Good afternoon, esteemed ladies and gentlemen.

I am very glad of this new meeting with the President of the Council of Ministers of Italian Republic, Mr. Silvio Berlusconi.

We regard this visit as a very important event, both in bilateral terms and in the life of Europe, because both our states play a noticeable role in the European continent.

This time with Mr. Berlusconi there arrived a representative delegation of our Italian friends and colleagues and of the heads of key ministries of the Government of Italy. A fruitful exchange of views on a very broad range of issues took place and we hope that in this format work will continue in the future as well.

I very highly assess the results of both yesterday's talks in Sochi and today's talks in Moscow. We discussed bilateral relations, and international and regional problems.

One central theme of the meeting is the development of relations between Russia and the European Union. I am very pleased to note the position of Mr. Berlusconi, which is that only jointly with Russia is it possible to create a common European economic, energy, cultural, educational and legal space.

It is hard to disagree with his thesis that only jointly is it possible to reliably protect all the inhabitants, all the citizens of the European countries and indeed all the citizens living in Greater Europe against war, terror and violence.

We spoke at length of new mechanisms in cooperation between Russia and NATO.

And the objectives of this organization and Russia on many issues are common. It is, above all, the struggle against terror, the settlement of regional conflicts, the nonproliferation of weapons of mass destruction.

I informed the head of the Italian Government about our approaches and initiatives in the field of strategic stability and about the course of the negotiation process with our American partners on this problem.

We spoke at length also of regional conflicts, such as the Middle East and Afghanistan.

And I am glad to note that our positions are similar. We are convinced that only by joining the efforts of the world community is it possible effectively to counter contemporary threats, and solely on the basis of international law and the United Nations Charter at that. For the attainment of these objectives we will continue our cooperation within the framework of G8.

Much attention has been devoted to bilateral relations, and in the first place in the area of economic cooperation.

During the last few years our economic cooperation has been developing successfully. Two years ago the trade turnover was 2.5 billion US dollars. Last year it rose to about 8 billion dollars. Now it stands at 9.3 billion dollars.

We spoke of large projects, of the potentialities inherent in small and medium-sized business. Considerable attention was paid to cooperation in science and culture.

The aim here is simple, understandable - to acquaint the citizens of our countries with the legacy and contemporary achievements of two greatest European cultures.

In conclusion I want to stress that our aim is but one - the establishment in Europe of a common space of stability and security, and the achievement of high economic results. And we firmly believe that by joint efforts we can attain these lofty objectives.

Thank you very much.

Question: Was the Middle East problem considered? Do Russia and Italy concur on this issue? What do you think of the refusal by Israeli Prime Minister Ariel Sharon to declare a cease-fire?

President Putin: The stand of Russia on this issue is well known. We condemn terrorism in any of its manifestations and consider that with the aid of acts of terror it is impossible to achieve any political results. This applies fully to the victims of terror from among the citizens of Israel.

At the same time we believe that retaliatory actions must be adequate to the threat. And in this sense we feel that the actions of the Israeli side ought to be commensurable with what the State of Israel, its citizens encounter in today's situation.

We regret and mourn for the loss of life on both sides. And we are calling upon both sides to end the bloodshed as soon as possible.

There is one more aspect to which I would like to draw your attention. There are Holy Places in the region of conflict. The legacy of all mankind is concentrated there, the spiritual and cultural values are concentrated that belong to all mankind. In the course of combat actions their preservation is being endangered.

I hold that both parties should exercise a sense of responsibility and restraint. And not allow any possible infliction of damage upon the spiritual values I have mentioned above.

Russia together with UN, the United States and Europe is ready to make its contribution as a mediator in the settlement of this conflict.

Thank you.

Question: (to Silvio Berlusconi). Of late practically all the political and public figures have been saying many good words of the level of cooperation between Russia and the European states. In your opinion, which is more there - words or action, and is it not the time to move from words to action?

President Putin: I can only confirm it, if you will permit.

Mr. Prime Minister has just correctly recalled that, unfortunately, there is some ballast in our relations - in the relations between Russia and the rest of the world that have been evolving during almost seventy years.

And, of course, this cannot fail to be taken into account. However I can assure you that the President of the Italian Council of Ministers is one of Europe's political leaders who advocate the earliest possible integration of Russia into the international community.

Yesterday we in an informal atmosphere in Sochi touched on very many themes. We talked well past midnight, finishing at one o'clock in the morning, and I can assert with full confidence that this is really so. For which we are very grateful to him and hope for our fruitful cooperation in the future. I do not doubt that this will be so. Thank you.


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