Putin: 2024 Russia – Commonwealth of Independent States Trade Up 10.6% 

The Russian President, Vladimir Putin, convened an informal group meeting of the Commonwealth of Independent States (CIS) member states in St. Petersburg on December 25th. The CIS includes Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan, with Turkmenistan an observer state.

The CIS differs from the Eurasian Economic Union in that it is not a multilateral trade bloc per se, but a looser grouping of nations who maintain bilateral trade agreements amongst themselves yet agree to coordinate trade amongst each other. In this way, the CIS overall structure more closely resembles the BRICS and permits greater flexibility.  

Russia has held the CIS Chairmanship during 2024, with Putin discussing the overall CIS performance during the year. He has this to say, with Putin’s comments prefixed VP and ours prefixed RPA

VP: “Over the past year, Russia focused its efforts as part of its CIS chairmanship on promoting Eurasian integration, consolidating the international standing of the CIS, as well as enabling its executive bodies to be effective in their work. We made forging deeper economic ties our priority, while also seeking to ensure the free movement of goods, services, as well as remove trade barriers and streamline customs clearance procedures.

In this context, let me note that Russia’s trade with CIS member nations increased by 10.6% in the first ten months of 2024 and slightly exceeded US$93 billion. Our countries have greatly improved their macroeconomic performance. The aggregate GDP for the CIS is expected to increase by 4.7% in 2024, which places the CIS above the global average. Industrial output increased by 4.3% in the first ten months. Cargo shipments were up by 7.4%, while retail trade surged by 7.7%.”

RPA: This suggests a total 2024 Russia-CIS countries multilateral trade turnover of about US$112 billion. 

VP: “CIS countries have expanded their cooperation in the foreign exchange and financial sectors by becoming increasingly proactive in using their own independent foreign exchange transaction frameworks, payment systems and settlement tools. In fact, national currencies accounted for over 85% of commercial transactions within the CIS. In addition to this, import substitution is gaining momentum, helping our countries reinforce their technological sovereignty. All this is instrumental in the current international landscape with its challenges.”

RPA: Note that 85% of intra-CIS trade used only CIS currencies – excluding the use of China’s RMB Yuan. This also implies that CIS currencies are probably under-valued. 

VP: “We persisted in our effort to expand our legal and contractual framework within the CIS. In 2024, the agreements on free trade in services and investment came into force. There was also an agreement on fighting the legalisation of criminal proceeds and financing terrorism, a treaty establishing an international organisation for the Russian language, as well as several other important agreements to promote partnerships in the electric power industry, environmental protection and justice.

CIS countries have stepped up their efforts in fighting extremism, cross-border crime and drug trafficking. They have also established routine contacts among their security and law enforcement agencies. In August and September 2024, Uzbekistan hosted the East-Anti-Terror 2024 exercise for CIS countries. We adopted a cooperation programme on deradicalisation.

Our countries share multi-faceted humanitarian ties which are rooted in our common past and the fact that our cultures are closely intertwined. We share the same moral and spiritual values, as well as close family bonds.”

RPA: Putin encouraging the academic concept of the CIS Central Asian region as being unified and as a haven against perceived Western liberalism, while acknowledging much needs to be done concerning Islamic radicalisation.  

VP: “In 2024, there were several promising projects within the CIS in education, culture, tourism, and youth policy. St Petersburg hosted a united cultures’ forum, while Ufa (a city in Russia’s Volga River, Bashkortostan, region – ed) served as a venue for a forum that brought together creative leaders and researchers from across the CIS.

I would like to remind you that this year has been declared the Year of the Volunteer Movement in the CIS, and the Russian chairmanship has tried to develop an interaction system in this sphere. We have established a special interstate working group and held over 170 volunteer events, missions and charity actions.

The CIS countries have access to the Russian online platform www.dobro.org where volunteers around the world can exchange experience and pool efforts for joint projects. I believe that we could support the proposal to create an international association of non-profit volunteer organisations within the CIS, hold CIS volunteer forums annually, and introduce special grants for the most significant volunteer initiatives through the CIS Humanitarian Cooperation Fund.

We are expanding sports exchanges, hold regular tournaments at different levels, and create and promote new formats of competitions, including those combining traditional sports and new technologies, which enjoys great demand in light of the politicisation of sports. The CIS countries sent their national teams to the multi-sport Games of the Future held in Kazan, the BRICS Sport Games, the Children of Asia tournament and part of the Silk Way Rally route.”

RPA: Putin anticipating that global sporting events may over time become a thing of the past as political interference equates to exclusivity as opposed to global inclusivity. 

VP: “It is notable that the CIS countries have the same or close views on the key global and regional issues. At the same time, all CIS countries stand for creating a just world order based on the universally recognised principles of international law and the central role of the UN.

Of course, the CIS countries also remember and hold sacred the immortal heroism of our peoples, the peoples of the Soviet Union who fought side by side to bring our victory in the Great Patriotic War. Next year, we will celebrate a landmark date, the 80th anniversary of Victory, and so the year 2025 has been declared the Year of Peace and Unity in the Fight Against Nazism in the CIS.

I would like to emphasise that while paying tribute to our veterans and workers of the home front, who defended our freedom and independence, we should also try to preserve the historical truth about those events. We must remember the price we paid for liberating the world from Nazism and promote the appreciation of Victory, which we won in 1945, as a common treasure of humanity as a whole.”

RPA: Putin is underlining what Russia perceives as a new struggle against Nazism. He has a point. The United Nations voted on an amendment to anti-Nazism declaration on December 17, which stated “We categorically condemn the glorification of Nazism and all forms of violent extremism, antisemitism, Islamophobia, racism, xenophobia, discrimination, and related intolerance.”

120 countries voted in favour of adopting this statement, with 10 countries abstaining and 50 countries voting against it. Those 50 countries included the United States, the United Kingdom, Ukraine and all of the European Union. Vasily Nebenzya, the Russian Ambassador to the United Nations, described the vote as shocking, and said that, for the first time in the history of the United Nations, former Axis Powers voted against a text condemning Nazism.

VP: “We look forward to seeing you at the celebrations in Moscow on May 9. We also hope that military units from the CIS countries will take part in the parade on Red Square.”

RPA: This has also become a contentious issue between the West and Russia. Under the then Soviet Union, Russia lost an estimated 24 million civilian and 10 million military personnel in fighting, alongside the Western allies, the threats of Nazi Germany. To put that into context, Germany lost an estimated 5 million soldiers and 500,000 civilians. Russia’s sacrifice has, over the years, been downgraded in the eyes of the West and is now largely ignored. Very few European leaders will be attending the Russian memorial events, with those that intend doing so being roundly condemned by Ukraine, the European Union, United Kingdom and United States.         

VP: “Colleagues, on January 1, 2025, Russia will hand over the CIS chairmanship to Tajikistan. I would like to wish success to Mr Emomali Rahmon and all our Tajik friends. We are ready to provide all the necessary assistance to them. Overall, I am confident that the deepening of partnership in various spheres within the CIS meets the fundamental interests of our nations. I have no doubt that we will continue to work together to fulfil our socioeconomic development tasks and to strengthen stability and security.

I would like to use this occasion to extend my most cordial greetings on the upcoming New Year and to wish health, happiness, well-being and prosperity to the citizens of your countries”

RPA: A overview of Russia-Tajikistan trade for the first 9 months of 2024 can be seen here.

Further Reading

Eurasian Economic Union 2024 GDP Growth Expected To Be 4.2%

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