Vladimir Putin's introductory remarks:

Good afternoon, colleagues.

Today we will discuss the development of the mandatory medical insurance system. To remind you, modernising the mandatory medical insurance system and advancing Russian healthcare in general is a key objective of the government in 2011. To meet this objective, insurance premiums paid into the medical insurance system have been increased from 3.1 to 5.1%.

This will allow the government to direct a total of 460 billion roubles in the coming two years toward repairing hospitals and outpatient clinics, equipping them, creating an information-based healthcare system and maintaining medical service standards. Again, all this will be done when the regions of the Russian Federation present their own regional plans to modernise healthcare, which must be clear and comply with the rules established by the Ministry of Healthcare. At the same time, the law On Mandatory Medical Insurance must be enacted. This law will spell out the basic principles of the modern healthcare system and medical services and define the mechanism for their implementation.

The entire system needs to be built with a focus on the health of each individual, rather than the interests of businesses, government agencies or medical institutions.

Once the law is enacted, the insured will be able to choose their doctor and where they receive treatment. This choice won't just exist on paper, but in reality. Also, payment for medical services will be made after the service is actually provided to an individual patient. This principle of payment following the service consumer, much talked about in recent years, must be translated into reality.

And finally, the budget of the mandatory medical insurance system must be balanced. Government authorities in the regions of the Russian Federation may not evade their responsibility to pay insurance premiums on behalf of the unemployed. This kind of responsible attitude is essential if we are to provide equal access to medical treatment for all the citizens of the Russian Federation, wherever they live.

At our request, the draft law On Mandatory Medical Insurance has been introduced by a group of State Duma deputies. We are grateful to them for passing it in the first reading before the summer recess.

Now the Ministry of Healthcare and Social Development, the Ministry of Finance and other agencies involved in the reform must quickly prepare all the necessary amendments to the bill, so that the parliament can finalise and pass the legislation.

Today I would like to draw your attention to the following: First, the description of people's rights and options within the system of mandatory medical insurance should be as simple and clear as possible; second, the system's resources should be used rationally, minimising administrative and other unrelated expenses. It is also necessary to set up a balanced system of incentives and penalties so that all participants have an interest in providing quality and prompt medical assistance. And third, while modernising the medical insurance system, the best traditions of Russian medicine should be preserved, especially its emphasis on disease prevention.

Let's get down to work.

Prime Minister Vladimir Putin has signed an executive order allocating an additional 1 billion roubles to provide high-tech medical treatment to citizens of the Russian Federation. As a result, an additional 7,500 people will be able to receive such treatment this year.