Prime Minister Vladimir Putin made a visit yesterday to Ingushetia, one of the most troubled Russian regions. The government will make targeted investments in the social and economic development of the republic beginning in 2010: the prime minister said that the budget will disburse 43 billion roubles before 2016.


Prime Minister Vladimir Putin made a visit yesterday to Ingushetia, one of the most troubled Russian regions. The government will make targeted investments in the social and economic development of the republic beginning in 2010: the prime minister said that the budget will disburse 43 billion roubles before 2016.

Dmitry Medvedev was in the North Caucasus a couple of days earlier conducting meetings in Kabardino-Balkaria and Karachayevo-Circassia. Vladimir Putin visited Ingushetia. The problems are similar in all these places. First, the high rate of unemployment: Ingushetia is the leader in Russia on that score. Second, the North Caucasus Federal District does not have a single self-sufficient region, all the regions are subsidised. This will continue to be the case for a long time because in order for the local economies to start growing, huge investments are needed and only the government can provide them initially.

Under the Federal Targeted Programme Southern Russia and the Programme of the Social and Economic Development of Ingushetia, continuing until 2016 "more than 43 billion roubles in funding will be released," Putin said.

"In 2010, it will be a small figure, intended just to create the basis for work in all the areas, the amount will be over 2 billion roubles. In 2011, the sum will be 7 billion and beginning from 2012 it will come in equal parts every year, 12.7 billion roubles," Vladimir Putin said. 

The government has always been engaged in the North Caucasus, but previously the federal authorities had other priorities in the region. By creating the North Caucasus Federal District and putting a deputy prime minister at its head, the country's leadership indicates that the priorities have changed. The economy must now be the top of the agenda. By July, the head of the North Caucasus Federal District, Alexander Khloponin, is to submit to the government a comprehensive programme for the development of the entire district.

"It is necessary to develop the mechanisms that will be effective in local conditions, will attract resources here from diverse sources, not only from the federal budget, but also from commercial banks and the private sector," the prime minister said yesterday.

Yelena Shishkunova