Moscow: November 13, 2007 – IR Summary - Russian President Vladimir Putin and Indian Prime Minister Manmohan Singh both had agreed yesterday to boost defence ties by a joint venture to develop a new military transport aircraft.

The major nuclear deal, which was expected to be signed by both leaders, did not come up due to international restrictions against India, even though they have agreed to go ahead in that direction.

Another major issue was to settle the long awaited around one billion dollar debts owed to Russia: both leaders agreed to settle it once for all and further agreed to use the same in developing the transport aircraft.

India’s Prime Minister Manmohan Singh said both sides were working on a deal that would allow Russia to build four more reactors at the Kudankulam nuclear power plant in Tamil Nadu. But no agreement was signed in this regard.

"We paid special attention to cooperation in the sphere of nuclear cooperation, to the sphere of military-technical cooperation," Putin told reporters.

"Defence cooperation is one of the pillars of our strategic partnership," Mr. Singh said. "We share similar world views on most of the regional and global issues."