On current and long-range plans of the Russian economy development

The beginning of the year is permanently accompanied with the Government activity on reconsideration or development of the current or long-range plans. 2017 is no exception. The so-called “Crisis bailout plan” fell under major changes. The plan introduces the events the funding allocation of which is to amount to 107,5 billion RUB. What is more it is referred to extrabudgetary funds to be found. As a comparison, financial component of the 2016 crisis bailout plan amounted to 750 billion RUB, of 2015 – 2,3 trillion RUB. The 2017 plan in a greater degree represents a plan for support of individual industries.

For this purpose 17,4 billion RUB are to be allocated for capitalization support of the Industry Development Fund. It is planned to finance at the expense of the Fund no less than 50 projects aimed at development of import phase-out and Russian manufacturing industry. The market launch of the new engineering equipment, improvement of capacity utilization of the Russian enterprises, as well as fulfilment of scientific and technical potential held by the manufacturers are to be guaranteed by 3 billion RUB under the subprogram «Production development of manufacturing equipment».

The major part of measures represents the allocation of funds for subsidization of the Russian engineering enterprises for various industries: automobile, transport, agricultural, road-building, utility, food and light. The main part of planned funds (62,3 billion RUB) are aimed at the support of automobile industry, in particular: subsidies for car manufacturers are to amount to 17,5 billion RUB, which will make it possible to provide additional manufacture of 250 vehicles and to preserve workplaces.

In the agriculture it is expected to allocate 13,7 billion RUB for subsidization of agricultural machinery manufacturers. In the transport engineering the subsidies (5,4 billion RUB) are to be given to the buyers of locomotives and carriages on recovery of several expenses arising from its purchase. In the road-building and utility machine building the subsidization volume of road-building and utility machinery leasing will amount to 2,5 billion RUB. 2,2 billion RUB will be allocated in order to support the light industry. The subsidization amount of car and equipment manufacturers for food and processing industries is to reach 1 billion RUB.

At the moment the Government of the RF by the order of the President of the RF develops an integrated action plan of the government till 2025. The plan should include proposals of structural and institutional reforms. Structural and institutional reforms should take place upon following courses:

• lifting of quantitative and qualitative restrictions in the field of human capital;
• dealing with problems of poverty and social disparity;
• increase of investment activity;
• creation of innovations;
• international cooperation and growth of export component;
• reduction of transaction costs in the economy;
• dealing with problem of the black economy high share in the country;

As a whole the action plan of the Government of the RF is focused on increase in the rate of economic growth in Russia. It should be prepared in May 2017. The Prime Minister of the RF took ownership of the plan development. According to him, the Russian economy should have the priority worldwide average growth rates and become the smart economy and the economy of possibilities as a result of implementing of the action plan till 2025.