it was a movie to read this and it was punished with a precocious promise. to welcome to odyssey coming to you live from central moscow where russia's most nies ation comes into focus in a couple of hours time president medvedev is preparing to outline the country's progress on the future plans and his annual address also this hour. from the exposure of america's current it people is saying to wiki leaks why old so will not affect global diplomacy. and to keep the loyalty tests or president of bomb as political cools says the democrats press the republicans to get the nuclear cuts deal signed off while the senate is

still in action. oh this is all coming to you live from the very halmos of the russian capital with me. it's me is the kremlin where in just a couple of hours time we are expecting to meet the middle bed of outlined the country's goals and achievements in his annual address it's a poll event well in his previous state of the nation address president medvedev said that more noise in the country's political and economic systems were its a main challenge is well this current address comes amid crucial changes in the country's internal lound foreign policies and let's cross to a life now to all the seas and he said now we are. actually inside the kremlin

palace for us and me so what expectations all there ahead of this president's address his state of the nation address. well alice of course we're waiting for this speech to happen like you most likely said in the next couple of hours or so we are expecting the speech to be divided into two main cards one will focus of course on foreign policy the other on domestic internal affairs on the foreign side it's most likely we're going to hear about cooperation when facing the world's most pressing issues as well as security to meet him introduced also for a band european security treaty which would take into consideration the interest of all countries we do know that most of this speech will of course be focusing on domestic affairs that is of course the president laying out what he wants to see from the countries lawmakers there we're expecting to hear a lot about social programs and reforms fighting corruption and of course

a big one for president mitterrand of modernization also his recent video blog talking about the political system and warning of stagnation if more opposition voices aren't heard of course elections coming up in twenty trials so a lot of people will be watching for any hints about what we can expect for that election coming up in just a little over a year some three hundred journalists in the kremlin awaiting this address it will be translated into a hundred languages so a lot of people keeping an eye out for what president medvedev will have to say this year round. many thanks for that as we of course will looking forward to hearing what he will be saying a little later on and we'll have more analysis ahead of president medvedev states of the nation address we will tell you fully be talking to fall off a journalist from the voice of russia radio station vats so you do see with r.t. for the live coverage. all of this address but for now let's cross to the artes

studio where carrie johns is standing by with more of today's meeting. yes alice thanks very much now the latest wiki leaks revelations are nothing new and will not damage international diplomacy according to major world leaders they've voiced their doubts about the leaks from the online whistleblower which contain more than two hundred thousand classified documents from u.s. embassies across the globe there's artie's going to church you can reports many experts say it's still a huge blow for washington's reputation. those files exposed definitely exposed diplomatic information never meant for public eyes but experts say most of those documents are nothing new for the international diplomatic community most employers are kind of aware of the u.s. attitude many were quick to dub it as a diplomatic crisis for the u.s. not just because of the fact revealed in those files but most most of all to first

of all because of the revelation itself how is that possible right the secretive u.s. they department allowed this to happen how weak their protection system must be if more than two hundred fifty thousand classifiable files managed to pour out and second of all home virus saying and often undiplomatic those cables actually actually were also the reason they released shows not so much some huge secret facts but rather the level of correspondence among u.s. diplomats which which some described as similar to high school kids chat the u.s. embassy in paris for example described the french president as as a naked emperor things skinned and also among other things the u.s. embassy in moscow described pres the mid of it as playing robin to putin's batman you find a lot of nicknames in those files though we kill a star definitely causing a lot of american and for the obama administration they're trying to sort of play this down in obama's case just to just ignore it he walked out on a reporter who asked about the week secretary of state hillary clinton is now doing

all the damage control work here is what she said i want to make clear that our official foreign policy is not set through these messages but here in washington our policy is a matter of public record as reflected in our statements and our actions around the world many countries that were mentioned in those files were kind of restrained in their comments including russia because. it was fun to read sure but in actual policies we prefer to base our decisions on our partners concrete actions we're going to practice this approach in the future. there are lots of versions on who would want all that secret secret diplomatic correspondence revealed the someone did bad still not clear who one of those were versions is that the leaks were used to undermine obama some are saying the leaks could be an inside job i found this a little friend or discourage the u.s.

government workers these leaks would never have happened if not for the number of insiders who are ready to lead this information it looks like it's linked to the wars in iraq and afghanistan when officers and they're looking for a not exactly fair business and this moral decay inside the pentagon pools these leaks the main thing this leak has done is break delusion that the state department has everything under control they have been exposed mechanisms not secret but quite simple and cynical partners of the us will be more careful now it's another sign that the us is no longer dominating the world meanwhile obama ordered to tighten measures to safeguard classified information but we can't expect them assess to reveal more i haven't heard an opinion here at that maybe we can leaf they do i's diplomacy a favor that would make them work better and made me watch what they're saying behind the backs of their allies even. well former pritish diplomat craig murray says there are no surprises in the latest leak but believes there's

a lesson for envoys to address the concerns directly and not the one people's backs . most of this material is not really very highly classified and it doesn't contain a great deal but the world wouldn't have suspected already. the difficulty is of course that there's been a great deal of discontent with the united states foreign policy ever since the iraq war with the continuing occupation of afghanistan so a missile launch on a gauge your ground to have people putting out information into be public domain that's a new fact of life that diplomats services have to come to terms with i think diplomats should speak honestly about world leaders i think the difficulty is that you have people speaking honestly and private cables but not speaking honestly to people stay says you know diplomacy shouldn't just be a synonym of duplicity if you have a problem with a world leader you should tell them so explain what the problem is politely but firmly. where you get trouble is where you're very very polite to people spaces and

then very dude about them in private and that sort of behavior shouldn't be any more acceptable in diplomacy. well trends and they're still celebrities says the leaks are a vivid illustration of the u.s. government's shortcomings. it's just another example of how inept the united states government is it's just another level whether it's losing wars in iraq or afghanistan whether it's failed health care or how about this one a failed economic policy everything that washington is they turned to ruin and this is just merely another example of their levels of incompetence we the people should have the right to this information they want a transparent government let's have it this is the diplomatic corps this is doubles b. and now we have these crazy congressman who want to call him

a terrorist so now they're going to try to stop it every way they can but you know it's very difficult to say where it's going to go. well so the heads if you want to call for peace that. you cannot fight terror with the wall because war is terror that's our main issue you know we explore why the authorities and media in general turning a blind eye to come plainest among the countries troops withdraw from afghanistan. internal conflicts in the u.s. congress should know how to reduce nuclear weapons that's the call from the head of the senate foreign relations committee john kerry says the atomic cuts treaty with russia should be ratified before the new senate is in place when republicans will get the chance to block it new start is quite simply a commonsense agreement. to control the world's most dangerous weapons and

enhance stability between the two countries to countries that possess over ninety percent of them and what a completely opposite irresponsible decision it would be if the united states senate just got bogged down in politics and walked away from this moment unwilling to make that kind of decision that offers the kind of leadership that the world and i think certainly the american people expect us to make. carries a message because that's what the u.s. president during a nato summit in lisbon to this month rock up obama said about a stumping the deal this is crucial for national security and the woman of relations with russia the treaty would seen. in the u.s. almost a third to come to force it has to be ratified by the u.s. senate republicans are trying to stall the process saying there are more pressing problems to deal with basically to journalists when madson says some republicans

are in favor of signing the treaty but president obama still faces a daunting task to persuade the rest of them to do so. unfortunately if we don't pass a start treaty and this congress it's going to be thrown into a senate where the republicans are going to have an increase majority people like senator john kyl and senator john mccain both from arizona will have a lot of influence and less so people like senator lugar who's been forcefully arguing he's a republican of course he's been forcefully arguing for the republicans to do the right thing if he can persuade enough republicans and maybe some of the outgoing republican senators to get on board maybe we could see passage but this is going to take some monumental statesmanship not only on the part of president obama but on part of the democratic and republican leaders in the senate who are not trying to sabotage the start treaty with russia it's really incumbent i think on president obama to use his bully pulpit being the president of the united states

to to really force this issue and tell these recalcitrant republicans why this is important. north korea's parliamentary chairman is in china for diplomatic talks official reason for the visit has not been announced but it comes after beijing called for an emergency meeting of the six nations involved in north korea disarmament. south korea said it was not interested in formally resuming talks tensions had been stirred by the u.s. and south korea have been holding a four day joint military exercises in the yellow sea in the disputed maritime border reportedly put its surface to surface missiles on the net it comes just days after off at an island known to the south killing for claiming it was provoked korean affairs expert in the trough says american efforts to keep north korea on edge are getting dangerously close to sparking

a conflict. many questions about the reasons. behind the u.s. and. military exercises that have been already the fourth military exercise in the last eight months i believe that you will see is eager to make sure the solve koreans of their manes brutalize along with japan in this region are well trained well prepared needs more weapons from probably the worst providing military conflicts and finally north korea is weakened or annoyed. or intimidated of course staging military exercises is not part of the armistice agreement so it's a clear violation from what that was signed it happened so it's hot here in the united states start military exercises solve all the peril or the northern limit

line which they will literally in the west. seoul the actions can easily be interpreted misinterpreted by north koreans as a violation of arms disagreement. well we're keeping across that story for you on line there is what else you can check out about to dock on. the submarine that anyone can find it we show you the world's first ever pedal powered underwater craft. and rejoin separation from the other major behind this feature length tell it to every frame by hand bill clinton says he didn't. four policemen have been wounded in a blast in kurdistan it happened outside the building where the ousted president

scotsman's is on trial for civilian deaths during april's uprising early reports suggest the bomb was time to explode as defendants arrive for the morning raid several top officials on the previous government tried over claims they had a role in the deaths of opposition demonstrators are accused of ordering the military to open fire on a crowd of protesters who are demanding the government's receive nation killing thousands u.s. secretary of state hillary clinton is due to arrive in khost on tuesday tensions with the central asian nation seeks to strengthen a shaky unity government following months of chaos and ethnic violence. there was no shortage of skepticism in europe over the war in afghanistan denmark veteran activists have been camping outside parliament and a decade to make politicians listen what their calls of falling on deaf ears parties are going to school explains why. they've been here for nine years and they're not planning on leaving anytime soon among us the i'm through break.

we're like no we don't want to go home and leave it to them again you know they are peace watch and they believe their government is doing the wrong thing by participating in the war in afghanistan you cannot fight tell the tear over the wall because war is terror that's our main issue you know denmark has more than seven hundred troops in afghanistan a soldier killed recently wrote the total number of danish losses to thirty nine so peace watch believe very case is as important today as it was in two thousand and one this is the danish ministry of defense right across the street from this is the danish parliament members of peace watch have been standing here for the last nine years day in and day out demanding the pullout of danish troops from afghanistan so has anybody been paying attention to them apparently not in fact they say it's not just the government that ignores them but the media and the general public too

sometimes they say well denmark isn't war would say to the youngsters over here coming to us there's a look around where i don't see any war and occasional dreams we happen to pass by i also don't show much enthusiasm i don't see. really. you know true aggressive. militaristic promises so why have peace watch activists not been able to gain any attention at least for their perseverence some believe it's because an anti war mood in the country is something over a new thing within the last year while the majority of the population against the continued participation of the storm. before the public opinion has become skeptical but that's quite. a piece watch i determined to say put. until they reach their goal even if it takes another nine years young thing here and does

appear more than being whenever that may be it in english court t.v. copenhagen denmark. well that we're going back to our top story now that president better prepared to deliver his address let's return to our tease of his habits who's now the kremlin to continue our coverage of the event. i'm sorry much kerry well yes we are here in the very heart of the russian capital near the kremlin where in a couple of hours time we are expecting president medvedev to outline the country's goals and future plans it is an e-mail address and for some analysis on this are now joined by this follows a journalist on the voice of russian radio station many that is that joining us live is the best what are you expecting to come out of this annual state of the nation that tracks for all such presidential addresses for the semester overseas and i don't think it will be and if you will in terms no for the liberalization german style. but i expect there will be

a few words about foreign policy as well because in the past year russia has realized to lead to improve relationship with the west and to the european union to take. as and way to for me to be an easy solution to the country well as you say traditionally this presidential address does tend to focus on domestic issues but we have seen on the president to moving in relations between the u.s. and russia and to adam mayes so does he say you were also expects a more of a focus on russia e.u. relations who do we think that there be more of a general rule global focus in this particular address probably but i think the reason why these relations retrieve interests me is in fact the global economic crisis which both both sides to more realistically says they're going to be just. too it is. the racist picture of feature relevance as the emerging markets like

china continue to grow so russia and european are truly meeting each other more than ever. and a focus on the global place close the school so that economic crisis pulls last year the main focus all of the address was the need for a. president that is video blog which updates regularly he's also ones against the possibility of stagnation within russia's political system particularly he says he wants to be in the world this issue of voices do you think we're going to hear about that so again this time probably and i think mr metaphysic doing everything in terms of. assuring that i don't you are a kind of new russia to the world and as you do so last for the last year russia is turning i brought a face to the world and this is a language that the world understands better and i think should get the benefits going to say about sixty domestic situation i would also have repercussions for russia you see the global position and its foreign policy as well for sure the

cynics among us might say that was like more at my station than a sharing move oist there are nice things to his said but really a house much when done in terms of lot of nice in the country since the loss of trust how to save because that modernization may say an agenda for the case i believe and it's required boosts that internal changes spend more global in fundamental russia su oh well you know we should not make any premature to she's just probably a wait and see to the next election so i actually feel ok on told us dollar for the voice of russia right a station many thousands are braving the cold to cover the speech off their feet. i will say we are continuing to wait now to hear that annual state of the nation address which will be transmitted. zero nine hundred hours g.m.t. dots mid day most states time right now they fact see you in the studio carry.

thanks so much for that. hello welcome to our business program i'm surrounded. president dmitri medvedev has suggested more tax cuts for those who back innovative start ups he was speaking at a gathering on modernization and technology the president said investors should be exempt from taxes when they sell their shares and start up projects such as angels invest their own money differing from venture capitalists will manage third party funds. and the president suggestion is the latest proposal to inspire a russian version of silicon valley but business leaders doubt the economy can be modernised by decree one thing does it is a big bust practice and. learn from use the actions how to how to implement

initiatives it's also important to develop infrastructure also develop trust in businesses and that should promote development of joint ventures for example for investors little bit more skeptical about government directly investing in particular technology i think that should be led by private sector but if you good government should do and will still should do is promote equal rights and promote rules and right climate for such investments to post. the e.u. has agreed on an eighty five billion euro bailout package for our land but that is still only a fraction of the money the banks in our lives have lost and many doubt the sum is enough to halt the crisis the head of london school of economics told business r.t. that the bailout package is credible but irish banks will have to give up their global ambitions. the i.m.f. and the rest of the european union are now standing behind the irish government the

question remains however what is the future for the irish banks because in the past they were very large they did a lot of international business particularly in the u.k. and my own view is that's over that we will have to see a significant contraction in the activities of the irish banks and they will have to go back to being essentially local domestic banks because this adventure that they went on overseas was a failure last week chancellor merkel made a strong quote she asked if politicians had the courage to confront the bankers and bondholders to make those who took the risks share in the bailout how comments were barely reported in the western press why is this a touchy issue because if you say that's what you are thinking about people in the market react to it immediately so this is not something that you can speculate

about you either have to have a clearly worked out plan which involves a debt restructuring which is for everybody painful maybe but at least equally painful if you have that plan and you can do it you could do that for greece or italy for portugal you could say we're going to have a standstill and over a weekend we're going to work out but everyone's going to take a haircut that's possible what you can't do is speculate about it. and let's have a look at the markets and started trading down the sour financials are dragging in hong kong with h.s.b.c. down almost one and a half percent away from financials lenovo group was also lower after the data group reduced this forecast of global peace in sales in two thousand and ten and two thousand and eleven. meanwhile in russia they are she has opened up on the day on tuesday that my sex is just about to open the indices had

a positive start to close down on monday plus hydro and ross enough lost just under one percent on myself. shares fell the most in almost four months after a sinkhole that formed near the company's main part of ash mine deep into complicating efforts to repair the main rail link the company uses to ship potash from this main russian mine. lukoil an oil snorkel were also down over one and a half percent on the r.t.s. . and despite monday losses alexander zuckoff from finland is positive about the russian markets he advises to pay attention to financials and energy stocks we are looking on the banking sector because we can serious is the best bet on economy recovery which we believe now in the second sector we are going to go and oil and gas because of the drug on the relation in comparison with the serger on the russian market were all we are positive by the end of the year we are

waiting for one thousand seven hundred forty one are deemed syndic so by the end of the year within the whole year or more could be this looks a lot worse than any other. market difference basically if you compare it to break . countries and if you compare the illusion of the market we can see the trade within twenty four thirty percent discount comparing two. to become. russia and ukraine may repeat their traditional winter gas dispute as kava still not satisfied with the price of russian gas supplies that's according to constantine siminoff from the national energy security front. from the point of view of the lot there will be no crisis because we have conflict in ukraine must fulfill this conflict and if we ukraine cannot win according to this call ukraine must i don't know give us some essence or sell some property it's so the problem of ukraine but ukraine is still i simply want the press in russia understand maybe you

will give us some discount because the main question is what will be the price of russian gas at the beginning of two cells and eleven situation is we have them for example at the end of two thousand and eight but they saying twenty or thirty percent is still the possibility of these new crisis between our countries and as all the updates for this hour but you can always find more stories on our website that's r.t. dot com slash business stay with us.