STRATEGIES FOR BUSINESS IN MOSCOW Wealth like want ruins many A PROPOS What is going on in Russia? Answering this question in the 18th century, the famous others where it is low. It is low in countries where the Russian historian and writer Nikolai Karamzin, said: circumstances of people's lifestyles, laws and morals "Stealing". Stealing then, however, didn’t happen only in in society are such that stealing is not worth it and Russia. Officials everywhere had dirty hands. Gener- dangerous. That is the type of society we are building ally, stealing, bribery, back hander’s to the authorities, in Russia today. Of course, the fight against corruption, money laundering - all of what we now call corruption, which has swept the country since the collapse of the existed and, unfortunately, still exist all over the world. Soviet Union, and has acquired truly monstrous propor- Is it any wonder, for example, that in every country the tions, should have begun before. However, better late word "bribe" has its own special term today. In Span- than never. On the other hand, there is absolutely no ish speaking countries it is called "mordida" (literally time to lose. No wonder that in the last two years sev- "bite"), in French-speaking countries: "dessous-de- eral important anti-corruption laws have been enacted, table" ("under-the-table" commissions), in Germany: the Anti-Corruption Charter of Russian Business has “schmiergeld” ("smoothing money"), in Russia: "otkat" been signed, and in late February a new department in ("kickback") ... in short, corruption has no nationality. the government of Moscow was established for regional Why is that? security and anti-corruption ... Why once a person comes to power, does he begin to The most important thing is to start the fight against steal? Maybe it's all in the nature of mankind, or so corruption and not let it be stopped. It must be consis- believed Fyodor Dostoyevsky, mired in lies, in evil, and tent, aggressive and uncompromising at all levels. It is in all other deadly sins. Or, perhaps, does the reason lie important that everybody is involved in this fight, not in the circumstances and lifestyle of the person, pushing just the judicial and law enforcement authorities. The him to do it? application of restrictions and imposition of penalties, even the toughest, may not solve the problem. An anti- Probably, it's by and large some of this and some of corruption mindset needs to dominate the thinking in that. So finally we must admit the sorry state of affairs the country. At the end of the day, we need to deal with that it is impossible to eradicate corruption everywhere. what the Patriarch of Moscow and All Russia Kirill calls Just as it is impossible to create the perfect person, or "spiritual immorality." the perfect state. Corruption is a global challenge and of course, the whole world needs to fight it. It is no Today it is as clear as ever: if we do not overcome coincidence that the UN Convention against Corruption corruption, it will overcome us, with all the ensuing has announced Dec. 9th the International Day of the disastrous consequences for our country. fight against this evil. However, even if corruption does exist everywhere, Sergo Kukhianidze there are states where the level is high, and there are Editor in Chief Moscow Official CAPITAL IDEAS Moscow is ready to Founder: Department for External Economic and International Relations of the Government of Moscow "carry investors Address: Tverskaya, 13, Moscow, 125032. in its arms" Ph: +7 (495) 633-68-66 Fax: +7 (495) 633-68-65 Forget about movies, Cannes really is a business minded city. In mid-March, E-mail: [email protected] Europe’s largest international exhibition www.dvms.mos.ru for investment and real estate (MIPIM) Editorial staff: was held there in the Palace of Festivals Editor-in-chief – Sergo Kukhianidze and Congress Hall, and it is already Production crew of the edition: Elena Egorova, Evgeny Khokhlov, the 25th such exhibition in a row. New Dmitry Sokolov, Marina Ogorodnikova, Alexander Pigarev, Anna Tomkins, opportunities for investors in Moscow Marina Yurshina were unveiled at it. 6–10 CAPITAL IDEAS STRATEGIES FOR BUSINESS IN MOSCOW Publisher: Moscow Center for International Cooperation 11 CEO: Igor Tkach Moscow Official Address: 105005, 68/8, build.1, Baumanskaya str., Moscow, Russia Phone: +7 (499) 267-46-56 Moscow is an E-mail: [email protected] open highway for General Partner: National Review Ltd investors CEO – Sergei Oposhnyanskiy Phone.: +7 (495) 784-69-71 The Moscow City Government has opened a main information portal for E-mail: [email protected] investors in the city in the Russian Consulting – Sergei Anikanov, Evgeny Khokhlov and English languages: www. Design – Robert Saifulin investmoscow.ru Photo editor – Victoriya Oposhnyanskaya Its aim is to improve the business Page layout – Alexander Saifulin climate, simplify the conduct of Assistant – Nadezhda Ratanova business in the Russian capital, and to Distribution – "Trans-Media" Ltd attract foreign capital to the priority Acknowledgements to: sectors of the city’s economy. PHOTO ITAR TASS Agency, RIA-Novosti, All Over Press Agency, companies and organizations, represented in the issue. If you wish to get new issues of Capital Ideas, please, apply to: [email protected] Magazine registered at the Federal Authority of Legislative Control in Mass Media and Cultural Heritage Protection. Media registration certificate ФС77-53716, issued April 26, 2013. All reproduction permitted only with the Editor’s permission and reference to ‘Capital Ideas’. Distributed free of charge Published with support from the Department for External Economic and International Relations of the Government of Moscow Circulation : 7000 Signed into print 05.05.2014 2 CAPITAL IDEAS April-June 2014 Moscow Official Moscow Luxembourg: Moscow Global cooperation to create A world without MFC Face to Face corruption: The Department of Foreign Economic Time waits for myth or reality? and International Relations (DFEIR) and the Agency for the Development of the no man, it is time Anatoly Golubev, Founder and President financial center in Luxembourg, Luxemburg of the Foundation for a World Without for Finance, signed a Memorandum of for modernization Corruption International Alliance and Understanding in the Russian capital Sergei Katyrin, the President of the member of the Steering Committee defining the development of bilateral Chamber of Commerce answers of the UN Global Compact Network cooperation for the future. questions from Capital Ideas. in Russia. 12–13 16-21 30–34 14–15 22-27 35 Moscow Official Face to Face In Truth Sergei Cheremin: Russia is still a Corruption can be We are not afraid mystery but no reduced of Western sanctions longer an enigma Anatoly Kucherena is a prominent Minister of the Government of Moscow, Russian lawyer. Recently he has Gianfranco Facco Bonetti, prominent and Head of the Department for External become well known around the Italian diplomat, former Italian Economic and International Relations, world as Edward Snowden’s lawyer. Ambassador to Russia, and now answered questions from representatives Mr. Kucherena shares his opinions Ambassador of the Sovereign Military of the American "Bloomberg" news with Capital Ideas on the war against Order of Malta to Russia, answered agency, the British Broadcasting corruption that has been started questions from Capital Ideas. Corporation "BBC" and the largest Chinese within government institutions. news agency "Xinhua". 28-29 Moscow in Words April-June 2014 CAPITAL IDEAS 3 Nothing Ventured Nothing Ventured A Perfume for There are many the Empress opportunities for Face to Face This year marks the 150th anniversary investors in Russia of the founding in Tsarist Russia of a The only thing unique perfume manufacturing empire today by Henri Brocard. By the end of the American born Dennis Adamovich missing for me here nineteenth century it was considered has lived in Russia for more than 10 is the sea to be the largest in Europe, and after years. He now holds the position of the revolution was renamed the director of digital marketing at LG Ad Vincenzo Trani, Chairman "Novaya Zarya” (New Sunrise) perfume Russia. In an interview with Capital of the Board of Directors, General Invest factory, which continues to operate to Ideas Mr. Adamovich talks about his on investment and entrepreneurship this very day. experiences in Moscow. in Russia. 36-41 46-49 54-59 42-45 50–53 60–63 Nothing Ventured Opinion Nothing Ventured We should always Building a home for Russia is a great follow the letter of Russia’s internet place to do business the law Guy Wilner, the CEO of IXellerate Teri Lindberg, founder and CEO Moscow One Data Centre answered of Staffwell, gives her advice to Maxim Andrianov, CEO of Ulysse Nardin questions from Capital Ideas. foreigners thinking of starting a Russia, which after the headquarters in Le business in Moscow. Locle, Switzerland, is the largest division of the company, answered questions from Capital Ideas. 4 CAPITAL IDEAS April-June 2014 The Collector Opinion My collection is Human life is stored in three priceless but you countries He is a well known fashion historian, Quality Time need money to be author of numerous books, and host able to save it of the popular TV show "Fashion Orange juice? No, Sentence" on Russian Channel Alexey V. Zhao, Deputy Director One. More than thirty years birch juice,please! of Vishnevsky Institute of Surgery ago, Alexandre Vassiliev started For some people the birch is just a tree. answered questions from Capital Ideas. collecting costumes... But not for the Russians! 64-69 74-79 90-91 70-73 80-87 92–96 Food & Drink Quality Time Life & Culture A library must be Spring time in Dinner for the attractive Moscow: touching champions: jellied “The Inostranka" is the nickname of the the Beauty sterlet with Margarita Rudomino All Russian State champagne Library for Foreign Literature, which has Lots of beautiful women usually existed in Moscow since 1922.