© Martin Falbisoner/CC BY-SA 3.0/Wikimedia Commons/TASS

Top stories from the Russian press on Friday, August 11th, prepared by TASS

Biden asking US Congress for additional $10 bln in military aid for Ukraine; Berlin looking at sending long-range missiles to Kiev; and solutions proving elusive for settling Nagorno-Karabakh crisis. These stories topped Friday’s headlines across Russia.

Vedomosti: No limits on US largesse as Biden asks Congress for another $10 bln for Ukraine

The Biden administration has reportedly decided to ask the US Congress for at least $25 bln in additional funds for defense spending, including military aid for Ukraine. Thus, $13 bln of the requested $25 bln appropriation is to be set aside for defense, including assistance to Ukraine, and $12 bln for natural disaster relief. Meanwhile, although discontent is growing among Republicans over Washington’s seemingly limitless largesse in aiding Kiev’s cause, the initiative is still likely to pass, Vedomosti writes.

Biden faces stiff opposition from Republicans in the House of Representatives, who oppose increasing military aid to Ukraine beyond previously agreed appropriations. In July, 70 Republicans voted for an amendment to the defense authorization bill that called for halting all funding for Ukraine. At the same time, linking military aid to Ukraine with funding emergency management responses to natural disasters may sway moderate Republicans in the White House’s favor, the newspaper writes.

Visible cracks in the congressional consensus in favor of funding for Ukraine have already started to widen, according to Russian International Affairs Council analyst Alexei Naumov. The Republican Party is increasingly questioning how much more money can be appropriated for Ukraine even as no rigorous oversight has been exercised over the generous sums already spent in aiding Kiev. As a result, Republicans are demanding accountability from Ukraine, the expert told the newspaper. Nevertheless, he believes that Biden's request will be granted as there is still a desire to continue helping Ukraine and the Republicans' patience has not yet run out. Moreover, the new request is in line with Biden's keynote foreign policy position of full-throated, unquestioning support for Ukraine, which, according to Naumov, likely still has ample support in Washington.

Kommersant: Light getting dimmer at end of tunnel for Nagorno-Karabakh crisis

The suspension of the Azerbaijani-Armenian peace talks was marked by controversies and disagreements over the situation in Nagorno-Karabakh. Yerevan and the authorities in Stepanakert, capital of the unrecognized Republic of Artsakh (also known as the Nagorno-Karabakh Republic, or NKR), accuse Baku not only of putting up a blockade but of committing genocide. For its part, Azerbaijan refuses to compromise, reiterating that the matter is a domestic issue that should be resolved within the country and that Karabakh Armenians have two options: to become citizens of Azerbaijan or to leave, Kommersant writes.

Moscow sees the situation as extremely difficult and believes that Baku is in no mood for concessions. "All of the attempts made by us and by Western countries and international organizations to de-escalate the situation have failed. Baku is not backing down," a Russian government official familiar with the situation in the region told Kommersant. The official added that the Nagorno-Karabakh Republic authorities are not backing down either.

"We expect international structures and leaders to move from words to deeds in order to put an end to Azerbaijan's international crimes against the Nagorno-Karabakh Republic and its people," Masis Mailyan, ambassador-at-large of the president of the NKR and former NKR foreign minister, told the newspaper.

The reality is that none of the players vying for influence in the region is willing to go beyond exercising purely rhetorical influence over Azerbaijan. Russia, the EU and the US are careful not to jeopardize a potential peace agreement between Baku and Yerevan, even as they jockey among themselves for the role of primary peacemaker, Kommersant writes.

Izvestia: Moscow has no illusions about Germany sending long-range missiles to Kiev

Russia recognizes that Germany is crossing a "red line" by sending long-range Taurus missiles to Ukraine, Russian Ambassador to Germany Sergey Nechayev told Izvestia. He explained that the trajectory of the Ukrainian counteroffensive has irritated the Germans, who still hope to turn the tide of the conflict in favor of Kiev. The opposition, led by the Alternative for Germany (AfD) and The Left parties, fears that the transfer of weapons to Ukraine will aggravate the situation and push Berlin closer to a direct confrontation with Moscow, Izvestia writes.

"We cannot rule out the possibility of Germany crossing this 'red line.' We have no illusions about a probable change in Germany's approach to the Ukrainian conflict, as well as a sudden recognition of the dangers of escalation associated with the use of long-range missiles," Nechayev said. According to the ambassador, Germany is alarmed by the sluggish pace of the Ukrainian "counterattack."

Possible deliveries of Taurus and ATACMS missiles may initially create some difficulties for the Russian armed forces, experts told Izvestia. Oleg Ponomarenko, a military expert at the Center for Strategic Studies, told Izvestia that it would be very difficult for Russian air defenses (AD) to shoot down all such missiles.

However, while the missiles may pose some initial problems for Russian AD systems, experts believe that the new weaponry’s competitive edge will be lost in a matter of days. According to military expert Dmitry Kornev, in a few days Russian anti-aircraft crews will gain additional experience in shooting down Kiev’s latest batch of Western "miracle" weapons, share it with other units, and the status quo will thus be restored.

Vedomosti: Foreign direct investment in China slumps, hitting 25-year low

According to figures from China’s State Administration of Foreign Exchange (SAFE), foreign direct investment (FDI) in China totaled $4.9 bln between April and June 2023, marking the lowest quarterly reading since 1998. China's overseas commerce is likewise slowing down. Exports were $282 bln in July, a 15.4% year-on-year drop over the previous year, while imports were $201 bln, a decline of 13.2%, Vedomosti writes.

The recent slump in FDI is being driven by souring investor sentiment and concerns about a slowing Chinese economy and Beijing’s numerous restrictions on Western business, according to Boris Kopeikin, deputy general director of the Center for Strategic Research. Other key drivers, he told the newspaper, have included moves by numerous Western governments to limit investment in China, especially in high-tech sectors, as well as efforts by Western corporations to reduce reliance on China in their global supply chains.

The Chinese economy is focused on foreign trade, and thus the 13.6% year-on-year contraction in July, versus July 2022, will prove to be a difficult test for China, according to Daniil Shulga, associate professor in the Department of International Relations and Humanitarian Cooperation at the Siberian Institute of Management of the Russian Presidential Academy of National Economy and Public Administration (RANEPA).

According to Igor Gerasimov, an international markets analyst at BCS World of Investments, the decline in China's attractiveness for foreign investors is mostly due to political uncertainties and a likely deterioration in the business regulatory environment. Taking all costs into consideration, it is becoming more lucrative for Western corporations to keep production in India or other Southeast Asian countries, he noted.

Izvestia: Russian government officials test smartphones running on homegrown Aurora OS

Russian government organizations have started testing smartphones and tablets based on the local Aurora operating system (OS). According to sources at government agencies and in the Federation Council (upper house of parliament, or senate), several dozen devices have already been given to some senators. This number will be increased if the experiment is successful. After the Russian authorities accused Apple of collaborating with hostile intelligence services, interest in the homegrown OS has expanded, experts told Izvestia. Its integration with state IT systems is justified, but some preparation is required.

"Initially, the devices will most likely be used by senators and their assistants, as well as groups of Federation Council employees who must be in regular contact with each other in order to perform their daily functions," a source told Izvestia.

"Our company is ready to assist customers in the transition from the US-based system to a domestic mobile ecosystem. This process has recently accelerated, and the use of devices running on Aurora is increasing," Rostelecom's press service told the newspaper.

According to Eldar Murtazin, senior analyst at Mobile Research Group, the use of Aurora-supported devices in the public sector is fully justified. However, according to the expert, this operating system is only a supplement to the existing information systems of state enterprises and organizations, and is not a substitute for iOS or Android.