Merkel hopeful Sarkozy will help solve Russia crisis
BERLIN (Reuters) - German Chancellor Angela Merkel is optimistic that French President Nicolas Sarkozy will on Monday make progress in his discussions with Russia about a peace plan with Georgia.
"I have some hope that the French president will make a bit of progress in clearing up the six-point plan when he visits Moscow in his capacity as president of the EU," Merkel told German radio.
Sarkozy is due to go to Moscow to verify whether Russia has fully adhered to the plan, brokered by France, to resolve the Russia-Georgia conflict.
Merkel said she was heartened by Russia's response to an agreement by EU leaders last week which avoided imposing sanctions on Moscow over its conflict with Georgia.
The EU leaders did, however, threaten to delay talks with Russia on a new partnership pact if Moscow did not pull out its troops to pre-conflict positions from Georgia by mid-September.
"I see grounds for hope, as the (Russian) prime minister and the president welcomed the EU's decisions," Merkel said in the interview on Deutschlandfunk to be broadcast on Sunday.
The interview was taped on Friday.
She reiterated her view that Russia had reacted disproportionately to Georgia's actions in South Ossetia and that Russia's recognition as independent states of South Ossetia and Abkhazia did not comply with international law.
"That will be fodder for future meetings but it doesn't mean we cannot continue to work together in other areas," she said. Continued...
Dubai Debt Fears
Banks outside the Gulf played down their exposure to Dubai debt, after fears the emirate could default and even derail world economic recovery prompted a sell-off in global markets. Full Article | Slideshow
One Year Later
Mumbai held tearful memorials and police staged a show of strength as it marked the first anniversary of militant raids that killed 166 people and pushed up tensions with Pakistan. Slideshow | Full Coverage










