PRESS RELEASE*
The following issues are scheduled for discussion at the Government Presidium meeting on May 18, 2009:
1. Project Development of Small and Medium Enterprises on the List of Projects to Implement the Guidelines of the Activities of the Government of the Russian Federation through 2012.
1) The plan for Development of Small and Medium Enterprises has been made pursuant to Decree No.215 of the Government of the Russian Federation of March 10, 2009 On the Procedure of Organizing the Projects to Implement the Main Guidelines of the Activities of the Government of the Russian Federation and pursuant to the list of projects to be implemented in accordance with the Main Guidelines of the Activities of the Government of the Russian Federation through 2012 Approved under Government Executive Order No.1663-r of November 17, 2008.
The development of small and medium enterprises is recognised as a primary objective of the economic development of the Russian Federation. Two goals are proposed for the implementation of the project:
-increase the share of small and medium enterprises in the economy;
-promote the organisation of an innovation production structure for small and medium-sized enterprises.
The four target indicators of the project envisage vigorous growth in the qualitative statistics of the development of small and medium enterprises over 4 years and comprise:
- increase of the share of employees in small and medium-sized companies compared to those employed in the economy by two times to 28%;
- of the share of output of small and medium companies in the gross domestic product by 50% to one third of GDP;
- the growth of the number of small and medium companies per 1000 people by 15% to 11.4 companies;
- the increase of the share of small and medium enterprises turnover in the non-trade sphere by 50% of the total turnover of that sector of the economy.
Eleven tasks and 69 measures are aimed at implementing the goals of the project of which the bulk - 10 tasks and 55 measures - cover the whole sector and are fully within the jurisdiction of the Ministry of Economic Development of Russia.
2) According to the monthly monitoring of business conditions conducted by the national non-governmental organisation Opora Rossii and the Chamber of Commerce and Industry of the Russian Federation, the key problem of small and medium enterprises is falling demand for their products as noted by half of the respondents.
Therefore, the first task identified is ensuring demand for the products (services) provided by small and medium companies by means of state (and municipal) order (purchase) and orders from natural monopolies and state-owned corporations.
In addition to amendments to the legislation on state and municipal orders passed in 2008 (extending the requirement to hold specialized tenders for small companies and a five-fold increase to 15 million roubles in the maximum lot in special tenders) the development of electronic auctions offers the potential for increased participation of small companies in fulfilling state orders. Such purchase agreements ensure the greatest participation of small enterprises, according to statistics. It is also necessary to establish administrative responsibility over the government officials in case of untimely payment under state and municipal contracts because frequently it is the small companies that have properly fulfilled the contract and then find it difficult to procure payment from the customer.
In addition to amendments to the legislation, a series of measures will be implemented for the development of five websites and a national portal for state (and municipal) procurement with the funds earmarked for the implementation of the Electronic Russia Federal Targeted Programme. The target is to more than double (to 35%) the share of state (and municipal) orders, the purchases from natural monopolies and state-owned corporations awarded to small and medium enterprises by 2012.
3) Supporting the demand for the products of small and medium enterprises by bringing in the potential of state (and municipal) purchases need not supplant the work to increase demand for the products of small and medium companies by making such products more competitive. As a rule competitive small and medium companies are product exporters, which is why the proposed measures concentrate on supporting this group of small and medium companies and include the payment of several financial subsidies out of the budgets at all levels and more active involvement of trade representatives of the Russian Federation in implementing programmes of export promotion.
4) The problem of poor access to office space and production equipment confronts 70% of small and medium enterprises.
In 2006-2008, a number of federal laws were adopted which enable the Russian Federation, the constituent entities of the Russian Federation and local government bodies to form lists of state and municipal property intended exclusively for rental by small and medium enterprises. The property included in such lists is to be made available for long-term lease (over 5 years), and to socially sensitive types of economic activities at reduced rate.
At present, regional lists of property have been formed in 36 constituent entities of the Russian Federation which comprise over 25,000 facilities with a total floor space of 6 million square meters.
Forming regional lists in every region of the Russian Federation and municipal entity with a population of over 100,000, as well as a compilation listing federal property, will double the accessibility of property to small and medium companies. Assessment will be made on the basis of the data submitted by the national non-governmental associations of entrepreneurs.
In addition, provisions in Russian legislation are to be implemented on granting preferential rights to tenants - small and medium enterprises - to purchase their respective rented property to achieve the conclusion of 5,000 purchase and sale contracts for such property.
5) Access to real estate which forms part of the technological infrastructure (power grids, gas and utilities infrastructure) is just as important for small start-up companies as access to production space.
A series of measures are to be implemented to improve legislation that regulates the activities of natural and local monopolies in standardising administrative procedures, setting economically reasonable tariffs, providing opportunities for bringing the objects (services) of technological infrastructure into the commercial domain. The effectiveness of the implementation of activities under that task is assessed from the share of outlays on access to the technological infrastructure incurred by small and medium startup companies in the total cost of starting up a business, which should be cut by three times by 2012.
6) An essential condition for starting a business, production upgrades or breaking into new, including foreign markets is to improve the business competence of the entrepreneur and his employees. Major companies, as a rule, are able to create their own educational centres and develop educational programmes. With regard to small and medium companies part of such cost must be undertaken by the state. That problem is particularly relevant for beginning entrepreneurs. The opportunity to take a short course on the basis of cost sharing tends above all to increase the "survival rate" of startup enterprises in the first year of business.
At present, business education, in accordance with the requirements of departmental regulations of the Ministry of Economic Development of Russia, is a necessary condition for grant eligibility to support startup enterprises. In 2009, business education services are to be made available to 5% of beginning entrepreneurs, or 3000-4000 beginners. By 2012 that indicator is to increase threefold. Young entrepreneurs have been identified as the priority group in implementing this measure. It is necessary, in the medium term, to organize large-scale programmes for training novice entrepreneurs. In 2009, the Ministry of Economic Development of Russia is supporting regional education programmes for small and medium companies. That measure will also be financed out of the federal budget earmarked for state support of small and medium enterprises on the basis of co-financing with the regional budgets of the Russian Federation.
7) One major task of the project is to form accessible infrastructure for small and medium enterprise support.
From 2005-2008 extensive joint work has been conducted with the regions of the Russian Federation to form an SME support infrastructure:
at present there are 72 regional and municipal business incubators in operation;
33 regional guarantee funds for loans to small enterprises;
23 regional venture companies and two direct investment funds support innovation and production business projects;
an industrial park has been created and the financing of a techno-park has started.
Through 2012 the implementation of the above listed projects will continue with an eye to creating 30-40 regional and municipal business incubators every year, completing the creation of guarantee funds in every Russian region, increasing the capitalisation of regional venture funds (to at least 400 million roubles each), to form a system of industrial parks and techno-parks - at least 10 facilities by 2012.
8) Simultaneously new areas will be developed. The strategic effort must include increased support for municipal programmes for small and medium enterprise development bringing the number of such municipalities to 400 by 2012. Also to be implemented is the programme of OAO Russian Venture Company for "seed" financing of small companies as an element of the system of financing innovation projects that complement the activities of the SME Development Fund in the scientific and technical sphere and regional venture funds.
The project takes into account the decisions of the Prime Minister of the Russian Federation, Vladimir Putin, of April 29, 2009 based on the results of the April 2009 National Forum on Small and Medium Enterprises for the allocation of 15 billion roubles in state guarantees for the capitalisation of regional guarantee funds not only in 2009, but also in 2010-2012. That would enable the funds to guarantee 6.5% of the loans issued to small companies.
9) Substantial potential for SME development is possible by cutting the costs of state regulation and taxation of entrepreneurial activities.
The federal law that reduces the number of small business audits, and makes it sufficient to notify (and not seek permission of) the authorities of the start of activities in the consumer and services markets - the most popular areas for beginning entrepreneurs - is effective in 2009. A number of amendments have been introduced in special tax schedules which apply solely to small companies and expand their access to such tax schedules.
Through 2012 it is necessary to ensure compliance with the laws of the Russian Federation on holding a complete statistical survey of the SME sector once every 5 years, to simplify accounting requirements for the companies which enjoy special tax schedules, to replace administrative mechanisms of business liability for the safety of their products with civil and legal mechanisms such as declaration, technical audit, liability insurance and self-regulation.
The success in implementing this policy would cut the share of costs in the company's returns used to overcome administrative barriers by two times and substantially increase the number of businessmen enjoying a special tax plan in the shape of a patent under a simplified taxation system, the patent indicating that the enterprise has come out of the "shadow sector."
10) greater access for SMEs to project financing has traditionally been the programme's priority, and it has become even more acute in the context of the global economic crisis.
In 2009, under the programme of SME support, the amount of funds made available to start-up enterprises in the shape of grants has substantially increased. Such support is available to 7,000-10,000 new businessmen, according to a tentative assessment, which, adjusted for the dynamics of the creation of new companies, will ensure 20% coverage of new companies.
In 2009 the programme of subsidizing loan interest is in greater demand. This programme will support 25 billion roubles in credit for small companies.
In 2009 the implementation of the programme of Russian Development Bank to refinance the credit of SMEs from the federal budget as well as credit micro-financing, leasing and factoring organisations will begin at the expense of the federal budget. The programme is financed to the tune of 30 billion roubles of which 10 billion roubles will be contributed to the capital of Russian Development Bank and 20 billion roubles will be made available to Vneshekonombank in the shape of credit resources. As early as 2009, 90 billion roubles of non-budget resources will be raised through refinancing at the Central Bank of the Russian Federation. By 2012 the programme is to reach 200 billion roubles (5% of accounts payable for the sector in 2008). To ensure these results an additional 30 billion roubles are to be contributed to Russian Development Bank in 2011.
The value of the target indicators for this task depends on the size of the federal budget.
Under Decree No. 753 of the Government of the Russian Federation of October 13, 2008 On Introducing Amendments to Some Acts of the Government of the Russian Federation on Issues of the Powers of the Federal Executive Bodies in the Sphere of Small and Medium Entrepreneurship, 11 federal ministries and 15 federal agencies have been vested with powers in the sphere of small and medium entrepreneurship.
11) Feedback from business to assess the impact of the measures taken by executive bodies is only possible with an instrument of public protection for the interests and representation of entrepreneurs.
Russia has 4 major business associations: Opora Rossii, the Chamber of Commerce and Industry of the Russian Federation, Delovaya Rossiya and the Russian Union of Industrialists and Entrepreneurs (employers). However, small companies are involved in the activities of these NGOs only to an insignificant degree. Thus, Opora Rossii represents the interests of one quarter of small businessmen.
Support of non-governmental organisations of entrepreneurs is a necessary element in building a civil society, so in addition to improving legislation to enhance the protection of the interests of small companies it is necessary to provide financial support to a programme of non-governmental associations that protect the interests of small and medium companies.
This measure can be funded through the money allocated for the state programme in support of SMEs. The main indicator is a doubling of the number of entrepreneurs that are members of non-governmental associations.
12) The solution of the main task - increasing the number of SMEs - depends on the propagation of the ideas of entrepreneurship, on stimulating the interest of young people in independent activities and clarification of the Government policy of encouraging the development of entrepreneurship. The potential of television, radio, the Internet and outdoor advertising must be harnessed to this task as much as possible.
No such actions have so far been implemented at the federal level, therefore they should be financed through federal budget money earmarked for state support of SMEs.
By 2012 Russia may approach the world average of citizens wishing to start their own business (10%), which is 4 times more than the current level.
2. Project Space Activities of Russia on the List of Projects to Implement the Guidelines of the Activities of the Government of the Russian Federation through 2012.
In accordance with the Guidelines of the Space Policy of the Russian Federation through 2020 and beyond, space programme objectives through 2012 are:
In the opinion of Roskosmos, the necessary conditions for implementing said goals and the Main Guidelines of the Activities of the Government of the Russian Federation through 2012 are:
Proceeding from the above tasks, Roskosmos proposes the following goals for Space Activities of Russia:
Goal 1: Promote sustainability of the navigation field that ensures global positioning and its broader use in the interests of consumers (GLONASS).
Goal 2: Provide communication, TV and radio broadcasting and relay using satellites.
Goal 3: Create availability of prompt reception of data of space observation of the earth surface and atmosphere.
Goal 4: Create an infrastructure (in orbit and on the ground) for fundamental space research to obtain new data on the Earth, the Solar System and the Universe.
Goal 5: Increase the potential of the Russian segment of the International Space Station to implement a long-term programme of research and experiments and meet international commitments.
Goal 6: Create conditions for guaranteed access and presence of Russia in outer space.
Goal 7: Retrofit and build up the aerospace industry to a competitive level.
3. Progress in implementing the measures to improve conditions in the financial sector and some other sectors of the economy.
The main comprehensive document containing anti-crisis measures for various sectors of the economy is The Plan of Activities to Improve Conditions in the Financial and Other Sectors of the Economy.
The Action Plan contains 55 measures. As of May 5, 2009, 41 items of the Action Plan were fulfilled, including the adoption of 17 federal laws.
To address the specific problems of individual sectors of the economy as well as fine-tune the instruments of Government support to suit every sector the Government of the Russian Federation is developing and implementing Additional Anti-Crisis Measures aimed at supporting the economy and its leading sectors most vulnerable to the turbulence in the financial market and the deteriorating terms of bank crediting to preserve the rate and quality of economic growth in the context of the world financial crisis.
The meeting of the Government of the Russian Federation approved the Programme of Anti-Crisis Measures of the Government of the Russian Federation through 2009.
The following are the Programme's priorities: meeting all the social obligations of the state to the population and the development of human potential, preservation and development of the industrial and technological potential for future growth, stimulating internal demand for Russian goods, stimulating innovation and restructuring of the economy, creating favourable conditions for an economic upsurge by improving key market institutions and bringing down the barriers in the way of entrepreneurial activities, the creation of a powerful financial system, ensuring macroeconomic stability and preserving the trust of Russian and foreign investors.
The programme envisages corresponding measures aimed, among other things, at strengthening the social protection of the population, creating conditions for improving the effectiveness of Russian businesses, weakening the dependence of the country's economy on external factors, broader support of innovation projects, stimulating small and medium entrepreneurship. The federal executive bodies are preparing a draft action plan to implement the Programme.
I. Regulatory Acts Adopted
The "anti-crisis federal budget for 2009", the budgets of non-budget funds as well as regulatory legal acts to reduce administrative pressure on business, support of financial stability of business entities and commercial banks, internal demand and social protection of citizens were adopted in April 2009. Measures to promote employment in Russian regions have continued.
Regarding the budget:
Federal Law No. 76-FZ of April 28, 2009 On Introducing Amendments to the Federal Law On the Federal Budget for 2009 and the Planning Period of 2010-2011;
Federal Law No. 77-FZ of April 28, 2009 On Introducing Amendments to the Federal Law On the Budget of the Pension Fund of the Russian Federation in 2009 and the Planning Period 2010 and 2011;
Federal Law No.78-FZ of April 28, 2009 On Introducing Amendments to the Federal Law On the Budget of the Social Insurance Fund of the Russian Federation for 2009 and the Planning Period 2010-2011;
Federal Law No.79-FZ of April 28, 2009 On Introducing Amendments to the Federal Law On the Budget of the Federal Mandatory Medical Insurance Fund for 2009 and the Planning Period 2010 and 2011;
Federal Law No.58-FZ of April 28, 2009 On Introducing Amendments to the Budget Code of the Russian Federation and Some Legislative Acts of the Russian Federation which establish that in the event the overall federal budget revenue (with the exception of oil and gas revenues and revenues from the placing of assets of the Reserve Fund and the National Welfare Fund) fall short of the forecast for the current fiscal year by more than 15% compared with the revenues stipulated under the Federal Law On the Federal Budget for the Current Fiscal Year and the Planning Period, the provisions of said federal law concerning the planning period may be declared null and void.
The development of the financial and banking system:
Federal Law No. 73-FZ of April 28, 2009 On Introducing Amendments to Some Legislative Acts of the Russian Federation to improve provisions on challenging the transactions of the debtor in the course of bankruptcy procedure and subsidiary liability of persons who have or had the right to issue directives binding the debtor" (Item 7 of the Action Plan).
Support of domestic demand:
Federal Law No.56-FZ of April 9, 2009 On Introducing an Amendment to Article 825, Part 2 of the Civil Code of the Russian Federation and annulment of Article 10 of the Federal Law On the Coming into Effect of Part 2 of the Civil Code of the Russian Federation abolishes the licensing of financing against the assignment of money claim (factoring). The adoption of the law is designed to stimulate factoring and will make it possible to increase the amount and cut the cost of factoring services, attract new clients, enhance competitiveness in the market and offer more flexible financing to client enterprises that are short of turnover assets (Item 23 of Action Plan).
The Government of the Russian Federation adopted the following decisions (Item 26 of the Action Plan):
Decree of the Government of the Russian Federation No.298 of April 3, 2009 On Limiting the Term of Temporary Import of Certain Types of Goods, specifically railway rolling stock or trams (Code Number 8606 in the Foreign Trade Goods Nomenclature);
Decree of the Government of the Russian Federation No. 299 of April 3, 2009 On Temporary Rates of Import Customs Duties with regard to certain types of metal products as well as copper scrap and waste suspends for a term of 9 months the rates of import customs duties on waste and scrap of refined copper, the waste and scrap of copper and zinc (brass) alloys and the waste of other copper alloys. The current rates of import customs duties on the above goods are 5% of the customs value of the good;
Decree of the Government of the Russian Federation No.325 of April 15, 2009 On Approving the Rates of Import Customs Duties on Raw Cane Sugar and Certain Types of Sugar and Introducing Amendments to the Decrees of the Government of the Russian Federation No.786 of December 15, 2004 and No.695 of September 16, 2008 widens the range of import duty rates on cane raw sugar and certain types of sugar (Russian Foreign Trade Goods Nomenclature Codes 1701 11 and 1701 91) from $140-270 per tonne to $165-270 per tonne in the period from May 1 through December 31, 2009;
Decree of the Government of the Russian Federation No.327 of April 15, 2009 On the Temporary Rate of the Import Customs Duty on Components for the Production of Spectacle Rims extends by 6 months the zero rate of the import customs duty on components for the production of spectacle rims;
Decree of the Government of the Russian Federation No.328 of April 15, 2009 On the Temporary Rate of the Import Customs Duty on Maize and Manioc Starch raises the specific component of the combined customs import rate for manioc and maize starch from 0.06 euros per 1 kg to 0.15 euros per 1 kg. The current import customs rate is 20%, but not less than 0.06 euros per 1 kg;
Decree of the Government of the Russian Federation No.329 of April 15, 2009 On Temporary Rates of Import Customs Duties on Children's Safety Seats extends by 9 months the zero rates of import customs rates on children's safety seats;
Decree of the Government of the Russian Federation No.332 of April 20, 2009 On Approving the Rates of Import Customs Duties on Chickens and Certain Types of Poultry Eggs introduces a permanent duty-free regime of the import of chicken and certain types of poultry eggs.
Decree of the Government of the Russian Federation No.335 of April 15, 2009 On Extending the Effective Term of the Import Customs Rate with regard to Integral Monolithic Digital Circuits. The Government Decree extends by 9 months the zero import customs rate on integral monolithic digital circuits;
Decree of the Government of the Russian Federation No.336 of April 20, 2009 On Extending the Effective Term of the Import Customs Rate on Linear Polyethylene extends by 9 months the rate of the import customs duty on linear polyethylene approved by Decree No. 457 of the Government of the Russian Federation of June 17, 2008 On the Zero Temporary Rate of the Import Customs Duty On Linear Polyethylene in connection with the absence of domestic production of the said type of polymer material;
Decree of the Government of the Russian Federation No.337 of April 22, 2009 On Temporary Rates of Import Customs Duties on Certain Types of Tropical Vegetable Oils establishes zero import custom rates on certain types of tropical oils delivered in bulk through May 31, 2009 (an extension of duty-free import in effect since July 9, 2007);
Decree of the Government of the Russian Federation No.359 of April 22, 2009 On Temporary Import Customs Rates on Radiofrequency Cable (coaxial) establishes for a term of 9 months the rates of import customs duties on coaxial cables with a nominal diameter, including insulation, of 9 mm and more, but not more than 35 mm, nominal wave resistance of not more than 50 Ohms, with polymer dielectric, external conductor in the shape of corrugated or non-corrugated metal pipe and polymer shells (hereinafter radio frequency cables) at the rate of 15% of the customs value and other coaxial cables at the rate of 5% of the customs value).
Enactments regarding the defence industry:
Executive orders of the Government of the Russian Federation:
No.446-r of April 2, 2009 on the increase of subsidies to strategic defence industry organisations to prevent bankruptcy in 2009-2011 in the amount of 3 billion roubles (Item 45 of the Action Plan);
No.486-r of April 9, 2009 on budget allocations to OAO United Industrial Corporation Oboronprom (Item 43 of the Action Plan).
Enactments in support of the real economy sector:
Decree No. 295 of the Government of the Russian Federation of April 2, 2009 On Granting Subsidies to Fisheries Organisations to Compensate for Part of the Cost of Interest On Loans Obtained from Russian Lending Institutions in 2009-2011 for the Purchase of Civilian Vessels Built at Russian Shipyards whereby such subsidies (for loans for a term of up to 5 years) are granted under the Rules of Granting Subsidies to Russian Transport Companies and Shipping Lines to Compensate for Part of the Cost of Interest on Loans Obtained from Russian Lending Institutions in 2008-2010 to Purchase Civilian Vessels Built at Russian Shipyards as well as lease payments under lease contracts concluded in 2008-2010 with Russian leasing companies to acquire civilian vessels built at Russian shipyards approved by Decree No. 383 of the Government of the Russian Federation of May 22, 2008;
Decree of the Government of the Russian Federation No.321 of April 13, 2009 On Approving the Rules of Granting Subsidies from the Federal Budget to Air Carriers in 2009 to Compensate for the Shortfall in Revenues as a Result of Carrying Passengers Who Have Signed Air Carriage Contracts with the Air Carrier which Had Their Operation Certificate Suspended; 5 billion roubles from the federal budget is earmarked in 2009 for such subsidies;
Decree of the Government of the Russian Federation No.348 of April 22, 2009 On Introducing Amendments to the Rules of Distributing and Granting in 2009-2011 the Federal Budget Subsidies to the Budgets of the Subjects of the Russian Federation to Compensate for Part of the Cost of Interest on Loans Obtained from Russian Lending Institutions and Loans Obtained from Agricultural Credit Consumer Cooperatives.
Enactments aimed at reducing administrative pressure on business:
Federal Law No. 60-FZ of April 28, 2009 On Introducing Amendments to Articles 1 and 27 of the Federal Law On the Protection of the Rights of Legal Entities and Individual Entrepreneurs in the Course of Government Control (Supervision) and Municipal Control effective as of May 1, 2009 (originally July 1, 2009) introduces restrictions on the number of audits of legal entities and individual entrepreneurs (not more than once in three years);
Enactments in the field of employment:
Decree of the Government of the Russian Federation No.316 of April 9, 2009 On Additional Measures to Support the Labour Market in the Russian Federation, on the distribution of additional subventions to the budgets of Russian regions and the city of Baikonur for the exercise of the powers delegated by the Russian Federation in promoting employment in the amount of 33,951,618,800 roubles.
Enactments in the field of social support:
Federal Law No. 72-FZ of April 28, 2009 On Introducing Amendments to Some Legislative Acts of the Russian Federation to Enhance the Material Standards of Certain Categories of Citizens which envisages, among other things:
- an increase of the basic part of the old-age labour pension by 2562 roubles a month;
- an increase in the monthly allowances for citizens exposed to radiation during the Chernobyl Nuclear Plant disaster, veterans of World War II, Heroes of the Soviet Union, Heroes of the Russian Federation and holders of the full Order of Glory and other categories of citizens;
- lump-sum payment in the amount of 12,000 roubles out of the Maternity (family) Capital to persons who have been issued a state certificate of Maternity (family) Capital;
- federal law No.67-FZ of April 28, 2009 On Introducing an Amendment to Article 217, Part 2 of the Tax Code of the Russian Federation that excludes from the personal income taxable base, money received by parents, legitimate representatives of children who attend education institutions as compensation of part of the tuition for having a child at educational institutions administering the basic general preschool education programme;
- decree No. 302 of the Government of the Russian Federation of April 6, 2009 On the Procedure of Granting Federal Budget Subventions to the Budgets of the Subjects of the Russian Federation for the Exercise of the Powers of the Russian Federation in the Field of Public Health Delegated to the Executive Bodies of the Subjects of the Russian Federation (together with the Rules of Granting Federal Budget Subventions to the Budgets of the Subjects of the Russian Federation for the Implementation of Public Health Measures Delegated by the Russian Federation to the Executive Bodies of the Subjects of the Russian Federation; the Methodology of the Distribution of Federal Budget Subventions to the Budgets of Subjects of the Russian Federation for the Implementation of the Powers of the Russian Federation in the Field of Public Health Delegated to the Executive Bodies of the Subjects of the Russian Federation).
Enactments in the cultural sphere:
Decree of the Government of the Russian Federation No.292 of April 1, 2009 On Introducing Amendments to Decree of the Government of the Russian Federation No. 576 of July 28, 2008 On the Rendering by the Budget-Supported Structures of the Russian Federation Regions of Additional Support (Grants) to Creative Collectives in the Shape of Other Interbudgetary Transfers to the Budgets of the Regions of the Russian Federation.
II. Decisions of the Government Commission on Sustained Development of the Russian Economy.
For the purpose of organizing permanent monitoring of the implementation of the decisions aimed at improving conditions in the financial sector and some other sectors of the economy, comprehensive analysis and charting the direction of further development of economic sectors, Decree of the Government of the Russian Federation No.957 of December 15, 2008 has formed a Government Commission on Sustained Development of the Russian Economy (hereinafter the Commission). The Commission held three meetings in April 2009 (April 7, 2009, April 21, 2009 and April 28, 2009) which discussed the following issues:
- additional measures to develop housing construction in 2009;
- the priority national project Affordable and Comfortable Housing for Russian Citizens and Measures to be Taken under the Project in 2009;
- the results of the activities of the Interdepartmental Commission on Monitoring the Financial and Economic Status of Organisations on the List of Strategic Enterprises.
Pursuant to the Commission's decisions the 2009 aim of the priority national project Affordable and Comfortable Housing for Russian Citizens is to implement anti-crisis measures, including maintaining the 2008 level of affordability of housing for the population and creating conditions for greater affordability through large-scale construction of economy-class residential stock that meets energy efficiency and ecological standards.
The project's priorities include the stimulation of housing construction and demand for housing, through the use of home mortgage credit; fulfillment of the Government commitment to provide housing for certain categories of citizens as well as enhancement of the quality of the residential inventory and the utility infrastructure.
In light of the discussion held, the Commission has issued instructions to rework proposals on the development of the priority national project Affordable and Comfortable Housing for Russian Citizens, with particular emphasis on:
- forming mechanisms that ensure the building and acquisition of housing with certain characteristics at uniform prices;
- detailed discussion with the regions of the Russian Federation of measures under the project to provide housing for veterans of World War II;
- amending the provisions of the draft to take into account the exercise, as of January 1, 2010, of the rights of citizens to dispose of Maternity (family) Capital to acquire (construct) residential housing;
- more precise identification of executors, targets, amounts and sources of the project funding; the list of regulatory legal acts to be adopted in 2009 and the timeframe for the drafting thereof.
The meeting of the Commission on April 28, 2009 also approved the main eligibility criteria proposed by the Agency for Housing Mortgage Lending for state support of borrowers who have problems servicing their mortgage credit due to job loss or partial loss of income:
- where the amount of the average per capita monthly income of the borrower and members of his family minus monthly mortgage credit (loan) payments have dropped below three times the living minimum for each of them established in the relevant region of the Russian Federation;
- the housing acquired under a mortgage credit is the only dwelling of the mortgagee and members of his family;
- the borrower and family members living with him possess no savings or other property with the exception of the property of under-age children, one vehicle with a market value of no more than 350,000 roubles as well as property rights constituting less than 50% of the total share of property.
The executive bodies of the subjects of the Russian Federation, together with the Agency for Housing Mortgage Lending are recommended to:
- take organizational measures to implement a programme of Government support for borrowers, including, when necessary, the provision thereof with housing in the regions of the Russian Federation;
- to organize the work of the trusteeship and guardianship agencies to expedite the processing of applications of consent to the mortgage of real estate whose owners include underage children in the implementation of the programme to restructure mortgage credit.
The Finance Ministry of Russia jointly with the Agency for Housing Mortgage Lending has been instructed to discuss the terms and mechanisms of additional funding for the Agency in the amount of 40 billion roubles on a repayable basis by granting the Agency long-term credit out of the National Welfare Fund in the second quarter of 2009.
The Commission has also instructed the Ministry of Healthcare and Social Development of Russia, the Ministry of Regional Development of Russia, and the Finance Ministry of Russia jointly with the Pension Fund of the Russian Federation to consider the issue of using the Maternity (family) Capital to redeem consumer loans that have actually been used to acquire (or build) housing.
III. The situation in the labour market
In April 2009 federal executive bodies and the executive bodies of the regions of the Russian Federation have continued work to ensure employment. As part of implementing Government decree No.1089 of December 31, 2008 On Granting Federal Budget Subsidies to the Budgets of the Regions of the Russian Federation to Implement Additional Measures Aimed at Easing Tensions in the Labour Market of the Regions of the Russian Federation the federal budget has continued to subsidise the regions of the Russian Federation to implement regional programmes of additional measures to relieve pressure in the labour market of the regions of the Russian Federation. To maintain employment and provide social support to workers at risk of dismissal, of working shortened hours or of temporary layoff, as well as of unemployed citizens, the federal budget has earmarked more than 43.7 billion roubles in subsidies in 2009. The money will be used to ensure:
- pro-active occupational training to enhance the quality of manpower, professional skills, professional mobility and competitive skills;
- public works and temporary jobs for workers in danger of being laid off and unemployed citizens as well as internships for young graduates to acquire work experience. The organisation of public works and creation of temporary jobs are aimed at fulfilling work that has social significance for cities and regions;
- movement of unemployed people to other locations to fill vacancies, including those created by the implementation of federal targeted programmes and investment projects;
- small enterprises and self-employment of unemployed citizens.
During the course of the implementation of regional programmes that envisage additional measures to defuse tensions in the labour market of the constituent members of the Russian Federation the following measures are planned:
- to provide pro-active occupational training, retraining and upgrading of skills of more than 213,000 workers exposed to the risk of being laid off. The federal budget will earmark about 1.7 billion roubles and the regional budgets 210 million roubles for these purposes;
- to create temporary jobs for 1,117,000 workers in danger of being dismissed or jobless people and organise internships for more than 20,000 people. The federal budget will allocate about 18.6 billion roubles and the budgets of the regions of the Russian Federation 1.1 billion roubles for these purposes;
- to render material support for entrepreneurial initiatives of at least 51,000 people who, in addition to employing themselves will create at least 150,000 jobs in small businesses. The federal budget earmarks about 2.4 billion roubles and the budgets of the regions of the Russian Federation 324 million roubles for these purposes;
- to render targeted financial support to at least 15,900 citizens relocating to other parts of a region or the country to take up permanent or temporary employment at enterprises which are undermanned. The federal budget will earmark about 760.6 million roubles and the budgets of the regions of the Russian Federation, 26.6 million roubles for these purposes.
All told, the federal budget is to allocate 23.5 billion roubles and the budgets of the regions of the Russian Federation, 1.7 billion roubles to support a total of 1.4 million people. The current programmes of the constituent members of the Russian Federation will reduce quotas for the issue of work permits in 2009 by 450,229.
To stabilise the situation in the labour market all the constituent entities of the Russian Federation have developed regional programmes that envisage additional measures to defuse tensions in the regional labour markets. As of April 22, 2009, 82 regional programmes have been considered by the Interagency Working Group under the Ministry of Healthcare and Social Development of Russia and approved by the Interdepartmental Working Group to Monitor the Situation of the Labour Market under the Government of the Russian Federation to select the constituent entities of the Russian Federation eligible for federal subsidies to implement additional measures aimed at defusing tensions in the labour market of the regions of the Russian Federation. The total amount earmarked for the regional programmes is 25.4 billion roubles of which federal budget subsidies account for 23.6 billion roubles (93.2% of the total amount of funding) and the budgets of the regions of the Russian Federation for 1.8 billion roubles (6.7% of the total amount of funding), the local budgets and employers for 0.3 billion roubles (1.2% of the total amount of funding).
As of April 22, 2009 the Federal Labour and Employment Service had concluded 82 agreements with the executive power bodies of the constituent members of the Russian Federation on the implementation of regional programmes containing additional measures aimed at defusing tensions in the labour markets of the relevant members of the Russian Federation.
The Federal Labour and Employment Service has remitted 9.2 billion roubles in subsidies (40% of the total volume) to 75 constituent members of the Russian Federation.
65 constituent members of the Russian Federation have launched regional programmes, partly self-financed (Bryansk, Penza, Vladimir, Tver, Vologda, Kaluga, Tomsk, Yaroslavl, Belgorod, Kirov, Chelyabinsk, Oryol and Tula Regions, the Republic of Tatarstan, the Chuvash Republic, the Primorye Territory and others).
To evaluate the impact of the economic crisis on employment and make timely decisions to defuse tensions in the labour market, the Ministry of Healthcare has organised, beginning in October 2008, monthly monitoring of redundancies in connection with the liquidation of organisations or staff cuts by regions of the Russian Federation (hereinafter, monitoring) as well as collection of current information on planned mass layoffs of labour.
Thus, as of April 22, 2009 the executive bodies of the constituent members of the Russian Federation exercising the delegated powers in the employment field (hereinafter, employment agencies) have provided information on layoffs or planned layoffs in connection with the liquidation of the organisations or staff cuts at 37,079 organisations (34,283 organisations as of April 15, 2009) in 83 members of the Russian Federation.
The growth of registered unemployment since November 2008 attests to changes in the labour markets of a number of regions of the Russian Federation.
In the period between April 16 and 22, 2009 the number of registered unemployed increased by 1% or 23,506 persons (in the preceding week the number of unemployed increased by 1.1%) and amounted to 2,283,387 as of April 22, 2009.
The total unemployment figure in Russia in the first quarter of 2009 increased by 34.4% on the 4th quarter of 2008 to 7.1 million people, or 9.5% of the gainfully employed population, according to the Federal State Statistical Service (Rosstat). The number of unemployed Russians increased by 33.9% compared with the first quarter of 2008.
From the beginning of October 2008, out of the total number of workers slated for redundancy, which was 738,533 (708,004 persons as of April 15, 2009), or 1.07% of the total employed population, 345,435 workers have been laid off. Of that number 109,536 persons, or 31.7% were reemployed (31.5% as of April 15, 2009) including 61,995 rehired by their former employer. Compared with the previous week the number of laid off workers increased by 16,419 people or 5%.
The total number of workers to be dismissed in the first quarter of 2009 has grown by 34.4% on the 4th quarter of 2008 to 7.1 million, according to the weekly survey conducted by the Ministry of Healthcare and Social Development.
Information on the stated dismissals shows that the proposed layoffs will affect the manufacturing industry, including machine-building, metallurgy, chemical and petrochemical industries, construction, transport and communications.
According to employment agencies, the main reason many workers are idle or work short hours is the falling volumes of production or the rendering of services or suspension of operations.
As of April 22, 2009 more than 5,800 enterprises have reported that their workers have been idled by management, have been put on short hours or sent on involuntary leaves. Their total number increased over the previous week (1,386,254) by 5.5% to 1,462,175. Of that number 199,025 people were idled by management decision (down 8.0% from the previous week); the number of workers on shortened hours was 1,183,519 (up 8.5% on the previous week); the number of workers sent on involuntary leave was 79,631 (an increase of 0.8% from the previous week).
The total number of workers who were idle, on shortened hours by management decision or on involuntary unpaid leaves in the first quarter of 2009 increased by more than 3.5 times compared with the 4th quarter of 2008 to 1.2 million, according to weekly monitoring by the Ministry of Healthcare and Social Development of Russia.
The total number of workers who have received notices of dismissal in the first quarter of 2009 has more than doubled compared with the 4th quarter of 2008 to 642,800, according to the weekly Ministry of Healthcare and Social Development survey.
4. Draft Federal Law on Introducing Amendments to the Federal Law On the National Population Census
The need to adopt the law is prompted by the experience of the National Census of 2002 which revealed gaps in the legal regulation of this endeavor as well as by changes in the federal legislation, the principles and recommendations of the UN regarding population censuses.
The object of regulation under the draft law is the social relations arising during the preparation and holding of the National Population Census, its financial and methodological support, the processing of the data obtained, counting and publishing the results, custody of census questionnaires and other documents of the National Population Census.
The draft law identifies the powers delegated by the Russian Federation to the executive bodies of the Russian regions pertaining to the preparation and holding of the National Population Census including availability of premises for the training and procedure of census takers, the custody of census questionnaires and other documents of the National Population Census as well as the provision of transport and communications means. The outlays incurred in the process of exercising the above mentioned powers are to be funded through subventions from the federal budget whose total volume is to be determined according to the methods approved by the Government of the Russian Federation. Under the draft law the exercise by the executive bodies of the Russian regions of the powers in the preparation and holding of the National Population Census as well as the spending of the money allocated for the purpose are to be monitored by the federal executive body responsible for implementing the National Population Census.
Under the draft law, in the course of the preparation and holding of the National Population Census, the executive bodies of the Russian regions, within their jurisdictions, provide the federal executive body in charge of the National Population Census with data on municipal entities, the list of communities (administrative-territorial units) that make up the municipal entities, the boundaries of the municipal entities while local government bodies ensure that the municipal entities have signs with the names of streets, numbers of houses and apartments, provide data on the number of residential and other premises that are owned by the municipality and assist in involving the residents of the corresponding municipal entities in collecting data on the population.
The draft law would add to the list of data on the census questionnaires information on migration, details on education, kinship and employment of the respondents and introduces the concept of a "household."
Regardless of the method by which the census questionnaires are filled by the federal executive body responsible for the holding of the National Census, the confidentiality of the data contained in the census questionnaires is assured.
The adoption of the draft law will improve the quality of the results of the National Population Census in line with its objective to form a complete and authentic body of statistical information about the country's population which provides the basis for calculating the size of the population in the period between censuses and for designing the budgets of all levels and developing social and economic programmes.
In legal terms the future law will lay down the regulatory base for the use of various methods of gathering data on the population and changing the list of data collected, broadening the powers of the federal executive body responsible for the holding of the National Population Census, determining the powers of the executive bodies of the Russian regions in preparing and holding the National Population Census, funding these powers, the exercise of the corresponding rights and duties of the federal executive bodies in connection with the delegation of the powers of the Russian Federation to prepare and hold the National Population Census.
The introduction of the federal law On Introducing Amendments to the Federal Law on National Population Census would not require additional federal budget spending. The required calculations and validation of the financial consequences of the implementation of the proposed draft law will be presented when the regulatory acts connected with the holding of the next National Population Census are presented to the Government of the Russian Federation.
5. Draft federal law On the Ratification of the Agreement Between the Government of the Russian Federation and the Government of the Bolivarian Republic of Venezuela on Encouragement and Mutual Protection of Capital Investments
The Agreement between the Government of the Russian Federation and the Government of the Bolivarian Republic of Venezuela on Encouragement and Mutual Protection of Capital Investment (hereinafter the Agreement) was signed on November 7, 2008 pursuant to executive orders of the Government of the Russian Federation No.1577-r of November 1, 2008 and No.1636-r of November 7, 2008.
The Agreement is patterned on the agreement model approved by Decree of the Government of the Russian Federation No.456 of June 9, 2001.
Among the main provisions of the Agreement are the following:
1) Capital investments of one contracting party are allowed into the territory of the other contracting party in accordance with the legislation of the state of the host contracting party.
2) Each contracting party grants the investments of the other contracting party terms that are no less favourable than those granted to its own investors or the capital investments of any third state.
3) Each contracting party reserves the right to apply and introduce in accordance with the laws of its own state exemptions from the national terms with regard to foreign investors and their capital investments, including reinvested capital.
In addition, in accordance with the Agreement, neither contracting party is obliged to extend to the capital investments of investors of the other contracting party the preferential terms it grants to the capital of investors from any other third state in connection with participation in a free-trade zone, a customs or currency union, a common market or similar economic integration entities or any international agreement leading to the creation of such alliances or entities as well as on the basis of agreements on avoiding double taxation or other taxation agreements.
Guaranteed protection of capital investment and the incomes of investors from being nationalised, expropriated or otherwise alienated, with the exception of cases when such measures are taken in the public interest. The application of measures of nationalisation and expropriation shall comply with the procedure established under the laws of the contracting parties while the measures are not discriminatory and are accompanied by prompt and adequate payment of compensation. The said compensation should match the market value of the expropriated capital investment as of the date preceding the expropriation date or the date when the forthcoming expropriation has been publicly announced. The investors are entitled to adequate compensation in the event of harm or damage to their investments and incomes, for example, as a result of war, armed conflicts and civil unrest. The provisions of this Agreement comply with international practice and take into account the risk of a sharp decline in the value of the assets expropriated.
4) Guaranteed unobstructed transfer abroad of the incomes and other payments connected with capital investments after the investors have fulfilled all their tax obligations to the state of the host contracting party.
5) Ensuring proper judicial protection of the rights of investors by allowing access to modern dispute resolution procedures between one contracting party and the investor of the state of the other contracting party as well as methods of the settlement of disputes between the contracting parties regarding the interpretation and application of the provisions of the Agreement.
The provisions of the Agreement comply with the norms of international law and are consistent with the international obligations of the Russian Federation.
The Agreement is subject to ratification in accordance with Article 15 of the Federal Law On the International Treaties of the Russian Federation.
The application of the Agreement will ensure for investors long-term stability and predictability of the legal environment and will contribute to more active investment and trade and economic cooperation between the Russian Federation and the Bolivarian Republic of Venezuela.
6. Draft Federal Law On Introducing an Amendment to the Federal Law On Technical Regulation
The Draft Federal Law On Introducing Amendments to the Federal Law on Technical Regulation (hereinafter the Draft Law) is aimed at enhancing the energy efficiency of the objects of technical regulation (products and production processes), at bringing the norms of Federal Law No. 184-FZ of December 27, 2002 On Technical Regulation (hereinafter, the Law) closer to the norms of the WTO agreement on Technical Barriers to Trade as well as at ensuring implementation of technical regulations adopted.
The adoption of the draft law would make technical regulation more effective, in particular in developing draft technical rules and other documents connected with their implementation would include requirements for greater energy efficiency at all stages in the production cycle and stimulate economic entities to implement a package of measures to ensure the necessary level of energy efficiency, which in turn should make the products and the country's economy more competitive as a whole by ensuring a rational approach to the use of non-renewable natural resources and will contribute to the competitiveness of Russian goods and harmonise the provisions of Russian legislation in the sphere of technical regulation with international norms.
7. Draft Federal Law On Introducing Amendments to the Federal Law On Gas Export
The draft federal law On Introducing Amendments to the Federal Law On Gas Export (hereinafter the Draft Law) aims to define more precisely the sphere of the application of the Federal Law On Gas Export (hereinafter the Law).
Clause 2, Article 1 of the Law's provisions apply to gas extracted from all the hydrocarbon fields and transported in a gaseous or liquefied state.
This formula means that the legally sealed principle of the "single export channel" is applicable not only to natural and stripped dry gas carried by the pipelines of the Unified Gas Supply System along with natural gas, but also to liquefied hydrocarbon gas (hereinafter LHG) whereas LHG is the product of the processing of oil (accompanying) gas, is not transported through the Unified Gas Supply System and is exported by various companies, including oil companies, that do not form the same group of persons with the organisation that owns the Unified Gas Supply System.
On the strength of the above, the Draft Law provides a more concise definition of the term "gas" as used in the federal law. For the purposes of this Federal Law "gas" shall mean exclusively natural gas and stripped dry gas transported in gaseous state via the gas pipeline system.
8. Draft federal law On Ratification of the Convention between the Government of the Russian Federation and the Government of the Republic of Botswana on Avoiding Double Taxation and Preventing Income Tax Evasion.
The Federal Law ratifies the Convention between the Government of the Russian Federation and the Government of the Republic of Botswana on Avoiding Double Taxation and Preventing Income Tax Evasion signed in the city of Gaboron on April 8, 2003.
The objective of said Convention is to ensure conditions under which legal entities and private individuals of each of the contracting states do not have to pay taxes twice on one and the same income in their own state and in the partner state.
In preparing said Convention, the Russian Federation proceeded from the draft model agreement on avoiding double taxation of income and property approved by the Russian Government's Decree No. 352 of May 28, 1992 On the Conclusion of Intergovernmental Agreements on Avoidance of Double Taxation of Income and Property; the contracting states have also proceeded from the models recommended by the Organisation for Economic Cooperation and Development (OECD) and the United Nations Organisation (UN).
The Convention is subject to ratification pursuant to sub-clause "a", clause 1, Article 15 of Federal Law No. 101-FZ of July 15, 1995 On the International Treaties of the Russian Federation and shall be effective on the day of the last notification on the fulfillment by the contracting states of internal procedures required for its coming into force. The provisions of the Convention shall be valid until one of the contracting parties terminates same by sending, through diplomatic channels, written notification of termination not later than six months before the end of any calendar year after the first five years since the effective date of the Convention.
9. Draft federal law On Ratification of the Agreement between the Government of the Russian Federation and the Government of the Republic of Korea on Simplified Procedure for the Issue of Visas for Mutual Short Trips by Citizens
The Agreement between the Government of the Russian Federation and the Government of the Republic of Korea on a simplified procedure for the issue of visas for mutual short trips by citizens was signed on September 29, 2008 in the city of Moscow pursuant to Executive Order No.1408-r of the Government of the Russian Federation of September 27, 2008.
The Agreement shall strengthen the legal-treaty basis of the relations between Russia and South Korea regarding mutual trips by citizens, create the most favourable conditions for more active exchanges between the government bodies of the two countries, representatives of business and private individuals.
The key aspect of the Agreement is a simplified procedure for the issue of visas for entry, transit, exit and stay on the territory of the other state for a period of up to 90 days within 180 days for the citizens of the Russian Federation and the Republic of Korea who hold valid international passports. The Agreement also envisages the issue of multiple visas for periods between 1 and 5 years to the citizens of both states under certain conditions.
The agreement is subject to ratification pursuant to subclause "a", clause 1, Article 15 of Federal Law On the International Treaties of the Russian Federation No. 101-FZ of July 15, 1995 because it contains rules other than those envisaged under the law, to wit, Article 25.6 of Federal Law On the Procedure of Exiting the Russian Federation and Entry into the Russian Federation No.114-FZ of August 15, 1996 whereby ordinary business visas are issued for a term of up to 1 year. Meanwhile Clause 2, Article 5 of the Agreement envisages the possible issue of a multiple visa to businesspersons and members of official delegations for a term of up to 5 years.
10. Signing the Agreement between the Government of the Russian Federation and the Government of the Republic of Croatia on Mutual Trips by the Citizens of the Russian Federation and the Citizens of the Republic of Croatia.
The Agreement between the Government of the Russian Federation and the Government of the Republic of Croatia on mutual trips by the citizens of the Russian Federation and the citizens of the Republic of Croatia is to supplant, in the relations between the Russian Federation and the Republic of Croatia, the Agreement between the Government of the USSR and the Federal Executive Veche of the Skupcina of the FSRY on mutual trips by citizens of October 31, 1989.
This draft Agreement, unlike the Soviet-Yugoslav document, establishes, on the initiative of Croatian, the visa procedure of mutual trips by the citizens of the Russian Federation and the Republic of Croatia.
At the same time the holders of diplomatic and service passports are still entitled to a visa-free regime of trips for a total duration of up to 3 months within half a year; and the employees of diplomatic missions, consular institutions and representative offices at international organisations and members of the families living with them throughout their period of accreditation. In addition, the Agreement retains the visa-free regime for members of the crews of Russian and Croatian civil aircraft and seagoing vessels.
The draft Agreement provides for a simplified procedure for the issue of one-time visas for a term of up to 90 days. They will be issued against a direct application of the host organisations without invitations envisaged under the laws of the parties to members of official delegations, businessmen, scientists, cultural and education workers, students and schoolchildren involved in exchange programmes, participants in international sporting events, participants in the exchange programmes between sister-cities.
For businessmen regularly making business trips, the Agreement envisages a simplified procedure for the issue of multiple visas for a term of up to a year. The Agreement clearly states the deadlines for the consideration of visa applications. The competent agencies will be obliged to make decisions on the issue of multiple visas for a term of up to 1 year within 14 working days from the time of the receipt of the relevant documents, and for one-time or two-time visas for a term of up to 3 months within 2-5 working days. Persons making an urgent trip in connection with unforeseen circumstances may have visas issued to them on the same day.
On certain points the Agreement establishes norms and rules different from those envisaged under Russian legislation, in particular the Federal Law On the Procedure of Exit from the Russian Federation and Entry into the Russian Federation of August 15, 1996 as well as the Federal Law On the Legal Status of Foreign Citizens in the Russian Federation of July 25, 2002. After its signing, the Agreement is subject to ratification.
11. Submitting to the President of the Russian Federation a proposal to sign the Agreement between the Russian Federation and the Republic of Abkhazia on Military Cooperation.
12. Submitting to the President of the Russian Federation a proposal to sign the Agreement between the Russian Federation and the Republic of South Ossetia on Military Cooperation.
13. Submitting to the President of the Russian Federation a proposal on signing the Protocol on Introducing an Amendment to the Agreement between the Russian Federation and the Republic of Kyrgyzstan on the Status and Terms of the Presence of a Russian Airbase on the Territory of Kyrgyzstan of September 22, 2003.
14. Government Commission on Migration Policy.
The draft envisages the formation of a Government Commission on Migration Policy.
The Government Commission on Migration Policy is formed for the purpose of coordinating the activities of federal executive bodies in conducting a uniform state migration policy.
The Commission coordinates the activities of federal executive bodies, the executive bodies of the constituent members of the Russian Federation and ensures interaction with the interested organisations and non-governmental associations in enforcing the laws of the Russian Federation in the sphere of migration, developing guidelines for improving legal regulation in the sphere of migration, developing coordinated actions of executive bodies in implementing a uniform state migration policy, considering and preparing agreed decisions on priority issues of international and internal migration.
Today's highly dynamic migration pattern necessitates a certain correction of the state migration policy as pursued by the Russian Federation, above all in light of the existing and potential threats to the country's national security.
This dictates the need to develop measures to protect the strategic interests of the Russian Federation by developing and implementing a comprehensive migration policy of the Russian Federation and to provide the country with labour resources taking into consideration actual demographic patterns and existing international relations.
15. Allocation of a special grant for the repair and refurbishment of the Museum of His Majesty's Lifeguard Cossack Regiment at Courbevoie (France)
The museum of His Majesty's Lifeguard Cossack Regiment (hereinafter the Museum) founded in Courbevoie (France) by Major-General Ilya Oprits, author of the definitive work His Majesty's Lifeguard Cossack Regiment at the Time of the Revolution and Civil War of 1917-1920, contains the memorabilia of the regiment, specimens of uniforms and outfit, tableware, military maps, and everyday utensils, etc., used by officers. The museum is the custodian of unique military-patriotic material on the glorious military history of Russia.
The issue of a special grant by the President of the Russian Federation for the repair and refurbishment of the Museum building was discussed during a visit to France by Russian Prime Minister Vladimir Putin in May, 2008 when he visited the Museum of His Majesty's Lifeguard Cossack Regiment.
The federal budget will allocate up to 150,000 euros in 2009 for the repair and refurbishment of the Museum of His Majesty's Lifeguard Cossack Regiment in Courbevoie.
* Press releases by the Department of Press Service and Information contain the materials submitted by the executive federal bodies for discussion by the Presidium of the Government of the Russian Federation.
