The Minister of economic development outlined the main problems of the Russian economy

The Minister of economic development of Russia Maxim Oreshkin in an interview with “Kommersant” said the main problem that hampered economic growth in the country.

In his first public interview on a post of the head of Department, he identified the quantitative and qualitative restrictions in the sphere of human capital, creating the problem of poverty.

“Poverty is a serious limitation. It is not only a social problem but also a serious threat to economic growth, given that a significant proportion of low-income today we is families with children,” said Oreshkin.

According to the Minister, currently the fight against poverty for the Russian economy is much more important than solving the problem of inequality, “which dominates the economic growth of developed countries”.

In the number of constraints that hinder the growth of the Russian economy. also highlighted the problems associated with investment activity, innovation, international cooperation and exports, and the high level of transaction costs in the economy.

Especially the Minister of economic development highlighted the problem of the high share of shadow economy in the country. In his opinion, this part of the General economy creates a lot of distortion in economic growth.

“I think that now the Russian government from the point of view of the level of technological development came to the point where we can make a major step forward to increase the proportion of the white economy and reducing the share of the informal sector,” said Oreshkin. According to him, currently the Russian economy is “gradually moving in the direction of whitewashing” and this process should be stimulated, because it directly leads to acceleration of growth of the economy.

A key risk to the economy Minister called the economic uncertainty. “Now the key risk, on which we spoke, — economic uncertainty. But there is, no doubt, and others. Hard work is needed to reduce different kinds of business costs, the tariffs of natural monopolies and so on,” he said.

Oreshkin added that economic uncertainty is the reason why individual companies postpone investments and do not increase the volume of production.

In the same interview, the Minister of economic development touched upon the relations with the Ministry of Finance. Answering the question of what decisions the Finance Department he will challenge, Oreshkin noted that “arguing” will “on many issues, but we will always try to come to consensus and common understanding.”

“Argument for argument’s sake — a waste of time. It is pointless just to say that someone is doing something wrong. The main thing — to understand the logic of the arguments and the motives of people, why they offer certain solutions and discuss with them the situation on the level of meaning and not the form”, — said the Minister.

In November, according to Rosstat, real disposable incomes of Russians have decreased at an annual rate of 5.6%. The last time this indicator grew in October 2014.