Russian PM urges regions to use state-offered instruments when raising investment
RUSSKY ISLAND. July 24 (Interfax) - Russian regions should use instruments offered by the federal government as much as possible when attracting investors, Prime Minister Mikhail Mishustin said on Monday.
"What was very important to me is that today I saw for myself that there is investment activity here. You showed several projects today, talked about the largest, but the actual amount of planned investment - 2.8 trillion rubles - is very substantial," Mishustin said at a meeting with Primorye Governor Oleg Kozhemyako.
He recalled that the Russian government judges a region's development by four parameters: gross regional product, amount of investment, number of jobs and real household incomes.
"And what's very important, besides traditional areas for Primorye - logistics, shipping, what's related to fishing and associated sectors - you also showed whole clusters of investment in research related to electronics, medicine and many other areas," Mishustin said.
"Of course, when comprehensively developing and attracting investors, it's very important, necessary to use the instruments that the state has as much as possible. By order of the president, there is a whole range of them," Mishustin aid.
Kozhemyako said Primorye is using such instruments, including in construction and the utilities sector, as well as budget infrastructure loans.
He said the region's economy has remained strong amid the new conditions and is seeing growth in gross regional product. There is growth in transport, housing construction, agriculture and investment, the governor said.
"The cargo turnover of our ports grew by 30% and reached 149 million tonnes, direct investment totalled 350 billion rubles last year," he said.
He briefed Mishustin on the implementation of major projects in the region, including the Zvezda shipyard for large capacity vessels; the Progress plant, which has secured major orders for years ahead to manufacture aircraft equipment for the defense sector; and the launch of the Sollers auto plant, among others.
Kozhemyako also said that the regional authorities have recently increased spending on social programs, including education and healthcare.
At a forum on the development of small cities and historical settlements, Mishustin said the regions of the Far East are promising for investment and the government is prepared to solve problems that arise when it gets feedback from entrepreneurs.
"Primorye, Sakhalin and many other regions have now become places to which investors will come," Mishustin said, speaking to the heads of companies implementing projects in Primorye.
The federal government's strategy aims to lift living standards in these regions to above the national average, he said.
"The challenge is difficult, but doable. And today, what we're seeing are the huge amounts of investment that have been drawn here. The total amount of planned investment here is 2.8 trillion rubles," Mishustin said, adding that this figure is for Primorye alone.
He said 590 billion rubles have already been invested and a large number of jobs have been created, and there are plans to create 170,000.
"A monumental task. I want to appeal to investors, to those who work here, please, continue this process. It's very important to us, the government, to also get your feedback," Mishustin said. The government needs feedback from entrepreneurs in order to understand what decisions to make and to help solve problems, he added.