Putin Gives Positive Assessment of Russia’s 2004

Putin Gives Positive Assessment of Russia’s 2004

MOSNEWS, Russia
Dec 23 2004

MosNews

Speaking at an annual press conference in the Kremlin Russian president
Vladimir Putin gave the political results of 2004 a “plus sign,
on the whole.”

He said the world was not free from areas of tension, “and they are
not only in the Middle East and Iraq”. Putin also mentioned the Beslan
tragedy that pushed everyone to strengthen antiterrorist and other
measures. The Russian leader stressed that proposals to cancel the
popular vote of governors and to form the Russian parliament according
to party lists were part of those counterterrorist measures.

“It is necessary to work out all the mechanisms that will create a
situation whereby a regional leader feels responsible for the country
and the region’s problems,” Putin said.

Also at the press conference in the Kremlin, broadcast live by Russian
television channels, Putin said the positive trade balance of Russia
in 2004 was $80 billion, while the rise in the gross domestic product
would reach 6.8 percent which corresponds with the rise of the last
five years, and the gross revenue per head is about $4,000 which is
twice as high as in 2000. The state debt of Russia has been reduced by
one third since 1999, Putin said. Gold and exchange currency reserves
have increased by up to 70 percent and are close to $120 billion.

“It is a record figure not only in the history of the Russian
Federation but also for the Soviet Union,” the Russian president
said. “It is important to point out that for the first time the bulk
of gold and exchange currency reserves has exceeded the bulk of the
state external debt.”

The minimum salary for budget workers will rise by a third in 2005,
Putin promised. Inflation will be 8.5 percent. The number of those
unemployed has decreased to 7.4 percent of the workforce, which means
about 5.5 million people, the Russian head of state said.

Putin also touched on Yukos subsidiary Yuganskneftegaz. He said that
the Rosneft oil company had bought it using legal market methods.
Speaking on energy resources, he said that according to the results
of an evaluation, Russia will have enough resources for 45-50 years.
All energy companies in Russia are working successfully, with oil
companies increasing output by five percent, and gas companies by
three percent.

“Our country developed as a superbureaucracy for a long time,
and it has consolidated in the minds of officials and the people,”
Putin said. “The administrative reform is not a fast process. What
the government has done is not enough, but we are heading in the
right direction.”

Speaking on Chechnya, Putin said that there would be no Russian
conscripts in the region from Jan. 1, 2005. It is also necessary to
raise the professionalism of the Russian army. “We are not setting
the task of creating a fully professional army, but professionals
will serve in the units of permanent combat readiness,” Putin said.

“Russian interests in the Caucasus must be harmoniously combined with
those of Armenia, Azerbaijan and Georgia,” Putin said adding that
Russia was ready to mediate in a settlement of the Nagorno-Karabakh
conflict between Azerbaijan and Armenia.

Addressing the journalists, Putin described them as his “team”
alongside the government. He added, however, that it was not very
effective to always hold open government meetings. “I hope that
government will hold part of their meetings behind closed doors to
have far more acute discussions.”