Russia is accusing the US of tying strings to its accession to the Asian Development Bank, saying that the US expects Russia to complete debt write-offs to Afghanistan and Iraq before it will sponsor its ADB membership. This new development ostensibly arrived during the ADB meeting in Kyoto earlier this month, RIA Novosti reported. Japan is also said to be hesitant to approve Russia's application.
Russia has already agreed during Paris Club 2006 talks to write-off 90% of Afghanistan's indebtedness; in 2003, it made commitments for Iraq. The article did not say whether or not this issue was somehow now in doubt.
The Asian Development Bank, instrumental in Central Asia's development projects, has been in existence since 1966, and it lends USD 6-7 billion per year on development throughout Asia. 67 countries are members of the ADB, (Georgia is number 67), and Russia would like to be the 68th.
Russia first showed up at Asian Development Bank activities at the 4th Ministerial Central Asian Regional Economic Cooperation Program (CAREC) conference in Bishkek, Kyrgyzstan in November 2005. Afghanistan had also been first invited to that same conference; Afghanistan's application to the ADB has already been accepted.
Russia's interest in the ADB could be beneficial to it in a number of areas. First of all, it could participate in well-run ADB initiatives such as H5N1 bird flu programs, poverty reduction, and development strategies. It could apply to receive planning or economic aid for development in its underserved far East, But by far, the most important reason for entering ADB is to involve itself in the CAREC process. It should be noted that China has used much of the CAREC blueprint to arrange bilateral aid between itself and Central Asian states. Furthermore, the CAREC development plan has assisted the China-headed Shanghai Cooperation Organization (SCO) in crafting diplomacy within regional collective security. For Russia to be able to assert itself and to contribute within this and other ADB initiatives for Central Asia, ADB membership is required.
I perceive, but do not wish to overemphasize, a certain amount of rivalry between Russia's Collective Security Treaty Organization (CSTO) activities and China + Russia's SCO collective security aims, while another understated rivalry between CSTO + SCO vis-a-vis NATO. However, to center upon this so-called “Game” would be a grave disservice to the larger picture of ADB member commitments to Central Asia, and to Russia's relations with other ADB members.
First of all, India and Pakistan have become far more interested and entangled in Central Asian development and business investment. Japan has also a long history of ties within Central Asia, which has been promoted through ADB mechanisms. Malaysia has a “cotton connection” to the cotton-producing states of Central Asia; They, too, are members of the Asian Development Bank.
Furthermore, it cannot be that the U.S. alone has reservations about Russian accession to the ADB. Russia and Georgia are currently in extreme economic conflict and significant military animosity. Japan has been fighting a losing battle over the Kurile Islands politically and the Sakhalin Island oil projects economically. Less than a year has passed since Russia expropriated portions of Sakhalin oil projects, many of which had significant Japanese investment and were destined for Japan's use downstream. Furthermore, Russia's seizing of Japanese sailors last year was a highly contentious international incident related to the Sakhalin claims, offshore water rights, and long-standing property claims in general. Under those conditions, it seems somewhat laughable that Russia's Ministry spokesman Mikhail Kamynin would invoke “Japan's spirit of partner-like relations”, and fail to understand why Japan would drag its feet in accepting Russia to the ADB.
As for the US, Iraq and Afghanistan remain paramount issues in its ADB diplomacy; both war-torn nations will hopefully benefit in future from debt write-offs when they confront the severe infrastructure development challenges of the future. CAREC is not the US priority, although it would be a great priority to have.
ADB List of Members, Voting Rights, and Economic Shares
ADB Portal Page for Country Studies (Developing Nations)
Japan, Russia, & Sakhalin Island article update–moves to repair relations after the incidents noted above.
Backgrounder on Iraq's debt, Paris Club, and other aspects of debt relief that also apply to Afghanistan
