It should be said that the current global imbalances are on such a large scale that they cannot be dealt with within the framework of the existing system. It is true that market fluctuations can be overcome. Most countries have set out a range of tactical measures to respond to the acute manifestations of the crisis, with varying degrees of success.
But speaking in a deeper, longer-term sense, we must admit that the current problems have nothing to do with market volatility. By and large, what the world is facing today is a systemic crisis, a tectonic process of global transformation. It is a visible manifestation of our transition to a new cultural, economic, technological and geopolitical era. The world is entering a period of turbulence, which will be prolonged and painful. We should not be under any illusions.
The end result of the system that has developed in the 20 years since the collapse of the Soviet Union, including the phenomenon of unilateralism, is also obvious. The former single centre of power can no longer maintain global stability, while the new centers of influence are not yet ready to take over. Global economic processes and the military political situation have become increasingly unpredictable and should be dealt with through the confident and responsible cooperation of states, primarily the permanent members of the UN Security Council and the G8 and G20 countries. We must keep working to overcome mutual suspicion, ideological prejudices and short-sighted self-interest.
Instead of boosting development and stabilizing the global economic system, the world's largest economic centers are creating an increasing number of problems and risks. Social, ethnic and cultural tensions are growing rapidly. Destructive forces have strengthened dramatically and have shown their aggressive nature in some parts of the world, ultimately threatening global security. The countries that are using military force to "export democracy" often become allies of these destructive forces.
Even the noblest of intentions cannot justify the violation of international law and state sovereignty. Moreover, experience shows that, as a rule, the initial objectives are not achieved, and the whole venture proves substantially more costly than anticipated.
Given this environment, Russia can and must play a role predicated upon its civilization model, its great history, geography and its cultural ‘genome' that organically combines the fundamental principles of European civilization and many centuries of cooperation with the East, where new centers of economic and political influence are rapidly emerging.
How does Russia perceive the upcoming age of global transformation?
In the 1990s, the country experienced the profound shocks of collapse and degradation, which cost society dear. Inevitably, given the context - statehood atrophied. Indeed, we came close to breaking point. The very fact that several thousand guerrillas were able to attack a country that boasted a one-million strong army - even if they were supported by certain external powers - demonstrates the tragedy of that situation. Too many people believed we could be completely destroyed.
There was a message the FSB intercepted that I remember very well. It was sent by one of the most heinous and murderous international terrorists responsible for the deaths of our people in the North Caucasus - Khattab - to his foreign accomplices. He wrote, "Russia is weak as never before. Now we have our one and only chance to take the North Caucasus away from the Russians." But the terrorists miscalculated. Russia's armed forces, supported by the Chechens and other peoples of the Caucasus, defended the country's territorial inviolability and the unity of the Russian state.
We needed, however, gargantuan efforts and resources to lift the country out of that hole, to restore Russia's geopolitical status, to rebuild its social system and revive the economy. We restored basic state governance.
We had to restore the authority and power of the state itself. We had to recreate, despite the absence of deep-rooted democratic traditions, popular political parties and a mature civil society, while at the same time locking horns with regional separatism, the dominant influence of oligarchs, corruption and sometimes government bodies' overt links with the criminal underworld.
Given those circumstances, restoring national unity, which meant establishing Russian sovereignty rather than the pre-eminence of particular individuals or groups, became the priority.
Few people now remember how difficult it was, and how much effort that decision took. Few now recall that in late 1990s, the most reputable experts and many international leaders foresaw one future for Russia: bankruptcy and breakup. The picture of Russia today - seen through the prism of the 1990s - would seem overoptimistic and even unbelievable.
But in fact this ‘forgetfulness' and society's readiness to embrace the highest standards in terms of quality of living and democracy - are the best signs of our success.
The country was able to weather the global crisis precisely because of the fact that, in recent years we all, the people of Russia, went such a long way to solving the most pressing and top priority issues. And now we are even in a position to speak about strategies and prospects.
The recovery period is now over. The post-Soviet phase of Russian and global history has now come to a close.
All the prerequisites for progress are in place, with new foundations and at a qualitatively new level. Incidentally, all this -- in the harsh foreign policy and foreign economic conditions. Nevertheless, the inexorable global transformation offers us a tremendous opportunity.
I would like to repeat, once again, why I agreed to stand for presidential election in 2012. I am not going to belittle anyone's merits in forming this country anew. Many people were involved. But the fact remains that in 1999, when I became prime minister, and later president, our country was in the grips of a severe systemic crisis. And that team of like-minded individuals that your humble servant, the author of these lines, was to form and lead, enjoying majority public support and confident in national unity around our common objectives, helped deliver Russia from the blind alley of civil war, break the back of terrorism, restore the country's territorial integrity and constitutional order, and spark economic revival - giving us a decade distinguished by one of the world's fastest economic growth rates and real income growth for the general public.
Now we can see what was successful, what needs improvement, and even what needs to be dismissed.
I see our goal in years to come as sweeping away all that stands in the way of our national development, completing the establishment in Russia of a political system, a structure of social guarantees and safeguards for the public, and an economic model that together form a single, living, ever-changing organism of state that is, at the same time, resilient, stable and healthy. One that is able to guarantee Russia's sovereignty, and prosperity for our great nation's citizens, in the decades to come. To defend justice and the dignity of every single individual. Truth and trust in the relationship between the state and society.
A great many issues remain unresolved. New difficult challenges will continue to arise, but we are in a position to use them for the benefit of Russia.
Russia is not the kind of nation to shirk a challenge. Russia muscles up, gathers its strength and responds appropriately to any challenge. Russia comes through any ordeal and is always victorious. We have a new generation of creative and conscientious people who have a vision of the future. They are already taking the lead in industries and businesses, government bodies, and the country as a whole, and will continue to do so.
How we respond to the challenges of the day, how we use this chance to become stronger and reinforce our status in this rapidly changing world is up to us.
In the coming weeks, I will present more detailed statements on this for public discussion.
