On September 5, 2023, a pivotal expert session titled “Investment in Connectivity” was organized by the National Centre "Russia" (NC "Russia") in Primorsky Krai. This gathering was part of the larger ongoing dialogue aimed at reshaping global economic and trade frameworks in light of recent geopolitical shifts and challenges. The session featured a diverse array of experts from multiple nations, all contributing to a discussion focused on the transformation of trade and connectivity in the contemporary world.
The Emergence of New Trade Solutions
The moderator of the event, Maxim Oreshkin, who serves as the Deputy Chief of Staff of the Presidential Administration of the Russian Federation, emphasized an essential theme: countries within BRICS and other members of the Global South are increasingly spearheading new solutions in international trade. In his remarks, Oreshkin noted a significant megatrend towards sustainability that is becoming an irreversible aspect of the global economy. He highlighted that traditional institutional frameworks are losing relevance as countries adapt to the evolving landscape.
Oreshkin’s insights were invigorated by recent developments during the Shanghai Cooperation Organization (SCO) summit in China, where discussions were steeped in notions of positive economic evolution. He stated, “We truly already have everything: both the new realities of the global economy and the technologies necessary for a new architecture of world trade.”
The session underscored the idea that while established trade routes and institutions remain important, there is a growing complementarity with emerging systems designed to foster more inclusive, resilient, and distributed trade networks. This shift is reflective of broader global dynamics, where countries are reassessing their dependencies and leverage in the face of economic sanctions and restrictions.
Resilience in the Face of Sanctions
A striking assertion came from Rakhim Oshakbaev, the Chief Economist at the TALAP Center for Applied Research, who pointed to the positive outcomes resulting from the extensive sanctions imposed on Russia. He termed the Russian economy’s adaptability "antifragility," attributing its resilience to a unique synergy of economic policy, public governance, and private sector initiatives. Oshakbaev noted that even international observers were surprised at the degree of growth and innovation sparked by these sanctions.
Echoing these sentiments, Oreshkin remarked on the anticipation that large economies like China and India would soon recognize the advantages that sanctions have inadvertently provided to economies such as Russia’s. His comment that “every country of the global majority will simply ask for sanctions to be imposed against them” raises intriguing questions about the evolving perceptions of economic pressure and resilience.
Shift Towards National Currencies
Another noteworthy development discussed was the transition to national currencies in global trade, as highlighted by Jian Lian from Beijing Hengce Investment Consulting Co. This pivot is not merely an economic maneuver but reflects geopolitical realities. Lian noted the significance of utilizing local currencies for international settlements, particularly in partnerships with countries like Ethiopia, which has traditionally depended on the U.S. dollar.
The implication of this trend extends beyond trade; it seeks to reshape economic interactions in a way that reduces reliance on Western financial systems, promoting greater autonomy for participating countries.
Logistics and Connectivity
A critical element of connectivity in modern trade is logistics, which was articulated by Petr Ivanov, the General Director at PJSC Far Eastern Shipping Company. Ivanov’s commentary on the essential role of maritime logistics in fostering international trade stability underscored the importance of investing in one’s fleet. With the exit of many international logistics companies from the Russian market, the emphasis on a robust domestic shipping fleet has become increasingly pronounced. This move is seen not just as a reaction to existing challenges but as a proactive strategy to ensure consistent export-import channels vital to national economic health.
Ivanov invoked the historical context by quoting Peter the Great: “whoever has a fleet has two hands,” reinforcing the notion that maritime power continues to be a keystone of trade dynamics.
Open Dialogue as a Platform for Global Exchange
The Open Dialogue initiative, which began with a thematic session in April 2023, serves as a crucial forum for discussing and strategizing the future of global economic growth. The inaugural event gathered substantial contributions from essayists worldwide, addressing critical topics like investment in people, technology, connectivity, and the environment.
Going forward, the NC "Russia" intends to sustain and expand these discussions, introducing more interactive opportunities for international participants. This commitment indicates a broader strategy to forge collaborative partnerships and share insights across borders, aiming to establish a new platform for communal growth.
Conclusion
The session held at the NC "Russia" in Primorsky Krai encapsulates a transformative moment in global trade discourse. With a focus on economic connectivity and resilience, the discussions point towards an inexorable shift towards new trading paradigms, often driven by necessity in the face of sanctions, as well as the need for innovative logistics and currency systems.
As nations navigate these complexities, forums like the Open Dialogue will become increasingly vital. They provide a space not only for sharing knowledge and experiences but also for forging alliances that can support a balanced power dynamic in global trade and economics, reflecting the aspirations and challenges of the Global South. The insights gleaned from this dialogue serve to illuminate pathways forward, emphasizing that adaptation and collaboration will be crucial in shaping the future economic landscape.
