Tiraspol, April 16. /Novosti Pridnestrovya/. The Adviser to the President of the Russian Federation on regional economic integration Sergey Glazyev called work of the Government of the PMR an example of successful economic policy.
«To receive transition from economic accident to stabilization and steady rapid growth in such difficult conditions – it is a really great achievement. In so short time. It means that you are on the right track», - Glazyev told during the discussion «About a social and economic situation in Pridnestrovie: conclusions and short-term prospects».
«Hardly there will be another territory which has not just to survive for so long, but also to develop and try to obtain progress», - the Adviser to the President of the Russian Federation added.
The round table in which the Prime Minister Alexander Martynov, his deputies Alexey Tsurkan and Sergey Obolonik, the speaker of the Supreme Council Alexander Korshunov took part passed the day before in Moscow, the press service of the Government reports. It is not the first meeting in a similar format. So, last year on the platform of MSU the similar presentation took place. Then Alexander Martynov submitted the investment legislation.
The Head of the Government of the PMR presented the presentation of economic indicators of Pridnestrovie 2012-2016. He noted that as a result of poor control of last years the economy appeared on the verge of the accident: the volume of industrial output decreased by 20%, investments into fixed capital – for 30%, the volume of home shopping service – minus 27%, the export of goods fell to a quarter. Generally, the volume of GDP decreased by 8%. Nearly half of GDP was redistributed on social payments (salaries, pensions, grants). At the same time, the state did not invest in development, the main share of expenses made the current consumption.
Optimization of the tax load and subsidizing of the credits
The Government made the decision to reduce the tax load, otherwise, the enterprises would be left without current assets. The decrease in the tax load from 34% to 28% of GDP (as in the countries of the Eurasian Economic Union) led to the growth of tax assignments by 20%.
Banks were cleaned from bad assets, nationalization of financially unstable banks and their accession to the national bank is made. So it was succeeded to prevent bank crisis and to save investors.
«As a result, growth of deposits of the population which demonstrates restoration of trust to a banking system», - Alexander Martynov told.
In the real production sector, the Government according to the recommendation of the Russian experts granted the available loans, having pro-subsidized a part of an interest rate for the enterprises. Let's remind, the bank rate – 10-12%, 7 of which subsidizes the state. Thus, the credit costs the enterprise 3-4%. The priority industries of crediting are the industry and agricultural industry.
Stable tariffs
If till 2017 gas prices and the electric power were used as the tool of pressure upon some enterprises, then today all of them work in identical conditions which allow developing. Also in a tariff for the housing and public utility enterprises put depreciation, but that the prices did not grow for the population, the state finance this difference from the state treasury.
Capital investments
Since 2018 in the budget the Capital Investments Fund which finance repair of kindergartens, hospitals, and schools is created. Last year repaired 170 social facilities. From the 47% – objects of education and health care and 18% – objects of housing and public utilities.
«On the one hand, we reanimate a social infrastructure, on the other hand, the construction industry and additional tax assignments, additional jobs began to develop», - the Prime Minister explained.
Investment legislation
During its creation were also guided by the recommendations of the Adviser to the President of the Russian Federation, the Agency of strategic initiatives and other experts. In Pridnestrovie the Investments Agency was created, the 6th investment forum is held and the card on the improvement of conditions of business climate was developed. The law on state support of investments works less than a year, but 26 investment projects from 12 countries have already been considered - Russia, and Moldova, and Romania, and the European Union.
Work with business
Last year administrative barriers were optimized, and since 2019 passed to project financing and created Fund of Business Development.
Alexander Martynov told also about a situation in the housing sector, budget deficit, income, and other directions work on which was carried out by all public authorities in common under the leadership of the President.
As a result in two last years, growth of volumes of industrial output (in the 2018th) – 9%, investments into fixed capital is fixed – 42%, the volume of home shopping service grew by 10%, export – for 30%, import – 18%. GDP growth – 4%. At the same time, state expenditure costs from 49% to 42% to GDP is reduced.
As Sergey Glazyev noted, it is only the beginning of a way, but he emphasized that between society, business and the power in Pridnestrovie has already been created the trust necessary for the effective operation of instruments of economic development.
«It is important that there is a Government which takes the responsibility to use the stimulating tools and it is ready to take the responsibility for the efficiency of their work», - Vladimir Putin's adviser estimated work of the Government.
«I will emphasize that examples of successful economic policy are extremely important because in all former Soviet Union progress is rare», - he added.
On behalf of the President of the PMR and the supreme authorities, Alexander Martynov and Alexander Korshunov thanked Russia for full support.
