This work examines the process of Refederalization and scope of Federalism in Post-Soviet Russia. Russian federal system underwent through various changes after the disintegration of the Soviet Union. It came into existence because of various treaties signed between the central government and the regions. Russian federal structure is asymmetrical in nature, marked by conflict over system of power sharing between the Center and the regions. An institutional mechanism has been created to ensure the effective implementation of federal principles. But an overarching control of President over political affairs, foreign policy and economy could prove harmful for the successful evolution of a federal state in Russia.