The exercises, which are taking place in Siberia, Russia's far east and on its Pacific coast, involve 36,000 tanks and come amid hard relations between the west and Russia, and souring ties between China and the US.
The drills started in the Russian Far East on September, 11.
In a veiled warning to North Atlantic Treaty Organisation and western nations, the head-of-state vowed to "strengthen" his armed forces and furnish them with the "latest weapons and technologies".
"Our duty toward Russian Federation, our motherland, is to be ready to stand up for its sovereignty, security and national interests, and support our allies if required", Mr Putin said.
"Therefore, we are going to further strengthen our armed forces, supply them with the latest generations of weapons and equipment", Mr Putin told troops.
The drills have caused anxiety across the worldwide community as North Atlantic Treaty Organisation members grow wary of Russian military activities in the wake of the annexation of Crimea in 2014. In addition to the troops, some 1,000 Russian aircraft are also involved.
'Today in the Tsugol polygon, in (the region of) Zabaikalie, the most active stage of the maneuvers, carried out at a high level, ends.
"Vostok demonstrates Russia's focus on exercising large-scale conflict".
There is widespread agreement among defense experts that Russian Federation has begun preparing for the new regional conflict.
North Atlantic Treaty Organisation spokesman Dylan White said: "All nations have the right to exercise their armed forces, but it is essential that this is done in a transparent and predictable manner".
But Putin played down the threat of Russian militarism, declaring his country a "peace-loving state".
Russian senator and reserve colonel, Frants Klintsevich, said: "It suited the West that our units and headquarters lacked combat skills and coordination, but times have changed; now we have a different attitude to combat readiness".
"In fact, it is a self-fulfilling prophecy".
Giles said Moscow's foreign policy decisions are "driven by delusions" such as the notion "Russia matters" and "hostile powers" are lining up to invade the country.