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		</div><p><a href="http://londonglossy.com/wp-content/uploads/2010/11/medvedev-warns-of-new-arms-race.jpg"><img class="alignnone size-full" title="A new arms race will erupt if Russia doesn't agree over a joint European missile defence programme, Dmitry Medvedev has warned" src="http://londonglossy.com/wp-content/uploads/2010/11/min-medvedev-warns-of-new-arms-race.jpg" alt="A new arms race will erupt if Russia doesn't agree over a joint European missile defence programme, Dmitry Medvedev has warned"/></a></p>
<p>A new arms race will erupt if Russia cannot agree with the West over a joint European missile defence programme, President Dmitry Medvedev has warned.</p>
<p>A Nato summit this month proposed an alliance missile-shield plan and invited Russia to join. Questions remain about possible command of any system..</p>
<p>&#8220;In the next 10 years, the following alternatives await us &#8211; either we reach agreement on missile defence and create a full joint cooperation mechanism, or, if we don&#8217;t go into a constructive agreement, a new phase of the arms race will begin. And we will have to make a decision on deploying new means of attack,&#8221; Mr Medvedev said.</p>
<p>He has already endorsed the Nato proposal. Experts from both sides are meeting before the end of the year to consider linking Nato&#8217;s and Russia&#8217;s separate systems to provide a shield against incoming missiles from rogue nations, and deliver a report to defence ministers in July.</p>
<p>Much of Mr Medvedev&#8217;s 75-minute annual address to parliament focused on social and economic matters, with only comparatively brief and broad comments on political reforms and fighting corruption.</p>
<p>He urged MPs to make improving the lives of children Russia&#8217;s top task and proposed giving free land to families with three or more children. The focus on encouraging larger families reflected serious concern over the demographic plunge that hit post-Soviet Russia.</p>
<p>Because of high mortality rates and a declining birth rate, Russia&#8217;s population shrank by 7 million from its 1991 high. However, the country reported a small population increase last year, to 141.8 million.</p>
<p>&#8220;The 26 million children and adolescents living in our country should fully develop, grow up healthy and happy and become proper citizens &#8211; this is task No. 1 for all of us,&#8221; Mr Medvedev said.</p>
<p>He proposed a series of measures to improve children&#8217;s lives. He also suggested that families who give birth to a third child get a supplement of 3,000 roubles (£60) a month and be given free land to build a home.</p>
<p>Opening the address, Mr Medvedev said Russia&#8217;s budget deficit needs to be lowered if the country is to develop effectively, and said he aims to tame the inflation rate to 4 or 5% in the next three years, from the current 7.4%.</p>
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