The Japanese government has decided to reject the idea of signing a framework agreement with Russia on a peace treaty during the G20 summit in Osaka in late June, the Asahi news paper said on Saturday citing government sources.

According to the paper, the sides failed to overcome disagreements on a number of historical issues and security matters. Earlier, the Japanese side expected to prepare the framework agreement before the G20 summit due on June 28-29, where Japanese Prime Minister Shinzo Abe and Russian President Vladimir Putin are scheduled to have a working meeting, TASS reports.

By signing the deal, Tokyo wanted to confirm the 1956 joint declaration by the Soviet Union and Japan, in which Moscow states its readiness to hand over the Shikotan and Habomai islands of the southern Kuril chain as a goodwill gesture once the peace treaty is signed. After that, Japan planned to engage in negotiations with Russia on sovereignty over the remaining two disputed islands - Iturup and Kunashir.

However, several rounds of talks at the level of foreign ministers, held earlier this year, demonstrated that Russia was concerned by the possible deployment of US-made Aegis Ashore ground-based missile defense systems on those islands. Besides, the Russian side demanded that Japan recognized the legitimacy of Russia’s sovereignty over the southern part of the Kuril Islands, which became the country’s territory after World War II. Japan viewed that demand as inadmissible.

According to Asahi, ahead of the G20 summit Russia and Japan would focus on developing joint economic activities on the Southern Kurils. At the same time, Tokyo hopes that the Russian-Japanese dialogue on a peace treaty would continue in the long-term perspective.