Russia briefing – Jan. 20

 
-Putin strengthens leadership in Russia

Russian President Vladimir Putin took the first step last week to strengthen his leadership before his presidential term expires in 2024.

In his aim to maintain the state administration’s effectiveness, Putin initiated amendments to the Russian constitution to distribute political power to legislative and executive organs.

He signaled changes to the general political system in his speech in the Federal Assembly on Jan. 15.

Following the speech, the Russian government, headed by Dmitriy Medvedev, resigned to open the way for system changes and immediately afterward the Russian leader assembled the constitutional working group.

Putin aims to extend his leading role over the institutions and to distribute power among the legislative and executive institutions. In line with Putin's plan, the upper and lower wings of the Russian parliament and the prime minister will become more powerful.

Putin wants the Russian State Council, of which he is currently the president, to be a constitutional institution.

Experts believe that Putin aims to secure his power at the top of the political system by positioning himself over the governing bodies in the country.

-Capital outflow declines in Russia

The Russian Central Bank announced Friday that capital outflow in the country decreased year-on-year by 57.6% in 2019 to $26.7 billion.

The bank noted that foreign debt payments were lower compared to 2018, ensuring the ongoing decline in the capital outflow.

The bank emphasized that the country’s trade surplus fell from $194.4 billion in 2018 to $163.1 billion in 2019.