In this photo taken on Nov 21, 2019, Russia's then tax service chief Mikhail Mishustin speaks to Russian President Vladimir Putin during their meeting in the Kremlin in Moscow, Russia. Putin on Jan 15, 2020 named Mishustin as Russia's new prime minister. (MIKHAIL KLIMENTYEV, SPUTNIK, KREMLIN POOL PHOTO VIA AP)

Vladimir Putin’s new choice for prime minister pledged to revamp the cabinet just a day after the Russian leader surprised the political elite with a government shakeup and a constitutional overhaul that could allow him to extend his 20-year rule.

After the departure of his long-serving prime minister Wednesday, Russian authorities moved quickly Thursday to make Putin’s vision a reality, with his new nominee expected to win a confirmation vote scheduled for later in the day.

“Now the main task before us is to do everything so that the proposals made in the president’s message to the Federal Assembly start working as fast as possible,” Andrey Turchak, deputy speaker of the upper house of parliament, told reporters.

Putin’s proposed amendments include granting more powers to the parliament and another body called the State Council, while the presidency would see its sweeping authority reduced somewhat

Mikhail Mishustin, the low-profile head of the Federal Tax Service, who Putin picked as his new premier was in parliament first thing Thursday and before 10 am in Moscow had won the unanimous backing of the ruling party, which has a commanding majority.

Surprise Shakeup

Putin’s proposed amendments include granting more powers to the parliament and another body called the State Council, while the presidency would see its sweeping authority reduced somewhat. The changes could allow the Russian leader, who faces a constitutional ban on running again when his current term ends in 2024, to retain power in another role.

Dmitry Medvedev, one Putin’s longest-serving lieutenants, tendered the resignation of his government after the speech, saying that the president needed a new team to implement his vision. Removing Medvedev, widely blamed for lackluster economic performance and stagnant living standards in recent years, could help the Kremlin boost public support as the end of Putin’s term nears. A boost in government spending set for this year is expected to accelerate sputtering growth.

With the backing of the ruling party, Mishustin’s confirmation is all but assured. The opposition Communist Party said its legislators would abstain from the vote, though that’s not likely to sway the outcome. The nationalist Liberal Democratic Party will support him, leader Vladimir Zhirinovsky said. Once confirmed, Mishustin is expected to begin naming his cabinet choices, who are formally appointed by Putin. That process could start this week.

READ MORE: Putin nominates Mishustin for prime minister

“The replacement of the government has for many increased hopes that the new team will be able to do more,” Alexei Kudrin, former finance minister and now head of the Audit Chamber, a government watchdog, told a conference Thursday. “We now have more hope” for reforms, he said.

Removing Medvedev, widely blamed for lackluster economic performance and stagnant living standards in recent years, could help the Kremlin boost public support as the end of Putin’s term nears

Investors are watching closely the fate of Anton Siluanov, who as first deputy prime minister and finance minister in the last government won a reputation as a steward of tight budget policies that made Russia a favorite for foreign bond-buyers.

ALSO READ: Putin announces constitutional reform, his PM steps down

National Projects

“Without knowing the names of the new ministers and their views, policy continuity is not certain,” Morgan Stanley economist Alina Slyusarchuk wrote in a note. “We could see more expansionary fiscal policy, or more structural reforms, or the changes could be purely political with economic policy unchanged.”

Mishustin, 53, said he’d focus on implementing Putin’s National Projects infrastructure-spending program as a top priority, Tass reported. Implementation of those initiatives had stalled in the bureaucracy last year, slowing economic growth and drawing public criticism of the government from Putin.

“Mishustin said there would be changes in the Cabinet” and the appointments would be announced soon, according to Alexander Khinshtein, a ruling-party legislator who attended the meeting. A Communist lawmaker said Mishustin had pledged to make major changes in the government but didn’t give specifics, RIA Novosti reported.

A PhD economist who ran an investment business, Mishustin has a reputation as an efficient technocrat with a low political profile. At the tax service, he tamed legendary Russian evasion by installing a nationwide computerized reporting system that works in real time. Since he took over in 2010, the tax service has become one of the government’s most technologically sophisticated institutions.

Yandex Boost

Shares in Yandex NV, Russia’s leading Internet company, jumped 4% Thursday after a legislator said in an online post that Mishustin had promised to support the company. Otherwise, markets showed little reaction to his appointment.

Mishustin is expected to begin naming his cabinet choices, who are formally appointed by Putin

“Without a doubt, the government should be a digital platform that’s created for people. That’s what we tried to do with the tax system,” Mishustin told legislators Thursday, according to a video posted by a parliamentary official. “The most important thing is to remove limits for business.”

Prior to the tax authority, Mishustin led reforms at several other state agencies, including the federal land registry. He also has a background in private business and served as president of UFG Asset Management, part of one of Russia’s biggest investment houses, from 2008 to 2010.

Later Thursday, Putin is scheduled to chair a meeting of the new panel of dignitaries -- including legislators, officials, as well as prominent musicians and athletes -- set up to draft the constitutional changes, Tass said.