01 October 2002 00:00
ON THE REMARKS OF THE CHAIRMAN OF THE RUSSIAN GOVERNMENT MIKHAIL KASYANOV AT THE MEETING OF THE ADVISORY COUNCIL ON FOREIGN INVESTMENT
2002-09-30-004
The Chairman of the Russian Government Mikhail Kasyanov today expressed his concern over the low rates of growth of foreign investment into the nation's economy. Addressing a meeting of the Advisory Council on Foreign Investment, he cited data demonstrating that this indicator grew 2.5 percent in January-August this year, which "cannot be deemed satisfactory."
According to the head of the Cabinet, "such a situation can only partly be explained by a certain recession in the development of the world economy." Referring to the causes of this phenomenon, Mikhail Kasyanov expressed the opinion that the "low level of development of the banking sector is a serious factor holding up the investment processes."
Saying that "the financial sector is a bottleneck in the development of the Russian economy," the Prime Minister stressed that in the fall the Government will examine the main aspects of development of the country's financial market, and the start of implementing a joint strategy by the Government and the Bank of Russia will open the way to a large-scale banking reform.
In his remarks Mikhail Kasyanov also said that, based on the 2002 performance, Russia's economic growth can reach four percent, although "a mere two months ago we expected the economic growth to reach 3.6 percent of the gross domestic product."
The head of the Russian Cabinet of Ministers drew the attention of foreign investors to the current development of the foundations of an administrative reform in Russia, called upon to do away with the state's excessive presence in the economy and with regulation on its part.
Among the participants of the Advisory Council were officials from major foreign companies working in Russia, including the leaders of the companies Ernst&Young, Coca-Cola, BASF, and Siemens. The meeting was also attended by head of the European Bank for Reconstruction and Development Jean Lemier.
___________________________________________________________
© Publication of the Ministry of Foreign Affairs of the Russian Federation.
| 
RUSSIA IN FACTS