IN ANNUAL Q&A, PUTIN EXCLUDES THIRD TERM, WORRIES

UNCLAS SECTION 01 OF 02 MOSCOW 011989 SIPDIS SENSITIVE SIPDIS DEPT FOR EUR/RUS E.O. 12958: N/A TAGS: PREL PGOV KDEM SOCI PINR RS SUBJECT: IN ANNUAL Q&A, PUTIN EXCLUDES THIRD TERM, WORRIES ABOUT GEORGIA, PROMISES GOVERNMENT PLAN TO ADDRESS INTERETHNIC PROBLEMS -------------- Summary -------------- ¶1. (SBU) On October 25, President Putin hosted his annual "direct line to the President," during which he answered questions from Russia's regions and from Russian speakers abroad (Sevastopol, Ukraine). This year's "direct line" lasted 2 hours and 54 minutes, outstripping last year's by one minute. The Presidential Administration reports that 2.3 million questions were posted. Putin's performance was broadcast by three television networks and two radio stations. Preceding "direct line" was a broadcast documenting actions taken in response to questions posed in previous years. The President seemed comfortable and very much in command of the facts throughout the marathon session that had him fielding questions ranging from North Korean nuclear tests to taxes on summer cottages. A selective survey of the highlights follows. End summary. -------------- North Korean Nuclear Test -------------- ¶2. (U) Putin, in a mild jab at the U.S., stressed the test was impermissible, but not all of the participants in the negotiations did all that they could in order to avoid an impasse. North Korea cannot be put in a position, where its only solution is to further heighten tensions. The most recent test occurred because: "...not all of the participants were able to strike the right note during the negotiations." The only way forward, said Putin, was to return to the six-party talks. Putin detected signals that North Korea is ready to return to the negotiations, assuming its national interests --connected with its security and the peaceful use of nuclear energy-- are taken into account. -------------- Relations with Georgia -------------- ¶3. (U) Putin was concerned by militarization in Tbilisi; relations are complicated by Georgian efforts to resolved problems militarily. Tbilisi should not ignore the UNOMIG resolution. Russia is willing to do what it takes to normalize relations. Russia has no plans to expand its territory but, as to Abkhazia, Russia cannot permit bloodletting. -------------- 2008 Presidential Elections -------------- ¶4. (U) Putin said a clear "no" to a third term. "I like my work, but the Constitution does not give me the authority" to be elected a third time. He hoped he would win the trust of the Russian people by "not tailoring the (Constitution) to advance his personal interests." -------------- Interethnic Conflicts -------------- ¶5. (U) Putin promised by mid-November a comprehensive government plan for addressing the increasing number of conflicts in Russia. A government that "cannot defend its citizens, is unnecessary," he said. In his answer, Putin did not suggest that the interethnic problem was systemic in nature. He noted that after ethnic clashes in Kondopoga (Karelia) the leadership of the local FSB and Ministry of Internal Affairs were disciplined. Putin urged voters to choose their local leaders carefully. ¶6. (U) Elsewhere during the session, Putin noted that there should be no "ethnic factor" in the war against crime. "I cannot endorse selective enforcement along ethnic lines, and I call on law enforcement and the administrative authorities to refrain from such behavior." In answering yet another question, Putin spoke of the need to better control migration and labor permits as a partial solution to the problem. ¶7. (U) Putin conditionally defended recent expulsions of ethnic Georgians from Russia, alleging that at a time when five thousand Georgians had been expelled, "15,300 citizens of one country, and 13,400 of another" had been forced to leave. MOSCOW 00011989 002 OF 002 -------------- Recent Assassinations -------------- ¶8. (U) Putin attributed recent "economic" assassinations to the fact that the "state has begun to step on the toes of those who try to profit at the expense of the people." He averred that the number of contract killings has decreased. Investigations of such killings must be successfully completed, and that is the case "both for the killings of mass media representatives and for economic crimes." -------------- Corruption -------------- ¶9. (U) Putin acknowledged that corruption is one of most serious challenges in Russia. He advocated for strengthened involvement of civil society institutions, enhanced control over law enforcement officials and local bureaucrats, and the creation of conditions that create disincentives for bribery. -------------- The Economy -------------- ¶10. (U) Heralding Russia's economic growth of 6.6 percent, Putin also pointed out that average incomes have grown 11 percent this year; salaries have increased 12.8 percent, and pensions by 6.8 percent. Regarding 2007 expenditures, Putin noted that the government will spend 7.5 billion rubles to subsidize fuel for farms; make payments to mothers with more than one child, and increase pension payments. He also stated that inflation is expected to be slightly higher in 2007. Putin made a reference to Russia's dependency on high world energy prices for economic growth, but said that the economy is beginning to diversify. BURNS