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Д.Медведев.Совещание.02.12.09.Part 3

Beginning of Meeting on Economic Issues.Part 3
December 2, 2009
Gorki, Moscow Region

Совещание по экономическим вопросам.
2 декабря 2009 года
Московская область, Горки

DMITRY MEDVEDEV: Your opening remarks have turned out rather positive for everyone present I would say. Mr Kudrin, you have the floor.

DEPUTY PRIME MINISTER AND FINANCE MINISTER ALEXEI KUDRIN: Thank you, Mr President, for signing the law on the 2010 budget and the financial plan for 2011-2012.

I want to speak first of all about the end of year results. We have achieved revenue higher than what was forecast in February-March, when we made changes to the budget and adopted the anti-crisis programme. Our revenue came to 450 billion [rubles] more than the forecast target, 280 billion of which came from earnings on investment of money from the Reserve Fund and the National Welfare Fund from the previous year. The rest is the result of higher oil prices. Oil prices were the main factor enabling us to achieve higher revenue. We had planned for lower earnings from oil. This makes it possible to close the year on a stable note, carry out all planned spending commitments and begin carrying out next years spending commitments as planned and in stable fashion. This will require some more bylaws, some more government regulations to be precise, documents of a normative nature.

DMITRY MEDVEDEV: Bylaws, yes, dont be shy about calling them that.

ALEXEI KUDRIN: Yes. We have 107 government resolutions that need to be issued by the end of January. Most of them almost 97 of them need to be issued in December. This is a big task for all of the ministries and agencies. The Finance Ministry is coordinating this work. We need to get these documents issued earlier than usual so that all ministries get their limits opened in January. I can say that the main limits, 90-92 percent, will be open now in December. In other words, all of the ministries will be able to start work as from January 1 with a large share of their limits already available so as to begin financing. In other words, there will be no obstacles for holding tenders and bids.

DMITRY MEDVEDEV: Excuse me please.

Mr Sobyanin, is it possible (I worked in the Government after all, and know how everything there is organized) to issue these regulations in a short period of time left in December?

DEPUTY PRIME MINISTER AND GOVERNMENT CHIEF OF STAFF SERGEI SOBYANIN: Yes, we will do everything possible to make sure that these regulations are issued swiftly as soon we receive them from the Finance Ministry and other relevant agencies and are not held up in the Government.

If the ministries have this work done on time, we will also manage, I am sure.

DMITRY MEDVEDEV: Good.

ALEXEI KUDRIN: We therefore hope that there will be no delays in the issue of regulations that could end up holding up meeting our spending commitments, and that in January we will have everything needed for financing ministries and agencies spending limits for the entire year. Rather than receiving funds on a monthly or quarterly basis, they will get full access to the years financing and will have it at their full disposal from January 1.

DMITRY MEDVEDEV: Good, thank you.

I could give the floor to Ms Nabiullina too, but I see that you have a presentation ready. Should we hear you behind closed doors, or will you say a few words now with the media present?

ECONOMIC DEVELOPMENT MINISTER ELVIRA NABIULLINA: Can I say a few opening words on the economic situation?

DMITRY MEDVEDEV: Yes, go ahead.

ELVIRA NABIULLINA: Our analysis shows that we have had monthly GDP growth over five straight months now. Industrial production still falls considerably short of last years figures, but it is still possible to say that the acute recession period is behind us now.

There are of course monthly fluctuations, and it is important to look not only at the figures but also at the factors driving growth. What is important in this respect is to what extent our growth is based on factors that signal modernization. So far, our growth is mainly export-driven, fuelled by export prices and demand for our goods.

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