Argentina will construct a new hydroelectric dam with Russian support, the two countries announced Wednesday.
The project was made public shortly after Argentine President Cristina Fernandez held a video conference with President Vladimir Putin. The leaders discussed the importance of deepening economic ties, according to Kremlin spokesman Dmitry Peskov, who noted the conversation took place on the 130th anniversary of the establishment of diplomatic ties between the two countries.
"This is quite an important date," he said.
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Trade between the two countries hit US$2 billion in 2014 and political relations between Buenos Aires and Moscow have improved in recent years under the Fernandez government.
“Argentina imports from Russia, and likewise Russia imports much from Argentina,” Fernandez stated.
Putin responded by saying Argentina has become one of Russia's most strategically important allies in South America.
Argentina abstained on a United Nations vote last year calling on member states not to recognize Crimea’s reunification with Russia. In return, Russia has been supportive of Argentina's claim over the Malvinas Islands, which are currently a possession of Britain.
"Russia supports Argentina's striving for direct talks with Britain to achieve prompt resolution to the Malvinas Islands dispute," Putin has said.
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Fernandez previously voiced support for Crimea's 2014 reunification with Russia, comparing Moscow's claim to the peninsula to Argentina's claim over the Malvinas. She has also accused Western nations of responding to Crimea's annexation with “double standards.”
“You can't insist on the territorial integrity of Ukraine but not of Argentina,” she said earlier this year.
The Argentine president is set to leave office after elections in December, though Fernandez told Putin her successor will likely continue her own policies.
Putin responded: “We hope that the new governing team continues the policy of strengthening relations with Russia.”
