Stepping Back?
“Russia is trying to cement the status quo by providing assurances to the West that it won’t go further and invade Ukraine,” Fyodor Lukyanov, head of the Moscow-based Council on Foreign and Defense Policy, said by phone today. “I don’t think Putin was planning to but Western leaders clearly feel that he’s stepping back because of the threat of more sanctions.”
Diplomatic efforts are gaining traction, with Kerry planning talks with Lavrov after speaking with his Russian counterpart during a flight home from Saudi Arabia today. The meeting in Paris is planned for tomorrow, Interfax reported, citing the Russian Foreign Ministry.
Putin initiated a conversation with the U.S. leader for the first time in their last seven exchanges by phone, according to the Kremlin’s website. The talks yesterday marked their fifth conversation since the Ukrainian crisis intensified with the ouster of Moscow-backed President Viktor Yanukovych last month.
“We have absolutely no intentions or interest in crossing the borders of Ukraine,” Lavrov said. “We only really insist on working collectively and on putting an end to the outrages that western countries are sweeping under the rug.”
Concern that Russia’s economy would suffer from an extended confrontation over Ukraine has helped push the benchmark Micex Index down 10.6 percent this year. The gauge lost 11 percent this quarter and entered a bear market in March.
Source: Bloomberg
