Pravda.ru / Russia

The list of people, whose names Russia will remember in 2017, contains the individuals, whom everyone knows, but not everybody likes. In 2017, those people have made a number of mistakes

The United States added five more Russian citizens on the so-called "Magnitsky List", including President of Chechnya, Ramzan Kadyrov. The day before it became known that the US Treasury had imposed sanctions against two more Russian companies - Novator Experimental Design Bureau and Titan-Barricades Federal Research and Production Center.The number of sanctions lists continues growing fast, and one may lose count of them already. What is Russia going to do about it? In response to the news about anti-Russian sanctions, Russian officials usually say something vague about the need to develop a proper reaction, but it appears that those are only words. It goes without saying that the Russian authorities do something on the subject without advertising it much. Russian President's spokesman Dmitry Peskov was asked an interesting question recently. A journalist wondered whether it was true that the Russian authorities were working to set up a special bank to service the defence sector in connection with the possible introduction of new sanctions (although the word "new" appears to be redundant here). "Indeed, Moscow is working out and taking measures to protect our interests against the backdrop of the efforts of various countries to continue taking restrictive and sanctioning actions of various countries, which we still consider illegal," Peskov said."It would be wrong to publicly disclose all these measures to hedge risks, which I will not do," Putin's press secretary added. It goes about either a reaction to the already imposed sanctions, or a response to the sanctions that are going to be imposed on Russia in the future. In addition, Russia may take measures to impose sanctions on Western countries, but the Russian authorities have not been very active in the field lately, even though top officials always say that Russia will not leave restrictive measures of the West without attention. It goes without saying that Russia is much more limited in its actions at this point, but what can Russia do and why aren't we doing it?Pravda.Ru asked this question to Doctor of Economic Sciences Valentin Katasonov."Russia has not taken any special responsive measures to sanctions of the West. It's like playing a game of pingpong, in which we do not send the ball back to the opponent. In fact, we must act ahead of schedule. A set of measures is needed to ensure the economic and financial security of the country. First of all, we need to deoffshorise the Russian economy."In the beginning of this decade, when Putin was running for president, he promised that the Russian economy would be deoffshorised. Yet, things are right where they started. On the contrary, now the authorities have come up with various reasons to prove that deoffshorising economy is harmful. "Secondly, we must protect our international reserves. This sanction has not been introduced yet, but it is hanging over our heads like the sword of Damocles. Russia should convert its international reserves into currencies other than the US dollar and then move them to the banks that remain outside the control of the US Treasury Federal Reserve System."Further, Russia needs to increase the share of gold in its international reserves. Finally, we should simply use foreign exchange reserves to strengthen our economic security. Much has been said about import substitution and the need for re-industrialization. All this requires currency. Instead of using this currency effectively to build up our production potential, we were investing it in US treasury securities."The Central Bank should be accountable to the state. Presently, the Central Bank is practically unaccountable hiding behind a vague definition of an independent institution."Undoubtedly, Russia needs to change the nature of the money issue. The Central Bank should credit the real sector of the economy. What the Central Bank is doing today is a mess. Instead of strengthening the financial position of the real sector of economy, the Central Bank wastes billions, even trillions of rubles, to sanitise the banks that suck the Russian economy dry and redirect that money to offshore companies, etc. "Russia could also take measures to restrict and prohibit cross-border movement of capital. In this case, we will have a stable ruble rate, with all ensuing positive consequences."Oleg ArtyukovPravda.Ru Read article on the Russian version of Pravda.Ru

The number of sanctions lists continues growing fast, and one may lose count of them already. What is Russia going to do about it?

Bloomberg analysts have published a curious forecast embracing the period before 2028. The forecast contains a number of quite pessimistic scenarios for Russia. It focuses on the continuing decline in prices on oil because of the growing popularity of electric vehicles. It appears, though, that Bloomberg analysts do not think of any other way to produce electricity without the need to burn hydrocarbons for it. By 2021, when oil prices fall to $20 per barrel, Russia (and Saudi Arabia) will face budgetary problems, while countless factories will have to deal with serious problems because of workers' strikes. According to Bloomberg, oil will fall to $10 per barrel by 2024, Putin will leave politics, but he will continue ruling Russia through Elvira Nabiullina (currently chairwoman of the Russian Central Bank), who will succeed him." It is not the first time, when Western analysts believe that Elvira Nabiullina will take one of the key positions in the Russian administration. Last time, it was predicted that she would become the prime minister. By 2028, the forecast says, Putin will vanish from the public eye, and Nabiullina will do her best to prevent the collapse of the Russian Federation. Although the forecast itself is, of course, enchanting in its extreme degree of pessimism, Elvira Nabiullina as a successor to Vladimir Putin sounds curious. It appears that Western analysts are convinced the sitting chairwoman of the Central Bank should go deeper into politics, because what else can we expect from her after the nationalisation of all largest private banks in the country?For Western journalists, it is obvious that such decisions do not get materialised for nothing. Therefore, there is a special plan in store for Nabiullina. For some reason, though, no one in the West writes about the fact that the Central Bank simply started losing control of the sector and fears to lose it completely. Therefore, the story with the revocation of licenses and rehabilitation of many banks in Russia looks aggressive.It is worthy of note that a year ago, scientific leader of the developers of "Stolypin Club" program, Yakov Mirkin, warned about the imminent and inevitable devaluation of the ruble. According to him, the crisis scenario of 1998, 2009, and 2014 is going to repeat again.According to Bloomberg, by the end of 2017, ruble assets may ensure investors a return of 15%. Borrowing low-interest dollars on foreign markets, investors profit by investing in Russia against the background of the relatively stable Russian ruble and a high key rate.However, according to Yakov Mirkin, this trend can hardly be referred to as positive and safe. Another "explosive devaluation" of the Russian ruble will repeat scenarios of previous declines of the Russian national currency. Nevertheless, in the autumn of 2017, Minister of Economic Development, Maxim Oreshkin, said that the growth in Russia's GDP in the third quarter, according to preliminary estimates, exceeded two percent. It is worthy of note that Russia currently ranks 38th on World Economic Forum's annual index of global competitiveness. The indicator has climbed by five points since the previous year, while Russia has improved its positions in the rating by 29 points. It appears that Bloomberg has other reasons for making pessimistic forecasters about Russia. Pravda.Ru Read article on the Russian version of Pravda.Ru

The forecast focuses on the continuing decline in prices on oil because of the growing popularity of electric vehicle

The Kremlin has received the final version of the state armament program for 2018-2027. The Russian authorities intend to spend about 19 trillion rubles to rearm the army and the navy, the Kommersant newspaper reported on Monday, December 18, citing a source close to the presidential administration.However, representatives for the Kremlin administration refuted the information. "No, this is not true to fact," Putin's official spokesman Dmitry Peskov said.The article said that Vladimir Putin may sign the document already this week. An official announcement on the subject, the article said, is to be made at the final meeting of the Russian Defense Ministry on December 22.The state armament program before 2027 has been developed over the past three years. Originally, the program was supposed to be approved in 2016, but the president postponed its adoption for two years due to the unstable economic situation. Economic problems have remained, but the political situation dictates its own conditions, a source told the publication. It has become clear over the recent years that without upgrading weapons and equipment of airborne and ground forces it will be much more difficult to counter possible threats. According to the program, the Defense Ministry of the Russian Federation will receive about 19 trillion rubles for rearmament. The Interior Ministry, FSB, SVR and the Russian Guards will receive more than 3 trillion rubles. Earlier, Deputy Defense Minister for Finance Tatyana Shevtsova said that another one trillion rubles would be allocated for the construction of infrastructure for the deployment of weapons and equipment.The rearmament program pays special attention to systems of nuclear deterrence, high-precision weapons, weapons based on "new physical principles" and the development of general-purpose forces. Ground troops are to be equipped with new air defense systems, T-90 and T-14 Armata tanks, Kurganets-25 infantry armored vehicles and Boomerang armored personnel carriers.The arsenal of armaments for Arctic territories is to be expanded with S-300V4 anti-aircraft missile system and Tor-M2 anti-aircraft missile systems. The Ministry of Defense will continue purchasing air-based cruise missiles, submarine-launched ballistic missiles and land-based intercontinental carriers. New strategic solid-fuel complexes RS-26 Rubezh and heavy liquid RS-28 Sarmat missiles will be adopted. Russian Air Force will receive new multi-functional Su-30SM and Su-35 fighters, as well as Su-34 front bombers, as well as a series of state-of-the-art Su-57 front-line aircraft, 24 MiG-35 fighters, and Tu-160M2 strategic missile aircraft.The procurement of helicopters will be reduced. The commercial production of S-500 "Prometey" anti-aircraft missile systems and Buk-M3 complexes will be launched along with the production of  unmanned aerial vehicles and the new system of space optical-electronic reconnaissance.The program also provides for the creation of new ships. The program envisages the construction of Project 955B strategic nuclear missile carrier "Borei-B." The modernization of ships, supplies of state-of-the-art aircraft to the naval aviation of the Russian Navy and the creation of coastal missile systems will continue.Pravda.Ru

Originally, the program was supposed to be approved in 2016, but the president postponed its adoption for two years due to the unstable economic situation

During Putin's annual Q&A conference with journalists, a Ukrainian correspondent asked Putin about the fate of the Russians, who are being held captive or convicted in Ukraine for their participation in the conflict in the Donbass. The journalist stated that Russian troops are staying on the territory of the Donbass to kill Ukrainian citizens rather than to regulate the armed conflict. The journalist asked the Russian president whether he was going to change his policy towards the Donbass in the event of victory in the upcoming presidential election.Another journalist asked Putin a question about Mikhail Saakashvili's political activity in Ukraine and the implementation of the Minsk agreements.Putin at first answered the second question тв said that the situation with Mikhail Saakashvili (former President of Georgia and former governor of the Odessa region of Ukraine) was a spit in the face of the Ukrainian people. "What Saakashvili is doing is like spitting in the face of the Georgian people and in the face of the Ukrainian people," Putin said. "He used to be the president of the independent Georgian state, but now he rushes around squares and screams to the whole world: I'm Ukrainian. Aren't there real Ukrainians in Ukraine? Ukraine turns a blind eye on all this, and it's pitiful to look at all this," the president added.According to Putin, the Minsk format on the settlement of the crisis in Ukraine is of low efficiency because of Kiev's unconstructive position. "They have no desire to implement the agreements and start a real political process, the completion of which can result in the implementation of the treaty on the special status of the Donbass, which is registered in the relevant law of Ukraine that the parliament has adopted, but the law has never been put into force under various pretexts," Putin said.Afterwards, Putin said that there were no Russian troops on the territory of the Donbass. According to him, there are local formations there capable of repelling military actions. "There are certain military militia groups there that are self-sufficient and are ready to repel any large-scale military actions against the Donbass," the Russian president said. "We believe that this corresponds to the  interests of those people who live there, because if they have no such opportunity, so-called nationalist battalions will arrange a massacre there that will be even worse that the one in Srebrenica. "As for the tragedy that is happening there, one should always look at the source of it. The source is a coup d'état and unconstitutional seizure of power. As we know, some of the Ukrainian people did not agree with this, but they started to destroy the dissenters, despite Ukraine's alleged aspiration to the European civilisation," the Russian president said. According to him, all that was done with the help of special services and then armed forces.Putin touched upon the topic of exchanging detainees with Ukraine, but noted that Ukraine constantly changes the list of people for exchange. He said that the process of exchanging detainees was stopped on the initiative of Kiev. Putin urged Ukrainian President Poroshenko to finish this process before the arrival of 2018. Russians and Ukrainians are one people, as they have common historical, spiritual and other roots, Putin said. Pravda.Ru

"There are certain military militia groups there that are self-sufficient and are ready to repel any large-scale military actions against the Donbass," the Russian president said

On December 14, President Putin holds his annual Q&A session with Russian and foreign journalists. This conference is considered to be the beginning of his presidential campaign after Putin announced his decision to run for president again. Traditionally, Putin starts such sessions with a speech about Russia's economic achievements. This conference, however, is different, because questions started at once. President Vladimir Putin will participate in the 2018 presidential election in Russia as a self-nominated candidate."Of course, I very much count on the support of the political forces that share my views on the development of the country, that trust me - in general, I count on broad support of citizens," President Putin said at a televised Q&A session with Russian and foreign journalists. The president did not answer the question of who will be appointed the head of his campaign headquarters. "No final decision has been made yet," Putin said, adding that this is a "technical decision, of course." Putin said.When asked why Putin is going to run again and what would be his mission, the president replied that Russia should be aimed at the future, and its political system should be flexible. Putin did not want to talk about the political program, noting that he practically has it already. "The main thing is to focus the attention of the authorities and the society on the development of infrastructure, healthcare, education, high technologies, productivity increase - but all this should be aimed at increasing people's incomes," Putin said.Answering the question of why Russia still does not have politician No. 2, and whether Putin is bored to run for this election, the president said that the political environment should be competitive. He wants to have a balanced political system which is impossible without competition. Yet, he added, Russian opposition activists are not competition to the current authorities because of Russia's specific peculiarities. "I cannot raise a competitor myself," the president joked.Speaking about those peculiarities, Putin switched to comparing Russia's economic indicators today to those from the late 1990s. According to him, real wages and pensions have grown in Russia since the 2000s."Real wages have fallen in Russia as a result of the crisis phenomena of recent years, but since the beginning of the 2000s, real wages have grown 3.5 times, and real pensions - 3.6 times," the head of state said."When we talk about opposition, it is important not only to talk about the regime, but to offer improvements," Putin said. "If we compare what opposition leaders offer, doubts arise. One does not need to propose a shrilling agenda, but a real one, in which people would believe," Putin said.Answering a question about Russia's defence spending and its possible influence on social benefits, President Putin said that Russia would be ensuring its security without taking part in an arms race. "Our defence spending is balanced, because we need to ensure our country's security, but it should not lead to the destruction of the economy. Next year, defence expenditures of the budget will make up about 2.8% of GDP. This is a bit more than 46 billions of dollars. In the United States, they signed a law about the defence spending of 700 billion dollars, but of course, 46 billion is a lot for Russia," Putin said and continued with a joke: "A father officer asks his son: "Have you seen my dagger?" "I've swapped it for a watch," the son replied. The father looked at the watch and said: "It's beautiful ... But what if gangsters come here tomorrow, they will kill me, your mother, rape your sister - what are you going to do? Are you going to come to them and say: "Good evening, it's 12:30 in Moscow?" Therefore, Putin proceeded, Russia needs to strengthen its defense capability and the country will spend enough on military needs. Pravda.Ru

On December 14, President Putin holds his annual Q&A session with Russian and foreign journalists. This conference is considered to be the beginning of his presidential campaign

Have you ever noticed how Putin listens to speakers at various levels, such as State Council meetings, congresses and press conferences?

Russia and the USA have been negotiating an agreement to limit offensive weapons for decades, and a nuclear war did not happen, but all negotiations on the subject have been stalled

No matter how perfect and modern the S-500 might be, it pales in comparison with Almaz-Antei's latest development - A235 Nudol

Russian military officials believe that their Indian partners committed an inadmissible action by allowing Americans on board Chakra nuclear submarine

What's the big hurry? The last time when the country's leadership was in such a hurry with the rearmament program was on the eve of the Great Patriotic War

Illegal workforce is very beneficial for employers, but the law should not drive migrants into a corner, forcing them to believe that a way out is a bribe

"Do you know that the biological material is collected all over the country for different ethnic groups in different geographical area of Russia?"

By the time of Gorbachev's perestroika, the country had been morally decomposed. Most Soviet people were looking up to the West

East European socialist states also suffered from economic consequences of the break up of the USSR. For example, Hungary used to supply its Ikarus buses to all socialist states. Today, Ikarus does not exist