Point of View

"We set before ourselves the goal of achieving such a level of pension support that the average old-age pension would not fall below retirees' cost of living. We will certainly accomplish this objective in 2010. And we have further plans to raise pensions at a specific pace, although naturally this will depend on the overall state of the Russian economy. If everything proceeds as planned, pensions will exceed retirees' cost of living by at least 150% by 2050, which is our planning horizon for pension support."

"All the World War II veterans are to be given flats regardless of whether or not they joined the waiting list before March 1, 2005. We are financing this out of the budget for 2010. I have just one question or request for the veterans and the administrative bodies: determine as quickly as possible the number of people who are entitled to new housing under that decision. This needs to be done so that our construction companies could get government financing in time to buy or build the required amount of housing in 2010."

"A decision has been taken at government level and at the level of RusHydro, in which the government holds the controlling stake, that all the station workers from the families of those who died or are missing, and in general all the station workers who have been affected will get preferential treatment in terms of jobs for the whole period of its recontrction, as well as after the station has been restored, and you should have no doubts on that score."

"We passed a decision at the end of last year, in December, to increase the wage fund for the federal public sector workers by 30% at once, but we immediately launched a reform of the budget sector. I will tell you in a nutshell what these reforms amount to. We have given public sector institutions much greater discretion as to how they spend government money and have enabled them to optimise their spending. In other words, optimisation of expenditure is to a large extent in the hands of the managers of various institutions."

"When we talk about this country, about Russia, we start with its economy, efficiency and competitiveness, and all that is very important. But our ultimate goal is people. Russia is its people, and we must make them happy, improve their lives, as well as Russia's healthcare services, security, defence potential and infrastructure."

The list of possible options for the use of maternity capital may be extended further. Why haven't we done it yet? Only in order to secure women's interests. It's easy to withdraw this money. 317,000 roubles is a considerable sum for people in the regions. It will simply vanish overnight. It won't be spent on education, housing or to replenish pension account funds.

"Instead of the Consolidated Social Tax, insurance premiums will become another source of additional off-budget funding for social programmes. The tax rate will be 26% in 2010, the same as in 2009. The deferment will allow businesses to keep additional resources to help them through the crisis. However, beginning in 2011, insurance premiums will increase to 34%. Even so, certain insurers will enjoy preferential rates until 2015. Who are they? They are farmers, enterprises run by national organisations of people with disabilities, folk artists, small indigenous communities in the North, and the residents of special innovative technological zones."

"As a matter of fact, in ten days, from December 1, the basic part of the pension will be increased by 31.4%. In 2010 pensions will grow by an average of 46%. As a result of the re-evaluation of the pension entitlements of those who earned these entitlements back in the Soviet times, the average old-age pension will exceed 8,000 roubles. We will no longer have elderly people whose incomes fall short of the living minimum."

"In 2010 we will meet all of our commitments to provide Second World War veterans with housing. We will provide flats for all the veterans who need them, including those who did not join the waiting list before the earlier deadline of March 1, 2005. After all, war veterans have earned the right to state support and care with their whole lives, and not simply by making it to the waiting list on time."

"The budget for 2010 focuses on social programmes, with one of its key articles dealing with a large-scale pension reform. We all know a lot about this issue, and have discussed it a lot. Pension allocations will account for roughly 10% of the gross domestic product-an unprecedented amount that will increase pensions by an average 46% throughout the year."

"Our main goal now is to help those who have lost their relatives in the tragedy, and all those who have been affected. As you know, RusHydro has decided to pay 1 million roubles to the families whose relatives have died. This is a good decision, but it is not enough. Payments should also be made to the families of those whose relatives are missing. We know now what happened and why, and nobody must pretend that they don't know the reasons. Moreover, we should make additional payments, including to minors aged under 18. One-off payments, of 1 million roubles, will be made to the families whose members have died in the tragedy or are missing, and one-off payments will also be made to other victims."

"Allow me to recall that the federal budget has allocated a total of 64.7 billion roubles for this programme, out of which 8.9 billion roubles were transferred last year, and another 55.8 billion roubles will be provided for this year. I would like to emphasize this year's increase to 55.8 billion compared with last year's 8.9 billion despite the ongoing crisis. This is enough to fully resolve the problem."

"As we have pledged, by May 1, 2010 all war veterans requiring better housing conditions should be provided with flats. I would like to inform you that we have decided to improve considerably the terms of granting housing. Today, in calculating the funding, we proceed from the quota of 22 square meters per capita, whereas subsequently we will apply a higher standard - 36 square meters per capita."

"Starting January 1, 2010 the pension rights acquired before 2002 should be adjusted by an additional 10%, plus one percent of extra adjustment for every year of service during the Soviet period - until 1991. In this way, we will more justifiably appreciate the labor contributions of people during the Soviet time."

"If pensioners live in a region with a high cost of living and their pensions are below the subsistence level, they will receive special social payments."

"All in all, we are allocating an additional 600 billion rubles for social needs. The bulk of these funds are designed for the pension and other off-budget funds."

"Last year, pensions grew by 18.5% in real terms. This year, the nominal increase in labor pensions will be over 24%. As we declared, the average social pension will reach the pensioners' subsistence level."

"I believe it is impossible to delay the reform of the pension system and a tangible pension increase."

“The planned programme for the development of the pension system is our absolute priority. We must start implementing it in 2010, although we are already taking the required measures to create the conditions for its full-scale implementation.”

“As you know, starting on March 1, the basic part of a retirement pension has been increased by 8.7%, as we have promised. It will be adjusted once again before the end of this year and will grow by another 31.4% starting on December 1. I have already signed the Government's Resolution on increasing the insurance part of the pension by 17.5% starting on April 1 of this year. In August, it will grow by another 7.5%. Consequently, as we have planned, by the end of the year the average social pension will not be below the subsistence level.“

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