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.”
“The first, a perennial issue in our relations with our neighbours, has to do with energy supplies. <…> Belarus will receive a so-called integration discount for a few years and by 2014 will gradually start paying as much as our European customers minus export duties and the transportation cost. Today, Belarus is paying 244 dollars per 1,000 cubic metres of gas. We have reached an agreement with the Belarusian government, whereby we will restructure these payments next year, given the difficulties facing the Belarusian economy. Next year, with an average projected price of about 400 dollars for European consumers, Belarus will be paying us 164 dollars per 1,000 cubic metres.”
“On December 4, a new lower house will be elected. The parliament will be renewed to represent the interests of the entire Russian society. There are different parliamentary parties in this house. This room will always bring together people who share various political views. This, in fact, is the cornerstone of a parliamentary democracy. This is the way it should be.”
“We need to expand the carriers’ capabilities regarding acquisition of new equipment and introduce more effective leasing arrangements. It’s no less important to renovate the transportation infrastructure – we have just mentioned it – and outfit it with reliable inspection and control equipment. The transport industry should adhere to the latest safety standards. These standards should serve as a foundation for regular professional training, retraining and evaluation of the industry’s employees.”
“More and more products featuring violence, murder and foul play make their way to our cinema, television and radio broadcasts. More than that, children and young adults have unfettered access to them. If the state starts to unilaterally dictate its terms and ban certain shows or broadcasts this will certainly be perceived as an infringement upon creative rights and freedoms, and the return of censorship. Of course, we are not going to do this. I am convinced that the cultural sphere, including the film industry, should be governed by laws of corporate ethics, and you are the ones to decide what kind of rules they are going to be.”
“You play an important role in the work to establish a competitive business climate in the country. As such, you should develop a constructive dialogue with taxpayers and should handle the issues that arise in a considerate and thorough manner; you should help businesses and citizens have a good understanding off the intricacies and novelties concerning taxes, and not persecute them for minor errors. <…>This work should be based on respect for the rights of the conscientious taxpayer and the protection of their interests.”
“We have a package of tax preferences in the economy, including simplified taxation of small business. Today, the tax burden on it is about 10% on average. The decisions that will relieve all healthcare and educational institutions of tax on profit entered in force the other day. This opens up broad opportunities for the flow of investment into these spheres and for launching projects based on public-private partnership.”
“We have settled such a sensitive issue as tax control on transfer pricing. The relevant amendments to the Tax Code will become valid on January 1, 2012. They will help reduce to a minimum the opportunities for unjustified reductions of the tax base and tax evasion. Moreover, tax revenues to the budget will be distributed more evenly – taxes will remain where companies pursue their main economic activities.”
“I consider the practice of tax rebates to be a big achievement as well and we must continue it. I’m referring to the right of all citizens to recover part of their income taxes if they had to pay for housing, medical treatment or education. These sums are not small – every year about 2.5-3 million people request tax rebates and the total payments reach about 50 billion roubles.”
“First, tax inspections need to be as convenient and comfortable as possible for people and economic players. Second, we should strengthen the stimulating role of the tax system, primarily for the purpose of structural modernisation of the economy and the social sphere, and for supporting innovation. The fiscal burden should be distributed more fairly across various sectors of the economy. And third, we must ensure stable tax deductions at all levels of the budget system, from the federal down to the municipal level. <…>Finally, the fourth aim is to guarantee the predictability and stability of the tax system as a major condition for implementing long-term plans of national strategic development”.
“The government’s policy is to consistently increase our treasury’s revenues, not only by increasing the overall tax burden on people and economic players, but also by improving the quality of tax administration, encouraging economic development and ensuring the necessary rate of economic growth, thereby expanding the tax base.”
“We are stepping up cooperation in the energy industry, including major joint initiatives in the oil-and-gas sector, civilian nuclear projects, energy effectiveness and energy-saving. Our French partners are making a practical contribution to the development of new routes for hydrocarbon deliveries to Europe. These routes are vital for the energy security not only of France, but also of the rest of Europe.”
“We are carrying out joint work on a large scale – both in traditional fields of cooperation and in completely new areas. We have just signed the bilateral action programme on partnership in modernisation. Its implementation will help us to enhance cooperation in high-tech spheres and start active work on science-intensive innovation projects.”
“In the Foreign Investment Advisory Council (FIAC) we regularly meet with foreign business executives and together, we decide how we can improve the business climate in Russia. As a result, we have simplified the issue of work visas for highly qualified foreign specialists. More than 11,000 work permits have been issued under the new regulations. We must continue removing the barriers that get in the way of business.”
“We have had many discussions during the process of Russia’s accession into the WTO, about how to organise this work in the future so as not to let down our investors and to fulfill all of our promises to them, on the one hand, while meeting WTO requirements in car assembly, on the other. We have reached a number of compromises, and Russia will shoulder part of the burden in order to honour its commitments to the investors. We are doing this in order to increase the technological level of the automobile industry and to saturate our market with modern competitive goods.”
“Importantly, the mutual flow of capital between our countries keeps growing. In the first half of 2011, the Russian economy received some $5.6 billion in investments from Germany. The amount of German investment that has accrued in the Russian economy has reached $29 billion. These days, German businesses are involved in many of Russia’s economic sectors, including strategic ones, and they operate in almost all of the country’s regions. There are more than 4,000 (4,600, to be precise) enterprises with German involvement currently operating in 80 Russian regions.”
“Of course, the Russia-Germany economic partnership is not limited to energy. We cooperate intensively in mechanical engineering, transport, the automotive industry and in shipbuilding. In this regard, particularly noteworthy are the sizable investments made in the Russian economy by German heavyweights such as Siemens (1 billion euros) and Volkswagen (which, on November 4, launched a new assembly line in Russia’s Nizhny Novgorod, and the company’s plant in Kaluga turned out its 300,000th automobile in October).”
“We are open to broader cooperation and to the consolidation of business ties with our partners. And we believe that the mutual benefits of our cooperation are apparent to everyone. Large-scale joint projects in industry, infrastructure and power engineering provide a good opportunity to make long-term investments, insuring finances against unfavourable fluctuations on the world markets and enabling us to gain a foothold on new emerging markets. To stimulate and solidify economic growth, we need to make the most of our “mutual trust” capital. We’ve accumulated a lot of this with our European partners, notably with members of the German business community. And rather than wasting it, we’ve been steadily building it up in recent years.”
“All global economic processes are interconnected. Risks that are present in some markets inevitably have an impact on the overall situation. This is why well-coordinated collective efforts of all countries are needed to steer out of the crisis, and the roles of the Russian and German business communities are very important here. <…>This country is ready to join (and has already joined) the efforts to overcome the effects of the crisis, including in the Eurozone. We are prepared to render practical aid, primarily through the IMF mechanisms.”
“We'll be able to breathe new life into the Russian countryside, making our rural communities powerful and prosperous, only if we ensure high social standards. All discussion about the accessibility of public services in rural communities, including health, education, libraries, and arts and sports facilities, must begin with roads. The lack of rural roads has been one of Russia's main problems for centuries, and it's still the case.”
“We're committed to supporting all forms of entrepreneurship in the countryside, primarily small and medium-sized businesses. A programme for start-up farmers will get underway as early as next year. It will provide state grants for new farms, as well as long-term loans.”
“As of today, members of the intelligentsia constitute about one half of the deputies in local legislatures. <…>We see you as like minds and allies with whom we can solve shared problems, building strong and prosperous rural communities, with access to quality healthcare services and education, so that people could have confidence in their future and a sense of belonging. We should work together to make the Russian countryside full of opportunities for people seeking self-realisation.”
“One of our priorities is the creation in rural areas of efficient companies and of interesting and prestigious jobs. The idea is to provide local inhabitants with a source of decent and steady income while at the same time forming a solid economic and financial basis for sustainable development. Economic success underlies welfare, in the town as in the country.”
“First, we should make the most profitable use of the existing stockpiles because old weapons and ammunition contain rare metals and other valuable raw materials that must be competently used. <…>Secondly, and this is particularly important, it is necessary to ensure safe storage and utilisation of old weapons in order to avoid environmental risks, any emergencies, let alone human casualties.”
“First of all, we need to ensure that there are no disruptions in the implementation of long-term running contracts, because any delay in supplies is unacceptable. Secondly, defence-industry companies need to have a clear idea of the requirements that their products must meet, and of how the funding of contracts is going to be arranged. Thirdly, we should ensure efficient spending, trying to avoid extravagant expenditures and overblown estimates. All expenditures should be meticulously justified.”
“Some 750 billion roubles has been allocated this year for the purchase and upgrading of arms and military hardware, as well as for defence-related R&D. This is one and a half times as much as last year. In 2012, we are planning to increase this amount to 880 billion roubles. Never before has the rearmament of Russia’s Army and Navy been financed so liberally.”
“Openness, democracy and transparency are not only mechanisms for more efficient government but also strengthen the tradition of civic responsibility and create new opportunities for developing social initiatives. They are the most important tools for feedback and tapping into energetic, caring people who want to contribute to the nation's development. This is the logic underpinning our work, friends and colleagues.”
“The government formulates the vast majority of bills and initiatives. In order to improve the quality of the legislative process and make it more open, we strive to bring citizens, community organisations and the business community into the discussion, development, and review of key government initiatives. This is our principled stance. We are convinced that government resolutions that in one way or another concern the rights of people are in need of transparent public examination. Only then will they be met with understanding and support and will work effectively.”
“I would like to point out that new management approaches are also essential for the government in the development of key resolutions in the formation of long-term programmes and legislative initiatives. I must say that in practice, we in the government of the Russian Federation are beginning to implement such models more and more. I am talking about working with the personnel reserve and the creation of open peer groups.”
“Of course we think how expand the contacts between the people and the municipal, regional and federal authorities, how to increase their influence on the authorities and how to ensure feedback. Our system is certainly far from perfect. We know it, and we know criticisms of, say, the leadership system President Medvedev and I offered to this country in what is known as our tandem. However, please note that I don’t know a single government system that is perfect.”
“The abundant quantity of bills and motions does not always reflect a high degree of efficiency, especially if it does not go beyond eloquent rhetoric and unsubstantiated intentions, however noble. Every decision that is to become a law or a by-law should be worked through in-depth and thoroughly calculated, and all the possible implications of such decisions, including for regional and municipal public finances, should be taken into account.”
“We should help to polish regional legislative initiatives, to unify proposals that may come from different provinces but that all have to do with some systemic problems of the nation as a whole. <…>Government experts, [Duma] deputies and members of the Federation Council should work more proactively with, and provide assistance to, regional legislators.”
“First of all, penalties for electricity underuse are now to be scrapped. This issue is a particularly sensitive one to small and medium-sized businesses, as well as to agrarian enterprises. It is from them that we most often hear legitimate complaints about the take-or-pay principle. It wouldn’t be an overstatement to say that this principle has been holding back entrepreneurial activity in electrical engineering and other industries while also bringing undeservedly high proceeds to distribution companies. This issue has now been resolved, and consumers will not have to pay for electricity that they don’t use. Small and medium-sized businesses will be given an opportunity to build their work, including in electricity consumption, on a long-term basis and without having to bear the burden of additional costs.”
“The improvement of working conditions is a policy we are pursuing for our people’s sake. It’s aimed at raising the safety level, minimising industrial risks, and creating quality jobs, so feedback from trade unions and the business community is of special importance. The government’s job will be to introduce such a system of assessing and managing professional risks that measures up to the highest international standards, those of the International Labour Organisation and of major European nations. And, of course, it’s essential to ensure the efficient, targeted use of funds allocated for labour protection.”
“Our main stake, of course, is on Russian enterprises. Our shipbuilding industry should be prepared for the serial production of advanced models of equipment and armaments that conform with all modern requirements and objectives of the Russian Navy. We need the best available equipment at prices that are cost-effective.”
“I am confident that the implementation of this armaments programme, which is unprecedented in terms of its objectives and its allocated resources, will help us carry out a full-scale retrofitting of the Army and the Navy, fundamentally renovate the Naval infrastructure, create strategic Naval nuclear forces comprising fourth-generation submarines, purchase modern surface ships and conduct upgrades and repairs of the existing equipment.”
“Obsolete equipment must be replaced by efficient high-tech vehicles. I am referring to new rail locomotive models, commercial vehicles, buses, trolleybuses, trams and shuttle minibuses, which should meet the modern requirements of safety, comfort and environmental protection.”
“What we actually need is an efficient and transparent market of railway operations that would be immune to such artificially created problems as a shortage of rail cars. <…>We need a system that can ensure the coordinated work of the carrier companies and the availability of trains for customers. The transportation fares must be adequate – on the one hand, they should provide operators with enough resources for investment and development, and on the other hand, they should not constrain economic activity in other industries, and across the country.”
“I can tell you that we plan to attract 1.5 trillion roubles of private investment into the building of new roads by 2020. We should use leasing more actively, issue bonds to finance projects and use other investment tools. We will sign concession agreements and life-cycle contracts in road-building, when the contractor is economically interested not only in building a road, but also in doing so at reasonable prices and with a high quality of work so that the road will last for decades.”
“We will continue developing the infrastructure of the Russian railways. In the past four years over 50 complicated tunnels and bridges have been built or renovated. Access routes to key sea ports have been expanded, high speed passenger trains have been launched. Dozens of railway stations have undergone a complete renewal. <…>And I think we should develop a state programme on high-speed rail operations. Given the size of our country, this would be a highly popular project, and very important for the development of our economy.”
“I am confident that the role and importance of Russia's transport industry will continue to grow. First of all, we need higher living standards and better quality of life, a more comfortable environment in big cities and small towns. That is impossible to achieve without modern transport services, which include – and I would like to emphasise this – affordable public transport. Second, our task is to provide the required infrastructure for rapid economic growth, development of new industrial centres and for extending economic operations to remote areas.”
“We expect that federal and regional road construction funds will accumulate more than eight trillion roubles by 2020. With these resources we can tackle the most challenging tasks. Within the next five to ten years we must upgrade every federal highway in the country. This goal is realistic enough, and I have no doubt that we can achieve it. Regional, urban and rural roads require particular attention. We must support the municipalities and regions.”
“Educational links are traditionally an important and effective element of the SCO’s activities. In this regard, a major step is establishing SCO University, a project involving some 60 top universities in SCO member states. The university charter will be signed during the Week of Education of SCO Member States «Education without Borders» currently underway in Moscow.”
“I consider establishing the SCO Energy Club a timely step. With assistance from the club, business communication and information exchange can be developed. It is necessary to establish the club’s regulatory framework and its secretariat.”
“We have agreed to speed up work to establish a special account of the Shanghai Cooperation Organisation that could become an effective instrument for financing these projects. At the same time, we will address the issue of the Development Bank, an idea proposed by our Chinese partners. <…>We will continue to promote direct contact between our companies, business associations and public entities. In return, we expect active and effective efforts from the SCO Business and Youth councils, which have initiated the Moscow Business Dialogue forum where attendees discuss prospects for interaction in breakthrough areas, such as information technology, Internet communications, e-business and e-commerce.”
“I believe that we need to form a strong infrastructural outline of the Shanghai Organisation. Primarily, we need this in order to further expand our respective national economies, and to create new points of growth and additional opportunities for the people of our nations. Secondly, this will help realise the huge transit potential of the region and secure its role as a link between Europe and the Asian-Pacific Region.”
“The prompt restoration of peace and stability in Afghanistan is our common goal. Russia is prepared to participate in projects that seek to restore the Afghan economy, and we will continue to provide necessary assistance to our Afghan friends. All SCO member countries require proper conditions and guarantees for safe and steady development. We must provide secure protection against all threats and risks to our citizens.”
“During the decade of its operation, the Shanghai Cooperation Organisation has become an influential international forum, and has built up a significant capacity to develop the economy, and strengthen stability and security in the region. I share the perspective that our colleagues expressed earlier, that with our combined efforts we will be able to bring the work of Shanghai Cooperation Organisation to a whole new level and achieve the ambitious goal of transforming our organisation into a foundational structure of the global economic and political architecture, an effective platform for cooperation between regional associations and an avenue for expanding dialogue with neighbouring countries.”
“As Russian Railways’ sole shareholder, the government will certainly take an active part in the implementation of the company’s social programmes and backbone projects. Let me recall that the federal budget allocates 40.4 billion roubles in 2012 for these purposes. Moreover, in September, we decided to provide additional support to the company: notably, it will receive an additional 40 billion roubles in order to implement its investment programme in 2012 and for capital repairs of railway infrastructure. The returns here will take the form of a better quality of transport services, lower costs for economic agents and, of course, for people, for passengers.”
“Importantly, as many as 185,000 veterans have had their housing conditions improved in the last four years. We will continue working to complete this task, to provide housing to all those who need it, together with regional authorities. We will definitely continue resolving housing problems of those who serve in the Armed Forces and law enforcement agencies now and, of course, we will help those who retired without getting the housing they were entitled to and were put on municipal waiting lists where they felt like outcasts.”
