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CIS / News of CIS

News of CIS

Liberalization Promised
20 June 2008ã. 12:39 / Activity
"Russian Day" at the Saint Petersburg economic forum brought sensation. Speaking at a plenary session, Igor Shuvalov, the country's First Deputy Prime Minister, pointed out at the five most important problems Russia's economy faces, and said the government will work hard on these issues. Shuvalov's statements surprised many businessmen, economists and political scientists present

Russia has set itself on the path of development, but there are five major problems that constitute an obstacle for it: "catch-up psychology", "energetic trap", "outdated skills practices", "unhealthy way of life" and "the state's aspiration to increase its influence and the desire of many people to make the state influence something".

Catching-up with the West has been an obsession of many Russians for centuries, Shuvalov observed. He added that very often copying Western development methods lead to "one-sided modernization", and regretted Russia does not yet have a modernization model based on its own values. Instead of copying others, "we should aim at leadership", building an economy that could serve as a model to others.

"Energetic trap", according to Shuvalov, is the current situation in Russia' a country rich in resources which, at the same time, has one of the most power consuming economies.

As for "outdated skills" of Russians, the cabinet plans to push forward education. Russia needs to increase labor productivity rate at least four times, and that cannot be done without sending young specialists to study abroad, Shuvalov said.

But what was really in Shuvalov's speech, was his plea to restrict the state's interference with economy. "In an innovation society, an excess of state presence is as dangerous, as its shortage", said the official, adding that in today's situation, it is very important to cut down the state's excess participation in economic life.

"It was the most liberal speech in many years", Igor Yurgens, a prominent representative of the business community, said about Shuvalov's presentation.

Yekaterina Shokhina
Photo: RIA Novosti
http://eng.expert.ru
No Extremes

20 June 2008ã. 12:41 / Activity
A Large Gathering

20 June 2008ã. 12:37 / Activity
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