Russian President Vladimir Putin said the world is moving towards a new global order in which sovereignty, national interests and mutual respect will form the basis of cooperation and future development.
Criticising European Union policies, Putin said the short-sightedness of European leaders is weakening Europe's economic position and undermining global security.
Addressing the main plenary session of the St Petersburg International Economic Forum (SPIEF), Putin said the global economy is undergoing profound structural changes and the world is not merely shifting from one economic phase to another, but witnessing a transformation of the entire model of global development.
He said the BRICS countries are emerging as new centres of global economic growth. According to Putin, BRICS accounted for 49 per cent of global economic growth over the past five years, while the G7 nations contributed around 18 per cent. He added that annual trade among BRICS members has exceeded one trillion dollars.
Putin said Russia and its partner countries must further strengthen their technology, financial systems and industrial capabilities, as genuine sovereignty cannot be achieved without advanced technology and economic self-reliance. He said Russia had learned in recent years that international payment systems, software and financial infrastructure could be used as instruments of political pressure.
He alleged that the freezing of Russia's foreign exchange reserves and the use of sanctions had damaged confidence in the global financial system. According to Putin, this is one reason why many countries are seeking to reduce their reliance on the US dollar and the euro.
Speaking on energy, Putin has termed European Union energy policies as "short-sighted" and said efforts to move away from Russian energy, coupled with aggressive political rhetoric, had further weakened Europe's position in the global economy. He added that some European leaders were fuelling instability in the region, with consequences being felt worldwide.
Making sovereignty the central theme of his address, Putin said a strong state is built not only by resisting external pressure but also through effective governance, a robust economy and a united society. He said Russian industrial output had increased despite sanctions and external pressure, and that the country remains focused on its economic development goals.
The plenary session was also attended by Uzbekistan President Shavkat Mirziyoyev, Tanzania President Samia Suluhu Hassan, Chinese Vice-President Han Zheng and Saudi Energy Minister Prince Abdulaziz bin Salman.
