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October 18, 2007
Excerpts from Transcript of the Direct Line with the President of Russia
Live Television and Radio Broadcast Vladivostok, Novosibirsk, Aktau (Kazakhstan), Yekarinburg, Podkolodnovka Village (Voronezh Region), Plesetsk (Archangelsk Region), Botlikh (Republic of Dagestan), Kazan, Sochi, Krasnaya Polyana, Rzhev (Tver Region), Kaliningrad, Moscow
[DJ: Complete Russian transcript and audio and video here: http://www.kremlin.ru/appears/2007/10/18/1259_type63381type82634type146434_148629.shtml]
S. BRILYOV: Vladimir Vladimirovich, this year's Direct Line is somewhat unusual in the sense that it has been taking place for almost as many years as you have been president. We are now on the eve of 2008, an important year. All the same, I would like to begin in the traditional way with the classic question of what events have made the biggest impression on you over the year since the last Direct Line broadcast, and what changes have taken place in our country's life? <.>
VLADIMIR PUTIN: I will answer your question now, all the more so as it is a traditional question. I have even made some notes so as not to get anything wrong, though by now I already know all these figures by heart.
But I would like to begin our discussion today by congratulating Russia's soccer team on its victory yesterday. I congratulate all soccer fans and all sports lovers in general on this wonderful victory. I think that the team was greatly helped to victory by the powerful support from its fans in the stadium, by its team spirit and, of course, by the good fortune that follows Mr Hiddink, the chief trainer. This is a wonderful event in our country's sports life and I congratulate everyone from the bottom of my heart.
Now, what has changed in our country's life over this last year?
In my answers to this question over these last years, practically every year I have spoken about the positive results achieved. I am pleased to be able to say that I always gave the facts as they were and did not have to invent anything. We have indeed achieved positive results over all these last years, and the current year is no exception. Indeed, the results are even better than we had hoped. The main measure of success is economic growth, the country's gross domestic product. We are always making reference to this particular indicator. This is because the GDP represents the size of our economy. The amount of economic growth we achieve determines the number of jobs created, the amount of revenue coming into the budget, and the state's ability to not just fulfil its social obligations such as paying wages and pensions on time, but also to raise these same wages and pensions. The development of the social sector, healthcare, education, and our ability to ensure the country's defence and security all depend on economic growth.
Last year, we achieved 6.7 percent growth. This is a good result. This year we planned for 6.2 percent growth, but over the first eight months of this year we have already reached a figure of 7.7 percent considerably higher than the planned figure. This in itself is a good result, but what is even better is that we have finally reached the goal we were aiming at over all these years. This growth, far from being entirely fuelled by raw materials, oil, gas, metals and so on, it is other economic sectors that account for two thirds of it. Which sectors in particular? They include construction, transport, communications, retail, and investment activity. In this respect I would like to point out that investment in main capital has now reached a figure of 25 percent, that is to say growth of 25 percent. Direct foreign investment has increased by even more 2.5-fold and comes to $16 billion. As I said, the construction sector is the leader in terms of growth, with an annual increase of 15 percent over the last five years. This is a very high growth rate. This year, the figure will increase to almost 25 percent 24.4 percent and growth in the area of housing construction is even higher 34.5 percent. We could say that this looks now like a genuine construction boom.
The processing sector has grown by 10.3 percent, and growth in terms of machinery and equipment comes to a figure of 25.4 percent.
Russia's gold and currency reserves have reached record levels, higher than ever seen in either the Soviet or tsarist periods, and now total $424 billion, while the Government Stabilisation Fund now comes to 3.5 trillion roubles.
What impact does this have on our people's lives and on the real social situation? The main indicator here is wages growth. Last year, wages rose on average by 13.4 percent, and this year by 14.4 percent. But what I particularly want to note is that, although wages rose by 13.4 percent on average last year, pensions rose by only 5.1 percent on average. This year, taking into account the increase that will take place as from December 1, pensions will rise by 21 percent on average. I think that this is a decent result. I want to stress that this is real growth, adjusted for inflation. I do realise that we still have problems to address and I will say more about this later, but this growth is real growth and it does take inflation into account.
What is especially pleasing to see are the changes in the demographic situation. When we discussed our programmes a couple of years ago, there were sceptics who said that no matter how much money invested in demographic projects, they would not produce results because low birthrates are simply the general trend in all post-industrial countries, including throughout Europe. But I nonetheless agreed with those who said that in our country, if the state gave this problem its attention, we could produce results, and this has proven to be the case.
What have we seen over this last period? The birthrate is higher than it has been for the last 15 years and the mortality rate is at its lowest since 1999. Infant mortality has also come down.
Finally, one of the positive effects or positive results of this last year that I would like to name is the reduction in unemployment. Last year, unemployment stood at 6.5 percent, while this year it has dropped to 5.7 percent. To give an idea what this actually means, this figure represents 600,000 people who have found jobs and begun working over this last year.
Of course there are still problems, and some of them are very clear, obvious to everyone in this country. They include rising prices and inflation, which we are unlikely to be able to keep within the target limit this year. We had planned for inflation of no more than 8 percent, but cumulative inflation already comes to 8.5 percent this year, and we still have two-and-a-half months to go before the end of the year. This is a problem that the Government must and will address, of course, and I am sure that we will succeed in resolving this problem too, but we need to take swift action to address it now, increasing people's incomes, especially pensioners' incomes.
I have decided to increase the basic pension by 300 roubles as from December 1, and this means that some categories of pensioners will see their pensions increase by 500 or more roubles, but the inflation problem still remains.
Rising prices go hand in hand with inflation. The Government has adopted a whole package of measures that I hope will bring positive results in this area. I think that we will feel the effects of these measures by the end of the year. <.>
O. SATINKO (Vladivostok, Primorsky Region): Satinko, Olga Vladimirovna, a resident of Russky Island.
Vladimir Vladimirovich, I send you my greetings on behalf of the 7,000 residents of Russky Island.
People in the Far East say that there are two Russias: one is the flourishing Russia that reaches to the Urals, and the other, after the Urals, feels all the isolation of an island. It costs a huge amount of money to fly from Vladivostok to Moscow. A return ticket to Moscow costs 45,000 roubles. But if Vladivostok is cut off from the rest of Russia, we on Russky Island are cut off even from Vladivostok. You cannot imagine just how many problems we have: unemployment, poor roads on the island, healthcare, education there are many problems. But the biggest problem of all is the link between the island and the mainland. Our life depends entirely on the ferry, and the ferry depends on the weather. Either there's ice or there's a storm warning, and we end up running along the coast on the island or on the mainland, trying to get back home or trying to get into work or school. For this reason we are often turned down when we apply for jobs.
We place great hopes on the summit [the APEC summit ed.] We hope that the summit will take place on Russky Island, in Vladivostok and will at least partially solve our problems. We place great hopes on you, Vladimir Vladimirovich, because you are one of the few leaders in our country who come to see us regularly. Few officials give us their attention. The question that interests us is: what will happen with us after your term in office ends, and will the summit take place in Vladivostok?
VLADIMIR PUTIN: I want to say first of all that the situation in the Far East and the Trans-Baikal area is a sensitive issue for the entire country. A total of 1.5 million people have left these regions over the last years and these regions now face a depopulation problem. This is an unacceptable situation and it is dangerous for us. Russia has developed these territories over hundreds of years and we will not allow the situation to degrade there further.
What are we doing to address this problem? First, we have adopted a number of federal programmes to develop the Trans-Baikal and Far East regions. A special commission was established on my initiative and it is headed by the Prime Minister. Officials at every level will therefore be paying the Far East their attention, and this attention will only increase.
Second, the federal targeted programmes for the Far East's development allocate considerable money from the federal budget 500 billion roubles over the next 4-5 years. This is a lot of money and we have never previously allocated such sums to any one programme. The issue is not just one of developing links with the European part of the country. The issue is also about, as you and everyone who lives in the region knows, disparities in electricity prices, and in this respect we plan to develop the energy sector in the region itself, develop the region's gas and electricity resources. Our plans also include creating new jobs above all in the high-technology sectors. We will support the Far East's traditional industrial sectors. These include aircraft construction, and, as you know, we have the Superjet project, which is moving along well. We will also support shipbuilding. As part of our work to establish a united shipbuilding corporation, the different shipbuilding segments in the Far East will be supported within the framework of the new corporation. We will develop infrastructure, build roads and ports and so on.
Of course, we need to put more thought into how to reduce the dependence of people in these regions on the high cost of plane or train travel. Cross-subsidising in this situation is justified and we will maintain and increase this system. The more fundamental solution is to increase people's incomes in these regions so that they can afford to travel freely around the country.
I assure you that the Government is aware of this situation and will work hard on resolving these problems. Attention to the problems of the Far East will not weaken but on the contrary will only increase.
Regarding the second part of your question, Russky Island and the APEC summit, it has been decided that the Russian Federation will host the APEC summit in 2012. At the last summit in Australia, I immediately informed my colleagues that if this honour is accorded to us, and the decision has been made now, as I said, we will organise the summit in Vladivostok. A Government commission, together with the regional authorities, has decided that the summit's central events should take place on Russky Island. This will require building at least one bridge and maybe even two bridges to link the island with the city of Vladivostok.
I have no doubt that this will improve the employment situation and create new jobs in Vladivostok and in the Far East in general. It will contribute to the region's development. These kinds of events are important, of course, but their greatest importance is that they serve as a magnet for attracting investment, both domestic and foreign investment. This is a good signal and it will be given. <.>
QUESTION (Vladivostok, Primorsky Region): Hello Vladimir Vladimirovich, my name is Vladislav and I am a student.
You have approved a programme for resettling Russians from abroad in regions where they are most needed. I know the Far East is just such a region, but for the most part it is not Russians from abroad returning to settle here but our nearby neighbours, people coming in from the neighbouring countries.
Then there is also the problem of how to encourage the people already here to stay here. I, for example, am in my second year of studies and am specialising in finance. I know that most of my fellow students plan to move west once they graduate, to Moscow or St Petersburg, or they plan to go abroad. I don't want to leave my region, but at the same time, I know that it will be quite hard for me to find work here once I graduate.
Thank you very much.
VLADIMIR PUTIN: Vladislav, I also do not want you to leave, not you nor your fellow students or anyone living in the Far East in general.
As I said before, the federal budget is allocating funds for infrastructure development and the creation of new jobs in the region, and I am sure that these programmes will be carried out.
There is indeed an outflow of people from the region, unfortunately, but I hope that the programmes I have mentioned will help not only to stabilise the situation but also to encourage people to move into the region.
Regarding the resettlement programme, we have indeed adopted a programme for resettling Russians from abroad. I cannot say that it has been so very effective so far. The pilot regions that will receive federal allocations for carrying out this programme include practically all the regions of the Far East and Trans-Baikal area: Khabarovsk, Primorsky, Magadan, Amur Regions and so on. There are 12 regions in total, most of them in Eastern Siberia and the Far East.
Under this programme, the regions concerned will receive the funds needed for the resettlement of Russians from abroad. What kind of funds are we talking about? I do not remember the exact figure but I think it is an initial sum of 60,000 followed by a monthly benefit if the people who have resettled do not have a permanent source of income. There is also administrative support for all procedures, customs procedures, moving costs, all the paperwork and so on. This is a social benefit package that also covers school and kindergarten education and so on. It is not a large sum of money but it does provide real support, and for people coming from the former Soviet republics it can be a considerable help. But this is not all the programme involves.
People who come to settle permanently in the Russian Federation and wish to become citizens of our country need jobs and housing, and this is the second component of the programme. This second component is the regional authorities' responsibility. Through joint efforts by the federal and regional authorities we can obtain the necessary synergy and produce the necessary results.
In this respect, I want to call on the regional officials in the Far East and Eastern Siberia. We have not yet seen particular enthusiasm on their part. It is a lot easier to bring in people from, China, say, have them carry out whatever work needs to be done and then send them back home again. This is a fair enough solution to immediate problems. Incidentally, the experts say that the number of foreign citizens in the Far East does not exceed the critical level. But we nevertheless have to think about how to stabilise our own population in these regions, and this is work that we will most definitely carry out. <.>
A. TKACHENKO (Vladivostok, Primorsky Region): Good afternoon, Vladimir Vladimirovich. My name is Alexander Tkachenko and I am also studying finance. I am in my third year. What worries me is that, after the APEC summit takes place here, our city could end up seeing resources concentrated in criminal activities? I say this because I know that there are plans to open some kind of gambling zones, something related to this kind of activity, but overall, how will the facilities built here be used?
VLADIMIR PUTIN: Regarding the gambling zones, you have no doubt heard of the decision made with regard to this sector of activity, namely, that gambling activities in Russia should be permitted in four regions only. The regions are now competing vigorously in the Government to obtain the right to open such a zone on their territory. Why such stiff competition? Because experts forecast that opening a gambling zone on this or that territory will bring significant revenue into the regional budget, and this in turn creates added opportunities for resolving social and related problems. If the budget has money, solutions can be found, but if there is no money, the region is forced to turn to the federal authorities and ask for subsidies. Opening a gambling zone is a very attractive prospect therefore from an economic point of view. Of course, it depends on the local and regional authorities to ensure that this is done in a civilised fashion.
The Government is to decide very soon on the framework for defining the boundaries of these zones. The choice of actual location for the zone is your governor's decision. If the regional authorities are opposed to the idea, the zone can be moved to a different location all together. But I assure you that given the economic attractiveness of establishing such a zone, no one is likely to turn down the opportunity.
You are right in that gambling often goes hand in hand with criminal activities, but as I said, it is the responsibility of the local authorities above all to ensure that these zones are organised in a proper and civilised fashion. <.>
A. SIBERT (Novosibirsk): Mr President, I want to ask a question that is no doubt of interest to many Russians. In an interview not so long ago, former U.S. Secretary of State Albright said that it is not fair that Russia alone should have control over Siberia's colossal natural wealth. My question is: what consequences can such statements have, and what is your view of such statements?
Thank you.
VLADIMIR PUTIN: This is an unexpected question, but I understand that it is an issue of concern, especially for everyone actually living in Siberia.
I am not acquainted with this particular statement by Mrs Albright, but I know that some politicians do share these ideas. I think such ideas are a sort of political erotic fantasy: they procure a certain pleasure, perhaps, but are unlikely to ever produce positive results. The events in Iraq provide the best illustration. There we have a small country with little ability to defend itself but with enormous oil reserves. And what is happening there now? We can all see with our own eyes that they have learned how to shoot there but have not had such success in bringing order to the country. And it is unlikely that they will be very successful because fighting the local population is always a losing prospect. It is possible to overthrow tyrannical regimes, such as that of Saddam Hussein, for example, but there is no future in waging war against the people.
Russia, fortunately, is not Iraq. Russia has enough means and strength of its own to be able to defend itself and protect its interests both at home and in other parts of the world. These kinds of statements by Western politicians only serve to confirm that the work we are undertaking to improve our defence capability and strengthen our armed forces is the right choice, and we will continue this work. <.>
R. MELIKHOVA (Novosibirsk): I am Raisa Melikhova, a design engineer at a research and design bureau.
Prices are rising. The rise in prices has been especially noticeable over the last month. In the shops I see that the prices of the goods on the shelves have almost doubled. This is a big burden for people like me who work in the public sector, not to mention for pensioners. My question is therefore, what will happen with prices over the coming months, and what is the Government doing to stabilise prices and prevent them from rising further?
VLADIMIR PUTIN: Yes, I also spoke about this, and you no doubt heard that I asked the government to pay attention to these rising prices.
Why are prices rising? Above all, this is because our country has become part of the world economy and everything that happens on world markets has an impact on us. We import a great many foodstuffs from Europe, but Europe has recently ended a lot of its agricultural subsidies and this has pushed up prices there by 15-17 percent. The increases in Europe have in turn pushed up prices here by 25 percent and in some cases, such as sunflower seed oil and a few other goods, by as much as 40 or even 60 percent.
We also have to look at what is happening in the global economy. Demand for alternative energy sources, bio-ethanol, for example, has increased, and this means that grain crops are also being used now for producing fuel that serves as an alternative to gas and oil. The volumes are not great as yet, but this increasing demand has already led to rising prices on this market.
What is the government doing to address this issue? What measures is it taking?
First, it is intervening on the market by drawing on grain reserves.
Second, it has increased export duties on grain in order to keep supplies here on the domestic market. It has also lowered import duties for some foodstuffs coming into Russia, in particular milk and dairy products, but we are proceeding very cautiously in this area so as not to undermine our own agriculture sector.
I know that people in the rural areas are probably also listening. Rising food prices are not good for people in the cities, but for agricultural producers they have a positive effect, and people in rural areas are no doubt afraid that we might lift all the barriers and they will end up having to sell everything they have produced at bargain-basement prices. These are all very delicate operations and I hope that the Government will make the optimum decisions. <.>
IGRIKOV (Aktau, Kazakhstan): Russia and Kazakhstan share a common history. We have good relations, our presidents and peoples are friends with each other and we have no unresolved problems.
I see that you meet regularly with our President. You met with him recently in Novosibirsk and just a few days ago in Iran. I hope that you will also hold a meeting here, on the banks of the Caspian Sea, where we are building Aktau City, the city of the future.
I would like to see our two countries become even closer friends. What does the President of our neighbour think of this idea?
VLADIMIR PUTIN: Good afternoon once again. Since we are now talking with people outside our own borders, in our friendly neighbour, Kazakhstan, I would first like to send my very best wishes to everyone in Kazakhstan and send my warmest greetings to my friend, President of Kazakhstan Nursultan Nazarbayev.
Regarding our cooperation, the Kazakhstan leadership and the President of Kazakhstan have really been the driving force behind integration in the post-Soviet area. Much that has been achieved so far in terms of integration projects has been at President Nazarbayev's initiative. At the recent Eurasian Economic Community summit in Tajikistan we made an important decision that we hope will have significant benefits for our economies and our peoples. We agreed that Belarus, Russia and Kazakhstan will establish a Customs Union on the understanding that the other members of the Eurasian Economic Community Tajikistan, Kyrgyzstan and Uzbekistan will join the union as and when their economies are ready. What does this mean in practice? Under the terms of this agreement, we will, for the first time in the post-Soviet area, establish a supranational body to regulate tariffs. This is a direct step towards creating a genuine union in the interests, above all, of making our economies more competitive. Ultimately, this will lead to the merger of entire sectors and to greater cooperation between individual companies, and this will all have benefits for people's lives.
Regarding the border areas, they account for approximately 70 percent of our countries' bilateral trade growth over these last years. A lot depends on the people who live in these border regions. I want to wish everyone success. Thank you very much. <.>
Y. GERASIMENKO (Aktau, Kazakhstan): Vladimir Vladimirovich, unlike in the Baltic states, we have no problem with the Russian language here in Kazakhstan. We can study and speak the language here without problem. But what is Russia doing to promote the Russian language in the former Soviet republics, and to support Russians abroad in general?
VLADIMIR PUTIN: Support for the Russian language as a means of international communication is one of the most important areas of our work. For Kazakhstan this has particular relevance. My data might not be exact, but I think that the figures I have are close to the truth: 85 percent of the population in Kazakhstan speaks Russian. This is a huge number.
Kazakhstan's leadership is indeed doing all it can to support this state of affairs and promote the development of the Russian language and its influence on cooperation between our countries. True, we have seen a certain reduction in the number of schools teaching Russian of late, due to technical reasons, I think. I think this is perhaps linked to insufficient literature in Russian, a shortage of textbooks. We are aware of this problem. Again, I am not certain that my figures are exact, but I think we sent around 23,000-25,000 textbooks to Kazakhstan last year, and this year we are sending more than 33,000 textbooks. I know for certain that the Government plans to expand cooperation in this area.
We have even established a special organisation, Russian World, to support the study of Russian abroad, above all in the former Soviet republics, of course. We will continue to give this matter our every attention, including in Kazakhstan, given the huge number of people there who consider Russian their native language. <.>
G. BARAKIN (question by telephone): Hello, I am retired Lieutenant-Colonel Gennady Barakin, and I live in the village of Balasheika in Syzran District.
I am sure that my question reflects the interests of many military pensioners: will military pensioners be paid the debts owing to them for pension arrears between January 1995 and February 1998? Thank you.
VLADIMIR PUTIN: Your question has been raised on many occasions by military pensioners. Indeed, military servicemen's wages were indexed in 1994-1995, and in accordance with the legislation in force, military pensions were also to be indexed immediately. This did not happen. I will not go into the reasons for this now, but I think that decision was unfair and justice should triumph.
At the same time, the bureaucratic problems encountered have not made it possible to settle this issue. In order to put an end to these bureaucratic obstacles, I will take the simple but radical decision of issuing a decree obliging the Government to resolve this problem by the end of the year.
I know that this will require an additional 40 billion roubles. We have this money. We need to settle this matter and we will do so in the nearest future. This will concern not just the arrears for 1995 but also the debts still owing from 1994. I promise you that this decree will be issued soon. <.>
Not only will we pay this money owed by the state, but we will adjust these payments accordingly to take into account current military pensions. In other words, military pensioners will receive payments adjusted to take into account the pension increases carried out over these last years. They will receive the money for 1995-1998, and the according coefficients will be applied to ensure that they receive in full the lost income for these years. That is what I wanted to add regarding the matter of military pensions. <.>
S. BRILYOV: There are two questions that should probably be discussed. One comes from Moscow, and we now have Moscow on line. The question is: what do you think of the idea of holding Children's Olympics in Moscow?
VLADIMIR PUTIN: I support it. I think that any competitions, especially for children, for boys and girls, are a very positive thing. Moscow has shown a lot of initiative, including by holding children's and youth games for the CIS countries. This is a very good initiative by Moscow's mayor, Yury Luzhkov. Moscow and the Moscow Region are doing a lot to build modern new sports facilities and I have no doubt that Moscow is already practically ready to hold these events. Moscow has been essentially the initiator of the Junior Olympics. We presented this idea to the International Olympic Committee, which then took the idea under its own flag and is now carrying out the work to select the city to host these games. We will naturally support Moscow's efforts.
S. BRILYOV: I am sure that we will return to Olympic matters today. Now we have another question that has come in by SMS and concerns a completely different but no less important subject: "Vladimir Vladimirovich, why did you go to Iran, after all, you were under threat there?"
VLADIMIR PUTIN: This visit was already planned a long time ago. The summit of Caspian nations was taking place there, bringing together the five countries of the Caspian region: Russia, Kazakhstan, Azerbaijan, Turkmenistan and Iran. Russia has an interest in settling all of the problems the Caspian countries encounter in order to ensure that the Caspian's resources are used in stable, predictable and civilised fashion and on a long-term basis. To be fair, we have already settled our relations with our nearest neighbours, Azerbaijan and Kazakhstan, but we want to reach a comprehensive settlement regarding the Caspian. This was the main motive behind continuing these discussions and building up friendly working relations with all of the Caspian countries. We have taken the necessary steps in this direction through our work together, needed and useful steps, and I am very pleased by this.
Concerning our relations with Iran, we all understand that Iran and Russia have always been close neighbours, and we will continue to develop good-neighbourly relations with this country.
In some areas, cooperation in the energy sector, for example, in oil and gas, electricity and nuclear energy, we are without any doubt very important partners to put it mildly. This creates a need to discuss all the relevant matters at the very highest level.
Of course, we are all aware of the Iranian nuclear issue. Russia is working together with the other members of the international community to help find peaceful solutions to this problem in the interests of the entire international community and of the Iranian people. This was also an important part of our talks.
Regarding the threats that were made, I think this was no more than an attempt to prevent this visit from going ahead. I think this is detrimental for international communication because direct dialogue, direct contact between the leaders of countries that are encountering problems is always more productive and a quicker road to success than a policy of threats, sanctions and even more so using the pressure of force.
S. BRILYOV: So this is why you dismissed the threats of an assassination attempt so lightly in Wiesbaden? When was that, on Monday?
VLADIMIR PUTIN: Yes, that is why I dismissed these threats.<.>
L. KULKOVA (Yekaterinburg): Hello Vladimir Vladimirovich, I am Larisa Ivanovna Kulkova, a history teacher.
Our region, the Urals region, has always been Russia's reliable support base. Our country's history shows just what an important part our country has played in forming and developing our state. But few remember this now. As a teacher, I am worried about this negligent attitude towards history, especially among young people. There are a mass of shocking examples of historical ignorance.
Vladimir Vladimirovich, do you not think that the state should pay greater attention to the problem of attitudes towards history here in our country, whether the history of our individual regions or that of the country as a whole? If we do nothing to address this problem, we risk turning into people who don't remember their own roots, and life has given us enough examples to show us just how potentially dangerous this can be for the country.
Thank you.
VLADIMIR PUTIN: Larisa Ivanovna, you teach history?
L. KULKOVA: Yes.
VLADIMIR PUTIN: That explains why you have a professional as well as a civic interest in this problem.
I fully agree with you. I also love history. We all know that just recently you could open a textbook and read things, especially about the outcome of World War II, that made your hair stand on end, but there have been positive changes in this respect of late.
I met with history and social sciences teachers just recently, with scholars working in these fields, and they formulated some very good proposals on what we can do to improve the situation, not by imposing a state point of view, but by giving young people above all, and all people in our country, the chance to learn about all the different points of view on this or that issue, while providing an objective view of history and of our people's acts and accomplishments.
I think this is an extremely important area of our common work. In order to ensure the necessary quality in this work (you no doubt know that the relevant decision has been adopted in law) the Education Ministry will play a greater role and will be able to provide expert evaluation during the preparation of textbooks. I hope that this will have a positive impact. <.>
K. LOKHOV (Yekaterinburg): Konstantin Petrovich Lokhov, lathe operator.
Vladimir Vladimirovich, there has been a lot of talk of "Putin's Plan, Russia's Victory" of late. Could you tell us what your plan is all about?
Thank you.
VLADIMIR PUTIN: Konstantin Petrovich, when I spoke at the United Russia congress, I said that I did not think it right to personify this plan, because it is really the product of work carried out by experts at all levels. This plan is the result of work done by experts in both houses of the parliament, and in the Government. This plan is set out in my Annual Addresses to the Federal Assembly. It is one of my duties to make these annual addresses.
Over these last years I have taken as the main theme social development, strengthening the armed forces and improving defence capability and security, international relations, and economic development. Medium- or long-term programmes have been drawn up for all of these different areas, and I consider that all of this together provides a strategic plan for the country's development.
One of the issues we have been discussing now is the demographic situation. As you know, as part of our efforts to resolve this problem, we have decided to institute what has been called the maternity capital. This is a programme that will be carried out over a ten-year period, an example of an absolutely concrete programme with funding calculated for ten years ahead.
Or take rural development, for example, another area in which we have adopted a rural development programme that will be implemented over the next several years. And then there are the armed forces, where we have a programme for modernising arms and equipment over the period through to 2015. All of these different programmes are components of the strategic national development plan. The fact that people have decided to personify this plan and link it to the current President can be put down to campaign tactics in the run up to the parliamentary election, but the plan itself is real and the country needs it, and I am sure that if we implement it consistently, we will succeed in making serious progress in our development. <.>
G. STAFEYEV (Yekaterinburg): Gleb Nikolayevich Stafeyev, senior craftsman.
Vladimir Vladimirovich, I am very concerned about our relations with our neighbours, especially with Ukraine. What is the outlook for our relations with Ukraine, all the more now that elections have taken place there?
Thank you.
VLADIMIR PUTIN: Developing our relations with the former Soviet republics is one of our main foreign policy priorities. The extent of our trade and the depth of our cooperation is such in some economic sectors that if our work together were to suffer in these areas entire production sectors would find themselves at a standstill. Furthermore, there is a high level of interdependence in agriculture and in defence. That is not to mention the millions of our citizens who have direct ties with friends and family in these countries. According to the statistics, up to 17 million ethnic Russians live in Ukraine, while some four million Ukrainians live in Russia, whether permanently or temporarily. In other words, the relations between our countries have a direct impact on the welfare of millions of Russians and Ukrainians. We will give this matter our closest attention. Of course, relations between our two countries should be built on a modern and pragmatic basis that takes into account each other's interests.
Our cooperation in the energy sector, for example, should be based on market principles. As I have said on many past occasions, we have provided subsidies to the Ukrainian economy in the form of cheap energy prices totalling $3 billion-$5 billion a year over the last 15 years. No other country in the world has probably provided Ukraine with such support.
But we will ensure that the transition to market relations is gradual and takes place in a friendly atmosphere, so as not to be to the detriment of our Ukrainian partners, all the more so as we too are making the transition to market price formation here on our domestic market.
As for political cooperation, I hope that whatever the future government in Ukraine, whatever its political platform, the objective reality will encourage our partners to develop cooperation with the Russian Federation. We seek such cooperation and will do everything we can to encourage it. <.>
S. PESHKOV (Podkolodnovka Village, Voronezh Region): Peshkov, Sergei Petrovich, chairman of Krinitsa Agricultural Cooperative.
The state is doing what it can today to provide us with material assistance, but this is clearly insufficient. You already mentioned that our country will soon join the World Trade Organisation, and, under this organisation's rules, the subsidies the state provides us will either drop dramatically or will be abolished altogether.
But how are we supposed to survive in such conditions? We are being asked to open up our market, but then we will be flooded with a lot of food products, some of which are of dubious quality, and what are we, the farmers, supposed to do?
VLADIMIR PUTIN: Sergei Petrovich, you noted yourself that the state is making an effort to support agriculture. There is probably never enough support. <.>
Although there are entire programmes that have been drafted and are being carried out in various regions of the country.
Regarding support for agriculture in general, you probably know that this covers taxation, above all, tax preferences, the consolidated agricultural tax, and it also covers rural development, the area in which we have adopted an entire programme. It also covers support for young families, above all in rural areas, helping them to obtain housing by subsidising up to 40 percent of the cost through various financing sources. And then there is also the implementation of a balanced customs policy. You have probably heard about the decision to introduce import quotas for foodstuffs. Unfortunately, our producers are not yet able to cover all our needs, as can be seen by the rising prices for foodstuffs in the big cities. We have to address this issue too, and this is why we have been forced to lower the import duties on a number of foodstuffs.
Look at what the state has done over these last years to resolve the issue of subsidised interest rates for loans. The number of agricultural enterprises obtaining loans has hit record levels over these last years, and this has boosted growth in livestock and some other segments of the agriculture sector.
As for the potential dangers in Russia's accession to the WTO, I have already said in the past that Russia will join the WTO only on conditions that are acceptable for our country and for producers in various sectors of our economy, including in agriculture. Our negotiators have negotiated just such conditions. This covers agricultural subsidies too. In Europe, the decision has been taken to reduce agricultural subsidies, and they are ultimately to be phased out altogether. We have already negotiated a transition period for Russia, quite a long transition period, during which the Government will retain the right to subsidise agriculture.
All of these different measures should ultimately develop our country's agriculture and create an environment of healthy competition, and, of particular importance, give our producers the chance to take their products to the world market. This year, we had a grain harvest of 78 million tons, I think. This is slightly less than last year but it is still enough for us to be able to export around 10 million tons.
One other circumstance that I already mentioned today is that there is growing demand in the world for bio-fuel. What is this? This is the use of various crops to produce alternative fuels to oil and gas. There are not so many countries in the world that can supply these crops, but one of the potential suppliers is, of course, Russia with its vast territory. In this respect, our rural population will eventually find themselves taking over the niche occupied by our oil and gas companies. Surely this is a good prospect? I think that if we work carefully and keep close watch over our interests, we will be able to achieve positive results, including in our accession to the WTO. But as things stand at the moment, we have still not joined the WTO and are still engaged in accession talks. <.>
A. TISHCHENKO (Podkolodnovka Village, Voronezh Region): Vladimir Vladimirovich, I sell my milk for 8 roubles a litre, and in the shops it sells for up to 30 roubles a litre. Why such a big difference? After all, the producer's job is much tougher than that of the processing company.
Thank you.
VLADIMIR PUTIN: Yes, I agree with you and we are aware of this problem. It is not easy to address this problem, but there are some things we can do. What this problem suggests is that the companies buying up the milk in many localities and regions are acting in monopoly fashion, whereas what is needed is for the companies that do the buying up and the wholesalers to offer their services on a market basis. It is with regret that I say this, but to a large extent, the reason why the system is working as it is, is because officials at various levels, especially at local level, support these monopolies or see them as their own. Addressing this problem requires them to put in place market conditions rather than offering protection to those with whom they have established special ties. This is the most important step towards resolving this situation. This is an issue the governors, above all, should be paying attention to. They know what I am talking about and it is their duty to take the necessary measures.
The second issue, of course, is that of price mark-ups. In one and the same small town, price mark-ups on products differ considerably, sometimes by up to 40 percent or more, and this is also something the regional authorities need to monitor. <.>
S. SEMYONOV (Plesetsk, Archangelsk Region): Hello Vladimir vladimirovich, hello Katya, hello Sergei.
The Plesetsk Space Launch Centre, where we are right now, is the northernmost space launch centre in the world. It is celebrating its fiftieth anniversary this year. Over these years, it has launched around 2,000 spacecraft. The launch facilities here also launch ballistic missiles.
This morning, a military-training launch of a Topol ballistic missile took place, and, as an exception, our TV crew was allowed to go as close as possible to the launch facility. Now our viewers can see for the first time just what the launch of a Topol missile looks like from a distance of only 400 metres. Around 20 minutes later, the missile hit its target at a test ground in Kamchatka.
Here now are officers who took part in the launch. The ones in the blue uniforms are on military duty, and there are also soldiers and officers here in their everyday uniforms, people who are off duty today and have come along.
Of course, everyone has a lot of questions. Please, put your questions to the Commander-in-Chief, but don't forget to introduce yourselves.
POLUNIN: Comrade Commander-in-Chief, I am Colonel Polunin, head of the test department.
For us who carry out the tests of our equipment, it is always pleasing when we see it not only on display at exhibitions but also being delivered to the troops. How quickly will the programme to modernise the armed forces' equipment take place?
VLADIMIR PUTIN: First of all, I would like to congratulate you all on the successful launch. I think that servicemen know.
VOICES: We serve the Fatherland!
VLADIMIR PUTIN: Thank you. I suppose the journalist present perhaps does not know all the details, but as far as I understand, the missile launched today was a Topol-M missile rather than a Topol, is that so?
POLUNIN: No, it was a Topol missile that has had its service life extended, comrade Commander-in-Chief.
VLADIMIR PUTIN: I see. But we know that the Topol-M missiles are now being commissioned by the armed forces. And we will give our attention not just to the nuclear triad the strategic missile forces, strategic aviation and the nuclear submarine fleet but also to other types of arms.
We have adopted an arms programme through to 2015 that provides for the development of all the different branches of the armed forces. This concerns aviation too. As you know, we have started delivering Su-34 attack aircraft to the armed forces. The numbers are not large as yet, but these aircraft are of the highest quality and are world leaders in their sector. I hope that by 2012 or 2015, we will have developed a new generation attack aircraft ready to be commissioned by the armed forces.
We will develop missile technology, including entirely new strategic systems, not just the Topol system with multiple warheads, but also completely new systems. I have already spoken about this on many occasions. Work is progressing well.
We will also pay attention to high-precision weapons. Tests have been conducted and I was present for one of them. Tests have been conducted from on board strategic aircraft, from the Tu-160. We will modernise these aircraft, just as we will modernise the Tu-95. The Iskander-M attack system is already being delivered now to our ground forces.
We will also pay attention to intelligence, communications and electronic warfare equipment. And we will also pay attention to the soldiers in the potential field, to ensuring that their operations are as effective as possible and that they themselves have maximum protection.
We are also developing the navy, both surface vessels and submarines (you are with the missile forces and are not sailors, but you know what nuclear submarines are all about). Work on the Yury Dolgoruky submarine will be completed this year. It is already in the dry dock and tests in the water will begin soon. Work is continuing on the nuclear submarines Vladimir Monomakh and Alexander Nevsky. In 2008, we will begin work on another strategic nuclear submarine.
As you can see, our plans are very ambitious indeed, but they are also absolutely realistic and I have no doubt at all that we will carry them out. Our armed forces will be compact but effective and will provide our country with a reliable guarantee of its security for many years to come. <.>
STRANATKO (Plesetsk, Archangelsk Region): Head of the launch group Major Stranatko.
Compulsory military service is currently 18 months. This is to be reduced to one year starting in January 2008. How can a year be enough to master technology and equipment as complex as ours, in the space forces? Will this not lower the level of combat preparedness in the armed forces?
VLADIMIR PUTIN: Comrade Major, I can give you my assurance, but I am sure that you yourself know well enough the soldiers doing compulsory military service and do not let them handle the kind of complex equipment that is under your command.
The reasons for reducing military service to one year are: first, ensure that there is a sufficient supply of young people for the national economy and, second, combine this shorter military service with pre-military service training. We are currently drawing up a whole programme for working with young people before they reach military service age. As for service in units where special training is necessary, units involved in high-technology areas of military activity, these units should be manned primarily by contract soldiers. Indeed, some kinds of equipment should be serviced only by officers. We are aware of these circumstances and will ensure that this is indeed the case.
The reduced military service period will also mean that young men doing their military service will not be sent to 'hot spots'. Only professionals will work in such zones. This is also a very important part of military reform. <.>
KUZYAEV (Plesetsk, Archangelsk Region): I want to ask you a question on behalf of all Russian soccer fans. We all watched the soccer match yesterday, and it was a fantastic game that gave us all a real boost.
I would like to know what were your personal impressions of yesterday's match?
VLADIMIR PUTIN: I congratulated all the fans and the team members at the start of this broadcast.
My friends and I managed to watch only parts of the match yesterday and not the whole event, unfortunately, because I was preparing for today's work and had to look through a large amount of documents and statistics, though I was keeping one eye on the TV screen. I liked the match.
I think that our team won thanks to its team spirit and the high level of professionalism of the trainer, the chief trainer, and also thanks to the support that was felt all around the country and in the stadium itself. This support was clearly visible. I think that we should try to keep this winning mood in the future. <.>
QUESTION BY TELEPHONE: My name is Andrei Sosnin and I am an ambulance driver in Moscow. Whenever we get called out or are driving patients to the hospital, we always run into the most awful traffic jams and also plenty of rude drivers. But people's lives depend on how quickly the ambulance can get through.
What interests me then is what will be done to resolve the traffic jam problem in the big cities?
Thank you.
VLADIMIR PUTIN: Andrei, as far as the big cities are concerned, the only solution is infrastructure development. You know that in Moscow this involves the construction of ring roads, various overpasses and tunnels. To be frank, a lot of work has already been done. The roads bear a high burden, there is a lot of traffic to deal with and it is not always possible to resolve everything effectively and quickly, but the Moscow city authorities are working hard on these issues.
As for the problem of rude drivers, breaking the road rules and so on, this depends more on general culture. The way drivers behave on the road is directly linked to the way they behave in general. Of course, the laws also need to react to what is happening in real life. The decision was taken recently to toughen the penalties for breaking the road rules. Let's see how this will be enforced in practice and how well it will actually work. Depending on this, we will take additional steps if needed. <.>
A. NURUTDINOV (Question by telephone): This is Andrei Nurutdinov. My question is: the Americans do not even hide the fact that they began the war in Iraq and in Afghanistan in order to get control of these countries' oil reserves, and now they are gradually withdrawing their troops from these countries. What consequences could this have for Russia?
Thank you.
VLADIMIR PUTIN: Afghanistan does not have oil reserves, so that is a separate case.
As for Iraq, I agree that one of the aims pursued, in my view, of course, was to gain control of that country's oil reserves.
Somewhere in the middle of this broadcast I said that there are some whose minds have become inflamed with this idea of getting their hands on Russia's resources, including in Siberia. We see what is happening in Iraq and see that this policy does not bring results.
As for the possible withdrawal of international contingents, including the American contingent, from these two places, the burden for countries, especially for European countries, with military contingents in Afghanistan is great. This is a material burden and also a considerable moral and political burden. Russia is doing all it can to support these countries that are trying to stabilise the situation in Afghanistan. For the first time in our history we have allowed NATO countries to use our country as a transit route for military cargoes and personnel. We help by providing information and we are examining the possibilities for economic participation in helping to rebuild Afghanistan. We are in constant contact with Afghanistan's leadership and there are good prospects in this respect.
As for Iraq, I agree with the President of the United States and think that he is absolutely right when he says that the international contingent can withdraw from Iraq only once the Iraqi leadership is able to ensure a stable regime in the country. The difference in our approaches is that the Americans think that a deadline for withdrawing the foreign troops on Iraqi territory should not be named, while I think that a deadline should be named, because so long as the Iraqi leadership feels that it is protected by America's umbrella, it will not be in such a hurry to develop its own armed forces and law enforcement agencies. But once they know that there is a countdown to the deadline, after which the American guns will be gone, I think they will make an effort to work more effectively and consistently and show more resolve in strengthening their own armed forces. But it is absolutely unacceptable to keep an occupation regime in place there forever. <.>
QUESTION BY TELEPHONE: My name is Svetlana. I am a first-year student from Yekaterinburg. I am studying in an institute that does not have facilities for wheelchair-users. Also, there are not enough traffic lights for blind people in our city. What can be done to address these problems?
Thank you. <.>
VLADIMIR PUTIN: Unfortunately, not much has been done so far by way of adapting infrastructure, above all city infrastructure, for people with disabilities in order to ensure that they can lead a normal life. Now, the appropriate changes are being made to various standards, above all technical standards, and urban development plans are increasingly taking into account the needs of people with disabilities.
Recently I had the chance to inspect new vehicles - buses and trolleybuses and I was pleased to see that manufacturers are not just producing modern vehicles but are ensuring that they can be used by people with disabilities. These vehicles are fitted with all the necessary equipment. As for the issue of traffic lights and other infrastructure, you are right, unfortunately little has been done. But we will work hard to develop this infrastructure. <.>
Y. ANDREYEVA: We are now on line with a district centre that became famous throughout the whole country and around the world after local people formed a people's militia to fight the terrorists led by Basayev and Khattab. We go live now to Dagestan, to Botlikh, where our correspondent Ilya Kanavin is at work.
Ilya, hello, the floor is yours.
I. KANAVIN: Hello Vladimir Vladimirovich, hello Yekaterina, hello Sergei.
Behind me, on the other side of the mountain, is Georgia. On the opposite side is a mountain you can't see, unfortunately, and that is where Chechnya begins. We are up here in the mountains, up amongst the clouds, and the beauty of these places is really indescribably.
People in Dagestan say that Botlikh is not just a place name but a moral category. In 1999, people rose up to fight off a bloody and barefaced attack by Wahhabites. People remember here at what cost they stood up for themselves, and they also remember that you came here back during those tragic days.
Here today are people from Botlikh and also from the surrounding villages. We will give them the chance to speak with the President, but the commander of the motorised rifle mountain brigade has convinced me that he has something to say to the Commander-in-Chief, so I will give him the floor first.
SOKOLOV: Comrade Commander-in-Chief, I am Colonel Sokolov, commander of the 33rd motorised rifle mountain brigade. I wish you health!
VLADIMIR PUTIN: Good afternoon.
SOKOLOV: Comrade Commander-in-Chief, in accordance with your decree of June 2006, the 33rd motorised rifle mountain brigade was formed in the Botlikh District of the Republic of Dagestan in the North Caucasus Military District. The formation of this brigade will be completed by October 25 this year. The brigade now has all the arms, military equipment and material supplies it needs to carry out its missions. The infrastructure is all in place. A general school and a kindergarten opened their doors on September first.
Comrade Commander-in-Chief, Colonel Sokolov has completed his report.
I. KANAVIN: Do you have a question for the President?
SOKOLOV: Yes.
Comrade Commander-in-Chief, our unit includes servicemen who are contract soldiers, people who have decided to devote their lives to serving in the Russian Armed Forces, but unlike the officers and warrant officers, who have service housing, they cannot bring their families here, and this forces them to have to choose between their service and their families. What plans do you have for resolving this problem?
VLADIMIR PUTIN: Before answering your question, I would like to greet all the residents of Botlikh. I remember my visit there and I remember quite a different picture. Rather than being met by well-dressed women and children and quiet, dignified elders and men, I found myself surrounded at that time by people with guns in their hands.
I remember the part Botlikh played in resisting the attack by international terrorists and Wahhabites. People of their own accord, without any call from outside or from the federal authorities, took up arms in defence of Russia's interests and their own homes.
What really made an impression on me was that when the federal troops did arrive, the elders asked the unit commanders why they did not fire on the villages occupied by the terrorists. The answer was also unexpected. Our officers said that they did not want to damage the villagers' homes. Building a home up in the mountains is hard work. Families work on their houses for generations. But the elders' reply surprised me even more. "Don't pity our homes", they said. This was an example of exceptional patriotism, an example of not just local Dagestani patriotism but of national patriotism.
We also remember other towns where people showed just as much heroism, the Tsumadinsky District, for example. Now we have stationed a mountain brigade there and this is part of the work to develop the armed forces. We had all but lost these kinds of units with their special equipment and training, but they are part of the defence of Dagestan and Russia's southern borders in general, and they protect above all the security of the people living in these areas. We remember how back in 1999 it took more than a day for marines from Kaspiisk to reach the area, while now we have troops stationed right here. But I want the development of the mountain brigade's facilities and infrastructure to go hand in hand with infrastructure development in general in the Dagestani villages themselves, with the construction of new roads, schools and hospitals. I know that some work has already been done, as we agreed. And if not everything has been done, I promise you that we will complete all of this work.
I also hope that relations between the servicemen and the local population will be the best possible, not just friendly relations but fraternal relations, and I very much ask the local population to support our servicemen.
Regarding your question about the contract soldiers, yes, it is true that during the first three years of contract service, servicemen cannot benefit from the preferential military mortgage loan system, but they gain this right when they sign their second contract. This was done to encourage people to continue contract service.
With regard to contract servicemen who have families and who are sent to serve in remote areas where it is assumed they are not going to have permanent housing, the only possible solution is to build new family hostels or houses with small but comfortable apartments that would be made available to servicemen as service housing. There are examples of this kind of accommodation and money is being allocated for these purposes. This is the work of the relevant ministry itself, the Defence Ministry. This is how the border guards, for example, deal with this issue. True, the border guards have fewer servicemen to make arrangements for, but I think that their experience could serve as a model for the Armed Forces too. <.>
To be continued.