OPEN MINDS OPINION

July 28, 2010

First and the only English newspaper of Republic of Tatarstan

Social and Political newspaper

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GATEWAY FOR ISLAMIC FINANCES

Kazan served as a gateway for Islamic investment in Russia. Islamic Banking makes the second serious attempt to enter the country supported by the Government of the Republic of Tatarstan and the Islamic Development Bank. The recent global crisis has shown the world the imperfection and inconsistency of the current economic model. Dollars that where inflated on interest rates over-vented and brought down securities markets of many countries, like soap bubbles. In this situation, even talks about the decline or collapse of the Western world has appeared. Well, if so, at least it has overlived the pessimistic forecast of uncle Spengler. All experts unanimously agreed that the main culprits of the crisis are percentage of sales and mortgage value. And then all had had a question, if a different model of existence is possible. A model which has no hidden interest and the bank well lurid its commission? As it turned out, there is, and it works for more than a dozen years. The answer was found in the East the Islamic banking. The distinctive features of Islamic banking business model is a taboo on usury, which means a ban on any kind of profit from debt, loan percentages are prohibited. In addition, principle of Islamic banking are based on division of profits and losses, which are inherent in any type of contractual relationship. First Islamic banks appeared in the late 60-ies. But first experience had had no succes. However, since the beginning of the 70s Islamic banks have been gradually developed. Organization of Islamic Conference announced the creation of the International Islamic Development Bank. And the National Islamic bank had begun to open. International Association of Islamic Banks was established in Dubai. The ratio of these banks has changed. Initially they were considered nothing more than propaganda action, funded by petrodollars. Many analysts predicted the collapse of Islamic banks as soon as the termination of funding. Nowadays its pretty clear for everyone that Islamic banking is a serious commercial project. They exist not only in the East, but also in Great Britain, Luxembourg, Bahamas. Marketing researches has shown that demand for Islamic financial products in the UK proved to be quite high. According to various sources, there are approximately 1.8 million Muslims in that country, and many
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DIGITAL ART INSTEAD OF SOAP

OR A HISTORY OF THE FIRST LOFT IN KAZAN

NEW CENSOR OR CLEANER?

Head of Office of the Federal Service for Supervision in the sphere of communications, information technology and mass communications at RT (Roskomnadzor) assumed the role of the Comptroller of the Republics mass media.

Young Kazan art is experiencing its regeneration. Every year more and more youngsters state their talents from the best Russian and international venues. Musicians, artists, poets and photographers the creators of the new art, which is designed to help people take a fresh look at the world and to love him even more. Young, talSee continue on page 3

ented and audacious, these guys exactly know that they have everything that would make world better. And they do actually. As evidence the appearance in Kazan of the first Loft project in a former soap factory of brethren Krestovsky. History of Loft is rooted in America 30s. The Great De-

Recently appointed as a head of the Office of Roskomnadzor at RT (26 February 2010) Airat Zaripov, a former press secretary of President of the Republic, actively stamps results of his new activities on a new position. At the moment he actively fights with a redundant media of Tatarstan. More than 20 (!) editorials have had been denied licenses last 2 months. Hereunder is a sad list of those editorials which have been felt under the Mix. Also by the initiative of Zaripov Roskomnadzor periodically conducts meetings of Advisory Council
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July 28, 2010

World News

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Economics

SUMMARY
EU IMPOSES TOUGHER IRAN SANCTIONS The European Union adopts an unprecedented package of sanctions against Iran, targeting in particular its key energy sector. The sanctions go a lot further than the UN measures voted in June, and include a tightening of checks of freight and port controls. The objective is to punish Iran for refusing to negotiate on its nuclear programme and try to bring it back to the talks table by September, when the Muslim holy month of Ramadan ends. Sunday saw the Turkish-Brazilian mediation resume with talks with Iran in Istanbul. Irans foreign minister said his country will be ready to resume talks in September, and said technical discussions could resume right away; We can immediately start negotiations for the details of exchanging of fuel. I mean exchanging of Low Enriched Uranium 3.5 percent uranium with 20 percent Uranium which would be given from the other side, said Manouchehr Mottaki. Iran insists its nuclear programme is only for the generation of electricity and other peaceful uses. However many feat their ultimate aim is to develop nuclear weapons. Copyright 2010 euronews VENEZUELA HEAD THREATENS US OIL CUT OVER COLOMBIA ROW

GATEWAY FOR ISLAMIC FINANCES

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Mr Chavez has long accused the US of plotting to oust him President Hugo Chavez of Venezuela has threatened to halt oil exports to the US if his country is attacked by Colombia a close US ally. The threat comes amid an escalating dispute over allegations that Venezuela is harbouring Colombian rebels. Mr Chavez broke diplomatic ties with Colombia last week and put his army on high alert. Venezuela is Americas fifth biggest source of imported oil, supplying about a million barrels a day. Mr Chavez said he had received intelligence that the possibility of armed aggression against Venezuela from Colombia was higher than it had ever been. If there was any attack on Venezuela from Colombian territory or from anywhere else, promoted by the Yankee empire, we would suspend oil shipments to the US, even if we have to eat stones, he said. We would not send one more drop to US refineries. The left-wing Venezuelan leader also said he had cancelled a trip to Cuba to celebrate a revolutionary anniversary with his close ally, President Raul Castro, because of the danger of attack. His decision to give US forces access to military bases inside Colombia has been another cause of concern for Venezuela. bbc.co.uk

of them tend to conform to the requirements of Shariah economic life. It is also important to note that there are more than half a million Muslims from all around the world are coming to visit UK each year, including businessmen from the Gulf, which can also be seen as a potential customers of Islamic banks. After examining the demand for Sharia-compliant banking services, several British banks (HSBC, Lloyds TSB, etc.) in late 1990 early 2000s. opened the Islamic windows, which are offering a range of Sharia-compliant financial products. Islamic finances today become a component of the global economy and actively built in the western economy, as evidenced by the launch of Islamic financial products by such giants as UBS, Citibank, HSBC, Standart Chartered. According to practitioners at the forefront of this fledgling practice area, part of the reason for Islamic finances slow infiltration is a general lack of understanding about what Islamic finance actually is. The foundations of Islamic finance lay in the fact it is forbidden to invest in transactions surrounded by uncertainty or those linked to what are perceived to be immoral practices and products under Sharia law, such as prostitution, tobacco, alcohol and gambling. Further, lenders are forbidden from charging interest. Islamic finances are not something new for Russia. There was even an attempt to open an Islamic bank in Moscow. However, all buried in a stubborn Russian legislation. Attempt number 2 started more thoroughly. About 5 years ago this attempt was started by The Government of the Republic of Tatarstan and the Islamic Development Bank. The first step was the creation of the Tatarstan International Investment Company, one of the founders of which is the Islamic Development Bank. It is the first landmark project being undertaken by the region of Russia together with several leading investment companies from the Islamic world. The creation of this company was an unprecedented event not only for Russia but also for the Islamic Development Bank, because our country is not a member of the Organization of Islamic Conference (OIC) and has only status of observer. The next step should be a creation of a leasing company. In parallel, there are works on preparation of investment projects and attraction of investments using foreign funds are being held. By the existing legislation it is possible to mobilize the funds of foreign investors

and introduce them to the enterprises of Russia based on partnership, sharing profits and losses. At the moment there are no banks in Russia that are operating under Islamic model, but some products work or are preparing to launch. For example, Mutual Funds (Fund Halal of BCS company), credit and consumer cooperatives (CPC Amanat in Kazan), a limited partnership (TNV Yumart Finance, Kazan), as well as the pending release of VTBs sukuk Islamic bonds could be noted among them. Of course, any barrel cannot be without a spoon of tar. First, its important to answer the question, if products that offer Islamic banking demand Russia. Could it find its customers, would it blend into the banking structure and business environment. This issue has not been seriously studied. Its pretty clear, that in the ethnic republics where Muslim population is dominating (Republics of Tatarstan and Bashkortostan, the North Caucasus region, etc.) this service will find its customer. But there are certain doubts about the advisability of promoting Islamic finance in other regions of Russia. Especially in consumer lending. Many sources on the Internet points to a huge audience of the Islamic population in Russia. But today it is not clear how to work with this audience. Often, people come to the Islamic investment companies with no idea what exactly it is and where does their money go. But the problem is not only in absence of knowledge of the principles of Islamic finance, but also in the financial literacy of the Russian population in general. Thats why companies that have the Islamic windows hold special seminars on Islamic finances. Often, these seminars are free of charge for its custom-

ers. For example, the BCS makes such training almost every month. Even Muslims that far from the finances cannot say what does Halal definitely means, Head of Kazan office of BCS ompany N.L. Laptev says. If we take the product, it is clear that pork is haram, some chicken is Halal if it was right handled. So in terms of investments, I am sure that 80-90 percent of Muslims dont know what Halal and haram is. I repeat, precisely in terms of investments. Even when deeply religious people come to us we tell them that by your canons you cannot keep the money in the bank, and they make innocent eyes. Its not their fault. Unfortunately, nobody teaches for financial things on sermons. Another problem correspondence of the activities of the banks to current Russian legislation. Of course, nobody is going to redo the whole system of law, following the example of Pakistan, where the Supreme Court forbade the bank interest in all forms and demanded that the Republican Party (now the ruling) are fully pass on an interest-free banking system in June 2001. Of course, not. On the contrary, you can learn to use Islamic finances through existing legislation. If it is not possible, then make the appropriate correc-

tions. But does it always need these amendments? The experience of Western countries shows that optionally Islamic bank can operate in a secular state. Islamic bank should coordinate the rules of secular law with Sharia law. In practice, banks are mostly created in the form of joint stock companies or limited liability companies. This is true for Islamic banks as well. Consequently, they are governed by rules of corporate law forced by countrys banking laws. In some countries there are also special rules, such as laws on Islamic banks, or, as in Egypt presidential decrees. Of course, there are internal acts: provisions, statutes, acts on the establishment. Incidentally, many Islamic banks established under special laws or decrees. Thus, there is nothing special in Islamic banks. Actually Islamic specificity is visible from the banks operations. It must be remembered that all the uniqueness of Islamic finance is not limited only to the interest of free loans. In fact, there are many subtleties. They cannot be listed in an only article. For example, the prediction is excluded in Islamic finances it is haram. Nobody ever will give a warranty in here, you can only look at the financial results for the previous period. By R. Young and D. Valius

July 28, 2010

Arts Local News

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DIGITAL ART INSTEAD OF SOAP

OR A HISTORY OF THE FIRST LOFT IN KAZAN
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SUMMARY
KAZANS INTERNATIONAL AIRPORT INCREASES PASSENGER TRAFFIC 52 PERCENT A total of 404,051 passengers have used the services provided by the Kazan international airport, which is 52 percent more than in the same period last year. The passenger traffic at international airlines has increased 73.5 percent, totalling 183,204. Passenger transportation on domestic routes has been 222,439, which is 38.8 percent more than last year. Some progress has been seen in cargo transportation. A total of 1,980.9 tonnes of cargo has over the period been processed. The figure was 1,011.4 tonnes a year ago. The growth in passenger and cargo traffic is related to setting up new flight itineraries and increased flying intensity at the existing routes. Charter flight traffic has been progressing as well. While in the first half of 2009 charter flights were made on 8 routes, they have been 16 this year. The most common destinations have been Moscow, Ufa, Saint-Petersburg, Mineralnie Vody, Sochi and Krasnodar. Popular foreign destinations have been Istanbul, Hurgada, Sharm-el-Sheikh, Antalya, Barcelona, Dalaman, Frankfurt and CIS cities including Baku, Yerevan, Dushanbe, Tashkent, Fergana, Samarkand and Hujand. The number of airplane flights form the airport has in the first half year increased 29.8 percent. while they were 3,131 last year, the figure this year was 4,065. TATARSTAN PRESIDENT: THERE IS AN IMMENSE INTEREST IN COOPERATING WITH HALDOR TOPSOE Tatarstan has an immense interest in cooperating with the Danish firm Haldor Topsoe, joint projects could be varied, Tatarstan President Rustam Minnikhanov told a meeting with the Danish firms executive director Niels Kegel Sorensen. The meeting took place at the Tatarstan House of Government. While welcoming the guests, Haldor Topsoe top managers, Minnikhanov noted Tatarstans economy was mainly focused on petrochemistry and oil refining, and its development was closely related to the branches. Tatarstan cooperates with Haldor Topsoe within the Taneco oil refining and petrochemical plants project in Nizhnekamsk and Ammonia, an ammonia, methanol and granulated carbamide plant in Mendeleevsk. Exchanging expertise between the company and Tatarstan-based higher schools is of great importance as well, the Tatarstan chief executive said. Niels Sorensen displayed an interest in cooperating with Tatarstan, too. He held a brief presentation of the firm, saying it had been founded in 1940. The sales in 2009 were 750 million euros. The company employs 2,100 people, offices are located across the world, including in Denmark, the US, India, Russia and others. The firm has operated in Russia since 1991. In 1995, it launched an engineering centre in Moscow. The Tatneftekhiminvest-Holding general director Rafinat Yarullin said a wide scope of issues had been discussed with Haldor Topsoe. The Ammonia project has obviously chosen one of the worlds best suppliers of ammonia and methanol combined production technologies and of catalysts, he added. He suggested that Haldor Topsoe considered rolling out production of catalysts in Russia, particularly in Kazan that has all conditions available. Rustam Minnikhanov thanked the delegation for the visit and suggested setting up a task force including all the concerned specialists, to review prospects for cooperation and launching joint projects. He expressed expectation it would help promote many mutually beneficial projects with Haldor Topsoe, Tatarstan Presidents press service reports. Tatar-inform .ru Advertisement

pression left many empty factories and mills, and hoping to get at least some profit owners have to lease them for lowest rates. Loft was immediately chosen by bohemia: artists, musicians and poets have attracted a huge area and have seen there an opportunity to arrange a studio, workshop or office. One of the most famous fans of Loft life-style became a guru of pop art Andy Warhol. In his Factory he managed to create many masterpieces of avant-garde art of 60-70s. After a while Loft received its popularity. Russia also already has its own examples of domestic Loft: a Winery in Moscow and the draft Stages in St. Petersburg. For Kazan this art style is still a novelty. As by Ilya Dorsky, founder of the first Kazan Loft, everything happened spontaneously. In a desperate attempt to find a place for his photo-studio, he accidentally came across an old building in the heart of the city on the shores of Lake Kaban. This building was the premises of the former soap factory built in the mid of XIX century. Large space, high factory walls and the atmosphere of the building were designed to ensure that there would be created. As a result of painstaking efforts of Ilya and his friends deserted area on the third floor of the factory has become a unique photo studio and the first in Kazan Loft space. Nobody boils a soap here now. A new art is being create in here. Ilya calls it photo surrealism. Armed with computers and cameras guys create their new vision, and doing it quite successfully. In addition to fame in Kazan parties, Ilya already has several personal exhibitions (including in Moscow). Works of Ilya are available at http://dafador.gallery. ru, and also on the official site of his studio http: / / 117art.ru. However, this loft is remarkable by the fact that, in introducing a spacious art-area, it can become a place for the most challenging art projects and organizations of varying degrees of culture events. You satisfy it soon. Already on August 10 there will be the first big event a concert featuring young musicians from Yekaterinburg, Perm and Kazan. Visiting this concert, youll also be able to see firsthand the best of the studio 117 and feel the atmosphere of their own art in the Loft-style. Art, which transforms not

only the views of people, but also space. Art, thanks to which hundreds of young and talented Kazan guys get the opportunity and inspiration to create new masterpieces. Glorifying and proving themselves and others what can a true talent make. The appearance of similar projects in Kazan is a natural fact. The fact that the young art of Kazan is

thriving. It feels uncomfortable in the rush or in a social protest. And so it is constructive. It fills all up to what many are not reached. It shows the power of art and creating changes our attitude to the ordinary things. And it does not expect Thanks for that. These guys just do their best they create. By A. Miroshnichenko

I. Dorsky (on right) thinks that Loft-ART has a great future in Kazan

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July 28, 2010

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Sports

KAMAZ-MASTER TO START AT SILK WAY RALLY WITH NEW WEAPON Naberezhniye Chelny team KAMAZ-Master will participate in international rallies on newly-designed trucks. The team engineers have developed and produced a new race car within 9 months. These days, KAMAZ-Masters new weapon is being tested comprehensively before the Silk Way rally, JSC KAMAZ press-service informs. Silk Way rally-raid will take place on September 11-18, 2010 on the route St. Petersburg-Sochi. KAMAZ-master team is expected to participate with 7-8 crews. Vladimir Chagin, Firdaus Kabirov, Ilgizar Mardeyev, Ayrat Mardeyev, Edward Nikolayev, Andrei Karginov and TV anchorman Andrei Leontyev will head seven of them. In case Tatarstan President Rustam Minnikhanov finds time and takes a vacation to take part in the rally, he will head the 8th crew.

MUSLIMS TO PARTICIPATE IN EUROPE UNDERWATER SPORTS CHAMPIONSHIP IN KAZAN A team composed of Muslim athletes will take part in the European underwater sports championship on July 25 in Kazan.

The remarkable fact is that the unusual team will be set up by the Muslim League of Underwater Sports which has been established in 2010 thanks to efforts of Muslim enthusiasts and support of Tatarstan Underwater Sports Federation, Info-Islam reports.

Representatives of the International Olympic Committee, CMAS (World Underwater Federation), the Olympic Committee of Russia, leaders of international and Russian sports organizations are expected to attend the tournament. Tatar-inform.ru

Society

NEW CENSOR OR CLEANER?

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NAME Business expo Gelon Kvadratnoye koleso (Square wheel) Piramida.ru Stupeni zdorovya (Steps of health) Avtomobil. Gorod. Servis (Car. City. Service) Business-consultant: news, consulting and analytics for Small Business Zelenodolsk segodnya (Zelenodolsk Today) Fashion Style Beznen awyl (Our village) Rabota plyus Obrazovaniye (Job plus Education) Tankodrom Telesem (Teleseven) Almetyevsk FARMACIA On Line Flint Cvetaria

on the application of the law on mass media, which addressed to the legality of certain actions of Republican media. For example, in one of these meetings 16 July 2010 an article of V. Yakupov called To be a Hanafis! and Actual topic of the day TV program on April 29, 2010 on Efir TV company had been considered. Someone suddenly seemed that the listed materials contain statements aimed at inciting national and religious discord. Fortunately, the experts did not find such statements. At the moment all this activity of Zaripov looks pretty harmless. Because most of the media from the black list are punished on the basis of no release of these publications over a year. However, it feels like tightened controls will add a lot of gray to heads of chief editors of the Republican media. Can we assume that the alarm bell rang? We hope not, and the initiative and activity of the new

leader is not going to harm freedom of speech in the Republic. Note: According to recent information there are currently 1256 media registered in RT, 600 of them works on a permanent basis. 112 newspapers and 28 magazines are published on Tatar language and five newspapers on Chuvash, one newspaper on Udmurt languages. By R. Nagly

TYPE OF MEDIA magazine TV-program magazine magazine newspaper newspaper newspaper magazine magazine newspaper newspaper newspaper newspaper promotional newsletter newspaper almanac

Announcement CONCERTS: 29/07/2010 Vocal ensemble a capella ExpreSSS (Moscow) The Jazz festival in the estate Sadecki Place:Museum of Fine Arts (Kazan, Karl Marks Street ,64) 05/08/2010 Libertango. Passion of Astor Piazzolla The Jazz festival in the estate Sadecki Place:Museum of Fine Arts (Kazan, Karl Marks Street ,64) EXHIBITS: Exhibition of photoclub of city of Kazan. Place:Museum of Fine Arts (Kazan, Karl Marks Street ,64) Art of France XVII-XVIII centuries. Place: Center Hermitage (former cadet schools, 3 floor ) Art of Israel to Tatarstan. The exhibition of Israeli artists come from art schools of the USSR Place: Museum of Fine Arts (Kazan, Karl Marks Street ,64) Jewelry of Kazan Tatars Place:The National Museum of Tatarstan (Kazan, Kremlin street, 2 ) Tatarstan Artists Place: Exhibition Hall of Art RT (Kazan, Karl Marks Street, 57)

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July 28, 2010

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R.Yunusov Head Editor D. Valiullin General Manager S. Saakyan Art-director

A. Miroshnichenko Art and culture D. Matveyev Columnist L. Aminova Advertisment

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