Next question: Reporter says Putin appoints members of his inner circle as heads of the executive branches in various regions of the country although they have no connections with their regions. Asks why Putin is doing this and whether he will continue doing it in the future. Don't you trust local political forces?
Putin says his only goal is Russia's well-being. Says Russia has 85 regions and he has only appointed three members of his inner circle as governors. Says overall he has confidence in local politicians and most regions are headed by locals. He says there are cases when local elites "need to be renewed" and that demand for this comes from the local politicians. He says he makes decisions about those appointments based on the opinions of the local population.
Next question is from a German reporter. Asks how Putin thinks relations with the West will develop in 2017. Also, notes that Stalin's grandson died yesterday and asks Putin if Stalin is being rehabilitated in Russia.
Putin says Russia did not initiate the worsening of Russia-EU relations. Russia did not introduce any sanctions on Western countries -- except for countersanctions. Says relations will only improve when Europe withdraws anti-Russian sanctions. Then Putin gives Russia's version of events in Ukraine in 2013-14. Talks about the "coup" in Ukraine and the annexation of the Ukrainian region of Crimea. Says Russia spent years calling for further discussion on Ukraine's Association Agreement with the EU and how it would affect Ukraine-Russian relations, but the EU refused. "Everyone knows what the result was," Putin said. "We don't consider ourselves to blame for what happened. We didn't start it." Putin then claims that even after the "coup" in Kyiv, the process of the Association Agreement has proceeded very much like Yanukovych wanted in 2013. Putin then again criticizes the process of granting visa-free travel between the EU and Ukraine. Says it would have been better to do all this quietly and through negotiations.
Putin then calls for united efforts with Europe to combat terrorism and expresses sympathy over attack at Christmas market in Berlin. Asks how terrorism can be combated effectively when sanctions are in place.
Next question is about whether Putin will seek another term as president in 2018. Putin says time will tell and he will make a decision based on the world situation and on what he has been able to achieve. Then he will make a decision on whether to run or not.