VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN

Working Day

6 april, 2010 20:59

Prime Minister Vladimir Putin holds a meeting to discuss the government’s long-term targeted programmes

Prime Minister Vladimir Putin holds a meeting to discuss the government’s long-term targeted programmes
”To address our major objectives effectively, we must use everything in our toolbox, including taxes, federal property and legal regulation. This approach will allow us to concentrate our resources on our main objectives, and increase the effectiveness of government spending by choosing the best solutions to overall and specific problems.”
Vladimir Putin
At a meeting to discuss the government’s long-term targeted programmes

Prime Minister Putin's introductory remarks:

Good afternoon, ladies and gentlemen.

Today we will discuss our long-term budget strategy, but I'd like to begin with one pressing issue.

When we finalised the budget with the State Duma last autumn, our opportunities were limited by the recession.

The situation has been improving ever since, but very slowly. And because the future of the global economy is still uncertain, I believe it makes sense to continue to take advantage of the solutions we developed last year.

I would like the Ministry of Finance, the Ministry of Economic Development, the Government Executive Office and the State Duma to work out this issue so that we can introduce the budget to the Duma on October 1.

Here we also need to take advantage of the so-called zero reading.

Recently, we have focused our attention on the preparation of and implementing the budget. Budget planning is a major yardstick by which we measure the effectiveness of public administration. It allows us to see whether the government can actually address the problems people face.

Full-scale fiscal policy reform has been underway for a few years already, and today we will discuss our plans in this area.

I would like to focus on two critical issues.

The first concerns the practicality, terms and stages of transitioning to a new overall fiscal policy whereby spending will be targeted. According to this new approach, most funds will be distributed among targeted programmes, the effectiveness of which will be assessed using specific criteria. In addition, the government body in charge of a particular programme will be fully responsible for the programme's effectiveness.

This is not just a technical matter. This new budget structure requires a major revision of the principles by which we develop and implement the budget, as well as the principles of oversight and cooperation among federal executive bodies.

The second issue I'd like to bring up is the need to establish mechanisms to address our major, strategic objectives that involve several different government agencies.

The mechanism we are using currently is that of federal targeted programmes, which is in need of improvement, I must admit. Anyway, practice shows that federal targeted programmes alone are not enough.

To address our major objectives effectively, we must use everything in our toolbox, including taxes, federal property and legal regulation. This approach will allow us to concentrate our resources on our main objectives, and increase the effectiveness of government spending by choosing the best solutions to overall and specific problems.

We have developed several projects, including those featured in the Guidelines for the Government's Activities through 2012. They could be used to help develop comprehensive targeted programmes in the future.

The transition to the new fiscal policy should be careful, prudent, even cautious. We must be aware of all the possible risks and work out an effective mechanism to develop and implement long-term programmes, create a regulatory base and carry out training and retraining programmes for public servants.

That said, I would like the Ministry of Finance and the Ministry of Economic Development to tell us today how well we are prepared for this work. Also, it is very important that these two ministries should work hand in hand. Let's get down to work. Please.