VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
“Support from Russian citizens has always helped us, and I’m confident that the government’s future line-up will rely on the people. We must never forget about the needs of ordinary people. We must always remember how government-level decisions influence the lives of all ordinary Russian citizens.”
"In 2010 the challenge will be even tougher; we set the inflation target at 7.5% or lower. We must pursue a balanced monetary policy and above all reduce the budget deficit. This is a difficult task, but we must try hard to bring the budget deficit down to 3% by 2012."
"We must meet all the housing construction targets and continue to move people out of old housing that is no longer safe. I would like to repeat that it is our challenge and our obligation to the people who still live in slums to clear these slums and enable people to live in normal, modern conditions. All World War II veterans and Defence Ministry servicemen should be provided with housing. While making use of market mechanisms, we should lower the interest on mortgage loans. You will remember that we are committed to providing 250 billion roubles for these purposes through Vnershekonombank. The mortgage rate should be cut to 10-11% at the first stage. In the longer term - and I have just been discussing this with my colleagues - we should seek to bring it down to 7% and less. This will address people's housing problems and stimulate construction and related industries."
"Our efforts to boost internal demand, especially in such industries as automobile manufacturing and construction, will be critical. Thus, the pilot project aimed at disposing of used cars should be launched early in the year. The total cost of the programme is close to 10 billion roubles. Those who turn in their old car for scrap will get a 50,000-rouble subsidy."
"It is important to expand the base for economic growth, above all by supporting free enterprise and creating conditions for new companies to enter the market. The notification-based procedure of starting up businesses will be spread to all types of activities, with few exceptions. And these exceptions must be specified and listed."
"There are still risks. First, the growth has not yet become sustainable. Second, it is largely based on replicating the old, raw-materials-based model of development. This means that we should change our priorities and concentrate on the goals mapped out in our plan for long-term development, namely building new industrial capabilities and establishing an innovation-based economy."
"In Russia, salaries fell somewhat in the commercial sector. At the same time, the salaries of state-employed workers grew by a little over 5%, to be exact, by 3.8-5%, thanks to boosting the funds allocated for salary payments by 30% in December 2008. The effect was felt in 2009. Pensioners' revenues also surged, compared with what they received before. Salaries dropped by 10-12% in the commercial sector, but there was a slight increase in other economic sectors. Taken altogether, these factors resulted in real disposable incomes being down -0.4%, which is virtually the level of 2008".
"There is a problem with short-term investment. Russia currently offers favourable conditions for speculative capital, which eagerly flows in and works well, but soon flows out again, causing us problems in these straightened times. What we need to do is change the rules so as to make Russia a less attractive destination for short-term speculative investment, which flows in for a very short time and flees at the slightest sign of danger. On the other hand, we need to create a more favourable environment for long-term direct investment in Russia".
"According to recent reports, in the first quarter of this year, Russia had around $35 billion of accumulated foreign investment, probably less than last year by a small margin, but this is only natural given the market contraction due to the recession. Shrinking investment is normal in this situation, it is nothing special, and I repeat, 35 billion for three quarters is not bad".
"Strategically, we should establish oil refineries in Russia, to process oil here and sell refined oil products. But today this strategy, and this objective reality, as I have said, sometimes clashes with the economic logic. Therefore, this issue should be analysed carefully; we need to determine what and where to build, and to whom we should sell. After this scrupulous in-depth analysis, we will be in a position to make a decision about the construction of oil refineries, including for the oil pipeline we commissioned yesterday".
