[Editors’ Note: Due to unforeseen circumstances, our coverage of Russian politics has fallen behind the news cycle. We apologize for any inconvenience this may have caused, and appreciate your patience as we work to bring the Russia Reform Monitor up-to-date.]
September 23:
A new book has unveiled evidence of massive undercover efforts by Russia’s FSB to harass and intimidate British and American diplomats. Their principal method, London's Guardian reports, involves breaking into the homes of diplomats and moving around personal items, opening windows, and setting alarms — creating enough disturbance to make clear that the home has been disturbed, without actually taking anything. Bugging, phone tapping, surveillance, and email interception are also popular methods of disruption, normally aimed at staffers in the embassies of western nations, political dissidents, human rights workers, and journalists. The book, Mafia State, claims that while both the British and American governments are fully aware of the FSB’s activities, they generally avoid outright accusations of misconduct for fear of further straining ties with Russia.
September 24:
Pro-Western liberals were left shaking their heads, while most Russians reacted with a general lack of surprise, at the announcement of Vladimir Putin’s intention to run for his third Presidential term in next year’s elections.The New York Times reports that, in a decision tantamount to a conclusion, Mr. Putin has announced that he will stand in next year's presidential race. As a result, Russia's current premier could now be in office through 2024, giving him a reign longer than that of Brezhnev, and nearly equal to Stalin's. The announcement was made over the weekend at a convention of the ruling United Russia party, where over 11,000 members celebrated the Prime Minister’s announcement with a standing ovation. Putin told reporters afterward that the decision (which requires current President Dmitry Medvedev to step aside) had been made “several years ago,” before promising to take up the mantle of many of Medvedev’s causes, including economic reform and efforts to combat the country’s rampant corruption.
September 25:
The Los Angeles Times reports that Finance Minister Alexei Kudrin, one of Russia’s most trusted politicians, has threatened to resign if current President Dmitry Medvedev becomes the Prime Minister following Vladimir Putin’s return to the presidency with next year’s election. Citing fundamental economic disagreements with Mr. Medvedev, Kudrin told the press: “I do not see myself in the new government. The point is not only that no one has offered me the job. I think that the disagreements I have will not allow me to join the government.” Mr. Kudrin is largely credited with Russia’s economic growth and increased stability over his 11-year span as finance minister. He did, however, voice his continued support for Putin, and the prime minister’s press secretary has insisted that Kudrin will “remain on Putin’s team.”
September 26:
The White House has moved to downplay the significance of Putin’s recent announcement, amid speculation that his return to the Russian presidency will further complicate President Obama’s “reset” of relations with the Kremlin. Cooperation on the latest arms control agreement between the two countries has stalled in recent months, and the current Prime Minister has been among its most vocal critics. The White House, however, has insisted that the announcement changes little. “The reset has always been about national interests and not individual personalities,” the Wall Street Journal reports White House National Security Council spokesman Tommy Vietor as saying.
September 29:
The BBC reports that the past five months have seen steady decline in the Russian economy. Nearly $31 billion in capital is estimated to have left the country in the first six months of this year - more than the entire amount ($30 billion) lost to capital flight in 2010. Many have blamed falling oil prices and ongoing political turmoil for the investor jitters. When Finance Minister Alexei Kudrin, who many credited with keeping the country’s economy stable through the recent financial crisis, was fired only days after Prime Minister Vladimir Putin’s announcement that he will once again seek the country's presidency, many investors panicked.
In the meantime, Russia’s best and brightest continue to leave the country for better opportunities abroad. Over 20 percemt of Russia’s adult population now wants to emigrate, a staggering rise from only 7 percent in 2007. The ruble, in turn, has plummeted to its lowest trading level since May of 2009, complicating the finance ministry's crafting of the 2012 budget - which is largely based on the assumption that the price of oil will rise to $116 per barrel next year, despite current prices languishing around $105.