Russia - President's speech

Medvedev calls for "modernization" of Russia

Article published on the 2009-11-12 Latest update 2009-11-12 14:08 TU

Russian President Dmitry Medvedev speaks during his annual address to the federal assembly in Moscow on November 12.
Photo: Reuters

Russian President Dmitry Medvedev made his annual state-of-the-nation address in Moscow on Thursday. The premier began by calling for fundamental reform of Russia's economy.

Medvedev said Russia must diversify its economy instead of relying on raw materials exports.

He claims that the country's old economic model had contributed to its current problems. Russia has been hit hard by recent falls in the price of its oil, one of the traditional sources of its prosperity.

Similarly, the massive state-owned corporations built up under previous administrations have "no future globally in today's conditions", the president said.

He stated that such companies would be either dismantled or gradually transformed into publically listed firms, with only the most strategic remaining under state control.

Medvedev also stressed the importance of promoting democracy within Russia as it strives to take a larger part on the world stage.

"In the 21st century, our country again requires modernization in all areas, and this will be the first time in our history when modernization will be based on the values and institutions of democracy," Medvedev said.

The goal of his administration, the president added, was to make Russia a society of "smart, free and responsible people."

Medvedev's speech echoes an article he published on the Kremlin website in September, in which he criticised what he called Russia's primitive economy, corrupt practices and weak democracy.

Many observers see Medvedev's push for change as an attempt to mark his independence from his predecessor, Vladimir Putin, who is now Russia's prime minister.