Russia will solve all the problems that have arisen due to the sanctions imposed by the West, Vladimir Putin said at a meeting with members of the government. According to him, the Russian economy is adapting to the new situation, and this will lead to an increase in the independence and sovereignty of the country. The meeting discussed how to prevent food prices from rising, production closures and what measures are needed to support Russian business.
At the beginning of the meeting, Prime Minister Mikhail Mishustin said that the Cabinet of Ministers, on behalf of the head of state, is working to increase the stability of the economy in the face of unprecedented increased external pressure. For this purpose, a special headquarters has been formed, which coordinates the activities of all departments, including at the regional level.
As the main tasks: protection of the domestic market, ensuring the smooth functioning of enterprises through the elimination of violations of logistics and production chains and the preservation of employment. Mishustin noted that two legislative drafts with priority anti-sanctions measures have already been prepared promptly. They included specific proposals to stabilize financial markets, support a number of industries, increase the sustainability of domestic business and return capital to Russian jurisdiction.
A draft law has already been prepared aimed at preventing the closure of production facilities: if foreign owners unreasonably close the company, then in such cases it is proposed to introduce an external administration. A set of measures has also been developed to help the IT industry. In particular, it includes the exemption of all relevant companies from paying income tax and inspections by regulatory authorities. To support the construction sector, the development of urban planning documentation, registration of rights to constructed objects is simplified, the provision of land plots will be accelerated.
The government will help air carriers maintain a fleet of foreign aircraft. For countries that prohibit our ships from entering their ports, similar bans will be introduced in Russian ports. The tourism industry will also receive preferences.
Mishustin paid special attention to ensuring the country's food security. In his opinion, it is now extremely important to prevent the disruption of the sowing campaign, which is already underway in some regions. Therefore, agricultural producers will be able to postpone their payments on investment loans for six months.
Food prices
Vladimir Putin, in turn, said that sanctions against Russia would have been imposed by the West in any case: "I have no doubt that these sanctions would still have been imposed one way or another, as they have been imposed for many, many recent years." He noted that after the collapse of the Soviet Union, many restrictions and the so–called Kokom lists (KOKOM is the Coordinating Committee for Export Control, an international organization established in 1949 for multilateral export control to the USSR and other socialist countries) did not cease to operate and were "inherited" by Russia.
"It was only with pleasure that everyone took money to pay for the previous loans that all the republics of the Soviet Union took during the Soviet period," the president noted.
He believes that now the sanctions pressure is complex and creates certain problems and difficulties for Russia. The President noted that at such moments, people's demand for certain groups of goods always increases. "But we have no doubt that we will solve all these problems in the course of our work in a calm mode.
Gradually, people will get their bearings, they will understand that there are simply no events that we could not solve.",
- the president emphasized.
Denis Manturov, the head of the Ministry of Industry and Trade of the Russian Federation, who spoke at the meeting, assured that the Russian authorities will introduce state regulation of prices of socially important goods only as a last resort - with an unjustified price increase. According to the minister, the Ministry of Industry and Trade expects that trade networks will restrain prices for mass-demand goods.
"As for prices. The irresponsible position of our former partners from abroad has led to a significant rise in the price of imported products. The government has decided to support both farmers and trade. In response, we expect that all market participants will restrain prices for mass-demand products," Manturov said. He noted that often large chains voluntarily minimize the commodity margin, and shift the costs to the goods of the medium and premium categories.
"For socially significant goods of the low price segment, the government has a mechanism of state regulation, which we have never resorted to yet. In the current conditions, this measure will be used as a last resort, with an unreasonable increase in prices," Manturov stressed.
Consequences of sanctions for the West
At the same time, anti-Russian and anti-Belarusian sanctions can lead to a rise in the price of food in the world, the head of state believes. And those countries that refuse to purchase fertilizers from Moscow and Minsk will suffer from this. The President explained that Russia and Belarus are among the largest suppliers of mineral fertilizers to world markets. "If we continue to have any problems in financing this work, in insurance, in logistics, in the delivery of our goods, then prices, already exorbitant, they will grow even more," Putin predicts.
According to him, such a development of events "in turn will affect the final products – food products." "If they create any problems in this sense for us, then negative consequences for this sector of the world economy are inevitable. They are simply unavoidable. Prices will rise even more, and this will affect the solution of a number of humanitarian problems, including those countries that already have problems, and already have something to think about in terms of supplying their citizens with food," the Russian leader said.
At the same time, the President noted that Russia should never allow anything like this in the domestic food market: "First of all, we need to provide the necessary amount of fertilizers in our market, to our agricultural producers, but we have the resources, we can, we are ready to supply our foreign partners." "With those countries that behave amicably towards our country, towards Russia, we have certain agreements on unconditional provision of their need for mineral fertilizers, both our suppliers and these countries are interested in this," Putin said.
The President also spoke about the consequences of the ban on Russian oil supplies. According to him, the United States is now trying to prevent the upcoming oil shortage, which has already led to a sharp increase in fuel prices in America: "They are already trying at all costs to negotiate with those countries against which they themselves imposed illegitimate restrictions.
And we are ready to make peace with Iran, immediately sign all the documents. And we went to Venezuela to negotiate with them. But it was not necessary to impose these illegitimate sanctions against them."
According to Putin, "the same thing will happen in relations with our country, I have no doubt about that. We, together with our partners who do not recognize these actions, will certainly find solutions to all the problems that they are trying to create for us."
Prevent the closure of production facilities
At the same time, the President noted that Russia fulfills all its obligations to supply energy resources to Europe and other regions of the world. "As for those countries that are taking unfriendly steps against our country and economy, you and I are well aware that they urge their citizens to tighten their belts, dress warmly and, in general, point to the sanctions they impose against us as the reason for the deterioration of their situation," Putin said.
"It all looks very strange, especially since we fulfill all our obligations in the field of energy supply," the President stressed.
At the same time, he noted that Russia is not going to close itself off from anyone and is ready to work with all partners who want it. "We are open to work with all our partners, foreign partners who want it themselves. In this regard, the rights of those of our foreign investors and colleagues who remain in Russia and work in Russia should be reliably protected. I ask the government not to lose sight of this," he said.
However, he demanded to act decisively in response to the closure of enterprises in Russia by foreign owners and to introduce external management at such enterprises: "Then, as the Prime minister suggested, it is necessary to introduce external management and then transfer these enterprises to those who want to work. Legal instruments, market instruments, are enough."
Payment of external debts in rubles
Finance Minister Anton Siluanov, who spoke at the meeting, said that despite financial sanctions, the situation in the budget sphere of the Russian Federation is under control. "Non-oil and gas revenues are expected to decrease. But this is offset by the growth of oil and gas revenues," the minister said. He also stressed the need to "prevent the acceleration of inflation." According to Siluanov, the main priority at present is the fulfillment of all social obligations of the state.
The head of the ministry added that oil and gas revenues will be used to reduce borrowing and "to finance priority expenditures."
At the same time, he said that Russia will repay foreign debts in rubles, and then the West will be able to convert them into currency when unfreezing Russia's gold and foreign exchange reserves (gold reserves). "A special procedure has been established for servicing foreign debts, including government debts, we will repay our external obligations in rubles, and we will carry out the conversion by unfreezing gold and foreign exchange reserves," Siluanov said at a meeting of the President of Russia with members of the government.
"The West has defaulted on its financial obligations to Russia, has frozen our gold and foreign exchange reserves, is trying in every way to stop foreign trade, exports of goods, thereby damaging world trade," Siluanov explained the decision.
At the end of the meeting, Vladimir Putin expressed confidence that the country's economy will adapt to the new situation, which will eventually lead to an increase in Russia's independence and sovereignty.
"We are well aware that many countries have already adapted to living with their backs bent and obsequiously accepting all the decisions of their sovereign. Russia cannot exist in such a miserable and humiliated state. Sooner or later, all this had to happen. It has happened now, and I am sure that we will overcome all these difficulties," the president said.
Rafael Fakhrutdinov
