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.”
“We will continue reforming the system of compulsory medical insurance, funding state guarantees for free medical aid, and developing programmes for preventive medical check-ups, and treatment of oncological and cardio-vascular diseases.”
“Starting December 1, 2008, federal medical and education establishments, as well as other federally supported institutions, for instance, in culture, will convert to new payment systems. They are designed to improve the quality of services, and to provide incentives for the best doctors and teachers. As we have mentioned, the overall labour remuneration fund in the federal budget will increase by 30 percent.”
“By the end of 2009, the average social pension should not be below the pensioners' subsistence level. In 2010, the average labour pension will grow by more than 50% compared with this year. This will be achieved through, among other things, a more reasonable attitude to the rights of those who worked and earned pensions in the Soviet period. After working for 30 years, those who begin building their pensions after 2010 may count on receiving no less than 40% of their salaries, from which deductions will be made. This is close to international standards.”
“I consider it necessary to increase from January 1, 2009 the maximum monthly unemployment benefit by 1,500 roubles, in addition to the 8.5% indexation of the benefit envisaged in the budget, which will result in a maximum monthly benefit of 4,900 roubles. We will watch the situation and introduce changes if necessary.”
“In the past, oil revenues were a great help for our budget. Now the industry itself needs additional funds to develop advanced processing and other projects. We will give our fuel-and-industry sector the required support. Thus, export duties will be reduced and their calculation will become more flexible, which will make it possible to react to global price fluctuations in a timely manner. Starting January 1 of the next year, the rate of severance tax will be cut, and tax breaks introduced for the development of new deposits - on the Yamal peninsula, in the Nenets Autonomous Region, in the Caspian Sea, and in the Arctic shelf. Oil companies have been allowed a more liberal use of the mechanism of accelerated depreciation.”
“The world economic crisis should not interfere with the implementation of our defence programmes. We should not forget that defence industries have a long development cycle, and limited sources of funding. Therefore, I suggest increasing refinancing and investment into the capital for the defence industry. I also propose allocating funds in 2008-1009 to prevent defence plants from going bankrupt. The total sum of additional funds earmarked for these purposes is over 50 billion roubles.”
“Russian companies have the right to issue infrastructure bonds, but this right is practically unused. For this reason, we have decided to allow companies to issue infrastructure bonds under the guarantees of the Russian Federation or the VEB to fund the construction of important, major projects.”
“We are very responsible in relations with all our partners. We are taking a direct part in international anti-crisis efforts, and supporting our allies on a bilateral basis. We have decided to transfer up to one billion dollars to the International Monetary Fund (IMF) for helping the countries which are the hardest hit by the financial crisis. We are also going to credit China and India for the purchase of Russian equipment, thereby securing jobs and profits of our companies, domestic producers.”
“We will continue talks on WTO entry. However, I consider it just as important to use the advantages of integration in the post-Soviet space. Our partners support accelerating a customs union between Russia, Belarus, and Kazakhstan, and also a Common Economic Space. I completely agree with this approach. These projects should be carried out it the near future. I am convinced that the development of industrial cooperation and trade with our neighbours may become a tangible factor of economic stability in the entire Eurasian region.”
“We should aggressively use the tools for advancing and upholding our economic interests, in the positive sense of the word. We plan to encourage the domestic exporters of industrial produce, and transform the system of export support into a major institution of development.“
“We can consider buying the assets of high-tech foreign companies to develop mutually advantageous cooperation and transfer part of the production to Russia on valid economic terms.”
“As in previous years, we will protect our domestic market, for example, the agrarian sector, with customs tariffs. Needless to say, we will do this without harming the interests of Russian consumers or violating our international commitments. In addition, we have decided to give price preference to domestic suppliers when they are awarded government or municipal contracts. In my opinion, such protectionism is appropriate as a temporary measure.”
“I suggest a number of other steps. I propose reducing the rate of profits tax by four percent starting January 1, 2009. This should be done at the expense of the federal part of this tax. The amount involved is more than 400 billion roubles and all this money will continue working in the economy next year. Also, 15% is the current fixed tax in the simplified taxation scheme for small business. To further reduce the tax burden on small business, and create more impetuses for its development, I suggest giving regions the right to reduce this rate by 10%, that is, to five percent.”
“Businessmen often complained to me that the tax authorities delay the VAT return. I believe that these authorities should adopt a completely different attitude on this matter, and return the VAT much faster. They could suggest an optimal model for major tax payers. We had such practice before. The current debt on VAT return should be reduced to the minimum before this year expires.”
“I have instructed the Ministry of Finance to suggest measures to support regional budgets. Moreover, considering the special situation with the profits of enterprises in the fourth quarter, I propose they be given the right to pay taxes on the real profits they have received since the start of this year. This decision will allow them not to be taxed on profits which so far exist only on paper. In this way, business will not be crediting the state for free, while the regional budgets will not have to reimburse companies for overpaid taxes at the beginning of the next year. Now I would appreciate your attention! I am asking our deputies in the State Duma to adopt the required amendments to the Tax Code allowing this norm to become valid in a week, starting November 28. This is important because taxes are due on this date.”
“It is necessary to regenerate our social institutions. Today's investment in education, health care, and other social endeavors will give us a competitive edge tomorrow. It will allow us to occupy a stronger position in the post-crisis world where man's role is bound to grow.”
“To become competitive, we need to boost labour productivity in key industries three- or fourfold; and increase the share of innovative production in total output - from the current 6% to 25%, or even 30-35%. We should also reduce the economy's power consumption by at least 40%. Under the present circumstances it is especially relevant to achieve these goals.”
“We will seek sustainable population growth, increase life expectancy to 72-75 years, provide all citizens with access to quality healthcare and education, and guarantee reasonable pensions. Finally, the majority of households should have the real possibility of solving housing issues themselves.”
“We should focus on making our economy more effective, and improve its infrastructure. We should learn to develop alternatives for conditions when prices of raw materials are not growing rapidly. We should get rid of unjustified costs. In this context, we should work out a serious energy-saving programme. The current drop in prices on energy resources does not make this task redundant.”
