Our round up

We look at media comment on the US-Russian summit, British plans to give development aid, and EU moves to restrict hedge funds.

The US and Russia

President Obama could have a better relationship with Russia than President Bush had, writes The Economist. However, that's far from certain. 

... Mr Bush’s policy towards Russia was both confused and confusing. One moment he was looking into Mr Putin’s eyes and finding a man he could trust; the next he was preaching democracy while failing to lift cold-war economic restrictions. Mostly, though, he was not very interested in Russia — and it showed. Russia, self-esteem wounded, claimed that America was promoting democracy to further its geopolitical interests.

Mr Obama’s combination of calmness and humility could well help America deal with a country whose national pride is dangerously spiked with a sense of inferiority. But there are plenty of pitfalls ahead. ...

Speak up

UK development secretary Douglas Alexander has announced plans to give aid to developing countries. The Guardian says while this is a good thing, more is needed to help poor countries.

... The past two years have been a crisis of globalisation, in which poor countries have been hit by a tsunami that originated in rich nations, and were not adequately protected by the IMF or the World Bank. Yet Mr Alexander said little about reform of the Washington institutions, or rethinking the rules of globalisation. Speaking up for the world's poor is certainly courageous, but taking sufficient action to protect them against the next crisis requires real political bravery....

Hedge funds

Charlie McCreevy, the EU’s internal market commissioner, has presented drafts of a directive that imposes stark restrictions on hedge funds. The Financial Times says this is a bad measure.

... The French and German governments, in particular, want to blame these foreign “locusts” and “asset-strippers” for domestic failures. …

These funds should be supervised and regulated, as they already are in much of Europe. Authorities need enough information to protect investors, monitor the financial system and see if funds are maturity-transforming banks in disguise. Measures to achieve those rather modest ends would not be terribly vicious. But what politicians in Germany and France want is to smash some old scapegoats in the face. ...