Putin: Far East should become powerful economic, industrial center

VLADIVOSTOK, Sep 12 (PRIME) -- Russia’s Far East should become an economic and industrial center with a powerful export potential, President Vladimir Putin said Wednesday at the Eastern Economic Forum.

“I’m convinced that the Far East can and should become a powerful economic, industrial center with a big export potential. And we need entrepreneurial energy, and growth of small and medium business for this,” he said.

In terms of business climate, the Far East should be competitive in relation to other Russian regions and neighboring countries, he added.

The government must develop a national program for development of the Far East until 2025 with a possible extension until 2035, Putin said. The program will imply outrunning dynamics in high-quality housing and housing and utility services, transport accessibility, as well as measures of demographic development and support of families.

Russia strives to create a powerful center of international cooperation and economic integration in the Far East, he said. “Our efforts are aimed at creating here, in dynamically developing Asia-Pacific, a powerful center of international cooperation and integration, business and investment activity, education, science, and culture.”

The pace of economic growth in the Far East should be higher than the average global, around 6% a year, Putin said. “We understand that this is a difficult task. Our neighbors in Asia-Pacific are demonstrating solid growth rates. It means that we should demonstrate around 6% a year in the Far East. The competition is strong, and our work should be more efficient.”

Putin called for creating incentives for Russian coal and energy companies that use the Far Eastern transport infrastructure for exports. “I offer to think how to stimulate these Russian exporters to send part of their incomes for efficient economic and social projects in the Far East.”

Russia favors honest competition and mutual benefits while inviting foreign investors to cooperation in the Far East, he also said.

Putin also called for creating a center of digital development on Russky Island and developing a special status for the island, which would allow for testing the most progressive technological developments.

The Far East should become a center of progressive digital decisions in the transport sector, housing and utility services, education, and healthcare, Putin added.

He ordered state companies that implement projects in the Far East, as oil major Rosneft, gas giant Gazprom, and nuclear corporation Rosatom, to establish their engineering and research divisions on Russky Island.

The Far East Development Fund will be replenished by over 8 billion rubles in 2018, and the government must define a capital boost for the fund for the next three years, he added.

Speaking on other issues, Putin said that sustainable development of Asia-Pacific requires ensuring security, preventing new conflicts and solving old ones through dialogue.

Protectionism is actively growing in the world, this is a challenge for the global trade, including Asia-Pacific, he added.

He also proposed returning to consideration of trilateral projects between Russia, North Korea and South Korea in the infrastructure, energy and other spheres.

Putin also said that Japan’s readiness for cooperation will always receive support from Russia.

He also invited foreign partners to use the Northern Sea Route for transportation.

He also offered Chinese, Korean, and Japanese partners, whose business is actively investing in the agricultural complex of the Far East, to jointly think over lifting barriers in trade of food products.

(69.9744 rubles – U.S. $1)

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