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DECEMBER 2020

Mikhail Mishustin Appointed As Prime Minister, Following Vote By Russian Parliament

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Mikhail Mishustin Appointed As Prime Minister, Following Vote By Russian Parliament

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On January 16th, members of Russian parliament approved appointing Mikhail Mushistin for prime minister.

There were 438 members of parliament in attendance, and the vote result was 397 for, 0 against and 41 abstained. Thus Mikhail Mishistin will assume the seat of Prime Minister and will now have to form a government.

In his speech before the final vote, Mishustin underlined that there are financial resources in the country for the implementation of the tasks voiced by the president during the message to the Federal Assembly on January 15th.

The government has a lot of work to do, he said. The work on national projects should be accelerated. According to Mishustin, effective reforms of control and supervision activities are important.

Mishustin called for the immediate beginning of work on what Russian President Vladimir Putin called for on the previous day, during his address.

The key tasks are the further development of the defense complex, the technological development of the economy, and the improvement of the business climate in the country, Mishustin noted.

Mishustin said that in order to maintain macroeconomic stability, it is necessary to generate additional revenues and keep inflation within 4%.

The government needs to provide a new quality of governance. Open criticism is welcome, he said. Mishustin announced his intention to work closely with regional leaders.

Prior to the vote, at a meeting with the Communist Party faction, Mishustin promised significant changes both in the composition and structure of the government.

At the meeting with the Communist Party faction, Mishustin announced several of his plans:

  • First of all, to combat poverty;
  • The pension reform would remain untouched;
  • A progressive tax would not be introduced;
  • keep the budget rule, but it is possible to raise the level of deductions (a mechanism whereby additional revenues for oil prices of more than $ 40 per barrel are sent to the reserve);
  • Yandex support (the company’s shares after this claim went up by 5%);
  • Actions to improve the state of the healthcare system.

The leader of the Communist Party, Gennady Zyuganov, said that the party would abstain from voting for the new prime minister, since neither his program nor the proposed composition of the government are known.

“He said that there will be serious, dramatic changes, but he hasn’t yet given any names. He said that they will change the structure of the government, they will radically change the ministers, but so far he has not indicated names,” MP Alexei Kornienko said.

Mikhail Mishustin, proposed by President Vladimir Putin to the post of Prime Minister, promised to conduct his work as prime minister in close cooperation with parliament, an aide to parliament’s speaker Anastasia Kashevarova said.

Mishustin began to meet with parliamentary factions – in particular, he had already met with the United Russia faction, which unanimously supported his candidacy for prime minister.

According to Kashevarova, he laid out his priorities if he assumed the prime minister position:

  • digitalization of the economy and the transformation of the state into a “digital platform”;
  • reliance on national projects;
  • institutional reforms;
  • removal of restrictions for business;
  • changes in the composition of the new cabinet.

After meeting with United Russia, Mishustin met with the LDPR faction. Following its results, party leader Vladimir Zhirinovsky said that a final decision on whether the Liberal Democratic Party would support the candidacy of the new prime minister has not yet been made.

“We have not decided anything, we are still discussing,” he said, promising to inform about the decision later. In her channel, Kashevarova also said that during the meeting Zhirinovsky announced the need to remove Yuri Trutnev from the post of deputy prime minister, since he “does not work enough in the environmental sphere.”

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