Russia's priority of future development would be in the east, President Vladimir Putin said Wednesday in a state-of-the-nation address to the legislature.

"In the 21st century, Russia's vector of development is East. Siberia and Far East are our enormous potential. This is a chance to occupy a proper place in the Asia-Pacific region," he said.

Russia, the world's largest country, has more than 70 percent of its land located in Asia. Thus, the Asia-Pacific region is of great strategic significance to Russia.

Eager to promote industry modernization and innovative growth, Russia needs Asian countries for their technologies, human capital and energy markets.

Calling the Asia-Pacific "the most dynamic region" in the world, Putin said Russia should further develop its Far East to get integrated into the Eastern world.

This is Putin's first address of its kind after he returned to the Kremlin following a four-year interval, during which he served as prime minister.