essence, re-creation) of the oil and gas chemical sector as the fundamental basis of the modern chemical production complex and the related high tech and innovative industries (for example, the pharmaceutical industry). Such a structural maneuver, comparable by scale and impact to the creation of the atomic energy industry in the former Soviet Union, would once and for all make all the contemplation about the ‘resource curse’, ‘oil and gas needle’ and so on interesting only for economic historians. It should also be kept in mind that without such systemic measures Russia will not be able to compete in the ‘new materials race’ or become and organic part of the new technological wave expected at around 2020.”