Website of the President of Russia: Videos: Speeches

Meeting of the International Forum Peace and Trust: Unity of Goals for a Sustainable Future

2025-12-13T13:42:30+04:00

In Ashgabat, Vladimir Putin participated in the forum marking the International Year of Peace and Trust, the International Day of Neutrality, and the 30^th anniversary of Turkmenistan’s permanent neutrality.

Prior to the plenary session, the President of Turkmenistan held a welcoming ceremony for the heads of delegations participating in the International Forum, which was followed by a group photograph of the attending delegation heads.

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Remarks at the plenary session of the International Forum themed Peace and Trust: Unity of Goals for a Sustainable Future

President of Russia Vladimir Putin: Mr Berdimuhamedov, ladies and gentlemen,

I am pleased to participate in this forum, which is dedicated to the International Year of Peace and Trust, the International Day of Neutrality, and the 30^th anniversary of Turkmenistan’s proclamation of permanent neutrality.

It is symbolic that on December 12, exactly thirty years ago, the United Nations General Assembly unanimously adopted a resolution formally granting your country the status of neutrality. This day is celebrated in Turkmenistan as a national holiday, and it was precisely this date that, at the initiative of our Turkmen friends, was later proclaimed by the UN as the International Day of Neutrality.

I would like to offer my sincere congratulations to everyone on this significant occasion, to all our Turkmen friends and, of course, first and foremost, to President Serdar Berdimuhamedov, National Leader of the Turkmen people Gurbanguly Berdimuhamedov, and all the people of our friendly Turkmenistan.

Your country’s leaders chose permanent neutrality 30 years ago, and this decision has de facto defined Turkmenistan’s development as an independent and sovereign state, as a state which commands the respect and authority it deserves in Central Asia and around the world. Turkmenistan has been building on its rich historical, cultural and spiritual heritage to develop and succeed in various economic sectors and in social affairs. Your country has a balanced foreign policy and makes a meaningful contribution to strengthening regional and international security and stability, while making serious efforts to foster an atmosphere of cooperation and mutual trust in international affairs.

In this context, I would like to praise the draft Ashgabat Declaration. Prepared by our colleagues from Turkmenistan, it is designed to present the key outcomes of our deliberations at this forum. Of course, Russia supports this document and the way it affirms a commitment to the key principles governing international relations as set forth in the UN Charter. These principles include the commitment to peace and non-interference in the domestic affairs of other countries, respecting the right of countries and their people to choose their own development and growth models, their own worldview, traditions and religion. Let me emphasise that the UN designated 2025, which is drawing to an end, as the Year of Peace and Trust. The United Nations also celebrated its anniversary in 2025.

Established 80 years ago, it has been worthy of its mission. In fact, it presents a unique and often the only mechanism for balancing interests on the international stage and, importantly, for finding coordinated solutions to challenging issues by taking into consideration the positions and opinions of all countries.

We firmly believe that it is precisely within this logic, and based on the principles of the UN Charter, that truly honest, open, and mutually beneficial relations between states can and must be built in this new era of a multipolar world. A testament to this is the strategic partnership between Russia and Turkmenistan, which continues to develop successfully in a spirit of friendship and good neighbourliness.

Bilateral economic ties continue to expand. In the first ten months of 2025 alone, trade turnover increased by 35 percent, a figure that already surpasses the total for the entire previous year. Russian companies are pursuing new investment projects in the Turkmen market, while cooperation in energy, transport and a number of other sectors is being strengthened.

With the active participation of Russia and Turkmenistan, large-scale multilateral economic initiatives are being implemented, including in the Caspian region and Central Asia. The construction of the North–South international transport corridor is underway, bilateral interregional contacts are progressing steadily, and exchanges in cultural, humanitarian, and educational spheres are growing. Particularly noteworthy is the fact that more than 54,000 students from Turkmenistan are currently studying in Russia.

Our countries are engaged in integration processes within the Commonwealth of Independent States. In 2026, Turkmenistan will assume the CIS Chairmanship. In this regard, I wish our Turkmen colleagues every success and would like to assure them that the Russian side will provide all necessary assistance.

In conclusion, I would like to express my gratitude to the leadership of Turkmenistan, President Serdar Berdimuhamedov, and all our Turkmen friends for their warmth and hospitality. Once again, I congratulate everyone on International Day of Neutrality and on Turkmenistan’s Neutrality Day.

Thank you for your attention.

Meeting with President of India Droupadi Murmu and state reception in honour of the President of Russia

2025-12-06T11:11:27+04:00

The President of Russia met with President of the Republic of India Droupadi Murmu. Thereafter, a state reception was held on behalf of the President of the Republic of India in honour of the President of the Russian Federation, which was also attended by Prime Minister of India Narendra Modi.

Speeches by the President of India and the President of Russia at the state reception

President of India Droupadi Murmu (retranslated): Your Excellency Vladimir Putin, President of the Russian Federation,

Mr Vice President,

Mr Prime Minister Narendra Modi,

Ladies and gentlemen,

It is an immense pleasure for me to welcome His Excellency Mr Vladimir Putin, President of the Russian Federation, and members of his delegation.

This evening’s gathering is indeed a momentous occasion, as we celebrate the 25^th anniversary of the Indian-Russian strategic partnership. Its foundation stone was laid personally by His Excellency President Putin during his visit to India in October 2000, and this partnership was elevated to the status of a special privileged strategic partnership in 2010.

The partnership between India and Russia is based on a shared commitment to peace, stability, and mutual socioeconomic and technological development. This year has been particularly fruitful for our multifaceted partnership. Significant progress has been achieved across all spheres – high-level political engagements, trade, economy, defence, civilian nuclear energy, outer space, science, technology, education, culture, and people-to-people ties.

The joint communiqué of the 23^rd India-Russia Annual Summit reflects the unique nature of our bond and provides a comprehensive framework for the further deepening of our bilateral relations.

Ladies and gentlemen,

The dialogue between our two cultures spans centuries, from Russian travellers who visited India and Indian merchants who journeyed to Russia, to the inspiring correspondence between Mahatma Gandhi and Leo Tolstoy, and our mutual admiration for each other’s rich cultural, literary, and artistic heritage.

I am confident that our friends from Russia will recognise several familiar flavours and melodies of our shared cultural legacy during tonight’s dinner. The spirit of the confluence of two great rivers – the Ganges and the Volga – continues to thrive in our time-tested friendship and will guide our cooperation in all spheres.

Your Excellency, tonight is a celebration of the friendship between our two nations, a friendship which has remained steadfast over the years and is destined to flourish for many more to come.

Your Excellency, ladies and gentlemen,

Allow me to extend our warm wishes for the good health of His Excellency President Vladimir Putin, continued progress and prosperity for the Russian people, and enduring friendship between India and Russia.

Thank you.

President of Russia Vladimir Putin: Madam President, Mr Prime Minister, friends,

First of all, I would like to express my deep gratitude to President of the Republic of India Droupadi Murmu, and, of course, to Prime Minister Narendra Modi, as well as to all our Indian colleagues for the exceptionally warm and cordial welcome, for the constructive and open dialogue, and for the fruitful joint work during our state visit.

We sincerely treasure our strong friendship with India. The foundation of this relationship was laid in the middle of the last century, when our country actively supported India’s struggle for national liberation.

Soviet specialists played an important role in shaping the future of the Indian people, assisting in the construction of major industrial, energy, and infrastructure facilities, and contributing to the development of the space programme.

It was 15 years ago, in December, that we adopted a joint statement elevating our interstate relations to a new, even more advanced level of a special and privileged strategic partnership. This strategic partnership continues to develop successfully based on the principles of equality, mutual respect, and consideration for each other’s interests, consistently gaining new, mutually beneficial content.

Our talks with our Indian friends yesterday and today were held in a truly open and constructive atmosphere.

The final policy statement we adopted outlines ambitious plans for future cooperation in politics and security, economy and finance, transport, energy, education, and culture.

I am confident that this document, along with other significant agreements reached, will give a strong impetus to the development of our bilateral ties. Equally important is the fact that Russia and India are working together, shoulder to shoulder, to build a just, multipolar world order.

We firmly believe that such an order must be based on the central role of the United Nations and on a balanced alignment of interests among all members of the international community.

Together with our Indian friends, we coordinate our work within BRICS, which India will chair in 2026, as well as in other multilateral formats.

Overall, we work closely together to foster an atmosphere of security, trust, and peaceful cooperation across the vast Eurasian region: between our countries, among the peoples of this region, and throughout the world.

I know there is a saying in India: “Together we go, together we grow.” These words accurately reflect the spirit, nature, and traditions of Russian-Indian relations. We will do everything to ensure that our strategic partnership continues to strengthen and evolve for the benefit of our two nations.

Once again, I would like to express confidence that we will continue to advance our friendship and our special and privileged partnership, and that our nations will enjoy further prosperity. I wish the friendly people of India wellbeing, and I wish Madam President and Mr Prime Minister good health and every success for the benefit of India and its people.

Russia Calling! Investment Forum

2025-12-03T16:03:38+04:00

Vladimir Putin addressed the plenary session of the Russia Calling! forum.

The 16^th VTB Investment Forum is taking place in Moscow on December 2–3. This year the central theme of the forum is Reaching Higher: Bold Choices for the New Economy.

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President of Russia Vladimir Putin: I would like to bear out what the Minister of Finance has said: we are in favour of competition – I fully agree.

On the whole, regrettably, I will probably have to repeat what has already been said – all the best and most substantive points have already been articulated. Nevertheless, my statement retains its importance, as it confirms the complete consensus that exists in the implementation of our economic policy among the Government, the Presidential Executive Office, and the Central Bank.

The regions of the Russian Federation are not represented here. I can assure you that we work in close contact with the regions, with the business community, and overall, we operate in a sufficiently cohesive and, I believe, effective manner.

First of all, I would like to welcome the participants and guests of the plenary session of the Russia Calling! International Investment Forum. Good afternoon.

As is the good tradition, this event has once again brought together entrepreneurs and investors from dozens of countries for a substantive dialogue on issues pertinent to business and directly influencing the development of trade and investment ties with foreign states.

I am aware that the focus of your attention is on key trends in the global economy and world markets, as well as in Russia’s economy – on the specific tasks we are setting to advance business initiatives in our country, to launch new promising projects, and thereby to expand opportunities for profitable investment across various sectors. I will touch upon these topics briefly in my remarks.

As you know well, the modern world is characterised by high turbulence, largely provoked by the non-competitive practices of certain Western states. Exploiting their monopolistic position in specific markets and in the financial sphere, they impose illegitimate unilateral restrictions, seeking in this way to pressure sovereign states that pursue independent policies. In essence, their aim is to eliminate competitors and to preserve their former privileges in a rapidly changing world – that very slipping monopoly.

In the post-Soviet period, we often stated – and our Western partners at the time were keen to instruct us – that all difficulties should be overcome not through administrative or command methods, but through market mechanisms. Yet the imposition of non-market restrictions is precisely an attempt to preserve those very command methods of managing the global economy. It doesn’t work and it won’t.

Without a doubt, Russia does feel the external pressure, but our country and our economy are successfully tackling these challenges. We will continue to build a sovereign economic policy and to act in the international arena based on our own national interests and needs of the domestic business and our people, to fulfil our obligations to our foreign counterparties, and to advance cooperation with the countries that are interested in interacting with us.

Earlier, I mentioned that countries which act rationally and pragmatically make up the absolute majority. Over the past three years, we have significantly increased our trade with them, primarily our key partners, such as China and India, with which we are bound by many years of friendship and strategic interaction.

There are many representatives of the Chinese and Indian delegations in this audience. I would like to emphasise the fact that we aim to bring cooperation with the People’s Republic of China and the Republic of India to a whole new level and to expand its technology dimension. Numerous joint projects in energy, the manufacturing industry, outer space exploration, agriculture, and other areas are aimed at achieving this goal.

We have established a substantive dialogue on economic matters with President of the People’s Republic of China Xi Jinping. I will also discuss these matters, including expanding Indian imports, in detail with Prime Minister Narendra Modi during the upcoming visit to India. I am sure this import component of our strategy was addressed during this session as well. Considering trade balance-related issues this primarily concerns India

To reiterate, Russia is open to cooperation with foreign businesses in trade, the real sector, and the stock market. Our country offers great opportunities for entrepreneurs and investors, and stable key macroeconomic indicators ensure the safety of such operations.

We maintain a record-low unemployment rate of 2.2 percent. I think I will repeat what has undoubtedly been mentioned here. It was 2.2 percent in September. This figure is low not only for Russia but for most of the world’s largest economies as well.

The public finances remain stable. We made timely decisions regarding both revenue and expenditure of the federal budget. Key priorities, such as social commitments, defence and national security, as well as the objectives to achieve national development goals, have been financed in full.

The budget for the next three years has been drafted to mitigate the impact of external risks and increase the share of non-oil and gas revenues. It remains in line with the budget rules and stipulates a moderate budget deficit. Look at what is happening in some EU countries. We are planning 1.6, 1.3, and 1.2 percent of GDP for the coming years.

What else should be emphasised? Russia’s public debt, as has already been noted, remains below 20 percent of GDP – one of the lowest levels globally. This means that we continue to pursue a balanced, responsible fiscal policy and, together with consistent monetary policy measures, are achieving a slowdown in price dynamics.

In this regard, I want to stress that the decline in inflation has been one of this year’s major accomplishments. While inflation was estimated at double-digit levels in March, it now stands at below seven percent year on year. By the end of December, it is expected to be around six percent, that is, below the forecasts by both the Government and the Central Bank. I know that experts will now begin recalculating the figures using different parameters, but overall, this is the situation as it stands. And we expect this positive trend to continue.

Meanwhile, economic growth is slowing. Over the first nine months of this year, Russia’s GDP grew by one percent, with 0.6 percent in the third quarter. The full-year forecast places GDP growth in the range of 0.5 to one percent. Overall, this is what we expected. From the outset, when the Bank of Russia raised the key rate and the Government adopted its corresponding decisions, we anticipated a “soft landing.”

However, certain imbalances have emerged. In several industries, output this year not only failed to grow but actually declined. Are we satisfied with these trends? No.

Let me remind you that last December, the Government and the Central Bank were tasked with fundamental objectives. These include ensuring a transition to a balanced growth model, maintaining low unemployment and inflation, and simultaneously initiating structural economic changes, taking into account the policy of making our economy more formal and strengthening the competitive environment. We will discuss these matters in detail next week at the meeting of the Council for Strategic Development and National Projects.

First and foremost, we must strive for a more rapid pace of investment growth, increase allocations towards the development of production in the service sector, and launch new projects in industry, agriculture, infrastructure, high technology, tourism, and so forth. Over the past three years, investment has grown at an above-average rate: by 6.7 percent in 2022; 9.8 percent in 2023; and 7.4 percent in 2024. This year, the pace is more modest but remains positive overall.

What is the reason for this? In a number of economic sectors, corporate profits have declined, which is well known, meaning that the companies’ own funds for investment have diminished, whilst the cost of borrowed capital and bank loans – resources that domestic businesses have largely used to finance projects – has objectively risen. These are obvious and understandable factors.

It should be noted that in recent years our financial sector has managed to fundamentally reconfigure its operations – I want to emphasise this point separately – by replacing unreliable external sources of financing with domestic ones. As a result, the external debt of real sector enterprises has almost halved. I will tell you frankly, there was a degree of apprehension initially: would our economy and industry as a whole cope with this transition? They have coped.

Thanks to timely regulatory measures and the accumulated safety margin, the Russian banking sector is now operating confidently and stably. Whereas in 2022 the sector worked with a near-zero financial result, a profit of just 200 billion rubles, in 2023 this figure amounted to 3.2 trillion rubles, and in 2024, to 3.8 trillion roubles. According to the forecast of the Bank of Russia, by the end of 2025, the banking sector will have generated a profit of approximately 3.2 to 3.5 trillion rubles.

I am convinced that it is necessary to enhance the contribution of the banking sector to the development of the national economy, our territories, and residential communities, and to improve the return – the effect for real production – derived from the use of credit resources.

At the same time, it is imperative that bank funds, their profits, and the savings of citizens and companies are channelled towards the realisation of business ideas not only in metropolises and centres of business activity, but across all regions of the Russian Federation. To this end, every constituent entity has already implemented a regional investment standard. Development agencies have also been launched at the regional level. They are engaged in investor support, advising on how to register a land plot, apply for support mechanisms, or resolve infrastructure issues. However, projects, especially large-scale ones, often go beyond the boundaries of any particular region.

Also, in the case of foreign investments, it would be useful to have a federal perspective on where it is most appropriate for foreign partners to implement specific projects and which federal support measures they should use. For such initiatives, I propose establishing a unified investment support ecosystem that would allow entrepreneurs and companies to receive professional advice and assistance throughout the entire project lifecycle, from concept development to full implementation. I propose creating this ecosystem within VEB Corporation, with the participation of the Ministry of Economic Development.

Furthermore, it is essential to strengthen the role of the stock market as a source of investment capital, especially considering the strong interest of both individual and institutional investors in our financial markets.

For example, by mid-year, more than 37 million individual clients were registered on the Moscow Exchange, amounting to nearly half of the country’s economically active population.

Their combined assets exceeded 11 trillion rubles. At the same time, the number of institutional investors receiving brokerage services increased by more than one-third over the year to reach 50,000 with their portfolios exceeding 15 trillion rubles.

Of course, the current economic environment influences the Russian stock market. Its capitalisation has declined slightly and now stands at around 23 percent of GDP.

This year, only three companies have conducted initial public offerings. Among them was DOM.RF Corporation, our leading housing development institution, which entered the stock market. Mr Mutko, I congratulate you on this achievement. I am aware that you and your team conducted extensive work to do this, and it yielded successful results.

Clearly, the Russian stock market has significant room for expansion and new listings. Additional measures are required to increase its capitalisation so that its full potential can be leveraged for the benefit of the entire country. In this regard, I believe I can propose…

First. Investments in bonds and trust units are growing. However, rising debt is not the only instrument for expanding production and launching investment projects. For long-term development, attracting equity capital is essential.

To advance this objective, I ask the Government to develop in the near future a programme for initial and secondary public offerings by companies with public ownership. I also ask the ministries to map out sectoral plans for bringing major issuers to the stock market, providing, of course, specific and effective incentives for businesses that undergo public listing. This includes linking existing support measures to a company’s public status.

To illustrate: a borrower from the Industrial Development Fund, for instance, could become eligible for a reduced loan rate upon conducting an initial public offering, or IPO.

Second. It is necessary to enhance the efficiency and transparency of corporate governance in joint-stock companies so that their shareholders can have confidence in the security of their investments and in receiving a return.

I am aware that the Bank of Russia, together with the Moscow Exchange and with the support of the Ministry of Finance, has launched a shareholder value enhancement programme, drawing on relevant experience from Asian markets.

The programme focuses on the disclosure of key corporate metrics for investors, such as net assets, dividend yield, forward-looking statements, development strategies and so on. Participants in the shareholder value programme will form a pool of companies that will serve as a benchmark for other Russian issuers and as a mark of quality for investors.

I ask the Government to ensure that the largest joint-stock companies with public ownership join this programme by the end of next year, and to align their operational frameworks and management incentive structures with the goal of increasing shareholder value.

Naturally, we must proceed with due care. Ms Nabiullina is nodding her head – she likes it. I like it too. However, under current conditions, we must, of course, assess the actual position of our state-owned companies and fully account for all the challenges they face. Nevertheless, we must advance decisively along this path.

And, finally, third. It is important to further enhance the attractiveness of the capital market, improve investor confidence and provide for cash inflows. An increasing number of our citizens join the long-term savings programme which is an important source of long-term investments. They have already entered into more than eight million such agreements worth almost 560 billion rubles.

A year ago, I issued instructions at our forum to encourage so-called family savings. I can remind you what is all about. If parents open a long-term savings product for their children and invest funds there, then they can get a personal income tax deduction. The tax deduction amount is calculated based on the actual contribution up to 500,000 rubles per parent. So, the maximum amount per family for being eligible to a deduction will make up one million rubles. The relevant amendments have already been made to the legislation.

In addition, employers that co-finance their employees’ savings under the long-term savings programme are entitled to certain benefits. They will become effective starting September 1 next year. So we will see how these novelties can work and how businesses and individuals will evaluate their efficiency. Then, we will either fine-tune these measures or launch additional mechanisms for developing our stock market.

Friends, the feedback and permanent dialogue with the business community and investors is a key condition for improving the business climate and for strengthening investment dynamics as a prerequisite for a robust long-term economic growth. Opinions and proposals from both domestic businesses and our foreign partners, as well as an account of the best foreign practices and the assessment of our own experience, are important for solving the tasks and problems that our business community deems paramount, most important.

It is crucial that the Russia Calling! forum offers an excellent opportunity to hold an open and constructive discussion on all issues. I know that your discussion is very active. I am sure that it is very substantive and useful. I want to thank all of you, especially our foreign friends and colleagues, for being here, for showing interest in working with Russia. I wish you all the best.

Thank you for your attention.

Plenary session of the Russia – Country of Sports Forum

2025-11-07T12:05:28+04:00

Vladimir Putin delivered a speech at a plenary session of the 13^th Russia – Country of Sports International Sports Forum in Samara.

The Russia – Country of Sports Forum was established by Presidential Executive Order of July 27, 2009. This year, its theme is Sport for the Future: Winning Together.

The plenary session was held at the Vladimir Vysotsky Sports Palace.

Following his address, the President reviewed a presentation of a demonstration and educational centre for adaptive sports. Currently under construction in Samara, this facility is being built in fulfilment of the head of state’s instruction issued after the previous meeting of the Council for the Development of Physical Culture and Sport.

The centre’s grounds will feature more than 30 adaptive disciplines, which will help inform and attract a greater number of individuals with disabilities and health limitations to systematic participation in adaptive physical fitness and sport.

Vladimir Putin was given explanations by Pavel Rozhkov, President of the Russian Paralympic Committee, and Yekaterina Leshchinskaya, Chair of the Healthy Fatherland nationwide public movement for the promotion of sports and patriotic education.

Minister of Sport Mikhail Degtyarev presented the President with a unified sports kit for the national teams. The Golden Heritage collection, designed by Bosco, is crafted from domestic materials at a factory located in the Kaluga Region.

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Address by the President of Russia at the plenary session of the 13^th Russia – Country of Sports International Sports Forum

President of Russia Vladimir Putin: Colleagues, ladies and gentlemen, friends.

It is a pleasure to welcome the guests and participants of the Russia – Country of Sports International Forum.

This year, the forum is being hosted by Samara – one of the most beautiful and distinctive cities in our Volga Region, renowned for its achievements and traditions, including in sports. Many athletes whose names are etched in the annals of world sport hail from Samara.

Naturally, a bright chapter in sporting history was written in 2018, when the city hosted matches of the FIFA World Cup, held right here at the Solidarnost [Solidarity] Samara Arena – the main venue of our forum, which has long served as a meeting place for like-minded individuals devoted to sport, its ideals, and values.

These qualities, your readiness for cooperation and dialogue, and your unity in achieving goals are reflected in this year’s forum theme – Sport for the Future: Winning Together.

We all recognise the importance of sport as a universal tool for developing a person’s physical, creative, and spiritual potential, and we understand that many challenges of the modern world can only be overcome together.

Russia, like most nations around the globe, advocates for broad international cooperation based on equality, a strict respect for mutual interests, and an appreciation for national cultures.

Sport has a lofty mission: to unite people and to build bridges between nations. This is one of the essential missions and core values of international sports organisations.

In this regard, I would like to thank our partners for their recent balanced and fair decision to reinstate the rights of the Russian Paralympic Committee.

Our position remains unchanged: athletes’ access to international tournaments must be equal and based solely on their sporting achievements. There is no place for politics in sport.

For Russia, these are not empty words. When preparing and hosting competitions at all levels, we have always warmly welcomed representatives of international sports associations, committees, and federations. We create all the necessary conditions for athletes who, through tremendous work and talent, have earned the right to represent their countries. In doing so, we are guided by sporting principles, not by the state of our political relations with any given country.

I will repeat: sport, along with cultural and humanitarian cooperation, must not become a hostage to conflicts or geopolitical disagreements.

It is worth reminding ourselves that the United Nations’ sustainable development agenda identifies sport as a key factor in achieving goals for healthcare, education, and social integration. Russia fully shares this approach and incorporates it into our own national development goals.

We prioritise developing mass sports infrastructure, making it accessible to people of all ages and abilities. We are building large stadiums and sports centres, as well as smaller facilities for daily use in schools, universities, parks, and courtyards. Russia currently has over 370,000 sports facilities, and we have no intention of stopping there. We will continue moving forward.

Modern information technology is also playing an increasingly important role in developing sports. Alongside traditional sports, new disciplines such as phygital sports and e-sports are gaining popularity both in Russia and globally. We are actively working in this area and are ready to share our experience.

We will continue to pay special attention to engaging children and adolescents in sports. The values and benchmarks instilled in a person at a young age often shape their entire adult life, and fitness and sport are always a path to success.

Friends, I wish you a productive forum and all the very best. Thank you all for being here today.

Thank you for your attention. Good luck and thank you again.

20th anniversary of RT TV channel

2025-10-18T10:42:16+04:00

Vladimir Putin delivered an address at a gala evening held at the Bolshoi Theatre to mark the 20^th anniversary of the RT television channel.

Ahead of the ceremony, Margarita Simonyan, the channel’s Editor-in-Chief, accompanied by participants in the special military operation and journalists, presented to the Head of State an RT film about those involved in the special operation. The President also met with the main characters of documentary films produced under the RT.doc project.

The RT international television channel commenced broadcasting in 2005. Its output is transmitted in English, Arabic, Spanish, French, German, and Serbian. The television network is complemented by multilingual digital platforms. Furthermore, RT maintains a presence on popular social media networks in Chinese and Hindi.

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Address at the gala evening marking the 20^th anniversary of RT

President of Russia Vladimir Putin: Ladies and gentlemen, colleagues, friends.

It is a great pleasure to welcome you to this magnificent hall of the Bolshoi Theatre for the celebration marking the 20^th anniversary of the Russia Today channel.

Today, I extend my congratulations on this milestone to everyone who has worked and continues to work for the television channel, and of course, to Margarita Simonyan – your leader, the steadfast Editor-in-Chief.

Dear Margarita, we all know – and everyone in this team certainly knows – how difficult this period is for you and what your family is presently enduring. Yet at work, you invariably demonstrate courage and resolve. I am confident you will overcome this challenge, too.

Margarita Simonyan: Thank you. I promise.

Vladimir Putin: Your friends, your colleagues – they have always been by your side and will remain so.

These past 20 years represent an entire epoch in the media landscape. Russia Today has matured from a concept into a global brand now recognised worldwide. I thank your dynamic, creative, and close-knit team for the high level professionalism, dedication to your craft and duty. For boldly, selflessly, and persistently upholding the truth in the global information space.

We recall how, in the early 2000s, leading Western media outlets exploited their hegemonic position. Often – or rather, almost invariably – under the guise of objective news, they disseminated content entirely at their discretion, attempting to impose not merely new rules but an entirely new civilisational paradigm based on false moral values into the minds and hearts of millions.

To this day, it remains nothing short of outrageous when terrorists who took hostages and orchestrated deadly explosions in our cities, schools, and hospitals were referred to as “insurgents” on prominent Western channels – as if the world should sympathise with these scoundrels and child-killers.

At that time, it was difficult for us to defend the truth, to uphold an accurate depiction of events, because beyond our borders, we lacked a powerful voice. Let me underscore that Russia’s sovereignty – for which we have fought, continue to fight, and will always fight – depends, among other things, on our ability to deliver objective, unbiased information to people across the planet.

This is why RT had to emerge – and it did, 20 years ago. The company faced a formidable task: to build its operations at a qualitatively new level, both substantively and technologically. I am genuinely pleased that we – that you – succeeded. And succeeded brilliantly: millions of citizens in different countries came to trust you. Moreover, it turned out there was enormous demand for news that differed from the endless propaganda which, frankly, today differs little from the well-worn Soviet-era clichés many in this hall remember. That’s how they work.

This is precisely why, I believe, true professionals, including those from the United States, Europe, and across all continents, wanted to collaborate with you. Not merely collaborate, but work with you. Not because of the money, of course, but above all because you provided these people with a platform to express their views and convey them to millions. That is why we saw among RT’s leading figures the legendary WikiLeaks founder Julian Assange, the global television star Larry King, Ecuador’s President Rafael Correa, and many, many others.

You were rapidly gaining popularity and influence. As a result, your competitors began to envy you, and sometimes, in my opinion, not just envy, but fear you, which is a sure sign that you were one step ahead of them setting the information agenda and doing important and meaningful work. And when you made yourself truly known, those same competitors and the so-called ruling elites behind them showed their true colours. Margarita just told me about this. She regularly updates me on how they tried and continue to try to pin you down on international platforms.

For years on end, they have been lecturing us on how to live our lives, how the media should operate, how to understand democracy and what democracy is, what true freedom of speech is, and convinced us of the importance of competition, pluralism, and so on. What happened to these mentors when RT came on the air and hundreds of millions of people began watching a channel offering a different interpretation of ongoing developments?

The reaction of the elites I have just mentioned was primitive and straightforward: ban, cancel, and block. You know, when I served as director of the Federal Security Service of Russia, I tried to abolish this style of work even in an agency like the FSB. I was of the opinion that we should work more subtly by way of persuasion, we should mitigate threats differently, not the way it used to be done in the Soviet Union, which we referred to as “grab them and hold them back.” This is exactly what is happening, unfortunately, in the information sphere, with regard to your channel.

Accusing anyone of spreading propaganda and disinformation, or interfering in internal affairs does not require much effort. In fact, you were not imposing anything. You were simply offering an alternative and truthful point of view. And in doing so, you were upholding, among other things, the right of your viewers and listeners to choose. But your partners saw the very existence of such a choice as a threat to themselves. Over the years of RT’s development, you sincerely tried to build, and you did build, precisely this kind of partnership with your audiences. And you succeeded. Any monopoly inevitably comes to an end sooner or later, no matter how much those who maintain it pay to preserve it.

Today, in an increasingly multipolar world, intolerance of any sovereign and independent thought is more than just an anachronism. It is a huge obstacle to the development of mutual understanding and trust between peoples, which we all need. And this obstacle, like all others, will, without a doubt, be removed. There is no other way.

For two decades already, including thanks to RT, we have been listening to an entire palette of voices from all over the world. Residents of Asia, Africa and Latin America can now speak out, with your assistance, without regard to the approval by former colonial powers and former colonial authorities. It is very important that the RT TV channel provides its platform to journalists, scientists and experts from all over the world. And the main thing: people of different views, convictions and ethnic origin continue to watch RT and read your social networks despite prohibitions and technical obstacles. Even representatives of Western elites admit that Russia Today has a larger audience than their own TV channels.

Last year alone, the total number of views of the channel projects on social networks reached almost 24 billion and the total audience of the RT channels on the pay television platforms made up almost a billion of viewers. This figure gives us confidence that everything will go on developing in the same vein.

It is clear why. In Europe, in the United States as well as in other countries their citizens seek to preserve their national culture, the memory of generations, and oppose social inequality, destruction of the family institution and encroachments on children’s innocence. All this is consonant with the position of Russia on these issues and largely thanks to RT the world has learnt that our country firmly stands for traditional values and constitutes their stronghold in the contemporary life full of contradictions, conflicts and challenges. And we do not discriminate anybody at that, we do not prohibit anything, including in the areas that I have mentioned. We are simply trying to defend our point of view and our outlook on the modern world and the future.

I am sure that this similarity of views helps people on different continents believe in themselves, their strength and abilities.

It is hard to overestimate the contribution of Russia Today to our common struggle for a fairer and more stable world order, for preserving civilisational diversity, for the consolidation of more and more countries, people and nations around these creative ideas.

I would like to stress: you are performing difficult and intense work in your area both for the future of our people and for the future of millions of people on the planet, who are striving for real, genuine freedom.

Friends,

Journalists, camera operators, and colleagues from RT’s other media projects are consistently at the epicentre and forefront of events – perpetually on the frontline, both literally and figuratively. Fearlessness and a steadfast commitment to the truth are the defining qualities of the channel’s staff. We have witnessed this in Iraq, Syria, across the Middle East, and in various other conflict zones. Today, in the special military operation zone, you continue this tradition. Risking your lives, you report on the heroism and deeds of our soldiers and commanders.

There are countless examples demonstrating that RT employs individuals who are true to their profession, devoted to their Homeland, and unwavering in their convictions. Even foreign nationals – of whom there are many within the channel – while defending their own beliefs, assist in promoting these ideas in their own countries and among their own communities. They act with absolute honesty and openness.

Just before arriving here, onto the historic stage of the Bolshoi Theatre, we met and conversed with your colleagues working in the combat zone, filming documentaries about the heroes of the special military operation who are present in this hall. I would ask you to give them a special welcome. What was so striking? Both the fighters who have returned from the frontlines of the special military operation and the journalists working for the channel appeared as one family – because they are all courageous, heroic individuals fighting for their convictions. This is the true value of your work.

Friends,

Twenty years represent a significant milestone in the journey of your channel and your remarkable team. The world is changing rapidly: technology is transforming journalism. Social media sets new rhythms, and audiences increasingly consume news in digital formats. You are successfully meeting these challenges, remaining bold, open, and creative. RT possesses the most essential assets: experience, a professional team, and the trust of its viewers. RT fosters a free-spirited atmosphere, with many young people who represent the future, and, undoubtedly, new victories lie ahead.

I wish you continued growth, the discovery of new formats and themes in the fierce battle for hearts and minds. To prevail in this struggle, you must continue wielding your secret strategic weapon – high-precision, intercontinental in its reach – the truth.

The voice of truth, the voice of Russia, must resound loudly, confidently, and persuasively!

Happy anniversary! Happy birthday!

Margarita Simonyan: You mentioned, by the way, Rafael Correa – he is now in this hall.

Present in this hall are our friends, our colleagues from every continent, from a vast number of countries, who have come to congratulate us, including people whose ancestors would be proud of them, I’m sure. Here, for example, are descendants of Charles de Gaulle and Otto von Bismarck; here is the son of the current President of Nicaragua; there are members of the European Parliament – though I do not know what will happen to them when they return, yet nevertheless they made it here. I want to thank everyone.

I want to express a tremendous thank you, Mr President, to you for rightly noting that we work based on our convictions, that we defend our beliefs. It is a privilege to have the opportunity not merely to lie on the sofa and grumble, but to work for one’s convictions. This privilege we have thanks to you. I remember when you appointed me 20 years ago – it seemed to me the world had gone mad, and the main task was not to disgrace myself. It was impossible to imagine, firstly, that all this would be created, and secondly, that it would grow into such a colossal enterprise.

I want, in your presence, to bow. To bow to the people who work for RT – these are thousands of people who risk their lives. Yesterday, our colleague from Rossiya Segodnya was killed; a second is in critical condition, and doctors are now fighting for his life. This, unfortunately, is news that has become routine for us, it is part of our professional life. When we enrol in journalism school and receive our diplomas, we understand what we are signing up for. And yet, each time, it is always a tragedy.

What you all endure – what we endure when they fight us, as you rightly noted, Mr President – well, it rather makes us laugh. We are Russian people, even if some of us are Armenian. We grow tougher, as they say. So, it only makes us more spirited.

All the sanctions, the inability to travel somewhere, to watch something, to speak with someone – it is all such insignificance to us compared to the incredible honour and pride of serving our Motherland! Thank you, from the bottom of my heart, for this.

I congratulate everyone!

Plenary session of the 10th Eastern Economic Forum

2025-09-08T15:32:38+04:00

Vladimir Putin took part in the 10th Eastern Economic Forum.

In 2025 the Forum is held under the motto “The Far East: Cooperation for Peace and Prosperity.”

Taking part in the plenary session were Prime Minister of the Lao People's Democratic Republic Sonexay Siphandone, Prime Minister of Mongolia Gombojav Zandanshatar and Vice Chairperson of the Standing Committee of the National People's Congress Li Hongzhong. The day before, the President held bilateral meetings with each of the three officials.

* * *

Plenary session moderator Maria Rybakova: Mr Putin, honourable guests, good afternoon.

I also extend my greetings to the participants of the forum, the audience and the early risers in the western part of our country who have woken up to watch our plenary session.

Our guests of honour will deliver their statements soon. But first, if you don’t mind, Mr Putin, I would like to steal the spotlight for a moment. Just a couple of minutes to say a few words of explanation.

I should say straight away: I am not an economist. I am a news presenter with a legal education who lives in Moscow. In short, I am oriented towards the humanities. But I also go shopping quite often, and I am someone who pays attention to prices, which, frankly, sometimes surprise me. I really know very little about economics, and you know, sometimes when you are looking for answers, you go on a video platform – which, as you know, now runs a bit slowly in Russia – and there, economists tell you that everything is bad: inflation is rising and the budget has been stretched to the limit. Then you go on another platform, and there, other economists tell you that everything is fine, everything is great, that there are breakthroughs ahead, we will beat everyone, and so on.

Like any other Russian citizen, I have a question: Mr Putin, which of these economists should we trust?

President of Russia Vladimir Putin: You know, I have already answered questions of this kind. Don't take anyone at their word. The truth is, you should proceed from your own experience, rather than seeking the opinions of those who like to voice their views online. Instead, I suggest you consult the opinions of experts if you truly want to get to the essence of the issue that concerns you. I am not saying anything revolutionary here.

But even among specialists, views differ. The questions you have raised only appear simple on the surface. Take prices, for example. Rising prices are, essentially, inflation. The Central Bank is working to curb this inflation and bring it back to the well-known and necessary target of no more than 4–5 percent. But this requires keeping the key rate high, which raises concerns for those engaged in real production. Many people here in this hall will no doubt say: “This is unacceptable, it is impossible, the key rate must be sharply reduced.” But if that happens, prices will only rise further.

So the only thing I can say is this: I want to assure you that Russia’s financial authorities – the Government of the Russian Federation and the Central Bank – are acting professionally. We have always, and I want to stress this, always proceeded from the principle that a stable macroeconomic policy is the foundation for developing the Russian economy and, consequently, the social sphere. We have pursued this course for many years, at least a decade and a half, and it has consistently delivered positive results, creating the conditions for the country to move forward. I am confident this will be the case again.

Maria Rybakova: Thank you very much.

Perhaps my introduction was a little scattered, but the main point I wanted to make is this: today I would like us to talk about the economy not in abstract, highbrow terms, not about institutional economics, but about the economy that matters to ordinary people in Vladivostok, to a typical family. That is the kind of economy that concerns me, and people like me.

Let me briefly explain how we will proceed, what the format will be. I think everyone here is familiar with it. First, we will have the official part, with speeches by our distinguished guests, including Mr Putin. After that, we will move on to the Q&A session. I very much hope it will be a real discussion. I am not sure how it will unfold, because it’s not easy to argue with Mr Putin, but I will do my best.

I will now give the floor to the president of the country hosting this forum. Mr Putin, you have the floor.

Vladimir Putin: Mr Sonexay Siphandone, Mr Zandanshatar, Mr Li Hongzhong, ladies and gentlemen,

Allow me first to address the Russian part of the audience. I would ask you to extend a warm welcome to all our international guests. For my part, I wish to express my gratitude to our foreign colleagues for coming here, showing an interest in working with us, and devoting their valuable time to this forum.

Russia and Vladivostok once again are hosting participants and guests of the Eastern Economic Forum, with representatives from more than seventy countries around the world.

This year, the forum is being held for the tenth time. Let me remind you that the very idea of establishing it coincided with the launch of a new stage in the development of the Russian Far East. This major undertaking is aimed at creating broad opportunities for citizens, for young people, above all for businesses, to fully unlock the resource, industrial and logistical potential of this strategically important region of Russia, and to improve the quality of life for its residents.

Today’s anniversary forum is not only an opportunity to take stock of the joint efforts of government bodies, entrepreneurs and public organisations, but also to outline the next steps – our long-term plans for the Far East. These plans concern strengthening its role both in Russia’s national economy and in international relations, above all in the rapidly growing Asia-Pacific region.

As you know, the development of the Far East and Siberia has been designated as Russia’s national priority for the entire 21st century. This was announced in the Address to the Federal Assembly at the end of 2013.

Subsequently, the legal framework was formed and updated, and a whole range of instruments to support business was introduced, including advanced special economic zones, the Free Port of Vladivostok regime, preferential arrangements for the Kuril Islands, and the establishment of a special administrative district on Russky Island.

Ambitious plans have been rolled out to strengthen transport, energy and utilities infrastructure. Decisions have been made to support housing construction, renovation, and the development of social facilities: schools, kindergartens, clinics and hospitals, and sports complexes.

All these measures are united within the large-scale State Programme for the Development of the Far East. It sets ambitious targets for accelerated economic and technological growth and for improving the wellbeing of the population across the Far Eastern regions of the Russian Federation.

These efforts are delivering results. In recent years, the Far East has taken a leading position across many key indicators – first and foremost economic ones – outpacing Russia’s overall growth rates.

Over the past 10 years, the gross regional product of the Far East has increased more than 2.5 times, from 4 trillion rubles to 11 trillion.

During this time, 20 trillion rubles were invested in the fixed capital of Far Eastern companies and enterprises. A quarter of this amount was channelled into projects with state support in such sectors as mining, oil and gas chemistry, construction and others.

Let me name the leading regions in terms of fixed capital investment over these 10 years: Yakutia, with 4.5 trillion rubles, Amur Region, with 4 trillion rubles, and Sakhalin Region, with 2.6 trillion rubles. Together, these three account for 55 percent of all investment in the Far Eastern Federal District.

The investment dynamics in the Far Eastern regions are such that, in real terms, their volume last year was double that of 10 years ago. For comparison, across Russia as a whole the figure was 1.5 times higher. That, too, is a good result. But still, the Far East has done better.

Per capita, investment in the Far East today is twice as high as the national average.

What does this mean? It means that not only is a modern industrial base being formed, but in fact a new industrial map of the region is emerging. Thousands of new growth points have already appeared, including world-class enterprises such as the Baimsky mining and processing plant in Chukotka, the Udokan Copper project in the Trans-Baikal Territory, the gas processing plant and petrochemical complex in the Amur Region, the Nakhodka mineral fertiliser plant, the Zvezda shipbuilding complex in Primorye, the hydrometallurgical plant in the Khabarovsk Territory, and many others.

The growth of business and entrepreneurial activity, along with the expansion of economic opportunities in the Far East, forms the foundation for the region’s future development. It is important to maintain steady progress in its traditional sectors, in areas that are already on an upward trajectory, to develop infrastructure and logistics links, to ensure reliable supplies of affordable and clean energy, and, of course, resources.

I should also note that the Far East’s resource base and mineral extraction are expanding. Over the past decade, coal and gold production in the region has grown almost 1.7 times. This has been made possible in part by the declarative principle of subsoil licensing, which has enabled greater private capital involvement in geological exploration, significantly increasing the number of newly discovered deposits, including major ones such as the Lugokan gold and copper deposit in the Trans-Baikal Territory and the Roman gold and silver deposit in Yakutia.

I will separately touch on the issue of rare earth metals, which are used in high-tech industries, instrument-making, nuclear technology, electronics and other spheres.

These resources are often accumulated in dumps during the development of deposits, including here in the Far East. There is a system for registering these resources. They can be extracted and effectively used with the development of new technologies. I spoke about the launch of such programmes at the St Petersburg International Economic Forum.

At the same time, we should regularly review these valuable components throughout the production chain, including at the stage of their reprocessing and export in the form of concentrates. In addition, we must introduce advanced technologies for enriching and processing rare and rare earth metal ores. We must also encourage demand for them at new industrial facilities in Russia.

Some months ago, in February, we agreed to approve a long-term plan for the development of the rare earth metals industry. I would like the Government of the Russian Federation to do this no later than November this year.

Next, a meeting on the development of the energy complex of the Far East was held on the eve of this plenary session. Many of you have likely taken notice of it. It is clear that the demand for electricity in the region will increase with the development of the economy and the social sphere. Consequently, we must plan the construction of energy facilities so that they meet the growing demands of businesses, cities and villages, and the people. The focus is on the expansion of gas and modern coal generation, as well as using the huge potential of hydropower generation.

The hydroelectric power plants on rivers in the Far East are a low-impact electricity source, and new ones must be built. Their construction implies modern engineering and technological solutions, and our leading company in this field, RusHydro, has the necessary experience and groundwork. However, it is obvious that the development of hydropower generation calls for major investments.

Relevant instructions have been issued. I hope that the Government and our colleagues in the regions will continue to give special attention to the development of small and large hydroelectric power plants. I would like to emphasise that we are not only talking about the economic aspect. Responsible water use, maintenance of perennial runoff, and flood prevention are integral parts of the development of hydropower generation that have a direct impact on the environment, agriculture and the safety of cities and towns.

Rivers in the Far East are also natural transport arteries connecting territories and ensuring deliveries to cities and towns within the framework of the northern supply.

In this context, a separate issue is logistics. In recent years, the load on the transport system of the Far East has grown significantly. The region’s ties with foreign countries are being strengthened. All of this requires the upgrading of road and rail arteries, the expansion of seaports and the creation of modern transport hubs with automated warehouses and digital cargo processing.

We will continue modernising the Eastern railway network – the BAM and the Trans-Siberian Railway. By 2032, their carrying capacity should be one and a half times higher than at the beginning of this year.

It will also be necessary to further expand the railway links to the seaports of the Far East, which are developing dynamically, primarily through private investment. Over the past 10 years, port capacity in the region has effectively doubled. Today, it stands at almost 380 million tonnes of cargo per year.

According to the current federal project, the Far Eastern ports’ capacity should increase by a further 115 million tonnes of cargo per year by 2030.

In the Far East, transport bridges to China have already been built: the Nizhne-Leninskoye-Tongjiang and Blagoveshchensk-Heihe bridges. Plans also include the construction of new bridges, including one to the Democratic People’s Republic of Korea across the Tumannaya River, which is scheduled to open next year. It is essential to actively develop transport and logistics hubs in the vicinity of these bridges to make full use of their capacity. In addition, border crossings are being modernised. This task has also been set, as it is of considerable importance: a single transport artery is not enough, and appropriate administrative logistics are required.

I would also add that airports in every region of the Far East are being upgraded. They now handle more than 14 million passengers a year, including tourists, who are increasingly visiting these remarkable and beautiful places.

In this context, I would like to note the initiative of VEB.RF. Master plans have been prepared for the development of twelve new all-season resorts in Primorye, Sakhalin and Kamchatka. This will allow the number of tourists visiting these regions to almost double over the next ten years.

I would also highlight such landmark developments as the restoration of flights between Vladivostok and Pyongyang following the COVID-19 pandemic, as well as the launch of direct air services between the capitals of Russia and the Democratic People’s Republic of Korea. The flight on this route took place at the end of July. A month earlier, direct train services between Moscow and Pyongyang were resumed. I am confident that these measures will contribute to the further rapprochement of our countries and the establishment of stronger ties.

Of course, a particularly significant topic for the Far East, for our entire country, and for the whole Eurasian continent is the development of the Trans-Arctic Transport Corridor. It runs from St Petersburg through Murmansk, Arkhangelsk, and the Northern Sea Route, all the way to Vladivostok.

We see that interest in this route is growing, both from Russian companies operating in the Arctic and from foreign carriers. And this is not just about individual, one-off shipments, but about forming a stable cargo base.

We will develop the Trans-Arctic Corridor.

We often speak about the Northern Sea Route. But if you have noticed, I specifically said – and continue to say – Trans-Arctic Corridor, because we have concluded that we need to operate on a larger scale, and that this artery must function as part of a complex system with all the territories adjoining the Northern Sea Route and their capacities.

So, this is a comprehensive system that should integrate maritime, rail and road transport. It will allow us to use the potential of our largest rivers, such as the Ob, Yenisei, and Lena. Everything must work as a single, unified system.

Our task is not only to establish reliable and safe sea routes in the Arctic and enable year-round operation of the Trans-Arctic Corridor. There is also work, as they say, onshore: developing communications and navigation, ship servicing systems, and emergency and rescue infrastructure. And, of course, this includes modernising seaports in the Arctic and the Far East.

Incidentally, just yesterday, the multimodal hub Artyom was opened here, in the Primorye Territory. It handles containers arriving both from abroad and from Russian regions, and it is expected to improve the efficiency of northern supply deliveries.

It is very important that similar modern transport and logistics centres develop in our country, that there are more and more of them, and that cargo delivery and handling become faster and more efficient. And I would like to emphasise that it is precisely at such points, in logistics hubs, that advanced technologies, including unmanned systems, should be applied.

Next, the Trans-Arctic Corridor must primarily operate in the interests of the domestic economy and our regions of the Far East, Siberia, and the Arctic, taking into account cooperation between them and opening new opportunities for business. Here, I would like to underline two potentially significant directions for development.

First, the creation of modern shipbuilding centres. They should be capable of producing the full range of vessels needed for the route, from tugs and supply ships to bulk carriers and ice-class gas carriers, as well as ultra-powerful icebreakers.

Second, to increase the efficiency and resilience of the Trans-Arctic Corridor, we need to provide direct access for cargo from Siberia and the Urals to Arctic maritime routes.

I ask my colleagues in the Government and the Russian Maritime Board to assess the feasibility of these proposals and provide their recommendations.

Back in the day, mechanisms that were advanced and innovative for our country, such as priority development areas (PDAs), gave a strong boost to economic growth and private initiative in the Far East.

As you may recall, the law on PDAs was adopted in late 2014, and the mechanism was launched in 2015. The goal was to create truly globally competitive environment for doing business in the Russian Far East. Therefore, we developed PDA arrangements based on the best business and investment climate practices, including from the Asia-Pacific region.

What benefits does this mechanism provide today? Our colleagues are well aware of them in general, but I would like to go over them for our guests. These are, first of all, low insurance premium rates (7.6 percent for 10 years). The federal revenue tax will be zero for five years. The regional revenue tax will amount to anywhere from zero to five percent in the first five years, and ten percent in the next five years. The subsidised tax rate on mineral extraction is provided. In addition, the PDAs provide for a free customs zone, as well as reimbursement of a portion of the expenses involved in building infrastructure and issuing low-interest loans to businesses.

The reason I am dwelling on the PDA terms in such great detail is because they are unique for business, and not only in our country, but in many other countries around the world as well, for our colleagues and friends from other countries.

PDAs have proven their effectiveness. They have helped launch numerous investment projects, systematically support entrepreneurs and companies at the most important stage during construction, setting up the production cycle, and reaching design capacity. In the Far East, 18 PDAs have been created employing over 300 residents, who have invested almost four trillion rubles and created 95,000 new jobs. The Government has made several decisions to expand the boundaries of specific PDAs to accommodate new projects.

Based on existing successful experience, I propose taking a radical step and, as the saying goes, seamlessly, while keeping the terms and conditions for the existing investors unchanged, launch a single preferential regime for business throughout, I emphasise, throughout the entire Russian Far East and the Arctic. This work must begin on January 1, 2027.

The task is to simplify the use of support measures for entrepreneurs, companies and their new projects. In other words, investors should have access to incentives wherever they take their money, in every Far Eastern or Arctic region, city and town.

I would like to point out that the launch of the single preferential regime will preserve all the terms extended to investors in priority development areas. They do not have to worry that anything will be changed spontaneously. This also concerns the residents of international priority development areas. This instrument stipulates even longer-term profit tax privileges and the so-called grandfather clause – not everyone in the hall knows what it is, so I will explain this term. This clause precludes any changes in the terms of operation for up to 15 years and stipulates an individual approach and support for each investor, including foreign companies.

The legal framework is ready, and international priority development areas will start operating in the Transbaikal Territory, the Amur Region, the Jewish Autonomous Region, and the Khabarovsk and Primorye territories on January 1, 2026. We invite all interested partners to take advantage of this opportunity.

Regarding the single preferential regime for the Far East, I would like to say this: the list of incentives, their precise parameters, deadlines and industry focus will be determined by the Government together with our colleagues in the Far Eastern entities of the federation. But there are some fundamental issues I would like to point out.

Using the results achieved in the mining and processing industries and solid infrastructure, we must start a new development stage in the Far East, shaping an economy of the future, radically improving living conditions in cities and towns, training in-demand professionals and launching high-tech projects. This is the essence of the new stage. We must turn the entire territory of the Far East into a hub for high-tech projects. It is a vast territory with a sparse population and large areas where people can be employed. We must use modern methods for the development of this territory.

National projects to ensure the country’s technological leadership have already been launched. On the basis of each of these, I instruct the Government to prepare and approve an appropriate development programme for the Far East and the Arctic by the end of the year.

For a technological breakthrough, a genuinely bold approach to regulation and the legal framework for business operations is required. These must give the green light to innovation, stimulate the development of cutting-edge solutions, and facilitate their implementation in pilot and subsequently serial production, as well as in the social sphere and everyday life.

For instance, an experimental legal regime is already in effect on Sakhalin. It allows for the accelerated testing of unmanned technologies. I instruct the Government to create conditions for their widespread application on agricultural lands, in environmental protection and natural resource management, as well as at industrial and logistics sites. Why should unmanned technology not be developed in such areas? There are none of the risks that might arise in densely populated regions of the country. Moreover, life itself demands the use of such technologies. Take, for example, forest fires that break out hundreds of kilometres away from the centres responsible for responding to them. Unmanned technology is perfectly suited for use in these vast areas.

There are other opportunities for applying modern technologies across these vast territories. This is precisely where they should be deployed. However, this requires a corresponding workforce. What must be done to ensure such a workforce? Conditions must be created so that people can live here, so that they want to live here. Social infrastructure must be developed, cultural facilities must be enhanced, and so on. Otherwise, there will be no workforce, and consequently, there will be no people capable of advancing these technologies. This is a comprehensive task.

It is evident that such solutions will be in demand not only on Sakhalin but also in other regions of the Far East, including the Amur Region, the Trans-Baikal Territory, Chukotka, and so on.

In this regard, I consider it possible to extend the experimental legal regime for unmanned systems to all Far Eastern regions and expand it primarily to include such areas as the use of digital platforms, artificial intelligence, and data exchange.

In June, at the St Petersburg Economic Forum, I spoke about the importance of leveraging the advantages of electronic marketplaces. Within the framework of the experimental legal regime, I propose utilising the infrastructure of domestic information platforms for state and municipal procurement in the field of education.

There is more to it. The Russian Far East must become an advanced digital development region, especially in data circulation. Of course, this circulation should take into account matters of confidentiality and security. We talk about this all the time. We will definitely revisit this topic at the artificial intelligence forum, which will take place closer to the year end. I look forward to the Government preparing corresponding proposals.

Next up, to develop and master technologies and to establish modern production facilities, at least 100 industrial, business and technology parks with the proper areas and utilities will have become operational in Russia by 2030. At least ten such parks will need to be created in the Russian Far East and the Arctic regions. I am confident that their state-of-the-art infrastructure and capabilities will be popular with the start-up companies that are implementing promising projects and, among other things, planning to manufacture products that are designed to replace foreign analogues, including construction materials, and medical and transport equipment, to name a few.

In order to promote the development of domestic production facilities, conditions must be met for a wider use of the so-called offset contracts, when investments in new factories, workshops, or enterprises are guaranteed by state orders. It is likewise important to expand the practice of interregional offset contracts, under which production facilities open in one constituent entity of the Federation, and products manufactured under guaranteed orders are shipped to more than one region.

Financing innovative ideas and technological projects is a separate issue. Private investors and venture investment have a greater role to play under these arrangements than the state. The Voskhod Fund, which has supported about 40 companies in robotics, medicine, and space technologies, is a compelling example to back up this point.

I am asking our colleagues from the Government to carefully review the experience of this Fund and to help scale up its activities to include our technological leadership projects. Please focus on this.

In general, I believe a transparent, modern, and effective financial ecosystem must be created in the Far East. The Eastern Exchange, which is, for all intents and purposes, a Far Eastern stock exchange, is operational. I suggest working out plans for further expanding it, including financial channels, regulatory framework, and incentives for placing corporate shares.

Colleagues, developing the Far East and the Arctic, and building the economy of the future should improve the well-being of the people, increase their incomes, and lead to structural changes in employment in favour of high-skilled and well-paying jobs. This is the underlying logic and the core meaning of the strategy that we are implementing in these regions and throughout the country. To reiterate, the Russian economy must become an economy of high wages. This is not an empty phrase, not some kind of populist rhetoric. There is economic sense to it.

Over the past ten years, the average salary in the Far East has increased by 2.5 times. As of the end of last year, it exceeded 100,000 rubles per month in nominal value. The unemployment rate in the region went down from 7 percent to 2.4 percent. The poverty rate is down across Far Eastern constituent entities of the Federation. Indeed, in most of them it is still higher than the national average, and there is room for improvement. However, overall, I emphasise, the dynamics are good and positive. On average, the poverty level in Russia decreased from 11.3 percent to 7.2 percent from 2014 to 2024. Among the Far Eastern regions, poverty is below the national average in some regions, namely, 5.3 percent on Sakhalin, 5.9 percent in the Magadan Region, and 4.4 percent in Chukotka.

We remember how, amid economic headwinds and challenges in the social sphere in the late 1990s, people began to leave the Far East. It was a truly threatening trend, and reversing it was a challenge. But we are getting there. Gradually, we are getting there.

I will give you some telling figures. Since 2014, the migration outflow in the Far East amounted to 211,000 people over five years, but it decreased to 109,000 people in the next five years, which is also a lot. But it was down almost by half. Moreover, 2024 saw a migration influx, albeit a small one at 24,000 people. Not many, indeed, but the very fact of trend reversing was a major achievement.

Particularly important is the fact that young people from all over the country headed to the Far East. Since 2015, an influx of young people aged 20 to 24 has been noted for nine years in a row. Last year alone, it more than doubled compared to the year before that.

This means that you can go there to get an interesting profession, find a well-paying job, settle down, solve housing issues, start a family, and raise children. The future of our country is being created in the Far East. Young people sense it, see it, and react accordingly.

We will continue to improve the system of general and higher education in the region, encouraging it to adjust to the personnel demands of enterprises and organisations, and to take into account potential changes in the employment market due to the development of new forward-looking economic sectors.

We have agreed to open university campuses in Yuzhno-Sakhalinsk, Petropavlovsk-Kamchatsky, Yakutsk, Khabarovsk, Blagoveshchensk, Ulan-Ude and Chita, to build the second phase of the Far Eastern Federal University campus and to establish world-class campuses in the Arctic, namely Murmansk and Arkhangelsk. In other words, we will create all the necessary conditions for receiving a quality modern education.

Of course, it is necessary to support not only those who plan to move to the region but also those who were born and are living and working here, making the Far East and consequently, the whole of Russia stronger and better.

We must ensure a sustainable improvement in the standards of living for people and families in the Far East. This is a crucial aspect and the basis for creating an economy of the future.

Regarding housing affordability, urban development, the environment and the social sphere, the standards in the Far Eastern regions must rise above the country’s average within a decade.

As you know, master plans for 22 Far Eastern cities and agglomerations have been prepared with this aim in view. They include the economic development of residential areas and are designed to create a modern and truly comfortable living environment, with renovated housing and utilities, developed public spaces, parks, boulevards, children’s playgrounds and sports grounds, and a modernised social sphere.

These master plans are being implemented. To date, over 160 facilities have been built in accordance with them, including an embankment and a children’s technology park in Komsomolsk-on-Amur, a stadium in Ulan-Ude, and a roofed skating rink in Nakhodka. A shipyard has been modernised, an embankment has been built and a park has been laid out in Yakutsk. The construction of the Kamchatka Region Hospital has been completed.

It is clear that the successful implementation of these master plans depends on interaction between local authorities, including proper regard for governance elements in the urban agglomerations that comprise several municipal areas.

I would like to ask the Government, working jointly with local colleagues, to test the mechanisms of such interaction in the Vladivostok City Agglomeration, with the results of this experience formalised by 2030.

By the end of this decade, within the framework of the Far Eastern and Arctic master plans, more than 600 facilities are to be put into service. In their development, it is important to apply advanced solutions, both in design and in construction.

Next, for the financing of the master plans, we have agreed to create special sections in the national projects specifically dedicated to the Far East and the Arctic, and to allocate 5 percent of the expenditures of relevant state programmes in the social sphere, infrastructure and other areas to master plan initiatives.

I ask the Ministry of Finance to note that these decisions have been made. Yes, there is work to be done, and all of these programmes need to be carefully reviewed. But I ask that 5 percent be allocated here unconditionally, to address the tasks facing the region.

In addition, at the last Forum, I instructed that a separate limit of treasury infrastructure loans be allocated for the master plans of Far Eastern and Arctic cities. By 2030, 100 billion rubles will be directed to these purposes, primarily for the construction and upgrading of infrastructure.

Projects from the regions are already being selected locally and reviewed by the Government. I want to emphasise that resources for them are allocated to the Far Eastern regions in addition to the existing instruments of the so-called infrastructure menu. These include funds from the National Wealth Fund, the issuance of infrastructure bonds, and financing under the Modernisation of Utilities Infrastructure and Housing federal projects. All of this is an important contribution to the development of housing construction in the Far East and to improving housing availability for Far Eastern families.

If in 2015 the region completed the construction of 2.9 million square metres of housing, last year the figure stood at 4.7 million. The Far Eastern Quarter mechanism, with incentives for developers, played a role here. And, of course, the Far Eastern and Arctic mortgage programme with a low rate of 2 percent – originally covering young families, families with children, and participants in the Far Eastern and Arctic Hectare programmes – also contributed.

More than 165,000 loans have already been issued under this mortgage programme. We have extended it until 2030, and expanded it to include participants in the special military operation, employees of defence industry enterprises, doctors, and education workers. Specific age limits have been applied to these categories.

I would like to make an important clarification. The opportunity to receive a mortgage at a 2 percent rate should be available not only to teachers, but, I emphasise, to all employees of state and municipal educational institutions in the Far East and the Arctic. I ask the Government to make the necessary amendments to the regulatory framework. These are funds that, even under current conditions, are quite manageable, and I ask that this be done.

I also propose using the Far Eastern and Arctic mortgage programme for the secondary housing market as well, not just primary market, but specifically in those urban areas without blocks of flats, where developers do not offer anything. Of course, the year of the construction and the condition of the buildings will need to be assessed before a mortgage loan is issued. I am asking our colleagues to have a careful look into that.

We have discussed this in relation to other regions. Subsidised arrangements must definitely be allowed on the secondary market. Well, what if no new housing is built there? Please work it through. This decision must be made.

The housing issue is the key to improving the demographic situation. Families in the Far East are paid one million rubles for the third baby, rather than 450,000 rubles as in the rest of the country, which makes perfect sense. All of that together produces the result that I just talked about. Young people are coming here.

Initially, this support mechanism was introduced in the Primorye Territory, and then in seven more regions. Twenty-five percent more third and subsequent babies are born into Far Eastern families than the national average. It is also a telling indicator. Since this payment of one million rubles is used to pay off mortgage loans, I think the right thing to do is to make the Far Eastern and Arctic mortgage programme available to all families in the region with three or more children. To reiterate, to all large families, regardless of the age of the parents. We had a cap of 35 years. But now women give birth at 35, 40, and even older. God bless them. The more babies we have, the better.

Of course, Far Eastern families, families with children should be provided with social facilities such as outpatient clinics, kindergartens, schools, and hospitals.

Building such facilities at the expense of businesses, or more precisely, strategic partners that carry out major investment projects and conduct large-scale production operations in a particular population centre is a popular approach in remote Far Eastern urban and rural areas.

As a reminder, last year we agreed to create such a convenient mechanism, so that businesses could use their own funds to build social facilities when they are building their production facilities. They would build social facilities concurrently and then transfer them to regional or municipal authorities and have their expenses reimbursed. How will the reimbursement work? By way of future tax deductions when an enterprise becomes operational.

I would like the Government and the VEB.RF corporation – Mr Shuvalov, please note that – launch this tool widely and use budget resources that are set aside to cover investment tax deductions. Without a doubt, public-private partnerships and concessions should be used widely as well.

In this regard, I count on VEB’s energetic participation in further improving concession and PPP mechanisms. I am talking about creating a national standard and financing model in this area, which should ensure transparency and a common understanding of the terms of public/private partnership in socially important projects. This is a simple mechanism, and there is nothing important here. The budget will not be overly burdened by it. It is a quite feasible project.

Colleagues,

The Russian Far East and the Asia-Pacific region as a whole is an area of dynamic change and burgeoning growth. We should maintain high rates of positive change, improve the structure of the domestic economy, increase the technological efficiency of all spheres of life, and more effectively use the resource, production, logistics, and research potential that the Far Eastern regions and the country as a whole possess.

To be able to do this, we need to widely implement bold innovative solutions. All of that must be reflected in the regulatory framework and business environment, as we continue addressing issues that define the quality of life of our citizens. All of that should be done in a timely manner.

Such approaches have proven themselves in the Far East and the Arctic. We will continue developing them and adjusting them to the needs of people and the needs of businesses and regions. We will use them to ensure Russia’s national interests.

Of course, the success of this work largely relies on a systematic and comprehensive approach, the ability to look forward, to see prospects, to set big goals, and to set the plans to achieve them. Based on the outcomes of this forum, I am asking the Government to approve a long-term Strategy for the Development of the Far Eastern Federal District to 2036. Please do that within the next 12 months.

Much is being done in the Far East and the Arctic, and a lot more will need to be accomplished. Importantly, and I want our foreign friends to hear me, we are open to everyone who is willing to take part in this work.

Thank you for your attention. Thank you.

Maria Rybakova: Thank you very much, Mr Putin.

I have a quick question to follow up on that. The Far East will be just fine near-term and long-term as well. We can breathe a sigh of relief.

Traditionally, we have two main economic forums in Russia: the Far Eastern Forum, which has always been oriented towards Asia and the Pacific region, and the St Petersburg Forum, which, I think, has always served as a platform, or a small window to Europe.

If you look at our main symbol – the double-headed eagle – it also looks to the West and to the East. You had quite a fulfilling trip to China for the SCO summit. One can get an impression that the eagle is now looking to the East with its both heads.

A group photo of you, Xi Jinping, and Narendra Modi has made it to tabloids around the world. It was dubbed a new alliance of the elephant, the dragon and the bear. My question is: what place does the bear have in this alliance? What is it in this group?

Vladimir Putin: A bear is a bear.

Maria Rybakova: But bear is a fairly tough animal, Mr Putin.

Vladimir Putin: You just said that our eagle is looking to the East and to West. But there is also South.

Maria Rybakova: Alright, let us say the eagle is looking southeast.

Vladimir Putin: I have discussed this issue with my colleagues many times. What I was saying is that our interaction, our expanded interaction and joint work with our friends from the Asia-Pacific region and the Global South has nothing to do with the current political developments.

Look, President Xi Jinping and I took up this major effort 20 years ago. It has nothing to do with the current circumstances, but is related to our respective national interests. Our economies are complementary, we are neighbours, and we share many common interests, common approaches, and common values. To be sure, traditional values.

We, in Russia, knew the inner workings of the global economy. What are they? The whole world knows well that it is growing at a fast pace featuring new areas of focus and growth points. Naturally, we are guided by this, all the more so as we enjoy excellent neighbourly relations with many countries, including the People’s Republic of China, India, and Indonesia. Please note the pace of growth in these countries: Indonesia has almost 300 million people. That is quite a market.

There are small, but rapidly growing countries, such as Malaysia, Thailand, and Vietnam, with which we have had special relations for decades. Why would we not put all of that to good use? It is a natural thing to do. This is not a pivot anywhere. It is simply an answer to objective processes occurring around the world and in the global economy.

We have never refused to cooperate with those who wish to work with us, including in other countries across Asia. At the moment, I simply do not want to put anyone in a difficult or awkward position. Companies from certain countries that face some problems due to the current political circumstances have not left our market; they are still there, they continue to operate and even seek to expand cooperation.

For political reasons, many European companies have exited – yes, at a loss to themselves. We are aware of this and remain in contact; many are eager to return as soon as political restrictions are lifted. We do not turn our backs on anyone. Contrary to suggestions that we are “looking elsewhere,” we are not… Our foreign and economic policies remain stable and predictable.

In my view, this represents a clear competitive advantage, as stability is crucial for business. We have not turned away anyone or forced anyone out. Those who wish to return are always welcome, but based on the conditions that are developing at the moment.

Regarding the dragon and the elephant dancing together – this analogy was originally made by President Xi Jinping, not me – later the bear was added. The bear, of course, symbolises Russia. But we are staying in the Far East, and here we also have the world’s largest tiger – the Ussuri tiger, which is a Russian tiger.

Maria Rybakova: Continuing with the theme of returns:

Overall, it seems to me that there is a global trend towards protectionism. In other words, it appears that many countries prefer focusing inward, supporting domestic business rather than attracting external competitors. I want to emphasise that this is just my observation and my opinion – I am not an economist and would like to hear your opinion.

What do you think: is this policy, which seems to be actively pursued in some countries, beneficial or not?

Vladimir Putin: This approach is harmful, both to those who adopt it and to the global economy and international trade. It fosters separatism, both regional and national. Nothing positive comes from pursuing such a policy, as today’s world is highly interconnected and driven by possibilities and technological development. Isolating oneself within a purely national framework is difficult and counterproductive, as it inevitably undermines competitiveness.

We proceed from the fact that Russia is open to cooperation with all countries of the world, and above all with those who are willing to work with us, with our friends. At the same time, we are not shutting ourselves off from anyone. I believe the vast majority of those who are present here, if not everyone, will agree with me: such openness is beneficial to everyone who adheres to this point of view and this policy.

Maria Rybakova: Thank you.

Vladimir Putin: As they say in such cases – thank you for your support.

Maria Rybakova: Exactly. Thank you for your support.

Next, I would like to turn it over to the Prime Minister of the Lao People’s Democratic Republic. Mr Sonexay Siphandone, please come up to the podium. You have the floor.

Prime Minister of the Lao People’s Democratic Republic Sonexay Siphandone (retranslated): Your Excellency Mr Putin, President of the Russian Federation.

Ladies and gentlemen.

It is a genuine joy and honour for me to participate in this forum. I was very happy to receive an invitation from President Putin and to come to Vladivostok. This is my first time in this city.

On behalf of the Government and the people of the Lao People’s Democratic Republic, I would like to express my sincere gratitude to His Excellency President Putin and the Government of the Russian Federation for the warm welcome extended to me and our delegation.

I would also like to thank you for the excellent organisation of the 10^th Eastern Economic Forum. I am absolutely sure that this forum is an important driving force in promoting cooperation in the sphere of economy, social development, and cultural interaction. This forum contributes to improving the quality of life in the Russian Far East and in the Asia-Pacific region as a whole.

Our meeting today clearly demonstrates Russia’s leading role as it strives to promote international cooperation within bilateral and multilateral formats. This also applies to political and economic interaction, as well as to promoting innovative technologies and designs.

Today, we have found ourselves in an extremely difficult situation, where changes in the international arena are absolutely unpredictable due to the geopolitical situation, with existing problems, primarily caused by protectionist measures that some countries are introducing in an attempt to compete and even hinder the growth, accelerated growth of other countries.

This is aggravated by a number of other problems, including natural disasters, climate change, exceedingly rapid development of modern technologies, and innovative technological solutions, especially the introduction of artificial intelligence.

We are facing the problem of instability on the energy and raw materials markets. Food also poses certain problems. We are witnessing crises in this area as well.

These problems must be solved in order to ensure global peace, prosperity and stability now and in the future. In order to solve all these problems, we must cooperate. We must use the existing consultative, multilateral and bilateral mechanisms that are based on the principles of mutual respect and compliance with international law. This is an important mechanism that often requires certain reforms in order to properly reflect the current situation and to meet its challenges.

The theme of this year’s forum is “cooperation for peace and prosperity.” This choice is highly relevant in today’s circumstances, because without peace, prosperity cannot be achieved. Conversely, without prosperity, peace cannot be truly sustainable or lasting. That is why we must work together to ensure that the concepts of prosperity and peace go hand in hand.

Your Excellency, ladies and gentlemen,

The Far East brings together a number of countries with enormous potential. We can see that the Russian Federation plays a key role as a driving force for strengthening cooperation in this region, both in bilateral and multilateral formats.

Above all, associations such as BRICS, the Asia-Europe cooperation framework, the SCO, and others contribute significantly to advancing regional economic cooperation. These formats are based on the principles of mutual respect and the independence of their members.

Laos also seeks to promote cooperation within the framework of open and inclusive mechanisms. We believe that only through such cooperation can we find effective solutions to modern challenges. It is essential to make use of international mechanisms that continue to remain relevant in addressing these problems.

For the Government of the Lao People’s Democratic Republic, it is essential to create a more favourable economic environment for attracting investment and expanding trade.

Among other measures, we are working to establish and develop special economic zones and industrial parks across the country. We have also eliminated unnecessary bureaucratic barriers in order to make the process of attracting direct foreign investment as comfortable and transparent as possible.

We have also updated the investment law, introducing a number of provisions that make investing in our country more attractive to both domestic and international partners.

Our focus is on the most promising sectors: agriculture, renewable energy, geological exploration, manufacturing, pharmaceuticals, education, technology, services, tourism, transport, infrastructure projects, and logistics.

I would also like to stress that Laos is the only ASEAN member state without access to the sea. This makes it especially important for us to maximise the advantages of our strategic geographical position. Our goal is to ensure connectivity through land transport routes and thereby contribute to the development of logistics across the region as a whole.

Our government makes considerable investment in infrastructure and the construction of high-speed railroads across the entire country. We also continue to extend transport and logistics connectivity with friendly countries to become a regional hub for investment and trade. Tourism obviously plays a major role in that respect.

It is thanks to such policy and measures that the Lao People’s Democratic Republic has earned trust and recognition at regional and international platforms. I would like to note that Laos held the 2024 ASEAN presidency during which we identified nine priority tracks.

All of them concerned the promotion of greater connectivity and sustainability of the region built around ASEAN’s three major principles. We had a very fruitful ASEAN presidency, and we remain loyal to the declared principles, namely, the principle of ASEAN’s central role.

Today we can safely say that ASEAN is a community which has proved its commitment to peace and regional cooperation, acting invariably in the spirit of mutual assistance, in accordance with the path ASEAN has chosen.

Therefore, the Lao People’s Democratic Republic believes that enhancing ASEAN requires the promotion of economic cooperation and connectivity in the overall region. We will continue to augment regional integration and connectivity.

Your Excellency,

ladies and gentlemen,

The Lao People’s Democratic Republic is open for cooperation with all countries to achieve the goals of promoting peace, stability, prosperity and wellbeing in the region and worldwide.

It is in this spirit that I would like to invite you all to visit Laos so as to learn about our rich culture and beautiful nature as well as to see your potential in fostering cooperation and making investment in our country.

Also, on behalf of the Government and the people of Laos, I wish every success to the 10^th Eastern Economic Forum here in Vladivostok. I hope it will remain a venue for free exchange of opinions, for cooperation and building a future where all countries have equal opportunities.

I would like to express my sincere gratitude to President Putin, and thank and congratulate him on the successful holding of the forum.

Your Excellency, ladies and gentlemen, I wish you all good health and successful performance of all your duties.

Thank you for your attention.

Maria Rybakova: Thank you very much for your kind words. Thank you for the invitation, I will gladly accept it as I have never been to Laos.

In addition to what you have told us now, I would like to separately discuss an amazing thing. You are now the biggest exporter of electrical power. You are even nicknamed as a Southeast Asia battery.

How did you manage to increase it in such amounts so fast? Respectively, we may also learn on your example, the more so as Vladimir Putin said we must also build hydroelectric power stations and increase the fuel and energy complex in every possible way.

I beg your pardon, we have technical issues with translation.

Mr Putin, I will have to ask you then. Yesterday, you had a major meeting, where you discussed the fuel and energy complex in the Far East, and the importance of investing in expanding it.

My main question is where will the money come from? We are talking enormous amounts of funds, the volumes are large, and the goals you have set are, let us say, quite serious.

Vladimir Putin: Money is always important, but not the main thing. The main thing is to properly organise work, to identify priorities, and to establish interaction between various entities that have been assigned a common task.

This common task is for the regional authorities to, on the one hand, come to terms with investors and, on the other hand, investors must guarantee – some of our colleagues present here, for sure, are planning to do something – and these investors must guarantee the consumption of this energy, meaning that those who will produce it must be sure that as they invest money in creating energy capacities and grid facilities, their efforts will not be in vain, and things will not hang up after they spend their money.

The first thing that needs to be done is to organise joint work, and then to look for the latest technologies and investors who are ready to use these technologies in conjunction with the oversight organisations in charge of monitoring the fragile ecosystem of the Arctic and the Far East. This is the common task.

In that case, money will not be a problem, because the invested funds will pay back quickly. Ultimately, this will benefit the budget as well, since it will receive more tax revenue from the effective and competently organised work at new enterprises.

Maria Rybakova: What about supporting the industries? I mean the coal industry which is going through difficult times. You mentioned gas yesterday and said that we may face gas shortages in the Far East and volumes must be increased. How do you see solutions to these problems in these particular industries and who should we start with?

Vladimir Putin: You mentioned coal miners, who, like you said, are going through difficult times. Times are difficult in the sense that our coal mining industry is large, and the situation on international markets has changed, but we must largely focus on the domestic needs and the domestic market. This is my first point.

Second, to reiterate, we possess large amounts of coal in the Far East that will last 900 years. In order for us to use them effectively, we need the latest technologies. This is what we need to focus on in the first place.

If the domestic market consumes the volumes we need, we will be able to use it effectively, and we will simply have no difficulties with the situation on international markets, since it will be irrelevant. We will then be able to regulate the work of all industries, including coal mining, in the ordinary course of business. This is what we should strive for, and this is one of our critical goals.

The situation on international markets matters, no doubt about it, and we must take it into account. But in order to be more flexible and more sustainable, we must rely primarily on the domestic market.

Maria Rybakova: Thank you.

I would like to invite our next speaker. Prime Minister of Mongolia, Gombojavyn Zandanshatar, you have the floor.

Prime Minister of Mongolia Gombojavyn Zandanshatar (retranslated): Esteemed President of the Russian Federation, Mr Putin,

Esteemed Prime Minister of the Lao People’s Democratic Republic Sonexay Siphandone, esteemed Member of the Politburo of the Central Committee of the Communist Party of China Li Hongzhong!

Ladies and gentlemen!

Allow me to extend my greetings.

Mr Putin, I would like to sincerely thank you for your kind invitation to participate in the Eastern Economic Forum, which grows in significance and scale with each passing year. It is a great honour for me to take part in the jubilee tenth Eastern Economic Forum as the head of the executive power of Mongolia.

The regular assembly of the Eastern Economic Forum, along with its discussions on key issues of international and regional economic development, investment, infrastructure, energy, and environmental cooperation, is of great importance for shaping the future trajectories of our countries. This has firmly established the forum as a vital mechanism for dialogue in the Asia-Pacific region. I am confident it will continue to serve as an authoritative platform for meaningful discussions.

This year’s theme – Far East: Cooperation for Peace and Prosperity – is both timely and highly relevant. I believe that our deliberations here will help chart new avenues for joint development.

Amid large-scale political, social, and economic changes on the global stage, our countries are facing complex challenges in the social and economic spheres, including rising prices and persistent logistical and financial difficulties.

I am confident that the Far Eastern region – home to the majority of the world’s population and accounting for one-third of global GDP – will play a decisive role in the future. For this reason, Mongolia is keen to deepen trade and economic ties and to expand investment, particularly with the states of East and Southeast Asia.

Along with our geographical advantages, Mongolia boasts abundant natural resources as well as a young and skilled workforce. The Government of Mongolia has been pursuing consistent policies to harness these assets, attract investment, and foster trade and cooperation, and these efforts are already delivering results. Over the past three years, our economy has grown at an average annual rate of six percent, contributing to the region’s stable development.

The Government will continue its work on diversifying the economy, strengthening macroeconomic stability, creating a favorable business climate, and enhancing the openness of foreign trade.

Ladies and gentlemen,

We are currently celebrating the 80th anniversary of the end of the Second World War, an event that has been ingrained forever in the history of humankind including the peoples of Mongolia, Russia and China.

Our countries, eternal neighbours and strategic partners, keep strengthening and fostering bilateral and trilateral relations, overcoming all barriers, as we are set on expanding mutually beneficial cooperation.

Ten years ago, the three countries’ leaders signed a roadmap of cooperation between Mongolia, Russia and China, and identified the priorities of trilateral interaction. Several days ago – in fact, three days ago – the leaders had a meeting in China to discuss further cooperation plans.

I want to stress that Mongolia is ready to actively participate in the alignment of the Steppe Road Initiative, the Eurasian Economic Union, the Belt and Road Initiative, and also to promote and deepen the implementation of the economic corridor with Russia and China. We will ensure stable and fruitful participation on this track.

The programme of establishing an economic corridor Mongolia-Russia-China designed to develop and enhance comprehensive cooperation within the strategic partnership between Mongolia, Russia and China, will definitely enhance political trust, attract investment and contribute to regional integration. In this context, Mongolia has always had highest regard for the significance of and prospects for the 33 projects of the economic corridor. We believe that laying foundations for mutually beneficial cooperation, especially in road transport, helps attract investment from international banks and financial institutions. Regular trilateral meetings on the implementation of these projects also promote their advancement.

The parties have also agreed in principle on another major project – construction of a gas pipeline across the territory of Mongolia. I would like to declare with full responsibly from this rostrum that the Mongolian government is committed to rendering every possible support to this mega project. We believe this project will unveil new economic opportunities, will be beneficial for the environment and strategically important. It will become a project of great significance for trilateral cooperation.

Esteemed Mr Putin, I express sincere gratitude to Alexei Miller for this project. Thank you.

In addition, our countries are also discussing an upgrade of the central transport corridor connecting our three nations, setting up new railway interchanges and the development of cross border checkpoints which meet international standards. These are all strategically important and economically advantageous projects. We think the implementation of these programmes and projects contributes to expanding trade and transport links between Russia, China, Asia and Europe and also steps up regional cooperation.

An interim agreement on free trade between Mongolia and the Eurasian Economic Union and its member states was signed at the meeting of the Eurasian Economic Commission Supreme Council in Minsk last June. Under the agreement, tariffs were cut on 367 goods and temporary customs duties on some goods were completely scrapped, which was in important step forward in regional economic integration.

Ladies and gentlemen,

The Eastern Economic Forum will help open up new opportunities to fight crises in the Far East, Asia and the Pacific Region, invigorate regional cooperation in the economy and other areas, and also launch new important joint projects and programmes.

We are totally ready to expand cooperation and to advance the development of the region together. Over the past time, we have initiated a multitude of programmes and measures to enhance integration. Stepping up these efforts, filling them with new content will definitely serve our common interests.

I wish all the participants of the Eastern Economic Forum success, achievements in work, and good health.

Thank you.

Maria Rybakova: Thank you very much.

I have a follow-up question. Mr Gombojavyn Zandanshatar, you mentioned the Power of Siberia. Mongolia took an active part in the SCO Summit when a trilateral meeting was held.

I have the following question – I was looking for information which was not available until now – will you buy our gas or will you render transit services only?

Gombojavyn Zandanshatar (retranslated): We are engaged in trilateral efforts to lay that gas pipeline from Russia across Mongolia to China. At present, all technical and economic aspects have been completed, including research.

It is a large-scale trilateral project. The parties agreed in principle on laying this gas pipeline.

I can say with all responsibility that we are fully prepared for the construction. We attach great importance to laying this pipeline in a proper way. At today’s meeting with Alexei Miller we had a detailed discussion of all the relevant issues, how to implement this project efficiently and without any failures, and also to ink a trilateral intergovernmental agreement.

Mongolia is not only a transit country. It can also buy and consume natural gas, connect its big cities to this gas pipeline, that is, build a gas distribution network. It will contribute to industrial development and mitigate environmental disasters such as winter smog in Ulaanbaatar, and will offer new opportunities for Mongolia’s economy. It will become a strategically crucial natural resource to solve current issues. Under the project, 50 billion cubic metres of gas will be transferred by that pipeline annually. It is evidently one of the biggest projects of the century. I believe it will also involve a lot of organisational efforts.

I would like to thank and congratulate everyone on this project.

Maria Rybakova: So are you ready to buy gas?

Gombojavyn Zandanshatar: Research work is currently underway. The devil is in the details, that’s why more research and discussions are needed.

Maria Rybakova (addressing Alexei Miller): I ask you to place it on record, Mr Miller, that I have just reached an agreement, as it appears.

Mr Putin, obviously, the next question is a logical follow-up on our discussion of the Power of Siberia. The memorandum has been signed and caused a stir. Everybody had a sigh of relief, as it seemed to me. The term of the agreement is 30 years. I have not seen the specific price. As I understand, it must be a commercial secret, yet they say that the prices will be lower than in Europe, at least.

There was a Soviet joke that we are giving our oil to Europe through “Friendship.” What do you think, are we going to give the “power” of our Siberia to China?

Vladimir Putin: This is a mutually beneficial project.

As for prices, they are based on the market and are actually estimated using the same formula as for Europe. The formula is the same but its components, the prices of various products, which make up the gas price, they are simply different in different regions of the world. The prices in Europe differ from those in Asia. And the formula to determine the price is the same, it is absolutely market-based.

We had long talks and every time when participants in the economic activity are talking and trying to find a solution – and most of the people here are like those – everybody understands well enough: this is not an easy process yet everybody is striving to reach the result both negotiating sides are interested in.

Gazprom and its Chinese partners have reached such a result in the course of their years-long efforts. I can only congratulate them all once again. It is really one of the major energy projects in the world.

Maria Rybakova: Thank you.

Since we have approached the energy projects anyway, I still want to listen to the story about how Laos managed to make such a stride. I want to ask how you could become the main power source? I understand that our technical issues have now been resolved. Mr Sonexay Siphandone, please tell us the secret of your energy market. How did you manage to achieve such great results? Why does everybody want to connect to your power source?

Sonexay Siphandone (retranslated): Thank you very much for your question.

This is a very important question. We consider the electric power to be a priority area for us, like oil and natural gas. The thing is that we are a country that purchases 100 percent of its oil and gas, and for this reason the electric power is important for us, and it is also green power. Our government encourages a broader use of electric power.

We also regard the development of hydropower engineering as a priority, as we have abundant water resources and many rivers in our country. All this allows us to build a large number of hydroelectric power plants. Ninety-five percent of the energy that we produce comes from hydropower engineering. The total capacity exceeds 12 million megawatts. We plan to increase this figure to 30 million megawatts.

Still, given the climate changes and other calamities, the problem looks still greater for us, especially during the rain and draught seasons. This is why we resort to other, alternative energy sources. Specifically, we use wind and the solar energy.

We would like to thank President Putin, after our President visited Russia at the end of July. During the talks, peaceful use of nuclear energy was discussed, as well as the use of nuclear energy products in medicine. We talked about cooperation in agriculture. I firmly believe that cooperation with the Russian Federation will make it possible for us to develop our energy sector, and it will develop in a more stable manner. Moreover, we will ensure stability in the production and consumption of energy.

Of course, we cannot speak for entire Asia, but given our development priorities, we focus on advancing technology and science. We are creating a network of metadata centres to develop the ICT sector, and all of this requires energy. Therefore, we give priority to meeting domestic demand for energy and then export energy to neighbouring countries.

We are developing a power transmission network in order to cover more Asian countries.

Previously, we exported electricity to Vietnam, Cambodia, and Thailand. We also exported electricity to Singapore and Malaysia. Nowadays, we are beginning the second stage of all these projects. Yes, these are all priority areas for us, but, I repeat, energy must be provided first for our own domestic consumption and also meet the needs of neighbouring countries if we export this electricity there. There are very good prospects for our sector. I have just described them.

Thank you.

Vladimir Putin: We are discussing cooperation in the Asia-Pacific region. You keep bringing me back to cooperation, say, with our friends and allies in the People’s Republic of China. We have not yet talked about India: there are many plans there, too. But the Asia-Pacific region also includes, say, the United States. And there are many interested parties there who want to resume or begin new work with us.

We are talking about the Asia-Pacific region. We have received excellent proposals for working with US companies in Alaska: they have resources there, and we have technologies for extracting and liquefying gas that are much more effective than those that some of our American partners have. They know this, and at the level of economic players, companies are ready for cooperation. It does not depend on us. We are also ready, but if any political decisions are made there, we will move in this direction, and we can work together in the Arctic, too.

By the way, we have already discussed possible work in a trilateral format on some of our Arctic fields with our Chinese friends. In fact, all these options are being discussed, they are on the table. We only need a political decision. This is possible, and cooperation in both gas and oil would be mutually beneficial.

Maria Rybakova: Mr Putin, what do you think is the obstacle now preventing us from starting this as soon as possible? What is putting spokes in our wheels?

Vladimir Putin: This is not a question for me. We are not putting spokes or anything in any wheels.

Maria Rybakova: I see.

Vladimir Putin: Initially, you asked about our eagle, which is one of our symbols. It looks in one direction and in the opposite. Look at the eagle now. Did we turn away from anyone? No, we did not turn away from anyone. The eagle continues to look both ways.

Maria Rybakova: Thank you.

I would like to give the floor to Li Hongzhong, member of the Politburo of the Communist Party of China Central Committee and Vice Chairman of the Standing Committee of the National People’s Congress.

Please, the floor is yours.

Li Hongzhong (retranslated): President Putin, Prime Minister Siphandone of Laos, Prime Minister Zandanshatar of Mongolia.

Ladies and gentlemen, friends,

I am delighted to meet you all in Vladivostok, the pearl of the Russian Far East, at the 10th Eastern Economic Forum.

This year marks the Forum’s tenth anniversary. A decade ago, thanks to the initiative of President Putin and his personal support, the Forum’s remarkable journey began here.

Over the past nine years of dedicated work, the Forum has grown into a vital platform for fostering cooperation in the Far East and advancing regional development.

It has become a powerful driver for unlocking the potential of the Russian Far East and strengthening the economy of Northeast Asia.

Over the past nine years, we have witnessed not only the growth of the Forum, but also remarkable progress and breakthroughs in the history of China–Russia relations. Under the strategic guidance of President Xi Jinping and President Vladimir Putin, political mutual trust has deepened steadily, while comprehensive cooperation between our two countries has continued to expand.

The breadth, depth, and high quality of our bilateral cooperation reflect the vitality of interregional ties and exchanges. In this context, I would like to highlight the strong momentum of cooperation within the Northeast China – Russian Far East framework, made possible by the personal attention and efforts of our two heads of state.

For many years, China has remained the largest trading partner and leading external investor in the Russian Far East. In 2024, trade under the Northeast China – Russian Far East framework reached $105.8 billion, representing 43 percent of total bilateral trade and serving as a key driving force in China–Russia economic relations.

Ladies and gentlemen,

Friends,

This year marks the 80^th anniversary of the Chinese People’s War of Resistance Against Japanese Aggression, the Great Patriotic War, and the world war against fascism. Eighty years ago, in the face of the evil forces of fascism, China, the Soviet Union, and other peace-loving countries and peoples stood firm in defending historical truth and justice, and delivered a decisive rebuff.

China and the Soviet Union, as the principal theatres of World War II in Asia and Europe, endured enormous sacrifices and made a historic contribution to the victory in the world anti-fascist war.

In May and September, Chinese President Xi Jinping and Russian President Vladimir Putin took part in the celebrations of the victory anniversary in Moscow and Beijing. They defended the outcomes of World War II and the principles of international justice while calling on the entire world to remember history and open a path to the future.

Ladies and gentlemen,

Friends,

Today, the world is undergoing profound and accelerating changes. Global challenges are not diminishing, and the lack of global governance is becoming increasingly acute. Many issues transcend the internal affairs of individual states and cannot be resolved by any country alone.

Just a few days ago, President Xi Jinping put forward an initiative on global governance at the SCO Plus meeting. This initiative focuses on the vital question of what kind of global governance system should be created, and how it can be reformed and improved.

This represents China’s vision for effectively addressing global challenges and deepening international cooperation. It reflects the expectations of many stakeholders, demonstrates the responsibility of a major power, and expresses its desire to build a community of shared destiny for humankind.

China and Russia are influential powers and constructive forces supporting global strategic stability and advancing global governance. We are ready to fully leverage the advantages that our two neighbouring countries enjoy, and to strengthen close and united cooperation with all regional partners, including Russia, in the spirit of joint consultations, joint construction, and shared benefit. Together, we can move toward a bright future of peaceful development and mutually beneficial cooperation. In this context, I would like to offer the following opinion.

First – peace and stability contribute to development. Peaceful, stable and prosperous Northeast Asia meets the interests of all the countries in the region and is a common dream of its peoples. China has long been pursuing the path of amicability and establishing neighbourly, partner relations with adjacent nations, supporting the countries of the region in selecting a development path consonant with their national realities. We are ready to deepen mutual political trust and alignment of interests, jointly safeguard the regional stability and respond to common risks and challenges.

Second – openness and tolerance contribute to prosperity. As the Chinese adage goes, ‘Openness leads to progress while isolation – to lagging behind.’ Amid current globalisation, none of the countries is progressing alone. We back up an open, transparent, inclusive and non-discriminatory multilateral trade system and advocate the creation of an open-type regional economy, unlocking the potential of natural peculiarities and the geographical advantages of the world’s countries. We are ready – through joint consultations, joint construction and joint use – to strengthen cooperation in production and supply chains, remove protectionism, assist in the free movement of capital, market and technologies for the sake of economic integration in the region.

Third – reciprocal exchange and assimilation contribute to cementing mutual understanding. Spiritual bonding of nations is a foundation for friendly relations between our countries. Our countries are bonded by common mountains and rivers, our cultures influence each other. Our peoples maintain close ties while our friendship is rooted in the past.

We need to continue this friendly timeline, deepen reciprocal exchanges and training, enhance cooperation in tourism, education, youth affairs, culture and art. We need to make people’s trips easier so as to foster neighbourliness and friendship.

Ladies and gentlemen,

Friends,

A Chinese adage says, ‘When everyone’s efforts are joined, victory is inevitable.’ Peace and prosperity in our region are inseparable from each party’s efforts. China is ready “to open its doors” so as to share new development opportunities with all countries of the world on the basis of the news results of China’s modernisation and China’s greater openness.

We are ready to promote neighbourliness and friendship, strengthen mutually beneficial cooperation for the sake of joint usage of the results of the development of all the region’s countries for our wonderful common future.

I wish all the participants fruitful work. Thank you for your attention.

Maria Rybakova: Thank you very much.

Right after your remarks, I would like to touch upon your meeting yesterday, which focused on Russia’s reciprocal decision to abolish visas. We discussed this earlier, and you mentioned during your visit to China that China introduced a visa-free arrangement for Russians.

My immediate question is this: While expanded tourism will certainly benefit both countries’ economies and cultural ties, the main concern remains, Mr President, which is the matter of payments.

For example, I want to visit China as a tourist, but I don’t have a Visa card, and my Mastercard is blocked here. I got a UnionPay card issued about three years ago, but it no longer works. Today, very few banks can issue such cards, and those that do are ruble-based, meaning payments are made in rubles. The only option is to carry cash and exchange it or find a more creative solution. Unfortunately, I haven’t mastered cryptocurrency yet.

Are there any preconditions for making the system of payments between our countries more transparent and accessible?

I would like to pose the same question, in turn, to Mr Li Hongzhong.

Vladimir Putin: First of all, I would like to emphasise that the decision by China’s political leadership – clearly made at the highest level – allowing visa-free entry for Russian citizens into the People’s Republic of China came as a complete surprise to us. We had no prior knowledge of it, and it was especially welcome.

Naturally, this decision is a strong sign of friendship, which we deeply appreciate. It will undoubtedly lead to a significant increase in mutual travel, create more favourable conditions for businesses, and further strengthen the ties between our two countries. This is simply self-evident.

To travel to any country, including China, an ordinary person usually needs to visit several authorities, submit documents, and go through various formalities. Now, with this visa-free arrangement, one can simply board a plane and fly – no bureaucracy. Right? This will undoubtedly bring our two countries closer together. Naturally, we will respond in kind to this gesture of friendship and adopt the same measures.

Regarding tourist travel, it is true that the system of payments needs further improvement. We are working on this intensively. Our financial institutions of the highest level are attending to this matter, along with commercial banks.

I do not want to make more comments at the moment, so as not to create any difficulties for future decisions. This is also connected with the need to respect the interests of financial institutions operating under sanctions pressure. Nevertheless, possible solutions do exist.

We are perfectly aware that steps must be taken for tourists to have as few difficulties as possible. They can certainly use our Mir payment card, and similar Chinese instruments. These payment instruments can be aligned, third countries’ bank cards can also be used. I assure you that the central banks of both countries are working on this and will find a solution.

The heads of the financial institutions discussed all these issues in my presence and in the presence of President Xi Jinping right now, during our delegation’s visit to the Chinese People’s Republic. They are maintaining a dialogue and keep discussing this matter.

I am confident that decisions are forthcoming.

Maria Rybakova: OK, then we’ll be waiting.

Mr Li Hongzhong, we would like to hear a comment on the matter from the Chinese side.

Li Hongzhong (retranslated): Thank you for your question.

The Chinese Government is introducing a visa-free regime for Russian citizens. These are important outcomes and agreements between our heads of state. It is a meaningful sign of enhanced large-scale progress in the Russian-Chinese relations.

I have attentively followed President’s Putin’s reply. I think President Putin’s answer is very professional and sets benchmarks for further development.

I will not go into detail either, but I think, since our countries will meticulously work out all the issues together, we are sure to remove difficulties and technical issues related to payments. Therefore, we are confident we will achieve our goals.

For example, circulation of Chinese currencies and payments. Of course, we hardly use cash now in China, we use our telephones for payments. This is a hard time for thieves because we do not use cash, it’s just a payment method.

When I arrived in Vladivostok, I also had a good impression because I used my telephone here just like in Beijing. It means we already have good alignment in telecommunications.

We also have to work on financial communications at the next stage. I think that we will certainly reach these goals through joint efforts.

I have just mentioned Russian-Chinese cooperation. I said we need to ensure the free movement of capital, markets and people. I firmly believe that we will definitely solve this issue.

Maria Rybakova: Thank you for the answer.

Well, it looks like my only hope is the QR codes, no other options.

Then, I want to come over from a good and friendly agenda to a not so friendly agenda and travel to the other part of the planet. As a matter of principle, you have answered media questions at the news conference in China just the day before. I mean the Ukraine crisis and everything concerning relations with America, everything happening in the area of the special military operation.

Just yesterday, another meeting of the ‘coalition of the willing’ was concluded in Paris. Basically, I didn’t see any specific decisions taken at the end of it. So far, it's just talk about deploying military forces in Ukraine. But Donald Trump said he would call. First question: has he called yet? And the second question: What do you think about the decisions proposed by the other side?

Vladimir Putin: We have an open dialogue with President Trump. We have agreed to call each other, if need be, and talk. He knows that I am open to such talks, as well as he is – I know it. However, so far, based on the results of these consultations in Europe, we have not had any discussions. Actually, it was difficult for me to do this, as I have just arrived from China and am here now. We have no communication problems here. This is the first point.

Second, regarding possible military contingents in Ukraine. This is one on the basic reasons for dragging Ukraine into NATO. So, if any troops appear there, especially now, during combat operations, we will deem them legitimate targets for destruction.

And if any decisions leading to peace, a lasting peace, are achieved, then I will not see the sense of their deployment in Ukraine, that’s it.

If agreements are achieved, then no one should doubt that Russia will execute them in full. We will observe the security guarantees, which, of course, would be drafted both for Russia and Ukraine. And I will say it again: Russia will observe these agreements. Anyway, nobody has ever discussed it with us seriously, that’s that.

Maria Rybakova: Thus we will be waiting. Time will tell, as they say.

The next question is about peace settlement. You said earlier that you basically see a certain potential in this regard and even invited Vladimir Zelensky to Moscow. However, the Ukrainian Foreign Ministry has officially declined it. Do I take it right – or maybe I am wrong – that we cannot speak about any steps towards peace settlement in the nearest future?

Vladimir Putin: I would like you to stick closer to the topics of the Asia-Pacific economic cooperation. But I realise that without solving such acute problems, cooperation as a whole is burdened, so these are legitimate questions.

What can I say?

First, just recently the leadership of the Kiev regime spoke unflatteringly of us, to put it mildly, and excluded any possibility of direct contacts. Now we see that they are asking for such contacts, at least they are suggesting having them.

I have repeatedly said that I am ready for such contacts. At the news conference in Beijing that you mentioned I said that I do not see much sense in them. Why? Because it will be impossible to come to terms with the Ukrainian side on the key issues. Even if they have political will – which I doubt – there are legal and technical difficulties which are related to the fact that any agreements on territories must be confirmed, under the Ukrainian constitution, in a referendum. To hold a referendum, a martial law must be lifted, as referenda are not held under martial law. If martial law is lifted, presidential elections must be held right away. After the referendum, if it is held, regardless of its results, it must be endorsed by a Constitutional Court’s ruling. But the Constitutional Court is not functioning because, as I see it, after it received enquiries on the legitimacy of the incumbent authorities, the court dodged rulings while the head of the regime ordered the security guards not to let the Constitutional Court Chairman to his office. This is the kind of democracy they have there. Meanwhile the Supreme Court Chairman is in jail on corruption charges. It is common knowledge that corruption abounds in Ukraine. But is not clear why it is exactly the Supreme Court Chairman who should be put behind bars. Although it is clear that they have reached the point of destroying their judicial system as such. This is yet another vivid example of how “democratic” the current Ukrainian authorities are. So this is an endless process leading to nowhere. Nevertheless, we said that we are ready for a top-level meeting.

Look, the Ukrainian side wants this meeting and suggests it should be held. I said, ‘I am ready, please come, we will certainly provide proper conditions for work and security, with a 100 percent guarantee.’ But if we are told, ‘We want to meet with you, but you should go to some place for this meeting,’ I think these are just excessive demands towards us.

Let me reiterate – if someone really wants to meet with us, we are ready. The best place for it is the capital of the Russian Federation, the hero city of Moscow.

Maria Rybakova: Mr Putin, thank you for the answer.

May I ask one more question? And then we will definitely switch to the Far East.

Vladimir Putin: Go ahead.

Maria Rybakova: I would like to go back to the root causes of the special military operation.

Literally, during the same news conference, you said you saw no obstacles and had no problem with Ukraine accessing the EU. That same day, a statement by former Ukrainian President Yanukovich was released. He enjoyed support at the time, and we got along with him just fine. I understood that he also always said that he wanted and looked to the West. Maybe, I misunderstood it. Were you talking about the same thing, or not?

Vladimir Putin: I have no way of knowing how you understood it. I will tell you how things are, and things are as follows. Indeed, Ukraine set itself a goal – and still has it – to join the EU. To reiterate, this is Ukraine’s legitimate choice. It decides how to build its international relations, how to ensure its interests in the economic sphere, and whom to conclude alliances with.

The problem for us when Yanukovich was president was that Ukraine’s integration into the European system of economic relations entailed certain economic issues, because Ukraine was part of the free trade zone, our customs borders were open, and for us this implied certain consequences. Ukraine had to compare, put on the scales and see what it was losing in contacts with us in direct monetary and cooperative terms, and what it was gaining there. This is what President Yanukovich thought about. He ran the numbers and that made him cry, because opening markets to competitive, highly competitive European products was killing the manufacturing industry in Ukraine and shutting down cooperative and trade relations with Russia. That was the problem. As far as I remember, he did not say no to joining the EU, on the contrary, he wanted to join it. I do not know what he said, but I know for sure that he wanted it and was striving for it, but on terms that were acceptable to Ukraine.

It did not concern us in any way other that it affected our interests in cooperation ties. But otherwise, no problem, we have never objected to any integration moves in Ukraine’s policies with Europe.

Security issues are a different matter. President Yanukovich and Ukrainian prime minister were against drawing Ukraine into NATO. This issue directly affected us and continues to affect us from the point of view of ensuring Russia’s long-term security interests.

What happened next? As a result of the coup, they got Yanukovich out of power. They removed the person who was against Ukraine joining NATO, and used a bloody coup in Kiev to bring to power forces that advocated and continue to advocate for Ukraine’s NATO membership. This does not suit us at all.

Even though each country can choose how it prefers to ensure its own security, such issues cannot be addressed without regard for Russia’s security, because there is a general rule included in the European documents: the security of one country cannot be ensured at the expense of the security of another country.

Maria Rybakova: Thank you.

Russia, and especially the Far East – we are going to talk about wealth – naturally boasts enormous natural resources. This also applies to fish resources. Recently, I came across some interesting statistics, which I would like to share with you.

According to the data, in 2024, Russia’s crab exports to China reached a historic high of over 41,000 tonnes. For comparison: supplies of Russian crab to the domestic market over the same period amounted to about 8,000 tonnes. In other words, we have a sort of crab paradox: the crab really does walk sideways, bypassing us and heading instead to Korea, Japan, and China.

Do you think Russia has sufficient processing capacity at its ports to add value through processing, and supply it to the domestic market instead of just catching and auctioning it? After all, live crab is the most expensive product and, as far as I know, all live shipments are currently going in the opposite direction.

Vladimir Putin: It is not about prices, although that is certainly one of the key factors.

In order to improve and expand the supply of this product to Russian regions, the issue of logistics must first be resolved. We transport it by rail, which is costly, or by air, which is even more costly. That is the problem. Seafood – both fish and crab – ends up mainly in expensive restaurants. Why? Because it has to be flown in. If we could organise transportation and build logistics correctly, the situation would change.

However, I should note that fish products from the Far East – not only crab, but seafood in general – account for about 75 percent of the national catch, if I recall correctly. Of this, about 65 percent is also processed here.

Today, logistics is the most sensitive issue. We are working on it. We are giving it serious attention, and we will expand our capacity to distribute seafood, including crab, to all regions of the Russian Federation. This is indeed a problem.

Moreover, according to Ministry of Health standards, we are not yet meeting recommended levels of seafood and fish consumption. If I am not mistaken, the norm is 28 kg per capita per year, while today we are at around 23–23.5 kg. Clearly, there is work to be done here. We are thinking about it, and I hope this issue will be resolved.

Maria Rybakova: Wonderful.

Since we mentioned transport and accessibility, intraregional flights in the Russian Far East are not, of course, a matter of comfort but a matter of survival. There is simply no other way to reach some areas with such long distances.

I would like to tell you a brief story. I have a friend who lives in Khabarovsk. He needed to fly to Vladivostok but there were no direct tickets available. I think everybody who lives here knows how difficult it is to grab an intraregional flight ticket. And you wouldn’t want to drive 750 km. I hear from drivers they travel with two spare tyres just in case. Anyway, my friend bought a connecting flight through Moscow and flew from Khabarovsk first to Moscow, where he spent four hours in an airport, then boarded a plane and flew to Vladivostok. So, he did all that and, as their plane was approaching Vladivostok, due to adverse weather, their flight was diverted to a backup airfield in Khabarovsk. Overall, he spent 24 hours flying from Khabarovsk to Khabarovsk. Clearly, it is an anecdote but I think it explains a lot.

When do you think we can resolve the issue of medium-haul aircraft? Today, I’ve also come across news that the State Transport Leasing Company signed an agreement to lease 50 Baikal aircraft.

Perhaps I have missed something. Is Mr Trutnev here? I can’t see him. We have spoken and he told me that there is no such thing as a Baikal aircraft. They bought an aircraft that does not exist yet. I am a little confused. I don’t know, perhaps there is a reason to stop by the stand of the Prosecutor General’s Office? Do these aircraft exist or not, Mr President? And what are the prospects of intraregional flights in the Russian Far East?

Vladimir Putin: Unfortunately, although there was a rather decent local airline network set up in the Soviet times, it was lost in the 1990s. It was mostly neglected in the early 2000s, so people had to, and still have to, fly from one city, even if major, to another city via Moscow, like your friend. But we have already established a local airline. Of course, the key issue is the availability of medium-haul aircraft in sufficient quantity. The Government, the Ministry of Industry and Trade and our domestic enterprises have many plans in this area.

Unfortunately, I have to agree that this matter is taking longer than we wanted. But there is Baikal and other small aircraft that are to replace Antonov An-2. This is work in progress.

I will be honest, sometimes we argue with some of our responsible parties. They will have to expedite these efforts.

We have plans and specific models ready. They have been launched, and I have seen them in operation. The next step is serial production and supplies to airlines. We will certainly do all we can to speed up the process.

We are aware of this problem and of the fact that it still persists. We will keep on working on solutions.

I will not list everything. We have Baikal and many other aircraft models. I have seen them in operation. But serial production is not yet launched.

Maria Rybakova: Thank you very much.

In your speech, you mentioned investment growth; and indeed, foreign investment has increased over the past four years.

My question is this: if we look at the investment climate as a whole, foreign investment mainly comes from a few major countries, including China.

Also, it seemed to me that in your speech, you placed considerable emphasis on technological progress, underscoring the need to develop knowledge-intensive and complex industries. Yet, and this is no secret to anyone, investment is still largely directed toward commodity sectors such as mining, oil, gas, coal, and the infrastructure that supports them.

So, perhaps a logical question would be: is there a risk of falling into a commodity trap, where we would be perceived exclusively as an investment partner in these areas?

Vladimir Putin: No, there is no such trap or threat of falling into one. That risk would exist only if we did nothing. You paid attention to my speech, and one of my central – if not the main – arguments was precisely that: when it comes to investment, we must make the region as a whole more innovative.

This is not a problem of our partners that they tend to invest into the extraction of mineral resources. It is our problem. We should create conditions for the development of innovative sectors of the economy, and for people with the right expertise to come to work here. In fact, such a trend is already emerging, as I mentioned. Our task is to build the right environment.

I can assure you that our partners will be eager to invest in promising enterprises, provided that their implementation also brings them benefits. That is the only way it works; there is no alternative. I am confident that we can implement all of these plans.

By the way, we discussed these issues with our Chinese partners, our friends, in Beijing. Overall, we should organise our work, calibrating it to high technology economic sectors. This is what we are going to do. This is the only future for our economies and our countries, the foundation of our shared success. This certainly applies to the regions of the Far East as well.

Maria Rybakova: Thank you.

I would like to ask about the economy more broadly…

Vladimir Putin: One more thing about mineral resources – I have just looked at Mr Miller and recalled it – is that the concept that we can just drill a hole, and oil and gas will just pour through it is a primitive one. Mr Mikhelson here knows very well what liquefied natural gas is. The technologies he and his team have adopted do not exist anywhere else in the world. This is a high technology sector. And I say this without exaggeration, without hyperbole – it is the truth. The same applies to the gas sector as a whole.

Gazprom’s cooperation with our Chinese friends and partners is not limited to supply contracts. It is a genuine strategic partnership, which means that people are working together on technology-intensive industries, including gas. And there is plenty of work to be done to ensure the effectiveness and profitability for both suppliers and buyers. An extensive number of advanced technological solutions are necessary.

This work within the framework of strategic partnerships between interested companies has already been established and is underway. The only task now is to extend it to related and promising industries, such as artificial intelligence, and of course, we will do this.

We have agreements in the aviation industry with China as well. I am going to fly to another Russian city soon, where I will talk about engine manufacturing. There are plans to work on aviation, which is, by the way, well-represented in the Far East, including both military and civilian aircraft. Sukhoi Superjet 100 is manufactured here in the Far East. There are areas that can be improved, and the same applies to shipbuilding.

Maria Rybakova: Thank you.

I have a joke. I did not know how this plenary session would go so I checked a job hunt website in Vladivostok. By the way, I did not find a single job opening for a television presenter but I was curious to see what else is offered. What jobs and professions are really in demand here? I have mostly seen driver jobs – with salaries of up to 400,000 rubles, by the way – junior executives or pressing operators. Mr President, I have hardly seen any jobs for IT professionals. Even the most in-demand professionals section did not mention IT. I found one job opening in software development, but this is not much.

According to a SberIndex analysis, businesses in the Russian Far East are growing faster than on average in the country – and you said so yourself. And yet, this is mainly due to building large production facilities and production of mineral resources. The IT sector is lagging behind.

In your opinion, what could solve this problem if employers start seeking IT professionals? Are they to be ‘imported’? How can the Far East attract highly qualified technology professionals and incentivise them to stay here and treat this region as their home rather than a temporary placement?

Vladimir Putin: I have spoken about this at length in my remarks and said that young people do move here as they see prospects. There is a demand for young professionals. This trend is apparent but it needs reinforcement from the government. The region needs support in shaping a new image of local economic development, mainly with the help of advanced technologies.

I do not know what you have seen on websites, but I know for certain, having heard it from top managers of local companies, that there is a shortage of highly qualified workforce. The Zvezda shipbuilding complex that we have mentioned today is building a large-capacity fleet that we have not had before. We also need aviation professionals here.

It goes without saying that we need to develop all modern technologies so that we can go beyond developing the Far Eastern and Arctic mineral resources and can make this region part of Russia’s technology-intensive production in general. It is what we plan to do and it will elevate the region to a new development stage.

Maria Rybakova: Mr President, another aspect concerns the exorbitant wage demands among blue-collar workers as drivers want 400,000 rubles and welders want 500,000, for example. This is another side of the story. How can this matter be resolved in your opinion? Is it appropriate today to seek such high wages?

Vladimir Putin: I believe the more people earn the better.

Maria Rybakova: Certainly.

Vladimir Putin: It does matter. I said that it is an economic category. The higher the wage the higher the spending. The higher the spending the more Russian products are popular in the market because usually, people wish to buy Russian-made goods, and so on. This is another economic factor – and a positive one. Moreover, it makes people’s lives better.

Maria Rybakova: Thank you.

Of course, since we are talking about wages, I would really like to discuss what is happening with the Russian economy in general. Many statements have been made on the sidelines of the forum.

Vladimir Putin: I am not the only one here.

Maria Rybakova: Yes, of course, Mr President. But you see, I have so many questions for you. I will certainly have questions for the other guests. For now, I would like to focus on what is happening in the economy.

German Gref says he has noted signs of technical stagnation in the Russian economy. Do you agree with this?

Vladimir Putin: No.

Maria Rybakova: Mr Gref, there you go.

Vladimir Putin: He knows this well. We maintain constant contact. He regularly participates in our meetings, including those I hold with the Government and the Central Bank. Some members of the Government share his opinion, mainly because the Central Bank is holding the rate high to combat inflation.

You complained about prices in shops. The goal is not only to bring prices in shops down but also to ensure that economic actors also restrain price growth. We can discuss anything but I do not want to give assessments now. I have my own view, of course, but let me refrain from evaluating the Central Bank’s work. Let me note instead that our Central Bank is highly respected across the international finance community. This is first-hand information.

The Central Bank’s policy is deliberate. In 2023, Russia’s GDP grew by 4.3 percent; and in 2024, by 4.4 percent. At the same time, inflation rose, too. We need to address macroeconomic challenges and ensure a soft, smooth landing of the economy to stabilise key macroeconomic indicators and slow down price growth.

Yes, I know the debates very well: we discuss this daily. Just yesterday we were talking about this. Some experts believe that the economy has cooled down, but lending has not stopped. Ask Mr Gref himself: has lending stopped? No. The pace has slowed down, yes.

I know some industries are going through rough times, and people present here also understand this very well. However, everyone also understands that nothing good will happen if inflation spins out of control. It would become impossible to plan anything, not just years ahead, but even ten days ahead. This is a very delicate issue. Take banks, for example. You can ask the Chairman of VTB. He will tell you: yes, perhaps they have overdone it, maybe the economy has cooled somewhat too much.

Maria Rybakova: Mr Kostin often complains about the key rate.

Vladimir Putin: Yes. The Ministry of Economic Development will tell you the same thing. And all of them are right in their own way. But I am confident that we will eventually find a way to maintain the necessary pace of economic growth while keeping inflation to a minimum. I think that’s enough for this discussion format.

Maria Rybakova: Thank you.

My next question is for Prime Minister Sonexay Siphandone. In 2021, Laos and China launched one of the largest high-speed railways. There have been reports that the railway may be subsequently extended to Thailand. It is a major project that requires complex technology and infrastructure.

My question is: is there an opportunity, a chance, or prospects for connecting the railway to Far Eastern ports? And how can this be done sooner? It would expedite both our trade and cooperation. Is this a realistic prospect? Perhaps discussions have already taken place.

Sonexay Siphandone (retranslated): As for transport, we are using a modern railway that is far more advanced compared to the railway we built many years ago.

As I have already said, we are turning from a country with no sea access into a country connected to others. On this project, we cooperate with China.

As you have noted, we cooperate in railway development. We have successfully completed this project. Of course, the coronavirus pandemic was a certain obstacle, but we have managed to overcome these difficulties in our strategic cooperation.

According to the respective initiative, I am completely certain that there is an agreement between Russia and China. If there is also an agreement between Russia, Laos and China, we will be able to transport products from Laos via China to the Far East, including to Russia.

The railway may open new cooperation opportunities for Russia and ASEAN, China and ASEAN, and improve Lao products’ access to the market. I would like to stress that this is an alternative route that is faster and more sustainable.

The government of Laos is considering the possibility of establishing sea routes to Vladivostok through China, potentially via Hainan or a Vietnamese port. We have already agreed on some aspects of this project to date.

It would be an excellent opportunity for us to cooperate with Vietnam. We have no access to the sea but we have made an agreement with Vietnam that would help us reach both China and Russia.

As for Mongolia, we could also use similar transport infrastructure to exchange products. Certainly, there are many advantages to developing the Laos-China railway network.

Thank you.

Maria Rybakova: Mr President, do you have anything to say in response?

Vladimir Putin: No, we are discussing it with our Lao friends, and we talked about it just yesterday.

We are in contact with our partners from third countries, including from Vietnam. Indeed, we are discussing all these logistic options; we are talking about expanding them. I think prospects are good.

Maria Rybakova: As for the railway tracks here, in Vladivostok, I know that it is a vexed question, I mean we want to have more and better railway tracks. The railway logistics still accounts for a large part [of infrastructure] in the Far East. Will it be renovated? You have already spoken this.

Vladimir Putin: Not large – they account for the larger part of the entire infrastructure. This is the so-called Eastern Operating Domain, the Trans-Siberian Railway and the Baikal-Amur Mainline; now a new railway has been built to Magadan, to the Sea of Okhotsk. This is a very good project and the results will be good. We will continue to develop all this.

I, as well as my colleagues, constantly talk about it. This is a key development area for the Far East and the country in general. The shipment volumes have multiplied. Well, what can I say about it? We will develop the Trans-Arctic Corridor – there are things to work on – together with the Northern Sea Route.

As for our friends in the Asian-Pacific region, I very much expect that all our efforts to develop transport logistics in the Far East would benefit – that was the intention – trade and economic relations with our partners, including our friends in Laos.

Maria Rybakova: Thank you. So, welcome as they say.

I want to note that this is my first time in Vladivostok. And, of course, I am very impressed both by its size and by how interesting it is. Really, it is a well-tended and, let us say, an interactive city. There is much to see here, and it has a certain authenticity. But I went on an excursion not far from here and I was, so to say, a bit surprised by the contrast. Central cities and regional centres really do look great, they are being transformed, but, to put it mildly, we certainly will not see a Zolotoy Bridge anywhere near Pevek.

What do you think should be done to make remote towns comfortable, authentic and beautiful, including from the point of view of infrastructure?

Vladimir Putin: Practically, it is all the same everywhere: the centre of the city looks one way, and the suburbs look differently. Thinking about developing our population centres so that people can live a comfortable life in any part of the city is an issue to be addressed by the municipal authorities, primarily regional authorities.

As for small towns, we have a programme to develop population centres. As far as I remember, there over 800 (I think, 804) towns in the country with the population under 50,000 people, or around 50,000. This is a major programme.

As regards the development of Russia’s towns and cities, there are many areas that work quite effectively for small towns. Without a doubt, this work needs to be expanded.

With regard to the Far East and the Arctic, we have a separate programme that includes 22 towns and cities at the first stage. The appropriate resources have been allocated, development plans have been drawn up, and the work has begun. I have briefly mentioned some of the results, but I believe that this is one of the key areas of work. We have just discussed this with our colleagues who stood, so to speak, at the beginning of this road, who initiated this process, which turned out to be very popular and effective.

I have already covered the importance of giving a new boost to economic growth. We need to bring in well-trained specialists to the region, who, of course, need adequate social conditions. There must be kindergartens, good schools, good education, and medicine. All of that should be developed in small towns as well.

To reiterate, there is a properly funded programme that covers 22 towns. Of course, we will expand this work.

Maria Rybakova: Still, we are discussing spending. I am just trying to smoothly segue to the budget deficit. In 2025, it was planned at about 1.2 trillion rubles. In the summer, it grew, according to official figures, to 3.8 trillion. We are only in September now. Clearly, things may change by the end of the year. I even heard a figure of up to eight trillion rubles. Again, I am not an economist, and I have no idea if it is possible or realistic at all.

How do you think this can even out? What mechanisms are planned to be used in the first place?

Vladimir Putin: I do not operate in terms such as “I think,” I can tell you what I believe, and I believe as follows. Indeed, spendings are growing, which is due to the infrastructure development plans, including in the Far East, because they require large financial resources. The Eastern Operating Domain, the Baikal-Amur Mainline, the Trans-Siberian Railway, and so on, the development of port infrastructure, airports, and so on. Spending on education and healthcare throughout the country, and spending in the defence and security sphere, including spending related to the special military operation – these are all spendings.

First, we need to work on the revenue part, and there are things to discuss, meaning, of course, not an increase in the tax burden, but simply an increase in production efficiency. We need to increase labour productivity, introduce the latest technologies, and better organise production processes. Here, I assure you, we have things to address, and the reserves are countless, meaning the opportunities are vast.

However, there are other things that can quite reassure us, and, rest assured, there is nothing scary about it. Some of our colleagues in the Government believe that this deficit can be increased, and it is not a big deal. Why? Because our debt burden levels – external and internal – are not just acceptable but are low. This guarantees the stability of the entire financial credit system, including the budget system.

The budget is built on a balanced basis. This is not an easy thing to do. It is actually a complex and even stressful effort, if I can put it that way, because achieving a balance between different sectors of the economy is a challenging task. The Government is coping with it.

Maria Rybakova: Mr President, I read the other day, and it was discussed during the forum sessions as well, that the Finance Ministry and, I think, Sberbank – (Addressing German Gref.) – is that correct, Mr Gref? – are planning to introduce artificial intelligence for budget work, to have the artificial intelligence somehow help form the budget? If I understood it correctly.

Mr President, how do you feel about the idea of using AI this way?

Vladimir Putin: My view on this is positive. But AI can only be an assistant, at least at this particular moment, at this stage of AI technology development. Today, these tools can only be used to assist the decision-making both at the level of the Central Bank and at the level of the Government.

Maria Rybakova: Then, the ball goes to Mr Li.

China has achieved quite significant success in the field of AI and is now among the leaders. In fact, the American and the Chinese neural networks are probably the two most popular ones. I know that China has been actively developing the platform economy for a long time now. This is a completely innovative type of economic activity. We are actively implementing these processes as well.

I have a question. How do you generally assess this leadership? What does China plan to do to keep cooperation between AI and the state going? What will it look like? What is the plan?

Li Hongzhong (retranslated): Thank you for your question.

You have touched on a critically important topic. AI is a way for all of humanity to achieve progress. AI is a new production force that drives our evolution, and it is very important to develop it. All countries around the world, including China, Russia, the United States and other countries, pay great attention to developing AI and promoting its technologies.

President Xi Jinping said in 2023 that the world will advance just four main principles of AI development: its universal popularisation, its further advancement, and our joint use of human and machine resources, as well as the promotion of these technologies in our everyday lives. These principles have been put forward.

In general, we will be implementing these principles in approximately three areas, such as scientific and technological innovations, and scientific and technological development. Innovation is the central element of developing the AI concept. Increasing the intended capacity, the computing capacity, and creating neural networks and models. This is connected with the development of high technology and the implementation of high-tech development plans overall. This is connected, of course, with the training of specialists and personnel management. This, of course, helps us train personnel.

We are creating new platforms. The United States is, without a doubt, leading here, but nevertheless China is constantly making great efforts to achieve an advantage in this area. For example, artificial intelligence. The level of forecasting and the degree of monopolisation in China in this area has reached 60 percent. We are making progress in matters of monopolising AI technology at a pace of about 20 percent annually. This, of course, is our advantage. We patent these technologies. This is one of the key areas of development.

The second component is that we are implementing our approaches, viewing AI as a path for the development of humanity, as a path to achieving well-being. President Xi Jinping put forward in his speeches the most important concept of a community of common destiny for humanity. We profess these ideas. One of the key components of this concept is an affluent and powerful state, and the promotion of general welfare for all groups of population.

We are steadily following the path of promoting high technologies. Take, for instance, China’s DeepSeek neural network. This model is already widely known. It makes it possible to achieve great results. It is an advanced technology. We were able to significantly reduce the cost value and thus overcome the threshold of achieving great benefits at minimal costs. This is, of course, one of the ways to develop AI.

Increasing the AI compute capacity offers new opportunities. We have discovered completely new areas of using it. Take, for example, technologies such as unmanned control of production processes. Its open source makes it possible to use these technologies efficiently. We can thus reach new heights in our work, simultaneously developing these AI technology and implementing them. Benefitting from the use of AI, we pay great attention to the environment that is necessary for using these technologies.

All this is designed to increase the production and capacity. Already now, the scope of AI use in production is showing exceedingly high growth. Its capitalisation has reached 700 billion yuan representing growth of about 20 percent annually. There are many areas that can help us improve the well-being of our people, develop these technologies across the board, and improve the lives of people in our country, as well as spread these technologies in the interests of industries and enterprises. This, of course, provides us with new advantages. The multifaceted and comprehensive use of such technologies is the key area of our country’s development.

We have opened the gates to the use of AI technology in people’s lives, and we would also like this technology to make progress in Russia, as you, Mr President, and our President, Comrade Xi Jinping, have already jointly stated. We must make the most out of the Russian Far East and our territories in order to develop AI in our respective countries.

Thank you very much for your attention.

Maria Rybakova: Mr President, I am not going to ask you whether it is possible to use AI to run a country.

My question is: Do you think that AI can be trusted with setting the key interest rate? I hope Ms Nabiullina forgives me for asking this.

Vladimir Putin: I have already said, I think, no, take that back, I believe that the capabilities of AI can be used when making any kinds of decisions, and they should be used in making any decisions across all areas, including in matters overseen by the Central Bank. However, decisions of that kind must be made by a specific person that should bear responsibility for them. You cannot hold AI accountable. It is just a tool. Humans should do the actual work.

By the way, our Chinese participant, our friend from China has a high political rank, he is a member of the Politburo of the CPC Central Committee. But we just heard him provide expert assessments in a fairly serious area of AI. Humans should make decisions. And such people should be in China and in Russia. They should use AI and develop these tools.

Maria Rybakova: I hope AI will not replace me or other people who do my kind of work.

Vladimir Putin: Why not? There are neural networks, and I think there are AI-based television presenters as well.

Maria Rybakova: That is it, I'm done for. But the human side, Mr President, will go away if AI were to ask you questions.

Vladimir Putin: Or it will get better with the help of AI.

Maria Rybakova: Thank you.

Ladies and gentlemen, does anyone have anything to add to the questions that have been asked? We are gradually approaching the finish line.

I have one last question left, which is rather philosophical. Mr President, it is about the Far East, but, not entirely about the economy.

Here it goes. For some reason, I thought that the Far East really does live in the future, because it is 5:00 pm here, and it is morning in Moscow. You and I are in the middle of the day, or rather, it is almost an evening.

Overall, the world looks rather strange today. Everyone is talking about it a lot, including turbulence and crises that flare up non-stop, and this is not only about the Ukraine crisis, but Israel and Palestine as well. Flashpoints like that abound.

What do you think of Russia’s future in this world? This is the first question. And the second is do you think the world of the coming decades will be more Western or Eastern?

Vladimir Putin: It will be multipolar.

Maria Rybakova: Thank you.

All that remains for me to do is to thank you for trusting me with asking you questions today.

Also, in closing, I am very grateful to the Far East for such a warm welcome.

As Mr President has rightly pointed out, tomorrow, and some of us today, will be heading west. Therefore, I would like to sum it up and say that, since we mentioned the double-headed eagle at the very beginning, perhaps our uniqueness and strength lie in the fact that we are not choosing but looking in both directions at once. I think this seamlessly fits with the motto of the anniversary forum on cooperation in the name of peace and prosperity.

Thank you very much.

Vladimir Putin: For my part, I would like to thank all the participants, including our foreign guests, my colleagues who are working here with me today, and the audience for their joint efforts, because this is also part of the work, as well as our charming moderator for making such an interesting discussion possible.

Thank you very much.

Maria Rybakova: Thank you. This is the best assessment. Thank you very much, Mr President.

Have a safe flight everyone, at least those who are leaving today.

Joint news conference by the President of Russia and the President of the United States

2025-08-16T15:13:29+04:00

Vladimir Putin and Donald Trump held a joint news conference following Russia-US talks.

President of Russia Vladimir Putin: Mr President, ladies and gentlemen,

We held our talks in a constructive and mutually respectful atmosphere, and they have proved substantive and productive.

I would like to once again thank my US counterpart for the proposal to come to Alaska. It is quite logical to meet here since our countries, albeit separated by oceans, are, in fact, close neighbours. When we stepped out of our planes and greeted each other, I said, “Good afternoon, dear neighbour. I am glad to see you alive and in good health.” I believe it sounds very friendly and neighbourly. Our countries are separated only by the Bering Strait — essentially, there are two islands, one Russian and one American, separated by a mere four kilometres. We are close neighbours, that’s a fact.

It is also important to note that our shared history and many positive events are largely related to Alaska. There is still an enormous cultural legacy preserved since the age of Russian America, with Russian Orthodox churches and more than 700 place-names of Russian origin.

During World War II, Alaska served as the starting point for the legendary air route that delivered lend-lease supplies, including military aircraft and other equipment. It was a dangerous and challenging route over enormous ice-covered territories. Nevertheless, the pilots and experts of both countries did everything they could to bring victory together. They risked and sacrificed their lives for our common victory.

I have just visited the Russian city of Magadan. A monument honouring Russian and American pilots stands there, adorned with the Russian and American flags. I know that here, too, there is a similar monument, and at a war cemetery a few kilometres away from here, there are graves of Soviet pilots who lost their lives in that heroic mission. We appreciate the efforts of US officials and citizens to preserve their memory. This is a dignified and noble undertaking.

We will always remember other examples from history when our countries stood together against common enemies in the spirit of combat camaraderie and alliance, rendering each other help and support. I am certain that this legacy will help us restore and develop mutually beneficial and equal ties at this new stage, even in the most challenging conditions.

As you know, Russian-American summit talks have not been held for over four years. That is a long time. This period has proved exceptionally difficult for bilateral relations, and, let’s face it, they have deteriorated to their lowest point since the Cold War. And this does not benefit either our countries or the world in general.

Obviously, sooner or later we had to remedy the situation, to move from confrontation to dialogue, and in this regard, an in-person meeting between the two heads of state was really overdue – of course, with serious and thorough preparations, and this work has been done.

President Trump and I have established very good direct contacts. We have had frank conversations on the phone multiple times. As you know, the US President’s Special Envoy, Mr Witkoff, has visited us in Russia several times. Our aides and heads of foreign ministries have maintained regular contacts.

As you are well aware, the situation around Ukraine is one of the key issues. We acknowledge the commitment of the US administration and President Trump personally to help resolve the Ukrainian conflict, and the President’s willingness to understand the root causes and its origins.

I have repeatedly said that the developments in Ukraine present fundamental threats to Russia’s national security. Moreover, we have always considered the Ukrainian people – and I have said this many times – a brotherly people, no matter how strange it may sound in today’s circumstances. We share the same roots, and the current situation is tragic and deeply painful to us. Therefore, our country is sincerely interested in ending this.

Yet, we are convinced that, for the conflict resolution in Ukraine to be long-term and lasting, all the root causes of the crisis, which have been repeatedly explained, must be eliminated; all of Russia’s legitimate concerns must be taken into account, and a fair security balance must be restored in Europe and the rest of the world.

I agree with President Trump. He said today that Ukraine’s security must be ensured by all means. Of course, we are ready to work on this.

Hopefully, the understanding we have reached will bring us closer to this goal and open up the road to peace in Ukraine.

We hope that Kiev and the European capitals will take the current developments constructively and will neither try to put up obstacles nor attempt to disrupt the emerging progress with provocative acts or behind-the-scenes plots.

By the way, under the new US administration, our bilateral trade has been on the rise. So far, it is a symbolic figure but still, the trade is 20 percent higher. What I am saying is that we have many interesting areas for cooperation.

It is obvious that the Russian-US business and investment partnership holds tremendous potential. Russia and the United States have much to offer each other in trade, energy, digital and high technologies, and space development.

Cooperation in the Arctic and the resumption of region-to-region contacts, including between the Russian Far East and the West Coast of the USA, also appear relevant.

Overall, it is crucial and necessary that our countries turn the page and get back to cooperation.

Symbolically, as I have already said, there is an international date line nearby, on the border between Russia and the United States, where you can literally step from one day into another. I hope that we can do the same in political affairs.

I would like to thank Mr Trump for our joint work and for the friendly and trust-based conversation. The main thing is that there was a commitment on both sides to produce a result. We see that the US President has a clear idea of what he wants to achieve, that he sincerely cares about his country’s prosperity while showing awareness of Russia’s national interests.

I hope that today’s agreements will become a reference point, not only for resolving the Ukrainian problem but also for resuming the pragmatic business relations between Russia and the United States.

To conclude, I would like to add the following. I remember that in 2022, during my last contacts with the former US administration, I tried to convince my former US counterpart that we should not bring the situation to a point fraught with serious repercussions in the form of hostilities, and I said directly at the time that it would be a big mistake.

Today, we hear President Trump saying: “If I had been president, there would have been no war.” I believe it would have been so. I confirm this because President Trump and I have established a generally very good, businesslike and trustworthy contact. And I have every reason to believe that, as we move along this path, we can reach – and the sooner the better – the end of the conflict in Ukraine.

Thank you for the attention.

President of the United States of America Donald Trump: Thank you very much, Mr President. That was very profound, and I will say that I believe we had a very productive meeting.

There were many-many points that we agreed on, most of them, I would say, a couple of big ones that we have not quite gotten there, but we have made some headway. So, there is no deal until there is a deal.

I will call up NATO in a little while. I will call up the various people that I think are appropriate, and I will, of course, call up President Zelensky and tell him about today’s meeting. It is ultimately up to them. They are going to have to agree with [what] Marco [Rubio] and Steve [Witkoff] and some of the great people from the Trump administration who have come here, Scott [Bessent] and John Ratcliffe. Thank you very much. But we have some of our really great leaders. They have been doing a phenomenal job.

We also have some tremendous Russian business representatives here, and I think, you know, everybody wants to deal with us. We have become the hottest country anywhere in the world in a very short period of time. We look forward to that, we look forward to dealing, we are going to try to get this over with.

We really made some great progress today. I have always had a fantastic relationship with President Putin, with Vladimir. We had many tough meetings, good meetings. We were interfered with by the Russia, Russia, Russia hoax. It made it a little bit tougher to deal with, but he understood it. I think he has probably seen things like that during the course of his career. He has seen it all. But we had to put up with the Russia, Russia, Russia hoax. He knew it was a hoax, and I knew it was a hoax, but what was done was very criminal, but it made it harder for us to deal as a country in terms of the business and all of the things that we would like to have dealt with. But we will have a good chance when this is over.

So just to put it very quickly, I am going to start making a few phone calls and tell them what happened. We had an extremely productive meeting, and many points were agreed to. There are just a very few that are left. Some are not that significant. One is probably the most significant, but we have a very good chance of getting there. We did not get here but we have a very good chance of getting there.

I would like to thank President Putin and his entire team, whose faces, who I know, in many cases, otherwise, other than that, whose faces I get to see all the time in the newspapers. You are almost as famous as the boss, but especially this one right over here.

But we had some good meetings over the years, right? Good, productive meetings over the years, and we hope to have that in the future. But let’s do the most productive one right now. We are going to stop, really, five, six, seven thousand, thousands of people a week from being killed, and President Putin wants to see that as much as I do.

So again, Mr President, I would like to thank you very much, and we will speak to you very soon, and probably see you again very soon. Thank you very much, Vladimir.

Vladimir Putin: Next time in Moscow.

Donald Trump: Oh, that is an interesting one. I do not know. I will get a little heat on that one, but I could see it possibly happening. Thank you very much, Vladimir. And thank you all. Thank you.

Vladimir Putin: Thank you so much.

Plenary session of St Petersburg International Economic Forum

2025-06-25T18:26:06+04:00

Vladimir Putin took part in the plenary session of the 28^th St Petersburg International Economic Forum. This year’s theme is Shared Values: The Foundations of Growth in a Multipolar World.

The SPIEF plenary session was also attended by President of the Republic of Indonesia Prabowo Subianto, National Security Advisor, Commander of the Royal Guard of the Kingdom of Bahrain Nasser bin Hamad Al Khalifa, Vice Premier of the State Council of the People’s Republic of China Ding Xuexiang, and Deputy President of the Republic of South Africa Paul Mashatile.

The discussion was moderated by Nadim Koteich, a journalist, General Manager and presenter at Sky News Arabia.

The St Petersburg International Economic Forum (SPIEF) has been held annually since 1997, and since 2006, has taken place under the patronage and with the participation of the President of Russia. In 2025, SPIEF events are being held on June 18–21, bringing together 20,000 guests from 140 countries.

* * *

Journalist, Sky News Arabia General Manager and presenter Nadim Daoud Koteich: Good evening, everyone.

Mr President, thank you so much. It’s a pleasure and an honour to be with you on this panel with your esteemed guests.

If anything, the St Petersburg International Economic Forum is again and again proving itself as a pivotal platform for discussions around global economy, global trends and geopolitics. There is no better time than now, being here and discussing what we are going to discuss after listening to these speeches – one by you and the rest by your esteemed guests.

Thank you again. Thank you so much.

This is a very interesting panel, if you look at the structure of the panel. We have China, we have Indonesia – a very important country from ASEAN. We have Russia, we have Bahrain – a very important and vibrant GCC country, and then we have South Africa, which is a founding member of BRICS.

And still some people would say Vladimir Putin is isolated. So, I don’ know, if this panel says something, it says how multipolar the world has become.

Mr President, the floor is yours for the first speech.

President of Russia Vladimir Putin: Mr Prabowo Subianto,

Your Highness Sheikh Nasser,

Mr Ding Xuexiang,

Mr Paul Mashatile,

Friends, ladies and gentlemen,

I am delighted to welcome all participants and guests of the 28^th St Petersburg International Economic Forum. The forum’s format traditionally fosters substantive and meaningful discussions on the most pressing issues. We are pleased that representatives from 140 countries and territories have joined this important dialogue.

This year, among the important topics – referred to by our colleagues as key discussion tracks – is the quality of growth in the context of a multipolar world and major global challenges. These include profound shifts in the global economy and demographics, such as the planet’s population dynamics, as well as social, public, and geopolitical tensions that manifest through crises and rapidly escalating regional conflicts, unfortunately visible today in the Middle East.

Finally, these include climate change and urgent environmental issues that demand our attention and response. And, of course, the transition to a new technological era driven by digital platforms, artificial intelligence, and autonomous systems capable of making decisions independently of human input is also a central focus.

The key question is how to ensure that positive technological advancements are accessible everywhere, so that new digital and technological solutions enable countries, regions, and cities to achieve new levels of development and progress. It is essential that the benefits of these technological breakthroughs are shared broadly, transforming society, reducing poverty, improving quality of life, and providing equal opportunities for every individual to acquire the knowledge needed to fulfil their potential. In other words, it is crucial to uphold the fundamental principle of justice.

In my speech, I will focus on the challenges Russia faces in these areas, the steps we are taking in collaboration with business, scientific, and public organisations, as well as the approaches we propose to support economic growth, not only within our country but also through creating joint mechanisms for global and regional development in partnership with our friendly nations.

I will start with the current state of the Russian economy. Despite a challenging international landscape, Russia’s GDP has been demonstrating an annual growth rate of over four percent over the past two years, which is above the global average.

Regarding the structure of this growth, let me share a specific indicator with you – the so-called non-oil-and-gas GDP. It excludes sectors related to hydrocarbon production. In 2023, Russia’s non-oil-and-gas GDP increased by 7.2 percent, followed by an additional 4.9 percent, or almost five percent, in 2024. These are solid figures exceeding the overall GDP growth rates.

In other words, commodities no longer play a defining role in Russia’s economic growth patterns. Moreover, the contribution of the commodities sector is even negative currently.

By the way, defence manufacturing was not the only driver of our overall GDP growth, as some may believe. Of course, it did play a role in this regard, but we must keep a close eye on the way this growth has been structured.

Over the past two years, the top performing industries have included agricultural production, manufacturing in general, the construction industry, logistics, services, finance and the IT sector, covering almost all the key, essential segments of the national economy.

What does this mean? It means that thanks to the efforts of tens of thousands of enterprises and companies, their teams, managers, and their proactive approaches, as well as the work of millions of entrepreneurs, the Russian economy has been steadily developing, achieving new heights in terms of quality, complexity and diversity. The idea of the Russian economy being completely commodity-based and dependent on the exports of hydrocarbons is clearly outdated; it is becoming a thing of the past. We are living in a different reality now.

Russia is the world’s fourth largest and Europe’s number one economy in terms of GDP. I am not talking about the per capita GDP, but about the sheer size of the economy. Still, this is a major milestone.

Of course, achieving this result is not enough. It is essential that we consolidate our standing as a major economy by offering a business-friendly environment so that businesses from Russia and our friendly countries can invest their assets here, as well as upgrade and expand their manufacturing capabilities in Russia.

Our key task this year is to ensure that the economy transitions to a path of balanced growth. What does that mean? We understand it to mean that we must achieve moderate inflation and low unemployment. According to statistics, annual inflation has already dropped to single-digit levels below ten percent. As of June 16, it stood at 9.6 percent. Of course, that is still high, but inflation targeting continues.

Certainly, this outcome is due both to the Government’s steady efforts to develop the supply side of the economy and to the responsible actions of the Central Bank. That said, I would like to highlight the following: inflation dynamics have been better than many experts expected and even better than the forecasts made by the Bank of Russia. This has made it possible to start cautious easing of monetary policy.

However, consumer price changes are only part of the picture. To reiterate, balanced growth means moderate inflation, low unemployment, and continued positive economic dynamic. It is important to keep all indicators of the health of our industries, companies, and even individual enterprises in focus.

I will say more about the labour market later. For now, I would like to note that in the first four months of this year, Russia’s GDP increased by 1.5 percent year-on-year, including 1.9 percent growth in April alone. At the same time, some experts point to risks of stagnation or even recession. That, of course, must absolutely be avoided.

I know that during the forum you have heard the discussions within the Government, and between the Central Bank of Russia and the Government. You have likely dived deep into the materials.

We need to pursue sound, well-designed fiscal, tax and monetary policies, aligning these mechanisms above all with the goals of supporting and stimulating growth, while, of course, maintaining macroeconomic, inflationary, and financial stability.

In other words, our strategic vector is precisely to actively and consistently transform the structure of the national economy, step by step. As I mentioned earlier, we have achieved a great deal in this area, but it is clear that moving forward is critically important, especially in light of the dramatic changes taking place in the world.

We discussed the need for additional measures on this issue at the Council for Strategic Development and National Projects back in December 2024. Working together, the Government, regional authorities, businesses, experts, and the scientific community identified key tasks to accelerate long-term growth and structural changes in the economy. Today, I will focus on these critical areas in a broader context.

Foremost among these is the transformation of employment and consumption patterns. We must create conditions that boost the economic activity of our citizens, enabling both young and mature individuals to realise their potential in the labour market, acquire new skills, build successful careers, and increase their incomes.

In other words, we are aiming for a transition to a high-wage economy, not driven by labour shortages that compel employers to raise wages to attract workers but grounded in improving job quality and boosting labour productivity.

Over the past four years, employment in Russia has grown by 2.4 million people. Since October last year, the national unemployment rate has stabilised at around 2.3 percent, reaching a historic low. Importantly, this positive trend extends to regions where employment challenges have traditionally been acute. Russian colleagues are well aware that this primarily refers to southern Russia and the North Caucasus, where unemployment has been reduced roughly by half – an excellent achievement.

This success is the result of a combination of sound macroeconomic policies, proactive regional government initiatives supported by federal employment programmes, and the broad adoption of modern technological solutions such as platform-based employment and digital marketplaces.

Some of our colleagues, including our guest from Bahrain, recently visited the Chechen Republic and witnessed firsthand its development. Indeed, Chechnya serves as a vivid example of this progress.

I would also like to highlight that employment is increasing notably among young people who are just entering the labour market and securing their first jobs. In terms of youth unemployment, Russia ranks among the best globally, with a rate of approximately seven and a half percent.

For comparison, youth unemployment stands at around 16 percent in France and 11 percent in the United Kingdom. Globally, youth unemployment remains one of the most pressing economic and social challenges. In Russia, however, we are clearly moving in the right direction. I believe we can confidently say that we are coping successfully with this issue.

Of course, there is still room for improvement. However, I want to emphasise once again that the progress made in this area is clear. This is particularly important because the impact of active youth employment extends far beyond the present moment. A strong start and being in demand in the labour market shape a young person’s successful professional career, their role in society, and greatly influence their decision to start a family, care for their parents, and raise children – not just the first child, but hopefully the second, third, and beyond. This is a vital matter for the country’s social, economic, and demographic development.

Next. Employment is growing in the sectors that produce final products, in high-tech economic areas, including the manufacturing sector, information technology, and tourism. Meanwhile, in supporting sectors such as trade, public administration, and finance, employment is objectively and justifiably declining. These – I believe some are aware, though perhaps not everyone – are very positive trends and a commendable indicator.

For reference, if we consider the dynamics: in the information and communications sector, there has been an increase of 353,000 people – a rise of 29.7 percent; in manufacturing industries – 10.2 percent. Conversely, the number of workers in trade, for example, has decreased by 170,000 people – a drop of three percent.

These are gradual but highly significant and important trends that reflect structural, qualitative changes. We intend to continue – through enhancing economic efficiency and implementing digital platform solutions – to facilitate a reduction in the share of employment in so-called supporting sectors. Naturally, we must provide those employed in these areas with alternatives.

To achieve this, we will encourage the creation of modern, more attractive jobs with high labour productivity that align with the new technological paradigm. Labour legislation must be further refined to meet its demands and, most importantly, in the interests of the people. The Government has prepared a package of such amendments, and I request the State Duma to adopt them without delay.

I reiterate: high-quality, structurally new employment is the key to increasing citizens’ and households’ incomes and reducing social inequality. Of course, this remains a challenge for us, but we are addressing it consistently. We have already accomplished much to ensure the accelerated growth of incomes for the least well-off citizens and have achieved – I wish to emphasise this separately – we have achieved a record reduction in the poverty rate in the history of the Russian Federation.

By the end of last year, it stood at 7.2 percent, and the positive trend continues. In the first quarter of this year – compared to the same period last year – the number of citizens with incomes below the subsistence minimum decreased by more than two million people.

Our Russian colleagues here today are aware, but I will repeat for our guests. In 2000, the poverty rate in the Russian Federation was 29 percent, and – let us be frank – as many as a 42.3 million people found themselves in this humiliating situation. By the end of 2024, this was no longer 29 percent but 7.2 percent, and not 42.3 million people, but 10.5 million people. Obviously, we must strive to reduce this figure further – and that is precisely what we intend to do: lowering it to seven percent and then to five percent.

However, the level of wages across the economy in Russia is still insufficient, and I would like to stress this as well. I have said that we need to set ambitious goals and create an economy of high wages. Let me repeat this once again because this is important – this should be done through higher labour productivity. Let me also note that the share of wages in Russia’s GDP increased from a little over 40 percent in 2021 to almost 44 percent in 2024.

So, what do we focus on? First of all, we made it one of our priorities to adapt educational programmes to the needs of the real sector. By the way, the recent downward trend in youth unemployment, which I just mentioned, shows that we are on the right track.

I would like to add that this year, shortly before our forum, Russia released the first official ranking of higher education providers by employment outcomes and graduate salaries. This indicates which professionals are most in demand in the labour market, and which universities offer the highest quality training and, importantly, produce the most sought-after specialists.

This ranking is also a key indicator of how effective a university’s management team is. I would like to ask the heads of relevant ministries and our colleagues at the federal and regional levels to review this ranking and use it as a tool for managing changes in professional training.

Next, to raise individual incomes, we must invest in professional development and retraining programmes, empowering employees to grow professionally, transition between companies or relocate to other regions. Increased workforce mobility doesn’t just benefit workers who seek higher-paying jobs and career advancement. It also fuels economic growth.

Equally critical is investing in modern equipment, embracing automation and robotics. In turn, these advanced technologies demand skilled professionals to operate and maintain them, creating well-paid jobs in the process.

I would like to emphasise that while higher wages primarily benefit workers – raising their living standards, improving family well-being, and creating better conditions for their children – they also strengthen the economy and the nation. Higher incomes and reduced inequality reshape demand. These things are deeply interconnected. When demand becomes more balanced, it stimulates greater consumption of domestic goods and services.

I am referring to essential industries such as tourism, public catering, and sectors that capitalise on our natural heritage, unlock the potential of cities and towns, and make urban spaces more comfortable and convenient for living, working and recreation.

In this regard, I would like to remind you that together with my colleagues from the Government, we have agreed to introduce a new taxation system for catering – with a flat VAT rate. Part of the tax revenues will go directly to municipalities, providing them with additional resources for local development projects and programmes, primarily to improve the quality of life in their communities.

We will also actively support the fast-growing sectors of the creative economy – those connected with science, culture, and arts. This includes architecture and design, film and music, publishing and software development, and all facets of what experts call the experience economy.

This year, a federal law came into force that provides a legal basis for promoting the creative industries. By the end of the year, 70 regions will begin implementing development standards for this modern segment of the economy and public life and will start building the necessary infrastructure.

To make this work more thorough and consistent, I am asking the Government, in conjunction with the constituent entities, to draft a long-term Strategy for the Development of the Creative Economy, and also to consider launching a federal project in this area.

Separately, I would like to mention the improvement of the Russian cities and towns’ tourist appeal. Historic buildings, churches, estates, and cultural heritage sites are the tangible embodiment of our national identity and uniqueness, true tourist magnets.

We have agreed that by 2030 we will renovate and refurbish at least 1,000 such sites across the country, giving them a second lease on life by opening museums, educational and exhibition centres, hotels, and so on.

A pilot programme for restoring cultural heritage sites with subsidised lending provided for such projects has already covered nine Russian regions. The next step is to expand it to cover the rest of the country.

For the allocated funds to have greater impact, I propose using the following solutions, namely, to combine the resources of two subsidised lending programmes – one for developing tourism infrastructure, and the other for preserving cultural heritage sites.

That way, additional low-interest funding can be attracted for restoring and overhauling historic buildings for business use, among other purposes. In addition, I propose extending the umbrella guarantee mechanism from the SME Development Corporation to cover these projects.

In addition, cultural heritage sites typically involve a complex investment and construction cycle. Those involved know what I am talking about. The process is time-consuming and should be reasonably shortened by cutting excessive formalities without compromising the preservation of historical monuments, of course.

I am asking our colleagues from the Presidential Executive Office to prepare, within the framework of the relevant interdepartmental group, solutions both for this matter and for the overall restoration of cultural heritage sites.

Earlier, I mentioned the tourism infrastructure development programme. Let me remind you that we are actively and carefully involving our national parks in the tourism sector, creating conditions for visitors, while ensuring respectful and careful treatment of nature and protected ecosystems.

This is another example of Russia implementing an environmental agenda: not chasing short-term profit at the expense of natural wealth but preserving and increasing it for the benefit of the people and society at large.

To follow up, let me add the following. Over the past decades, millions of tonnes of industrial and mining waste have accumulated in our country. Naturally, it is harmful to nature and people and creates problems.

I propose considering the launch of special projects to extract valuable components from this waste. The appropriate technologies are available, and all we need is to use them. That way, businesses can simultaneously generate revenue, help eliminate accumulated environmental damage and stimulate the development of domestic research and the manufacturing industry, as well as contribute to improving the environmental situation.

Colleagues,

The development of new production, high-tech, and service sectors, along with the expansion of economic activities – these are all elements of structural changes in Russia’s economy.

In this regard, the second key focus of our actions, which I will address today, concerns the new quality of the investment climate. Essentially, we are talking about a fundamental minimisation of business costs for entrepreneurs across all areas – from construction and utility provision for new projects to ongoing operational activities, including all forms of accounting and notarial services.

Here we are working in close cooperation with the regions, business circles, and experts. Together, we are ensuring that business and investment activity grows across the entire country, in every city, town, and locality.

Let me remind you of our target: the volume of investments in fixed capital in Russia should increase by no less than 60 percent by 2030 compared to 2020.

The Government has already launched a system to support investment in the regions. It provides comprehensive, end-to-end support for investors, right up to a facility’s launch, with access to all support mechanisms, including tax benefits and deductions.

We will carefully monitor this practice, make adjustments based on business feedback, requests, and needs, and, of course, learn from the regions that are leaders in raising investment, scaling up their successful experience and best practices.

As is tradition at our forum, I would like to share the results of the national investment climate ranking, maintained by the Agency for Strategic Initiatives. The ranking now covers more indicators – 82 compared to 70 previously – meaning it has become more detailed, thorough, and consequently more informative.

Russia’s capital, Moscow, continues to lead this ranking. It is followed by the Republic of Tatarstan and the Nizhny Novgorod Region, which showed the highest index growth this year. Both regions share second place with equal scores. Moreover, their current investment attractiveness parameters exceed those of Moscow in the previous year.

What does this tell us? That the benchmark for leadership is constantly rising. In improving the investment climate, we cannot stand still – we must always look ahead and set new targets.

Third place in the ranking goes to the Moscow Region and the Republic of Bashkortostan. In total, 57 regions improved their composite index over the past year. Special mention goes to the Chelyabinsk, Tver, Smolensk and Kaluga regions, as well as the Voronezh, Saratov, Sakhalin, Novosibirsk and Lipetsk regions, and the Altai Territory – they showed the highest growth rates.

I congratulate our colleagues, the regional teams, on these results and wish all regions further success in this important domain. Let us acknowledge their achievements.

(Applause.)

Thank you.

As I mentioned earlier, alongside supporting investments, we are improving the conditions for day-to-day business operations. As is well-known, this encompasses numerous tasks – from company registration to resolving insolvency matters.

The Government, together with entrepreneurs, industry experts, and specialists from the Agency for Strategic Initiatives, has launched a comprehensive initiative to develop a National Model of Target Conditions for Doing Business. While based on international methodologies – I emphasise – it takes into account our specifics and national development goals. This model should be finalised by September of this year.

What does this involve? Concrete, measurable changes that businesses can tangibly feel. For instance, by 2030, we aim to reduce by nearly half the time required for grid connection and decrease the time spent on preparing and submitting tax documentation by more than one-third.

The benchmark for the National Model is for Russia to rank among the top twenty business environments globally by 2030, subject to updated international methodologies, and to serve as an example for our BRICS partners and friends.

Above all, it is essential that the business climate allows us to expand and strengthen the foundations of our economy, rendering it both more resilient yet dynamic, with a focus on increasing the production of goods and services, as well as promoting them both domestically and globally – on international markets, for export.

I would like to emphasise that the competitiveness of our domestic industry, agriculture, services sector, and many other industries must be based on our own technological solutions.

This represents the third direction of structural transformations: Russia’s economy must become more technologically advanced. And this is not merely a desire – it is an imperative requirement of today, and indeed of tomorrow, a challenge that must be met if we aim to grow stronger. And we do.

We must fully unleash a new phase of the country’s technological development. The key instrument in this regard should be the national projects aimed at securing technological leadership. These were launched this year, and my colleagues and I have agreed that the measures under these national projects will be updated and expanded.

By 2030, combined public and private spending on research and development in Russia must increase to no less than two percent of GDP. Here, a special role is assigned to private business. Its investments in these areas must increase at least two-fold.

In this context, I would like to highlight the following. Nearly two dozen development funds and institutions are focused on supporting the technological modernisation of Russia’s economy. However, each of them has its own methodology and approaches. As a result, entrepreneurs have to process the same technical and other documentation in different ways.

On the other hand, it also occurs that development funds and institutions compete for the same projects. Yes, competition is certainly beneficial, but in this particular case, such “departmental” rivalry does not serve the cause – on the contrary, it diminishes the efficiency of financial and organisational resources.

Not long ago, we created a special working group under the Council for Strategic Development and National Projects chaired by head of Vnesheconombank Igor Shuvalov. I am asking our colleagues from this working group to analyse the technological activities of the development funds and institutions.

The objective is to eliminate overlapping functions, to coordinate the work of the development institutions, and to draft single requirements for business support procedures ranging from patent registration to the serial production of high-tech products.

Notably, over the past two years, the number of patent applications from domestic companies and research organisations has increased by 13 percent which is a good number. This includes growth in optical and computer technologies, consumer goods, and pharmaceuticals.

However, it is important to not only develop solutions, but also to quickly bring them to the market in the form of goods and services that are in demand both domestically and internationally and can improve quality of life and make life more comfortable and convenient.

We agreed that our colleagues from the Government will personally oversee the implementation of innovative technologies within their respective areas of responsibility and will fine-tune the regulatory framework to support experimenting, testing, and scaling of promising solutions.

Additionally, I believe the Government should compile an annual report on the dynamics of the country’s technological development. This report should assess the current level of technological sovereignty and breakthrough innovations in technological leadership, as well as the pace of their adoption across sectors of the economy.

Unfortunately, the current rate of commercialisation of inventions from the scientific and academic sectors remains low. For example, among small innovative enterprises created by universities and research institutions, only one in a hundred inventions reaches practical application. To reiterate, this number is too small and clearly insufficient. There must be more active cooperation between educational institutions, research institutes, and the business community. We must help them find each other.

We have a programme called University of Entrepreneurs. Within its framework, experienced businesspeople work together with students in specialised university-based workshops to develop cutting-edge technological solutions and products.

We already see the first results. More than 270 million rubles in extrabudgetary funding have been attracted to these projects, and the number of participating universities will double this year.

I am asking the Government to consider scaling up this mechanism and establishing collaboration across all stages from articulating a project idea to launching an independent business and creating joint ventures between scientific schools, universities, and companies in the real sector.

I have one more important point to make. It is necessary to expand the intellectual property market, specifically by expanding lending opportunities secured by patents and trademarks. These assets should become real business assets that help attract funding for creating or expanding production facilities.

By the way, Russia now has about one million active trademarks. Last year alone, Russian entrepreneurs registered nearly 77,000 new brands, primarily in the light industry, software, household chemicals, and some other products. That is a 12 percent increase over the last year, a solid and marked growth. We will continue to support new Russian brands. For instance, in a month, we will announce the results of the next round of the Rising Russian Brands contest (Znai Nashikh, or Proud of Our People) in Moscow.

A significant portion of applications to participate in this contest comes from small and medium-sized businesses, which especially need promotion and access to new markets. A small business, an individual entrepreneur, or simply a craftsman from a small town or village can now find customers for their products or services via marketplaces – something that was nearly impossible in the past. The audience and the customer base of such platforms is steadily growing, both in Russia and around the world.

Unlike most countries that depend on global platforms, Russia has good examples of successful domestic digital marketplaces. This is a real and meaningful achievement by Russian business, one that we can and should be proud of.

We will continue to create conditions that allow Russian digital platforms to grow and compete with international giants. A draft law has been prepared, which will be the first step towards building a modern regulatory framework for the platform economy. I am asking the State Duma to expedite the adoption of this draft law.

I should add that the digital platform sector also has its problems, including unfair business practices, violations of competition rules, and misuse of data. I am asking our colleagues from the Presidential Executive Office, together with the Government and industry representatives, to discuss these issues within the framework of the interdepartmental working group.

Please conduct a thorough analysis of the current regulation of traditional, offline retail operations that is brick-and-mortar stores, retail chains, and so on. Much of this regulation is now outdated: it was developed in a different technological era and simply does not correspond to today’s challenges and opportunities.

Lastly, marketplaces have access to a vast amount of market data, giving insight into the health of businesses. They understand what kind of support businesses need, whether it is advertising, product distribution, personnel recruitment, or access to loans.

It is certainly necessary to use these possibilities for developing small and medium-sized businesses across the country. I ask the Government to prepare proposals on coordinating and aligning information and other support tools for the promotion of business available to digital platforms and the state, including financial and guarantee mechanisms of the SME Corporation.

Further. Our own, independent solutions, including digital solutions, should be used to strengthen the foreign trade infrastructure. I mean logistics, insurance and payment systems.

We have already launched the state system of electronic carriage documents. All basic documents for cargo carriage by vehicles – the consignment note and the shipping manifest – can now be executed in electronic form. More than one and a half million such documents are issued every month.

We will adopt digital, platform solutions for the entire transport network of Russia, including road, air, rail, river and sea transport. In other words, we are talking about creating a National Digital Transport and Logistics Platform.

International transport arteries running across our country, including the Trans-Arctic Transport Corridor stretching from St Petersburg to Vladivostok via Murmansk, as well as others, will be developed based on such modern technological solutions.

As for payment infrastructure, we will keep on working hand in glove with our BRICS colleagues and create efficient, reliable and, I repeat, independent from external interference mechanisms and services.

In this respect, of course, the experience of our countries in creating and circulating digital national currencies is highly demanded. In Russia, the relevant pilot project has been underway for almost two years. All the basic operations have been tested, including opening and closing accounts, transfers between individuals and legal entities, and payment for goods and services.

Our present task is to make the use of the digital ruble massive among citizens, businesses and banks. I ask the Bank of Russia and the Government to accelerate the necessary procedures and set the deadlines for transition to a new stage of technological development in our financial area.

In this context, the fourth area of structural changes is bringing a new quality to foreign trade, both exports and imports.

The goal has already been set to increase non-oil-and-gas exports. To this end, we will develop relations with our partners, lift trade barriers, open new market niches, create infrastructure, and deepen investment cooperation.

Let me remind you that we agreed to develop long-term plans for cooperation with our key international partners. A good example of such an approach is the Strategic Interaction Plan with the People’s Republic of China, extending through to 2030. Similar plans, including one with India, are to be finalised in the near future.

We will continue implementing the International Cooperation and Exports national project. We will support initiatives from our international partners that use Russian technological platforms, which directly translates into increased demand for Russian technological solutions.

For example, in the coming years, major energy projects, including nuclear energy, mining and processing industries, will be implemented in the CIS countries, including Belarus, Uzbekistan, and Kazakhstan, as well as in Turkiye, Vietnam and a number of other countries. They are based on Russian technological solutions and involve Russian financial structures.

Increasing our non-oil-and-gas exports is just one of our foreign trade priorities. It is equally essential to systematically transform, change the structure of our imports – the products we purchase, while gradually increasing the share of labour-intensive goods and services that require significant labour resources, physical and manual labour.

Russia instead should focus on the production of more sophisticated, more complex goods and services with a high degree of automation and high added value, that will also contribute to improved quality of employment within Russia.

And of course, together with our EAEU partners, we will continue to fine-tune our customs and tariff policies in order to encourage the creation of new production chains and facilitate the transfer of advanced technological solutions to our countries. This will also help improve the quality of employment and create high-paying jobs here in Russia.

I ask the Government to join hands with businesses to conduct corresponding analysis and present their proposals on specific actions in this area in the following months.

Colleagues,

Russia’s finances, infrastructure, and the real sector of the economy are developing on the principles of technological effectiveness, flexibility, and the capacity for rapid response to external challenges, as well as to shifts in demand from our citizens and our foreign partners.

This approach is fully applicable not only to the civilian sector but also to the fields of defence and security, and to the activities of the defence industry. Our meeting has always focused primarily on economic development, economic growth, and the state of the economy. However, in today’s world, the boundary between the defence industry and civilian sectors of the economy is becoming increasingly blurred. In some countries, no such distinction exists at all.

The profound changes taking place in this area represent the fifth direction of structural economic renewal and, more broadly, the strengthening of our sovereignty. The key principles here are as follows.

First, technological effectiveness at every stage – from development and production to logistics, procurement, and supply to specific military units. It is necessary to continuously analyse technological and organisational innovations in the civilian sector and promptly apply them in the defence and security domains.

Wherever feasible, it is vital to achieve integration between the defence industry and the civilian sector, facilitating the production of dual-use goods – though in many cases, this does not require special measures, as certain items are dual-use by their nature – which are in demand in areas such as maritime and river technology, aircraft construction, the electronics industry, medical equipment manufacturing, agriculture, and beyond.

I would go further: we must move beyond the classification of companies as either exclusively defence enterprises or purely civilian ones. As I have just noted, the current trajectory is such that the most competitive actors are high-technology holdings capable of addressing both military and civilian tasks.

Second, the pace of change. Today, for global business leaders – including some of our own companies – the timeframe from concept to product launch has been reduced to quarters or even months. The period from production to consumer delivery is now measured in days rather than weeks. The defence and security sphere must adapt to these standards.

And of course, flexibility. This involves enhancing the role of commanders of military units and formations, as well as the heads of defence industry enterprises, including in decision-making – from maintenance and testing of new equipment and weapons systems to the development of effective tactics to achieve results. The importance of these levels is increasing.

I believe that colleagues in both the military and the defence industry sectors will agree with me on this point. It is also essential to establish a mechanism for the rapid spreading of such best practices. We are achieving this.

Fourth, economic efficiency in ensuring security and addressing defence-related goals. Compelling examples include the implementation of surveillance and monitoring systems using artificial intelligence, which has significantly reduced the number of offences, for instance, in Moscow. Additionally, the deployment of inexpensive unmanned aerial vehicles has proven effective in targeting expensive military equipment. We will, of course, take into account our own negative experiences. Everything is put to good use to make the necessary and correct decisions in our chosen area.

Overall, our defence industry has picked up a good pace. The enterprises have increased the output many times over and are mastering the production of new types of armaments and military equipment.

To reiterate, we will enhance combat capabilities of the Armed Forces on a new technological basis, modernise military infrastructure facilities, and equip them with cutting-edge weapons and equipment that have proven effective in combat conditions.

At the same time, we intend to develop military-technical cooperation with friendly countries. This includes not only supply or modernisation of equipment and armaments, but also joint developments, personnel training, and creation of enterprises and production capacities on a turn-key basis.

Colleagues,

Today, I have focused on five key areas of structural changes in the Russian economy. These tasks are the focus of existing national projects and state programmes. Their work must be constantly fine-tuned taking into account changes in the global situation and emerging opportunities.

I urge the Government to digitise and place under special control key indicators of structural changes in our economy, regularly monitor their dynamics, and adjust the measures we are implementing.

As I have mentioned earlier, the global economy is undergoing the most significant transformation over the past few decades. Countries around the world are increasing their capacities, reshaping the balance of power, and the economic landscape of the planet.

For example, in the early 21^st century, BRICS countries accounted for just one-fifth of the global economy. Today, this figure already stands at 40 percent of the global economy. Clearly, their share will continue to grow. It is a medical fact, as they say. It will happen inevitably, primarily due to the dynamic economies from the Global South.

This growth needs to become more sustainable and encompass as many countries as possible. To achieve this, a breakthrough development model is needed, one that is not based on the rules of neo-colonialism, where the so-called golden billion siphons off resources from other countries in the interests of a small group of the so-called elites. Not even in the interests of the people of these countries, but specifically in the interests of the elites.

If we look at how funds have accumulated, say, in the United States over the past decades, it was the elites who received the bulk of income. These are open data. Ordinary citizens and the middle class did not benefit from these windfall profits. This could be the basis for the ongoing changes, including in the political sphere.

We must strive to ensure that these changes are reflected in the quality of life of people in our countries, in research, education, technology, and infrastructure. These are the priorities that Russia has set for itself while implementing its own development agenda.

The strategic sectors and areas I have outlined today require stable, long-term capital inflows, including from international companies and investors. To ensure this, we need to create an open and equitable platform for global growth. This platform will bring together investment mechanisms, technological standards, financial and logistics services, trade instruments, and other solutions.

Let me reiterate: the task is not to modernise the outdated mechanisms of the era of globalisation – these have largely exhausted or even discredited themselves. Instead, we must propose a new development model, one free from political manipulations, one that takes into account the national interests of states. Naturally, this model must be focused on the needs of citizens and their families.

At the BRICS summit, which took place last autumn in Kazan, as I mentioned earlier, 35 countries – representing nearly two-thirds of the world’s population and half of the global economy – expressed a shared understanding of the approaches necessary for the future of the world.

Already today, BRICS countries are setting the benchmark in the development of so-called human-centric industries. The largest projects aimed at improving living environments are being launched. BRICS states are implementing large-scale initiatives in nuclear energy and aviation, in new materials and the IT industry, as well as in robotics and artificial intelligence.

Of course, special attention is being devoted to strengthening ties within BRICS. The mutual trade turnover of our countries has already exceeded one trillion dollars and will continue to grow.

All of this, in essence, constitutes the elements of a global growth platform, built on the key principles of BRICS: consensus, parity, mutual consideration of interests, and – most importantly – openness to all who wish to join this effort.

After all, the broader the circle of states involved in shaping and developing such a platform, the stronger and more effective it will be, and the greater the benefits it will bring to all who recognise their responsibility to future generations of their nations.

Russia invites its partners to contribute to shaping a new global growth model, to jointly ensure the prosperity of our nations and the stable development of the entire world for many years to come.

Precisely for this purpose, this year we held the Open Dialogue [The Future of the World: A New Platform for Global Growth] in Moscow, with representatives from over a hundred countries participating. We intend not only to make this format a regular one but also to build an entire ecosystem around it for discussing, refining, and implementing breakthrough ideas.

The global challenges facing the modern world undoubtedly demand a global response. Solving these problems on one’s own, let alone at someone else’s expense, is simply no longer possible – it is an illusion. Only joint action within frameworks such as BRICS and some other formats can ensure the progress of civilisation as a whole.

Thank you for your attention. Thank you very much.

Nadim Koteich: Mr President, thank you so much for the speech that actually set the stage for a very interesting debate after the rest of the speeches. I give the floor to the President of the Republic of Indonesia, Prabowo Subianto. The floor is yours.

President of the Republic of Indonesia Prabowo Subianto: Your Excellency, President Vladimir Putin, President of the Russian Federation,

Your Excellency, Prince Nasser bin Hamad Al Khalifa, National Security Adviser to the King of Bahrain,

Your Excellency Paul Mashatile, Vice President of South Africa,

Your Excellency Mr Ding Xuexiang, Vice Premier of the People’s Republic of China.,

Distinguished ministers, business leaders, ladies and gentlemen, participants of this forum,

I am honoured here today to be invited and to speak at this forum, the St Petersburg International Economic Forum 2025. This is a forum that combines and gathers leaders from the West, the Global South, the East, and where Eurasia meets.

Indonesia views this summit as an opportunity to forge strategic trust, an opportunity to make deals in an increasingly complicated geopolitical situation – deals that can benefit our shared survival and our shared success.

On this occasion, I would like to introduce myself. I am Prabowo Subianto, President of the Republic of Indonesia. I was inaugurated on October 20, 2024. This is my first International Economic Forum. So, I apologise if I am a bit nervous.

Indonesia is the fourth largest country by population. Every year there are five million new Indonesians arriving in this world. Every year, 5 million. That means every year a group of people the size of Singapore. In ten years, there will be ten Singapores in Southeast Asia. The size – I give this as an illustration of the size of Indonesia. This gives us great opportunity but also gives us great challenges.

Any leader of Indonesia must think how to feed five million more mouths every year, five million new school places, etc., etc., the hospitals, and more important, and most important, is the food. In my opinion, the duty of a government is first to protect its people. And to protect its people means to protect its people from hunger and from poverty and from the suffering from a challenging environment.

Therefore, when I took over the Government of Indonesia, my main priority was first, to achieve self-sufficiency in food. Number two, self-sufficiency in energy. Number three, to improve the education level of Indonesians to be able to compete in the challenging era of the 21^st century. And, fourth, to speed up the industrialisation of Indonesia.

Indonesia has been fortunate in being given by the Almighty Lord vast economic resources, but these vast economic resources, if not wisely managed, can actually be a curse to our people. We have vast forests. We have vast minerals. We have a lot of commodities that are useful for the world. But this has to be managed well.

Therefore, in my opinion, every country needs its own economic policy and its own economic philosophy. One of the big mistakes of many countries in Southeast Asia is that we tend to always follow the biggest and the most powerful power in the world. In the last 30 years we see the dominance of the neoliberal, capitalist, classical free market philosophy, which basically tends to be laissez-faire. And the Indonesian elite followed this philosophy. Therefore, in my opinion, we have not managed to create a level playing field for all our people.

There is vast growth. We have grown five percent continuously, especially the last seven years. Yes, 35 percent in seven years, but we have not managed to have this so-called trickle-down effect. The wealth remains at the top – less than one percent. This is not a formula for success in my opinion.

Therefore, my position is this. Each country must follow its own economic philosophy, the economic philosophy that is in tune and that can be accepted by each country’s culture and each country’s background.

Therefore, I have chosen the path of compromise, the path [that combines] the best of socialism and the best of capitalism. Pure socialism that we have seen does not work. It’s utopia. Pure socialism – we see many chances, and in many cases, people do not want to work. Pure capitalism results in inequality, results in only a small percentage enjoying the fruits of the wealth. But our path is the path of the middle way. We want to use the creativity of capitalism, innovation, initiative – yes, we need that.

But we need government intervention to overcome poverty, overcome hunger, to intervene and to protect the weak. Because there’s a danger in developing countries like Indonesia of what we consider the danger of state capture – the collusion between big capital, business and government officials, the political elite. In the end, the collusion between these two groups does not result in the alleviation of poverty and the widening of the middle class.

Therefore, we have chosen the philosophy which, in essence, and in simplicity, can be reduced to one sentence: The greatest good for the greatest many. That is our philosophy. Our Government must work to bring the greatest good to the greatest many, and in this case we have to have a clean Government, free of corruption. This, I think is the key to rapid development.

I am proud to stand here before you. In my seven months of administration, we have achieved an increase in rice and corn production of around 50 percent. This is the greatest increase in production in the aggregate in the history of the Republic of Indonesia. We have now in our government warehouses 4.4 million tonnes of rice, which is the largest reserve in the history of the Republic of Indonesia.

In just a few months of my administration we increased efficiency. We fight very strongly against corruption. We deregulate, we cut all the regulations which increase inefficiency. And we have seen the rapid results.

I believe that if Indonesia can play a good role, a positive role in international relations, for instance, our participation in BRICS – we thank the Government of Russia for supporting our bid to become a member of BRICS very fast (I think we were one of the fastest members to be accepted in BRICS).

Also, Madam President, former President of Brazil and President of the New Development Bank, we were also accepted as a member of the New Development Bank, also very fast. We thank also the Government of China for supporting us and the Government of South Africa. We believe that together BRICS can contribute significantly to stability and prosperity of the world.

I would like just to tell you a short story. It is not part of my speech, but I was asked why I did not attend the G7, but I attended the St Petersburg Forum 2025. And it’s not because I did not respect the G7; it’s because I gave my commitment to attend this forum before they invited me. That’s the only reason.

Please don’t read too much into the event. Sometimes political observers, they want to read: Is this a political statement, right? No. Indonesia, by tradition, [has always been] non-aligned, we respect all countries. Our foreign policy is very simple. One phrase: 1,000 friends – too few, one enemy – too many. We want to be friends with everybody. Only with friendship, collaboration can we achieve prosperity.

Thank you very much, President Putin, for inviting me. And because you invited me, I can be here today in this historic city, a city of heroism, a city of great patriotism, and as an amateur student of history, I follow the history of Russia and I know the significance of St Petersburg. I had the honour of attending the cemetery of the victims of the war a few days ago. Thank you very much for this invitation.

I have said many times at many forums that Indonesia has chosen the path of non-alignment. We consider that this world must develop into a multipolar world and is developing towards a multipolar world. The world of unipolar centrality is past. This is the trend of history. This is what's happening in front of us.

I value very much the leadership of Russia and also the leadership of China. I want to be very frank. In the present world, in the Global South, I think many from the Global South will agree with me, Russia and China have never had double standards. Russia and China have always defended the downtrodden, have always defended the oppressed, have always fought for the justice of all peoples of the world.

I say this from my heart. Indonesia wants to be a good partner and a strong partner. My experts tell me that in this first semester, our economic growth is more than five percent. Actually, it can really end up by the end of this year at nearly seven percent or even more. This shows that we have chosen the right path, and we are achieving our goals. I am very convinced that we will achieve our goals within a few years.

I have given the target: four years – self-sufficient in food. We are experiencing that we can be self-sufficient in food within this one year and we will be in a few years a net exporter of rice and corn. Also, now I have formed a sovereign wealth fund, which we call Danantara, which means the future energy of Indonesia.

This fund [aims] to protect the wealth of our children and grandchildren. The fund now has US$1,000 billion of assets under management. This year we have cash to invest of $18 billion. We want to work together with all strategic partners. We do not ask for assistance. We do not ask for handouts, we want to be a real partner, we want to achieve real prosperity together.

We are open for business. We invite all groups from everywhere, especially Russian entities. Before I was elected, I was an entrepreneur and I have good relations with Russian corporations. My brother has been active in this area for many, many years, I think more than two decades. We know Russian corporations and we would like to see Russia participate more in our economy.

I have mentioned our foreign policy. We have always been, and we will continue to be non-aligned. We thank Russia for helping us and for achieving the Indonesian – Eurasian Union CEPA, Comprehensive Economic Partnership Agreement. We have completed also negotiations with other groups: the block CPTPP, also with the European Union CEPA, and we also request to join OECD.

For us, the world and the planet are getting smaller. We will work together with you for peaceful collaboration, peaceful coexistence with all countries. We view with sincere regret, the escalation and increase of conflicts around the world, especially in the Middle East. We hope that all parties can come to a peaceful resolution as soon as possible.

I think, distinguished guests, I have come to the end of my short speech. I apologise if what I say is not what is expected of me, but what I say comes from my heart. Thank you very much.

Nadim Koteich: Thank you, President Subianto. I’m not sure if this is your first speech. It doesn’t look like it. Actually, you did a great job. Thank you so much.

I’ll give the floor to the representative of His Majesty, the King of Bahrain, for Philanthropy and Youth Affairs, National Security Adviser, Commander of the Royal Guard of the Kingdom of Bahrain and the honour guest of this year’s forum, Sheikh Nasser bin Hamad Al Khalifa.

The floor is yours.

Representative of His Majesty the King of Bahrain for Humanitarian Work and Youth Affairs, National Security Advisor, Commander of the Royal Guard of the Kingdom of Bahrain Sheikh Nasser bin Hamad Al Khalifa (retranslated): In the name of Allah, the Most Gracious and Most Merciful,

Your Excellency Vladimir Putin, President of the Russian Federation, a friendly nation of ours,

Your highnesses, your excellencies, ladies and gentlemen,

May the mercy and blessings of Allah be upon you!

First and foremost, I would like to express my deepest gratitude and appreciation to the Government of the friendly Russian Federation for the kind invitation extended to the Kingdom of Bahrain to attend this year’s forum. I would like to address special thanks to His Excellency, President Vladimir Putin, for his gracious invitation extended to me to participate in this important economic forum as an official speaker.

I would like to convey to Your Excellency greetings from His Majesty Hamad bin Isa Al Khalifa, the King of Bahrain, may Allah bless him, and from His Royal Highness Prince Salman bin Hamad Al Khalifa, the Prime Minister of Bahrain, may Allah bless him.

It gives me great pleasure to recall His Majesty’s visit to Russia in May 2024. During that visit he met with Your Excellency. This meeting was an important stage in the development of our bilateral relations, relations of friendship and our mutual desire to strengthen those ties. This is evidenced by the participation of the Kingdom of Bahrain in this year’s forum as well.

Ladies and gentlemen,

The economic policy pursued by the friendly nation of Russia under the leadership of President Putin is the main driver of stable economic growth of Russia. This policy plays an important role in developing strategically important sectors of the economy, particularly, power sector and industry. This certainly has a positive effect on the international investment climate.

Russia is strengthening its economic ties with the countries of our region and beyond it. It also significantly contributes to creation of new trade and economic opportunities and their use in the world today.

I would also like to remind you, I beg your pardon, I am a poet, I love poetry, I would like to recite the words of Alexander Pushkin from his famous poem, The Monument: “And I shall for long years be loved by all the nation because for noble passions with my lyre I call.” And this wise policy, similar to Pushkin’s words, is your policy to the people. This policy is not measured by numbers only.

Indeed, we are currently attending an economic forum, but this forum is not only about numbers, it is also about the hope that it ignites in people and has a big impact on us.

Ladies and gentlemen,

The Bahrain’s Vision 2030 strategy, adopted under the wise leadership of the Kingdom, defines the framework of our economic development. Vision 2030 is not only a strategy, it is a roadmap for building a sustainable future in its own right. Thanks to it, Bahrain has embarked on a reliable path leading to achieving an optimal balance between economic growth and sustainability. This roadmap allowed Bahrain to attract foreign investments and strengthen its own economic potential.

Various strategic initiatives have been introduced to develop all sectors of the economy and, in particular, the digital infrastructure. Based on the achieved results, the Kingdom of Bahrain has begun to develop a new strategy designed until 2050. And this concept is based on an innovative approach, digitalisation and diversification of sources of income. And this strategic reference point testifies to the Kingdom's desire to keep up with the changes taking place in the world.

Clearly, we need to develop constructive international partnership and ensure comprehensive balanced development. The priority role of human capital is the main prerequisite for our progress.

In Bahrain, we believe that investing in people is the foundation of progress, this is why our country supports strengthening public-private partnership. This is very important.

In this regard, initiatives aimed at training the country's young specialists and ensuring their entry into labour market are extremely important. And this, in turn, allows us to create a flexible economy capable of adapting to changes and challenges.

Bahrain has put a lot of effort in creating a well-developed infrastructure, which allowed our country to become a leading digitalisation centre in the region. This allowed us not only to make business easier today, but also to create a favourable environment for innovations and creativity in various fields.

Today, the digital economy is the basis of Bahrain's strategy to building a knowledge-based economy. On the other hand, strategic partnership with friendly countries, including Russia, is a pillar for the development of the business environment in the Kingdom of Bahrain.

Bahrain is developing effective ties with all international actors, which allowed it to become a stable and attractive economic centre for investment. Bahrain continues its policy of attracting foreign investments by creating appropriate legislative benefits to create a favourable business environment.

Ladies and gentlemen,

The Gulf Cooperation Council as of now is an example of business support and development of an investment sector in the region. We pay much attention to that. We assume that innovations and creativity are two extremely important components of sustainable economic growth. This is why we believe the St Petersburg International Economic Forum is an efficient platform for setting forth ambitious initiatives and expanding cooperation horizons for investors and businesspeople from different countries.

Investment is not just about attracting funds. It is also about sharing creative ideas for implementing creative projects to shape a sustainable economy. That is why great importance is attached to supporting innovations and businesses to accelerate technological progress.

I have to point out that stronger economic partnership creates a favourable environment for supporting SMEs which serve as a driver of the economic development. This requires joining efforts both internationally and nationally and opens up new horizons for investment opportunities and for strengthening cooperation among states.

That is why we are pursuing a well-thought-out economic policy so as to build different industries and businesses including those in the innovation sector. We face a task of building a truly creative and competitive environment opening up new spheres for trade and economic cooperation with friendly nations.

In conclusion I would also like to once again thank you, Your Excellency President Putin, for your kind invitation and the excellent organisation of this forum. It testifies to Russia’s sincere desire to strengthen the international economic dialogue.

We consider the St Petersburg International Economic Forum an important platform for expanding our partnership with friendly nations, primarily Russia. We advocate cooperation for the sake of sustainable development which is in line with our Bahrain’s Vision 2030 concept.

Peace be upon you, as well as mercy and blessing of Allah.

Nadim Koteich: Thank you, Sheikh Nasser.

The address by the Vice Premier of the State Council of the People’s Republic of China Ding Xuexiang.

The floor is yours.

Vice Premier of the State Council of the People’s Republic of China Ding Xuexiang (retranslated): Mr President Putin,

Participants in the St Petersburg International Economic Forum,

Ladies and gentlemen,

Friends,

I would like to thank you for the invitation to participate in the 28^th St Petersburg International Economic Forum, which gained a very important subject this year – Shared Values: The Foundations of Growth in a Multipolar World. First and foremost, allow me, on behalf of the Government of China, to express my most heartfelt congratulations on the successful opening of the forum.

Ten years ago, President of the People's Republic of China Xi Jinping addressed the 70^th session of the UN General Assembly, noting that peace, development, equality, justice, democracy and freedom are universal human values and a noble goal of the United Nations.

Peace, as such, that will be able to overcome the differences between nations in terms of national or ethnic origins, social structure and ideological thinking, unite the whole world around the community of the common destiny of humankind. This received the broadest support and positive responses from the international community.

Actions of unilateralism and protectionism are intensifying, hegemony, dictate and harassment are rampant, geopolitical conflicts are escalating, and various risks are predetermined against the backdrop of rapid changes taking place in the world, which we have not seen for a century. Humanity is facing many common challenges.

Once again referring to important statements by President Xi Jinping, we consider it necessary to firmly adhere to universal human values, implement the concept of the Community of Common Destiny for All Mankind, implement initiatives of global development, global security and global civilization, and jointly promote establishment of an equal and orderly multipolar world, inclusive and universally accessible economic globalisation for the sake of a peaceful, secure, prosperous, progressive future of the entire world.

In this regard I would like to share the following ideas.

First. Global governance should be based on principles of joint consultation, joint construction and joint use. International affairs require a collective solution through dialogue. The fate of our planet must be managed by all states of the world, without exception. Genuine multilateralism should be adhered to, equal rights, equal chances and equal rules should be granted to everyone.

Eighty years ago, China, the Soviet Union and other countries of the anti-Nazi coalition won the Second World War at the cost of the lives and blood of their people, laying down standards of centric multilateralism.

Now, eighty years later, it is important for us to reaffirm our commitment to goals and principles of the UN Charter, firmly defend the world order under the auspices of the United Nations and the world order based on international law, to defend the authority of the United Nations and international justice and to promote the creation of a more just and rational system of global governance.

Second. An open diversified global economy must develop through joint efforts of the entire world. The implementation of the 2030 Agenda is suffering from grave problems caused by anti-globalism.

In this situation we urge to be guided by principles of mutual benefit and joint development and take practical steps to uphold multilateral trade system and international trade and economic order, to promote re-organisation and simplification of trade and investment procedures for the economic globalisation to yield more to all the parties.

China is striving to resolve the issues of the global economy unbalance and inequality. It stretched out a helping hand to over 160 countries and set up high-quality cooperation with 150 nations within the Belt and Road initiative with numerous landmark joint projects. It established the Global Development and South-South Cooperation Fund and made a significant contribution to global development.

We will continue to deepen our cooperation with emerging economies and offer ever more opportunities for the Global South partners for the sake of joint modernisation.

Third. The world’s civilisations should complement each other. The progress of civilisations requires mutual enrichment. We must strive to develop civilisations in the spirit of equality, mutual complementation, dialogue and tolerance; we must respect their diversity and people's right to choose their own ways, implementation of values, and to stand firm against the new ‘cold war’ and any instances of ideological confrontation.

The Chinese people advocate for openness and tolerance, and the Chinese civilisation is calling for harmony while retaining differences, from holding a conference on dialogue between Asian civilisations to adoption by the UN General Assembly of a resolution on instituting International Day for Dialogue among Civilisations. The Chinese concept is gaining an increasing consensus in the world.

Together with all its partners, China is ready to assist each civilisation to flourish in its authenticity with their beauty and achievements to be enjoyed by everyone. We must fully promote universal human values while ensuring the interests of our people.

Fourth. It is necessary to uphold peace and development across the globe. Peace brings forth a development potential while development contributes to lasting peace. We have to assume responsibility for peace on our planet and through dialogue, strive for strengthening mutual trust, settling conflicts and ensuring security, facilitate political settlement of international and regional ‘hot spots.’

China is always carrying the banner of peace, development, cooperation and mutual benefit. It is ready, jointly with all nations and peoples advocating for peace and development, to pass the torch of peace from generation to generation for the sake of long-lasting peace and common security.

Ladies and gentlemen,

Friends,

China and Russia, as permanent members of the UN Security Council and the world’s leading growing economies, are trustful friends in the spirit of time-tested friendship and reliable, mutually supporting partners.

Last month, President Xi Jinping made a state visit to Russia at President Putin’s invitation and attended the celebrations of the 80^th anniversary of Victory in the Great Patriotic War.

The two heads of state agreed to further strengthen political trust and strategic interaction and jointly called for defending the results of the Second World War and international justice.

Together with our Russian friends, we will implement the important agreements reached by our leaders, play a more essential role in promoting multipolar world and global development as well as in improving global governance.

We have to comprehensively raise the level, dimensions and stability of China-Russia relations. While following the general cooperation trend, we must create, on the basis of the Belt and Road Initiative, together with the EUEU, an interconnected cooperation structure with high standards, effectively tap into the advantages of the resource base and mutually complement production structures of China and Russia, expand high-quality and mutually beneficial cooperation in the economy, trade, energy, agriculture, aviation, space, artificial intelligence and others, to continuously consolidate the material basis for comprehensive strategic interaction for the well-being of our countries’ peoples.

It is crucial to maintain close alignment on numerous platforms including the UN, promote the enhancement of the SCO and BRICS, facilitate the Global South’s engagement in global governance so as to shape a more just, rational and flourishing multipolar world.

Ladies and gentlemen,

Friends,

China is currently pursuing, on all fronts, the building of a powerful state and national revival through China’s modernisation.

This year, despite the unfavourable external conditions, the Chinese economy maintains a positive dynamics. Its GDP grew by 5.4 percent in the first quarter, which makes China the leader among the world’s top economies. I will specially highlight the progress in China’s foreign trade under very uneasy conditions which demonstrates to the whole world the incredible viability and resilience of our economy.

We will intensively pursue a more active macroeconomic policy focusing on supporting employment, businesses and the stabilisation of market expectations, advance predictable and high-quality development in response to unpredictability and utter volatility of external environment and contribute to sustainable revival of the Chinese economy. China will open up even more regardless of any changes in the external situation.

We are unswervingly promoting high-level openness including through its institutionalisation for the sake of creating a better business environment based on market, legal and international principles. We will be happy to welcome to China businesses from across the world. We are ready to share with you the opportunities of China’s modernisation and development.

The path to a multipolar world will be challenging but it promises us a bright future. I urge everyone to be guided by universal human values and jointly unlock the beautiful prospects of a multipolar world.

Thank you for your attention.

Nadim Koteich: Thank you, Mr Xuexiang.

The floor is now for the Deputy President of the Republic of South Africa Paul Mashatile.

Deputy President of the Republic of South Africa Paul Mashatile: Your Excellency, President of the Russian Federation Vladimir Putin,

Esteemed heads of states who are present,

Your Excellency Prabowo Subianto, President of the Republic of Indonesia,

His Highness Sheikh Nasser bin Hamad Al Khalifa, representative of His Majesty, the King of Bahrain,

His Excellency Ding Xuexiang, Vice Premier of the State Council of the People's Republic of China,

Distinguished ministers and deputy ministers, diplomats, business leaders, and fellow delegates,

Ladies and gentlemen,

I would like to begin by sending warm greetings from the government of the Republic of South Africa, especially from our President Cyril Ramaphosa and the people of South Africa.

This forum, now in its 20^th year, remains one of the foremost platforms for global dialogue on economic corporation, investments, innovation, and inclusive growth. It is therefore an honour to be given the opportunity to address this distinguished assembly at the St Petersburg International Economic Forum, to convey our vision for a more inclusive, sustainable and prosperous world.

The 2025 theme – Strengthening Multipolarity for Sustainable Development – is not only timely, but central to the moment we find ourselves in. I would like to assume that you will concur with me that the concept of multipolarity has become increasingly relevant in the current global landscape, which is constantly changing. It calls for cooperation, dialogue, and respect for diversity amongst nations to achieve shared goals.

The South African government is certain in its belief that the adoption of multipolarity may result in the achievement of sustainable development and economic prosperity for all nations regardless of their size. It is laudable that as I stand here, I can confidently state that South Africa and Russia are committed to a multipolar world order and actively interact in forums such as BRICS and the G20.

Our cooperation covers various sectors, including trade, energy, and technology. Our aim should be to deepen bilateral connections and shaping global governance. Russia has long played a strategic role in the global economy, not only as a major energy producer, but also as a key actor in food security, industrial technologies, and science-based innovation. It is one of the largest exporters of grain, oil and gas. It is also a rising presence in sectors such as space exploration, nuclear energy – particularly for peaceful purposes – artificial intelligence, and advanced manufacturing.

Importantly, Russia’s increasing orientation towards Asia, Africa, the Middle East, and Latin America is reshaping global trade routes and creating new corridors for commercial and developmental cooperation.

These reconfigurations are part of a broader trend: the steady emergence of a multipolar global economic architecture. Despite the real challenges posed by geopolitical tensions, sanctions, and fragmentation of financial systems, Russia has demonstrated resilience. It continues to foster deep integration with the Eurasian Economic Union, expand its partnership under the BRICS framework and strengthen bilateral and multilateral engagement with emerging economies.

Our country, South Africa, like many others, has also faced numerous challenges on its path to development. The extent, to which individuals feel connected and share a sense of belonging in society, has also been a significant challenge, particularly in the light of the country’s history of apartheid and persistent socioeconomic inequalities.

However, with tenacity, drive and a commitment to diversity, we have achieved enormous strides in reducing poverty, inequality and creating social cohesion. We recognise that sustainable development is more than simply economic progress. It is also about providing opportunities for all our citizens to prosper and contribute to society.

As we look to the future, the importance of the Global South in shaping international economic governance is undeniable. Africa, in particular, is fast becoming a centre of global growth. With the population projected to exceed 2.5 billion people by 2050, a rising middle class, and a youthful demographic dividend, the continent has a potential to drive the wave of industrialisation, digital transformation, and sustainable development.

Africa is not in search of handouts, rather, it is pursuing equitable partnerships. It seeks equitable access to markets, capital, knowledge, and technology. This is where global platforms like the St Petersburg International Economic Forum become crucial for us.

At the same time, the Global South is increasingly demanding a voice in decisions that shape global trade and finance. The collective call is clear: development cannot be dictated; it must be co-created. Africa and the Global South are not merely passive recipients of investments or aid: they are active architects of a new more just international order.

Ladies and gentlemen,

The St Petersburg International Economic Forum has evolved over the years from a primarily Russian and Eurasian platform into a global meeting for policy makers, economists, CEOs, innovators, and thought leaders. The St Petersburg International Economic Forum provides a space for emerging economies to shape global economic discourse, influence trade rules, and negotiate developmental priorities.

In this regard, South Africa supports the increasing inclusion of voices from the Global South at the St Petersburg International Economic Forum. We support the growing participation of delegates from Africa, Latin America, and Asia. It is essential that this platform not only reflects actively but actively amplifies the aspiration and strategic interest of developing economies.

The St Petersburg International Economic Forum’s value lies in its unique capacity to breach geopolitical divides and promote dialogue beyond the dominant narratives. It enables countries with diverse histories, economies, and political systems to find common ground in promoting trade, innovation, and sustainable development. In an era of growing polarization, the St Petersburg International Economic Forum is a vital pillar for pragmatic cooperation.

South Africa is prepared to contribute to the promotion of cooperation and collaboration among nations, in order to benefit all. We believe that a more equitable, prosperous, and tranquil world can be achieved through collaboration.

This year, South Africa has the privilege of presiding over the G20. We have prioritised issues like debt sustainability, global financial reform, access to technology, and inclusive economic recovery. We are championing the representation of Africa in global decision-making structures, including the full integration of the African Union into the G20 framework. We are also working to ensure that global economic policy aligns with the goals of Africa’s Agenda 2063 – the African Union’s blueprint for inclusive growth and sustainable development. It promotes industrialisation, connectivity, regional integration, and the African continental free trade area.

We offer a compelling value proposition to global investors and partners. We regard ourselves as a gateway to Africa, rooted in a democratic governance, a robust financial system and world-class infrastructure. Our institutions are strong. Our people are resilient. And our vision is clear. We aim to be a centre of innovation, inclusive industrialisation, and green growth.

Moreover, South Africa brings to the table decades of multilateral experience, a commitment to peace-building and development cooperation, and a bridge-building role between advanced and emerging economies. We do not merely seek partnerships – we offer solutions grounded in African realities and global aspirations.

In doing so, South Africa hopes to cement G20 priorities in African reality, ensuring that the recovery from global crises does not exacerbate inequality but rather creates opportunities for inclusive transformation. We are pushing for a new international development-funded agreement that resolves historical inequalities, whilst also preparing the Global South to respond to future shocks with resilience.

Speaking of resilience, we need to reinvigorate multilateralism. The multilateral order is under pressure, and economic nationalism is on the rise. At the same time, we face collective challenges that require urgent cooperation: climate change, energy transitions, food insecurity, global health disparities, and digital inequalities.

It is in this context that we must reaffirm the principles of mutual respect, sovereignty, equality, and solidarity. We must resist a return to protectionism and instead build a global trading system that is transparent, rule-based, and inclusive.

Developing economies must have greater representation in global-standing setting institutions. We must accelerate the reform of the World Trade Organisation, the International Monetary Fund, and other Bretton-Woods institutions to reflect contemporary global realities. Through strengthening multipolarity, we are able to harness the collective power of our nations to construct a future that is more sustainable for future generations.

South Africa is prepared to do its share in promoting international cooperation and collaboration for the future of all nations. The future is not being written in board rooms in the Global North alone; it is being written in the towns of East Africa, in the innovation corridors of Southeast Asia, in the minds and digital labs of Latin America, and the energy, agriculture, and science sectors of Eurasia.

The St Petersburg International Economic Forum is one of the few remaining global platforms where this future can be shaped in dialogue. Let us then seize the moment; let us invest in partnerships that are equitable and mutually beneficial. Let us pursue sustainable growth. South Africa stands ready to work with all partners gathered here to forge a new era of cooperation, shared prosperity, and enduring peace.

Thank you very much.

Nadim Koteich: Thank you so much for the heavily loaded speeches that will only make my mission more difficult.

I’d like to start with President Putin. The overarching theme of this years’ forum is “Shared Values in a Multipolar World”. This is a very high ambitions’ ceiling. What does Russia bring to the table on that regard?

Vladimir Putin: I attempted to convey this in my speech. It seems to me that everything that Russia is doing is aimed at uniting the efforts of all our partners, friends, and everybody who wants to work with Russia to address these global civilisational challenges.

And above all, we seek to make global development balanced and consistent with the interests of as many countries as possible, to shape a multipolar world order where members of the international community would agree with each other and create tools enabling them to find solutions even in most complex conditions – solutions that would benefit everybody rather than certain groups or associations, military or economic blocs.

It is my opinion that today’s meeting, this event, organised by Russia, as you know, serves precisely this purpose.

Nadim Koteich: Sometimes, Mr President, this effort to build a multipolar world seems like more of a resistance of an existing order, rather than a genuine, consistent, coherent effort to create a multipolar world that you’re talking about. Is it an objective-driven effort or it’s only resisting current unfavourable kind of order?

Vladimir Putin: To my mind – and I have already spoken about it on various platforms in the past – changes are occurring regardless of whether we facilitate these changes or not. These are objective global development trends.

In my remarks, I also stated, as I have stated repeatedly, including at the St Petersburg Forum last year, that changes in the world are of a fundamental nature, occurring due to the emergence of new economic leaders.

Look how the so-called G7’s share in the global economy has shrunk in recent years. It continues to shrink year after year. And look how the share of BRICS countries is growing.

This is an objective process, independent of any clashes or acute armed conflicts worldwide. This process has continued for decades. And when they claim that Russia has only recently pivoted toward relations with the Global South and Asia – well, this is incorrect. We made this decision long ago, in alignment with persisting global and objective trends.

Our colleague from South Africa has just said that Africa will soon have a population of 2.5 billion. You know, this is a hard fact. It will happen and nothing can stop it. What will all these countries, peoples and continents strive to do? To improve the well-being of their peoples. They will definitely strive to increase their economic and humanitarian potential. These are inevitable things that are happening to our civilisation.

Our task is to give this inevitable process a civilised framework and to undertake joint efforts that will not only accelerate these trends but also render them more balanced. This is to ensure that decisions are timely, most effective, and mutually beneficial for all participants in this transformation, including, incidentally, those nations that are gradually yet inevitably ceding some of their former positions in the global economy.

We remain willing to negotiate with them as well, prepared to seek common ground on all matters, if they genuinely want this. But should they insist on preserving their monopoly at any cost, should they cling to the instruments of colonial influence in global affairs, then they must reconcile themselves with the diminishing position they inevitably assume through such conduct.

This encapsulates the purpose behind all our efforts – both in the national dimension, with due account for our domestic and foreign policy, and in collaboration with our friends and partners.

Nadim Koteich: And obviously, they have the tools to cripple this endeavour that you just summarised, Mr President.

So, I would ask President Prabowo of Indonesia.

Indonesia has always walked a fine line, has always, as you mentioned in your speech, been a non-aligned state. But, as the world becomes more and more complicated, can Asian countries – ASEAN countries – stay non-aligned, or is this more and more not an option? Or a very narrow option, as we go forward?

Prabowo Subianto: Thank you. I think, in my opinion, it is not easy, but it is a line that we are determined to maintain. As I said, we respect all the great powers. We respect our neighbours. And we really believe that the only way for prosperity is collaboration, cooperation, and peaceful coexistence. And this is what we try to achieve. We want to maintain good relations, and we try to convince all parties that the only way forward in this is that this planet is getting smaller, and we cannot afford the rivalry that is going nowhere. Especially if it goes into confrontation. So, no, I am convinced that we have to maintain this path of non-alignment.

Nadim Koteich: Mr Vice Premier of China, China and Russia are building with others this new order in the world. But if you look last year, things started to ease up between Moscow and Washington; there is more dialogue between President Donald Trump and President Putin. Is this a source of concern for you and China? How do you see the developing relationships between the leading powers in the world?

Ding Xuexiang (retranslated): Thank you for your question.

First of all, I would like to state our firm position to President Putin and all forum participants, our friends. China welcomes the restoration of contacts between Moscow and Washington. Russia and the United States are two leading world powers and permanent members of the UN Security Council. It would be abnormal for them not to maintain contact.

The restoration of contacts between Russia and the United States – the revival of this cooperation – would benefit the entire world by fostering greater global stability and supporting world economic recovery.

China-Russia relations are deeply rooted in history. China and Russia are each other’s largest neighbours, and the friendly cooperation between our countries is developing very well. It is founded on mutual benefit, aligned with historical logic, the cultural traditions and strategic interests of both nations. The China-Russia friendship remains unsusceptible to external influences and is not directed against any third country.

Under President Xi Jinping’s and President Putin’s strategic leadership, China-Russia relations have reached an unprecedented level in history and stand strong and unbreakable like a rock.

As you said, global powers have significant influence over the world order and play crucial roles in its protection. President Xi Jinping has repeatedly urged, across multiple international platforms, that major powers should exercise appropriate responsibility.

As far as I understand, the global powers must, firstly, actively fulfil their international commitments and lead efforts to uphold the UN-centric world order, while adhering to the principle of sovereign equality of states, big and small alike, and safeguard international justice and equity, honouring their pledge to reject hypocrisy and promote greater predictability in global affairs.

China is a responsible global power, invariably serving as a stabilising factor amid international turbulence. We are ready to collaborate with all nations in advancing prosperity around the world.

This is my answer. Thank you.

Nadim Koteich: Thank you so much.

Sheikh Nasser,

Bahrain is a very unique country. You have very good, exceptional relations with Washington, yet you are here today representing your country and His Majesty as a guest of honour in the St Petersburg forum. This is a very unique feature. Those who know Bahrain would say that this aligns with the history of Bahrain as a trade hub, as a political bridge. But how are you manoeuvring and navigating a more and more polar world, with the set of skills and experiences you have in the realm of bridging between East and West?

Sheikh Nasser bin Hamad Al Khalifa: Well, you have mentioned briefly the history. Let me take you back nearly 5,000 years ago. The job of Bahrain where it maintained the between East and West.

So, I believe Bahrain, with its geographic position in the region and certain service in the world, we have no choice but to be the arms and the bridges between the East and West. We have no choice but to follow our wise leadership, not just in Bahrain, but in the GCC in total, where we all share a new state of mind: it is the so-called the single-issue alliance. By single-issue alliance, I mean “I do not get my nation, and we do not get our region sucked into wars. I might agree with you in ten points, but disagree in eight, or vice versa. So, we take every point into verticals, and we discuss them.”

And, most important is how do we build on this relation? How do we maintain our relations? How do we seek to a better future? I’d always say: Our past is not better than our present, but I am sure our future should be better than our present.

So, this is what we are doing. We have seen great leadership here with His Excellence President Vladimir Putin, where he showed a stable, long-lasting enduring vision where does he want to take his country and move forward. We do the same. We always say that. We plan for the next generations.

Nadim Koteich: Thank you, Sheikh Nasser.

Vice President,

South Africa is, as well, one of these unique historical experiences in Africa and on the world stage. You said something very interesting about the St Petersburg forum being one of the very, very few places where shaping the conversation around geopolitics and geoeconomics is happening through dialogue. That is a very solid conclusion in today’s world. I’d like you to elaborate more – what did you mean by that, and why? What makes this one of the few and unique places for such a dialogue?

Paul Mashatile: Thank you very much for that question. I want to start by saying I think we should thank President Putin for his great leadership ensuring that, particularly, countries of the Global South should have platforms to be able to collaborate, share ideas, come up with new innovative plans.

As I said earlier, in South Africa we’ve taken a position that we should not continue to go to others for handouts. We should not be queueing for aid, but we should focus on development. And that countries of the Global South can do it. We can see it. We are developing, we are getting stronger; and I think we should keep it that way. So that is why I was saying that the St Petersburg International Economic Forum is a great platform and thank you to President Putin for this leadership. We are with you.

Nadim Koteich: Let me bring the conversation from values closer to the conflict areas in the world.

President Putin,

Israel said that they…I mean, the statements are normalising the fact that a country might kill the president of another country. That is basically the conclusion of last week’s statements. Yes, Ayatollah Khamenei is not a head of state, but he has enough gravitas to be considered the head of state and to be protected by the articles of international law. But when we normalise the idea – no matter where you stand on Iran – when we normalise the idea of a country killing the president of another country publicly, what kind of new rules are being set? They are obviously contradictory to the kind of values you’re trying to put forward, isn’t that so?

Vladimir Putin: You know, our colleagues have already spoken here, and I am making notes for myself for future reference. For example, I have noted what you have just said. You said the following.

During the discussion with my colleague from the People’s Republic of China, I noted your statement: “The Russian Federation and China are creating a new world order.” Russia and China are not creating a new world order; rather, we are only giving it form.

The new world order is emerging naturally, like sunrise. There is no escaping it. Our role is to help shape its contours, perhaps clearing the way for this process to become more balanced and aligned with the interests of the overwhelming majority of countries.

We strongly anticipate that all nations will come to recognise and eventually understand – as I have previously stated – that this approach to finding a solution proves far superior to coercive pressure or the neo-colonial paradigm in which humanity has lived for centuries, if not millennia.

Nadim Koteich: Would you allow me, Mr President, to go back to the question about normalising the talk about a country killing the president of another country, in the case of Iran and Khamenei and Israel within this conflict. I mean, it seems that those who are making the new values are not the Global South, obviously, not Russia, not China, it’s the Israelis. Are you comfortable with that?

Vladimir Putin: While I would strongly prefer that the issues you raised remain confined to rhetorical discussions, I must nevertheless ask for clarification. What do you mean regarding Israel?

Nadim Koteich: I mean, the new values now is that one country is setting the rules for another country that who has or doesn’t have enrichment, for example. One country is threatening to kill the president or the head of that country.

Are these values defendable in any way?

Vladimir Putin: To me, there is nothing new about it. This is the first.

Second, and I wish to emphasise it, the Russian Federation has consistently advocated for guaranteeing every nation’s security without compromising that of any other state. This remains our principled approach.

This may sound like a generalised answer but let me assure you: it is the actionable policy of the Russian Federation.

Nadim Koteich: Allow me for a very direct question about the situation.

Donald Trump is seeking what he calls the total surrender of Iran in terms of the nuclear project. Would Vladimir Putin seek the total surrender of Vladimir Zelensky in the same way?

Vladimir Putin: First, these situations are fundamentally different. Second, our objective is not Ukraine’s surrender. We insist that Ukraine recognise the established territorial realities.

Nadim Koteich: Sheikh Nasser, I’ll go back to you. You see, this conversation unveils the level of tensions on the global theatre. I will go back to the question about how GCC countries keep moving from one success to another, and Bahrain is one of these successful countries. Despite all of these turbulences, despite all of these flashpoints, in your close vicinity and globally, how do you do that, and what lessons can be drawn from that by others?

Sheikh Nasser bin Hamad Al Khalifa: Let me start by saying, ‘Praise the God’ for a wise leadership we have in our region. We always say, ‘the clever tries to solve the problem, but the wise avoids it.’ So, us in the GCC, and especially in your second home in Bahrain, I love that President Putin loved that quote, and you can use it, Mr President, no copyrights on that.

In our country, we talk numbers, we talk facts, we project our plans. As what we saw today from the President of Indonesia, this is a man who is expediting his KPIs by far. He thinks that he will reach in four years’ time that goal, but he reached it in one year’s time. We are sprinting in our region, and if you go back today, especially during that turbulent and eventful nights, look at the numbers, look at the numbers of our real estate, look at the numbers of our stock markets. There is a lot of confidence from the people, from the investors, with our leaderships over there.

Today, in that beautiful city, I sat with the top chairmen and CEOs of your top companies in Russia, and we exchanged the same vision, we exchanged the same purpose and the same spirit during these conflicts. We are only looking forward. We are only looking to de-escalate. We are only looking for a peaceful world. We are only looking for a better future. And, Mr President, we in the GCC and especially in the Kingdom of Bahrain, we live in a constant sunrise like you, but here we are literally in St Petersburg, every day there is a sunrise ahead of us. I still haven’t seen nighttime.

Nadim Koteich: Mr Vice President, as I mentioned earlier, South Africa has a very unique position in history in terms of how it evolved, in terms of how it fixed its wrongs and mistakes and then fixed its history. One of the things that came to my mind when I was preparing for this is the experience of de Klerk, the last president of the apartheid regime. The thing is that he made himself part of the change, and that saved South Africa a lot of blood and destruction and chaos. What lesson can be drawn from this history? When a regime or a state or an idea hits a wall, how can you advise these states or these regimes to change the same way South Africa changed?

Deputy President of the Republic of South Africa Paul Mashatile: Well, de Klerk is not a good example because he was defeated. He was forced to come to the table by the masses of our people. He didn’t come voluntarily. What we are saying is that leaders must recognise that we can resolve our differences through peaceful means but there are those who need to be directed to them, and I think the example of de Klerk is quite that. He was directed to the negotiating table by the masses of our people, and we were quite happy once he came. He had no option. He had to participate. He did try to portray himself like he’s Nelson Mandela. He’s not. He was directed there by Nelson Mandela to say, “We are going to negotiate peace,” and we want to continue to share this example with other countries.

We are quite involved now in the African continent, engaging in peaceful negotiations in South Sudan, in the DRC, and other places. So, yes, there is indeed value in negotiating, in discussions, but there are situations where the masses have to stand up, and they have to fight for their rights, and that’s what we did in South Africa.

Nadim Koteich: Mr President, you were shaking your head when we were exchanging this question. What are your thoughts on bringing adversaries to the table? Is defeat a prerequisite for dialogue, or we can bypass this phase and go to dialogue? And there are so many crises in the world that cannot afford a victorious end.

President of the Republic of Indonesia Prabowo Subianto: Well, I have to say here that Nelson Mandela is one of my greatest icons, my greatest hero. I think he’s an inspiration. He was put in prison for many years.

He was sentenced to death, threatened to be sentenced to death, accused of many things, and his famous statement was that he was willing to give his life for the principle of freedom. But the greatness of Nelson Mandela: when he got out of prison, he worked for reconciliation with his former enemies. So this is the greatness of Nelson Mandela, and this I try also to carry out in my domestic politics.

I reconciled with many of my former opponents. For instance, we had a very long rebellion, separatist rebellion in Aceh, very long, I think more than 30 years. But can you imagine that the former commander of the Aceh Liberation Army, fighting against us for more than 25 years, now he joined my party. He’s in my political party, and he’s now governor of Aceh, and I’m President of Indonesia. This shows that former enemies can come together, and I think this is the lesson of Nelson Mandela.

I want to say: I was a former soldier, and as a former soldier, I really know the value of peace and reconciliation. As a former soldier, I always try now, even before, I always try to negotiate. Negotiate, negotiate, negotiate. Better to talk than to kill each other. This is my position. Always talk, always negotiate.

Nadim Koteich: President Putin, on a more practical question concerning the crisis in the Middle East, now we will talk about Ukraine in a while, but the current crisis, it touches on geopolitics, energy, and it has repercussions that go beyond the parties involved in the struggle.

Is it a test for how the South can play a role in mending the fences between both countries, in putting some good imagination around the solution, architecting a solution that can be acceptable by two parties that are fighting, you know, head-to-head? Is this a test for what you are proposing and trying to create as political weight for the South?

Vladimir Putin: Yes, I believe it is quite possible. Experience and reality demonstrate that many states of the region maintain in some ways complex and in some ways stable relations with both Israel and Iran. This provides reasonable grounds to believe – and indeed to hope – that the Global South collectively, and regional actors specifically, can exert influence to help put an end to this acute phase of confrontation.

When I said that Russia’s principled position is that no country’s security should be guaranteed at the expense of other countries’ security, here we have (without delving into detail, as the context is clear), on the one hand, Iran’s uranium enrichment programme, Iran’s legitimate right to carry out such activity, its right to peaceful nuclear energy development; and, on the other hand, there is Israel’s security concerns. I am convinced that a mutually acceptable solution can be found. Countries of the Global South, especially countries of the region, can undoubtedly have a positive influence on this process, on this search for solution. I believe such a solution exists.

Nadim Koteich: Actually, today, the Russian Ambassador at the UN said that the only way forward is a political solution for the nuclear file between Iran and the Israelis. Are there any preliminary points about the solution or are we still too fat from that?

Vladimir Putin: In such situations, it’s always better not to run ahead so as not to upset the process. That said, in my opinion, there are certain points of common interest.

We have set forth our position to both parties. As you know, we maintain contact with Israel as well as with our friends in Iran. We do have certain proposals involving Russia.

I must emphasise that we are by no means positioning ourselves as intermediaries. We are merely putting forward ideas. Should these ideas prove to be appealing to both countries, we will be simply pleased.

I will repeat, we maintain contact with Israel. As you are aware, not so long ago, I spoke with Prime Minister Netanyahu, as well as with the President of Iran and the President of the United States, who are certainly directly involved in these developments. I presented them with my vision and a potential path to resolving the situation. We will see.

Our proposals remain under discussion. We maintain near-daily contact with our Iranian friends, so we will see how the situation unfolds. I would like to see our ideas among those implemented.

Nadim Koteich: Sheikh Nasser, during the King’s visit to Moscow, he explicitly talked about the role of Russia in maintaining peace in the Middle East. It was an initiative His Majesty put forward during the Arab Summit in Bahrain, in Manama. He was very particular about the role of Russia in achieving that peace, as a pivotal role. What role do you think Russia can play now, in the current crisis?

Sheikh Nasser bin Hamad Al Khalifa: Yes, you are right. During our previous visit, and after the Arab Summit that was conducted in the Kingdom of Bahrain, we have called out for World Peace Forum to end and to reach to a solution with every conflict. His Majesty is a leader of peace. He drives his country towards peace and ending conflicts, and so is President Putin. As you have heard from the President just now, that he continues talking, no mediation. I believe that mediation will always confuse the situation, but any suggestion, any words of wisdom these days are mostly needed. Avoiding the escalation, I think, is the key word of today.

Nadim Koteich: Thank you, Sheikh Nasser. I’ll go back to President Putin about Ukraine.

How is the war in Ukraine reflective of the values that the St Petersburg Forum is trying to put forward, to defend, to underscore?

Vladimir Putin: It is very easy to explain. And it is directly related to what we said before, what I said before. I said that no country’s security should be guaranteed at the expense of another country’s security.

From the early 1990s and for decades, we received repeated assurances that by no means, never, under no circumstances, NATO would expand eastward. After that, we have witnessed five, or effectively six, expansion waves. Despite our persistent objections, these were ignored. This is the first.

Without doubt, these represent rudimentary manifestations of the old, or even centuries-old, neo-colonial policy upgraded to a certain extent in order to align with contemporary trends, while retaining its fundamental nature. These are exercises of power politics that disregard the legitimate interests of the Russian Federation. This is my general assessment.

Regarding Ukraine, all developments there similarly constitute exercises of power politics. What am I referring to? The bloodstained anti-constitutional coup in Ukraine. What did this represent? More power politics. The previous US administration openly admitted it had invested billions of dollars in orchestrating the coup. These admissions were made publicly, without any constraint.

Our objective was to protect the population that historically and culturally identified with Russia, the Russian culture and its people – specifically, the residents of Crimea. Subsequently, we attempted to settle the situation in southeastern Ukraine, particularly in Donetsk and Lugansk. We made attempts.

However, once again resorting to power politics, our ideological adversaries, so to speak, chose to impose a military solution in Donetsk and Lugansk – in Donbass. It was not Russia that initiated hostilities. Following the anti-constitutional coup, part of the population in southeastern Ukraine rejected both the coup’s outcome and the authority of its perpetrators. It was against them that military operations were first launched.

We made attempts to achieve a peaceful resolution and to put together broken pieces, but our so-called “partners” (let’s put them in quotation marks now), as it was further revealed, initiated the peace talks for one purpose only: to arm Ukraine and continue these hostilities.

Ultimately, we had no choice but to recognise the independence of these republics – Lugansk and Donetsk. For eight years we refrained from such a decision, persistently pursuing diplomatic solutions. But eventually, we were forced to recognise their independence and extend our support, including military assistance, in order to end the war launched by our Western adversaries and by those whom they relied and continue to rely on now in Ukraine – the radical nationalists and neo-Nazis.

Therefore, responsibility for the tragedy in Ukraine lies not with Russia. It is the responsibility of those who refuse to reconcile with the global changes in the world.

Nadim Koteich: Mr President, I am in no position to challenge the narrative you put forward. Let’s say this is the baseline of what the reality is. Let’s assume this is the reality. Your army is advancing beyond the four areas that are considered Russian by Moscow. So, what is your endgame? How is your army going to go and for what effect?

Vladimir Putin: You mentioned the regions in Ukraine that we regard as part of Russia. I have stated on numerous occasions that, in my view, the Russian and Ukrainian peoples are essentially one people. In that sense, we see Ukraine as ours.

However, we also recognise the realities on the ground as they evolve. There are many individuals in the neighbouring country who are committed to asserting their sovereignty and independence, and we respect that. In fact, we have never denied the Ukrainian people’s right to independence and sovereignty.

At the same time, the foundation for Ukraine’s independence and sovereignty was clearly established in its 1991 Declaration of Independence, which explicitly states that Ukraine is to remain a non-aligned, non-nuclear, and neutral state. It would be constructive to revisit these core principles, as they formed the basis upon which Ukraine gained its statehood. That is the first and most fundamental point.

Secondly, from the very outset – when the conflict had already escalated significantly – we proposed to the Ukrainian leadership at the time that hostilities be halted immediately. We called for the withdrawal of Ukrainian forces from the regions where the local population had clearly expressed their desire not to remain within Ukraine, particularly in response to what they perceived as unconstitutional and anti-state actions. These people sought either independence or integration with Russia. Our proposals were rejected.

Furthermore, these are not purely political decisions, but rather the result of military logic. Military commanders assess terrain – rivers, hills, ravines – and determine the most strategic paths to advance while minimising casualties and achieving their objectives. As a result, the dynamics of military operations naturally lead to the presence of troops in various territories. There is an old saying, not quite a proverb, but a long-standing principle: wherever the foot of a Russian soldier steps is Russian land.

I do not want this to sound militaristic. But the truth is – and I want to emphasise this very clearly, as it is absolutely sincere – at every stage of the unfolding events, we proposed dialogue. We consistently urged our counterparts in Ukraine to stop and engage in negotiations.

We said: “Let us talk now, before the situation deteriorates further. Continued reliance on military action alone risks leading to more difficult circumstances, after which any negotiations would have to take place from a much less favourable position for you.” This scenario repeated itself more than once. I will not go into the specifics at this moment.

There are well-known political figures from other countries – thankfully still alive and well – who can personally attest to our repeated proposals to halt hostilities. On several occasions, after hearing our suggestions, they would leave Moscow for Kiev, but later on they would tell us: “We’re being accused of acting as Kremlin agents. That’s it, we are stepping back and will no longer be involved.”

Each time, the response we received was a firm “no.” And we warned: if this path continues, the consequences will be more severe. Still, they refused to engage. Why? Because certain actors, particularly in Europe, still operate with outdated, neocolonial mindsets. They believed that they could easily exploit the situation to their advantage by weakening, destabilising, or even dismantling Russia, all in the hope of reaping strategic or economic gains.

I am sure that this is why former Prime Minister Boris Johnson – undoubtedly at the urging of the former US administration and Mr Biden – travelled to Ukraine and advised against reaching any agreement with Russia. Yet the agreement was already on the table. During the negotiations in Istanbul, as I have said before, we had reached an almost complete consensus on nearly every issue. All that remained was to finalise the accord. I was prepared then to meet with the head of the regime and finalise it.

But no, they had to send Mr Johnson, clearly with the support of the then Biden administration, to dissuade Ukraine from signing the agreements. Instead, they attempted to secure what they called a “strategic defeat” of Russia on the battlefield. The result? New territories came under our control. The Russian Armed Forces are now advancing daily along the entire line of contact.

Look at what they have done – they entered our Kursk Region. First, they lost 76,000 people there. That’s a catastrophe for them – 76,000! In the end, as we said, we pushed them out. But they started posing a threat all along our state border with Ukraine, in two other neighbouring regions as well.

What has this led to? They already lack manpower, and now we’ve had to establish a security zone along large sections of the border, forcing them to divert troops – troops they can’t spare – from critical parts of the frontline.

I have said it before: combat units are only 47 percent manned. Just 47 percent. They are losing combat capability. And on top of that, they have stretched the line of contact by nearly 2,000 kilometres. We already had a 2,000-kilometre front, and now they have created new threats along the border, adding another 1,600 kilometres or so.

They have spread their armed forces thin. From a military standpoint, it’s hard to imagine a more strategically flawed decision. They are creating problems for themselves, and we are forced to respond.

You mentioned “some other territories.” Yes, that’s true. But specifically along the state border, they entered the Kursk Region, committing multiple crimes against civilians.

We pushed them out, inflicting huge losses in the process. And now we must establish security zones along the border because they keep launching artillery and drone attacks. What is this?

Nadim Koteich: How deep is the security zone?

Vladimir Putin: In the Sumy Region, the depth of our operations ranges from 10 to 12 kilometres. Around 8, in some others 10 or 12 kilometres. Then comes the city of Sumy, the regional centre. We don’t have an objective to take Sumy, but I would not rule it out either.

Why are we doing this? Because they are creating threats for us, constantly shelling border areas. This is the result of their utterly reckless, unjustifiable actions.

The only goal was political: to demonstrate that they still can receive something from their foreign sponsors. They have already received nearly $250 billion. But no, it’s never enough. They want more and more – and on top of that, half of it is being embezzled, if not more.

That’s why we are now operating in these territories. This is the logic of how the confrontation has unfolded and what has driven it.

Nadim Koteich: Thank you, Mr President.

I will later go back to some aspects of your answer – mainly about the nuclear aspect of what is happening. But I would like to go back to the other participants.

Indonesia, Bahrain and South Africa are three countries actively deepening relations with Russia. From what I understood, this conflict, unfortunately, and I hope I am wrong, might go longer, might go for long. How are you planning to mitigate the fallout of this conflict in terms of secondary sanctions, in terms of political reputation in the world, and in terms of pressure coming from your other allies. This is a very complicated situation you do not want to be in in any way but that is the reality. I will start with you, Mr President.

President of the Republic of Indonesia Prabowo Subianto: I really do not understand actually your question. What secondary sanctions?

Nadim Koteich: I will make it simple.

Prabowo Subianto: In Indonesia, we are very clear that we have always been non-aligned. In the Ukrainian situation, I think, two years ago, we proposed an immediate ceasefire in place and, I think, at that time, the reaction from the Russian side was quite open, was quite positive, in fact. But the reaction from the Western governments… I have to be fair, not all Western governments but many Western media virulently attacked my proposal. They said I was proposing the peace of the cemetery. That was what many Western journalists accused me of. So we will always propose a peaceful solution.

And at the time, I reminded everybody that, in Korea now, North Korea and South Korea, there is a demilitarisation zone supervised by the United Nations. The war in Korea is officially not yet over but there is a peaceful condition. So, that was what we proposed, to save the people of Ukraine on all sides – the people of the Russian-speaking areas. Just to save them. A cessation in place. We are far from the place but we want to promote a peaceful solution. So, I do not understand, who is going to impose sanctions on us?

Nadim Koteich: Sheikh Nasser, same question about the secondary sanctions on the friends of Russia. Let’s agree that this is part of the reality of the international dynamics and people take care of that, pay attention to that. How are you navigating this in terms of sanctions, in terms of reputation as well?

Sheikh Nasser bin Hamad Al Khalifa: Well, you mentioned it, the friends of Russia, but also the Kingdom of Bahrain, being the friend to the world, the link and the bridge between conflicts. We have always opened our arms as a…

I would never say that we are neutral. Neutral means siding with one side or another. I would say that we are peacekeepers, peace seekers. We are opening our arms. Bahrain is a platform for peace talks. So, what we try to achieve all the time by the guidance of His Majesty is we will always welcome – and you remember, Mr President, we actually offered that Bahrain is always ready for whenever there will be peace talks in your conflict then we are more than happy to host it.

So, if we can achieve that, then definitely we are benefitting something that we secure the world’s interest. Because, at the end of the day, with this conflict and what is happening from left, right and centre, I do not see any benefit out of it. I do not see one side as a loser and the other side as the winner. No one is going to get out of this victorious if we keep looking at the event-driven prospect of that whole image. But what we look for is how we can end up with a solution that is foresight in the future that builds our economy, that secures our generations, and how will we look and how will our world look in the next generation?

So, these are difficult questions to answer today because this is all in the future. But all that I know is today. If I go by every sunrise again, knowing what is happening today and what I see around me today, people are readjusting, people are reshuffling and people are expecting that, hopefully, with the leadership and the wise leadership of Mr Putin, something beneficial is going to happen.

So, I am an optimistic person. I look at these opportunities for my nation and for the better to everyone. So, if we seek together how we can bring these issues into solutions then we are on the right path. If we are not thinking this way, then we are definitely not thinking of a solution.

So, at the end of the day, let’s not get deep into these issues but let’s think forward and let’s readjust our posture of today and then this will shape our future together forward.

So, this is our navigating track, I think.

Nadim Koteich: Excellent. Mr Vice President, same question for you.

Deputy President of the Republic of South Africa Paul Mashatile: We are already facing tariffs as we speak. So, if we are going to face secondary sanctions, it is something that we have to deal with.

I did say earlier that the road to multipolarity is not going to be easy. All the things we want to do to ensure equality in the world, not being dictated upon, those things are not going to come easy. But it is always important that, in times of difficulty, friends must stay together, so that we face the challenges together.

I want to recall here the famous words of former president Nelson Mandela. In times of difficulties, when others tried to say, “Why do you go to this country?” He said: “We are not going to be dictated upon who our friends should be. We choose our friends, we work with our friends even in times of difficulties.”

So, the countries of the Global South must work together. We are already working together. We will face this challenge together, and I am sure we will succeed.

Nadim Koteich: Mr Putin, your satisfaction with the answers cannot be hidden in any way. Any comments?

Vladimir Putin: Listen, first of all, I never doubted it would turn out that way. Not because someone wants to cause harm to someone, or say something nice to them. This is not what it is about at all.

We have circled back to the beginning of our discussion, when I said that global changes take place naturally like the sunrise, you see. Everything is connected to that.

What did you say? “Russia and China are shaping a new world.” We are not breaking anything, you see? That is the issue. We are not creating problems for anyone. The Vice Premier of the State Council said, “The China-Russia friendship … is not directed against any third country.” That is true. That is exactly how it is. We are just formalising what is happening in the world naturally. It will happen anyway.

To bend under the pressure of those who want to preserve the old rules means to fall behind. But overcoming all the difficulties, including tariff wars, sanctions, and so on, means moving forward. We are friends with and cooperate with those who want to move forward, who accept this challenge, and are ready for it.

Nadim Koteich: In a previous answer about Ukraine, you mentioned the nuclear aspect of Ukraine in a very subtle way. To be honest, I have read some reports, most of them are in Russian media, that there is an assumption that Ukraine might opt for using a dirty bomb against Russia. Do you take these reports seriously? Do you have intelligence that supports this kind of probability?

Vladimir Putin: First of all, it would be a colossal mistake on the part of those who we refer to as neo-Nazis on the territory of present-day Ukraine. It might even be their last mistake. Our nuclear doctrine, common sense, and the way we operate in real life indicate that we always respond to threats posed to us in a symmetrical manner. We always respond and always symmetrically.

Therefore, our response would be extremely tough and, most likely, catastrophic for the neo-Nazi regime, and unfortunately, for Ukraine itself. I hope it never comes to that.

Nadim Koteich: From the tone of your answer, I can conclude that you take these reports seriously. Is there evidence supporting these reports? Like intelligence evidence?

Vladimir Putin: No, thankfully, we have no confirmation of any such intentions. However, we operate on the premise that someone with a sick imagination might come up with such ideas. I believe I have provided a comprehensive answer with regard to our potential response.

Nadim Koteich: You absolutely did.

We were talking about friendship a while ago and the friends of Russia in this panel. I would start from South Africa, then Bahrain and then Indonesia. And if China would love to comment on that, the floor is open.

Are you surprised that a friend of Russia, Iran, is under attack and Russia did not step up to help that ally? This is at least one of the narratives in the media. Where is Russia in this conflict? As friends, are you surprised?

Deputy President of the Republic of South Africa Paul Mashatile: President Putin has already indicated that he has been in discussions with Israel and also in discussions with Iran on these matters, and offered solutions. We think that is the correct way to do it. So we are not surprised; in fact, we support that approach that he is taking. South Africa is one of the non-aligned countries. We always advocate for peaceful solutions of this conflict. Our president has already issued a statement in that regard, [saying] that there should be negotiations. And that is really the route that we are going to pursue.

Sheikh Nasser bin Hamad Al Khalifa: Well, let me make it simple to you. I like making things nice and simple. To prove friendship, if I can make a Russian laugh right now, then I am a good friend of Russia. I hear one over there that laughed, so that's more than enough.

Nadim Koteich: Mr President, before I go back to you, Mr Putin, [will you comment] on that question, please.

President of the Republic of Indonesia Prabowo Subianto: My position is the logical one: each country is responsible and will defend its own national interests. So, being friends is being friends, trying to cooperate and trying to help each other. But being friends does not mean that every country must [sacrifice] their national interests for another country’s national interests. So it will be the decision of every country to defend and protect its national interests. That is my position.

Nadim Koteich: President Putin, you are taking some notes on that, and I would add one aspect, if you allow me.

Vladimir Putin: We put everything down, mind you. Every step is documented, every single step. (Laughter.)

Nadim Koteich: Am I in trouble?

Vladimir Putin: You will cope with them. And we will even help you. (Laughter.)

Nadim Koteich: So in Western media, there are reports saying the following, and I leave the opportunity for you to comment on that: actually, the Iran war is a good thing for Russia. First, oil [price] is up. Second, the West has one more problem on its table to take care of. And third, Ukraine is on the back burner, so all the news is on Iran rather than on Ukraine. How would you comment on that?

And what do you say for those who are saying that Russia is unreliable, a lie, because it did not step up for Iran?

Vladimir Putin: Those who promote narratives about Russia being an unreliable ally are provocateurs. They are provoking the situation. But it will not help them; they will not achieve their goals.

Because, first of all, conflicts only look similar. But as a former Defence Minister and to some extent a military conflict and an armed confrontation theorist – my distinguished colleague from Indonesia, who is now the President of that country – accurately noted – we have published his book on the art of war in Russian – “Every country is responsible for what happens within its borders.”

Now, regarding whether Russia is a reliable ally, or not. It has already been mentioned here that we must show certain solidarity, and that is true. But in every case, conflicts are, nevertheless, fairly unique.

I want to draw your attention to the fact that nearly two million people in Israel are immigrants from the former Soviet Union and the Russian Federation. Today, Israel is almost a Russian-speaking country. In modern Russian history, we have always taken that fact into account. That is the first point.

Second, we have traditionally had very good, trust-based, friendly, and allied relations with the Arab and Islamic world. Given that around 15 percent of our population is Muslim, we hold an observer status at the Organization of Islamic Cooperation. That is also a factor to reckon with. We must be mindful of these aspects.

We have friendly relations with Iran. First, we always fulfil our obligations – this also applies to the Russia-Iran track. We support Iran in its efforts to defend its legitimate interests, including its interest in peaceful nuclear energy. We have always maintained this position. Our principled stance on this matter and in this conflict has not changed.

Some say we should have done more. More in what sense? Launch military operations? We are already conducting military operations against those we see as opponents of the ideas that we defend, and those who pose a threat to the Russian Federation. Fundamentally, those forces are the same in Iran and in Russia. They are located somewhere in the rear areas, behind our backs. However, they are not the ones who are on the line of contact.

We have certain obligations, and we defend Iran’s right to peaceful nuclear energy not in words, but in actions. What does that mean? Despite the challenging situation surrounding Iran, we have built a nuclear reactor in Bushehr. We have signed a contract to build two more nuclear reactors. Despite the difficult situation, despite certain risks, we are continuing this work. We are not evacuating our personnel from there.

Moreover, relying on a certain level of relations with Israel and our improving relations with the United States, we raised this issue with Israel and President Trump. We will keep doing our work in Iran based on our view of Iran’s right to peaceful nuclear energy, and of us acting strictly within international law, and we request to ensure that our personnel remains out of harm’s way.

Prime Minister Netanyahu agreed with that, and President Trump promised to support our legitimate request. Does that not count as support of Iran? I believe it is direct support. In addition, we have adopted a particular stance at the UN.

I am deeply convinced that our position at the UN and elsewhere serves the interests of both Iran and the State of Israel.

Nadim Koteich: I would say probably enough with the politics, so one more question before you move to economy and other issues about AI.

The forum this year coincides with the 80^th anniversary of commemoration of the Day of Victory in World War II. Are you concerned that we are heading into World War III in any way?

Vladimir Putin: Yes, I am. I mean it. No irony, no jokes.

The conflict potential abounds and it is growing. Right under our noses – and this directly concerns us – there is a conflict that we are enduring in Ukraine. There are the developments in the Middle East as well. Without a doubt, we are very concerned about the events related to Iran’s nuclear facilities and potential ramifications.

Without a doubt, this requires us to not only focus on the unfolding events, but also to look for solutions, preferably peaceful, across all areas.

I mean it sincerely. This is one of reasons we have come together here.

Nadim Koteich: Vice Premier, back to you. We’ll talk more about economic endeavours now; it concerns you more than anything else as we agreed before at this panel. Sanctions are not only in the realm of politics or military. Some countries are even militarising education, militarising technology and innovation research. And this is a big worry for China, or it is a challenge that China takes very seriously. How are you mitigating that through the relationship with Russia and in the realm of your own sovereignty and decisions with other allies?

Ding Xuexiang (retranslated): Thank you for the question.

Let us take a look at the world in its entirety. Research, technology, and education are of great – unprecedented – importance for the progressive development of humanity.

All of that progress would have been impossible without cooperation between different peoples and countries, without mutual learning. That is why education, research, and technology are an indispensable factor for the further development of human society.

As you mentioned, lately – it is not a recent development – seven or eight years ago, certain countries started using diktat that was based on force. It has even come to the point where they obstructed international cooperation in research, technology, and education. This historical regression is causing serious damage to the sustainable development of humanity.

It is gratifying to note that China and Russia are making rapid strides and cooperating in education, research, and technology. One can safely say that our countries provide one of the best examples of cooperation.

Speaking about education, our cooperation is burgeoning across all areas, including student exchanges and language instruction, and has reached a very high level. Over 800 universities from our countries are forming 15 specialised university associations.

Speaking of the research and technology sector, we have created a joint institute for fundamental research and created top-of the-line joint laboratories. We are successfully carrying out joint mega-research projects and expanding mutual open access to research equipment. In other words, we have impressive results to show.

I believe that even without any particular “great power,” the world continues to move forward dynamically. Even without them, we would have made good progress. There is no need to worry about that.

China’s experience in recent years shows that the stronger the external pressure, the faster the progress and development. The Americans have been trying to block the development of our research and technology, and not just today or yesterday, they have been doing this for decades. But their attempts only make us stronger in the areas they are targeting. All current restrictions are doing is providing us with a strong incentive to pursue tomorrow’s development.

In May of this year, President Xi Jinping and President Putin held a productive meeting. They outlined new plans for advancing cooperation in education, research, and technology. I believe that once these agreements get implemented, they will further expand the scale of our cooperation and broaden its scope, especially in the fields such as artificial intelligence, low-carbon technologies, biotechnology, innovative materials, aviation, and outer space exploration. These are scientific and technological innovations. We will undoubtedly have an impressive package of achievements in these areas.

Our cooperation mechanisms are being improved. The governments of both countries are making every effort to promote cooperation in these sectors.

Thank you.

Nadim Koteich: Mr Putin, I listened very carefully to your speech and you mentioned investments, but it wasn't that clear about foreign direct investments. Where does Russia stand on that? Where do you stand on that? Do you still care about foreign direct investments? Do you see it as an opportunity or as a burden? Help us understand where Russia stands in this regard.

Vladimir Putin: We believe that private investment is what we need, and the Russian economy is unlikely to develop effectively without this. Well, this also concerns foreign investment in full measure.

We did not evacuate our investors (who worked here for a long time) from Russia, and we did not expel anyone from our country. Many investors quit of their own accord, suffering major losses. But our policy in this sphere has not changed.

Yes, in principle, our economic operators boast a sufficiently impressive investment potential, but we certainly welcome any foreign investment.

In the first quarter of 2025, fixed capital investment volumes soared by 8.7 percent. I know that certain problems facing Russia were discussed on the sidelines of the forum; this includes tensions linked with the high key interest rate, and investment will not be retained until the end of the year. Nevertheless, the Central Bank assumes that, in late 2025, the real economy will continue to borrow loans at 10–11 percent interest. We shall see how this works out. I would really like this to come true.

But we certainly welcome foreign investment, and we will do our best to create favourable conditions, so that our partners would feel comfortable here.

Our friend from Bahrain is present here. They have already reached an agreement with the Russian Direct Investment Fund on launching specific work. The first steps have been taken. These projects may not be very impressive, totalling about 15 billion rubles. We are working very actively with the United Arab Emirates in the field of sovereign funds. We are cooperating with Saudi Arabia and other countries. By the way, our partners and our friends did not make this decision yesterday or today; they made it several years ago. They trust their Russian partners and simply automatically (I would like to emphasise, automatically) co-invest in projects financed by Russia’s Direct Investment Fund – 10 percent.

They are doing this promptly, without inquiring about future results. This is a sign of their high trust, and we appreciate this very much. Later, they invest more and more. You should speak with Mr Kirill Dmitriyev who will provide the final statistics. This involes many billions of dollars.

It is possible to use this also through other sources and tools. We have virtually no restrictions for our foreign partners, in terms of applying their efforts and channelling their capital. I believe that this is a key trend in our cooperation.

Nadim Koteich: Having said that, there are two trends that I realised talking to Russian businessmen, either here or back in my country, UAE. A, there is a kind of rejection of buyback. You know, when the war happened, there were some foreign investments that were bought by Russians, and now these might want to buy back their investments.

Russia seems to be blocking that, because new Russian entrepreneurs bought and invested in these operations. The second trend that I realised is that people are a little bit worried about nationalisation. There are some nationalisation efforts taking place within Russia.

I heard, I mean, I read about one of the airports being bought back or even taken by force of court from the Russian owners. So, how do you see these two trends impacting the rebound of the Russian economy?

Vladimir Putin: Nationalisation cannot have a positive effect on Russia’s economic growth, and we realise that. As far as I understand, the case you mentioned is the case of Domodedovo Airport in Moscow.

I apologise for my language but the fuss surrounding this facility has persisted for quite some time. The dispute between the entities involved did not emerge recently. It has continued for many years before ultimately being resolved through judicial proceedings. This case has nothing to do with nationalisation.

Nationalisation is a process stipulated by law. We do not enforce this law or its provisions.

As I previously said during a meeting with the business community, in my opinion, the problem is that during privatisation, significant injustice occurred. Assets worth probably millions were privatised for a nominal price of one ruble. This is clear. From a standpoint of social justice, those decisions were far from perfect. However, it would be an even bigger mistake to reverse everything now.

Therefore, my opinion is, we must establish clear statutory limitations for such transactions and resolve this matter once and for all, conclusively.

The situation you described has nothing to do with de-privatisation.

Regarding the potential return of our partners, so-called “buyback,” several aspects also need careful consideration.

First, we need to identify which companies left our market, under what circumstances, and on what grounds. If some companies departed for political reasons, under the pressure from the political elites in their home countries, this makes them unreliable partners. Their withdrawal put their workers at risk of losing their jobs. This appears to have been the intended outcome. However, the negative impact was mitigated as Russian businesses took over management and filled the opening niches. Frankly, from this perspective, those decisions ultimately changed the quality of the Russian economy by enabling our business leaders to join the management of these companies or become owners.

However, where legally binding agreements exist that guarantee buybacks, well, Russian companies will have to honour these obligations. We support fostering reliable and stable business relationships, yet this has not always been reciprocated by all parties.

In light of these considerations, the Russian Government has received instructions to take action. I am asking members of the parliament to endorse the proposed regulatory improvements. It is necessary to ultimately decide on the return of international companies seeking to re-enter our market. We must support everything that benefits us.

Nadim Koteich (addressing Prabowo Subianto): Mr President, how is your country taking advantage of the current economic situation in Russia? You know, people have left, and businesses have left, too. There are opportunities in the market now for a country like Indonesia. How are you leveraging the situation?

Prabowo Subianto: As I mentioned, I have had good relations with Russian business entities and business groups, but mostly – I have to be very frank – they were interested and they are interested in coming into Indonesia. I think we have a lot of sectors that are still, let us say, at a ground level; they have a long way to grow, so basically, it’s mostly Russian groups that want to come to Indonesia.

But before this, our groups have joined ventures with Russian groups in commodities trading, oil and gas; and now we have opened our markets for Russian agricultural products. So, I think it’s not that we are going to take advantage, but we are going to look for all opportunities, because we have also been given a very heavy dose of tariffs. Everybody knows this, right? From the American market. So, we are forced to look for new markets – Africa, Latin America, Eurasia. We are in the process of concluding a free-trade agreement with the Eurasian Union. And the European Union, of course.

So, for us, it is a matter of diversity, but yes, we are confident; we have our strengths, we have our abilities and our relations with China are very good and very strong. So, we are optimistic, to say the least.

Nadim Koteich (addressing Paul Mashatile): Mr Vice President, there are many aspects of the economic relationship between South Africa and Russia, but one of the main aspects is the energy deficit in South Africa. You have been trying to mitigate or solve this problem by cooperating more with Russia in the realm of energy. So far, this hasn’t been as fruitful as you would want it to be, or as much as Russia is capable of helping. How do you assess this?

Paul Mashatile: Thank you for the question. Firstly, let me say that I have already had good meetings with both the prime minister and the president. We’ve agreed that we need to increase trade between our two countries. Currently, trade between South Africa and Russia is estimated at about $1.3 billion. We think this is quite low, so we want to triple that number in the next four or five years.

So, we have looked at various sectors. We’ve looked at the energy sector. Russia has a lot of good technologies in that space: we are looking at solar, gas, nuclear energy. Our ministers are already talking about the details. We have also talked about critical minerals, particularly, to support our local beneficiation efforts.

We also looked at agriculture. We are exporting citrus fruit to Russia. We are exporting wines. But we need to increase the volumes.

We have what we call the South Africa-Russia Business Council. They are also making deals on what we import from Russia. One of the businesspeople was telling me yesterday: yes, just sign the deal to import Russian vodka to South Africa, and obviously to the African continent.

So, the work has started. We all agreed that we need to do more; we need to increase trade between our two countries. What we have to do as well is cut the red tape. You know, some businesspeople are talking about bottlenecks: things that make it difficult for them to trade with their partners in South Africa: the financial situation, the currency, which our reserve bank is looking at, so that we make it easy for businesspeople to do business.

It is our commitment, and we’ve agreed on all these areas; as we speak, the ministers are already working on the details, including issues like water as well. They are also dealing with that, and infrastructure issues – railways, locomotives, signalling – really a lot of work is now happening. We’re going to see trade increasing between South Africa and Russia. We have started. Thank you.

Vladimir Putin: My colleague from South Africa said that vodka deliveries to the Republic of South Africa have been arranged. I would describe this as a correct and serious move. The reasons is that, as we say, if you drink vodka, you need something to eat with it. Therefore, vodka deliveries will certainly be followed by meat or grain supplies.

For example, we plan to set up a hub for the delivery of Russian wheat with our friends in Bahrain. I would like to remind you that Russia firmly holds first place in the world in wheat exports to the global market, which many Arab countries are interested in. We will proceed in this direction step by step.

As for energy resources, we have many possibilities in this sphere, including nuclear energy. I would like to remind you in this context that Rosatom is the undisputed leader in the world in the development of nuclear facilities. I believe it is currently building 22 nuclear power units across the world. This is more than anyone else is doing, which has put it ahead of all its rivals in the United States, Japan and other countries.

We are also considering joint projects in this sphere in other partner countries, including South Africa. There are many good and promising spheres apart from hydrocarbons, which goes without saying.

Nadim Koteich: There is no doubt that more vodka will help improve the mood in the world.

Vladimir Putin: At the very least, life will be more fun. That is for certain.

Nadim Koteich: Mr President, I will go back to the tensions in the Middle East, not from the geopolitical perspective, but from an oil-related aspect, which is the supply shocks expected in the market due to the Iranian-Israeli war that is taking place. Can Russia step in, or is your capacity constrained by sanctions and limitations?

Vladimir Putin: I have already told you what we are doing. What do you mean by step in?

Nadim Koteich: Can you step in to mitigate the supply shocks in the market due to the events? Can Russia do something about that, if this happens?

Vladimir Putin: Yes, of course. To begin with, it is not only about us. We strictly comply with all our arrangements in relations with our OPEC+ friends and partners. These countries deliberately limit the production of energy resources and their delivery to the global market.

On the other hand, production is being gradually increased as per our agreement. This is being done gradually, so as not to unbalance the global market but to ensure a balance of demand and supply, as we say in such cases, and fair prices that will be comfortable for both producer countries and consumer countries.

Of course, we see that the current situation in the Middle East created by a conflict between Iran and Israel has led to a certain price increase. But our experts believe that this increase is insignificant. How much is it now? US$75 per barrel, and the previous price was US$65. The price has risen by US$10 and has settled at the new level.

Many countries, including the Gulf states, can increase production and deliveries to the global market. But as I have said, we usually do this by agreement. I hope it will be like this now too. The United Arab Emirates are making a large contribution, and the Crown Prince has taken an extremely responsible stance on this matter. Once again, our decisions are always balanced. We will take a look at the matter together depending on the situation. There is no need for an immediate reaction so far.

Nadim Koteich: The latest sanctions on Russia aimed at the so-called shadow fleet, how will this impact the supply to Asia and other places, Africa? How would it impact Russia? How will it impact your friends as well?

Vladimir Putin: You know, the thing is, our adversaries and ill-wishers are constantly trying to come up with ways to damage us economically – and in the end, they are the ones who suffer most.

You just mentioned energy. According to our experts – and not just ours, I believe Eurostat also confirms this – the damage to the eurozone from giving up Russian gas alone is estimated at around 200 billion euros. They’ve lost 200 billion. Prices are rising across the board.

As for the so-called “shadow fleet” and related issues, our Chinese friend put it very well, in my view: wherever someone tries to strike a blow, we eventually come out stronger. Why? Because we always find an answer, a solution.

You mentioned tariff policies. Trade between the United States and China accounts for 20 percent of global trade. In the current situation, where debt levels, huge debt load across the global economy has already reached 300 percent – of course, this affects everyone. Any attempts to harm us, including through actions against the shadow fleet, will lead to broader problems. And mainly for those trying to, excuse the expression, mess with us. Because it will ultimately affect global prices and hit the very countries trying to do this because they are the main consumers. That is the outcome. As for us, we will find new markets.

Nadim Koteich: It is a very interesting tone in this answer. Let me ask you directly. This is my last question before I give one minute for each esteemed participant to finish, or to say some final thoughts. There are enough reports out there – credible reports – that this war is killing the Russian economy. Your inflation rate is very high. Your interest rate is very, very high. Your growth, by the most optimistic scenarios, will not exceed 1.5 percent this year. Is this war killing your economy?

Vladimir Putin: First of all, our debt is not growing – in fact, it is one of the lowest in the world. That is the first point.

Second, as for the idea of “killing” the Russian economy – well, to quote a well-known author, “Reports of my death have been greatly exaggerated.” The same applies here.

The main indicator, after all, is GDP growth. Two years ago, Russia’s GDP grew by 4.1 percent; last year, by another 4.3 percent. If I remember correctly, global GDP growth was 3.3 percent. So we were growing faster than the global average. The United States grew at a rate of 2.8 percent, and the eurozone just 0.9 percent. Clearly, Russia is making real progress. And if you strip out everything related to hydrocarbons, our growth is even more significant: 7.2 percent two years ago, and almost five percent (4.9) percent in 2024.

But that is not the most important thing. It’s encouraging, of course, but what matters more is this: the structure of the Russian economy is changing. That is what is truly important. In our GDP growth, more than 43 percent now comes from non-oil-and-gas sectors, and not from defence either. A large share of our growth is concentrated in the core industrial sector, and not even in the defence-related part of it. I spoke about this in my remarks.

You know what truly encourages us? I consider this fundamentally important. We constantly talk about import substitution and have indeed allocated significant financial resources to substitute the products that have left our market due to sanctions or the departure of some Western companies. Currently, we are observing positive results: a growing range of products developed using domestic solutions and our own research and high technology development platform. The scope of these products is continuously expanding, which indicates a transformation in the Russian economy. This is one of our paramount goals and objectives.

Industrial production is expanding at a pace that exceeds Russia’s GDP growth. I believe in 2024, we recorded growth of approximately 7.2 percent. The first quarter of 2025, I believe, is already showing 1.6–1.9 percent. This upward trajectory remains steady.

These positive developments are occurring alongside rather low unemployment levels, with the current rate reaching a historic low of 2.3 percent.

Naturally, we are experiencing inflation as the price we pay for such vigorous economic growth. However, both the Central Bank and the Government are taking appropriate countermeasures, including maintaining the high key interest rate. You have probably observed the discussions in the Government and between the Government and the Central Bank. Yes, certainly, no simple solution exists but overall, we manage to address this challenge as well. After all, you see that the inflation rate is now in single digits. How much? I believe 9.6 percent. Ms Nabiullina will give me a nod. Around 9.6 percent, correct? Some are citing core inflation already at five percent. But I will not elaborate now. Two or three days ago, they lumbered me with an explanation of where these five percent come from. Ultimately, the Bank of Russia anticipates annual inflation around seven or eight percent. My personal expectation is seven. The trajectory confirms that Russia’s financial authorities’ measures are yielding tangible results.

There are plenty of challenges we must address. The Sberbank Chairman is smiling and nodding. He has a good reason to smile. Sberbank has achieved a margin of 5.7 percent. Major Western financial institutions typically report around 3.7 percent, you see? This is also a notable achievement.

There are aspects of the banking sector that require focused attention. But the overall financial landscape remains steady and predictable. I hope it will remain so.

Nadim Koteich: That was my final question. I will keep one minute around for each participant. If there is anything I failed to ask or something you have in mind. Mr President, go ahead.

Prabowo Subianto: I just like to thank President Putin and organisers of this forum for this great opportunity. I think we have learned a lot from each other. Thank you very much.

Nasser bin Hamad Al Khalifa: I will join my voice to you, Mr President. And I would like to thank His Excellency Mr Vladimir Putin, the President of Russia, for inviting us here to the beautiful St Petersburg, to listen to your wisdom and to share our thoughts with you all. Thank you very much.

Paul Mashatile: I would also like to thank President Putin for this invitation for us to participate in this important forum. It is my first time in this beautiful city of St Petersburg and we have learned a lot from the other leaders. We consider Russia and President Putin as our friend and ally. We look forward to continuing to work with President Putin and the people of Russia. I look forward to coming back to St Petersburg. Mr President, I have not had the time to see this beautiful city. Maybe tomorrow I might have some time to look around. But I look forward to coming back next year. Spasibo.

Nadim Koteich: President Putin, this is the second panel I have had the privilege and honour to have with you in less than one year. I cannot be more privileged. Thank you so much. You have always tolerated my questions and, you know, it is really a testament to your belief in open dialogue. Thank you very much, esteemed guests. Thank you everyone.

Vladimir Putin: Friends, colleagues, I would like to thank our moderator.

Thank you to my colleagues who took part in this discussion. I am confident that the audience enjoyed it — and not only the audience here as many statements will be circulated around the world. The remarks made today were noteworthy and engaging, which is important and corresponds with the intensity of the current events.

Thank you very much for being here with us today.

Press statement by the President of Russia

2025-05-11T15:00:28+04:00

In conclusion to festive events dedicated to the 80^th anniversary of Victory in the Great Patriotic War, Vladimir Putin made a statement for the media where he summarised the results of work on May 7–10.

President of Russia Vladimir Putin: Good evening, or maybe good night already. I want to greet everyone. Ladies and gentlemen. Colleagues.

Allow me to once again congratulate all of you on the Great Victory Day! Thank our friends and foreign partners who have been with us in Moscow these days at the anniversary celebrations to bow to the generation of winners.

We honour all those who contributed to the common victory over Nazism, including our allies in the anti-Hitler coalition, Chinese soldiers, participants in the anti-Fascist resistance in Europe, fighters of the people's liberation movements in Africa, the Asia-Pacific region, and volunteers from Latin American countries.

Together with our friends and like-minded people, we share a common memory and respect for history, heroic deed of true heroes who fought for freedom, and of course, our responsibility for the future, for building a more just and safer world. The issues that directly affect the stable, sustainable development of the entire world community – Eurasia and other world regions – were at the center of the bilateral and the multilateral meetings held in Moscow.

Of course, they were held in a special, solemn, festive atmosphere, but at the same time they were extremely rich and informative, filled with topics of the political, economic and humanitarian agenda.

Summing up, and this is exactly what I would like to do now, I would say that in four days, from May 7 to May 10, we hosted official visits by the leaders of three foreign states: the People's Republic of China, the Venezuelan Bolivarian Republic and the Socialist Republic of Vietnam.

Additionally, 20 bilateral meetings were held with the heads of the CIS countries, Asia, Africa, the Middle East, Europe and Latin America. In total, 27 heads of state from the CIS, Asia, Africa, the Middle East, Europe, Latin America, as well as about 10 heads of international organizations took part in the celebrations. Another six countries were represented at a high level.

We see inspiring evidence of genuine consolidation around the enduring ideas and values of our common Great Victory in such a wide participation of delegations from foreign countries and international organisations.

We are grateful to the leaders of the 13 states who sent units of the national armed forces to participate in the parade on Red Square. Their shoulder-to-shoulder march with our ceremonial units filled the common holiday with special energy and the spirit of military brotherhood, tempered during the Second World War.

I was pleased to personally thank the military leaders of the Korean People's Army and convey my warmest words to soldiers and commanders of special forces units of the Democratic People's Republic of Korea, who, jointly with our servicemen, professionally, and I want to emphasise this, faithfully performed their assignments during the liberation of the Kursk Region border areas from the Kiev regime forces. I would like to emphasise: they showed courage and heroism, acted – I want to say this again – professionally, to the highest degree, showed good training and preparation.

And of course, it was a special honour for all state leaders to salute the main heroes of the Victory anniversary on the stands – WWII veterans from Russia, Israel, Armenia and Mongolia.

I would like to highlight that, despite threats, blackmail and obstacles caused, including the closure of airspace, the leaders of several European countries – Serbia, Slovakia, Bosnia and Herzegovina – came to Moscow. I would like to reiterate: we understand the massive pressure they faced, and therefore we sincerely appreciate their political courage, firm moral position, decision to share the holiday with us, to pay tribute to the memory of the heroes of the Great Patriotic War, World War II, who fought for their Fatherland and for deliverance from the brown plague of the whole world, of the entire mankind without any exaggeration.

It is important for us that millions of Europeans, state leaders that pursue sovereign policies, remember this. This gives us optimism and hope that sooner or later, based on the lessons of history and the opinion of our peoples, we will begin to move towards restoring constructive relations with European states. Including those who today still do not give up the anti-Russian rhetoric and clearly aggressive actions against us. They are still trying – we can see it right these days – to talk to us, in fact, in a boorish manner and through ultimatums.

Our comprehensive partnership and strategic interaction with the People's Republic of China can serve as a genuine example of modern equal relations in the 21st century. Chinese President Xi Jinping was the chief guest at the celebrations marking the 80th anniversary of the Great Victory.

We have had exceptionally fruitful negotiations, we have adopted two joint statements at the level of heads of state, and we have signed a number of intergovernmental and interdepartmental agreements covering such areas as energy, trade, finance, science, culture and much more. As I have already said, it has been agreed that in September I will pay an official return visit to China for the celebrations marking the 80th anniversary of victory over militaristic Japan.

It is deeply symbolic and natural that the principal, in fact the main commemorative events related to the 80th anniversary of the end of WWII in Europe and Asia will be held in Moscow and Beijing – in the capital cities of the states whose peoples passed through the hardest trials and paid the highest price for the common Victory.

Colleagues, I think it is obvious to everyone that the talks and meetings held in Moscow also touched on the issue of resolving the conflict in Ukraine. We are grateful to all our guests, our friends, for the attention they are paying to this conflict and for the efforts they are making to bring this conflict to an end. In this connection, I believe it is necessary to dwell on this topic separately.

So, I want to say that, as it is known, Russia has proposed ceasefire initiatives on several occasions, but they, these initiatives, have been repeatedly sabotaged by Ukraine. For example, the Kiev regime defiantly violated about 130 times the 30-day – I want to make it a point – 30-day moratorium, from March 18 to April 17, on strikes against energy facilities, which was declared in accordance with our agreement with US President Donald Trump.

The Easter truce initiated by Russia was not observed either: the ceasefire regime was violated by Ukrainian forces almost 5,000 times. Nevertheless, for the celebration of Victory Day – and we consider this to be a sacred holiday for us as well, just imagine that we lost 27 million people – we declared a ceasefire for the third time on this holiday, which is sacred to us.

Incidentally we conveyed to those of our colleagues in the West who, in my opinion, are sincerely looking for ways to settlement, our position on this issue, on a ceasefire on Victory Day, and that in the future we do not exclude the possibility of extending the terms of this truce – but, of course, after analysing what will happen in these several days, based on the results of how the Kiev regime will react to our proposal.

And what do we see? What are these results? The Kiev authorities, as you can see for yourself, did not respond at all to our ceasefire proposal. Moreover, after the announcement of our proposal – and this happened, as you remember, on May 5 – the Kiev authorities launched large-scale attacks in the early hours of May 7. As many as 524 unmanned aerial vehicles and a number of Western–made missiles participated in the strike, and 45 unmanned boats were used simultaneously in the Black Sea.

Actually, during these three days of the ceasefire that we announced – on May 8, 9 and 10 – happened what you also saw from the media, in fact, from your reports, it was clear: during this time, five targeted attempts were made to attack the state border of the Russian Federation in the area of the Kursk Region and at the junction with the Belgorod Region, precisely during the days of the ceasefire we announced. Additionally, another 36 attacks were made in other areas. All these attacks, including attempts to enter the territory of the Russian Federation in the Kursk Region and the Belgorod Region, were repulsed. Moreover, our military experts believe that they had no military significance, were conducted solely for political reasons and the enemy suffered very heavy losses.

As I have already said, the Kiev authorities not only declined our ceasefire proposal, but also, as we all saw, tried to intimidate the leaders of the states who gathered for the celebrations in Moscow. You know, when I met with colleagues here in Moscow, a thought occurred to me. I'll share it with you: who were they trying to intimidate among those who came to Moscow to celebrate the Victory over Nazi Germany? Who were they trying to frighten? Those who have come to us are leaders not by position or a post, they are leaders by character, by their beliefs and willingness to stand for their beliefs. And who was trying to intimidate them? Those who stand at attention and salute, applaud former SS soldiers? And elevates those who collaborated with Hitler during WWII to the rank of national heroes? It seems to me that this is an attempt with obviously unsuitable means and those who are trying to do this do not correspond to the scale they expect themselves.

I will repeat: we have proposed steps towards a ceasefire on many occasions. We have never refused to engage in dialogue with the Ukrainian side. Let me remind you again: it was not us who interrupted the negotiations in 2022; it was the Ukrainian side. In this connection, despite everything, we propose that the authorities in Kiev should resume the negotiations that they interrupted at the end of 2022 and resume direct talks. And, I stress, without any preconditions.

We suggest starting without delay next Thursday, May 15, in Istanbul, where they were held earlier and where they were interrupted. As you know, Turkish colleagues have repeatedly offered their services to organise such talks, and President Erdogan has done a lot to organise them. I recall that as a result of these talks a joint draft document was prepared and initialed by the head of the Kiev negotiating group, but at the insistence of the West it was simply thrown into the basket.

Tomorrow we are going to have a conversation with the President of Turkiye, Mr Erdogan. I would like to ask him to provide such an opportunity to hold talks in Turkiye. I hope that he will confirm his desire to contribute to the search for peace in Ukraine.

We are set on serious negotiations with Ukraine. Their aim is to eliminate the root causes of the conflict and to achieve a long-term lasting peace for a historical perspective. We do not rule out that in the course of these negotiations it will become possible to agree on some kind of new truce and a new ceasefire. And a real ceasefire that would be observed not only by Russia but also by the Ukrainian side and would be the first step, I repeat, towards a long-term, sustainable peace, rather than a prelude to continuing armed conflict after the Ukrainian armed forces have been rearmed, re-equipped and frantically digged trenches and new strongholds. Who needs such peace?

Our proposal is, as they say, on the table. The decision is now up to Ukrainian authorities and their supervisors, who are seemingly guided by their personal political ambitions, rather than the interests of their peoples, want to continue the war against Russia at the hands of Ukrainian nationalists.

Let me reiterate myself: Russia is ready for talks without any preliminary conditions. There are combat actions and war going on now, and we propose to resume negotiations that were not interrupted by us. Well, what's wrong about it?

Those who really want peace cannot but support this. At the same time, I would like to express my gratitude once again for the mediation services and efforts aimed at a peaceful settlement of the Ukrainian crisis undertaken by our foreign partners, including China, Brazil, African countries, the Middle East, and recently the new Administration of the United States of America.

In conclusion, I would like to once again thank everyone who shared with us the festive celebrations dedicated to the 80th anniversary of the Victory over Nazism. I am sure that the spirit of solidarity and harmony that united us in Moscow these days will continue to help us build fruitful cooperation and partnership in the name of progress, security and peace.

I would also like to take this opportunity to note the tremendous role of journalists, representatives of international information agencies, TV channels, and the press who covered the anniversary events and the many-hour programme of current negotiations and working meetings. Much has been done to ensure that people in different countries of the world experience the unique atmosphere of the current holidays in Moscow. Of course, I thank you for this meeting as well, as it is held quite late and, of course, everyone is already tired.

Thank you very much for your attention, as it's almost half past one in the morning, or even later than half past one in Moscow, God be with you.

Thank you very much for your attention. Goodbye.

Gala reception on behalf of the President of Russia to mark Victory Day

2025-05-09T15:04:23+04:00

Vladimir Putin addressed an official reception held to mark the 80^th anniversary of Victory in the 1941–1945 Great Patriotic War.

President of Russia Vladimir Putin: Friends, colleagues, ladies and gentlemen,

I am delighted to welcome you to the Kremlin for the official reception marking the 80^th anniversary of the Great Victory.

First of all, I would like to express gratitude to the heads of state and government and the heads of foreign delegations and organisations that are with us today. We highly appreciate your decision to visit Moscow on May 9 and to share with our people the joy of this sacred holiday, which we hold infinitely dear.

The event marking Victory Day has invaluable significance for the world. But in Russia and the other countries of the Commonwealth of Independent States it is part of the history of virtually every family. This direct bond determines our particularly warm attitude to this holiday and our position of principle regarding truth about the Great Patriotic War and its heroes, our predecessors, who have come through and withstood extreme challenges and achieved Victory.

I am confident that these feelings are shared by those whose relatives fought against Nazism and militarism, for freedom in Europe and the Atlantic region, in the Pacific Ocean, in Asia, Africa and everywhere where the Second World War battles raged. We in Russia remember the equipment and food we received. We bow before that great generation, no matter where they live and what language they may speak now. They will forever remain part of our family. We are one big family of the victors.

We know how vitally important solidarity and support — support from our allies, friends and comrades-in-arms — was for the fighting people of the Soviet Union. We will forever remain grateful to all our friends and comrades.

I consider it important that today we have come together to celebrate the anniversary of the Great Victory and remember those who gave all their strength for the freedom of their native land and the entire world, those who sacrificed themselves in the name of saving humanity.

This solidarity and fortitude in attaining a common goal is an example of invaluable importance. This example is especially important for us now as we again have to address the issue of sovereign rights of states and peoples to their identity and independence, to the very possibility to live in accordance with the historical, cultural and spiritual traditions of their forefathers, and to create a system of security and international relations based on the principles of real equality and respect for each other’s interests.

As time takes us further away from the events of World War Two, it becomes all the more important for us to preserve the values that were upheld by the Great Victory and to pass to future generations the truth of how and in the name of what it was won, as well as our conviction that solidarity of the people in their support of the ideals of peace, freedom and justice is of unlimited power. Our commitment to this is growing ever stronger.

I would like to once again congratulate you on Victory Day. I propose a toast to the great generation of the victors, to the triumph of truth and justice, and to the prosperity of our countries and peoples.

Dinner on behalf of the President of Russia for the heads of delegations attending the celebrations of the 80th anniversary of Victory

2025-05-11T14:58:44+04:00

Vladimir Putin spoke at a dinner hosted on behalf of the President of Russia for the heads of foreign delegations and honorary guests who have come to Moscow for the celebrations of the 80^th anniversary of Victory in the Great Patriotic War of 1941–1945.

President of Russia Vladimir Putin: Ladies and gentlemen, friends,

First of all, I would like to cordially welcome and express gratitude to all of you, our reliable friends and partners. You have come to Moscow to share the joy of the celebrations of Victory over Nazism and commemorate the heroes who saved humanity.

May 9 is a sacred day for our multinational people. The Soviet Union played a decisive role in defeating Nazism. It is a historical truth which nobody can hush, distort or take away from us.

The greatness of the heroism of our fathers, grandfathers and great-grandfathers will never fade. They engaged in a deadly combat for their country and homes, for the right to independently decide their fate, to speak and think in their national languages, and to bring up their children in accordance with their culture and traditions.

Neither will we forget our allies and comrades in that sacred battle, and the fact that Victory was brought about by the concerted efforts of the people of Europe, the United States, Africa, Latin America and the Asia Pacific region, the fortitude and courage of the armed forces of the anti-Hitler coalition, members of the Resistance and national liberation movements, partisans and members of the underground.

May 1945 opened the door to a new architecture of global security, to creating a fundamental international institution – the United Nations Organisation. It is our duty to the generation of the victors to make full use of its vast potential.

I would like to reiterate that the demand for the UN and its importance are growing today, when a more just world order is being developed. It is essential to continue to strengthen its central coordinating role in global affairs, and to ensure strict compliance with the fundamental norms and principles of international law, sealed in the UN Charter, in their entirety, interconnection and interrelation. That issue was raised, in particular, at last year’s BRICS summit in Kazan, which many of the heads of delegations present here attended.

The celebrations of the 80^th anniversary of Victory in Moscow have brought together the leaders of a wide variety of sovereign states with different models of political, economic and social development, different religions, world outlooks, civilisations and cultures.

However, this diversity is not a dividing but an enriching factor, which makes us stronger because our relations and cooperation are based on shared values and aspirations. We stand for justice and equality, for the triumph of the noble ideals of friendship and neighbourly relations, for mutual accord and respect, for taking all opinions and interests into account, and for equal and indivisible security for all. We call on the international community to show solidarity in addressing the current acute problems, and to assume joint responsibility to our future generations.

I am confident that only this approach will help ensure a lasting peace, well-being and equal opportunities for all nations. Russia is ready for this joint creative work.

Friends, I would like to propose a toast to the generation of the victors, to the Great Victory, to peace and prosperity, and to you, our friends.

The Arctic: Territory of Dialogue international forum

2025-03-28T17:03:57+04:00

Vladimir Putin addressed a plenary session of the 6th International Arctic Forum, The Arctic: Territory of Dialogue.

International Arctic Forum is a key platform to discuss current issues regarding the comprehensive development of Arctic territories, establishing effective mechanisms for the joint use and exploration of the Arctic region’s abundant resources at various levels.

In 2025, the forum’s events are being held in Murmansk on March 26–27 under the motto “To Live in the North!”

* * *

President of Russia Vladimir Putin: Colleagues, friends, ladies and gentlemen.

I welcome the participants and guests of the 6^th International Forum, The Arctic: Territory of Dialogue. For the first time, it is being hosted by Murmansk – the capital of the Russian Arctic, a Hero City, which is developing dynamically today, as are our other northern cities and regions, while launching landmark projects for the entire country.

Russia is the largest Arctic power. We have consistently advocated for equitable cooperation in the region, encompassing scientific research, biodiversity protection, climate issues, emergencies response, and, of course, the economic and industrial development of the Arctic. We are prepared to collaborate not only with Arctic states but with all who, like us, share responsibility for ensuring a stable and sustainable future for the planet and are capable of adopting balanced decisions for decades to come.

Regrettably, international cooperation in northern latitudes is currently facing significant challenges. In the past few years, numerous Western nations have opted for confrontation, cutting off economic connections with Russia and ceasing scientific, educational, and cultural exchanges. Discussions on safeguarding Arctic ecosystems have come to a standstill. Politicians, party leaders, and even the so-called greens in some Western countries address their citizens and electorates about the significance of the climate agenda and environmental conservation, yet in practice, their policies are entirely contradictory.

As a reminder, the Arctic Council was set up to cooperate in addressing environmental issues, to prevent emergencies above the Arctic Circle and to jointly respond to them if they emerge. However, this tool has degraded by now. Meanwhile, Russia did not refuse to communicate in this format – it was the choice of our Western partners, Western nations. As they say in such situations: Don’t do it if you don’t want it. We will work with those who want it.

Meanwhile, the role and importance of the Arctic for Russia and for the entire world are obviously growing. Regrettably, the geopolitical competition and fighting for positions in this region are also escalating.

Suffice it to say about the plans of the United States to annex Greenland, as everyone is aware. But you know, it can surprise someone only at first glance. It is a profound mistake to treat it as some preposterous talk by the new US administration. Nothing of the sort.

In fact, the United States had such plans as far back as 1860s. As early as that, the US administration was considering possible annexation of Greenland and Iceland. However, the idea did not enjoy support in the Congress then.

Let me remind you, by the way, that by 1868, the purchase of Alaska from Russia was ridiculed in the American press – it was called “madness,” “an ice box” and “President Andrew Johnson’s polar bear garden”. Therefore, the Greenland proposal failed.

But that acquisition, I mean the purchase of Alaska, is probably viewed very differently in the United States today, just as President Andrew Johnson’s actions are.

Thus what is happening today is not really surprising, particularly since this story only began back then, and it went on and on. In 1910, for example, a trilateral land swap deal was negotiated between the United States, Germany and Denmark. As a result, Greenland would have gone to the United States but the deal fell through then.

During World War II, the United States stationed military bases in Greenland to protect it from Nazi takeover. After the war, the United States suggested Denmark should sell the island. This was quite recently in terms of world history.

In short, the United States has serious plans regarding Greenland. These plans have long historical roots, as I have just mentioned, and it is obvious that the United States will continue to consistently advance its geo-strategic, military-political and economic interests in the Arctic.

As to Greenland, this is an issue that concerns two specific nations and has nothing to do with us. But at the same time, of course, we are concerned about the fact that NATO countries are increasingly often designating the Far North as a springboard for possible conflicts and are practicing the use of troops in these conditions, including by their “new recruits” – Finland and Sweden, with whom, incidentally, until recently we had no problems at all. They are creating problems with their own hands for some reason. Why? It is impossible to understand. But nevertheless, we will proceed from current realities and will respond to all this.

I must emphasise: Russia has never threatened anyone in the Arctic. However, we are closely monitoring developments in the region, formulating an appropriate response strategy, enhancing the combat capabilities of the Armed Forces, and modernising military infrastructure facilities.

We will not tolerate any encroachments on our country’s sovereignty and will steadfastly safeguard our national interests. By upholding peace and stability in the Arctic region, we will ensure its long-term socio-economic development, improve the quality of life for its residents, and preserve its unique natural environment.

The stronger our positions and the more substantial our achievements, the greater our opportunities will be to launch global international projects in the Arctic involving partner nations, friendly states, and perhaps even Western countries – provided, however, that they demonstrate a genuine interest in cooperative efforts. I am confident that the time for such projects will undoubtedly come.

Friends,

The Arctic Zone accounts for over a quarter of the Russian Federation’s territory. Nearly two and a half million our citizens live and work here, making a significant contribution to the nation’s progress. Current estimates indicate that the Arctic generates 7 percent of Russia’s gross domestic product and approximately 11 percent of our exports. At the same time, we see enormous potential for the region’s further comprehensive development. A critical priority is strengthening the Arctic’s transport and logistical framework.

Let me note that this year marks the 500^th anniversary of the first historical records mentioning the daring concept proposed by Russian seafarers and Pomor trappers: a prospective trade route through the northern seas to the East, reaching China via the so-called Northeast Passage – the precursor to the Northern Sea Route.

Over the past decade, cargo traffic along the Northern Sea Route – spanning from the Kara Gates Strait to the Bering Strait – has substantially increased. In 2014, a mere four million tonnes of cargo were transported via this corridor. By last year, that figure had risen to nearly 38 million tonnes – five times the Soviet-era record. We anticipate, with confidence, that volumes will reach 70–100 million tonnes by 2030.

Yet our plans – in terms of cargo volumes, geographical reach, and expansion of the Arctic fleet – are far more ambitious. The Northern Sea Route is poised to become a pivotal segment of the Transarctic Transport Corridor, stretching from St Petersburg through Murmansk to Vladivostok. This corridor is designed to connect global industrial, agricultural, and energy hubs with consumer markets via a shorter, safer, and more economically viable route. This is widely acknowledged – experts across the East and West recognise its significance.

Cargo shipments along the Trans-Arctic Transport Corridor are set to increase on the back of growing minerals production and the advanced processing of these resources right here in the Arctic, and due to rising international transits. I would like to stress the importance of linking this Trans-Arctic corridor with our domestic railway network everywhere from the northwest to Russia’s Far East, reaching all the way to the Baikal-Amur Mainline and the Trans-Siberian Railway.

By the way, even today the concept of building the Trans-Siberian Railway, which stretches across the entire country to the Pacific, exemplifies a strategic, forward-looking vision for us. It addressed not only the country’s immediate needs and circumstances but also took into account our national interests within a horizon of several centuries. We must be guided by this approach as we develop the Trans-Arctic corridor.

What are the priority objectives in this regard?

First, Russia already operates the world’s biggest icebreaker fleet. We must consolidate our leadership in this sector by building new-generation icebreakers, including nuclear icebreakers. Today, only Russia has them – no other country has a nuclear icebreaker fleet.

Four of these icebreakers belong to the latest Project 22220, and are already operating in the Arctic. Three more nuclear icebreakers from the same series – Chukotka, Leningrad and Stalingrad – are currently under construction. There is also the mighty 120 Mw icebreaker Rossiya. It will allow for more efficient year-round icebreaker support to large-tonnage ships in high latitudes.

Let me emphasise that icebreaker support costs and shipping costs for the Trans-Arctic Corridor in general must be competitive and acceptable to the market. This is a major prerequisite for guaranteeing that this route is relevant for businesses and creates added value for them. My colleagues from the Government and I have recently discussed these matters, and I fully agree that this offering must be competitive on the market.

Second, Russia is a sovereign nation, and as such it needs a merchant fleet of its own in the Arctic, including cargo, search and rescue ships for operating shipments in northern seas, as well as within our internal waters in the Arctic. We must recognise that for now we cannot rely exclusively on our domestic shipbuilding capabilities.

In this connection, we must work on all fronts by building and ordering ships that have already been built, working with manufacturers around the world and developing the domestic shipbuilding industry based on the strategic objectives we have.

Of course, this message is primarily intended for the Government: we must support our shipbuilding corporations and shipyards in their efforts to upgrade and expand their capabilities and build international manufacturing chains. I also ask the Government to review opportunities for building new, cutting-edge, advanced, high-technology shipyards in Russia.

Third, Russian shipping companies that transport petroleum products and liquefied natural gas are already successfully operating in the northern seas. Now we need to create enabling conditions for effective domestic operators who will be shipping containers, coal, bulk and other goods across the Arctic. We are also open to create joint ventures in this segment. International logistics operators could make profitable investments in such companies. Moreover, in addition to capital and technology, they could contribute part of their merchant fleet to such projects.

Fourth, plans are in place to increase the capacity and turnover of our northern ports through the introduction of innovative and environmentally friendly solutions, including unmanned and automated cargo handling equipment. This will happen soon enough. For example, the capacity of the Murmansk transport hub should be amplified at least three times over in the next few years due to the construction of new terminals and the expansion of railway links.

I would like to add that our partners from Belarus, China, the United Arab Emirates and other countries are showing keen interest in this project and in the development of the Arctic transport infrastructure in general. It is a very interesting undertaking from a business point of view.

We plan to create large multimodal hubs to operate as key logistics centres of the Trans-Arctic Transport Corridor. Not only will these hubs serve as ports where convoys of ships are formed or Russian and foreign cargos are handled; they will include industrial facilities for the production of manufactured goods.

To improve the logistical stability of the Trans-Arctic Corridor, I ask the Government to draft plans to expand the capacity of existing seaports in the Arctic, and decide where on the Arctic coast new ports should be built, and how soon the adjacent infrastructure needs to be developed. I am primarily referring to the links between the sea harbours and the national railway network.

In this regard, fifth, we will need to develop the Arctic Operating Domain – similar to the Eastern Operating Domain, which includes the Baikal-Amur Mainline and the Trans-Siberian Railway. The project must include the modernisation of the Northern Railway in the Komi Republic and the Yamal-Nenets Autonomous Area.

We are aware of the situation at Russian Railways today; we know what challenges the company is facing. However, we need to think about what I just said, about the development of the Northern Railway – and we need to start today.

What opportunities will this open? The regions of Siberia, the Urals, and Russia’s North-West will receive direct access to the North, to the Arctic ports, which will lessen the load on the Trans-Siberian Railway and promote effective use of sea transport. In addition, there will be new points of access to the Arctic from the North-South corridor, which connects us with Central Asia and the Gulf states.

And of course, the potential of the Arctic’s inland waterways, our great rivers – the Lena, Yenisei, and Ob – must be unlocked at a new technological level to develop the Trans-Arctic route. This will help, among other things, to enhance the Northern Supply Haul system so as to ensure a reliable supply of foodstuffs and other goods for Arctic residents.

I want to stress specially that the resources of the state, regions, and businesses, including both state-owned and private banks, must be combined to pursue these and other major initiatives. The capabilities of the domestic stock market must also be utilised to attract capital to the Arctic infrastructure.

Infrastructure projects are indeed complex, costly and have a long pay-back period. But it is these projects that provide Russia’s real transport sovereignty at a new level. And I am confident that if our foreign partners join these projects, it will guarantee them long-term investments with good returns. Therefore, we cannot put off these projects for later, we must launch and start pursuing them now, as soon as possible.

Apparently, it is important to resort to flexible approaches here, to attract both Russian and foreign investors, as I have just mentioned. In this regard, I propose that we consider creating a special project office under the auspices of our leading development institution, VEB, which will provide support for transport, logistics, and infrastructure projects in the Arctic, as well as urban development projects in the region. It will also become an entity where potential investors can address directly and receive support they need. I ask the Government to prepare respective proposals.

In addition, I instruct the Government to join hands with Rosatom, VEB and the State Council’s dedicated commission to endorse the financial, economic and organisational model for the development of the Trans-Arctic Transport Corridor by August 1 of this year.

Colleagues,

Currently, deposits of oil and gas, metals and other minerals are being developed in the Russian Arctic. We will continue massive geological exploration there, primarily within the framework of the Geology: Revival of the Legend federal project.

Concurrently, the task is to launch enterprises of deep processing of raw materials in the Arctic regions using the powerful resource base there; to create high value-added production facilities in petrochemistry, natural gas conversion, rare earth metals, and other industries related to machine building, production of sophisticated machinery and industrial equipment, while preserving the unique nature of the Arctic.

By way of example, I would like to mention the Centre for the Construction of Large-Capacity Offshore Structures in Belokamenka, where technologies for natural gas liquefaction are being localised and the most up-to-date domestic solutions are being utilised.

I’d like to draw the attention of colleagues in the Government and regional authorities to the following: it is essential not only to propose but also to effectively refine tools for supporting investment and business activity in the Arctic. This includes tax incentives, administrative privileges, infrastructure preparation of land plots, and other measures.

In particular, I remind colleagues of the need to strictly fulfil plans for the gas infrastructure coverage of the Murmansk Region. This must be completed by 2030. I emphasise: this objective remains in force.

Of course, we should also develop promising areas such as tourism. The North and the Arctic are unique concentrations of natural, historical, and spiritual landmarks. The region boasts an extraordinarily rich cultural mosaic. Over a million tourists visit the Arctic annually to explore its landscapes, witness the northern lights, engage in Arctic fishing, ride dog sleds, or journey to polar archipelagos.

The number of tourists is growing. Consequently, new initiatives in this sphere are emerging, such as an Arctic tourism centre with a ski resort component in the Yamal-Nenets Autonomous Area or an aqua-thermal spa and year-round hotel complex in Karelia. I request that both the federal Government and regional authorities support such initiatives, which reveal new facets of the Arctic and help heighten interest in the region.

I also propose considering the inclusion of White Sea tourism infrastructure development in the Five Seas and Lake Baikal federal project.

To make the Arctic accessible for mass tourism, transport connectivity is crucial – from the repair and construction of roads to the development of air travel.

I reiterate that we have extended subsidised airfare rates for flights to Arctic cities. Last year, approximately 800,000 passengers utilised this opportunity. This year, subsidised tickets are available for over 70 air routes.

At the same time, Far Northern airports, particularly smaller ones, require modernisation. In the coming years, under the relevant national project, we will upgrade 16 airfields in the Arctic Zone, including those in Salekhard, Arkhangelsk, Naryan-Mar, and Vorkuta.

Overall, our objective is to maintain an extensive airport network in the Arctic – from large and medium-sized airfields to small landing strips. This is also vital to ensure year-round accessibility of residential areas and the operation of air ambulance services.

Friends,

The key and overarching goal of Russia’s efforts is to improve the quality of life for people living in the Arctic, to ensure modern conditions for study and work, leisure, and the upbringing of children in this harsh region that still lures people with amazing force. I have talked to these people many times. Those who were born in the north, as well as those who have come here, have all said that the north is like a magnet since people develop a sense of belonging to these latitudes, and to this land.

As you know, we have already drafted master plans for the Arctic urban centres, which include not only major cities like Arkhangelsk or Murmansk, but also cover towns like Kirovsk, Apatity and Monchegorsk in the Murmansk Region, Kem and Belomorsk in Karelia, Vorkuta in the Komi Republic, Bilibino and Pevek in Chukotka, Naryan-Mar in the Nenets Autonomous Area, Salekhard, Labytnangi, Novy Urengoi and Noyabrsk in the Yamal-Nenets Autonomous Area, as well as Tiksi and Naiba in Yakutia, and Norilsk, Igarka and Dikson in the Krasnoyarsk Territory.

On a separate note, I would like to thank the VEB.RF and DOM.RF corporations for their involvement and contribution to drafting these master plans.

A master plan is a comprehensive strategic and territorial planning document that sets forth long-term socioeconomic and spatial development visions for cities, towns and villages. They provide for the introduction of the latest urban planning solutions while also ensuring that these settlements retain their unique cityscapes based on suggestions and proposals from local residents and civil society organisations, including associations of Northern ethnic minorities.

I would like to draw the Government’s attention to the need to be more responsive in its efforts to approve a timeline for carrying out these Arctic master plans and ensuring that they receive the funding they need. As I have already mentioned, this includes, among other things, introducing the Arctic agenda as a separate item into our national projects, while also launching mechanisms for engaging businesses and strategic investors working in the Arctic or those who are willing to work here in carrying out these master plans.

In addition, I ask the Government to think about setting up dedicated competence centres for providing urban planning and development training to municipal and regional officials and teaching them best practices in urban planning.

Moving on, we launched a national contest for creating people-friendly urban spaces. Winners will receive budget funding for their projects. I suggest allocating an additional sum from the federal budget as part of this contest. My colleagues from the Government and the Finance Ministry and I have just discussed this matter. I will not give you any final figures, but we need to earmark this disbursement and provide this kind of assistance so that colleagues working on the objectives I have just mentioned have more opportunities for improving embankments, pedestrian areas and playgrounds, building parks, gardens, and so on.

On a separate note, I would like to ask the Government to extend the programme of renovating military settlements, the closed administrative territorial units in the Arctic where our military personnel live with their families. This renovation programme should continue at least until 2030, with the annual federal budget support of at least 10 billion rubles. I would like to emphasise that this is connected with the strengthening of our military presence in the region, where the number of our military personnel will be increased.

One of the tasks of our master plans and the renovation programme is to determine where new enterprises and jobs should be created, including those linked to the Trans-Arctic Transport Corridor, and where schools and kindergartens, outpatient clinics and hospitals, roads and communications, as well as housing are to be built. The defence and construction ministries are to work together with the regional authorities to coordinate plans for each facility, so as to determine the amount of resources needed for implementing this task and the allocation deadlines.

It is a specific Arctic feature that structures are built in conditions of perpetually frozen ground or permafrost, which explains the special requirements for building designs, structure and reliability. At the same time, we should take the dynamics of climate change into account to forecast potential risks. I propose establishing a special research centre to monitor perpetually frozen ground with contribution from the leading federal and regional institutes. Their research projects will provide the scientific basis for the technology of adjusting Arctic infrastructure to the melting of permafrost.

I know that a register of best Arctic construction practices has been compiled. This regional experience should be expanded. I hope that it will incorporate the idea of multipurpose Arctic centres, where social and administrative offices, sports centres and service facilities are located under one roof, in the same building.

Of course, we must always take the opinions and requests of those who live in the North into account. For example, people openly complain about the shortage of the so-called service economy in Arctic cities and towns, meaning recreation facilities, including those for families and children, as well as cultural and educational venues. We must develop this segment and encourage the relevant business initiatives.

We have a special support programme for small and medium-sized enterprises in the Extreme North. Its efficiency must be upgraded. I would like to ask the Government to adjust the parameters of this programme, in particular, to expand the list of sectors with access to this programme and to create additional subsidised loan opportunities for these companies.

I would like to say a few words about healthcare. The accessibility of medical services in the North is objectively limited compared to central Russia; the situation is even worse in remote communities. I ask the Government to prepare a special mechanism for financing medical care in these areas.

In addition, healthcare in the northern regions must be enhanced with the introduction of digital technologies. The residents of these regions must be served by mobile paramedic stations equipped with artificial intelligence tools, which can conduct physical check-ups both remotely and at the scene, diagnose certain diseases and provide recommendations for treatment.

Next, the environment remains a sensitive issue for the Arctic and its residents. Let me remind you that at our first forum, which was initiated by the Russian Geographical Society, we announced the launch of a “general clean-up” of the Arctic, to remove scrap metal, remnants of fuel and lubricants and other waste.

The project, launched by the Russian Geographical Society and supported by the Ministry of Natural Resources and Environment, brought together thousands of volunteers and public organisations. We will certainly continue this effort. We will also ensure comprehensive environmental protection of Russia’s Arctic zone, in particular by clearing Arctic waters of sunken ships, which is a pressing problem that needs to be addressed. Predictably, everything requires funding, so the relevant government agencies will need to work on all these issues, including to earmark the necessary funds year by year.

We will remove technological waste and reclaim land, focusing on bringing Arctic cities and towns up to standard. We will carry out the so-called revitalisation of abandoned areas, buildings and lands, to return them to circulation to serve the interests of local residents.

In fact, we are repaying our debt to the Arctic. We cannot afford to accumulate more debt to its unique nature. With all the plans in place for the region’s economic development, it is essential to maintain a balance between the use of its natural resources and nature conservation.

A new polar station will be built in the Yamalo-Nenets Autonomous Area, in the Polar Urals, to test new environmentally friendly technologies. The new scientific research and educational station, Snowflake, will be established by the end of 2028. An international team of researchers will use it to test green technologies being developed for the Arctic, with applications ranging from essential services, telecommunications, and medicine to new materials.

Colleagues,

The Arctic is a territory of great opportunities for specialists in various fields, for entrepreneurs, for young people, and for families who have lived here for generations or have only recently moved and are planning to settle, buy or build a home here.

We have already extended the Arctic mortgage programme until 2030. It offers an annual interest rate of two percent and lowers the requirements for borrowers. This includes cancelling the requirement for teachers and medical workers to have an employment history in the North before applying for a housing loan. Participants in the special military operation can also benefit from these Arctic mortgages along with people working for defence manufacturers.

Substandard and hazardous housing has become an extremely urgent issue for people in the North. I instruct the Government to draft a targeted action plan by September 1, 2025. It must address this issue and cover at least a ten-year period.

Moving on, the Accessible Rentals programme has been launched in Russia’s Far East, as you know. It offers affordable rentals to young people coming to the Far Eastern regions, graduating there or taking a job there. This programme consists of using regional and federal funds to subsidise rental payments.

I suggest that we expand this programme to include the key Arctic communities. This way, we will make rentals more accessible for people starting their careers in this region, as well as those who want to live and work there. This programme must cover the Arctic in 2026.

We have agreed to extend the Muravyov-Amursky 2030 training programme in public administration to cover the Arctic regions. We have already done this. I am certain that this kind of training will help many talented administrators jump-start their careers and would benefit the Arctic and the country in general.

There is one more thing I would like to mention. The North has always attracted brave people and true leaders. Outstanding researcher, polar explorer and scientist Artur Chilingarov was one of them. I suggest that in his memory we establish a special grant programme for supporting youth initiatives as part of environmental, educational and research projects in the Arctic.

Friends,

Efforts to explore and develop the Russian North and to overcome the challenges related to its harsh climate while enabling the state to reach new promising horizons – all these objectives have inspired many generations of our ancestors, including medieval sailors and Novgorod merchants, those who pioneered Arctic exploration in the 16^th and 17^th centuries, industrial leaders of the 18^th and 19^th centuries, researchers, polar explorers, engineers, Soviet workers, and companies in present-day Russia which launched major Arctic projects in the early 2000s.

Today, the North has become central to our development efforts. This is a sovereign and historical choice for us. This means that the objectives we set for and address in the Arctic, and the projects we undertake here must match this historical scale and have a horizon spanning decades, if not centuries.

We will do everything to consolidate Russia’s leadership in the Arctic despite all the challenges and travails we face today. We will provide for the region’s comprehensive development and create a solid foundation for future generations.

Thank you for your attention.

Statement by the President of the Russian Federation

2024-11-22T11:46:58+04:00

President of Russia Vladimir Putin: I would like to inform the military personnel of the Russian Federation Armed Forces, citizens of our country, our friends across the globe, and those who persist in the illusion that a strategic defeat can be inflicted upon Russia, about the events taking place today in the zone of the special military operation, specifically following the attacks by Western long-range weapons against our territory.

The escalation of the conflict in Ukraine, instigated by the West, continues with the United States and its NATO allies previously announcing that they authorise the use of their long-range high-precision weapons for strikes inside the Russian Federation. Experts are well aware, and the Russian side has repeatedly highlighted it, that the use of such weapons is not possible without the direct involvement of military experts from the manufacturing nations.

On November 19, six ATACMS tactical ballistic missiles produced by the United States, and on November 21, during a combined missile assault involving British Storm Shadow systems and HIMARS systems produced by the US, attacked military facilities inside the Russian Federation in the Bryansk and Kursk regions. From that point onward, as we have repeatedly emphasised in prior communications, the regional conflict in Ukraine provoked by the West has assumed elements of a global nature. Our air defence systems successfully counteracted these incursions, preventing the enemy from achieving their apparent objectives.

The fire at the ammunition depot in the Bryansk Region, caused by the debris of ATACMS missiles, was extinguished without casualties or significant damage. In the Kursk Region, the attack targeted one of the command posts of our group North. Regrettably, the attack and the subsequent air defence battle resulted in casualties, both fatalities and injuries, among the perimeter security units and servicing staff. However, the command and operational staff of the control centre suffered no casualties and continues to manage effectively the operations of our forces to eliminate and push enemy units out of the Kursk Region.

I wish to underscore once again that the use by the enemy of such weapons cannot affect the course of combat operations in the special military operation zone. Our forces are making successful advances along the entire line of contact, and all objectives we have set will be accomplished.

In response to the deployment of American and British long-range weapons, on November 21, the Russian Armed Forces delivered a combined strike on a facility within Ukraine’s defence industrial complex. In field conditions, we also carried out tests of one of Russia’s latest medium-range missile systems – in this case, carrying a non-nuclear hypersonic ballistic missile that our engineers named Oreshnik. The tests were successful, achieving the intended objective of the launch. In the city of Dnepropetrovsk, Ukraine, one of the largest and most famous industrial complexes from the Soviet Union era, which continues to produce missiles and other armaments, was hit.

We are developing intermediate-range and shorter-range missiles in response to US plans to produce and deploy intermediate-range and shorter-range missiles in Europe and the Asia-Pacific region. We believe that the United States made a mistake by unilaterally destroying the INF Treaty in 2019 under a far-fetched pretext. Today, the United States is not only producing such equipment, but, as we can see, it has worked out ways to deploy its advanced missile systems to different regions of the world, including Europe, during training exercises for its troops. Moreover, in the course of these exercises, they are conducting training for using them.

As a reminder, Russia has voluntarily and unilaterally committed not to deploy intermediate-range and shorter-range missiles until US weapons of this kind appear in any region of the world.

To reiterate, we are conducting combat tests of the Oreshnik missile system in response to NATO’s aggressive actions against Russia. Our decision on further deployment of intermediate-range and shorter-range missiles will depend on the actions of the United States and its satellites.

We will determine the targets during further tests of our advanced missile systems based on the threats to the security of the Russian Federation. We consider ourselves entitled to use our weapons against military facilities of those countries that allow to use their weapons against our facilities, and in case of an escalation of aggressive actions, we will respond decisively and in mirror-like manner. I recommend that the ruling elites of the countries that are hatching plans to use their military contingents against Russia seriously consider this.

It goes without saying that when choosing, if necessary and as a retaliatory measure, targets to be hit by systems such as Oreshnik on Ukrainian territory, we will in advance suggest that civilians and citizens of friendly countries residing in those areas leave danger zones. We will do so for humanitarian reasons, openly and publicly, without fear of counter-moves coming from the enemy, who will also be receiving this information.

Why without fear? Because there are no means of countering such weapons today. Missiles attack targets at a speed of Mach 10, which is 2.5 to 3 kilometres per second. Air defence systems currently available in the world and missile defence systems being created by the Americans in Europe cannot intercept such missiles. It is impossible.

I would like to emphasise once again that it was not Russia, but the United States that destroyed the international security system and, by continuing to fight, cling to its hegemony, they are pushing the whole world into a global conflict.

We have always preferred and are ready now to resolve all disputes by peaceful means. But we are also ready for any turn of events.

If anyone still doubts this, make no mistake: there will always be a response.

National Healthcare Congress 2024

2024-10-29T21:21:54+04:00

The President addressed the plenary session of the 2024 National Healthcare Congress.

The 3^rd National Healthcare Congress with international participation is held in Moscow on October 28 and 29 to mark the 150^th birthday anniversary of Nikolai Semashko, an outstanding Soviet organiser of the health system whose healthcare model and its basic principles remain relevant to this day with many countries relying on it in their respective healthcare sectors.

* * *

President of Russia Vladimir Putin: Friends, colleagues,

I would like to begin by offering my greetings to you at this congress. It is taking place for a third year in a row and has established itself as a major platform for discussing the future of our national healthcare system in all its aspects.

Let me assure you right away that many recommendations coming from your forum, which has already been recognised by the professional community, are accepted by federal and regional government agencies and widely used in medical institutions, while sharing best practices with the congress’ international participants enables us to learn more about the way national healthcare systems operate and are therefore mutually beneficial.

Russia has been relentless in its efforts on this front. We have allocated some 1.7 trillion rubles between 2019 and 2024 for carrying out dedicated federal projects. It is thanks to this substantial support that we have been able not only to deliver on current objectives, but also to achieve breakthroughs. Let me remind you that Russia was the first country in the world to register a Covid vaccine, which helped save millions of lives in 71 countries.

The share of domestic medicines and medical equipment has been growing in Russia, and the healthcare sector has been effective in reinforcing its technological sovereignty. Of course, we are committed to following the same path and to make Russia’s healthcare system even more stable, resilient and independent. This is a matter of national security.

Colleagues, you are well aware that Russia will commence the implementation of new national projects in 2025, including the Long and Active Life and New Health Saving Technologies. The enhancement and development of healthcare is, undoubtedly, a pivotal component of these projects, encompassing virtually all its spheres: from primary care to the introduction of advanced technologies and the improvement of health culture. These national projects are characterised by a comprehensive and broad approach to employing all factors and resources affecting preservation of population, which is our number one task. I would like to emphasise that all our national projects are focused on individuals, on creating conditions to enhance the well-being and quality of life of our citizens.

One of the primary objectives for the forthcoming years is to increase life expectancy. I would like to underline the necessity to reduce the disparity in this parameter between regions. It is well known that life expectancy for men remains lower than for women. We must consistently address all these issues. Generally, life expectancy should reach an average of 78 years. In the future, as previously planned, we aim to achieve the 80+ level.

Simultaneously, I would like to particularly underscore the key objectives of the new national projects, which I have just mentioned.

Firstly, life expectancy in those regions and population groups (as I have just mentioned) where it lags behind the national average must increase at an accelerated pace. As previously stated, we need to strive to reduce this disparity.

Secondly, people in Russia must become significantly healthier, and they should get sick less frequently. I would like to emphasise that this should be achieved, among other things, through healthy lifestyle, nutrition, early disease prevention, and the effective operation of preventive medicine in general.

Thirdly, an extremely important point is that the duration of an active, good life must increase when individuals, despite their considerable age, possess the inner capacity and, most importantly, a desire to continue working, to remain, subject to respective conditions, a mentor in their profession, to devote their free time to family, grandchildren, travelling, and participation in social and public initiatives.

We agreed that the subject of the family must pervade all our national projects. I ask the Government to pay special attention to this when finalising them. We will definitely consider this aspect at the next meeting of the Council for Strategic Development and National Projects. It is also essential that national projects give priority to health protection.

The Family national project includes a lot of provisions and guidelines that closely intertwine with policies to improve the national healthcare system. The principle of a healthy nation is a healthy family in each generation. In recent years, we have taken rigorous steps to protect motherhood and childhood, including the creation of a perinatal care system with 175 cutting-edge centres across the country. An effective patient routing system has been put in place. Today, we see the lowest infant mortality rate in history (four cases per 1,000 live births).

Under the new national project, over 360 women’s health clinics will be created and new equipment will be supplied to the perinatal centres. I would like to address my colleagues from the Russian regions, the heads of the regions: you will need to pay special attention to this matter. I have visited a few facilities that do not look so good yet, let’s put it this way, and those that are considered new. It looks like we are making progress. We need to carefully monitor every step here, to make sure that new equipment is in place, and paramedics and doctors work in comfortable conditions.

We know that children’s health is the foundations of lifelong health, and further down the road, throughout our lives, we must make efforts for disease prevention, engage in physical fitness and sports.

These issues have always been an important part of Doctor Nikolai Semashko’s research interests. As far as I understand, today’s plenary session of the congress is dedicated to the 150^th birthday anniversary of the outstanding doctor and researcher.

Dr Semashko, in fact, recreated the domestic healthcare system and, most importantly, enriched it with new approaches. Moreover, his innovative ideas became guidelines for the entire world.

We will continue to enhance and develop our healthcare system, to upgrade its infrastructure. In the next six years, over a trillion rubles will be allocated to build, repair and equip medical facilities. Like before, special attention will be paid to improving primary care. As we understand, this is the most necessary part of the medical service. Its total load is over one billion visits per year.

One in three primary care institutions in the country have already been modernised. Over 140,000 pieces of medical equipment were purchased for paramedic centres, clinics, district and city hospitals. Medical care has become more accessible and convenient for millions of people. I repeat, work in this area should be continued. This is a key request of people.

Efforts to fight such serious illnesses as cancer and cardiovascular diseases, diabetes and hepatitis C will be stepped up. A respective national project contains a number of specific guidelines for introducing innovative treatment methods, including those using AI technologies. We have many innovations in this sphere.

For example, a promising digital platform is being tested in Moscow, where artificial intelligence is used to process big data on completed research, which obviously helps doctors to make a diagnosis. I visited one of these sites.

It is obvious that artificial intelligence helps a lot. But it only helps. The main part is for the doctor to do. I will not go into details, but this became obvious during the conversation and while inspecting what is being implemented there.

We should introduce an integral digital platform that would help people to maintain and preserve health throughout their entire life. It should apparently be done across the entire country.

In the future, the entire national system of public health management and protection should be built on this principle, based on the analysis of human health status carried out with artificial intelligence and all research available.

Support for medical science and technology, including research into longevity, is an absolute priority. For the first time, a new and highly needed area will emerge, namely, the expansion of nuclear medicine infrastructure, which opens up prospects for more accurate diagnostics. We already possess a number of scientific centres that conduct research in this field. We shall actively implement these achievements.

I consider disease prevention to be an extremely important aspect. This is a very broad range of objectives, which can only be achieved with the active participation of citizens themselves. Therefore, it is necessary to persistently and consistently instil in our citizens the desire to exercise, to take care of their health, and to certainly undergo routine check-ups. Apparently, it is necessary to incentivise those who regularly exercise and take a responsible attitude towards their health.

That is why, among other measures, it is envisaged that from next year tax deductions will be established for those who undergo routine check-ups and successfully pass the GTO tests. But here, too, we must keep a very close watch – you know on what, right? – so that certificates of medical check-ups are not obtained for money and GTO certificates are not issued using one’s connections. We need to fine-tune this system.

The key issue is the remuneration of healthcare staff. I attended to this issue separately in my Address to the Federal Assembly. You are aware that the salaries of healthcare workers are linked to the average salary in the regions. However, it is evident that this level varies and often differs significantly even in neighbouring constituent entities of the country. Of course, we have been discussing this with our colleagues in the Government for a long time. Naturally, such a disparity in the salaries of medical workers, teachers, and other specialists is unacceptable, this is obvious.

In 2025, we shall develop a new, fairer model of compensation for public sector employees in a number of pilot regions of the country, and in early 2027 we plan – I hope we will be able to do so – to extend this system to all public sector employees in all regions of the Russian Federation, including, of course, healthcare.

Colleagues, your Congress is undoubtedly a milestone event for our country and our citizens. Therefore, I sincerely wish you fruitful work and success in your noble and selfless efforts. And, of course, I hope that you, like all citizens of the Russian Federation, will take care of your health.

Be healthy and happy. Thank you. Thank you very much.

Gala reception in honour of the BRICS Summit

2024-10-25T20:44:59+04:00

Vladimir Putin addressed a gala reception hosted on behalf of the President of Russia to mark the 16^th BRICS Summit.

Address by President of Russia

President of Russia Vladimir Putin: Heads of State,

Ladies and gentlemen,

Friends,

We are sincerely happy to welcome here in Kazan the heads of BRICS countries and leaders of nations interested in cooperation with our group.

Today, we have successfully conducted the BRICS Summit meetings in both restricted and expanded formats, addressing pressing issues on the global agenda, including interactions in politics and security as well as the economy and cultural sphere.

Our discussions have once again underscored that BRICS countries share the universal values of peace, justice, and equality and work collectively for the prosperity and well-being of our countries and peoples.

BRICS states stand united, advocating for intensified cooperation on the global stage based on the key principles of the United Nations Charter. We collectively strive to contribute in every conceivable way to the establishment of a just, multipolar world order with decisive participation from countries of the Global South and East in the systems of international governance.

Tomorrow, together with all of you, friends, we shall hold a BRICS Plus/Outreach format meeting. Such expanded format has proven its worth, offering a platform for direct and open dialogue between members of our group and our sincere friends.

Together, we shall address issues of concern to the global community. These include sustainable development, eradication of poverty, peaceful settlement of conflicts, combating terrorism and cross-border crime, adaptation to climate change, stability of supply chains, and exchange of technology and knowledge in its broadest sense. In essence, these are the issues that directly impact the lives of our citizens and thus necessitate collective action.

We are committed to involving our like-minded partners in the existing collaboration formats within our group, striving to build an equal and mutually beneficial partnership with them. It is in this spirit, under the slogan Strengthening Multilateralism for Just Global Development and Security, that the Russian chairmanship has been operating this year.

Friends, I extend my gratitude for your presence here today. I propose a toast: to the prosperity of our peoples, to the strengthening of our cooperation, and to the health of all those present!

BRICS Business Forum

2024-10-18T20:02:46+04:00

Vladimir Putin addressed the plenary session of the BRICS Business Forum.

The forum is taking place in Moscow ahead of the BRICS Summit, which will be held in Kazan on October 22–24 and will include the new participants in the association for the first time. On January 1, 2024, Egypt, Iran, the United Arab Emirates, Saudi Arabia and Ethiopia became full participants in BRICS alongside Brazil, India, China, Russia and South Africa.

* * *

President of the Russian Chamber of Commerce and Industry Sergei Katyrin: Mr President,

Colleagues, friends,

I would like to report that the annual meeting of the BRICS Business Council was held yesterday with the participation of the Council’s national representatives. During the meeting, my colleagues and I approved the annual report, which reflects our performance over the past year, as well as the most relevant proposals from the BRICS business community on further deepening market integration and trade and economic cooperation within the association. This document will be handed over to the heads of BRICS states at the summit in Kazan.

Today, we are holding this year’s BRICS Business Forum, which is a key annual event.

The forum has brought together over 1,000 representatives of the business community, including heads of companies, associations, unions of entrepreneurs, and chambers of commerce and industry from the BRICS countries. We plan to discuss cooperation in finance and investment, transport and logistics, agriculture, information and food security, and sustainable development. We also plan to congratulate the winners of the BRICS international competition of best practices and the BRICS Women’s Startup Competition.

Mr President, on behalf of all the participants at the forum, I would like to thank you for personally attending this meeting, for speaking at this forum, and I ask you to take the floor for your welcoming remarks.

President of Russia Vladimir Putin: Ladies and gentlemen, friends,

I am sincerely delighted to welcome everyone to the BRICS Business Forum.

I would like to note the wide representation of participants in this hall. We have leading business representatives from every country in the BRICS group. Your companies have been successfully cooperating for a long time, implementing impressive joint projects across a variety of domains: industry and energy, transport and infrastructure, agriculture and the digital economy.

I would like to note, in particular, that this forum is attended by business leaders from countries that became full participants on January 1, 2024. These are our colleagues and friends from Saudi Arabia, Iran, Egypt, Ethiopia and the United Arab Emirates.

I would like to emphasise that as the current chair of BRICS, Russia strives to facilitate integration of new members into all cooperation mechanisms. We saw that representatives from the new BRICS countries were warmly received in the Business Council, and they, too, became actively involved in its work.

The theme of Russia’s BRICS Chairmanship in 2024 is Strengthening Multilateralism for Just Global Development and Security. A meaningful action plan is being implemented to advance the partners on three major tracks – politics and security, economy and finance, and cultural and humanitarian ties.

To date, the progress on the plan exceeds 80 percent. Over 200 events, meetings, conferences, and industry gatherings have been held, as well as most of the expert and ministerial meetings. However, the BRICS summit, which will open next week in the Russian city of Kazan, will be the central event.

It is symbolic that the leaders’ meeting in Kazan is preceded by this Business Forum, which underscores the importance of close economic partnership between our countries, promoting trade and investment, and deepening cooperation.

The BRICS partners’ joint efforts aimed at accelerating socioeconomic growth and ensuring sustainable development bring concrete, tangible results and in fact, contribute to improving the well-being and quality of life of our countries’ citizens. The numbers speak for themselves. I am sure you are generally aware of most of the figures, but I will allow myself to cite a few of them.

The association’s total GDP exceeds US$60 trillion, and its overall share in global GDP easily surpasses that of the so-called G7, and it continues to grow.

I have already stated this publicly when meeting with your Russian colleagues, but I will repeat it once again here, in this hall and in your presence. In 1992, the G7 accounted for 45.5 percent of global GDP and BRICS countries accounted for 16.7 percent. In 2023, our group of countries accounted for 37.4 percent while the G7 for 29.3 percent. The gap is increasing and will continue to grow; this is inevitable. This trend is absolutely logical. In the past decade, BRICS states have accounted for over 40 percent of the global GDP increment.

By the end of 2024, BRICS countries are forecasted to post four percent growth, on the average. This exceeds G7 growth rates, which is only 1.7 percent, and the global average, projected at 3.2 percent.

BRICS accounts for approximately a quarter of global goods exports, with companies from BRICS countries dominating several key markets, including energy resources, metals and food – markets that are essential for sustainable economic development. In short, BRICS already plays a significant role in the global economy, and its influence will undoubtedly increase in the future.

In fact, BRICS countries are a driving force of worldwide economic growth. In the foreseeable future, BRICS alone will contribute the bulk of the global GDP increment.

Our association is building upon relevant development platforms, including communication channels, technological and educational standards, financial systems, payment tools and, of course, mechanisms for sustainable and long-term investment. As a result, the impact of external influence on the economic growth of BRICS members will diminish steadily. Essentially, this is what economic sovereignty is all about: it amounts to a partnership between self-sufficient economies that expands their potential many times over and opens up new opportunities.

I should add that the New Development Bank plays a pivotal role in the efforts to boost financial cooperation. With a solid, powerful and efficient structure, it boasts a substantial capital base as well as a team of experienced professionals. As a development institution, the bank operates as an alternative to a vast number of Western financial mechanisms. Obviously, we will further develop it as an independent structure, without opposing it to anyone, and will expand its capabilities.

We expect the New Development Bank to become a major investor in the largest technology and infrastructure projects in the BRICS space as well as the entire Global South.

Greater transport connectivity is among the key goals that aim to strengthen business partnerships within BRICS. Efforts should be taken to create new cargo mains and corridors for businesses and to provide advanced intermodal solutions and logistics schemes.

Russia’s BRICS chairmanship has facilitated regular contacts between transport agencies to address these issues. Work is underway to consider certain initiatives such as launching an online coordination platform and forming a BRICS reinsurance pool.

As far as I know, the association’s Business Council has established a separate subgroup on logistics. I would like to thank the Council members and representatives of the business community for their support of the concept of a permanent logistics platform.

Russia is making active efforts to redirect transport flows to reliable foreign partners. Our flagship projects include the Northern Sea Route and the North-South Corridor, continental arteries that serve as short and profitable trade routes, linking major industrial, agricultural and energy hubs with consumer markets.

We are also implementing an extensive project for the development of the Northern Sea Route and the replenishment of the icebreaker fleet, including nuclear-powered vessels. Coastal passages have been launched to test the routes. Work is underway to upgrade the satellite fleet, build new fuel terminals, establish centres for maritime safety and other coastal infrastructure facilities, and expand automobile and rail access routes to seaports.

The North-South transport corridor connects Russia’s ports in the northern seas and the Baltic region with terminals on the coast of the Persian Gulf and the Indian Ocean, serving as a key to increasing cargo transportation between Eurasia and Africa.

We are also working closely with our BRICS partners in the field of innovation and the digital economy. I have just discussed our capabilities in the food markets, energy markets and so on. We are naturally looking to the future and working to achieve greater outcomes. Together, we are developing e-commerce, introducing the Internet of Things and artificial intelligence, and processing Big Data. A BRICS competence centre will open under the United Nations Industrial Development Agency (UNIDO), aimed at deepening cooperation in the digital transformation of industry.

Moving forward, we need to focus on creating seamless digital infrastructure within BRICS. To this end, it is crucial to establish coordinated approaches among businesses, the public, and the relevant authorities regarding the use of biometrics and ensuring information security. We are counting on relevant recommendations from you, ladies and gentlemen, from the Business Forum.

Colleagues,

Russia is as open as possible to mutually beneficial business cooperation. We are creating comfortable and globally competitive conditions for doing business, for domestic and foreign players, for attracting capital and technology from abroad – primarily, to cooperate with you.

At the same time, I would like to emphasise once again that our combined efforts should primarily focus on developing and strengthening our own platforms that ensure economic growth. I am referring to technological solutions, financial and investment mechanisms, the expansion of logistics, and so on.

I am confident that taking advantage of BRICS’ impressive capabilities – in particular, its large population and wealth of natural resources – will bring maximum benefits to our countries, businesses and all our citizens.

In conclusion, I would like to wish the participants of the Business Forum fruitful discussions, effective work, and all the very best.

I assume that the results of your forum will be reported at the leaders’ meeting in Kazan, as your colleague said, by the current chairman of the BRICS Business Forum. I genuinely hope that you will have the opportunity to see Moscow, the capital of Russia, which is a source of pride for us as one of the most beautiful cities in the world and a rapidly growing world-class megacity.

Thank you for your attention. Thank you.

<…>

Sergei Katyrin: Mr President, we are aware of your packed schedule. We know that you have important issues to address that cannot be postponed. I would like to thank you on behalf of all forum participants for taking part in our meeting, for the close attention you are giving to the BRICS Business Forum, and, in general, for your commitment to the development of entrepreneurship in our country and beyond.

We would like to wish you success in your demanding post. Thank you very much.

Vladimir Putin: Thank you.

For my part, I would like to express my gratitude to our colleagues who have spoken here and to those who took part in our work online today.

In a few days, the President of the United Arab Emirates will come to Moscow on a visit. I will have the pleasure and honour of meeting with him.

As you know, a meeting with the leaders of all BRICS countries is scheduled for next week.

I would like to accede to the words of my colleague and friend, President Ramaphosa, who has said that supporting business activity and enterprise is a priority for the leaders of all BRICS countries. For our part, we strongly hope that you will achieve tangible results thanks to your executive talent, business skills and energy, as well as knowledge and experience. By working together and by helping and supporting each other, we will attain our main goal, which is to ensure progressive development, security and, ultimately, well-being for our countries’ citizens.

The BRICS’ activities are not spearheaded against anyone. They are aimed at attaining our common goal of sustainable development and prosperity for our nations.

I would like to thank you for being with us here in Moscow today and for thinking about how we can advance on this path, as well as to wish you all the best and every success in your noble endeavours.

Thank you very much.

Plenary session of Russian Energy Week International Forum

2024-09-26T20:25:19+04:00

Vladimir Putin and President of the Republic of Equatorial Guinea Teodoro Obiang Nguema Mbasogo took part in the plenary session of the Russian Energy Week International Forum.

This year, the 7^th edition of REW, themed Energy Cooperation in a Multipolar World, brought together over 4,000 participants from more than 50 countries.

* * *

President of Russia Vladimir Putin: Ladies and gentlemen, friends, colleagues,

I am delighted to welcome you all to Moscow, to the 7^th Russian Energy Week.

This forum has long become a permanent fixture in the business schedule of the global energy sector, once again bringing together the heads of leading companies and industry organisations, government officials, prominent specialists, experts, and journalists.

This year, more than 4,000 participants from over 50 countries will be discussing the most important issues on the energy agenda, and the challenges that both producers and consumers of energy resources are facing around the world.

In addition, this forum is an excellent opportunity to establish new contacts, make deals and exchange views on the long-term prospects of the fuel and energy sector.

Modern energy is one of the key sectors enabling global development. Its smooth operation based on transparent and predictable rules, when deposits are developed and resources are extracted, processed and supplied to the market without interruption, creates a solid foundation for economic growth, social progress, and improvement of the people’s living standards.

Unfortunately, this truism is being increasingly disregarded by those who resort to illegal sanctions, believing that such tactics can give them benefits and advantage in the energy market.

What are we talking about here? Historically, the main elements of the supply infrastructure of the global energy market happened to be consolidated in the West. I am referring to innovative mining solutions, logistics, insurance of resource supply, and the system of payments for these operations. Taken together, this constitutes a global energy platform on a par with technologies.

The Western elites believed that they could close access to these services for the countries they regard as inappropriate politically, thereby pushing them to the curb of progress, or more precisely, squeezing them out of the market. I believe that many would agree with me that all these instruments are being used above all for unfair competition.

The reason for this is obvious: the West does not want competition because it cannot handle it, because it loses the competition if it plays fair, which is why it resorts to discrimination presenting it as so-called Euro-Atlantic solidarity, the protection of human rights, and the like. There are many other pretexts.

What does this lead do? By closing access to its platform, the West has only encouraged the development of alternative solutions, alternative logistics, insurance and international settlement systems, as well as technological innovations. Of course, it is not a simple process, and it involves hard work by those involved, but the process is going on progressively.

I would like to emphasise that these solutions are mostly immune to external influence. And since they are being gradually shaped on a fundamentally new technological basis, they are becoming more effective by the day and, which is even more important, more widespread, first of all in the countries that are gathering momentum and demonstrating a high economic development pace.

I have said many times that the modern world has entered an era of fundamental and irreversible changes. A multipolar development model is emerging, starting a new wave of global growth for the rest of the 21^st century. And this growth will be concentrated not in Europe or North America. Of course, the European and the US economies rely on a very solid and powerful foundation, and of course, they will keep running, and it will be quite a while before they run out of steam completely. That said, Europe and North America will no longer operate as the main growth drivers. They are gradually losing their weight in the global economy. This growth will shift to BRICS countries and the states that are willing to join our association and view equal cooperation with due respect for national interests as the promising way to proceed.

I have already said this before but let me repeat it for this audience one more time. These are objective, international data. In 1992, the G7 accounted for 45 percent of global GDP, while BRICS had just 22 percent. As of the end of 2023, the G7’s share declined to 30 percent, while BRICS increased its share to 36 percent. And this trend is gaining traction.

Let me note right away that, according to international experts, several BRICS countries, including the People’s Republic of China, the Russian Federation, the United Arab Emirates and Saudi Arabia will enjoy positive, albeit quite modest, economic trends. Once again, this is what experts have been saying, including international experts. At the same time, the countries of what we call the Global South will lead the pack in terms of – I would like to stress it − economic growth rates. For now, their per capita GDP is quite low, and so is the share of people living in cities, but they have a high birth rate. This group primarily includes countries in South and Southeast Asia, as well as Africa, including Equatorial Guinea, whose President, His Excellency Teodoro Obiang [Nguema Mbasogo] is taking part in this plenary session. I would like to ask you to greet him. (Applause.)

To reiterate, BRICS – and Russia is chairing this organisation this year – sees its mission as combining economic capacities and creating a broad space of opportunities for everyone who is interested in harmonious and mutually beneficial cooperation. I would like to emphasise that it is mutually beneficial, that is, cooperation that benefits the interests of all our nations.

We intend to build an effective development platform for countries that are promising growth centres now or will become ones – a platform free from malign outside influence, with unimpeded access to resources, technology, personnel, finance, trade and investment. In particular, I am referring to the energy sector, which, as I said, is crucial for economic growth and social progress.

Russia, despite the challenges it is facing – everyone knows what they are, and in fact, everyone is facing challenges, so we have our own, too, and they are serious enough – nevertheless, Russia remains one of the leading participants in the global energy market. Over the past two and a half years, Russian companies have successfully redirected their exports of oil, petroleum products, and coal. Previously, the Asia-Pacific region accounted for about 39 percent of our energy exports, but by the end of last year, its share exceeded 60 percent.

In general, friendly countries account for over 90 percent of Russia’s energy exports today. At the same time, in physical terms, with the exception of natural gas (it is also clear to experts why), they have practically remained at the 2021 level.

Russia is expanding the geography and scale of its energy cooperation. New routes are being created to connect to fast-growing receptive markets, including the countries of the EAEU, the CIS, and southern Eurasia. Gas exports through the Power of Siberia pipeline are increasing, and LNG exports continue to grow.

In fact, LNG from the Russian Arctic has become one of the anchors, the main type of cargo shipped via the Northern Sea Route. We will definitely continue to develop our own LNG services and technologies, create centres for its transhipment, storage and trade. We will ensure enough tankers for our LNG projects; we will definitely augment the capacity of our Arctic and Eastern seaports, improve communications and enhance the Northern Sea Route infrastructure.

My Russian colleagues know what I am talking about – how they are being roadblocked in what they do. Indeed, this partially hinders the implementation of our plans, but they will be implemented, nonetheless.

In general, we are expanding international transport corridors. Freight traffic on these routes is scheduled to increase by at least 50 percent by 2030 compared to 2021.

In particular, we are further developing the Eastern Operating Domain. The throughput capacity of the Baikal-Amur Mainline and the Trans-Siberian Railway, which is nearly 180 million tonnes this year, will grow to 270 million tonnes in ten years, which will allow us to transport large volumes of fuel and energy products and refined products from our regions in Siberia to markets of the Global South.

Financial infrastructure, or more precisely, the system of payments for Russian exports, is a separate matter. There are certain difficulties here. To resolve that problem, we are switching to settlements in national currencies, which is of great interest to our partners. There are many problems in this sphere as well, which we are aware of, but we are gradually settling them. For example, the share of the ruble in our foreign trade transactions is approaching 40 percent. Between 2021 and 2023, the share of the ruble in export payments has grown nearly threefold to 39 percent, and the figure reached 39.4 percent in the first six months of 2024.

At the same time, as part of our cooperation with BRICS countries, we are involved in the creation of our own payment configuration that will provide conditions for servicing all foreign trade efficiently and independently.

I would like to add that Russian energy exports help friendly countries restrain the growth of import prices, maintain their energy security and economic stability, as well as compete more successfully in the global market.

We are resolved to continue to move forward, and we will not limit cooperation to trade in resources. Russia is ready to help strengthen the technological sovereignty of its partners in the energy sphere by creating comprehensive scientific and production chains. This is what we are doing in terms of cooperation in the peaceful use of nuclear technology. Rosatom is building nuclear power plants abroad and simultaneously training local personnel – engineers, workers and managers for the new facilities. In fact, we not only build power plants but, as Rosatom says, create new power generation and economic sectors for our partners.

I am confident that this combination of intellectual and resource potentials of different countries and our advance to new levels of international cooperation will create additional opportunities for the national school of research and for developing engineering, services and, of course, the entire energy sector in Russia.

Colleagues,

Last year’s energy consumption in Russia again set a new record that exceeds the Soviet-era indicators. You are well aware that growing energy consumption is the most unmistakable sign of economic growth.

At the same time, our energy system, one of the world’s largest, not only meets the growing demand from businesses, the economy, and the social sphere, but also is in the process of qualitative transformation. Over the past 15 years, the total capacity of the Russian power industry has increased by 18 percent, while the power plants themselves have undergone an in-depth overhaul, becoming more advanced, effective, and environment-friendly.

For example, natural gas, an ecologically clean and effective hydrocarbon, accounts for 48 percent of Russia’s energy balance and for over 85 percent, if we throw in the nuclear and hydraulic power industries that have a minimal carbon footprint.

What I mean is that our energy balance is one of the “greenest” in the world; this is an absolutely obvious fact. Unlike certain Western countries that use the climatic agenda to promote their essentially neo-colonialist interests, we are implementing a fair and orderly energy transition in practice, a transition that takes into account our natural conditions, the socioeconomic development of our cities and the entire national territory, as well as the structure of this country’s energy and fuel balance.

We will continue to follow this approach in the future. We will continue to upgrade and strengthen our energy system, which has entered upon a stage of retooling and conversion to new technological solutions.

Among other things, we are creating a substantial scientific and practical potential in a number of promising areas, such as renewable energy sources, small nuclear power plants, thermonuclear fusion, as well as hydrogen generation and production of motor vehicles, ships, and rail transport burning this kind of fuel.

True, research and technologies are at different stages of implementation in this regard. But to reiterate: it is important to be aware of this outlook and make plans for the future.

As you know, I have instructed the Government to extend the planning horizon for Russia’s energy strategy until the middle of this century. This strategy sets forth an ambitious and comprehensive plan to expand our generating capacity at a national scale. All these undertakings imply long cycles, and we must be forward-looking when working on them, and this is exactly the way we have been treating them.

Major, system-wide projects with long investment cycles will define these efforts, including, as I have already said, projects to master new technology, develop deposits and build the necessary infrastructure, power stations and grids.

I would like to remind my colleagues in the Government that we will need to draft a revised Energy Strategy in the coming months, and then carry it out, one step at a time, by focusing on our priority long-term objectives to develop Russia’s fuel and energy complex. As far as I know, the Government is currently in the process of coordinating these parameters among the agencies.

I talked at length about these priorities a year ago, during the previous Energy Week. Let me remind you that our key priority is to satisfy demand on the domestic market and to ensure stable and affordable power supplies to our regions, cities and companies. Let me put a special emphasis on the fact that the fuel and energy sector must play its role in ensuring that all the 2030 national development goals are fulfilled.

According to the available estimates, power consumption will grow at an [annual] rate of two percent until the end of this decade, which is about the same level as for the rest of the world. During this period, we intend to launch 27 gigawatts of new power generating capacity, including thermal, hydro and nuclear power plants.

We will promote connectivity between the power grids in the Urals, Siberia and the country’s east, while paying special attention to supplying power to Russia’s Far East. Power consumption there has been growing at a rate exceeding the national average, and it is expected to increase even more as manufacturing expands and as new housing, infrastructure and social facilities are built. Our energy sector must be able to meet this demand, including by using modern coal power generation, with low environmental stress.

I have already issued instructions to draft a long-term development programme for the Far Eastern Federal District’s energy sector. Just like the national Energy Strategy, it will cover a period until 2050. I would like to ask the Government to fast-track the approval procedures for this document.

Increasing the reliability of power supply to the regions is a separate matter. This year, we have applied a fundamentally new approach: we have introduced territorial grid organisations. Starting in 2025, these organisations will operate in each region of the country and will be responsible for power supply. They will also take over abandoned facilities (unfortunately, there are some) and address the consequences of accidents on networks, among other responsibilities.

I would like to ask the Government, together with the heads of the Russian regions and energy companies, to analyse the effectiveness of territorial grid organisations on a regular basis and to draw up a plan for increasing the reliability of power supply for each region, with transparent financing sources developed in advance. All tools must be used, from regulatory agreements and infrastructure loans to concession mechanisms and service contracts.

I would also like to mention the gas industry, which is undergoing serious changes. It is not only reorienting exports from the west to the east but also significantly increasing supply to the domestic market, including under the social gas supply programme launched in 2021, which is progressing at a good pace. I would like to thank the Gazprom management for this. Of course, our largest gas company, Gazprom, plays a leading role in this.

I would like to ask the company and its management, together with the Government, to prepare a ten-year plan, the implementation of which will ensure the corporation’s sustainable development and the creation of infrastructure necessary to change the geography of supplies. Let me reiterate, it must take into account our extensive plans to supply gas to all Russian regions and increase gas processing within the country.

We all understand what I am referring to when I discuss redistribution of routes. Those who were once our buyers have decided to give up our relatively inexpensive energy resources and switch to a more costly alternative. Well, that is their choice; let them rely on this expensive resource.

Next, the growth of hydrocarbon processing volumes at Russian plants and complexes is another priority task for the domestic fuel and energy complex. It is crucial to provide a raw material base and the necessary resource extraction. We have already identified special tax incentives for this.

Thanks to state support measures, offshore fields, such as Prirazlomnoye in the Arctic and projects on Sakhalin, are being developed. Hard-to-recover reserves are being developed: the Palyanovskoye oil field in the Khanty-Mansiysk Autonomous Area and the Yuzhno-Neprikovskoye field in the Samara Region. New oil and gas provinces are being introduced in Eastern Siberia and the Arctic. I mean large projects, like Vostok Oil in the Krasnoyarsk Territory, and the Utrenneye and Shtormovoye fields on the Gydan Peninsula. The coal mining centre in the Far East is expanding its capacity. The Pacific Railway will also start operating next year. It is a private railway going from the Elga field in Yakutia to the port of Elga in the Khabarovsk Territory.

Let me repeat, it is essential that the exploration of Russia’s unique reserves makes it possible to develop domestic processing enterprises, creating maximum added value right here, in Russia.

We have launched a state programme to upgrade oil refineries. Its goal is to provide the economy, cities, all populated areas and people with high-quality fuel, lubricants, bitumen, and other products. I would like to ask the Government to closely monitor how this programme is implemented and to work specifically on every enterprise, on the timing of repairs, and renovation of production.

Special focus must be placed on the development of oil, gas, and coal chemistry. According to estimates, the demand for these products will only grow both in Russia and around the world. Moreover, these sectors are highly profitable. The price from raw materials to final goods in the chains can grow up to 12 times.

Russia implements projects in this sphere, which are large even by global standards. The country’s largest petrochemical plant, ZapSibNeftekhim, is operating, and the Amur Gas Chemical Complex, which will become the most powerful Russian enterprise for the production of basic polymers, is being built. There are other large projects as well. It is important that there be more such projects, that new production facilities are opened in various regions and modern, well-paid jobs are created. I have already drawn the Government’s attention to this and would like to repeat it again: these business initiatives must be supported.

Furthermore, it is clear that, under current conditions, the reliable operation of production fields, pipelines, refining facilities, and power plants, as well as the fuel and energy complex in general, is dependent on the availability of our own specialists, technologies, and competencies in the equipment used for producing and delivering resources, power engineering, and so on.

A national project to be launched next year will serve as a major system-wide instrument of support for domestic initiatives. It is called New Nuclear and Energy Technologies. This national project will set ambitious goals, namely, to consolidate Russia’s global leadership in the nuclear sector. It aims to consolidate that leadership, as our current standing is indeed global. This is evident from the volume of work that Rosatom, our leading company, is doing.

Ensuring the country’s technological sovereignty across all spheres of the fuel and energy complex is the goal of this new national project. I ask my colleagues in the Government, together with our business and academic communities, to elaborate all the details of this national project with a view to launching it without delay.

Colleagues,

Russia’s fuel and energy complex is a modern, dynamic industry. It successfully meets current, including global, challenges and strengthens the raw materials, technological, and industrial sovereignty of our country; it supports and develops trade and cooperative ties with responsible foreign partners.

Russia is fulfilling its obligations to supply energy resources to the world market and plays a stabilising role within it, participating in such authoritative formats as OPEC Plus and the Gas Exporting Countries Forum. Incidentally, we cooperate with the country represented by our guest in both organisations, and we will certainly continue this collaboration with our partners.

I am confident that the strategic and long-term tasks facing our energy industry will undoubtedly be accomplished. This means that our energy companies, their workforce, and the industry as a whole will be provided with stable and reliable work for many years to come. They will make a significant and tangible contribution to achieving Russia’s national development goals and improving the quality of life for our citizens. And, of course, they will continue to contribute to balancing the world energy markets for the sake of sustainable global development.

Thank you.

President of the Republic of Equatorial Guinea Teodoro Obiang Nguema Mbasogo (retranslated): Your Excellency President of the Russian Federation Vladimir Putin,

Your Excellencies heads of delegations and representatives of the organisations present in this audience,

Ladies and gentlemen,

It is a great honour for me to speak at the 7^th Russian Energy Week International Forum themed “Energy Cooperation in a Multipolar World.”

We are grateful to the hosts for inviting Equatorial Guinea to participate in this exchange of experiences and best practices to address challenges in the energy sector and to expand international cooperation, being mindful of the important role that the energy sector plays in the national economies.

I would like to express my deep gratitude to the Government and the people of the Russian Federation, as well as to my good friend President Vladimir Putin, for the warm welcome and hospitality extended to us the moment we arrived in Moscow, a wonderful city with a long history.

Your Excellency, ladies and gentlemen,

This forum is taking place in an international setting marked by economic and financial crises sparked by a decline in hydrocarbon prices and the repercussions of the COVID-19 pandemic, which we must address as a team and stand together as we seek solutions.

Indeed, we live in an era of major changes and challenges. We are faced with the realities of a world in transition in terms of the structures that bolster our economy. In this context, the energy sector plays a crucial role as a pillar supporting our state. Considering this, our current positions will have long-term consequences for generations to come.

Equatorial Guinea is determined to deepen energy cooperation with Russia and other friendly countries. Our country is rich in natural resources, such as oil and gas, and is open to forging strategic alliances with willing partners.

We strive to build a future where our respective economies will benefit from genuine cooperation based on mutual trust and shared benefits, which will be advantageous for our societies.

This is why we encourage Russian companies and companies from other friendly countries to cooperate with us not only in energy production, but also in the exploration and development of our oil and gas resources. Such partnerships should not be limited to the production of resources but should include knowledge transfer, technological training, and the promotion of modern energy infrastructure development.

Our goal is clear: we want Equatorial Guinea and our partners to streamline the use of our respective energy resources while using the latest technologies available in this sector.

Your Excellency,

Ladies and gentlemen,

While discussing the energy sector’s progress, we cannot overlook one of the most pressing problems facing the world: energy poverty. Millions of people do not have reliable access to energy. To address this, the Republic of Equatorial Guinea is cooperating with its African partners, working as part of the strategic partnership and the Central African Pipeline System finance committee. We invest in building energy infrastructure to stimulate the economy and improve the living standards of our societies.

Equatorial Guinea believes that energy cooperation should be guided by a fundamental principle: to ensure the stability of energy markets, protecting the most vulnerable segments of the population from market volatility.

On the other hand, Equatorial Guinea strongly supports strategies and efforts to stabilise global energy markets. In this regard, we call on all international stakeholders to work together to reduce uncertainty and promote appropriate market policies. Energy should not be a weapon that divides us, but a means to achieve common prosperity. It is our collective responsibility to ensure that the least developed countries are safely protected from fluctuations in energy prices and are not excluded from the benefits of energy and advanced technology.

In addition, while, as oil producing countries, we all share the same markets, not all of us enjoy the same advantages. To address this, the national oil company of Equatorial Guinea, GEPetrol, took over the management of several oil projects that were previously managed by ExxonMobil. The new arrangement enabled GEPetrol to spur the country’s hydrocarbon sector and begin shipments of crude oil from those projects in July this year.

Your Excellency,

Ladies and gentlemen,

Today, there is an ongoing debate about the phase-down of fossil fuels. The idea behind decarbonisation is to reduce our carbon footprint. However, it should be noted that Equatorial Guinea is not among the countries with the highest carbon dioxide emissions. On the contrary, our emissions have almost no impact on climate change.

However, meeting the global decarbonisation targets is a major challenge for the Republic of Equatorial Guinea. Nevertheless, we are required to switch to carbon-free sources. Furthermore, Equatorial Guinea does not possess the same kind of advanced technology supporting decarbonisation that more developed countries have access to. Therefore, we cannot accept or support the energy transition that leaves the least developed countries behind.

It is necessary to acknowledge and accept the fact that the pace of adaptation to new market conditions will vary across the globe.

Your Excellency, ladies and gentlemen,

Ensuring a prosperous future for energy is our shared responsibility, which implies collaborative efforts – efforts that Equatorial Guinea is calling for – that are based not just on energy production, but also on a shared resolve to promote stability in energy markets. This will lead all of us to a fair technological transition.

Cooperation is impossible unless it seeks to achieve common goals and is based on mutual benefits. More than that, it is impossible to talk about cooperation without a consensus based on considering each other’s interests and respect for other countries.

I would like to close by wishing the 7^th Russian Energy Week International Forum, just like all the previous ones, every success. May the outcomes of the discussions and your proposals lead to a world free of injustice in the energy sector.

Thank you very much.

Vladimir Putin: Friends, colleagues,

You have a full working week ahead of you. A week of contacts and meetings during which you will sit down and discuss the issues that brought you to Moscow. Without a doubt, your work during the forum and, more broadly, your current efforts are impacted by the political developments around the world.

Politics and the economy are closely intertwined, especially in a critical and fundamental economic sector such as energy. This link can be traced to the early days of human history. It is obvious. Now, it has become clear to the point where even those who are not involved in the economy or politics are aware of it.

However, we have here the people who are accustomed to doing concrete things, rather than telling others what they should be doing and how. We have businesspeople in this audience. The outcomes of your work will have a significant impact on both the economy and politics.

I wish you success in this joint event and hope that your efforts will be as free of politics and as pragmatic as possible. I wholeheartedly wish you success.

I would like to thank our foreign guests for coming to our country, Russia’s capital, Moscow, in these challenging times.

I wish you all the best, every success, and prosperity. Good luck.

Thank you.

Meeting with BRICS high-ranking officials responsible for security matters

2024-09-13T17:33:55+04:00

The President of Russia held a meeting with high-ranking representatives of BRICS states responsible for security matters at the Constantine Palace.

Taking part in the meeting were National Security Advisor to the Prime Minister of the Republic of India Ajit Kumar Doval, Director of the Office of the Foreign Affairs Commission of the Communist Party of China (CPC) Central Committee, Minister of Foreign Affairs of the People’s Republic of China Wang Yi, Minister in the Presidency of the Republic of South Africa Khumbudzo Phophi Silence Ntshavheni, Secretary-General of the National Security Council of the Arab Republic of Egypt Alaa Youssef, Secretary of the Supreme National Security Council of the Islamic Republic of Iran Ali Ahmadian, Secretary-General of the Supreme Council for National Security of the United Arab Emirates Ali Al Shamsi, Executive Director of the Joint Intelligence and Analysis Centre of the Federal Democratic Republic of Ethiopia Tadesse Million Lema, Deputy Special Assistant to the President of the Federative Republic of Brazil for Foreign Affairs Ibrahim Abdul Hak Neto, and Secretary of the Russian Federation Security Council Sergei Shoigu.

* * *

President of Russia Vladimir Putin: Colleagues, friends,

I am delighted to welcome you all to St Petersburg. Thank you for being here in Russia’s northern capital. In this regard, I would like to remind you that the BRICS association was established right here, in this very building in St Petersburg.

At that time, the leaders of three states – India, Russia and China – agreed during a meeting to hold regular meetings at the top level, as well as other events. This is how the RIC (Russia, India and China) association was born and began to grow, and today, I have the privilege and pleasure to welcome the participants in the meeting of BRICS high-ranking officials for security matters.

I know that yesterday, you had a lively and productive discussion on the most relevant aspects of the global situation, on global and regional stability concerns.

This is the fourteenth meeting held by BRICS in this format. However, this time it saw the participation of delegations from the states that joined our association as full-fledged members on January 1.

Moreover, a meeting was held with our colleagues from the countries that are not yet part of BRICS but have shown a sincere interest in working more closely with our association. This was done at Russia’s initiative, and we appreciate your support.

I want to emphasise that the meeting of high-ranking representatives is a crucial step in preparing for the BRICS summit and BRICS Plus/Outreach, scheduled to take place in Kazan, Russia, on October 22–24.

Please convey to your country’s leaders that we look forward to their participation in the summit. We plan to discuss in depth the future expansion of the comprehensive partnership among BRICS member countries and to finalise a package of agreements covering various sectors and areas of cooperation.

As the current BRICS chair, this year Russia has taken a highly responsible approach to organising joint activities within the association.

Our chairmanship has been assigned a crucial task: to facilitate the swift and seamless integration of new member countries into all BRICS mechanisms. Additionally, we have addressed the increasing interest in BRICS from numerous states. Currently, over 34 countries have expressed their desire to participate in the activities of our association in some capacity.

As a result, we have initiated active discussions with all BRICS participants regarding the framework for a new category of partner states, which is set to be approved in Kazan. We will also consider a number of potential candidates for this status.

I want to highlight that the programme of the Russian presidency is both extensive and varied. It encompasses over 200 events designed to enhance partnership across all key areas, including politics and security, economics and finance, as well as cultural and humanitarian relations.

To date, more than 70 percent of the chairmanship plan has been completed, with approximately 150 events, meetings, and industry forums already conducted. Most of the expert and ministerial meetings have taken place, including notable forums such as the BRICS parliamentary and inter-parliamentary forums, meetings of ministers of education and sports, as well as meetings of heads of prosecutorial services, chief justices, and heads of supreme audit institutions. All of these events have been conducted in a constructive and cooperative spirit.

Under the Russian presidency, a meeting of the BRICS foreign ministers took place, including an extended session with representatives from the Global South and East. This event was held in Nizhny Novgorod, Russia, in June.

Another meeting of BRICS foreign ministers is scheduled for late September in New York, on the sidelines of the UN General Assembly.

A regular meeting of the BRICS Energy Ministers will take place during the Russian Energy Week in Moscow on September 26–28.

Under Russia’s presidency, new areas of cooperation have been initiated, including meetings of transport ministers, heads of geological services, and a BRICS forum on nuclear medicine.

In the cultural sphere, the civil and academic BRICS forums, the Friendship Games, and thematic festivals and exhibitions in various Russian cities have had a significant impact. Right now, the 10^th International Cultural Forum is taking place here in St Petersburg, where a meeting of the BRICS ministers of culture has already taken place on its sidelines.

The Russian presidency places great emphasis on the issues within your competence as high-ranking representatives for security. We are building on the truly impressive experience that BRICS has accumulated in cooperating to respond to the threats of terrorism and extremism, illegal weapons and drug trafficking, cross-border crime, and illegal migration.

Specific results of the BRICS member states’ joint work include the creation of a special online register for exchanging data on computer attacks or incidents. The adoption of the decision to establish a BRICS council on combating money laundering and financing of terrorism is nearing completion. In July, the ninth plenary session of the anti-terrorism working group was successfully held in Moscow.

As part of the BRICS anti-corruption work, member countries’ common approaches to combating bribery and to the return of assets and proceeds from illegal criminal activity have been approved at the suggestion of the Russian side.

An additional boost was given to cooperation among the BRICS member states in the fight against drug crime. During the latest meeting of the anti-drug working group in May, agreements were reached on cooperation in preventing the use of information technologies and virtual payment systems in drug trafficking.

Colleagues, this is all I wanted to say at the beginning of our conversation and I hope for your active response.

The floor goes to Russian Security Council Secretary Sergei Shoigu. Go ahead, please.

<…>

Plenary session of the St Petersburg International Economic Forum

2024-06-25T21:55:56+04:00

Vladimir Putin took part in the plenary session of the 27^th St Petersburg International Economic Forum.

Other session participants included President of the Plurinational State of Bolivia Luis Alberto Arce Catacora and President of the Republic of Zimbabwe Emmerson Dambudzo Mnangagwa.

Sergei Karaganov, a political analyst, historian and Academic Supervisor of the Faculty of World Economy and International Affairs at the Higher School of Economics, moderated the discussion.

The St Petersburg International Economic Forum has been held annually since 1997. The event has become one of the world’s leading platforms for discussing key issues of the global economy.

The 2024 forum’s key theme is ‘The Formation of New Areas of Growth as the Cornerstone of a Multipolar World. More than 12,000 people are attending the forum, including shareholders and top managers of major corporations, recognised experts and analysts, political and public figures, and government officials.

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Plenary session moderator Sergei Karaganov: Good afternoon, presidents.

Colleagues and friends.

I was offered a huge honour and great pleasure to host this session. We have a brilliant and strong group of speakers, so the session promises to be interesting.

Allow me to start with Mr Emmerson Dambudzo Mnangagwa. He is a legendary figure, the last leader of an African country who has been fighting for almost all his life – a significant part of his life, with arms in his hands – defending his home country’s independence. He spent ten years in one prison and two in another. He survived, then he was sentenced to death penalty twice. After he became president, he abolished capital punishment in his country.

We would really appreciate it if Mr Mnangagwa could share his experience with us. Zimbabwe has been under sanctions for many years because they dared to nationalise white colonisers’ property.

Mr Luis Arce is an outstanding economist and a descendant of the people who fought alongside the great Simon Bolivar for the independence of their homeland. His fate is slightly less dramatic but nevertheless brilliant, eventful and triumphant.

Mr Arce was Bolivia’s minister of economy and finance for 15 years. Over those years, his country increased its GNP [gross national product] by 250 percent and reduced the number of people below poverty line by more than 50 percent. He carried out remarkable and most noteworthy reforms, including nationalisation of a significant part of foreign companies’ property, and natural resources. He also successfully introduced import substitution. Certainly, we would love to hear about his experience.

I believe Vladimir Putin needs no introduction and for me as a citizen of the country where he is president, it is inappropriate to sing him praises. But I will say only one thing. I clearly remember 1998 and 1999 when our country was on the edge, or rather, beyond the edge, of collapse. It was completely tragic. I remember myself and my fellows fighting desperately, almost without hope. And finally, there was a time when God had mercy on us.

Now, Mr President, your challenge is difficult as never before. Not only do you have to win but also to save the world from heading for and being pushed to a world war. Although today we will speak about something else.

President Putin, the floor is yours.

President of Russia Vladimir Putin: Good afternoon, friends and colleagues.

Mr Arce. Mr Mnangagwa. Friends. Ladies and gentlemen.

I am delighted to welcome all of you to the 27th St Petersburg International Economic Forum.

More than 12,000 people from more than 100 countries are taking part in the forum this year. They include shareholders and top managers of major corporations, recognised experts and analysts, political and public figures, and public officials.

Traditionally, the St Petersburg forum not only provides an opportunity to establish business contacts, agree on cooperation or launch promising projects, but also facilitates open discussions on topical trends in global and regional markets. It allows participants to examine the processes that are dynamically developing in today’s world through the prism of economic relations.

We can see that a real race is beginning between countries to promote their sovereignty at three key levels: the state, cultural values, and the economy. At the same time, countries that until recently were leaders in global development are striving to maintain their elusive role as hegemons, using any means necessary. In reality, there is nothing unusual here, when a country or a person tries to maintain or strengthen their positions in life, but resorting to lies for this purpose is unacceptable. Strengthening positions honestly is commendable, but doing so through lying is not.

Of course, it is evident that China currently holds the position of the world’s number one economy by a significant margin from the second place. India is the third largest economy in the world and a global leader in terms of development dynamics.

The voices of South Asian and African countries are becoming increasingly prominent, with their high birth rates and a low level of urbanisation so far, as well as rapid, catch-up economic growth. According to expert assessments, these countries will shape the global economic landscape closer to the middle of this century.

It is worth noting that today the world is undergoing explosive technological growth in almost all areas of life. This growth is transforming management, production processes, and even entire industries. It is evident that countries that not only produce new solutions, but also ensure their rapid and advanced implementation will be able to fully take advantage of technological progress.

Russia has demonstrated its high level of readiness and receptiveness to technological change. We can see how our financial sector, e-commerce, transport services, and public administration system have already undergone significant changes. Similar processes are now beginning to unfold in the Armed Forces, where a high rate of technological renewal is also required. This is the most important and defining issue for our country.

I am sure that at present, as much as in the long run, the role, weight and, I daresay, even the future of states depends on how effectively they are able to respond to global challenges, to use their potential, capabilities, and their competitive advantages, and work around their weaknesses, and maintain and strengthen partnerships with other countries.

Last February, I outlined the priorities for Russia’s development in my Address to the Federal Assembly; since then, a comprehensive programme of economic transformation has been formed, through the end of this decade and beyond.

The format of this forum warrants a focus on the economic aspect of our development, on the qualitative and structural changes that are taking place in our country, and which we intend to vigorously and purposefully support by directing financial, human and organisational resources at the federal, regional and municipal levels to this end, and through implementing national projects, which we discussed at length at the recent meeting of the Council for Strategic Development.

What kind of changes am I talking about?

First, in view of the international status of this forum, I will start with foreign economic relations, the presence that Russia strives to gain on international markets, and our plans for restructuring our exports and imports.

Despite all the obstacles we are facing and the illegitimate sanctions imposed against us, Russia remains one of the key participants in global trade and is rapidly expanding the new logistics and geography of cooperation. We are strengthening ties with the countries in Asia (a growth of 60 percent from 2020 to 2023), the Middle East (100 percent), Africa (69 percent) and Latin America (42 percent). I assume that my colleagues, the guests of this forum, the presidents of Bolivia and Zimbabwe, will touch on this subject in their remarks.

Today, the countries that are friendly to Russia – and as we can see, these are the countries we should primarily focus on, the rapidly growing economies that will determine the future of the global economy – account for three-quarters of our trade.

We continue to work productively with our EAEU partners, ensuring a balance of interests of all parties. Last year, the EAEU’s total GDP grew by 3.8 percent, and mutual trade, by 4.7 percent. Moreover, its structure has qualitatively improved, namely, the supply of finished high-tech products has grown. We will continue to actively support non-resource and non-energy exports from Russia. By 2030, these exports should grow by at least two-thirds compared to 2023.

Again, this is not just about scaling up exports in terms of tonnes, cubic metres or units of finished products, but about high-value-added goods. It is about bigger changes than Russian companies’ expansion to new regional markets and greater geography of cooperation. All of this is important, but today, it is not enough.

With regard to other countries, we are willing to come up with an offer of creating full-fledged technological or industrial partnerships that include the provision of a full-life cycle for goods and services replete with training of national staff, localising production, and providing engineering support, as well as technical service, insurance, and so on.

Such approach to cooperation that relies on equal partnership and technology and competency transfers rather than market control makes it possible to establish stronger ties between the countries, improves our companies’ sustainable positions on the global market, and enables them to establish lasting partnerships with their foreign partners. This is exactly how one of our leaders, Rosatom, the undisputed leader of the global nuclear industry with broad horizons and plans for the future, operates.

Clearly, foraying into new markets is hard without strong transport links. The Eastern Operating Domain is our key project with regard to China, and the countries of the Asia-Pacific region. Its third phase of upgrading was approved in April. By 2030, the Eastern Operating Domain’s capacity is expected to have increased to 210 million tonnes, and to 270 million tonnes by 2032.

We will keep a close eye on the southern direction. Plans for developing the North-South international corridor and the Azov-Black Sea corridor have been approved.

The Northern Sea Route is on track to become a global artery that enjoys high demand. Last year, it carried 36 million tonnes of cargo, and this number is projected to increase to over 150 million tonnes over time. To get there, we will continue to expand the Northern Sea Route infrastructure, and to build access roads to the Arctic ports. The leaders of the northern constituent entities of the Federation are to play a special role in this work. In this regard, we will form a State Council commission on the Arctic regions and the Northern Sea Route.

The cargo volume carried along international transport corridors across the Russian territory is expected to increase by 50 percent in 2030 compared to 2021, primarily due to increased competitiveness and the ease of use of these routes for businesses and carriers.

Development of the cross-border payment infrastructure is a separate issue which is important both for the exporters and importers. It is no secret that the reliability and trust in Western payment systems have been fundamentally undermined, by Western countries themselves. In this regard, I would like to note that last year the share of payments for Russian exports in the unfriendly states’ so-called toxic currencies was halved. At the same time, the share of the ruble in export and import transactions is growing. Today it is approaching 40 percent.

Over 2021–2023, the share of the ruble in payments for Russian exports almost tripled, went up to 39 percent. Tripled.

Together with our foreign partners, we will increase the use of national currencies in foreign trade payments and improve the safety and efficiency of these operations. Among other things, BRICS is working to establish an independent payment system that is not subject to political pressure, abuse and external sanctions interference.

Let me remind you in this context, that new participants have joined the BRICS activities this year: Saudi Arabia, Iran, the United Arab Emirates, Egypt, and Ethiopia. Thus, the share of our association in global GDP increased to 36 percent, and in the planet’s population to 46 percent. That said, BRICS has great potential for the accession of new members. Of course, we welcome and support this intention of interested partners to develop contacts with BRICS on different continents.

We will continue to develop relations within BRICS not only in the economic and finance sector, but also in security, humanitarian and cultural cooperation, and other areas. We will act considering global challenges and objective trends and, I want to emphasise this, the growing capabilities of national economies.

In this regard, let us talk about the second significant structural change. This is the achievement of a new quality and content of economic growth in Russia, and a change in the sectoral structure due to an active supply-side economy policy.

As you know, at the end of last year, Russia’s GDP growth amounted to 3.6 percent, and in the first quarter of this year, it amounted to 5.4 percent, so our rates exceed the world average. It is especially important that these dynamics are ensured primarily by non-resource sectors.

Let me also add for reference, that in 2023, 45.5 percent of economic growth was ensured by basic industries, as I said. What are they? Manufacturing, construction, logistics, telecommunications, agriculture, electricity and other housing and utilities services. And 61.6 percent was ensured by providing industries, which are trade, hotels and restaurants, financial and other services).

We have set the goal of ranking among the four largest economies in the world. By the way, according to certain information, including assessments by the World Bank – it made additional calculations the previous week and put Russia in fourth place. We are ahead of Japan now.

Russia is placed fourth by GDP and by purchasing power parity. As I said, ahead of Japan. But I’d like to stress the following. Of course, the point is not the GDP estimation and calculation system, not even the formal fourth place achievement. We are close by: Russia, the Federal Republic of Germany and Japan. The difference is small. Russia is ahead, but the difference is small. Given this, we do understand that leadership positions have to be permanently proven and consolidated. Other countries are not standing still either. It is important for us to ensure consistently high rates and quality of growth for a long term. This is our goal today. And it is not just the economies of Germany or Japan, which are next to us on the scale. The point is that other countries are moving forward too. Indonesia is close on everybody’s heels. The population is growing, the economy is growing. We should never forget it.

The solution to this challenge requires stronger financial, technological and personnel sovereignty, building up of production capacities and higher competitiveness of Russian products both in foreign markets and our own domestic market.

The development of such a model of supply-side economy should result, among other things, in the reduction of imports to 17 percent of GDP by 2030. Our dynamics are quite good. Look: in 1999, the share of Russia’s imports reached 26 per cent of GDP, and in 2023, it was 19 per cent of GDP, or 32 trillion rubles. That is, as I said, the dynamics are absolutely clear and positive.

I make it a point that the share of imports should be reduced, certainly not at the expense of administrative and prohibitive barriers but thanks to our own competitive production facilities, which are ready to satisfy domestic needs in the products of the manufacturing industry, agriculture, services, IT and many other sectors.

There are many successful examples of such strategy. For example, we have created a modern meat industry in the agro-industrial sector. Its capacity has almost doubled over 15 years. Today, Russia ranks fourth in the world in meat production and is increasing the supply of these products to foreign markets. By the way, Russia has reached 100 percent self-sufficiency in meat products. Meat consumption last year, in 2023, updated its record and exceeded 80 kilograms per person. For comparison, the world’s average is 42–43 kilograms per person.

I would like to repeat: Our country can and will produce more consumer goods, machine-tools, equipment, vehicles, medicines, and so on. To this end, we need to launch new projects, create modern jobs, and do it everywhere, in all regions of the country.

By 2030, investment in fixed capital should be up by 60 percent in real terms compared to the level of 2020. Everyone here is a knowledgeable specialist and is fully aware of what investment in fixed capital means, what it leads to, and what kind of prerequisites it creates for future growth in the medium and longer term.

I would like to emphasise that, in general, we have done pretty well in this most important area in recent years. In 2021, the planned investment growth stood at 4.5 percent, but was 8.6 percent in fact. In 2022, the plan was 9.5 percent, the actual figure was 15.9 percent. In 2023, the plan was 15.1 percent, but it actually turned out to be 27.2 percent, which is almost double the initial plan which is good.

Of course, investment activity should be properly funded. I have earlier said that we will set aside additional funds for industrial mortgage programmes and almost double the size of the Industrial Development Fund.

We will also increase the capacity of the Project Finance Factory at the VEB-operated Development Institute. Projects worth over 2 trillion rubles are being implemented under this programme. I suggest incrementally expanding the limits of the fund. At the first stage, we will increase it to 600 billion which will allow us to additionally support real sector projects worth up to 6 trillion rubles.

Increasing the volume of bank lending for technological sovereignty projects is important. We will fine-tune the taxonomy of such projects, i.e. line up the priorities for supporting and increasing investment in key industries and technological projects aimed at structural changes in the economy. We will increase the number of projects under this system, which will make it possible to attract additional funds which will go into implementing them.

The state is willing to share risks with investors. For example, the Foundation of Funds for Advanced Industrial and Infrastructure Projects is now operational. We have been discussing its parameters for a long time. The Government debated it, and we tried to coordinate it with the business community. People who were involved in this are here with us today.

Private investors are heavily investing in the Russian economy alongside the Russian Direct Investment Fund which is another area of our work.

The State Duma is considering draft laws that will expand the public-private partnership mechanism to include industries and the space sector. Please have these regulations adopted as soon as possible.

And another thing: to support investment activity, we naturally need to develop the capital market, increase its capacity and appeal for businesses and investors, and, of course, pay special attention to the safety and profitability of people’s funds invested in these assets.

Today there are almost 30 million so-called retail investors in our country – these are our citizens. The total volume of their assets increased by 50 percent over the year and totalled more than nine trillion rubles. At the same time, the demand for the shares of Russian companies has steadily exceeded the supply.

The goal has already been set: by the end of the current decade, the capitalisation of the Russian stock market should approximately double and make up two thirds of the gross domestic product.

I ask the Government, together with the Central Bank, to propose additional measures to encourage companies to list their securities on the stock exchange. Among other things, we should think about compensating the costs of initial public offerings for small technology companies.

This is an appeal to the Ministry of Finance and the Central Bank. The companies’ costs, including those related to bank posting, placement and so on, should be reduced as much as possible. And of course, it is necessary to ensure the inflow of so-called long money into the financial market, including long-term savings of citizens.

I would like to remind you that starting January 1 of this year, a special programme to support voluntary long-term savings of citizens has been launched. Now they are insured and co-financed by the state and can also be tax deducted. The programme has only recently been launched and is still lagging behind its targets. I propose to fine-tune it, namely, to increase the period of co-financing of citizens’ savings. Now it is three years. I believe it is right and reasonable to extend it to at least ten years.

At the same time, I ask the Government, together with the Central Bank, to consider additional incentives for businesses so that employers could also co-finance their employees’ savings under this programme. Now, given the shortage of labour, this would be appropriate and would even benefit the enterprises themselves, which would retain employees.

I would like to add that a new instrument – a savings certificate – will be introduced this year. It will make it possible for citizens to place funds in banks for a period of more than three years and at a higher interest rate than on ordinary deposits, although even now the deposit is quite solid, and our leading financial institutions are pushing this bar higher and higher. I don’t know whether this is justified or not, but it is certainly a bonus for deposit holders, so much is clear. But I would not like you, Mr Gref, along with Mr Kostin, to suck everything out of other banks like a vacuum cleaner. We will talk more about this later.

On January 1, 2025, contributory life insurance will be launched. What is it about? People’s insurance premiums can be invested in more profitable assets, such as shares, and bring benefits to the insurance buyer. That is, the principle of classical insurance and investment is combined, and in order to further guarantee the return of these funds, I propose providing state insurance in the amount of 2.8 million rubles, like for long-term savings.

Next, today there is an investment tax deduction mechanism in the regions. Thanks to it, companies that invest in development can decrease their income tax. Starting this year, the deduction is tied to projects of technological sovereignty and structural adaptation of the economy. This makes it possible to manage the quality of investments and stimulate capital expenditures in priority areas.

I am asking the Government to make sure that the deduction can be applied not only within one company, but also within a group of companies, and also to provide additional resources for the financing mechanism to replenish the tax deduction.

In this regard, I will remind of the decision that has been made: regions will be able to use part of the funds released after writing off budget loans to cover their shortfall in income due to the investment tax deduction. The Ministry of Finance has taken this step. I think it is justified in today’s conditions and will help all active participants in economic activity. I will elaborate on this later. In addition, I am confident that the regions will also support investors directly through their budgetary capabilities, which are also growing there.

Let me emphasise: what I have said is about the investment tax deduction in the Russian regions. In addition to it, a federal deduction will be introduced as part of a reconfiguration of the tax system, aimed at encouraging business investment in development, achieving greater social justice, and reducing inequality between citizens. In the near future, it is necessary to determine the parameters and volumes of the federal investment deduction together with business associations, so that it becomes an effective, widely used tool.

Going back to the regions’ efforts to support business activity, I would also like to note such mechanism as the regional investment standard. Its purpose is to ensure uniform principles for attracting investors throughout the country, based on businesses’ requests and recommendations, that is, to create a universal investment ecosystem in each region and a clear algorithm of actions for businesses to locate production facilities in.

Of course, these support measures are available to all of us and are in high demand. Today, the regional investment standard has been introduced in all the regions, and relevant specialists responsible for interaction with investors have been trained.

Colleagues, friends.

I would like to say words of gratitude to regional teams and business associations, as well as the Government, for their efforts. I am aware that there is a proposal to enshrine the investment standard in legislation. I suggest that the Government discuss this with the business community and the regions.

Importantly, our primary goal is to get this mechanism rolling and to use it widely in real life. This is our immediate goal. I believe the top-performing teams should be incentivised at the Government level.

Notably, launching the regional investment standard enabled many constituent entities of the Federation to make a leap in the investment climate national rankings. As is customary, its results are presented on the platform of our forum. I will say more about them later.

Over the past year, the exchange of experience and replication of leadership practices made it possible for 74 Russian regions to improve their integral index which is significantly more than last year. The republics of Buryatia and Mordovia, as well as the Lipetsk, Ryazan, and Arkhangelsk regions are among the regions with the best dynamics. I congratulate our colleagues on their top performance results and wish them every success as they go forward.

On top of that, we will focus on improving the national investment climate rankings, including sharing advanced solutions in this area with our BRICS partners. In addition, at a recent meeting of the Supervisory Board of the Agency for Strategic Initiatives we agreed to finalise the ranking compiling technique and to build it on the basis of the national model of targeted conditions of doing business. This is our improved and more objective answer to international rankings.

Colleagues,

The new quality of the labour market is the third major structural change that we are looking for. Unemployment in Russia was at a record low of 2.6 percent in April. Importantly, we have brought down its structural component, meaning that youth unemployment and unemployment in the regions and localities where it was historically high is significantly down.

Fifteen to 20 years ago, the main question was how to find employment whereas now it is where to find employees. Given the circumstances, it is important to reconfigure the vocational education system to meet the labour market demands, to train specialists with up-to-date and sought-after skills, and to open opportunities for employees to advance their professional skills throughout their career.

For this purpose, we are making a forecast of the staffing needs of the national economy. We will transform the system of vocational training and development based on the forecast. By the end of the current decade, the share of qualified employment, i.e. specialists working in industries with high added value and, therefore, higher wages, should increase in our labour market. Let me reiterate: the objective of the human resource development system is to ensure this transformation.

The Professionalism federal project plays a major role here. It has already made it possible to start upgrading the material and technical base of colleges and technical schools, update educational programmes for aircraft- and ship-building, pharmaceuticals, electronics, defence and other industries. By 2028, about one million specialists in vocational professions will have to be trained for these sectors. We have already talked about this on many occasions, and I just want to remind you of it today.

As for higher education, in the next ten years Russia will have 40 university campuses with advanced conditions and opportunities for students to study, research, live and work. I would like to emphasise once again: we will assess the work of higher education institutions, Russian universities, colleges and technical schools by how much their graduates are in demand and how their salaries are growing.

At the same time, our economy needs not only young personnel, but also experienced, knowledgeable specialists who are competent in their profession and can teach their young colleagues a lot and become real mentors for them. In this regard, it is important to support the aspirations of people who have reached retirement age to continue working and do good. Their knowledge, skills and competences are an important resource for the economy and social sphere.

What are we talking about? We are talking about the level of wages for working pensioners. We have been discussing this topic for a long time. We just talked about this at a meeting with the governor of St Petersburg [Alexander Beglov], just before our meeting.

I want to talk about a decision that has been raised more than once during my meetings with citizens. Due to financial and budgetary constraints, pensions for working pensioners were not adjusted for inflation in previous years. During this time, this issue, which concerns millions of our citizens, has come to a head, and today we have the resources to begin to resolve it to meet people’s interests.

I propose resuming the practice of adjusting the pensions of working pensioners for inflation starting next year. (Applause.) Effective February 1, 2025 onwards, pensions will be increased annually not only for those who have already retired, but also for those who continue working. This will be truly fair.

I ask the United Russia Party together with the Government to prepare a relevant bill and pass it in the spring session. I know that all the other parties represented in parliament will certainly support this.

Further. The fourth structural change is directly related to higher economic efficiency. This indicator until the end of the current decade has been set in the May executive order. Given the demographic challenges that we have faced, the real personnel shortage, the most important condition for achieving high rates of economic growth is an increase in labour efficiency. This is the main resource.

Today I have already said about the need to increase investments and upgrade our enterprises. It is important to do this on a qualitatively new technological basis with the broad use of automation. Thus, Russia must be among top-25 countries of the world in terms of robotic process automation in the short period of time. It means installation of over 100,000 robots. That said, their production must be developed at an accelerated rate in our country based on our own technology, and no doubt, we have such an opportunity.

At the same time, it is also important to improve the efficiency of the existing equipment and technological processes. The key tool here is the adoption of prudent production methods. Such work is being carried out as part of a relevant national project. More than 6,000 enterprises and over 120,000 specialists are already involved in it.

This year is the final year for the current national project. It is necessary to extend the federal projects included in it within the framework of the new national project Efficient and Competitive Economy. Moreover, this practice should be expanded in order to involve in the projects of increasing labour productivity no less than 40 percent of medium-sized and large enterprises in the core non-resource sectors as well as all government and municipal organisations in the social sphere by 2030. For enterprises and companies, this will mean an increase in production, higher quality of services and more comfortable labour conditions and, of course, higher salaries for their employees. Let me remind you that in the next six years, they must grow at a rate higher than the gross domestic product.

The fifth structural change is a genuine digital platform revolution. In today’s environment, labour productivity is directly linked to digitalisation, to the use of artificial intelligence technologies. By 2030 we are to create digital platforms in all key sectors of the economy and social sphere. These tasks will be addressed under a new national project – the Data Economics.

I will add that within six years no less than 80 percent of Russian entities in the key economic sectors should switch over to Russian-made software in production and managerial processes. To support the IT industry, we will stipulate a number of measures, including taking into account the costs of domestic digital solutions with an increased coefficient when calculating profits tax, as well as establishing a reduced corporate profits tax rate of five percent for Russian IT companies. It will be effective until 2030, inclusive.

I ask the Government to elaborate additional steps to support domestic software designers, including identifying the level of purchases by companies partly owned by the state from small technology companies and start-ups. I repeat, this should be a guaranteed level. Purchases may not be lower than this level. We are already using this tool, and it works quite effectively. We need to continue using it.

And of course, it is important to actively apply digital solutions in the construction and housing and utilities sectors, using them to reduce the time and cost of projects. I would like to point out that over the past five years, the duration of the investment construction cycle has almost halved due to the elimination of administrative barriers and clearly excessive requirements. I will not list everything that has been done. Quite a lot has been done. Yet there is still much to work on. We will continue relevant efforts so that more roads, bridges, factories and plants are built in Russia and, of course, more comfortable affordable housing with high modern parameters of energy and resource efficiency.

In this regard, the housing and utilities sector and road construction have enormous potential, including the use of recoverable resources, the application of so-called smart solutions and ‘green’ standards based on advanced technologies.

In this connection, the sixth structural change is the accelerated, advanced saturation of economic sectors with modern technologies and innovations. This is one of the priorities. In six years, we plan to become one of the world’s top ten leaders in terms of research and development. Domestic expenditures for these purposes should increase to at least two per cent of GDP.

In this logic, a number of new national projects will be launched in the field of technological sovereignty in such key areas as production and automation equipment, new materials, chemistry, advanced space services, energy technologies and a whole range of others.

These projects will aim at a whole range of solutions: from popularisation of science and personnel training, support for research and starting serial production to the creation of guaranteed demand for high-tech products. I would like to emphasise that the projects will identify so-called backbone colleges, universities and research institutes. They should become the foundation for a rapid growth of new industries in our country.

Of course, legal base must be improved for the work of businesses and for companies to feel confident when investing in knowledge-intensive initiatives with a long horizon. I would like to note that we have enormous intellectual and creative potential, and it is important for us to fully realise it; and positive trends, of course, are emerging. For example, over the first four months of 2024 alone, almost 8,000 applications for inventions and 3,500 applications for utility models were filed in Russia, primarily in areas critically important for our country: metallurgy, energy, transport, and engine building.

It is critical to ensure that our developers’ intellectual property is protected, along with their solutions’ commercial effectiveness, so that their inventions are not shelved but go through the entire chain, from procurement to embodiment in a specific product. In particular, it is necessary to provide for the possibility of transferring patents for specific research results (as some experts believe) from the customer to their creators, as well as to small innovative enterprises and technology companies that know how to commercialise inventions and are ready to do so. However, as someone with basic legal education, I understand perfectly well where the “roadblock” is, and legal arbitrariness cannot be allowed. If someone pays for a certain invention, he or she is the owner, this is obvious. But it is necessary to create a soft market mechanism for using these inventions so that they are not shelved. Of course, we should all think about this together with the parliament and the Government.

In this context, the seventh critical structural change is a transformation to strengthen the role of small and medium-sized businesses in economic development. Today there are about 6.5 million small and medium-sized businesses in Russia. When six years ago we set a goal to increase the number of people employed in this sector up to 25 million, it seemed very difficult. Let me remind you that some of our colleagues laughed and said that this was an unrealistic task. Today we can say with confidence: this goal has been achieved ahead of schedule.

Our entrepreneurs, including the younger generations, are steadily gaining momentum, occupying the market, and launching manufacture of products that often surpass foreign analogues in their characteristics.

In addition, Russian businesses are aware that one’s own trademark is a token of quality and a solid economic asset. The number of applications for trademarks is growing for clothing and footwear, software, pharmaceuticals, household chemicals, perfumes and cosmetics, confectionery, and so on. Last year, more than 143,000 trademark applications were filed, twice as many as in the pre-Covid 2019.

Incidentally, the trademark registration process in Russia is one of the most convenient and fastest in the world, it is fully digitised. The application review period is 4 months, and following that period an electronic protection certificate is issued.

Importantly, distinctive regional local brands are increasingly being registered. This is, of course, a tribute to the culture and traditions of our peoples, evidence of entrepreneurs’ pride in their homeland, the region where they do business. And of course, businesses see that people want to buy domestic goods produced in Russia.

By the way, many of the regional brands belong to the so-called creative industries. More than half of the Russian regions are doing a lot to promote their development. I ask that as early as the spring parliamentary session, we adopt a federal law that will set a clear legal framework for creative industries, and in the future will make it possible to establish common standards for their support.

We will create every condition for small and medium-sized companies in our country to grow even faster. We will improve the effectiveness of existing support measures, and we will offer new ones in addition to them.

I would like to point out that so-called marketplaces play a significant role in the development of emerging small businesses. Together with Russian Post, they build a modern infrastructure, a kind of circulatory system for the delivery of domestic products, allowing companies even in remote towns and villages to gain access to the large market of Russia and the entire Eurasian Economic Union.

I ask my colleagues in the Government to lay special focus on the development of such commodity flows when implementing the updated strategy of Russian Post and, in general, when shaping national projects.

I would like to add that to help domestic businesses promote their products, a nationwide ‘Know Our Own’ competition has been launched. This year, the number of applications for the competition has increased by 150 percent, and they came from all regions of the Russian Federation. In short, the competition is growing and has proved to be a real business lift.

Importantly, such successful practices should be actively applied at the regional level. I draw the attention of my colleagues, regional governors, to this.

I would like to highlight one more point. Virtually all of the competition participants and, in general, many domestic entrepreneurs support the servicemen and veterans of the special military operation, their families, relatives and friends of our heroes, sending their products to the military units, buying things and equipment, and helping hospitals. Such a high awareness of their social mission, responsibility, patriotism in the best sense of the word is certainly very valuable and deserves great respect. Thank you.

Colleagues,

The next, eighth most important structural change is related to unlocking the potential of Russia’s regions. This is about a new geography of development, the creation of growth points in cities and towns across the country, opportunities for people not only in the capital cities, but also in small towns and villages to acquire a profession, find a well-paid job or run their own business, fulfil themselves, live and raise their children in comfortable and modern conditions.

Next year, new national projects and state programmes will be launched to develop the education and healthcare systems, sports and culture, and to improve the environmental well-being of our towns and villages.

We obviously need an economic base for all our measures in the social sphere and demography, for the implementation of federal and regional programmes. It is formed locally, in Russian regions. We will be enhancing the economic capacities of the regions.

In this regard, plans are being discussed, including in the Government, to move the head offices of our largest corporations and state-owned companies to the regions of the Russian Federation. The idea undoubtedly requires elaboration, but it deserves consideration and support. There are positive examples of this. For example, RusHydro’s relocation from Moscow to Krasnoyarsk.

And of course, it is important to concentrate resources on promising growth points. This is exactly the approach envisaged in the master plans for the Far Eastern and Arctic regions. We have agreed to approve similar programmes and documents for another 200 towns and cities. These will include all regional centres, as well as cities that play an important role in strengthening Russia’s technological sovereignty.

To ensure the regions’ vigorous and long-term development, it is essential to eliminate limitations in the energy sector and in the transport system, and to build and repair roads, engineering and utility networks. The Russian regions receive infrastructure budget loans for the implementation of such projects. As I have already said, their volume will be increased next year.

This portfolio will grow by at least 250 billion rubles annually, and in total, by the end of 2030, the amount of infrastructure budget loans issued will amount to 2.5 trillion rubles. Moreover, the funds will be distributed not only based on caps for each region, but also based on the results of the competition of regional and inter-regional projects.

There is one more decision. It has already been taken, and it will support regional finances. We are about to write off two-thirds of the previously issued budget loans. Importantly, the constituent entities of the Federation will need to use the freed-up funds to support investment, including the creation of industrial parks and the infrastructure in the priority development areas, as well as infrastructure, namely, to renovate housing and utilities, to build roads and bridges, to upgrade public transport and to relocate residents of the structurally deficient housing, to fund master plan events, and so on. I would like the Government to work out the details of this mechanism in a dialogue with the regions, and do so soon.

Next, in addition to breaking through the infrastructure bottlenecks, it is necessary to widely bring inefficiently used land plots with abandoned and unfinished buildings back in the economy. There are tens of thousands of such sites in the country. With a proper approach, they will serve people and bring profit to business. According to the General Prosecutor's Office, there are over 181,000 derelict and abandoned buildings and structures in Russia. More than a third of them are not officially registered, and only a fifth of them have titles.

Sometimes, abandoned territories are used as dumps which are usually illegal, and municipalities have no budget to liquidate them. I propose the following solution. If an entrepreneur is willing to liquidate such a dump at his own expense, we can think about giving him a land plot free of charge for use or ownership.

I would like the Government to hold appropriate consultations with the constituent entities of the Federation and to review which ones are owned by federal agencies and which ones are abandoned and unused. It is important to work through every detail and avoid creating bureaucratic barriers, to prevent abuse or “stealing” land plots from cities and towns. Of course, this needs to be thought through, but we absolutely need to do something about it.

I am positive that an effective solution to this issue will not only improve the urban environment and make life more comfortable, but will also directly contribute to increasing capitalisation of urban assets and attract small and medium-sized businesses, as well as developers with interesting residential development projects.

In this regard, I’d like to say a couple of words about mortgage loans. As you know, we have extended the family mortgage programme until 2030. All Russian families with children under six are eligible for a preferential loan with a six percent interest.

I propose additional special solutions in the social sphere for families who live or want to buy housing in small towns or in regions where housing construction is still insufficient. There, families with two children will be able to take advantage of a six-percent family mortgage regardless of their children’s age. The only condition is that at least one child in the family must be a minor at the time of the mortgage formalisation.

And one more point. The same preferential mortgage terms will be in effect in all Russian regions for each family set to build a house. This is particularly important for big families with many children.

I ask the Government to launch these programmes starting with July 1 of this year.

I should add that in order to improve the look of our cities, we will continue the nationwide competition of best projects of a comfortable urban environment. This programme is really popular, and people offer a good feedback. We will also launch a programme for construction and improvement of embankments and parks.

Restoration and reconstruction of cultural and historical heritage sites will be a separate track. By 2030, at least a thousand of such sites across the country must be put in order, given a second life, so that they serve people, serve to preserve and promote our identity, make towns and villages more beautiful, and increase their tourist attractiveness.

The development of domestic tourism is one of the priorities in our long-term strategy. In six years, the share of the tourism industry in the gross domestic product should increase to 5 percent, and the number of trips across the country with hotel accommodation should grow to 140 million people. We will create comfortable and affordable conditions for holidays, including the construction of hotels and small campsites, ski resorts and amusement parks.

Our economic and social policy measures must be not only effective, but also fair. And in this sense, the next, ninth structural shift is to reduce poverty, reduce inequality, and increase the incomes of Russian families, which, in turn, has a direct effect on the quality of people’s life, on increasing domestic demand and the domestic market capacity. All instruments, including payments to families with children, tax deductions, and social contracts, should be used to deliver on this objective.

Without a doubt, as I said earlier today, the main tool is to ensure that salaries grow at a rate that exceeds inflation. There is an important decision that concerns adjusting the minimum wage which, as of now, exceeds the subsistence minimum, as the Constitution says, and we will tie its adjustment in with the overall growth of wages in the economy as we move forward.

Starting next year, we will introduce a ratio of the minimum wage to the median wage received by the majority of the employees in our economy. In 2025, the minimum wage will amount to 48 percent of the median wage, thus exceeding 22,000 rubles per month, meaning that it will grow by about 15 percent more. Then the ratio with the median wage will increase so that, as agreed, the minimum wage will amount to at least 35,000 rubles a month by 2030.

Finally, the tenth structural change, which is essentially integral, is about improving the quality of life of Russian families. This was discussed in detail in the Address to the Federal Assembly. To reiterate: all areas are critically important in this regard. That includes supporting child birth and large families, protecting motherhood and childhood, increasing the availability of long-term care for the elderly and people with disabilities, improving the education and healthcare systems, and the quality of life.

These changes should manifest in longer life expectancy, with an emphasis on active and healthy life and, of course, forming equal opportunities to help younger generations rise to their full potential and thus improve the standard of living of Russian families.

Colleagues, friends,

The global economy has entered an era of major changes. A multipolar world with new growth centres, investment and financial ties between states and companies is taking shape. Russia’s economy is responding to these challenges and is also changing dynamically, as it gains more strength and stability.

To a great extent, the credit for this goes to our workers, engineers, managers and, of course, entrepreneurs, who are increasing investment in growing their companies, enterprises, cities and regions, and bringing to the fore values such as responsibility, trust, and service to their people and their country.

We will increase the support for positive changes in society and the economy. Our long-term systemic plans to strengthen the financial, technological and human resources sovereignty of our country and to improve the business climate are focused on achieving national development goals. In this work, we are open to the broadest possible cooperation with all interested partners, including foreign companies, countries, and integration associations.

I thank you for your patience and wish you every success.

Thank you very much.

Sergei Karaganov: Thank you very much, Mr President, for this brilliant speech. I think that it really inspired this audience, as well as everyone who tuned in to listen to us from across the country. This also goes for our men on the frontlines who are there to fight yet another Western aggression. You said it right.

I now have the privilege to give the floor to President of Bolivia Luis Arce so that he can deliver his remarks.

President of the Plurinational State of Bolivia Luis Alberto Arce Catacora (retranslated): Thank you very much.

I wish everyone a nice evening.

I would like to welcome my colleague President of Russia Vladimir Putin. Thank you for the invitation to this important forum.

I would like to welcome the President of Zimbabwe and our moderator, and all those present in this hall today. I would like to extend to you warm greetings on behalf of the Bolivian people whom I am proud to represent here.

I would like to thank the organisers for their hospitality and the wonderful invitation to participate in this major international forum in the historic city of St Petersburg on the Neva River, home to the first socialist revolution in the world where fascism was defeated years later. The siege lasted three years and was broken.

I am sure we all believe that the world order is moving today towards a more just and a more balanced state based on multipolarity and multilateralism. We certainly expect that there will be different discussions on the transition to a new multipolar model of the global economy, in which we will undoubtedly be able to learn valuable experience from the Russian economy and see the serious role it will play in the new world.

This exchange is very important for all, especially for the countries represented here. Many of them have fallen victim to an economic model that is divided into centres and periphery.

As a result, we have become a deindustrialised country that produces and exports only one group of goods. That is why the Bolivian economy has become dependent and has become an enclave, basically, an import market.

Today, we have a large number of miners who extract minerals and supply them to world markets. But state-building in Bolivia was unable to change that situation because neo-colonialism was unfolding its networks. Therefore, our government, within the framework of the new plurinational state, heeded our people’s demands and aspirations and began the process of industrialisation to achieve national sovereignty and liberation.

Industrialisation and import substitution have been an essential item on our country’s agenda since the 19^th century, and we must gain a true economic independence and a political sovereignty to achieve that goal. We see that there is a big number of challenges we face.

This is the reason Bolivia thinks that the possibility of joining BRICS is an excellent chance for our country to carry out transformations and reforms in our country alongside with accelerated industrialisation.

By getting together, the economies of this successful association have been able to undermine the hegemony of the United States. They are the hope for the development of cooperation and complementarity between countries.

As we all know, today’s world reflects the crisis of capitalism with many dimensions. It is a financial, climate, energy, food, water, macroeconomics crisis as well as the crisis of institutions. We see this in international organisations. One of the features of this multidimensional crisis is that today a climate has been created that is at variance with the development of the world.

To confront this international environment and speaking of a development model different from a canonical one, we are developing in Bolivia our own model of economy, the communitarian productive socioeconomic model. It is a model that differs from what neoliberalism has tried to impose on us, because we have very serious social protection and support measures.

We are building on our basic, fundamental values that are indigenous and, of course, we focus on production which is a mechanism for increasing wealth. This model was developed based on characteristics that are typical of our Bolivian economy and our society. It is valid and active.

First and foremost, this model is based on economic growth and development, it is based on the use of natural resources for the benefit of our Bolivian people. It is a model that aims to industrialise and increase production.

Since colonial times, enormous natural resources have been discovered in Bolivia. We can think of Cerro Rico de Potosí, for example. It is a silver deposit, the biggest, largest silver deposit we have had. We also have the largest lithium reserves on the planet, deposits of gold, zinc, gas, silver, copper, rare earth metals, and so on. All of these strategic sectors of our economy will help us achieve better development, and they certainly serve the purpose of distributing the benefits to the members of society, given the programme that our governments are pursuing and the emphasis on those sectors of the economy that raise the incomes of our people and provide jobs.

This process is not only aimed at a more equitable distribution of income and reducing inequality which is very common in many countries. We also want to invest in other sectors of our economy, diversifying the economy, creating jobs, raising incomes and ensuring sustainable development and growth with a broad-based economy.

In our case, our ambitions include import substitution, attracting tourists, developing tourism and increasing productivity in agriculture, always in harmony with Mother Earth. Therefore, our model pursues diversification of the economy on a broad foundation and improving our population’s quality of life. The ultimate goal of this entire process is, of course, eradicating poverty and reducing inequality.

Bolivia started implementing its socioeconomic development model in 2006. We have achieved serious economic and social results and good progress. For example, Bolivia’s GDP has grown from US$945 million in 2006 to US$45.46 billion in 2023; GDP per capita has grown from US$1,037 to US$3,736 by 2023. In December 2023, we had more than six million employed citizens, which amounts to the highest employment rate in history, or 75 percent.

We managed to reduce poverty from 71 percent in 2005 to 36 percent in 2023 and extreme poverty, from 38 percent in 2005 to 11.9 percent in 2023. The Gini index went down from 0.6 to 0.43 in 2023. The economic model has thus achieved serious economic success and social progress.

In the context of the global economic slowdown and lower growth rates across many developing economies, along with rising poverty and inequality in many countries, Bolivia’s model of mutually supportive socioeconomic development is an alternative for developing countries. This model has shown that it is possible to stimulate steady growth that would be less susceptible to fluctuations, unlike in the countries that support a free market.

Additionally, our model for developing the Bolivian economy serves the purpose of reducing inequality and poverty thanks to the distributive policy and price stability. We can see that inflation continues to hit new highs in the rest of the world.

Also, in view of the global economic challenges, we have noted growing logistics expenses and international interest rates. We can see that these factors are destabilising the situation in many countries. Meanwhile, we demonstrated a 3.1 percent growth last year, which is the second highest result in South America and is also above the forecasts that international organisations made for Bolivia.

This model and its socioeconomic effects are evidence of the fact that there may be more than one vision of developing the economy and society. Different development frameworks may co-exist on our planet and, certainly, this comes from countries’ sovereign decisions. They are responsible for their own decisions regarding their economic and political systems, and this must be the leading idea across the globe.

We see our model as an alternative to dollar-based neocolonialism, where economies depend on the dollar, and neocolonial powers undermine multilateralism by imposing a unilateral world order. Bolivia’s economy guarantees socioeconomic inclusion of the population.

We have reduced inequality and succeeded in creating a more homogeneous society, thereby proving that a country can grow faster when revenue is distributed more evenly across the economy.

And today, we see that we need to work to eliminate inequality in a multilateral and multipolar world. The truth is that emerging economies are trying to strengthen their domestic markets, boost incomes, and reduce inequality.

But our model stands out because we have been able to become one of the fastest-growing economies in Latin America over the past two decades.

Another aspect of a multipolar world is cooperation and technology exchange between countries. Countries that are still developing need to build up their technological potential. Bolivia and the Russian Federation share the concern that today, technology is not allowed to actually serve humanity. Technology should serve humanity rather than companies, multinational corporations, or specific countries.

Paradoxically, development in the poorest countries is the most expensive today. In any project, the cost of infrastructure requires a bigger budget in order to meet the environmental standards that developed countries are imposing on us.

We deem it necessary to maintain cooperation, exchanges and technology transfers in healthcare as well. This became evident when the world was confronted with the COVID-19 pandemic. In the same way, we may have to fight new pathologies and new diseases in the future. At the same time, we are fighting for a healthier society that has embraced the values of our thousand-year old traditional cultures. I am referring to indigenous cultures, in which there is no place for the principles that are currently being implanted across the globe in unilateral world of capitalism.

We see that today, a multipolar world is being created, and in this world, we must promote our own currencies for financial settlements between countries. We must not allow any one country to become the world’s central bank and determine monetary policy around the globe. Those times are gone, because the structure of the economy and finance has changed dramatically.

We also follow countries’ socioeconomic development while respecting their sovereignty, without interference from outside. All peoples, all nations and their sovereign decisions regarding the use of their natural resources must be respected. Therefore, Bolivia has been consistently in favour of multipolarity, which is part of the historical destiny of humankind.

However, building a multipolar world is exposed to risks and threats. For example, it is necessary to guarantee there is enough food for the population, which continues to grow. We have already mentioned that one of the serious problems of modern capitalism is the food crisis, and this problem must certainly be addressed within the multipolar paradigm. We need to create cooperation programmes aimed at producing food around the world. It goes without saying that to achieve this, we need to exchange technologies that will increase agricultural productivity. This should also be one of the pillars of economic development in a multipolar world.

Today, unfortunately, many countries see high rates of poverty, malnutrition and lack of public services. We see that a large amount of money is directed to the arms race and building bases in other countries, that is where the country hosting these bases is not the one building them. We, like Russia and the BRICS countries, are also concerned about the threats of a hybrid war across many dimensions, which harms our development and industrialisation.

What we see today is an oligarchy that serves other people’s interests; we discuss this at academic and security conferences. For example, Bolivia’s lithium is a strategic resource that can facilitate industrialisation in Russia, China and other developing countries. With the existing threats to the stability of our government, further industrialisation, and our economic development model, our political project could be eventually curtailed.

We have immense stocks of priceless natural resources, and we seek to extract these resources with the least possible harm to the environment and for the benefit of humanity. This should certainly involve mutually beneficial cooperation. No country should rely on growing one crop species or mining one mineral only.

What we are saying is, today, we are shifting to a multipolar world concept, moving to create new blocs such as BRICS. We need to promote the development of such alliances as soon as possible in order to advance the goals of this forum. They also align with Bolivia’s national goals.

We must join forces and arrive at a multipolar world. This is the road that guarantees stability, peace, development and happiness of our nations, in balance and harmony with Mother Earth. We must live happily on our planet.

Thank you.

Sergei Karaganov: Thank you, Mr President, for sharing your insightful and instructive remarks. In your speech, you demonstrated that the economy as a research discipline cannot be nationalised or viewed as a science. It is an art, and every country must be free to pick its own economic model.

In this context, I have a question for President Putin.

Mr President, may I suggest that we make up our mind so that you instruct us to work with economists like Luis Arce to devise our own economic model? We are clearly up to something here, although it is just as obvious that we have yet to decide what exactly we are up to. Moreover, we have embarked on an effort to expand defence manufacturing, and have been quite successful, even if this has so far been more of a hit-and-miss situation for us. I do not think that there is any general outline or master plan guiding these efforts.

What do you think about establishing a permanent structure within this economic forum or somewhere around it with the primary purpose of using our own intellectual capacity by reaching out first and foremost to those who work on the ground, the practitioners? Unfortunately, most researchers in economics have been sticking with an obsolete model, and I know what I am talking about, since I used to be one, even if we it is true that the once an economist, always an economist.

Mr President, we would like you to instruct us, the St Petersburg Forum to set up a working group for devising this new model. This group can hold its meetings on the sidelines of this forum or somewhere around this place. Maybe we can come up with something new and interesting to have a better idea of where we are headed.

Vladimir Putin: I feel that we will have a debate rather than a conversation here. The Government of the Russian Federation as well as other government bodies may well take offence at what you have just said. You said that we are up to something, but I spent an hour spelling out what exactly we are doing. (Laughter). You have probably dozed off while I was speaking, and we may have heard you snoring, so you missed what I talked about. I spent an hour explaining what we were going to do, about the ten-point programme we have.

In fact, we are not simply up to something. We are working on a new development strategy. We have it, and it took us a year to draft it. We were not alone in these efforts; we reached out to the brainpower you mentioned, I mean the business community and their associations, by holding regular meetings with them. This has always been an inclusive effort for us.

You suggested establishing a corresponding structure of some sort. But we already have them – the Government of the Russian Federation, the Central Bank, as well as the Presidential Executive Office.

As for what you said about creating a working group within the St Petersburg International Economic Forum so that it can do something on its sidelines, you know, there is a famous saying, and we know who coined it: if you want something to fail, set up a working group.

I have to say that we have so many working groups that I can hardly understand which ones of them I must chair. When I am told that there is yet another group and I must chair it, I say fine, I will think about it. You can well meet on the sidelines [literal meaning in Russian – “in the fields”] of this forum, but please do this in summer, since it may get too cold here in St Petersburg out there in the open in winter.

Overall, generally speaking, the country knows you not just as an economist, but also as a political scientist, and quite a brilliant one too. You have been quite proactive and assertive when working on several major issues. Listening to people like you is always quite interesting, and I am not saying this to flatter you. Moreover, I must confess that sometimes I read your writings and listen to what you say. Therefore, I do not reject your offer. We are open to engage in any debate as long as it benefits our economy.

Sergei Karaganov: Of course, I agree with my President, but I have a small question: Do we know what model we are building? I would say that authoritarian social capitalism would be ideal for Russia, so that we know where we are headed, because we are allegedly moving along the right-wing path, and before that we moved along the liberal path. I do not understand this.

Of course, the Government is up to something, and we are proud of what it is doing or has started doing, thankfully. However, it has only started doing it when the rooster crowed, because nothing happened before that.

Vladimir Putin: We will east the rooster, because it is not doing its job anyway. What do we need such a rooster for?

As for the development model, I have recently said at a meeting with the heads of international news agencies that we should look at what is taking place in the world. What exactly did I say? For example, many experts regard the Chinese economic model as more effective than any before it, including the North American and European models. It is true that it is more effective, and you have said approximately the same just now, because it combines the elements of a planned economy and a market economy. The Chinese have done it in their conditions, which is an assessment I share, and we can see that this is so from their economic growth figures. It is an objective fact. But this model is effective for Chinese society and the Chinese economy.

Do you know what I would agree with? When you summed up the remarks by my colleague, you said that the economy is a science but it is also an art, to a degree. This is probably true. Such models can be rigid. When they are applied to different countries living in different conditions, at different development stages, such rigid models are ineffective or do not work well. Therefore, we must always proceed from reality, from the realities in our country. Everything is important here: our history and culture, the situation in our society, and the objective development level is extremely important as well. We must know what is effective in our society and what is not.

There are certainly basic elements. We take them into account. Rooster or no rooster, but a 3.4 or 3.6 percent of [GDP] growth last year – the final figure has not been calculated so far – is a good figure. And a 5.4 percent growth in the first quarter of this year is a god figure too. But it is the result of the joint efforts of the Government, the business community and, to a degree, of the Central Bank and the Presidential Executive Office. It is the result of our purposeful actions.

I have said just now about the foundation of our model that we are building it. We continue to take decisions related to the adjustment of our economic model.

Sergei Karaganov: Like any other citizen of Russia, I am happy that over the past two years we got down to business in connection with our special military operation. Before it, we moved along with the currents. That is why I am speaking about the need to come up with a clear understanding of where we are moving. In principle, we will talk about this later.

And now, let us listen to Mr Emmerson Mnangagwa. Please, let us listen to your experience. Your country has been developing in extremely difficult conditions. How many years has it been living under sanctions? Nearly since its establishment, hasn’t it? Nevertheless, you have survived and even started developing. How did you do it?

President of Zimbabwe Emmerson Mnangagwa: Your Excellency Vladimir Putin, the President of the Russian Federation,

Your Excellency Luis Arce, President of the Plurinational State of Bolivia,

Distinguished guests, ladies and gentlemen,

Allow me to extend my heartfelt appreciation to our gracious host, my dear brother, His Excellency Vladimir Putin, for the warm hospitality and for creating this platform for us to discuss critical issues that affect us in today's global landscape.

Your Excellency, may I, on behalf of the people and the Government of Zimbabwe, and on my own behalf, personally congratulate you once again on your re-election as the President of the Russian Federation. Your commitment to the welfare and the prosperity of your people and the defence of independence, peace, security and territorial integrity of the Russian Federation is unparalleled. Zimbabwe is confident that your continued leadership would accelerate progress and development of your Motherland, the Russian Federation.

Your Excellencies,

It is regrettable and unacceptable, but the collective West continues to pursue hegemonic tendencies that blatantly violate sovereign equality of nations, justice and fairness as embodied in the United Nations Charter. There is general consensus that unipolarity has no place in modern global politics and international economic relations. The reality points to a redistribution of power among nations, as well as the emergency of multiple centres of economic growth, innovation, and cultural influence. We recognise that a multipolar world is the panacea to both opportunities and challenges that confront humanity today.

The old geopolitical global order, dominated by a select few, resulting in the perpetual marginalisation of most of us in the Global South is no longer acceptable. A situation where some Western countries try to dictate to us who our friends are and who our friends should be will also never be tolerated by us in Zimbabwe.

Advancing and embracing multipolarity has great potential for us is Africa and the developing Third World, to realise balanced inclusive development, modernisation and industrialisation, as for the Second Republic in Zimbabwe. Zimbabwe is guided by the philosophy that we are a friend to all and enemy to none. We are convinced that mutually beneficial cooperation, partnerships and investments, encradled by complementarity are a more sustainable foundation for a multipolar world and the formation of new areas of growth.

To this end, we welcome the transformation of the global economic relations in the geopolitical landscape, through BRICS, with additional new members, along with other emerging economies.

In these efforts, the role of Africa remains critically important not as a major supplier of raw materials, but as a dependable global partner in every facet of human endeavour and development. As we pursue new areas of growth, the abandoned subsoil assets of Africa should be a leverage to drive shared sustainable development and economic prosperity. The new global supply chains demand that Africa be accorded the requested support with regard to value addition and beneficiation. Further, there is need to enhance the productive capacities of Africa. This is more urgent in view of Africa’s vast natural resources in critical green minerals, large tracks of arable agricultural land, and youthful population with robust entrepreneurial spirit coupled with the united market presented by the Africa continental free trade area. All this leads to the right mix for shared growth under a fair, just and mutually beneficial multipolar global order.

In our case, this of Zimbabwe, we call for the removal of illegal sanctions, which you have mentioned. They have held back our economic development and growth for the past 24 years. What is our crime? The crime of the people of Zimbabwe was that they demanded their land to be united with the people and the people to be united with their land.

As all other nations have the same goal and the status, but how for Zimbabwe to achieve that with sanctions imposed on us? To this end, strategic investments in the key areas and sectors of our economy are essentially to unlock our potential. These include infrastructure, education, science and technology, renewable energy sector, and the climate change adaptation.

Your Excellencies,

Zimbabwe is open for business and welcomes investments, partnerships, and collaboration in all sectors of the economy. Technology and innovations serve as catalysts for growth, possessing the capacity to build bridges, grow new industries, and revolutionise our economy.

For us, to leapfrog the development of our economy, we do not need to invent the wheel. As a result, we are embracing the digital revolution investing in science, technology, and innovation, ecosystems, and promoting education with digital literacy at all our state universities.

Our aspiration is to leapfrog Zimbabwe into an upper-middle income country by 2030. In this regard, we actively seek partnerships and collaboration to realise this vision. As a nation, we are leveraging our strategic geographical location at the centre of southern Africa, as well as skilled and educated workforce, abundant resources, and manufacturing expertise to harness the opportunities presented by new prospects for growth and increased trade.

We once again extend a cordial invitation to our brothers in the Russian Federation, investors, to explore business opportunities which are abundant in Zimbabwe.

Your Excellencies,

In a multipolar world, solidarity and cooperation among nations are indispensable. The challenges we confront in the sphere of peace and security, climate change, pandemics, and economic inequalities, among others, demand collective global action and cooperation. This should remain rooted in our shared desire for peace, unity, and development that leaves no one and no place behind.

In this respect, Zimbabwe considers the Russian Federation as a consistent global ally. To harness the opportunities presented by a multipolar world, it is necessary to shift the paradigms in our approaches to cooperation, synergies, investments, and partnerships. Zimbabwe is committed to play its part in this transformative process.

As we embark on this journey together, let us remain mindful that strength lies in our unity, adaptability, and innovation. Together, we can forge a multipolar world that is more just and inclusive and prosperous for all.

Zimbabwe, in spite of 24 years of sanctions by the West for the crime of claiming our land, which every country has done… Sanctions have been imposed on us for the last 24 years. However, because of resilience, peace prevailing in the country, Zimbabwe’s GDP has grown during the Second Republic, from $26 billion in 2018 to now $69 billion in 2023, despite of the sanctions imposed on us.

We also embrace the policy, as a people living under sanctions, to move on with everybody of our people, with the philosophy that a country is built, developed, defended and prayed for by its own people.

As a small country in the southern hemisphere, Zimbabwe has abundant land for agriculture. And with the modernisation and mechanisation of agriculture, we can easily become the basket of food security in our region. And to that end, we seek assistance of those in the first world, in developed world to assist us to leapfrog in the modernisation and mechanisation of agriculture.

As I conclude, allow me, Your Excellency, my dear brother President Putin, to thank you on behalf of the people and the Government of Zimbabwe, and indeed on my own behalf, for the generous and timely donation you have given to our country in the critical time of need.

I also appreciate, Your Excellency, for availing, through Uralchem and Dmitry Mazepin, a vessel for the transportation of fertilisers to Zimbabwe. We are grateful that we received it correctly, at the time we needed it in terms of the tropical season for agriculture.

This, however, my dear brother, is a demonstration of your commitment to support small and developing countries like Zimbabwe. And, in your endeavour for the consolidation of our relations, we in Zimbabwe look upon you as a dear and trusted friend of the people of Zimbabwe, who for the last 24 years suffered under sanctions.

There is no light that can be removed. In spite of that, my dear brother, our economy has grown, and it is the fastest growing economy in the region now in spite of the sanctions imposed by the West. Therefore, as a demonstration of your commitment to support small countries like Zimbabwe, we have achieved food security, as you supported us in fertiliser acquisition.

May I, on behalf of my country, my people and myself, cherish your consistent support to a country under sanctions. And in that regard, I wish to promise you, Your Excellency, that we are better off with the continued imposition of sanctions, because they cause trade to survive.

For that, my dear brother, I thank you.

Sergei Karaganov: Thank you very much, Mr President.

We are proud of you, but we are also proud of ourselves to some degree, because we are contributing to your success in the time of ordeal. Now we will get down to formal discussion.

In fact, all states’ development is based on three factors: the factor of military power, the factor of ideas, spirit, and will, and, finally, the factor of the economy.

For many years, we believed – like a certain president of a very large country – that everything is decided by the economy. Do you remember everyone saying, “It’s the economy, stupid.” The stupid one was the person who said this, because in fact all these three factors play a role.

Of course, now, at a geostrategic turning point, military strength and the strength of spirit, the power of ideas, come to the fore. Nevertheless, the economy is essential: there will be no strength without the economy, and without the economy, without bread, the spirit of the people will be undermined. We have already been through it – in particular, in the 1980s. Therefore, let us begin with economic and political issues.

Mr President, I am turning to point eight of your programme. Though you have not said where we are going, all points are great. Point eight of your programme is about territorial development, though you did not list one area that I find strategically important.

We have completed our journey to the west, which was very useful and gave us a lot. It is completely clear that in the current global circumstances, we need to shift the centres of our spiritual, economic and partly political development towards Siberia and the Far East, as well as because of the long enmity with the West – God willing, it will not go completely violent – but most importantly, due to the fact that we have turned to another world that is emerging.

At some point, you proclaimed “a turn to the east,” but this turn happened initially only because of the Far East; later the Northern Sea Route was added. In your speech at the 2019 forum, you said it was necessary to develop large scientific and production centres in Central Siberia. After that, the coronavirus outbreak happened, followed by the special military operation, and this idea plunged into oblivion.

Perhaps we should go back to it. We really need to move the entire country there, “siberialising” Russia. You have mentioned the Minusinsk Basin. Perhaps we should create new industrial centres for the deepest processing of non-ferrous metals and new energy, especially new power engineering there, as well as centres to produce all wood-chemical products closer to Lake Baikal. Maybe we should still develop a new strategy for the development of the entire Siberia: the “Siberialisation” of Russia. Why don’t we dare to do this? Of course, we had a project for the development of the Siberian (Federal) District. I studied it, and, as far as I know, you did not like it either. However, I believe that the development of the entire Siberia must begin as soon as possible.

Vladimir Putin: I agree that we need to develop our eastern regions such as Western Siberia, Eastern Siberia, and the Far East.

We started with what was not only the most relevant but also the most urgent thing in terms of territories preservation and development; we started with the Far East. There was a drastic decline in population, and we could not allow this process to continue. I hope that the efforts taken over the past decade to develop the Far East are obvious. I am not going to mention them all now; we have a fairly comprehensive programme.

The same applies to Siberia in its entirety – once again, both Western Siberia and Eastern Siberia. The former has traditionally developed since the Soviet era, given its [vast] mineral resources that our country still uses. But gradually, these centres of economic development are shifting to the east and north. To quote a famous saying of the past (and we remember who said it), “Russia’s power will grow with Siberia.” Now, we can say that Russia’s power will grow with the Arctic as it appears to have major mineral resources; they are still complex and expensive to develop – yet, the prospects are vast.

Essentially, this is what we are doing now. I just mentioned the development of the Eastern Operating Domain’s railway network. But we started this work there a while ago. When did Russia actually start building it? Was it during the construction of the Trans-Siberian Railway? It was even prior to the Russo-Japanese War, and then during the Baikal–Amur Mainline construction in the Soviet era. In our recent history, we have also set the goals of achieving progress in this regard.

We made certain miscalculations by thinking the load would not be as severe, as the Government believed, so we slightly shifted the development of the Eastern Operating Domain to later dates. But it went on anyway, although not as extensively as we initially planned. We will certainly work on this.

But in today’s conditions it cannot be implemented the way it used to be done in the Soviet era. And it even cannot be done the way it was carried out under Stolypin. He simply distributed strips of land, which was the main means of production at the time. But today, the main means of production is brains. We need to develop technologies, build universities, and train the professionals we need. And these are the efforts we are taking as well.

When I spoke about campuses at 40 universities and mentioned advancement of science and education, as well as the need to use robotic devices and AI, what I meant was that this all will largely develop in Siberia. This is what we are doing; we will have our respective major companies relocated there. Also, unfortunately, this cannot be done through a solely administrative way.

I mentioned RusHydro, a company that already operates in Siberia, one of the world’s largest, if not the largest, hydroelectricity company. Also, when appointing head of the company, I asked him, “Do you accept it on the condition that you move to Siberia and the headquarters move to Krasnoyarsk?” He said, “I accept.” And when I asked whether his family would travel there with him, he said they would do so.

You know, it is not as easy as simply constructing a building; you have to employ professionals. He was ready to move there right away. But hiring professionals is not easy; you need to do it on location. Some people are willing to move, while others aren’t; some are simply indispensable. This is a process that should occur naturally. But this is certainly our goal, and I totally agree with you on it. We need to eventually move in that direction. I mean that the centres of global development are located there, and obviously, we need to get closer to them.

Long ago, Peter the Great opened the window to Europe. He did so because major development processes were occurring there, which is understandable. Today, centres of global development are shifting to Asia, there is no doubt about it. And, obviously, we need to move towards these development centres. So you are right.

Sergei Karaganov: I have a quick question that I have prepared a long time ago. Peter the Great made history by opening a window to Europe, thus strengthening Russia. Back then, it was the most promising market. Why don’t we establish a third capital and finally stand on three pillars? It could be located near one of the major cities. Young, energetic individuals would flock there, rejuvenating the elite. By your order, several ministries could be relocated there. You said earlier that it is impossible to relocate something using administrative resources, but it is feasible. Many companies would be willing to relocate if incentivised by competitive salaries. It’s all up to your decision.

Are you willing to repeat Peter’s feat? After all, he succeeded.

Vladimir Putin: Peter the Great is a historical figure who served as the Tsar of All Rus and later as the Emperor. However, the conditions, the state of society, and goals during his reign were vastly different from today’s.

In the contemporary world, it is crucial to employ tools that will be effective today. While our inclination may be to make swift administrative decisions, we must also consider the implications of our actions and what we offer to society in a spontaneous manner in the form of an order.

In my opinion, it is essential to prioritise capturing people’s interest in progressing forward. By fostering conditions conducive to development, the centres of economic activity will naturally shift towards those areas.

As an example, let us consider the Far East. Many years ago, I visited a shipyard near Vladivostok. It was in a state of disrepair. I told them, “We won’t just restore this place; we will create new competencies, we will build new ships.” I had to face the scepticism of the workers and engineers who surrounded me. I must say, it took tremendous effort to establish the cluster that is now being built there.

It is not just about the money, which was consistently embezzled – I have to admit this unfortunate reality. We attempted to revive the project two or three times. Eventually, Igor Sechin, the current head of Rosneft, took charge and launched there impressive large-tonnage shipbuilding – a huge enterprise. However, it required tremendous effort; it is not easy to accomplish all of this.

Why am I mentioning this? Because qualified personnel emerged there. As salaries increased, people began relocating there. This led to higher wages, improved technological culture, and the emergence of cooperation with neighbouring countries in this field of activity.

Now, VTB and Mr Kostin, who sits across from me, are leading our shipbuilding industry. I am delighted that he has embraced this endeavour as if he were always involved in shipbuilding, despite his background as a financier. But what am I trying to convey? We are currently choosing the location for another enterprise, possibly near the ocean or close to it.

This is the natural progression – forgive me if I may seem to challenge your imperial mindset – in a market-oriented manner. And in this case, success awaits us. Certainly, it is challenging work, but it will be meticulously executed.

When I referred to Stolypin, yes, it was all spontaneous, we remember everything associated with it, including “Stolypin’s neckties” and so forth. However, at that time, it was the primary means of production, and it made economic sense to implement Stolypin’s approach: distributing the primary means of production, i.e. land, to the people and creating favourable conditions for them. Back then it worked. Now it is merely an order… I believe that my proposal will be more comprehensive, leading us to success along this path.

Overall, you are absolutely right. We need to move in this direction.

Sergei Karaganov: Mr President, I don’t consider myself more of an imperialist than you; it is just that I am more strongly in favour of this idea. However, I do know one thing: we have studied this extensively. The countries that relocated or established new capitals invariably experienced significant economic advancement. This is an undeniable truth. Therefore, we must bear this in mind, and I believe we shouldn’t overlook the possibility of a third capital.

Vladimir Putin: All right, thank you very much.

Sergei Karaganov: Let’s move on now to a broader issue. We can see that the old global economic system is in a state of collapse. It is collapsing due to many reasons. One of the main reasons is that first the Soviet Union and then Russia cut the ground from under the system, the ground of the Western 500-year domination in the world economy, politics and culture, its military supremacy. We began to cut it, the system yielded, then stopped for a while, then we flopped, and now we have risen up and started cutting out this superiority again, and the system has crumbled. It's going to fall apart endlessly and for quite some time. This is good, but it is also bad, because there are virtually no new regulatory mechanisms emerging. There is no master plan about what to do.

Our Chinese friends are painting something with very broad strokes, and someone else is also doing something. Have you thought about Russia taking the initiative to create a masterplan for a new world economic system (gathering brains from new countries, and maybe, after a while, good brains from old countries will also come)? To set up, say, in St Petersburg, next to the Forum, on the Forum's site a think-tank, which would create a new world economic and financial system, its outlines.

The Bretton Woods is dead or practically dead. What about creating a St Petersburg system? They will not be afraid of us, by the way, like of the Chinese. If the Chinese take it up, everybody will be afraid of them, and the Indians will not fit. Both Chinese and Indians will come to us. We see that our African friends will also be happy to participate. I think that the Latin American friends will also work with us, and we will be able to use their experience for our domestic construction as well. Could we engage in such work? This is not an imperialist idea. (Laughter.)

Vladimir Putin: They want to create such system. (Laughter.)

Look, the Bretton Woods system died a long time ago, in 1976. It was succeeded by the Jamaica Accords.

The Bretton Woods system was based on the gold equivalent. In 1976 (when decisions were still being made), the United States decided to depart from the gold equivalent, and the Jamaica Accords appeared. It detached the dollar from gold. What is the basis of this Jamaica system that is still in place today? Trust in the US economy.

Look what is really happening today: there is no other collateral, that is, except trust in the American economy, in today's world financial system.

It goes without saying that the United States is taking advantage of its monopolistic status on the global financial market and is making serious money in the process. According to publicly available data, the United States owes the global economy a contingent debt of US$54.3 trillion.

Here is what this figure is made up of: US$12.6 trillion is what individuals keep in their bank accounts and their pockets, or under the mattress, as we say, outside the United States. The US companies account for another ten trillion which adds up to a total of US$22.6 trillion that are backed by nothing else but faith in the US economy. The remaining amount is what people from other countries have invested in the US companies, and their investment in the US companies is secured by reliability of those companies and their market value. Eventually, their reliability also depends on the US economic system.

Here is what is happening around the world in this regard. The US economy is shrinking and its foundation is occasionally becoming cracked. It is not just their debt, which is through the roof, but also the fact they are not always meeting their inflation targets. They have their inflation target set at two percent, but they are cutting through this limit, as they did most recently during the pandemic, all the way to 7.8 percent, which undermines credibility of the US economy.

What is the economy backed by if it is shrinking? It is backed by nothing, and that is a problem. It is an unconditional problem for everyone who holds the US dollar.

Since it is shrinking, and its share in the global economy is shrinking as well, it means we are witnessing an absolutely natural movement towards the creation of multipolarity in the global economy and finance.

We can, no doubt about it, come up with all sorts of systems, but the value of a particular currency depends on the value of the underlying economy.

So, what are we doing now? We are building this joint work with our BRICS partners, and Russia’s role can be quite substantial. We have created the New Bank, and we are in the process of creating our own currency instruments. The whole world, well, not exactly the whole world, but a significant portion of the participants in international economic activity is switching to payments in national currencies. I mentioned earlier that 90 percent of our trade with China is regulated in yuans and rubles. In the post-Soviet space, the share of the ruble is nearing 70 percent, meaning that our role here is significant. However, we must join our efforts to make it more robust.

What are the US financial authorities up to now? My colleagues and I discussed today’s session and potential topics late into the night yesterday, and we came to the conclusion that the US authorities are acting like the Luddites in England who were destroying the tools that they used in their work. Today’s US authorities are breaking their “tools of greatness.” The dollar is one of the few instruments of today’s greatness of the United States. They are pushing the global economic agents away from the dollar with their own hands. It will happen anyway due to the shrinking of the US economy, but they are accelerating this process.

Naturally, new instruments are emerging, such as financial instruments of the central banks, which we discuss within BRICS.

There are other angles to consider as well. Our colleague from Zimbabwe mentioned attracting investment. Indeed, it can be done, and not only in relation to Zimbabwe. It can also be done with regard to other African countries, South Asian and Asian countries in general, fast-growing developing economies. However, these instruments should provide safety guarantees for this investment and return on the investment. What is the best asset to guarantee that if not gold? The quality of the proposed investment projects? If we ensure the quality – the quality and stability of the political regimes – and we will need to do so as a team, then we will be able to develop a payment system which will be almost volatility- and inflation-proof. It can be done. I discussed this with my friend and colleague President Xi Jinping during my visit, and I will discuss this with other BRICS leaders. This is a critical area of joint work.

Sergei Karaganov: That is comforting to know. But we are running a little late. We keep talking about the basket of Euro-Asian or BRICS currencies for eight or nine years now, but there is no progress, because, as you are aware, competition is rife.

Vladimir Putin: Well, there is some progress.

Sergei Karaganov: But it is still moving slowly.

Vladimir Putin: Payments are made in national currencies.

Sergei Karaganov: I am talking about creating SDR. Well, never mind.

I think if we assume some kind of perhaps not even true leadership, but at least get some serious work underway, we will help all of us, primarily, our small economies. I am almost certain that Mr Arce and Mr Mnangagwa will agree with me saying that if Russia starts coming up with concrete solutions, they will join in these efforts.

Vladimir Putin: You are right, we need to move faster.

Sergei Karaganov: We will all benefit from their advice.

Vladimir Putin: You are right. We need to speed things up. I agree.

Sergei Karaganov: Good. I have one more question related to the economy.

Currently, there is a significant increase in military spending and a rise in the military economy. This development is encouraging as it signals a return to our roots. As one insightful historian from St Petersburg remarked, Russia historically thrived and expanded as a military organisation of its people. When we lost sight of this, we began to decline.

As we strengthen ourselves, especially given the circumstances, there is an issue that warrants careful consideration. Presently, eight percent of our GNP is allocated to defence. This pales in comparison to the purported 13 percent during the Soviet era. However, it is challenging to ascertain the exact military spending in the Soviet Union since there was no comprehensive tally for such expenses. Moreover, substantial funds were channelled towards supporting socialist and socialist-leaning states, significantly inflating the country’s foreign policy and military budget.

However, drawing parallels with the Soviet era raises concerns. Sooner or later, we must emerge victorious from this war. From my perspective, the sooner, the better, ideally within two years, by employing the most resolute measures, which we can discuss later. Concurrently, we are already formulating conversion plans in collaboration with enterprises, responsible individuals, and business strategies. I recall the harrowing ordeal of the early 1990s, when we found ourselves trapped in similar circumstances, witnessing the erosion of high-tech industries and the exodus of millions of skilled workers and intellectuals to the streets or elsewhere.

Are we currently devising partial conversion plans to ensure that they are readily available once we start scaling down military production?

Vladimir Putin: In the 1990s, we not only wasted this potential, but also destroyed it.

Sergei Karaganov: Of course.

Vladimir Putin: I am well aware and remember vividly, especially since I worked here in St Petersburg. Back then, 70 percent of the city’s economy relied on defence industries, and much of it was dismantled, if not all of it. However, starting from the early 2000s, we had to focus on rebuilding, and we have achieved a lot on a foundation of modern technology.

We have always recognised the need to consider conversion. It is not just about conversion; we must also think about the modernisation of these facilities.

What do I mean? Companies all over the world that manufacture specialised equipment and weapons at the same time produce civilian goods. This combination of two aspects creates a positive synergy and makes it possible to attract investment as well as high technologies. On the whole, we are managing this successfully.

We have a relevant plan in place and we are consistently implementing it. In 2022, civilian goods accounted for approximately 25.1 percent of defence industry enterprises’ output, and this share reached almost 30 percent (over 29 percent) last year. Therefore, this process is ongoing.

Of course, we must continuously align our defence spending with current requirements and our economic development levels. We cannot rely on and exploit others, as the United States does.

Every year, the United States has a US$1 trillion trade deficit. What is this? I believe everyone present here will understand what I mean. This is a modern version of neocolonialism. By using the dollar’s monopolistic status, the United States consumes US$1 trillion more annually than it produces. It extracts these resources from other countries.

We spoke about the pandemic period earlier. What did they do? I do not recall the exact amount of money the United States printed, but it totalled over US$5 trillion. By the way, Europe printed an estimated 3.4 trillion euros. What did they do next? They circulated all these banknotes domestically and then started buying foods on the global food market. They absorbed all these resources within their country, acting like a vacuum cleaner, and for the first time in many years, they became net food buyers and importers, rather than exporters. As a result, global food inflation skyrocketed.

However, we cannot behave in the same way, and we do not monopolise the global currency market, the way the US dollar is doing. We have never acted like colonialists or neo-colonialists. In this case, we should, of course, rely on our economic potential and assess it realistically, which is what we are doing. Naturally, we are considering diversification in order to balance the current industrial situation, the real economy and the future situation. This is how everything is developing.

Sergei Karaganov: I will ask one more question on the economy because I know it is of great concern to a considerable part of the audience, not as much to me, but still, I also sense these concerns.

Currently, the country is undergoing partial nationalisation. It is said that this is being done, among other reasons, to correct the huge mistakes made during privatisation. Those reforms were indeed foolish; we established capitalism without protecting private property. This led to rampant corruption because property could only be protected by turning either to the state, which in turn led to corruption, or to criminals, or simply by transferring funds abroad.

Now we are witnessing a reverse adjustment – a de-privatisation. But where are the limits? Perhaps, we can determine them after all? The point is that if we are talking about rectifying the mistakes made in the 1990s, then there were mistakes all the way during that time, since everything we were doing was illegal and done unlawfully, with violations in each case.

I was involved in the economic processes at that time, because research could not provide an income, and I had to support the institutes. So, I know what was happening at the time. This is why, in principle, it is now possible to de-privatise everything.

However, this would undermine the foundation of our success. We have seen that private capital, even in our challenging military conditions, is quickly adjusting to fill new niches, creating a more flexible economy for us than it would have been if it were solely state-owned.

Can we stop at some point? Let’s declare, for example, that the unused mineral resources go to the state, we prohibit the export of capital and declare property to be sacred after a certain limit. And the level of protection for private property will serve as a basis for the KPI of all governors and other leaders.

Vladimir Putin: Regarding mineral resources, they belong to the state as it is. We only allow our companies to produce them, but they remain the property of the state. This is the first point.

Second, you mentioned the unwise, misguided or criminal privatisation of the 1990s. Though it might be painful for many people in the country, I still would not use such words. Why? Because I do not think that it was a deliberate criminal plan. Yes, it was largely an unwise decision based on the opinion of world-famous economists, including Russian ones, who said that everything should be privatised as quickly as possible, and the price does not matter, even if it is only one dollar. The main goal was to hand these assets to effective owners, which the state cannot be.

Reality has shown that in our country, under the conditions we lived in and are living in now, it was a wrong method, to put it mildly, to achieve the best possible result and maximum efficiency. It turned out that the state can be an effective owner, and it has demonstrated that in many cases, especially in industries that depend on large-scale investments.

At that time, nobody made any investments. It was a period when fraudulent schemes were used, when money was borrowed from banks for that pseudo-privatisation or more precisely, the theft of government property, which was bought for a song and the products it produced were used or not used to repay loans to state-owned banks. It was fraud.

Therefore, I would not do anything about economically incorrect but nevertheless legal decisions related to privatisation. The prosecutor’s offices only address cases of criminal privatisation of state property.

However, you said correctly that reasonable limits should be set for such actions. We are discussing this issue with our business community. I believe that a decision should not be formulated as a presidential executive order or a government resolution, but as a law. We are discussing this issue with our colleagues in the business community, and I think that we will find a solution.

Sergei Karaganov: Thank you.

Let us move on to more political matters. You always say you want to hold talks to settle the conflict with the West in Ukraine. Of course, this intention is commendable and positive.

But with whom could you hold talks? Our Western partners have deceived us numerous times and are violating all the agreements we make with them. The Kiev regime is morally, politically and even legally illegitimate, even from the perspective of the failed state that exists there.

How can we possibly hold any talks with them without first defeating them. achieving their complete surrender and holding a nuclear gun, so to speak, over our Western opponents, so that they do not resist any further? In fact, right now no agreements will be implemented until they are defeated. They are illegitimate and unreliable partners.

How can we deal with that?

Vladimir Putin: Well, yes, but as Josef Stalin said, “I have no other writers.” He said this about the USSR Union of Writers back when [Lavrenty] Beria came to denounce them once again. He said: “I have no other writers.” It is the same with our partners. So should we fight with all of them?

Of course, we need to reach agreements and conditions that align with our interests and are as dependable as possible. You are right in saying that it is very difficult to negotiate with people like this, who deceive us at every turn. They say one thing and then do another. It is unfortunate, but all military conflicts eventually conclude with peace treaties. However, as a former leader of a major European country told me, these agreements can be based on either military defeat or victory. Of course, we will strive for victory.

Of course, there are concerns about the legitimacy of those we have to negotiate with, because a preliminary or even superficial analysis of Ukrainian legislation reveals that the current executive authorities have lost their legitimacy.

Article 103 of the Constitution of Ukraine states that “The President is elected for a five-year term,” while Article 83 of the Constitution of Ukraine, stipulates that under martial law, the powers of the Verkhovna Rada can be extended, but there is no mention of extending the president’s powers.

There is a law on the martial law, which states that presidential elections are not held under martial law, but it does not mention the extension of the term. As a graduate of St Petersburg University’s Faculty of Law, I understand the significance of this point. If it is not explicitly stated, then it does not exist.

The Criminal Code includes articles on the usurpation of power, which seems to be the case here. Nevertheless, talks can still be held because, in accordance with articles 109, 110 and 111 of the Constitution, powers are transferred to the speaker of the Rada. So, if there is a wish to engage in talks, there is someone we can speak with.

We are ready for these talks, but only, I repeat, on the terms that we agreed upon when we started these negotiations in Minsk and later in Istanbul, not on some arbitrary terms. Even if we take the Istanbul agreements as a basis, we must still proceed from today’s realities. These are the general terms.

Sergei Karaganov: Mr President, it is commonly asserted that all wars end in negotiations, but this is a misleading maxim imposed upon us. In reality, most wars end with the defeat and surrender of the enemy. This is the only way to bring an end to this war.

Now I move on to the next question, which concerns the fact that in the current circumstances, when America finds this war advantageous, they will continue it, driving Ukrainians to slaughter and finishing them off. Now they will drive Europeans to slaughter as well. Without accelerated movement towards nuclear escalation, it will not be possible to end this war in the near future. That is the first point. .

Secondly, the tectonic plates of the global system have shifted apart. It is inevitable that numerous conflicts will arise objectively. Previously, there was a nuclear deterrent, the fear of nuclear weapons which has now significantly weakened. Do we understand the enormous responsibility upon us not only to achieve victory in this war – which requires us to escalate much more forcefully and be prepared to use [nuclear weapons] –but also to restore this nuclear deterrent to the international system to prevent a surge of conflicts? Who else will do this besides us? Who else besides you?“

You bear a tremendous responsibility. If we continue to ascend this ladder so slowly, even though there is progress, I fear we are somehow evading this responsibility. However, I understand the gravity of the moral choice.

Vladimir Putin: Regarding nuclear escalation, we never initiated this rhetoric. I cannot recall the name of that lady, the former Prime Minister of the United Kingdom, who, when asked about this upon assuming office, said she was ready to press the nuclear button.

We have never made such statements. This is how it all began. . We simply responded that this should be taken more seriously, and immediately they began to claim that we are brandishing nuclear weapons. We are not brandishing them. That is the first point.

Secondly, we should clarify what constitutes the or non-use, as well as specific scenarios in which they can be used. We have a nuclear doctrine, and everything is laid out there. I discussed this yesterday with the heads of news agencies. It states clearly: nuclear weapons can be used only in exceptional cases – when there is a threat to the sovereignty and territorial integrity of the country, in exceptional circumstances.

I do not believe that this moment has come – there is no such need. However, this doctrine is a living instrument, and we are closely monitoring developments in the world around us, and we do not rule out the possibility of making changes to this doctrine.

Now this is also connected with the testing of nuclear weapons. In the past, we signed and ratified this document; the United States signed it but did not ratify it. Under the current conditions, we have withdrawn our ratification. However, if necessary, we will conduct such tests. Currently, there is no such need, as our information and computing capabilities allow us to conduct this entire process in its present-day form.

Now, concerning speed and outcomes. You mentioned my big responsibility, and indeed, it is substantial. Can we expedite the resolution of the challenges before us? Yes, it is possible, but it correlates directly with potential losses. Despite this responsibility, my approach aligns with the recommendations put forth by the General Staff and the Ministry of Defence. While speed is crucial, prioritising the safety and well-being of our service people on the front lines is paramount.

Combat operations continue. In my understanding, since the beginning of this year, approximately 47 communities totalling 880 square kilometres have been liberated. We are steadily pushing the enemy out of the Donbass and surrounding areas. The General Staff and the Ministry of Defence have devised plans for achieving our objectives, and we are proceeding according to these plans. I am confident that we will successfully execute all of them.

Sergei Karaganov: However, we are fully aware that accelerating the nuclear escalation process can potentially save numerous lives by imparting a sense of caution to our adversaries, who have exploited our relatively permissive doctrine.

I am confident that it will be revised, and I hope it happens soon, granting you the formal right to respond with a nuclear strike to any attacks on our territory, which is a sovereign necessity. I anticipate that such a declaration will be incorporated into our doctrine sooner or later, which will likely deter our adversaries and ultimately safeguard our soldiers.

Certainly, it may be premature to escalate to nuclear options at this moment, but we should proceed in that direction to deter our adversaries. Especially the Europeans seem to be going mad, considering they are heading towards war for the third time in a century. Unlike the Americans, who are much more cautious, they dispose of Ukrainians and push them while being more cautious themselves.

I am experienced in hunting and understand animal behaviour well. When faced with a pack of wild dogs or hyenas, if you only have a stick, you might manage to scare them off. However, they will likely tear at your trousers and then will kill you if you tire out. But if you have the chance to take down a couple of them, they will flee, I guarantee it.

President Mnangagwa understands the behaviour of hyenas well. Would you agree with me, Mr President, that this is how hyenas can be scattered?

Emmerson Mnangagwa:

Vladimir Putin: We have a lot of our own.

Sergei Karaganov: In Europe.

Again, I emphasise this question, I bring it to the forefront. If we do not proceed more decisively up the escalation ladder, will we not provoke divine wrath? After all, the Almighty once showed us the way when he destroyed Sodom and Gomorrah with fiery rain for their decadence and depravity. Humanity remembered this lesson for many years and acted cautiously, but now it seems to have forgotten about Sodom and Gomorrah.

So perhaps we should recall that lesson and attempt once more to instil some reason into humanity, or at least into that part of humanity that has lost its faith in God and its sanity?

Vladimir Putin: Maybe without me? You will really turn up the heat there! They are already scared.

Although, of course, one might consider: when talking about Europeans, any logic seems possible. If, heaven forbid, it comes to some sort of strike, everyone should understand that Russia has an early warning system, a missile attack warning system. The US has it. There is no such developed system anywhere else in the world. We have it. Europe lacks such a developed system; in this regard, they are more or less defenceless. That is the first point.

The second issue is the power of the strikes. Our tactical nuclear weapons are four times more powerful than the bombs the Americans used against Hiroshima and Nagasaki, by three to four times. We possess significantly more of them – both across the European continent and even if the Americans were to deploy theirs from the US – we still maintain a substantial advantage.

If, God forbid, it comes to that – which we sincerely hope it does not, then, instead of what you said about “minimising the victims,” in reality, casualties could potentially escalate indefinitely. That’s the first point.

Second, the Europeans must also consider: if those with whom we engage in such conflicts cease to exist, will the Americans participate in this conflict at the level of strategic weapons or not? I have serious doubts about it, and Europeans should reflect on this as well.

Nevertheless, I firmly believe that such a scenario will never materialise, as we do not foresee such a necessity. Our Armed Forces continue to gain experience and enhance their efficiency, while our defence sector consistently demonstrates its effectiveness. I have stated this multiple times, and I will say it again: our ammunition production has increased by over 20 times, our capabilities in aviation technology far surpass those of our adversaries, and our superiority in armoured vehicles is significant. There is no need to dwell on this matter. Therefore, I kindly ask everyone not to mention such things unnecessarily.

Sergei Karaganov: You demonstrate such responsible behaviour and speak with such responsibility, but we are engaging with partners who exhibit absolute irresponsibility and have lost their sense of reason.

Vladimir Putin: You are a scary person.

Sergei Karaganov: No, you know… You have observed these partners from an external perspective, like most of us, but I grew up within that system; so it happened in my life. I have known them since I was young, and I assure you, I have valid reasons for saying what I do.

While I understand and support your reluctance, because it is a terrible decision that should only be made as a last resort, if they know you are not prepared to make this choice, they will continue to challenge and harm us endlessly.

And at the same time, they are not just fighting against us, they are also opposing our friends in the Global Majority, as we form the military-strategic foundation of this majority. If they succeed in undermining us, they will likely resume suppressing our allies. I wonder if the esteemed presidents would agree with this assessment.

Vladimir Putin: Allow me to make one remark.

The decisions made by both myself and my colleagues, with whom I collaborate in this field, are not based on hesitation. There is no room for hesitation in our approach. All our decisions must stem from a thorough analysis, a genuine, objective assessment of the present circumstances. That is our practice.

Sergei Karaganov: The day before yesterday, you had a meeting with the heads of international news agencies, where you said an interesting thing: that we are ready to send our long-range weapons to the countries that are enemies of our enemies. It made me happy because we should have done this long ago. Will we send both precision and hypersonic weapons to them, together with our technical personnel? This would seriously improve the global situation. For example, aircraft carriers, which have become useless instruments in current conditions, would depart from the global stage, and countries will stop spending huge amounts of money on them.

So, what will we send? How will we do it, and when? Of course, I understand that we must not do this without being asked first, or at least we must say that we are not doing it.

Vladimir Putin: Regarding aircraft carriers, you said that they are useless. No, they are only useless strategically in a global conflict. But they can be useful for addressing geopolitical tasks, as a geopolitical instrument, for approaching the territories which the Americans, French or British plan to fight against or intimidate into doing something. However, they are becoming useless, in a way, now that Russia and China have modern hypersonic weapons. You say that they are not worth spending money on. Let them spend their money. Why did you say that? Let them do it.

Sergei Karaganov: I said this for our Chinese and Indian friends. They are wasting their money.

Vladimir Putin: And I said that there could be geopolitical considerations. They are like non-strategic weapons. They have become useless as strategic weapons, but they can have other applications. Let other countries spend money on them, why not?

As for exporting weapons, we have not exported these weapons so far. But we reserve the right to send them to the countries or even legal organisations that are facing pressure, including military pressure, from the countries that are sending weapons to Ukraine and urging it to use them against us inside Russia. If they send weapons to the zone of hostilities and urge [Ukraine] to use them against targets inside Russia, why cannot we do the same? Why cannot we respond in kind?

I am not prepared to say that we will start doing this tomorrow, because such deliveries are in any case associated with a range of conditions that affect certain parts of the world in one way or another, and we must certainly consider this.

Sergei Karaganov: Let us wrap up this unpleasant military discussion for now. At the moment, to advance, if we find ourselves rapidly escalating in the near future – which I am advocating for but believe we can negotiate as we proceed – there may be a need for partial mobilisation at least. Do you think it is possible to defeat the enemy without mobilisation, or will mobilisation still be necessary?

Vladimir Putin: If we proceed with your suggested recommendations and aim for swift execution, our current forces are insufficient. However, our strategy remains focused on driving the enemy out of the territories we aim to control. Therefore, there is no need for mobilisation; it is not part of our current plans.

We mobilised 300,000 people. However, in the past year, without any mobilisation, over 300,000 patriotically minded persons voluntarily came to the military commissariats and signed contracts with the Armed Forces. (Applause.) Since the start of this year, more than 160,000 people have voluntarily signed contracts at military commissariats. Every day, over a thousand people continue to volunteer for service.

When we witness the strength of the Russian character and the resolve of our citizens, we draw inspiration. With this, we believe that ultimate victory does not require nuclear weapons. (Applause.)

Additionally, I should mention the forced mobilisation happening in Ukraine. It is evident that the age for mobilisation is decreasing. According to Ukrainian sources, the Americans have made reducing the age requirement for mobilisation – possibly to 25, 23, 20, or even 18 – a condition for ongoing support. This matter is beyond our control; let them handle it and perhaps change the current leadership in Ukraine, as I have previously mentioned.

But what matters to us? It is that they might have gained 30,000, 50,000 or as I believe, even 70,000 people recently. This number is likely to decrease. What does this indicate? It suggests that the newly mobilised personnel will only suffice to compensate for their losses. There might be a marginal increase, so to speak. We can interpret this in various ways; the numbers are known to us, though I will not mention them now.

However, in this situation, when our people voluntarily step forward to defend their Motherland, there is no need for mobilisation to be discussed.

Sergei Karaganov: Mr President, I understand your arguments, but I am well aware of our country’s history. I remember 1916, when we were winning, but the people were exhausted. Therefore, there will come a time when we must accelerate. In 1917, we let victory slip from our grasp.

Now, thankfully, because we initiated this operation, albeit perhaps later than ideal, we have seen a significant surge in the nation’s morale. It is clear that the economy has begun to function again, as it can only operate under such conditions. Traitors and fifth column elements have fled, and our Western adversaries will deal with them. These are all positive factors. However, this state of affairs must not continue indefinitely. Therefore, I urge you not to disregard the arguments regularly communicated to you by me and my colleagues.

Vladimir Putin: We consider everything carefully; thank you for your recommendations.

Sergei Karaganov: And now I go over to the issue (we'll come back to the global economy later) that you’ve already raised.

We all, including me and you, are fed up with the single communist ideology, so, of course, we do not want a communist ideology. But a state, a great state, cannot exist without a national ideology, without a great idea. States that lost their national idea, their national ideology, inevitably collapsed. The world is full of graves or shadows of such states. By the way, we collapsed twice, too: once when we lost faith in the Tsar and the Fatherland, and the second time when we lost faith in communism. And we are now resisting the introduction of a rigid state ideology.

It is clear that such an ideology is very easy to formulate; you yourself have already partially formulated it in your speeches. It is clear that such an ideology should not probably be mandatory, but it should be mandatory at least for those people who want to be the leaders of the country, who want to be the elite of the country. It is a code of honour.

This code of honour is easy to formulate, we know it. By the way, we are working on it, it is very close to the ideal of a Confucian superior man. We have discussed it with religious figures, our Orthodox and Muslim ones. They all agree on one thing – this code can be formulated.

Why are we formulating a code not for everyone? These people want to live an ordinary life – let them live, and that's fine. But if you want to lead, if you want to succeed in society, you have to follow absolutely clear rules, and these rules must be formulated. I'm not going to formulate them now, so as not to take up the audience, because it comes in quite easily. But why are we still afraid? We don't need to change an article of the Constitution. Why are we afraid of introducing a single state ideology that is mandatory for all those who want and are ready to serve the state and society?

Vladimir Putin: We are not afraid of anything.

Sergei Karaganov: Yes, we are.

Vladimir Putin: We have the Constitution, which you mentioned, and it says that we must not have a dominant ideology.

We had a dominant ideology during the Soviet Union, as you mentioned. However, this ideology did not prevent the collapse of the Soviet Union; things did not work out.

Of course, a multiethnic country needs a unifying idea. You noted that we first lost faith in the Tsar and the Fatherland, and then in communism. It is important to clarify that faith was lost in the Tsar, but not in the Fatherland. That’s point number one

Point number two. People continued to believe in the Fatherland, but their understanding of what was good or bad for it differed. This is a separate issue, and indeed, new ideas are necessary. Many lost faith in communism, but not all; otherwise, we would not have the Communist Party of the Soviet Union, a legitimate political party with numerous supporters. This is a fact, and I believe it deserves respect.

But you are right; we need unifying ideas. Today’s events demonstrate that patriotism, in its truest and most genuine sense, can serve as such an idea. People who voluntarily go to the front, risking their lives and health, exemplify this patriotism. However, it is essential that this idea is communicated and presented properly, thoroughly, beautifully and clearly. Please assist us in this. We would be very grateful.

Sergei Karaganov: With pleasure. This is indeed necessary. I remember how communist ideology faded away, and I did not regret its passing. However, its demise created a vacuum that led to the country’s collapse. We need to fill this vacuum with concrete ideas. Just give the order, and we will make it happen. However, it must be presented to society and the elite and made more or less mandatory for it to be effective. This is how communist ideology worked for us: it was mandatory for everyone, it drove our country forward for many years and enabled us to win a terrible war. This is why a unifying ideology is essential.

Vladimir Putin: I suggest we do not escalate our discussion. I am happy to debate these issues with you, but let us not focus solely on communist ideology, even though it played a significant role in Victory in the Great Patriotic War. If it were the only factor uniting a multinational people, then…

But then why did they fly over Moscow with icons? Why was the church later legalised, and the patriarchate restored? As our soldiers say today, there are no atheists in the trenches. It was the same back then.

Certainly, communist ideology played a role. People stood up and marched forward for the Motherland and for Stalin. But the Motherland always came first. Let us not forget this.

Sergei Karaganov: Of course, but many countries have collapsed when they lost their ideology. That is for sure.

Here is another peaceful, important question. As you know, our country is currently engaged in a major discussion about migration issues. Unfortunately, there are also chauvinistic sentiments, which pose a threat to our multiethnic nation.

At the same time, the police department is addressing migration issues. Whether this is positive or negative is debatable. However, their objective is to limit migration. I believe that we should take a stricter approach to limiting the negative aspects of migration.

In my opinion, we face not only the task but also an opportunity to start actively seeking and attracting skilled migrants from abroad. Climate migration will begin, value-based migration is starting to occur, and crisis-related migration will also happen, it is already underway.

By the way, we missed the opportunity to welcome a wave of very interesting people from Afghanistan who could have come to our country after they fled theirs due to the actions of the US.

Do we need to modernise our migration policy concept? I read it some time ago and found it to be amazingly unrealistic and liberal. The police department is allegedly engaged in implementing it. Perhaps you should establish a government agency to regulate these issues, develop a modern migration policy concept, and attract migrants while also implementing stricter measures to control their influx? We currently lack such a policy.

Vladimir Putin: I have no objections. You are right.

However, we should think about allowing interesting people from Afghanistan to come here. Today, many interesting people are coming here from other countries.

But you are certainly right in saying that we have not yet developed a well-thought-out migration policy. We had a single agency in the past, but it later merged with the Interior Ministry for security reasons. It is worth questioning whether this division is functioning effectively or underperforming. I have discussed this with my colleagues. I have instructed the Government and the Security Council to re-examine this issue as soon as possible.

It is undeniable that there is a problem. We need to attract migrant workers, as this is crucial. With minimal or zero unemployment, a shortage of workers hampers economic growth.

You are also correct in stating that we need individuals with specific skills, education levels, fluency in the Russian language, knowledge of our traditions, and more, rather than just any migrants. Our colleagues from countries that provide the majority of migrants also recognise this. We are discussing how to collaborate and teach these individuals Russian, our traditions and culture and our laws, so that they can feel comfortable in Russia. Most importantly, we want to ensure that local residents do not face any issues in the employment market or their daily lives. Where do migrants usually settle? In places with active economic life. And what are these places? These are Moscow, the Moscow Region, St Petersburg, and a few cities in Siberia that offer high wages. I wholeheartedly agree with you that there is much work to be done in this area.

Sergei Karaganov: We simply fail to use our guests’ excellent experience, and I want to ask President Arce the following question. You have said a lot of interesting things, and we will incidentally distribute your speech as a teaching guide. I will ask my colleagues to distribute it to universities, because it is a wonderful guide. Thank you, because it is an alternative to what is still being taught in most of our universities. And you are a living example that there is an alternative correct and effective economic policy. However, my question is a little bit different.

Your country is relatively well-off, you need to attract investments, and you also have plans of a transcontinental canal. Do you think that you still can turn to the International Monetary Fund, for instance, or to the World Bank for such funds? Or such times have gone and some other instruments are required? What instruments you see? We are establishing the BRICS Bank, there is something else in place.

What is ideal from your, efficient economist’s, point of view; what an ideal international system should be like to enable independent development,? What should be developed in it?

President of the Plurinational State of Bolivia Luis Alberto Arce Catacora (retranslated): Thank you very much for the question.

Actually, Bolivia’s only wish is to see development in utilising our natural resources. In this sense Bolivia is open to direct foreign investments following the model with foreign investment making up the biggest part. If it concerns natural resources, then it primarily should go to Bolivian state-owned companies and the state.

But there are absolutely different sectors like tourism, agriculture, etc, where natural resources are not so much involved. Here, of course, any foreign investor can participate, unless these are strategic natural resources for our country, where the state must have at least a 50-percent stake.

So, for example, for lithium, we held bidding rounds, and more than seven companies came to this bidding to participate in lithium mining. In Bolivia we already have three companies working with us, two Chinese companies and one Russian company. We issued a new invitation for new companies again at the end of last year, and in August we will finalise this procedure. We have the largest lithium reserves in the world, so of course, there is an opportunity for many foreign companies to develop these deposits. We have certain investments in the mining industry but evidently lithium production is the most important area for foreign investment.

More opportunities to invest may be available to those who see eye to eye with our economic model. We can create from the perspective of the state, providing certain conditions for sustainable development and revenue. Of course, BRICS, the New Development Bank, offers an excellent opportunity, because we are anticipating a kind of financing that is not conventional, as in the case of the IMF or the World Bank, because they have their own terms and conditions and they, of course, pursue their own objectives when providing loans. Regional organisations, such as the Inter-American Development Bank in Latin America, or other Latin American banking associations, offer financial resources. Or let’s say, there are associations of five countries of the region with better lending terms, and of course, international alternative solutions such as, for example, the BRICS Bank. It offers an excellent opportunity to bring onboard foreign investment and foreign investors for them to participate in such investment projects. Our Government uses caution when it comes to using our natural resources. We are open to private foreign investment, primarily, in other sectors.

Sergei Karaganov: Thank you.

Mr Mnangagwa, I also have a question for you, which I think is quite important. As a BRICS summit host country in which three African countries have confirmed their participation, our Government is drafting a programme. I think there will be other countries as well. What do you expect from BRICS? What direction should BRICS be heading from your perspective? What institutions should it create, let’s say, to help and then, maybe, to bring onboard countries like Zimbabwe? Maybe it should be a BRICS food facility or a BRICS fertiliser programme, maybe a BRICS emergency relief agency? An agency like that does not exist anywhere in the world at this point, and our countries can, perhaps, pool resources. Speaking of which, we will not need additional resources to do so. Could it be something along these lines? What would you like BRICS to do?

President of Zimbabwe Emmerson Mnangagwa: Thank you very much.

Currently, Zimbabwe is going to host SADC, which is an original body, in August this year. And to achieve that, we are building a new city which, we believe, will be completed by the end of August and September. We will host SADC nations in Harare.

With the BRICS countries, we are currently not aware of any intention to hold a BRICS summit in Zimbabwe. What I am aware of is the SADC summit of the heads of state in Zimbabwe. This [summit] rotates among SADC countries. We do so in order to, first, give every single SADC member the opportunity to host the SADC heads of state. But in the process, we create facilities – because it is necessary for holding a summit of that nature that facilities are created.

So, Zimbabwe is currently busy 24 hours. We do not sleep, creating a new city where the SADC heads of state are going to host the SADC summit in August.

After that, we are going to have facilities available for future international and regional conferences in Zimbabwe. We are not like the big boys here who have facilities that have been established for a very long time. We are growing up and I am happy that we are likely to be able to achieve the standard required to host a regional conference. And it means that in the future, a Zimbabwe-Russia summit could be held in Zimbabwe because we are creating such facilities. It is necessary, of course, for our region or, in fact, countries in Africa and maybe the world, to make sure that they create conditions to promote summits to come into their jurisdiction because that also brings technology. You cannot host a summit of this nature if you don’t have communication equipment or the facilities required for such a summit.

So, we in our region are, in my view, standing up to the challenge of hosting not only a regional summit but continental summits. We should be able to do so. For instance, now you have a Russia-Africa summit, you have a China-Africa summit, you have a Spain-Africa summit. I think in the future, we should have a Zimbabwe-Russia summit where we host the Russian Federation, or a Zimbabwe-China summit where we host China in Zimbabwe. We are conscious of that possibility.

And what is important is to be focused. Yes, we need external support, but it is critically important that, as a nation, we must also make sure that we develop primarily based on the domestic resources that are available and only be supported where we feel fully deficient. That way we become focused, and we become proud that we have created such institutions and such facilities.

So, I am looking forward to a day when I hold a Zimbabwe-Russia summit and my brother will come and attend a summit in Zimbabwe with all the facilities that I see here. As I look at them, I believe that, when you build after [somebody], you build better. So, we are likely to create better facilities for my brother because I have seen what you are doing. Thank you.

Sergei Karaganov: Thank you very much.

I will reach out to you with a letter later and ask you to elaborate on what you expect from the BRICS summit in particular. Perhaps, you have suggestions? We would be interested to find out. We are collecting such requests, because BRICS is gathering momentum. We need to identify the proper course of action to ensure its further development.

I am being signalled that we have to wrap it up. I had many interesting questions, you shouldn’t do that. (Laughter.) But if they say so, let it be.

Then my last question is for you, Mr President. You are a Russian European, born in St Petersburg, a city loved by many Russians, including myself. The European journey undertaken by [Tsar] Peter is over. You are completing it now with a certain delay. But there is one problem: our European genes are too strong. Europe has become part of our identity. How can we preserve them, avoid scattering them en route, as we do quite often in Russia when we toss the baby out with the bath water?

Could we perhaps make St Petersburg the centre of real European culture, hold festivals there for real Europeans, and declare at last that we are Europe? We are Northern Eurasia, of course, and primarily a civilisation of civilisations, but let us make St Petersburg the centre of European national culture. This is one question.

Here is another question to follow up on the first one. I think that our friends from Africa and Latin America will be glad if we start turning St Petersburg also into the centre of global culture. There was Paris – now it is on its way out. New York has changed as well. Could we perhaps make St Petersburg the centre of world culture? It already has all the infrastructure. What needs to be done here is to create a few festivals and – excuse my English – happenings. These events will attract huge crowds of people. St Petersburg residents will profit from them, while everyone in the Global Majority and in the Europe we are leaving will find them useful.

Vladimir Putin: As for the likely loss of some elements of European culture, or, say, genes of the European culture in Russia as we are turning towards the East and Asia, [I would like to say the following:]

First, we are not making a pivot for considerations of momentary advantage. This pivot is taking place in the world at large in connection with the growth of new centres of development. We started this work long before the current tragic developments in Ukraine.

I said at the very beginning – the economy is shrinking as does the impact the world development centres that have been active so far have on the global economy. The combined GDP of the BRICS countries is higher right now than the total GDP of the so-called Group of Seven. These trends not only persist but grow stronger and faster – I am talking about the economic growth today and in the short term. This is an inevitable development, and nobody can do anything about it. Whatever happens, this trend will persist.

Of course, as we have just discussed, long time ago, Peter the Great hacked a window through to Europe because Europe was the centre of economic development, prospects, markets and technologies. As an example, he would hang his boots outside that needed stitching, like they did in Holland or elsewhere. But the world is becoming more diverse, and we must react to this diversity, which is what we try to do.

As for elements of European culture, it is not us who are losing these genes and elements of European culture. Where is this culture in the part of Europe that is called Western? There will be nothing left of it quite soon. Only architecture will remain. But culture mainly means cultivating people. Lately, this effort has been poisoned by today’s global liberals who place utmost importance not on the interests of their own people and their own cultural code but on their ideas associated with global liberalism that are out of touch with reality. In my opinion, this is the key problem.

By definition, we are becoming centres of traditional European culture and traditional European values that, if we look a little further into history, are based primarily on Christian culture even for non-believers.

For us, for Russia, a multifaith country – you said (I don’t know who originally said it) that before anything, it is the military machine of the Russian people – whoever said that, I do not agree because Russia was originally formed as a multifaith state. Let’s remember the order from Catherine II or other, as we would say these days, leaders – tsars and emperors. When acquiring new territories, they would always say: respect the local population, their traditions and beliefs. This is how Russia came to be.

And of course, European culture represents a significant part of Russia’s culture, and we are becoming carriers of this culture, the one that is being killed in European countries today. However, realising this, many Europeans are now striving for their further development to be driven by their traditional values. Whether they succeed or not will become clearer when we see the results of the European Parliament election. But in our country, we will certainly promote further development guided by our historical traditions, which have shaped it as a multiethnic and multifaith state; this certainly can and must be done.

You mentioned the role of St Petersburg, and I agree. This is what we are doing – expanding our cultural activities here across the board, also cooperating with our friends and partners around the world: from Europe, from Asia, from Latin America, from Africa.

You spoke about St Petersburg. I am looking at the picture on my left and the picture on my right. Look at the one to my right: we see St Isaac’s Cathedral in the middle, the Senate and Synod to the right, and the Admiralty to the left. This is the view from the university where I studied, from the side of the Twelve Colleges, which housed the first Government of Russia. Further to the right is the Menshikov Palace. In the picture on the left is the Strelka, the spit of Vasilyevsky Island, the Rostral Columns, the Exchange, and St Isaac’s Cathedral again. This is a view from the Hermitage.

If we cross to this side and look backwards, at the Twelve Colleges or the Hermitage, the view will be just as beautiful. Why? Because the planning was guided by the most important principle and law, which is called ‘harmony.’ This is the principle we will be guided by in building our policy. Russia will certainly be part of this harmonious multipolar world. It is natural for us to also rely, to a large extent, on European principles, on European culture, because the Russian people are bearers of those as well, but we will treat with no less respect the culture and traditions of other ethnic groups of the Russian Federation. This unity is our strength. (Applause.)

Thank you! Thank you very much.

Sergei Karaganov: Thank you very much, friends, colleagues.

This was a very lively, intense, intellectual and political event. I hope that it has kept our audience interested.

Thank you, Messrs Presidents.

Vladimir Putin: I would like to thank our guests and our moderator.

Thank you very much.

Closing ceremony of the World Youth Festival

2024-03-08T14:16:08+04:00

The President took part in the closing ceremony of the World Youth Festival.

The World Youth Festival (WYF) held in the Sirius Federal Territory between March 1 and 7 was attended by 20,000 delegates from 190 countries. The goal of the festival is to foster ties between proactive young people from all over the world, who will work together to build a future shared multipolar world based on cooperation and a balance of interests.

Before the ceremony, Vladimir Putin had a brief conversation with foreign participants of the festival who are studying in Russia.

* * *

Address at the festival’s closing ceremony

President of Russia Vladimir Putin: Good afternoon, dear friends,

I am sure that you are in a good mood today, but there is bound to be a tinge of sadness because you will be parting with those who have become your friends, your new friends.

When we were inviting you to come to Russia, we set ourselves the fairly simple tasks of creating conditions of freedom, creativity and friendship for you to interact with each other and meet new friends and possibly partners in your future projects. I hope that we succeeded. (Applause.) Thank you very much for this assessment.

However, you have done more than we expected. You have created a real city of world youth here, in the south of Russia. Thank you.

You are all so different. I look at you, and I can see what a diverse group you are. I have met just now with young people from different countries who are studying in Russia. They are all so different. So how did you manage to crate this city of world youth when you are so diverse? There must be something you all have in common. Today, in Russia we describe it as our traditional values. They form the foundation of our life, our existence. This means that there is something that unites us. And the first thing that comes to mind is that although we may look different – take the young people over there! Hello! – we may be different in appearance, skin colour and everything else, but there is something that brings us together. What is it? It is that all of us are human beings. And we are all equal.

If we are all equal, there is no place for anyone’s exclusivity in the world. There is no place for arrogance, segregation or other behaviours that stem from the distorted notion of someone’s exclusivity.

We are all equal from the moment we are born. We are equal from the moment when [we are born] thanks to our mother and father – and this is exactly how humans are born, there is no other way even with modern technology. It is always a male and a female parent.

By the way, many countries will soon be celebrating International Women’s Day. Let us applaud our women.

So, we are all born equal but the question is, do we grow and develop under equal conditions? The answer is, unfortunately, not. This is the greatest injustice in today’s world order.

If you ask me what can be done for everybody to live and to grow under equal conditions, unlocking their talents for the benefit of their loved ones, their family, their country and perhaps humanity as a whole, I do not know. But what I do know for certain is that we all must strive for it. Only by striving for it will we make the world more transparent, just, democratic, sustainable, balanced and safe.

Dear friends,

You have come to Russia and made many new friends. I want all of you to know that the entire Russia is now your friend. Our doors are always open for you and your noble intentions.

I believe you will achieve great success. One of this festival’s slogans is “We begin the future together.” Let us believe that this future has already begun. It depends on all of you what kind of future it will be.

I wish you the best. Be happy!