all.

the russian president pledges drastic measures in a bid to create a better investment climate in the country. decentralizing power and stifling corruption goals voiced by to meet the may day to fear at the international economic forum in st petersburg join me at least for now and for more details in just a moment. no consent no cash u.s. congressmen say they'll cut funding for the libya campaign unless the president gets the proper constitutional go ahead for the ongoing war obama's ninety days of action without sanction runs out this weekend. and palestinians are out of pocket after israel holds back millions in turks leaving tens of thousands of people without their wages.

international news and comment live from lost in central moscow this is the russia must call me in the next few years regardless of who's in charge prism if it has been outlining the country's direction at the same petersburg form of top business leaders he also wants at the government's large role in the economy along with corruption threaten development and must be tackled and he said now reports now from st petersburg. well there are certainly a lot of obstacles and president mitzvot did know is that became very clear and for real weakness from term as president that he thinks modernization is the way to go into the future with russia and he clearly outlined all. the obstacles that the country is facing first let's take

a listen to what he had to say about modernization of the process and it's called. at the studios my choice is not only a major green knew all of outdated elements in the economy but all public institutions used we need to hesitate to say sorry about many bad habits we can focus only on the step by step development question that would be a mistake that would be which we should focus on the following improvement of the investment climate in russia to create new jobs in the regions creation of police and other security forces improvement of the effectiveness of the jurisdiction system and finally the modernization of government applying lowden approaches in the centralizing power. of course one of those bad habits so to say as the president phrased it that he was talking about was corruption it's no secret that corruption is widespread unless of course in many other emerging economies it's widespread as well the president clearly wants to fight it this is the warning he have for us and of the cells that are corrupt. noose around the neck of those who

practice corruption should be toilets and and the whole of russia agrees with this without exception which could go to corruption is very difficult to do with the government should be purged of corruption in a more decisive way for that purpose we should enhance the way those suspected of corruption was all dismissed from public service he. joining me now here is safe here is first to speak more about modernization and the challenges that process is facing especially in terms of the economy danielle trey's read this from u.c.l.a. thanks for being with us i'd like to begin with the president's speech of course once again we heard the trend of monitors ation corruption decentralizing the government. what are the details problems if you can tell us briefly that are hampering this process right well if you touch on some very familiar if you read a lot about the offer that if we just reform health care. juries and so on.

that's what climate that's part of the trouble but the problem really this week implementation of many speeches and many programs that melts it's less clear as ground level this really changes the way that the trade business throughout the supply how do you think those side steps to begin to be taken where does it need to start at the lowest level it's the sort of whole of civil tenuously that i think everybody knows the most effective techniques fighting corruption so if proving the effects of the state that is to introduce more political competition although. at the same time as increasing freedom costs. or sometimes free saturation in the west that the restraints on the press markets of saturated fat still. have was genuinely independent of publications such all the trials with help tremendously the question

is whether it's egypt at this point it's fair to take more risks introduced elements of political competition. media freedom of course that all adds to the push for modernization as well tenuous reason thank you very much for being with us by here at the economic forum we'll continue our coverage over the rest of today and tomorrow as the world's modern innovators top business executives and world leaders gather to face the challenges facing the modern world and of course the economy. bodies business team is also keeping track of what's coming out of the international economic forum the transit is there forus. president medvedev announces that the government is planning to privatized more of its assets and move toward a more open economy more live from st petersburg coming up. china may be the world's emerging power house but its lead us still. the global recovery is slow and fragile and more reform is needed he tells been speaking at the

economic forum there in st petersburg a day after failing to agree on a major energy deal with russia talked about g q is an expert in russia china relations and he's told us he's optimistic about the deal it'll just take a bit of time. negotiation will be tough there will be a lot of terms that need to be determined negotiated it takes time but i'm basically optimistic about finding and b.o.r. timidly because of the fundamental fact there this economy is a highly complimentary to each other so it must if a deal is signed it will be a win win situation russia need to be more diversified in terms of the market. i was to also was about worth the fight it's the supply of energy sources for instance it used to depend heavily on the middle east so we all know that britain disturbance there so tiny is hunger for a new energy source and suddenly this if this the rich and china can buy

a large. amount of gas from russia they have to again to stable and long term reliable and the resources. talked about you q there an expert in russia china relations at city university in hong kong speaking to. us congress members are threatening to cut funding for america's military campaign in libya which is wrecking up a bit of ten million dollars a day but the white house is refusing to ask for congressional approval of military action which is required by law the president is allowed ninety days before asking permission and that runs out this weekend but he's going to explains. u.s. lawmakers are saying that president obama has to either stop waging war in libya or ask for congressional approval the lawmakers claim that the military action will violate the nine hundred seventy three war powers resolution if it does not and by friday and they mean this friday ninety days after the intervention began under the u.s. constitution to wage

a long term war the president needs to get authorization from congress analysts say the obama administration will certainly find a way to get around the requirements by referring to his rights as commander in chief as well as certain legal speed you know up to this day the administration has refused to say war when it comes to their actions in levy they call it kinetic military action but as a result of that kinetic military action civilians are bombed every day a group of international observers is now in tripoli including a former u.s. congresswoman cynthia mckinney we spoke with her a few days ago she said be heard and they counted eighty nine blasts in just one day those are civilian neighborhoods eighty nine bombs dropped in just one day there is a lot of concern that the voices of those who are caught up in that war in tripoli go unnoticed in the national community but here in the uighurs it seems the voices of the majority of americans those who oppose the u.s. military involvement in libya also go unnoticed by the white house the

administration continues to stress the good cause that they pursuing leiby a but some analysts say the administration also seems to be in denial when it comes to the will of their own people regarding the issue as well as constitutional procedures legal experts say there is not much congressman can do to force the president to comply at least with the u.s. constitution because there are ways to get around ways the obama administration seems to be using extensively most congressmen now criticize president obama for as they say ignoring congress but capitol hill observers say it's mostly political games that the lawmakers are playing to score points by snubbing. president come the day to actually vote the majority of them will vote for more military spending as they always do but there is a small bipartisan group of congressmen ten people in it who went further than what we sent they sued president obama on the grounds that he's violating the constitution but everybody here knows that the lawsuit is certain to be dismissed

on procedural grounds because the u.s. supreme court has determined that members of congress do not have standing to file such suit and this is where it hits a dead end and it makes many wonder whether or not u.s. lawmakers actually have the capacity to effectively represent the people. kind of reporting from washington an analyst dealt with whether congress members really want the u.s. to pull out of libya washington what sure and voice of russia radio host cullman russell so the chance he told r.t. that the hold on capitol hill will only benefit if the military operation drags on the problem is that when there was a prior lawsuit during clinton's four into the former yugoslavia dennis usage in the group of other congressmen even at that time filed a very similar lawsuit saying that it was illegal and it went to a district court but the district courts the individual congressmen did not have any sort of standing the reality is i think still a majority of congressmen are are going to support the the actions in libya and

afghanistan and so on congress is not going to. come and say we shouldn't be doing this and try to defund it and besides obama is currently using discretionary department of funds discretionary funds to get around it anyway so you know it's a question of how effective it would be but it works to their benefit we do live in a military industrial complex type of world where they have they have the purse strings they have the power. there's a definite sense of urgency in europe right now france and germany insisted greek rescue needs to be sorted as soon as possible the virtually bankrupt nation now has a new finance minister he's an enviable task is to convince angry greeks to face more pain to get another lifeline pain out of billions well let's go to germany which is footing much of the bill for all of this year's if you offer he's editor of the newspaper and joins me live in hamburg thanks very much indeed for being with us here on r.t. of course saving grace saving grace is more than a vanity project for the eurozone there's

a huge amount riding on it by all accounts but at what point will countries like you all say enough is enough i don't think. this country because germany. the richest country in europe. is the country approach from the euro from the european construction if you are both very interested. very large. is that what the german taxpayer wants could not german voters actually put a stop to merkel saying yes we're going to help out greece not the german search. but we will have an election in germany on troll. through the colonel syrians. true true change of government so mrs merkel is good for at least eighteen months. what about the greek

government then at the moment clearly in deep deep trouble what options does it face if it does indeed default. well if if i were of the if i were asked to counsel the greeks i said don't do it unilaterally do what we call an orderly default. dude incorporation with the rest. monetary turmoil as the subject and it will get your most importantly the corporation and the help of the other europeans so i don't think the greeks will do this if it will be done and i think it has to be done because there's no way we can avoid a default it will have to be done or leave. within by the european community everybody together what about the challenges of the greek simply dropping the euro getting

out of the euro zone is not an option try to sell the treaty is the euro treaties do not have a clause that allows the rest of greece or anybody else. if the greeks leave. that is like you know a lot stronger mind. read your weight out a ball into the system but if you want to be totally cool the economic you know. the things like an economist i think us trust the best solution because. once you're out you can. devalue and once you can do that once your value you can regain your competitiveness on the international market this after all it was the example of argentina which broke out of the monetary union with the u.s. dollar as the beginning of the us that could go as a sort of this is the nuclear weapon it will be used to for all only at the very

very use a nuclear bomb and if that what you're saying is that this would lead to the ultimate collapse of the year i don't know if we don't we don't know that but i mean what will happen is. if you can't keep this secret so you have to start printing the money everybody will know it really should numerous capital flight from greece. it will cause an enormous degree. which means the greeks have to pay back their debt with that many more drop. so it's hard to draw that means that the greeks would suffer even less austerity measures in fact life would be even a lot worse for them if they were to do that just like in the case or argentina there's a lot of the sudden drop in the standard of living there will be you're going to work less like you will export more and the argentineans after will recover very quickly but. because that is where you know it's there almost in the galaxy that's

a great solution but just finally reshuffling in appointing a new finance minister this change in the in the greek government is this musical chairs or would it really have some sort of effect i don't know enough about domestic. the way the way the situations are controlling there with turmoil strikes there are instructions i don't think a cabinet reshuffle will change the particular. particular problem. just what will course i would like to ask you just your thoughts about many people are keen to see the euro collapse do you what are your thoughts going on in europe well we talked to many analysts so many people who would say that this is that for example the u.k. independent party in britain saying that you know this is europe absolutely but that like to see the collapse of the euro and that's a rare good reason for the britain to get out of the european union in a way seeing this the euro in such big trouble what sort of effect could this

happen have on the european union ad indeed could the euro eventually collapse just just finally. if you are. you'll be very happy not to join the your and so will the of the e.u. countries. certainly approach of oh that's just new anybody who's right mind wants the europe to collapse. and trace the kind of upheavals in the monetary system the banking system to this will this will be which will fall so i don't know what the end of the party is if it is it's a very difficult tory. i think what i want to look predict is that those european nations that are not in the euro will now be much stronger much more. there's the right thing whether they're trying to lure. very interesting here we have to say thanks for a time years if you off editor of visa newspaper joining us live in hamburg thank you pleasure. this is from the russian capital still to come this hour

a woman's world at the bottom of the earth we join russia will make a journey her eleven month research expedition in antarctica to him why she's drawn to work in icy isolation. that story still to come but first israel has been holding back millions of dollars of palestinians money leaving felons of people without any wages it's tax revenue that's supposed to be passed back to the palestinian people but since the political groups hamas and fatah reconciled the payments stopped has been meeting some of those who are suffering at the sharp end. guards of the palestinian ministry of finance his job is to check everything that comes into this building but he has no control over what goes out least of all his salary which is paid by the ministry and sometimes comes a long overdue if my salary comes later it's like my life starts i simply cannot do anything i have a wife and four children to feed and when i don't get paid on time it makes lots of

problems for me and my family. i want to cleave the ministry gets its money from the israeli government it comes in the form of customs and tax treaty said television been collecting on goods arriving at israeli ports and destined for palestinians the arrangements and one thousand nine hundred three is part of the oslo accord giving television control of the international borders between israel and the palestinian territories with the money transferred each month to the palestinian ministry of finance which uses it to pay wages except now we're talking about seven hundred million dollars in. savings can be five hundred fifty pounds. ask anyone in the military if they were free the situation itself palestinians fear their tell of of could again choose to withhold tax money like it did last month israelis argue they have every right to do so if they suspect the money could be used for buying weapons. to the hamas terrorists paid for the same bank account so i don't want to find these terrorist.

palestinians insist the money's for ordinary workers it is. sore because on one hand it's a punishment but on the other hand it's a punishment it's a collective punishment that would mainly weaken the moderate elements within the palestinian society and play into the hands of the extremists the relationship between hamas and fatah is a turbulent one but both groups are trying hard to work together ahead of september's planned declaration of statehood no doubt israel will be working even harder to thwart them should it feel its interests are threatened policy r.t. . to work in some of the world's harshest conditions you need to man up. or in the case of one and taught it worker it's bringing an essential woman's touch to the tough life r.t. shaun thomas has been to meter. as a filmmaker olga stefano the likes of the penguins and seals but for her and

article is about something much greater. even though it seems like this is a naked land naked stones to cliff's nothing special snow like anna snow but what happens inside of you when you are here for the whole year and are removed from all other external factors is a very valuable experience. staying through an antarctic winter is serious business and so every member of a winter team has a specific purpose and they rely on each other to make it through old is one of only a few women to have ever been allowed to be a part of this experience. the fact that olga ended up on our team was a big bonus for us it's the first time such an intelligent young woman with such high professional objectives has been on the winter team stephanie made our existence. of calls to us and difficulties and attractive girls with fifteen men for eleven months so there was some difficulty but to manage them all has

experience in wintering of building a house and gave her a true rare opportunity to experience and document the life here in antarctica now she's working to expand on her project and find an audience for her work. that right now i am putting the finishing touches to the second part of the film the first one is already finished it's called weathering the wind or the second pirates will probably be called this season and it will feature of the antarctic summer. to debut her documentary olga invited some special guests the same antarctic winter team who are the subject of her film the fact that makes her slightly nervous. but i love and respect them they're close and dear to me and they have such huge background knowledge they know people in the film they know the winter season firsthand they have been through this themselves. as for the thoughts of those. who have seen the film. this film makes

a big impression on you there may be some shows that expose unprofessional actions by a couple of members of our team but to show that the way it was she showed it the way she saw it and it was spectacular. but a unique look into a world that is inaccessible to most in antarctica sean thomas already. temperatures up to date for the moment from the news just twenty three minutes past the hour here in the russian capital no ortiz business bulletin wraps up the highlights of day two at the top level form in sim petersburg that's next with korea. hello and welcome top business sports and here in our team thanks for joining me and we start with one of russia's most important financial events of the year the st petersburg international economic forum. the city of st petersburg has always been called worse as window to europe but with

the economic forum in full swing it has become the window to the whole world artie's mattress or has the main details from the second death. the highlight of today indisputably president medvedev keynote address to the assembly here talking about modernization and innovation as the main the main focuses of the event and the main focus for the russian economy in the years to come he pointed out on decks and mailed out rule as a shining examples of home grown business is that i've done well on the foreign market examples that others can follow also talked about the ten billion dollars state fact private equity fund something that he believes will bring more innovation and spur growth here in russia also expanding the thirty billion dollar assets sale program of state assets into private hands something that he thinks is also going to be a good deal for the russian economy. the loans amounts but

it has only. privatization of major companies is that people who intuition of these plans is necessary at the very modest to go to the first of the scale of thrones the times they should in order to his old lease i'm sure will be able to go through with it in a movie transparent way to attract the best is the generate sufficient funds for the russian budget but you medvedev also said that state capitalism is not something that's going to work for russia but that the role of the government should instead be doing what it can to help foster innovation and foster for investment in the country and come up with a good atmosphere a good environment for businesses to thrive in russia that's what he said is going to move the economy forward along those lines he believes that the country needs less regulation less red tape to get business is often off the ground in russia and also he believes there needs to be more efficient development in the country now

along those lines we have had lots of business go on here at the economic forum publicized just the keynote speeches from president medvedev and chinese leaders. there are also there are some. davis on our rushers energy deals with foreign companies gazprom nafta and american shell have agreed to jointly develop new coil resources and some of the hard to get areas of russia and in russia and abroad this is a deal that could help gazprom that increase its presence in europe countries also planning to jointly develop in the arctic the deal or check that there's been a bunch of news about a major deal that could become the agreement of the decade the failed arctic tie up between ross nafta and b.p. the other countries were planning to jointly develop the arctic but the deal collapsed as b.p. and other in his rather russian partner they are opposed to the agreement despite this b.p. says that ease off to a mistake about prospects we were not successful. a set of

commercial conditions that were acceptable to all of the companies involved i think the concept of a strategic partnership to use was good for russia good for. the energy markets. good for all of the companies involved. now it says it is still looking for a partner to help develop the arctic and as soon as this is as soon as here possibly and energy should minister sergei because radko highlights the nonetheless it triggered investor investor interest in the russian shelf and b.p.'s chief is also positive about this so in all a lot of important economic news going on here in russia and being highlighted day two of the st petersburg international economic forum. now is take a look at how the markets are performing oil prices continue to fall the answers and the commodities markets have been flexion up investors fears that greece's debt troubles fall from over european stocks back from earlier losses but the market is

unstable due to some of the fears about greece that the crisis would spread across the eurozone and continue to rattle the bestest confidence. x. climbed a two point zero was put ten percent and the footsie was up point three percent u.s. stocks started strong out of the gate friday on track to end the week higher for the first in seven of the talks between france and germany on arranging a solution to a greek stead's crisis portent. russian markets closed in the red on friday sinking the most in two weeks as oil dropped to a four month slow the aussie has a good point seven percent lower at the mine six finished over eight percent in the red or produce a gazprom you have felt point three percent. one and a half percent. that's all for now i'll be back with more in about forty five minutes join me then.