The year 2008 was an extraordinary year for Russia, Central and East Europe and Central Asia. It witnessed the Russian presidential election, unilateral declaration of independence by Kosovo, the Russian-Georgian conflict, Russia-Us relations back to intension, prevalence of the international rinanceal crisis, and the "natural gas dispute" between Russia and Ukraine. All these events brought about a new face to the mentiond region.

        Putin has no idea to run for a third term. It ensured a smooth transfer of the highest state power within the ftamework of constitution. The Medvedev-Putin System is a kind of unique arrangement of power. It is never seen in the history of Russia.

        The Russian-Georgian war broke out in the heart of the Eurasian continent, however, it has far-reaching global strategical implications. The conflict induced many issues worthy of serious reflection.

        The international financial crisis originated from U.S. has made serious impacts on Russia, Central and Eastern Europe and Central Asia. The economic development in the region has slowed down already. The more involvde in the international financial system such as Russia and Hungary, the more adversely affected, whereas those that are not closely involved, such as Uzbekistan and Turkmenistan, are less affected.

        To observe and analyze the dynamic in the former Soviet region and Eastern Europe, we must have history in mind. Aseries of chain-reactions resulting from the disintegration of the Soviet Union have not come to an end yet.