Georgia–Russia relations to urge President Medvedev to recognize Abkhazia and South Ossetia as independent states. On the following day, Medvedev agreed, signing a decree officially recognizing the two entities. Georgia has rejected this move outright as an annexation of its territory; Western nations such as the United States and Germany have also opposed such a decision. In response to Russia's recognition of Abkhazia and South Ossetia, the Georgian government announced that the country cut all diplomatic relations with Russia. Russia had already closed its embassy right after the beginning of the war in South Ossetia in August 2008 before diplomatic relations between
South Ossetia Ossetian Agriculture ministry also imported some tractors in 2008, and was expecting delivery of more farm machinery in 2009. Russia planned to spend 10 billion rubles in the restoration of South Ossetia in 2008. The economy is currently very dependent on funding from Russia. In 2017 the Administration of South Ossetia estimated its GDP to be nearly 0.1 billion US dollars. The country's principal university is South Ossetia State University in Tskhinvali. After the Russo-Georgian War in 2008, education officials attempted to place most university-bound students from South Ossetia in Russian post-secondary education institutions. South Ossetia South Ossetia (, ),