Business Day

Deutsche brew

G-7 summit targets Russian aggression in Ukraine

- JEFF MASON and NOAH BARKIN Kruen

LEADERS from the Group of Seven (G-7) industrial nations backed a tough line towards Moscow at the start of a summit in the Bavarian Alps, with US President Barack Obama urging the gathering to stand up to Russian aggression in Ukraine.

Host Angela Merkel greeted Mr Obama in the Alpine village of Kruen, surrounded by locals in traditiona­l dress, drinking beer and eating white sausage and pretzels.

The German chancellor was hoping to secure commitment­s from her G-7 guests to tackle global warming ahead of a major United Nations climate summit in Paris in December. The German agenda also expects discussion­s on global health issues, from Ebola to antibiotic­s and tropical diseases.

But the crises in Ukraine and Greece seemed likely to overshadow the discussion­s at Schloss Elmau, a hotel near the Austrian border.

European Commission president JeanClaude Juncker, speaking before the start of the summit, voiced exasperati­on with Greek Prime Minister Alexis Tsipras, who has dismissed the latest aid-for-reform proposal from internatio­nal creditors as “absurd”.

Athens is running out of cash and will default on its debt, a move that could end up pushing it out of the eurozone if it fails to reach a deal with its European partners and the Internatio­nal Monetary Fund (IMF) in the coming weeks. Mr Juncker reaffirmed a so-called “Grexit” was not an option, but said this did not mean he could “pull a rabbit out of a hat” to prevent it.

Mr Obama said leaders would discuss the global economy, trade partnershi­ps and “standing up to Russian aggression in Ukraine”, as well as threats from violent extremism and climate change. Both he and Ms Merkel highlighte­d the importance of the German-American relationsh­ip, damaged in recent years by revelation­s of US spying in Germany, including the bugging of the chancellor’s cellphone.

“My message to the German people is simple: we are grateful for your friendship, for your leadership,” said Mr Obama, using the traditiona­l Bavarian greeting “Gruess Gott” with a crowd gathered in the village square in Kruen. “We stand together as inseparabl­e allies in Europe and around the world.” Ms Merkel alluded to “difference­s” but said the US was “our friend” and an “essential partner”.

British Prime Minister David Cameron and European Council president Donald Tusk both said they hoped the G-7 would present a united front on sanctions towards Russia. European Union leaders agreed in March that sanctions imposed over Russia’s interventi­on in Ukraine would stay until the Minsk ceasefire agreement was fully implemente­d, effectivel­y extending them to the end of the year.

Italian Prime Minister Matteo Renzi is known to be sceptical about sanctions and leftwing politician­s in Germany have also called for them to be removed.

“If anyone wants to start a discussion about changing the sanctions regime, it could only be about strengthen­ing it,” said Mr Tusk.

European monitors have blamed a recent surge in violence in eastern Ukraine on Russianbac­ked separatist­s. Russian President Vladimir Putin was frozen out of what used to be the G-8 after the annexation of Crimea last year.

Leaders and reporters were shuttled to the summit site by helicopter yesterday morning as hundreds of protesters blocked the main road to Schloss Elmau. On Saturday, thousands of antiG-7 protesters marched in the nearby town of Garmisch-Partenkirc­hen. There were sporadic clashes with police and several marchers were taken to hospital with injuries, but the violence was minor compared to previous summits.

Germany deployed 17,000 police at the former Winter Olympic games venue at the foot of Germany’s highest mountain, the Zugspitze.

In addition to climate and health issues, the leaders of Britain, Canada, France, Germany, Italy, Japan, the US and the European Union were due to discuss Islamist militant threats from groups such as Islamic State and Boko Haram. The leaders of Nigeria, Tunisia and Iraq were to join them later as part of an “outreach” group of non-G-7 countries.

Ms Merkel was likely to have her work cut out for her on the climate talks. She won plaudits in 2007 when she hosted a G-8 meeting on the Baltic coast and convinced Mr Obama’s predecesso­r George W Bush to join other leaders in pledging to fight global warming.

This time, she and Mr Hollande, who will host the climate summit at the end of the year and is keen to generate some momentum for that in Bavaria, were facing resistance from Japan and Canada.

 ?? Picture: EPA ?? President Barack Obama raises his glass of German beer in Kruen, Germany, as he joined German Chancellor Angela Merkel (not pictured) before attending the G-7 summit in Garmisch-Partenkirc­hen yesterday.
Picture: EPA President Barack Obama raises his glass of German beer in Kruen, Germany, as he joined German Chancellor Angela Merkel (not pictured) before attending the G-7 summit in Garmisch-Partenkirc­hen yesterday.
 ?? Picture: REUTERS ?? ROSE: German Chancellor Angela Merkel welcomes world leaders, from left: Donald Tusk (European Union), Shinzo Abe (Japan), Stephen Harper (Canada), Barack Obama (US), Francois Hollande (France), David Cameron (UK), Matteo Renzi (Italy), and Jean-Claude...
Picture: REUTERS ROSE: German Chancellor Angela Merkel welcomes world leaders, from left: Donald Tusk (European Union), Shinzo Abe (Japan), Stephen Harper (Canada), Barack Obama (US), Francois Hollande (France), David Cameron (UK), Matteo Renzi (Italy), and Jean-Claude...

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