Japan and Russia, in the framework of negotiations on the development of economic ties and a solution to the issue of a peace treaty, are discussing a plan to create a Special Economic Zone in the southern part of the Kuril Islands. This was reported on Monday by the Mainichi newspaper, citing governmental sources.

It was noted that the plan also includes the establishment of joint ventures in the islands and the expansion of cooperation on visa-free exchange programs. However, according to the newspaper, talks about the creation of a special economic zone in the southern Kuril Islands are advancing with difficulties, and in the course of the upcoming visit of Russian President Vladimir Putin to Japan, the parties expect to negotiate only on the general provisions of the plan.

As the newspaper writes, the question of jurisdiction over the disputed territory is currently the main obstacle to discussions over joint economic activities in the southern part of the Kuril Islands.

In May of this year, at a meeting in Sochi, Japanese Prime Minister Shinzo Abe offered Putin a cooperation development plan consisting of eight points, which would imply the strengthening of relations between the two states in the fields of energy, small and medium business, industrialization of the Far East, and export expansion. In addition, the plan includes a proposal to strengthen cooperation in the field of advanced technologies, including nuclear energy, and in the field of humanitarian exchanges.

The exact content of the plan has not been disclosed, but according to the results of Japanese Economic Minister Hiroshige Seko’s visit to Moscow, the parties had identified nearly 30 projects which would take economic priority. Tokyo expects that the implementation of the Plan of Economic Cooperation, proposed by Abe, will ensure progress in negotiations on a peace agreement.

Moscow and Tokyo are currently preparing for Putin’s visit to Japan, which will occur on December 15-16.

  Japan, Russia, Kuril Islands

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