19 March 2009, Thursday, 11:33

President RB Murtaza Rakhimov: we are facing the period of long way back to former trajectory of stable economic growth

author: news-agency "Bashinform"

President of Bashkortostan Murtaza Rakhimov has taken the floor with the opening speech at today’s expanded meeting of Government RB, dedicated to work balance of industry, agriculture, building, transport, communications and social sphere in 2008 and tasks in 2009. The text of his speech is given briefly below:

“Dear participants of the meeting!

The social-economic situation in our Republic in 2008 was characterized by preservation and strengthening of positive tendencies in spite of the negative influence of the global crisis. Our Republic preserves stable positions among Russian regions by the level of social-economic development. Unfortunately the financial crisis in many respects determines the present situation in Russian economics. The crisis highlighted many system problems. First problem is rather week competitive environment, second problem is worn out production assets, low technological level and low labor productivity and in the result we face excessive employment. This situation will definitely cause many problems and now we need resolute and well-coordinated responses. A part of these steps has already been undertaken and other steps should be undertaken very quickly. In a whole we are facing the period of rather long, perhaps several year-long, way back to former trajectory of stable economic growth.

Republican Government, heads of ministries, departments, enterprises and municipalities are facing three interrelated challenges: the first challenge is to provide stability of our economics, the second step is to provide fulfillment of all social obligations and the third challenge is to form a new model of social-economic development.

New model of social-economic development, able to let Russia remain in the list of the most stably developing countries in the “after-crisis” period has to be formed today. It presumes active development of the branches, providing correspondence to a new structural shift in global economics, creation of new most important sources of further economic growth and all-sided support of our business. High-tech production base is one of such sources and its foundation should be laid today within the frames of technological modernization of traditional productions. This step will allow us really reducing the expenses, raising production efficiency in order to preserve market positions and stable progress in future.

Conversion of Bashkortostan’s economics to resource-saving path, preservation and development of competitive advantages of separate branches, enterprises and our Republic in a whole is one of the key challenges in these conditions.

In the crisis period housing building is becoming the key sector of economics, able to stimulate development of adjacent branches and to be the locomotive for the general progress, so the strategic tasks in this sphere are preservation of pre-crisis building rates, the rise of dwelling accessibility through increase of building volumes and lowering of its cost, the increase of low building volumes.

The strategic tasks for Republican agricultural complex are preservation of stable agricultural production growth rates, population supply with high-quality foodstuffs and creation of the conditions, providing employment and the rise of living standards for citizens in the countryside.

The key task for budget policy in 2009 should become the strengthening of measures for preservation of well-balanced budget system RB.

Efficient social policy is the absolute priority in Republican social-economic development. We’ll do everything possible to preserve the current level of population social support. All social obligations of the state have to be fulfilled as well as the basic guarantees for families with scanty means and elderly people. We mustn’t struggle with the crisis at the expense of population living standards decrease. Our work in this direction today and the investments into human capital should become the potential for future progress.

In a whole we need systematic well-coordinated activity of all power branches and competent position of heads of ministries, departments, enterprises and organizations. The role of competent and responsible management is becoming of paramount importance. At the recent gathering of the Law-Makers Union President RF Dmitry Medvedev underscored that “The crisis disclosed irresponsibility of weak and incompetent managers and we have to get rid of such managers”.

We have to overcome all obstacles with honor and to provide Bashkortostan with stable development and adequate way of life.

Thank you for attention”.