Top-five economy Putin’s new objective
Decree issued as fourth term as president begins
MOSCOW — Vladimir Putin on Monday launched his fourth term as president with an ambitious call to vault Russia into the top five global economies by developing its technological products and agricultural exports.
Putin, who has sought to restore Russia’s military and diplomatic prominence, focused almost entirely on domestic issues in his speech after taking the oath of office.
Improving the economy following a recession partly linked to international sanctions will be a primary goal of his six-year term, Putin said.
“Russia should be modern and dynamic. It should be ready to accept the call of the times,” he said in his inauguration speech in the Grand Kremlin Palace.
Putin later issued a decree calling for “acceleration of the technological development of the Russian Federation” and the “creation of a high-performance export-oriented sector in the basic sectors of the economy, primarily in manufacturing and the agro-industrial sector.”
The 65-year-old former KGB agent has been criticized for inadequate efforts to diversify the economy from its dependence on oil and gas exports or develop the manufacturing sector.
Russia’s economy was hit hard by low world oil prices and sanctions connected to Moscow’s 2014 annexation of Crimea and military involvement in the separatist uprising in eastern Ukraine, with the ruble losing half its value between 2014 and 2016.
The country recorded an anemic improvement in 2017, with the ruble recovering some of its value. But the currency dropped about 8 percent last month after new U.S. sanctions.
In the decree, he foresaw Russia becoming one of the world’s top five economies by the end of his term in 2024. That would require boosting GDP by some 50 percent; Russia currently places about 12th in rankings of world economies.
Putin made only a brief reference to global affairs in his speech, saying “Russia is a strong, active, influential participant in international life. The security and defense capability of the country is reliably ensured.”