Analytics, Baltic States – CIS, Economics, Estonia, EU – Baltic States, Forum, Lithuania, Russia

"Low prices of raw materials, in particular oil and gas, a sharp decline of the rouble over the last two years, strong downward trend of foreign direct investments, poor competitiveness and lacking diversification are economic realities. In addition, already in 2012 with growth declining the absence of reforms began to appear. As a result, the economy shrank last year by 3.8 percent, the deepest drop since the crisis year of 2009, and is not expected to return to the positive field before 2017," Usackas said.

"Other than specific indicators that manifest overall poor performance of Russian economy, what concerns us as well over the past few years is the apparent shift towards a protectionist economic concept. It happened well before the onset of the Ukrainian crisis and the adoption of sanctions and counter-sanctions," the envoy and former foreign minister of Lithuania who is to take part in the annual Lennart Meri Conference in Tallinn later this month said.

A good example of this, the EU envoy said, is Russia's accession to the WTO in 2012. He said it is difficult to think of any other recent WTO accession that has so quickly turned from a sense of optimism to deep disappointment, and that has resulted in more, rather than less, protectionism.

"Instead of promoting much needed structural reforms, this new paradigm has only further contributed to present economic difficulties."

"However, as opinion polls suggest, the public support around President Putin remain very high. And what we are actually doing is stressing to the Russian audience, on literally a daily basis, that the EU is interested in a developed, stable and prosperous Russia that is at peace with itself and its neighbors. We don't have second thoughts, we are not hypocritical in our job – our interest truly can never by a poor and unstable Russia lagging behind, since these all bring insecurity to our borders," Usackas said.

The 10th annual Lennart Meri Conference set to take place in Tallinn on May 13-15 is titled "Shaping the New Normal" and will focus on the future of Europe and the West.

Topics to be discussed at the conference include the refugee crisis, the forthcoming NATO Warsaw Summit, Putin's military adventures, the IS terrorist group and the Middle East, the U.S. presidential election, Europe's neighborhood policy, China's vigorous rise, information warfare, nuclear deterrence and digital challenges for our security.

Speakers at the conference include the First Vice-President of the European Commission, Frans Timmermans, Polish Foreign Minister Witold Waszczykowski, the French Secretary of State for European Affairs, Harlem Desir, Romanian Foreign Minister Lazar Comanescu, Swedish Foreign Minister Peter Hultquist, Deputy Secretary-General of NATO Alexander Vershbow, the commanding general of the United States Army Europe, Ben Hodges, former Polish foreign minister Radoslaw Sikorski, the U.S. Coordinator for Sanctions Policy, Daniel Fried, and the Director General of the Russian International Affairs Council, Andrey Kortunov.

BNS is the media partner of the conference.

The Lennart Meri Conference is organized by the International Center for Defense and Security with the Lennart Meri Foundation.

Lennart Meri was president of Estonia from 1992-2001.