Talks between Merkel and Medvedev underway in Munich

Talks between Merkel and Medvedev underway in Munich Munich - Russian President Dmitry Medvedev was greeted with military honours in Munich on Thursday as he arrived for bilateral talks with German Chancellor Angela Merkel.

Discussions are to include political developments in Iran, as well as the sale of GM's European subsidiary Opel.

Medvedev is likely to promote an Opel takeover bid led by Canadian car parts manufacturer Magna, and financed in part by Russian state-owned Sherbank.

The leaders are also to sign a document promoting greater economic cooperation between Germany and Russia, as well as an agreement on combatting serious crime.

The murder of rights activist Natalya Estemirova in Russia's Caucasus region on Wednesday could also be an issue during the day.

Merkel and Medvedev withdrew for one-on-one talks at Schleissheim Palace, a former summer residence of Bavarian rulers to the north of Munich.

The German and Russian economics, environment, research and interior ministers are to participate in a plenary session later in the day. (dpa)