The Ukrainian state railway UZ has signed two separate contracts totaling €1.46 billion for procuring 433 electric freight locomotives on July 20 from Russian and Georgian suppliers. The final contracts are expected to be signed in September 2011, subject to funding approval. Deliveries are scheduled between 2012 and 2016. The new 3 kV electric locomotives will replace the ageing fleet of VL8 engines acquired back during 1953-1967 and part of UZ’s plan to modernise its fleet by 2020.

The European Bank for Reconstruction and Development (EBRD) is continuing to play an active part in developing the private sector and stabilising the business operations in the Kyrgyz Republic with an increase in financing to further develop the country’s manufacturing industry. The bank will forward a new €8 million additional loan to Interglass, the largest industrial glass producer in Central Asia, to complete the upgrade of the company’s plant in Tokmok, northern Kyrgyzstan.

Russian anger at U.S. visa restrictions on Russian officials linked to the death of hedge fund lawyer Sergei Magnitsky expressed by the Russian foreign ministry is misdirected, international observers in London say. “Russia would be better served by bringing to justice those responsible for Magnitsky’s death rather than blaming the messengers,” said one executive of a company dealing with Russia who requested anonymity because of his frequent travel to that country.

Ukraine International made an important expansion in the Russian market on 20 July when the Ukrainian state carrier connected its Kiev Borispol (KBP) hub with Moscow Domodedovo (DME). Flights operate three times daily with 123-seat 737-500s. This is the first time the airline connects the Ukrainian and Russian capitals, although the private Ukrainian airline AeroSvit already operates between the two cities alongside several Russian carriers. Direct competition to Ukraine International comes from Transaero’s twice-daily flights as well as a daily service on Ukraine International’s Russian partner airline S7. 

Gazprom has appointed the Edinburgh-headquartered RMJM to design the new Gazprom Group headquarters and business centre in St Petersburg with the iconic tower at its centre. A recent announcement by RMJM clears up confusion that has prevailed over the status of the firm in the development following St Petersburg city planners giving Gazprom the green light on the tower.

The original central city location of the tower, planned as the new headquarters for Gazprom Neft, the gas giant's oil arm, was slammed by St Peterburgers led by Russian President Dmitry Medvedev as risking the city's world heritage status.

News Corporation, the embattled media group controlled by Rupert Murdoch has sold its 79% stake in News Outdoor Russia for a reported $270mn to a trio of investors headed by VTB-Capital. The two other investors are Marathon Outdoor Coöperatief U.A., which is managed by Alfa Capital Partners and NOOH Investments Coöperatief U.A., representing Peter Gerwe, the American media entrepreneur, who has been building media companies in Russia since the mid 1980’s.

Last Friday London’s most read newspaper, the Evening Standard, splashed Boris Berezovsky, the fugitive Russian tycoon, on its front page with a headline “Britain’s biggest ever divorce deal.” Berezovsky whose fortune has dwindled to a reported £550mn from an estimated £1bn since he fled to Britain from Putin’s Russia in 2000 had agreed a “hundreds of millions of pounds” settlement with his divorced wife Galina Besharova.

Despite the considerable changes in the list of world’s hiring leaders, Russia maintains seventh place, as well as keeps its place in the top three European leaders in recruitment activity, yielding only to Ukraine. Such results were obtained during the quarterly survey held by Antal Russia and Antal International in 47 countries.

Compared with March, the number of the companies actively hiring managerial-level staff has slightly decreased from 72% to 66%. At the same time the number of companies letting managers go has also gone down, by 7% during the second quarter.

By John Bonar

Dr. Kubanychbek Apas is suspicious of the delays in organizing the long-promised presidential elections in his homeland, Kyrgyzstan and of acting president, Roza Otunbaeva’s intentions.

Otunbaeva was swept to power as head of an interim government after President Kurmanbek Bakiyev was deposed in an April 2010 revolt.

Apas, who announced his candidacy through the Kyrgyz media in 2010, heads the small democratic party El ‘Yurt and since 1994 has been a vocal advocate of human rights and freedom of independent media in Kyrgyzstan. An unsuccessful candidate in the 2005 presidential election running against Bakiyev, he was barred without reason from the election and counting the votes cast in his favour was halted – on the orders of Bakiyev, he claims.

"Today, 14th of July 2011, the anniversary of the storming of the Bastille, we declare the launch of the Democratic Party. The Democratic Party will work for the realisation of the ideals of liberty, equality and fraternity in Libya, and for the Arab world joining humanity's long march for democracy," was the first sentence of a press release from Libya's Freedom and Democracy Campaign, an independent group of young Libyan intellectuals embracing members inside Libya and in the diaspora. LFDC has supported the opposition to the Gaddafi regime from the outset but has voiced reservations regarding the authenticity of the democratic credentials of the self-appointed rebel leadership in Benghazi.