There
are still people out there, most of whom live in their mother's
basements, who invariably ignore everything Putin says because they
think he is "insincere," whatever that means, and therefore his
utterances are inconsequential. Apparently they are conflating him with
US politicians, who specialize in lying to the public. If there is
anything you should have learned after the downing of the Russian plane
over Sinai it is that when Putin promises something, he makes good on
this promise. That is one reason he keeps getting re-elected.
By
contrast, Dubbya stood at ground zero after the 911 attacks and said
"the people who knocked down these buildings are going to hear from us."
Now none of the people who executed or planned the attacks were Afghans
or Iraqis. Only a small percentage were NOT Saudis, and yet the Saudis
never heard from our government. ONLY countries essentially uninvolved
in the attacks "heard from" us. It was the cheapest and foulest of
theater and it cost thousands of American and other lives. In that
light, how was it not in fact criminal? But that is beyond our scope for
now.
Putin
by contrast, went after the actual perpetrators of the Sinai attacks,
ie, ISIS, and he tore into them the way we would hope a Western leader
would.
In
this speech, Putin makes promises. Now these promises may not be in
line with what the US-led Western powers want. And since Putin does not
back down and demonstrably keeps his promises, his keeping his promise
could lead to a conflict between Russia and the West -- which, we remind
you, supports the criminal Erdogan, who, we remind you, has knowingly
purchased for resale oil stolen from the Syrian people and has shot down
a fighter of a fellow coalition member, the pilot of which was then
murdered by Erdogan's allies.
So
pay attention and see what Putin has promised. If your country has
allied itself with the criminal he wants to punish, there will be a
conflict of interests between nuclear-armed Russia and the nuclear-armed
West.
If you understand this, then this speech ought to interest you.
If it does not interest you in any way, you may want to find another planet to live on.
Don Hank
President of Russia Vladimir Putin: Citizens of Russia, members of the Federation Council, State Duma deputies,
I would like to begin my Address with words of gratitude to the Russian servicemen who are fighting international terrorism.
Today
here in the St George’s Hall, a historic hall of Russian military
glory, we have combat pilots and representatives of the Armed Forces who
are taking part in the anti-terrorist operation in Syria.
Gelena
Peshkova and Irina Pozynich, who lost their husbands in the war against
terror, have joined us too. My deepest respect to you and the parents
of our heroes.
I would
like us all to honour the memory of the soldiers who gave their lives
while doing their duty, and the memory of all Russian citizens who fell
at the hands of terrorists.
(Moment of silence)
Colleagues,
Russia
has long been at the forefront of the fight against terrorism. This is
a fight for freedom, truth and justice, for the lives of people
and the future of the entire civilisation.
We
know what aggression of international terrorism is. Russia faced it
back in the mid-1990s, when our country, our civilian population
suffered from cruel attacks. We will never forget the hostage crises
in Budennovsk, Beslan and Moscow, the merciless explosions
in residential buildings, the Nevsky Express train derailment,
the blasts in the Moscow metro and Domodedovo Airport.
These tragedies took thousands of lives. We still grieve for them and will always grieve, along with the victims’ loved ones.
It
took us nearly a decade to finally break the backbone of those
militants. We almost succeeded in expelling terrorists from Russia, but
are still fighting the remaining terrorist underground. This evil is
still out there. Two years ago, two attacks were committed in Volgograd.
A civilian Russian plane was recently blown up over Sinai.
International
terrorism will never be defeated by just one country, especially
in a situation when the borders are practically open, and the world is
going through another resettlement of peoples, while terrorists are
getting regular financial support.
Terrorism
is a growing threat today. The Afghanistan problem has not been
resolved. The situation there is alarming and gives us no optimism,
while some of the yet recently stable and rather well-doing countries
in the Middle East and North Africa – Iraq, Libya and Syria – have now
plunged into chaos and anarchy that pose a threat to the whole world.
We
all know why that happened. We know who decided to oust the unwanted
regimes and brutally impose their own rules. Where has this led them?
They stirred up trouble, destroyed the countries’ statehood, set people
against each other, and then “washed their hands”, as we say in Russia,
thus opening the way to radical activists, extremists and terrorists.
The militants
in Syria pose a particularly high threat for Russia. Many of them are
citizens of Russia and the CIS countries. They get money and weapons
and build up their strength. If they get sufficiently strong to win
there, they will return to their home countries to sow fear and hatred,
to blow up, kill and torture people. We must fight and eliminate them
there, away from home.
This
is why it has been decided to launch a military operation there based
on an official request from the legitimate Syrian authorities. Our
military personnel are fighting in Syria for Russia, for the security
of Russian citizens.
The Russian
Army and Navy have convincingly demonstrated their combat readiness
and their increased capabilities. Modern Russian weapons have proved
to be effective, and the invaluable practice of using them in combat
conditions is being analysed and will be used to further improve our
weapons and military equipment. We are grateful to our engineers,
workers and all other personnel of our defence companies.
Russia
has demonstrated immense responsibility and leadership in the fight
against terrorism. Russian people have supported these resolute actions.
The firm stance taken by our people stems from a thorough understanding
of the absolute danger of terrorism, from patriotism, high moral
qualities and their firm belief that we must defend our national
interests, history, traditions and values.
The international community should have learned from the past lessons. The historical parallels in this case are undeniable.
Unwillingness to join forces against Nazism in the 20th century cost us millions of lives in the bloodiest world war in human history.
Today
we have again come face to face with a destructive and barbarous
ideology, and we must not allow these modern-day dark forces to attain
their goals.
We
must stop our debates and forget our differences to build a common
anti-terrorist front that will act in line with international law
and under the UN aegis.
Every civilised country must contribute to the fight against terrorism, reaffirming their solidarity, not in word but in deed.
This
means that the terrorists must not be given refuge anywhere. There must
be no double standards. No contacts with terrorist organisations. No
attempts to use them for self-seeking goals. No criminal business with
terrorists.
We
know who are stuffing pockets in Turkey and letting terrorists prosper
from the sale of oil they stole in Syria. The terrorists are using these
receipts to recruit mercenaries, buy weapons and plan inhuman terrorist
attacks against Russian citizens and against people in France, Lebanon,
Mali and other states. We remember that the militants who operated
in the North Caucasus in the 1990s and 2000s found refuge and received
moral and material assistance in Turkey. We still find them there.
Meanwhile,
the Turkish people are kind, hardworking and talented. We have many
good and reliable friends in Turkey. Allow me to emphasise that they
should know that we do not equate them with the certain part
of the current ruling establishment that is directly responsible
for the deaths of our servicemen in Syria.
We
will never forget their collusion with terrorists. We have always
deemed betrayal the worst and most shameful thing to do, and that will
never change. I would like them to remember this – those in Turkey who
shot our pilots in the back, those hypocrites who tried to justify their
actions and cover up for terrorists.
I don’t
even understand why they did it. Any issues they might have had, any
problems, any disagreements even those we knew nothing about could have
been settled in a different way. Plus, we were ready to cooperate with
Turkey on all the most sensitive issues it had; we were willing to go
further, where its allies refused to go. Allah only knows, I suppose,
why they did it. And probably, Allah has decided to punish the ruling
clique in Turkey by taking their mind and reason.
But,
if they expected a nervous or hysterical reaction from us, if they
wanted to see us become a danger to ourselves as much as to the world,
they won’t get it. They won’t get any response meant for show or even
for immediate political gain. They won’t get it.
Our
actions will always be guided primarily by responsibility –
to ourselves, to our country, to our people. We are not going to rattle
the sabre. But, if someone thinks they can commit a heinous war crime,
kill our people and get away with it, suffering nothing but a ban
on tomato imports, or a few restrictions in construction or other
industries, they’re delusional. We’ll remind them of what they did, more
than once. They’ll regret it. We know what to do.
We
have mobilised our Armed Forces, security services and law enforcement
agencies to repel the terrorist threat. Everyone must be aware of their
responsibility, including the authorities, political parties, civil
society organisations and the media.
Russia’s
strength lies in the free development of all its peoples, its
diversity, the harmony of cultures, languages and traditions, mutual
respect for and dialogue between all faiths, including Christians,
Muslims, Judaists and Buddhists.
We
must firmly resist any manifestation of extremism and xenophobia while
defending our ethnic and religious accord, which is the historical
foundation of our society and the Russian statehood.
In 2016 we
will hold elections to the State Duma. I would like to remind party
leaders, all participants of the upcoming election campaign and all
the social and political forces about the following words of our famous
historian, Nikolai Karamzin: “Those who have no respect for themselves
cannot hope to be respected by others. That does not mean that love
for our homeland must blind us into saying that we are better than all
others in everything we do. But Russians must know their value.”
Yes,
we can debate ways to solve this or that issue. But we must remain
united and remember what is most important for us: Russia.
The election
campaign must be honest and transparent and respect the law
and the electorate. At the same time, it must be conducted so as to win
public trust in the election results and legitimacy.
Colleagues,
I expect that a considerable part of the parliamentary candidates’
election programmes will be devoted to the issue of corruption, which is
a major concern for society. Corruption is hindering Russia’s
development.
Officials,
judges, law enforcement officers and deputies at all levels are obliged
to submit their income and expense declarations and declare their
property and assets, including outside Russia.
From
now on, state and municipal officials will also have to disclose
information about the contracts they plan to sign with the companies
of their relatives and friends. Situations with a possible conflict
of interest will be closely monitored by the regulatory and law
enforcement authorities, as well as civil society.
Just
recently participants in the Russian Popular Front’s project For Fair
Public Procurement told me about the instances of abuse and blatant
violations they have uncovered. I ask the Prosecutor General’s Office
and the law enforcement authorities to promptly react to this
information.
The law
must be hard on those who are guilty of premeditated crimes against
human lives and the interests of society and the state. But the law must
be lenient to those who have slipped up.
Today,
nearly half of the criminal cases brought to court concern petty crimes
or misdemeanours, but those who committed them, including very young
people, go to prison for them.
A prison
term and even a prison record usually have a highly negative impact
on these people’s lives, often creating a situation in which they commit
new crimes.
I ask
the State Duma to approve the Supreme Court’s proposal that some
offences in the Criminal Code are decriminalised and that misdemeanour
is reclassified as an administrative offence, with an important
reservation: a repeated offence must be classified as a criminal act.
We
must also work to enhance the independence and objectivity of our
courts. In light of this, I suggest strengthening the role of juries
and expanding the list of crimes that can be submitted to them. It’s not
always easy to find 12 jurors, and although I know the position
of human rights organisations, which insist on 12-member juries, forming
such juries is not easy and it is also expensive. Therefore, I suggest
cutting the number of jury members from 12 to 5–7, on the condition that
they take their decisions autonomously and independently.
Colleagues,
last year we faced some serious economic challenges. Oil and other
products we traditionally offer for export fell in price. The access
of Russian financial institutions and companies to global financial
markets was restricted.
I know
that many people are experiencing hardships today. These economic
issues are affecting incomes and the general quality of life.
I understand very well that people are wondering when we are going
to overcome these hardships and what needs to be done in order
to accomplish this.
The current
situation is complicated but, as I have said before, not critical.
In fact, we can already see some positive trends. Industrial production
and the national currency are generally steady. There is a slight
decline in inflation. We can see a significantly lower capital flight
as compared to 2014.
However,
this doesn’t mean that we just calm down and wait for everything
to miraculously change, or that we can just sit quietly in expectation
of rising oil prices. Essentially, such an approach would be
unacceptable.
We
must be prepared for low commodity prices and external restrictions
to last much longer. By changing nothing, we will simply run out
of reserves and the economic growth rates will linger around zero.
This
is not the only issue to consider. Busy with the immediate tasks, we
must not overlook general global development trends. The global economy
is rapidly changing shape. New trade associations are forming. We are
experiencing a period of radical change in the sphere of technology.
This
is a crucial moment when countries need to compete to secure their
roles in the global division of labour for decades ahead. We can
and must become one of the leaders.
Russia
has no right to be vulnerable. We must have a strong economy, excel
in technology and advance our professional skills. We must fully use our
current advantages, as there are no guarantees that we will have them
tomorrow.
Clearly,
the authorities must hear the public out and explain the nature
of the problems people face and the reasons behind the government’s
actions, treating civil society and business as equal partners.
What areas should we focus on?
First,
competitive manufacturing is still concentrated mostly
in the commodities and mining sector. We’ll only be able to achieve our
ambitious goals in security and social development, to create modern
jobs and improve the living standards of millions of our people if we
change the structure of our economy.
Importantly,
we do have effective industrial and agricultural operations, as well
as small and medium-sized businesses. Our goal is to have the number
of these kinds of companies grow fast in all sectors. Our programmes
for import substitution and export support, manufacturing retrofitting
and professional training should be geared to achieving this goal.
Second,
we need to bear in mind that a number of industries are now at risk,
including primarily the construction, automotive, and light industries,
as well as railway engineering. To address this, the Government will
need to come up with special support programmes. Financial resources
for this purpose have been set aside.
Third.
It is imperative to support low-income households and socially
vulnerable groups of citizens, and finally adopt fair principles
of providing social assistance that is made available to those who
really need it. In particular, it is necessary to take into account
the individual needs of people with disabilities, and focus on their
training and employment.
We
have done a lot to improve demography, education, and healthcare.
The key benchmarks in these areas were outlined in the corresponding
executive orders of May 2012. Of course, life is ever changing, and,
given current complications, our responsibility for people’s welfare
only increases, so I’d like to ask you to take these executive orders
seriously. We must strive to fulfil them.
Fourth,
it is imperative to achieve a balanced budget. This, of course, is not
an end in itself, but a critical prerequisite for macroeconomic
stability and our financial independence. As you may recall, by the end
of the 2016 federal budget year, the deficit should not exceed 3
percent, even if revenue is lower than expected. Please take a note
of this, colleagues, members of the State Duma and the Federation
Council, the Federal Assembly in general. This is important. I just
mentioned that financial stability and the independence of our country
are completely interrelated. Please keep these basic considerations
in mind.
Budget
planning, in fact, planning each budget cycle must begin with a clear
identification of priorities. We must make government programmes play
the decisive role in this process again. It is essential that we tighten
our control over public funds, including federal and regional subsidies
to industrial and agricultural enterprises. I believe that they should
be transferred to the end user only through treasury accounts.
Government revenue must be used strictly as planned. ”Grey“ schemes used
in paying customs duties, excise taxes on alcohol, tobacco, and fuels
and lubricants siphon off hundreds of billions of rubles from the budget
annually. This is outright theft.
I propose
forming a single system for administering tax, customs and other fiscal
payments. There are a variety of options to go about this, and we have
discussed them on many occasions. I expect the Government to submit
specific proposals. Here again, I would like to emphasise that the tax
environment for business should remain unchanged in the coming years.
Fifth. We need to further strengthen trust between the Government and business, to improve the business climate in Russia.
This
year we have mostly completed the plans outlined in the national
entrepreneurial initiative. The dynamics are good, but we certainly
shouldn’t stop yet.
The Government,
together with the Agency for Strategic Initiatives and leading business
associations, should continue their systematic work to improve
the conditions for doing business, constantly monitoring how laws are
carried out locally.
I believe
free enterprise to be the most important aspect of economic and social
well-being. Entrepreneurial freedom is something we need to expand
to respond to all attempts to impose restrictions on us.
That
is why we have given such a broad authority to the newly created
Federal Corporation for the Development of Small and Medium Business.
I would like to ask all ministries, departments, governors, heads of all
Russian regions, state-owned companies and banks to provide all
the necessary assistance to it.
Polls
show that businesses see no qualitative progress in the regulators’
work. Yet, all the necessary instructions for this have been issued,
even more than once. We repeat ourselves and our attempts to reduce
their powers. We reduce them in one area – they simply grow again
in another. A whole army of inspectors continues to hinder the operation
of good businesses. I am not saying that control is not necessary.
Business does require regulation. But I ask the Government Commission
for Administrative Reform to work out, together with business
associations, proposals on eliminating redundant and overlapping
functions of regulatory agencies, and submit them by July 1, 2016.
I would
like to cite some figures supplied by one of our business associations.
During 2014, the investigative authorities opened nearly 200,000 cases
on so-called economic crimes. But only 46,000 of 200,000 cases were
actually taken to court, and 15,000 cases were thrown out during
the hearings. Simple math suggests that only 15 percent of all cases
ended with a conviction. At the same time, the vast majority, over 80
percent, or specifically, 83 percent of entrepreneurs who faced criminal
charges fully or partially lost their business – they got harassed,
intimidated, robbed and then released. This certainly isn’t what we need
in terms of a business climate. This is actually the opposite,
the direct destruction of the business climate. I ask the investigative
authorities and the prosecutor’s office to pay special attention
to this.
I would
like to emphasise that prosecutors should make greater use of the tools
available to check the quality of investigations. I know that
discussions have been going on for a long time about the prosecutor
office’s needs. As you know, we have separated the investigative
authorities and the prosecutor's office in order to ensure independent
investigations are carried out; it was a conscious decision. Today,
I remind you, the prosecutor’s office has the authority to cancel
a decision to institute criminal proceedings, or waive the indictment,
or even refuse to support the case in court. We must learn to use what
is available; only then we will be able to analyse what is happening
in practice.
In addition,
I believe that suspects in economic cases should be detained only
as a last resort measure; for the most part investigators should opt
for release on bail, travel restrictions or house arrest. The role
of law enforcement and the judicial system is to protect the economy
and community from fraud and criminals, and to protect the rights,
property and dignity of all those who obey the law and conduct their
business honestly.
There
is one more point I’d like to make. Last year we announced
the so-called capital amnesty to return financial assets to Russia. Yet,
businesses seem in no hurry to take advantage of that opportunity,
which suggests that the procedure proposed is too complicated, while
guarantees it provides are still insufficient. I follow the public
discussions on the issue. The word is, that what we have already done
and the decisions we made previously are slightly better than
the solutions we’ve offered in years past, but it is definitely not
enough today. I ask the Government to organise consultations, including
further consultations with the business community, with the Supreme
Court, with law enforcement agencies, and in short order make
the appropriate adjustments. I also suggest extending the capital
amnesty itself for another six months.
Colleagues,
the state will fund the necessary assistance to those who are ready
to go forward and become leaders. We are building such a system in our
dialogue with the business community based on its requirements
and the tasks facing our country.
The Industry
Development Fund is already supporting import substitution programmes.
These programmes are needed by entrepreneurs. I suggest increasing its
authorised capital by another 20 billion roubles.
We
are also guaranteeing stable tax rates and other basic terms
for investors who are ready to finance import substitution projects.
This is included in mechanisms such as the special investment contract.
I suggest granting the regions the right to reduce profit tax to zero
under such contracts. Some governors directly request this to allow
investors to cover their capital outlays on developing new production
lines.
Obviously,
we are aware of the regional governors’ concerns. The regions should be
motivated to consolidate their economic base, so an increase
in regional profits from implementing these projects should not lead
to a reduction in federal subsidies.
We
are ready to guarantee the demand for the goods produced under these
programmes and projects. I propose giving the Government the right
to purchase on a non-competitive basis up to 30 percent of the products
manufactured under special investment contracts. Whatever remains should
go to the free markets, including those abroad, to motivate these
companies, to monitor the quality of their products and reduce
overheads.
As you
know, when other countries carried out these kinds of programmes,
the terms for state support were even tougher: it was mandatory
for a certain percentage of goods produced to be sold abroad. What for?
To motivate producers to manufacture quality products.
We’re
saying that we will guarantee demand in our own market. Our terms are
somewhat different from those in other countries with tougher terms.
That said, we must assume that these products will be highly competitive
on the international market. Let me emphasise again that we will
support expressly competitive domestic production lines. No one should
be working under the illusion that under the guise of import
substitution it’s possible to build a substandard, out of date product
and pawn it off to the state or to our people and make them pay
a premium price for it. Russia needs companies that are capable not only
of providing the country with quality products but also of taking
on foreign markets. The Russian Export Centre was established to help
those who are ready for this effort.
In addition,
I suggest making the growth of non-energy exports one of the key
indicators of the performance of industry-related agencies
and the Government as a whole.
I think
it would be appropriate to implement the business community’s
initiative and create a technological development agency to help
companies acquire domestic and foreign patents and licenses
for engineering services. Access to foreign markets and the expansion
of Russian manufacturing should become a natural strategy
for the development of the nation’s business sector and the entire
Russian economy. We should put stereotypes aside and believe in our own
capabilities. If we work with this attitude, we are certain to see
a result.
Our
agriculture sector is a positive example. Just a decade ago we imported
almost half of our food products and critically depended on imports,
whereas now Russia has joined the exporters’ club. Last year Russia’s
agricultural exports totalled almost $20 billion. This is a quarter more
than our proceeds from arms sales or about one third of our profits
from gas exports. Our agriculture has made this leap in a short but
productive period. Many thanks to our rural residents.
I believe
we should set a national goal — fully provide the internal market with
domestically produced foods by 2020. We are capable of feeding ourselves
from our own land, and importantly, we have the water resources. Russia
can become one of the world’s largest suppliers of healthy,
ecologically clean quality foods that some Western companies have
stopped producing long ago, all the more so since global demand for such
products continues to grow.
To fulfil
these ambitious goals, we need to concentrate our resources on primary
support for highly efficient farms. This approach should underlie
the programme for the development of the agro-industrial complex. This
includes large, medium and small companies – all of them must be
efficient. I would like the Agriculture Ministry to pay special
attention to this.
It
is necessary to put to use millions of hectares of arable land that is
now idle. They belong to large land owners, many of whom show little
interest in farming. How many years have we been talking about this? Yet
things are not moving forward. I suggest withdrawing misused
agricultural land from questionable owners and selling it at an auction
to those who can and want to cultivate the land.
I would
like to ask the Government to prepare specific proposals, including
draft regulations and standards by June 1, 2016. I would also like
to ask the State Duma deputies and all members of the Federal Assembly
to make amendments to the related laws over the next year and adopt laws
to make this possible at the next autumn session.
We
also need our own technology for the production, storage and processing
of agricultural produce, our own seed and pedigree stock. This is
a very important goal. We are still vulnerable in these areas. I ask you
to get leading research centres, the Russian Academy of Sciences
and businesses which are successfully putting advanced technology into
practice involved in this process.
In my previous
Address, I announced the launch of the National Technology Initiative,
spanning 15–20 years, but practical work is already underway. It shows
that we have plenty of strong teams capable of offering and following
through on innovative ideas. In areas such as neutron technology,
robotics in aviation and the transport sector in general, energy storage
and distribution systems, Russia has every chance of breaking through
to global markets in the near future, within the next few years.
Development
institutions should be geared towards achieving priority goals,
primarily those related to technological modernisation. We have over two
dozen of them. Unfortunately, many of them, to put it bluntly, have
turned into dumping grounds for bad debts. It is essential to streamline
them and optimise the structure and mechanisms of this work. I know
that both the Government and the Central Bank are actively working
on this.
We
should make a more active use of the investment potential of domestic
savings for economic modernisation. I ask the Central Bank
and the Government to submit proposals on the development
of the corporate bond market, something we have discussed many times. It
is essential to simplify the procedure for the issue and acquisition
of corporate bonds. To make it worthwhile for investors, individuals
to invest in the development of the domestic real sector, I propose
exempting the coupon income on these bonds from taxation, including from
income tax for individuals.
Dozens
of major projects are being implemented or are about to be launched
in industry, agriculture, transport and housing construction. They
should have a positive impact not only on separate sectors but also
stimulate the comprehensive development of entire territories. These are
primarily private projects.
To expedite
their effective implementation it is important to make pinpoint
amendments to laws, lift administrative barriers and assist
the development of infrastructure and the process of entering foreign
markets. These issues often extend beyond the scope of just one
government agency, so I propose putting in place a mechanism to support
the most important projects. A special agency can be established
for this. I ask Prime Minister Dmitry Medvedev to submit proposals
on the work of this agency.
Incidentally,
one such project could be the creation of major private Russian
companies that specialise in online trade so that Russian goods are
delivered via the Internet to all countries in the world. We do have
a great deal to deliver.
Colleagues,
we are interested in broad business cooperation with our foreign
partners, and we welcome investors who focus on long-term work
on the Russian market, even though the current circumstances they face
aren’t always favourable. We highly appreciate their positive attitude
to our country, and the fact that they see advantages for growing their
respective businesses in our country. Russia is involved in integration
processes designed to open additional avenues for expanding economic
ties with other countries.
We
have reached the next level of cooperation within the Eurasian Economic
Union by creating a common space, with free movement of capital, goods
and labour. We have reached a basic agreement on combining Eurasian
integration with the Chinese Silk Road Economic Belt. A free trade zone
with Vietnam was established. Next year, we will host the Russia-ASEAN
summit in Sochi, and I am sure we will be able to work out a mutually
beneficial agenda for cooperation.
I propose
holding consultations, in conjunction with our colleagues from
the Eurasian Economic Union, with the SCO and ASEAN members, as well
as with the states that are about to join the SCO, with the view
of potentially forming an economic partnership. Together, our states
make up nearly a third of the global economy in terms of purchasing
power parity. Such a partnership could initially focus on protecting
investments, streamlining procedures for the cross-border movement
of goods, joint development of technical standards for next-generation
technology products, and the mutual provision of access to markets
for both services and capital. Of course, this partnership should be
based on principles of equality and mutual interest.
For Russia,
this partnership will open new possibilities for increasing exports
of food and energy, as well as offering services in engineering,
education, healthcare, and tourism to the Asia-Pacific Region, allowing
us to play the leading role in forming new technology markets,
and re-orienting major global trade flows to Russia.
We
will continue to upgrade our transport infrastructure and expand major
logistic centres, such as the Azov-Black Sea and the Murmansk transport
hubs, modern ports in the Baltic Sea and the Russian Far East. We will
consolidate the system of inter-regional air transport, including
in northern and Arctic regions. We will review in detail the situation
with inland waterways and river routes during a forthcoming State
Council meeting.
The Northern
Sea Route should become a link between Europe and the Asia-Pacific
Region. To enhance its competitiveness, we will extend the preferential
regime of the free port of Vladivostok to key Far Eastern harbours,
as requested by the entrepreneurs who operate in this strategically
important Russian region.
The socioeconomic
development of this region is a major national priority. Investors have
shown great practical interest in the new methods of operation we have
proposed, including priority development areas.
I instruct
the Government to expedite decisions on levelling off energy rates
for the Far Eastern regions where they are considerably above average
national rates, and I urge the Parliament to promptly hear the draft law
on the free allocation of land plots to people in the Far East.
Over
the past few years, major investments have been made in the development
of Khabarovsk and Vladivostok, and people there have noticed
the improvements. Komsomolsk-on-Amur must become one more rapidly
developing centre in the Far East. It is a city with a rich history
and modern high-tech industries, which turn out civilian products that
enjoy high demand and also work fruitfully for the defence sector. But
this city’s urban and social infrastructure has been neglected.
I’m
referring to the city’s face and its sports, culture, healthcare
and education facilities, none of which are consistent with
the potential of Komsomolsk-on-Amur. This is why it is difficult
to attract talented young professionals there, which the regional
companies badly need. I believe that we can use resources under
the on-going programmes to address the problems of Komsomolsk-on-Amur
without delay. Of course, we can’t do this overnight, but we at least
must understand what we need to accomplish and how fast work must
proceed.
Colleagues,
we have a long-term agenda that must be independent of election cycles
and the prevailing situation. These strategic goals include preserving
the nation, bringing up our children and helping them develop their
talents, which constitutes the basis of the power and future of any
country, including Russia.
I’d
like to begin with demography. We’ve registered a natural increase
in population for the past three years. It has been modest, but present
nevertheless. What I would like to highlight is that, according
to forecasts, we should have seen a demographic collapse due
to the demographic echo of the 1990s, which demographers have predicted,
including at the UN. But this hasn’t come to pass, primarily because
half of the new-borns today are second or third children. Russian
families want to have children, they believe in their future
and in their country, and they are confident that the state will help
them.
The maternity
capital programme ends next year. Over 6.5 million families have
enjoyed its benefits, including in Crimea and Sevastopol. But we know
that our efforts in this sphere have not been sufficient to close
the demographic wound of the past.
Of course,
we realise that this will be hard on the budget, that the programme
needs major funding. We said in the past that we need to analyse
the figures to see if we can shoulder this burden, as the financiers
say, if we can guarantee the payment of these allocations. Yes, we can
do this, despite the current challenges. I believe that we must extend
the maternity capital programme for at least two years.
A major
demographic policy measure is the development of preschool education.
Over the past three years, 800,000 new places have been created
at kindergartens. Practically in all parts of Russia, such institutions
are available for children between the ages of three and seven. I know
that the Prime Minister has paid special, personal attention to this.
Thank you, Mr Medvedev.
However,
so far, individual families – many families – continue to encounter
problems placing children in kindergartens. As long as these problems
exist, we cannot say that the issue has been closed. I ask both
the Government and regional authorities to pay special attention
to this.
Now,
healthcare. The main achievement of our entire policy in this sphere is
that we are seeing an increase in average life expectancy. Over
the past decade, it has increased by more than five years and this year,
according to preliminary estimates, should exceed 71 years.
Nevertheless, there are still quite a few problems that have to be dealt
with.
Next
year, the Russian healthcare system will transition completely
to an insurance-based system. It is the direct responsibility
of insurance companies operating in the compulsory medical insurance
system to uphold patients’ rights, including in situations where they
are refused free medical care without a reason. If an insurance company
does not do this, it should be held accountable, including being banned
from working in the compulsory medical insurance system. I ask
the Government to ensure stringent oversight in this regard.
Next.
We have significantly expanded the scope of high-tech medical care. It
may be recalled that in 2005, 60,000 high-tech operations were performed
in Russia – 60,000! – compared to 715,000 in 2014. For the first time
in the country’s history, a significant part of such operations are
carried out without there being a waiting list, and this is indeed
a major achievement.
However,
it is important to understand that certain operations are expensive.
As a general rule, they are performed at leading federal medical centres
and clinics. To finance such operations, I propose establishing within
the compulsory medical insurance system… We have thought about
this a great deal – whether we should provide additional funding
to the system. The deputies, government ministers and governors know
what happens in reality. The compulsory medical insurance system is
a territorial system and it supports primarily territorial healthcare
institutions. Naturally, underfinancing is a matter of concern
for the heads of major federal clinics, where the majority of high-tech
operations are in fact performed. So, to finance these centres
and perform such operations, I propose instituting a special federal
component within the compulsory medical insurance system. I request that
the relevant amendments to the law be adopted during the spring
session.
Even
so, this is not enough because people must not suffer while we make
these decisions. It is necessary to ensure continuous financing
of high-tech medical care, including with direct support from
the federal budget until this decision is made.
As you
also know, the ambulance service has been significantly upgraded
as part of the Healthcare national project. We have procured a large
number of modern ambulance vehicles and other equipment. Naturally,
as time goes on, the auto fleet needs maintenance and renovation. Ten
years have passed. This is the regions’ responsibility and they are duty
bound to fulfil this task and find the necessary reserves.
When
we did this 10 years ago, I remember well, we agreed that we will make
an initial injection of federal funding, and then the regions will take
over the responsibility and keep the financing at a certain level. But
this never happened, which is unfortunate. I understand that there may
be issues, but like I said many times before, it is imperative to get
our priorities straight. It was the wrong thing to do to wait
for everything to fall apart, and then expect to be bailed out again
with the money from the federal budget. However, the way things are now,
it looks like we will have to do it again. But that's not what we
agreed upon. In any case, I ask the Government and the regional
authorities to get back to this issue and resolve it jointly.
People
are complaining that they often cannot understand why certain
hospitals, schools, cultural or social centres and institutions are
being closed or merged. We keep talking about the need to restructure
the network, which is, in some cases, oversized. Yes, that’s a fact. But
we must proceed very carefully and be fully aware of the fact that
in order for us to be able to reach certain indicators, closing rural
medical centres is not always the best option. Unfortunately, such
things happen. People then have to travel 100 kilometres to get medical
attention. This is outrageous! Please make sure that things are done
right. I ask the Government to draft and adopt a methodology
for the most efficient distribution of social institutions by March 1,
2016. It should be mandatory for use in the regions. We must find
a legally valid formula that will allow us to do so.
In matters
such as providing assistance to the elderly or people with
disabilities, or supporting families and children, it is imperative
to show more trust in civil society and non-profit organisations. Often,
they work more effectively and efficiently, showing genuine concern
for the people. Also, there’s less red tape in their work.
I would
like to propose a number of concrete solutions based on the results
of the active citizens’ forum Community, which took place in November.
First,
we will launch a special programme of presidential grants to support
non-profit organisations working in small towns and villages.
Second,
the non-profit organisations that have established themselves
as reliable partners of the state will receive the legal status
of a ”non-profit organisation – provider of socially useful services,“
and a number of incentives and preferences. Finally, I believe that
making up to 10 percent of the regional and municipal social programmes’
funding available to non-profit organisations is the right thing to do.
That way, non-profit organisations will be able to participate
in providing social services that are financed from the budget. We
believe we know well the current legislation, and we are not imposing
anything on anyone, but I’d like to ask heads of the regions
and municipalities to bear this in mind in their work.
Colleagues,
as you may recall, there was a meeting with children in Sochi
at the Sirius Centre for Gifted Children on September 1. Our children
and young adults are really interesting and goal-oriented people. We
must do our best to make sure that today's students get an excellent
education, have opportunities to be creative, choose a profession
to their liking, and are able to self-actualise regardless of their
geographical location or level of their parents’ income. All children
must have equal opportunities for a successful start in life.
Every
year, schools have more and more students. There will be 3.5 million
more of them over the next decade. It's great, it's very good, but it is
also important to make sure that this increase does not affect
the quality of education and learning conditions, and that the current
level continues to improve. Schools need more space for students.
I asked the Government to put together, in conjunction with the regions,
a specific plan of action in this regard. A decision was made
to release up to 50 billion rubles from the federal budget next year
to repair, renovate and build new schools.
I suggest
we take a broader look at these issues. Comfortable buildings are not
enough to get a good education. We need professional and motivated
teachers, ground-breaking educational programmes and, of course,
opportunities for the children to engage in creative activities, sports
and extracurricular activities. Of course, we should use the best
of what former Palaces of Pioneers and young technicians' clubs had
to offer. We must build our work on an innovative and up-to-date
foundation with the participation of businesses, higher education
institutions and universities.
I will
now note a positive fact, such as the growing interest of young people
in engineering jobs and blue-collar occupations, the vocations
of the future. Competition for enrolment in engineering universities has
almost doubled in the past two years. The WorldSkills International
(WSI) will take place in
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