Russia's president Vladimir Putin said yesterday he was ready to work with Europe on solving the crisis in Chechnya, signalling a departure from Moscow's traditional hostility to external involvement in the troubled north Caucasus region. At the same time Mr Putin said that Russia was ready to work with Viktor Yushchenko, the Ukrainian opposition leader, if he wins the presidential election rerun on Sunday.
His comments were part of a broader charm offensive, with a separate announcement that Moscow would make early repayments next year of its debt to the Paris Club of creditors.
But the exact implications of the Russian leader's comments on Chechnya remained unclear last night. He did not specify the assistance he was expecting, but Russian officials in Schleswig stressed that economic reconstruction would be the main focus.
The announcement, coming after two days of talks in Schleswig, northern Germany, with Gerhard Schröder, the German chancellor, was seen as part of efforts by the Russian leader to overcome domestic and international setbacks this year.
Mr Putin admitted that Russia had "enough problems in this [Chechnya] region". Speaking in German at a press conference after the bilateral talks, he added that "we are ready to work together very openly with our partners in Europe and Germany".
Mr Putin also defended the controversial auction of the main production asset of Yukos, the oil company his government has dismantled over the past year. By raising these controversial issues he was seen as addressing issues that in the eyes of the western policymakers had cast him in the role of an autocratic leader.
Mr Schröder said he had discussed with the Russian president ways in which Germany and the European Union could help shape a "political solution" to the problems in Chechnya, while also supporting "social and economic development" in the region.
On Monday Mr Putin said he "completely accepted" proposals by Germany to establish a formal dialogue between the EU and Russia on Chechnya.
The war in Chechnya propelled Mr Putin to the position of president in 2000 but it has been a long-running sore in Russia's relationship with the west. Russia has repeatedly told western leaders not to interfere.
However, Mr Putin's reputation was damaged by September's school siege in Beslan. While most of the world saw this as a tragic consequence of Russia's war in Chechnya, Mr Putin tried to present it as part of his country's war with international terrorism.
German officials were cautious about Mr Putin's remarks on Chechnya but said a political dialogue was important in itself. However they defended Mr Schröder's efforts to build close ties with the Russian leader, despite criticism within Germany that he has ignored concerns over democracy and human rights in Russia.
Mr Schröder held several telephone conversations with Mr Putin soon after Ukraine's disputed presidential election in November, after which Mr Putin pledged not to interfere in Ukraine.
He has been criticised by most western countries for his heavy-handed interference in the Ukrainian elections and his public backing of Viktor Yanukovich, the prime-minister.
