Uploaded by niknikolay on Nov 12, 2008
7 Annual Big Press Conference Part 12
February 14,2008
President of Russia V.Putin
The Kremlin,Moscow
In Ukraine, they dont want us Russians to get our hands on the gas transport system, but we have already long since given up this idea. We just want the system to function normally. What we proposed was to establish an international consortium with the participation of European partners, and this consortium would raise resources (we are talking about billions of dollars) not just for the transport systems technical maintenance but also for its development. The system itself, meanwhile, would remain the property of Ukraine. What is wrong with this proposal? The same goes for gas prices. We want to sell our gas at market prices but we are going about this in a calm and unhurried manner. We have decided to introduce market prices for energy resources on our domestic market too. Energy will still be cheaper on the Russian domestic market even so because we can subtract the export duties, transport costs and so on. But the principle is one and the same. I am very pleased to see that the Ukrainian leadership and above all President Yushchenko understand this. It was precisely with President Yushchenko that we succeeded in reaching an agreement a few years ago, and in Moscow he once again reaffirmed his position. I think that if the same constructive approach can be applied to resolving other problems then relations between Ukraine and the Russian Federation will most certainly be set to grow.
INTERFAX: You said we need to develop both large business and small business. It is almost impossible now to develop small and middle business. Do you think that a council should be set up, a government council rather than a presidential council, to resolve the problems facing business, both big and small? Otherwise we could end up in 2020 having a country that is not as attractive as you said in your speech on February 8.
VLADIMIR PUTIN: This is not so much a question as a demand from the voters, and you should therefore take it to Dmitry Anatolyevich [Medvedev] and I hope he will hear you. You are absolutely right. It is precisely for this reason that there are several tasks we must tackle.
We need to fundamentally improve the quality of management and increase labour productivity at every level.
There are several other issues we need to address in order to achieve our development objectives. First, we need to establish an education system that would make it possible for people to retrain rapidly and professionally. Second, we need to remove red tape in all areas affecting the development of small and medium business including that of access to power, utilities, office space. We need to resolve the problem of corruption in this area. There is still a great deal to do. I have already issued additional instructions to the Economic Development and Trade Ministry and they are now in contact with various small and medium business organisations and are working together to set out proposals for systemic changes in this area.
And finally it also depends on the population mobility. This is related to housing problems. It is important that a person could move from Moscow following a new interesting job offer, buy there an apartment, or rent it. We have to develop construction industry and we simply can not concentrate on one issue here; we will tackle the whole thing.
REN TV: There has been a lot of talk lately about a possible redenomination of the rouble
VLADIMIR PUTIN: Dont believe the rumours! There is no economic need for such a decision. Neither the Government nor the President nor the Central Bank has any such plans. The Russian economys foundation is such today that there are no reasons for such a step and it would only be harmful. We have almost 500 billion dollars in foreign currency reserves and a little over three trillion roubles in the Stabilisation Fund. Our budget and trade balance both show a surplus and there is an enormous flow of private capital into the country. These are not the issues on our minds at the moment. What we need to be working on is innovative economic development, education and healthcare. Schoolteachers wages are only 80 percent of the average national wage, and they should be higher than the average wage. These are the issues on our minds now, not redenomination of the rouble.
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