http://www.washingtonpost.com/world...70284a-b404-11e3-b899-20667de76985_story.html
Ousted by G-8, Russia determined to prove it can thrive without the West
By Scott Wilson, Updated: Tuesday, March 25, 11:12 AM E-mail the writers
MOSCOW — Brushing aside Western sanctions and its suspension from the Group of Eight nations, Russia is projecting an upbeat mood with plans to modernize and reinforce its Black Sea naval fleet and create its own domestic payment system to substitute for international credit cards.
The moves reflect a generally sunny official response to Russia’s increasing isolation since it annexed Crimea, as if the lines are now clear and Russia has a chance to prove that it can go it alone, buck Western economic sanctions and build up Crimea as well.
President Obama vowed Tuesday to escalate those sanctions and further isolate Russia if it sends forces into eastern Ukraine or other states of the former Soviet Union. In a news conference in The Hague with Dutch Prime Minister Mark Rutte, Obama said such moves would trigger “more broad-based sanctions that would impact entire sectors of the Russian economy,” such as energy, arms sales and trade. He said such sanctions would have “some disruptive effect” on the international economy but would most severely affect Russia.
Obama called for rapid international action to bolster the Ukrainian economy and ensure that elections scheduled for May “proceed in orderly fashion.” He said that “the sooner those elections take place, the sooner the economy is stabilized, the better positioned the Ukrainian people will be” to manage the situation in their country.
In response to questions, Obama said he believes that the Russian leadership “is still making a series of calculations” about what to do next after annexing Ukraine’s autonomous Crimea region this month. Those calculations will take into account how unified the United States and the international community are in their approach to Russia, he said.
“Russia is a regional power that is threatening some of its immediate neighbors — not out of strength but out of weakness,” Obama said. He said the fact that Russia felt compelled to go into Crimea militarily indicates less influence over Ukraine, not more.
In turning its attention to its fleet in Sevastopol, Crimea’s main port, Moscow appears intent on addressing a force that languished during the years when it shared a base with the Ukrainian navy. Now that Russia has full control of Crimea, navy officials said they will move to significantly upgrade the force, the Vedemosti newspaper reported Tuesday.
New submarines, aircraft and a motorized infantry brigade will be introduced, the paper said, with the size of the contingent rising from 25,000 to as many as 40,000 personnel. The investment over several years could total about $3 billion.
The Russian Defense Ministry said Tuesday that 40 new warships and support vessels will be joining the navy’s five fleets this year.
Along with pouring defense funds into the area, Russia has announced plans to boost local pensions and consider tax incentives for the region.
Ousted by G-8, Russia determined to prove it can thrive without the West
By Scott Wilson, Updated: Tuesday, March 25, 11:12 AM E-mail the writers
MOSCOW — Brushing aside Western sanctions and its suspension from the Group of Eight nations, Russia is projecting an upbeat mood with plans to modernize and reinforce its Black Sea naval fleet and create its own domestic payment system to substitute for international credit cards.
The moves reflect a generally sunny official response to Russia’s increasing isolation since it annexed Crimea, as if the lines are now clear and Russia has a chance to prove that it can go it alone, buck Western economic sanctions and build up Crimea as well.
President Obama vowed Tuesday to escalate those sanctions and further isolate Russia if it sends forces into eastern Ukraine or other states of the former Soviet Union. In a news conference in The Hague with Dutch Prime Minister Mark Rutte, Obama said such moves would trigger “more broad-based sanctions that would impact entire sectors of the Russian economy,” such as energy, arms sales and trade. He said such sanctions would have “some disruptive effect” on the international economy but would most severely affect Russia.
Obama called for rapid international action to bolster the Ukrainian economy and ensure that elections scheduled for May “proceed in orderly fashion.” He said that “the sooner those elections take place, the sooner the economy is stabilized, the better positioned the Ukrainian people will be” to manage the situation in their country.
In response to questions, Obama said he believes that the Russian leadership “is still making a series of calculations” about what to do next after annexing Ukraine’s autonomous Crimea region this month. Those calculations will take into account how unified the United States and the international community are in their approach to Russia, he said.
“Russia is a regional power that is threatening some of its immediate neighbors — not out of strength but out of weakness,” Obama said. He said the fact that Russia felt compelled to go into Crimea militarily indicates less influence over Ukraine, not more.
In turning its attention to its fleet in Sevastopol, Crimea’s main port, Moscow appears intent on addressing a force that languished during the years when it shared a base with the Ukrainian navy. Now that Russia has full control of Crimea, navy officials said they will move to significantly upgrade the force, the Vedemosti newspaper reported Tuesday.
New submarines, aircraft and a motorized infantry brigade will be introduced, the paper said, with the size of the contingent rising from 25,000 to as many as 40,000 personnel. The investment over several years could total about $3 billion.
The Russian Defense Ministry said Tuesday that 40 new warships and support vessels will be joining the navy’s five fleets this year.
Along with pouring defense funds into the area, Russia has announced plans to boost local pensions and consider tax incentives for the region.