Alexander Korshunov, "It is important to adopt the necessary laws for development of the real sector of the economy"

Speaker of the Parliament Alexander Korshunov made a speech at the first meeting of the 1st session of the Supreme Council of the VII convocation.

The work of a deputy of the Supreme Council is not as simple as it seems at first glance. It looks easy and simple to make decisions by raising your hand. In fact, this is a very responsible and difficult job. Decisions sometimes have to be made based on any compromise decisions, sometimes even unpopular, but for the good of the state. I want to remind you of the situation in the republic as of January 1, 2017, when Vadim Nikolaevich Krasnoselsky was elected President of the PMR. The financial system was imbalanced, the banking sector had a huge amount of toxic assets, the volume of gold and foreign exchange reserves in a deep negative zone, the real sector of the economy was on its knees. Social policy carried great risks of non-payment by the state of social obligations to our citizens. We all remember the 30% non-payment of wages to public sector employees, non-payment of 30% of the pension provision. There is no doubt that at that time, as now, it was necessary to consolidate all state administration bodies in order to make verified, balanced management decisions for the benefit of the development of our republic. 

Four very difficult years have passed. But thanks to the right management decisions, the situation was changed. This is the stabilization of the financial and banking system, the revitalization of entrepreneurial activity, support for the manufacturing sector and a number of other issues. Including the development of a practically new Customs Code. All this made it possible to stabilize the situation both in the economy of the republic and in the budget. We have not yet reached the real growth of our economy, have not reached those target targets for budget revenues, but we must strive for this - strive for this, making management decisions that must necessarily be born in a dispute. But the dispute must be professional, that is, based on arguments, based on numbers. And which side will offer more effective arguments, this is how the issue should be resolved. Over the past two years, we have been able, together with the government headed by the President, to balance the budget on socially protected items. Believe me, this is a lot. We have increased the volume of social obligations over the past 3-4 years by a fairly large amount, while maintaining the social obligations of previous years. And I will tell you that the volume of these social obligations is measured in hundreds of millions. But we need to continue financing these obligations. Accordingly, to do everything so that the revenue side of the budget only increases. For this, I think, we must work together with the government and the president together and adopt all the necessary laws for the development of both the real sector of the economy and the development of the budget.

The structure of the budget has changed. The Capital Investment Fund appeared. This is an element of the development budget in the understanding of all governing bodies. Of course, it has been reduced in a fairly large volume, taking into account the current situation. This suggests that the republic does not stop, but is developing.

The question in which direction to spend more budget funds, is a matter of disputes at the sites of the Supreme Council, the presidential administration and the Government. I think we will find the formula. It seems to me that we should pay attention to the support of the real sector of the economy from the Capital Investment Fund. The five-year period will not be easy. I suppose that we will have to make unpopular decisions for the development of the state. I am sure that as statesmen we are ready to make decisions aimed specifically at preserving and developing the PMR".