Transcript of the start of the meeting:

Vladimir Putin: Let us begin with the general economic situation. What are the latest figures?

Elvira Nabiullina: We have figures for March and the 1st quarter. As we have reported before, industrial output and the gross domestic product are sliding down, though March saw some conflicting economic trends. Certain figures are very reassuring though many indices are alarming-clearly, due to the global economic crisis.

Vladimir Putin: Which economic fields are doing well?

Elvira Nabiullina: Food, especially meat-output is growing, and there are improvements in car manufacture, compared to last month's. We hope the industry will make more money thanks to loan subsidies and other measures promoting domestic demand. With these measures, plus allocations, we promote the increasing output of the automotive industry, with its multiple effects on many other economic branches and sectors.

Inflation is slowing down, and we hope the trend will persist. It was 0.2% last week against the weekly average 0.5% in January, 0.35% in February and 0.26% March. It is 0.2% in April, and we hope things will continue like that.

Vladimir Putin: So there is a positive trend?

Elvira Nabiullina: Yes, and we hope our inflation forecast for the year will be right. There is another positive trend-a certain increase of exports after they fell month after month since the middle of 2008. February showed a token growth, while March exports exceeded February's by 25%.

Imports are also slowly increasing. However, the figure fell by more than 30% in the first quarter to give a chance to Russian industry at import substituting.

Vladimir Putin: What is the situation of our partner countries in the EurAsEc and the CIS?

Elvira Nabiullina: Much the same. Everyone is affected by the crisis and has problems with consumer demands-especially export-oriented countries. Many of them are oriented towards the Russian market. So things are very complicated, and rather similar, in all countries.

Vladimir Putin: What about our closest partners-Belarus, for example?

Elvira Nabiullina: Our ties with Belarus are quite close. Statistics for January and February show it to be our principal trade partner in the CIS, while it came second after Ukraine previously. In global terms, Belarus has advanced from the 6th place to the 5th in trade with Russia. Be that as it may, trade is shrinking in virtually all countries.

As per your directive, we are implementing a joint action plan to keep mutual trade afloat and respond to the crisis all together. The plan also concerns comprehensive measures to boost market integration, corporate partnership and capital interpenetration. An initial stride has been made by my ministry's Executive Order establishing 15% price preferences for enlisted Russian commodities in government purchases. We are amending the order to spread the preferences to the production of many Belarusian companies-especially those working in tandem with Russian companies. They are purchasing many components from Russian manufacturers, so the measure promotes both Russian and Belarusian business.

We have coordinated with Belarus a list of companies with prospects of state support. They are all in close cooperation with each other. Now, we are thinking how to arrange leasing relations. Leasing is essential to our countries and markets, especially where farm machinery is concerned. Here, our markets are closely interlinked.

We have agreed with Belarus to do it on a parity basis-which means our leases will benefit Russian and Belarusian manufacturers at the same time. Relevant talks are underway. My ministry, Rosagroleasing and the Belarusian Agriculture Ministry are among the partners. So we are making progress according to plan.

Vladimir Putin: Do all previous agreements and preferences for work in the Russian market work as before?

Elvira Nabiullina: They do. Nothing has been abolished, though ordinary Belarusian exporters have problems with getting bank loans. But then, such is the situation everywhere. Russian companies have similar predicaments.

Vladimir Putin: Thank you.