The entire Russian government has just resigned!
The resignation is coming hours after President Vladimir Putin proposed sweeping constitutional changes that could prolong his stay in power.
PM Dmitry Medvedev said the president’s proposals would significantly change Russia’s balance of power.
Mr Putin asked Mr Medvedev to become deputy head of the National Security Council, which is chaired by Mr Putin.
The president later nominated tax service chief Mikhail Mishustin to replace Mr Medvedev as prime minister.
“President Vladimir Putin held a working meeting with Mikhail Mishustin and invited him to take the post of prime minister,” said the Kremlin press service, as reported by Russian state media agency RIA Novosti.
The unexpected announcement comes four years before Mr Putin’s fourth term of office is due to end.
Under the existing constitution, he would not be entitled to another term.
Investors were clearly surprised by the resignation of Prime Minister Dmitry Medvedev’s government Wednesday and started to sell Russian roubles as a result.
The rouble fell by 0.6%, a big decline for a major currency. It was trading as low as 61.77 roubles per US dollar following the announcement. The currency has since recovered some of those losses.