Speaking Friday at the Kremlin, Mr. Putin said it is "clear that a new arms race is being unleashed in the world." But he went on to say that Russia would not be drawn into it.

Mr. Putin also touched on a wide range of other topics during his speech summarizing his vision for Russia for the next 12 years.

He spoke of what he thinks are among his main achievements since taking office, like rising salaries, increased foreign investment and crushing the Chechen rebellion.

Mr. Putin is constitutionally bound not to run for a third term, and so presidential elections will be held in Russia March second. Mr. Putin's hand picked successor, Dmitry Medvedev, has a commanding lead over his nearest rivals for the office.

Source: By VOA News