MOSCOW, February 18. Russian economy is gradually adapted, although at some cost, to new external economic conditions, the situation with oil prices stimulates structural changes in the economy. This was stated by Prime Minister Dmitry Medvedev at a government meeting.
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“The economy is gradually, although at some cost, to adapt to external economic conditions. We now need targeted support to industries and sectors with high growth potential – automotive industry, light industry, transport machinery, agricultural machinery, housing construction and agriculture,” said Medvedev.
As noted by the head of the Cabinet, it is these sectors faster than others adapted to the changed situation. Adopted last year measures of support, in his words, give good returns in these sectors.
He said that already adopted a number of decisions on support of branches of economy. In particular, to help the auto industry this year received nearly 140 billion rubles for agricultural machinery up to 10.5 billion roubles.
The government has allocated about 15 billion rubles in subsidies to agriculture and 3.5 billion young families to housing.
“We continue to distribute subsidies to almost 3.5 billion roubles will be allocated to regions for payments to young families for construction and purchase of housing”, – said the Prime Minister.
According to him, it is also necessary to distribute five grants to support agriculture. “More than 7 billion 200 million rubles allocated for compensation of interest rates on short-term loans for development of crop production and processing of plant products; 2.5 billion roubles will be spent for compensation of interest rates on loans for livestock development, processing and marketing of livestock products”, – said Medvedev.
He called and other subsidies: “About 2 billion we allocated for compensation of interest rates on loans for processing of crop and livestock development wholesale distribution centers; almost 1 billion 400 million allocated for compensation of interest rates on short-term credits for the development of dairy farming; the village will receive 2 billion 400 million for compensation of interest rates on long-term, medium-term and short-term loans, which rack up small farms”.
Effective regulatory measures
The implementation of the action plan in the economy and spending should be well controlled, also indicated the Prime Minister.
Medvedev gave one week for finalization of the plan of action for sustainable socio-economic development in 2016. The maximum number of laws to implement the plan of support of economy should be adopted during the spring session, said the Prime Minister.
“The plan calls for more legislative work, the bills need to cook quickly to their maximum number to take right now – during the spring session,” the head of the Cabinet of Ministers at the government meeting.
Support priority sectors of the economy is estimated at 100 billion rubles.
Among the goals of this document is to support small and medium businesses and innovative companies.
“In particular, another 5 years – until 2020 – we will extend the system of taxation in the form of unified tax on imputed income. Will also encourage more active participation of small enterprises in public procurement and procurement by state – owned companies increased their share to 15 percent in direct contracts,” – said Medvedev.
Medvedev also noted that the government plan envisages a complex of measures to reduce costs – primarily in the case of infrastructure monopolies, “which, in virtue of his position often try to impose costs on consumers.” “During the year will be prepared a number of solutions that allow to reduce this burden,” he said, adding that this applies to concessions for travel on commuter trains, etc.
“We will continue to subsidize the transportation on regional routes where aviation is the only year-round mode of transport and also the transport associated with the development of internal tourism”, – said Medvedev.
He added that authorities will work to improve the investment climate and reducing the administrative burden on business. “There are plans to reform the system of state control. For these parameters it is necessary to hold additional consultations,” he concluded.
The current situation on the world market shows how necessary to the modern structure of the economy, it is these goals and should meet before the meeting of the government, plan to support the economy, said Medvedev.
“I want to emphasize that our actions within the plan should be built in a single logic, and the logic of this is quite simple – of course, we need measures of prompt response, quick action. But not only that. The current situation on the world oil market shows that the modern economic framework needed for sustainable economic growth based not only on the export of raw materials,” Medvedev said.
The head of government noted that the economy should be reoriented primarily on the production and export of products “high quality and competitive”.
Medvedev said that the government’s action plan was discussed with the business community, deputies of the State Duma and Federation Council members.
“I think this kind of careful consideration is necessary in General, especially today, when such changeable conditions in the economy, the budget system and the real sector are experiencing overload due to low oil prices, because of sanctions, so the proposals in the plan were many, but the final version does not incorporate all”, – said Medvedev.
Measures of social support
The authorities must do their utmost to mitigate the impact of the crisis on people, particularly in employment and the prices of products.
“We must do everything possible to mitigate the negative effects of the crisis for the people, for the citizens of our country, to keep the employment situation, slow down, if possible, of course, the growth of prices”, – said the head of the Cabinet. According to him, also need to help those who “were most vulnerable – pensioners, the disabled, families on low incomes”.
All social obligations will be performed, the second during the year the indexation of pensions will be made in the first quarter, also said Medvedev.
“Of course, despite the extremely tight budget, we fully will have to fulfill social obligations, that’s for sure,” said the Prime Minister.
He recalled that this year was held the indexation of pensions (4 per cent approx.). “The decision on additional indexing will take them as agreed, taking into account the work in the first quarter of the current year”, – concluded Medvedev.
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Social support should become more targeted, the money should go primarily to those who need it most, also the head of the government.
Among measures of social support, the Prime Minister called the direction of the funds to provide the needy with medicines, provision of medical devices to the disabled.
“Program launched to build new schools, we will continue to co-Finance a summer vacation and improvement of children who are in difficult life situation,” Medvedev continued.
Support at the regional level
The government’s plan includes support employment in the regions and single-industry towns.
“We will help regions to maintain a relatively low unemployment rate; it initially allocated about 3 billion rubles, and the target support single-industry towns, where the employment situation is the most complex – more than 7 billion rubles”, – said the Prime Minister, stressing that if necessary the support can be increased.
In addition, he recalled that this year the Federal budget has earmarked 310 billion roubles on granting budget loans to the regions.
“Will resume the continuous monitoring of economic and financial situation of the backbone enterprises to timely detect risks and react to them promptly”, – said Medvedev.