VZCZCXRO9746
OO RUEHDBU RUEHLN RUEHVK RUEHYG
DE RUEHMO #1989/01 2981416
ZNR UUUUU ZZH
O 251416Z OCT 06
FM AMEMBASSY MOSCOW
TO RUEHC/SECSTATE WASHDC IMMEDIATE 4518
INFO RUCNCIS/CIS COLLECTIVE
RUEHXD/MOSCOW POLITICAL COLLECTIVE

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 
 
 
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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." 
 
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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