Putin proposes peace treaty conclusion with Japan by year-end

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Putin proposes peace treaty conclusion with Japan by year-end

"It is not a joke", Putin added, suggesting the two countries commit to solving the territorial dispute in the text of the agreement.

But, at a time when Russian Federation is pressured by Western sanctions, and state coffers are strained - to the point where Moscow has been forced to implement hugely unpopular pension reforms to make up budget shortfalls - it was not clear what percentage of those deals were foreign investments.

Japanese Prime Minister Shinzo Abe also attended.

A treaty without preconditions would leave Russian Federation in control of the disputed islands, which Russian Federation calls the Southern Kuriles and Japan calls the Northern Territories.

In the past, Russian Federation and Japan have proposed initiating various joint economic projects on the disputed islands as a first step in resolving the conflict.

"Let's conclude a peace agreement - not now but by the end of the year, without any preconditions", Putin said.

After hours of talks, Putin brought Xi down to the Sea of Japan waterfront, where the presidents cooked up the blini at the "Far East Street" exhibit of the region's cultural and economic achievements.

In the final days of that conflagration, Soviet forces stormed into Japanese-occupied Manchuria and North Korea at the end of World War II, seizing a number of islands north of Hokkaido.

Abe and his officials may have not been pleased - the Japanese were "dealt a setback" because of Putin's delayed arrival, according to reports. Chief Cabinet Secretary Yoshihide Suga called the move "extremely disappointing".

"We have been trying to solve the territorial dispute for 70 years". When asked if he was concerned about a potential military alliance between Russian Federation and China in the future, U.S. Defence Secretary Jim Mattis said he did not see the two countries aligned in the long-term."I think that nations act out of their interest". According to Russian news agency Tass, by the morning of the last day of the three-day forum, 175 deals had been done worth $42.07 billion.

"Within the framework of the forum 100 business events were held", Trutnev said, noting that more than 6,000 delegates and 1,300 media representatives participated in the event.

The Japanese prime minister agreed that both states should aspire to reach such a deal in the future.

Upon returning to power in 2012, Abe took a firm position on Japan's claims to the disputed island chain, aggravating tensions with Beijing.

Xi thanked the Russian staff at the center for helping Chinese children recuperate and encouraged the young people of the two countries to serve as the pillars of their countries and envoys of bilateral friendship and carry forward China-Russia friendship from generation to generation.

Xi said: "China has always been and is still a participant in development projects in the eastern part of Russian Federation".

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