RUSSIA: Prime Minister Vladimir Putin addresses parliament, says Russia has shown it can survive economic crisis

Record ID: 862995

  • Title: RUSSIA: Prime Minister Vladimir Putin addresses parliament, says Russia has shown it can survive economic crisis
  • Date: 7th April 2009
  • Summary: MOSCOW, RUSSIA (APRIL 6, 2009) (REUTERS) EXTERIOR OF DUMA BUILDING MAIN ENTRANCE SIGN ON ENTRANCE
  • Embargoed: 22nd April 2009 13:00
  • Keywords:
  • Location: Russian Federation
  • City:
  • Country: Russia
  • Topics: Economic News,Politics
  • Reuters ID: LVABLD9AHDWYTI93YNTUMA45IIFR
  • Aspect Ratio:
  • Story Text: STORY Prime Minister Vladimir Putin defended his handling of Russia's economic crisis on Monday(April 6), telling lawmakers Russia would survive.
    Russia's $1.7 trillion economy is heading into recession after a decade of rapid growth. Lower prices for its key exports of oil, gas and metals and heavy corporate debt mean it is the worst affected so far of the world's big four emerging markets.

    "The problems have not arisen first with us, no one is disputing that, the situation in the Russian economy is not generally different from global trends," Putin told deputies in the Russian parliament.
    He urged deputies not to blame Russia's bankers.

    "I ask you dear colleagues, when you come to discuss the budget, don't be too hard on the bankers, it's easy to label them whatever, criticise them for being 'fat cats' and so on, but they are an important sector of the Russian economy", said Putin.
    Putin said he foresees a difficult year ahead in 2009 but is confident Russia will cope with the economic crisis.

    "It would be irresponsible to try and lull ourselves with words of bravado and reckless optimism. But what should -- and must -- be said with all certainty is that Russia will overcome the crisis," Putin said in his 65-minute report to the parliament.

    "The country will beyond all doubt keep its position as one of the largest economies of the world, but at the same time it will have still broader horizons of development, with a more powerful workforce and technological potential," he continued.
    Putin, who left the Kremlin after eight years in 2008 to become prime minister, concentrated most of his speech on listing what he said were the government's successes in improving public housing, health and education.
    More than a million people have lost their jobs since the start of December and the rouble has lost around a third of its value against the dollar, provoking fears that the country's hard-won political stability might be at risk.
    Putin predicted that inflation would start to fall soon from its current level of 14 percent per year but rejected calls to raise personal income tax and delayed a rise in payroll taxes, saying the tax burden should be kept low in times of crisis.
    Watched by his cabinet from a side balcony, Putin said Russia's companies should take responsibility for cutting their own debts, rather than relying on the government. Some $174 billion of corporate debt had been repaid or restructured over the past few months.
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2013. Open For Restrictions - http://about.reuters.com/fulllegal.asp
  • Usage Terms/Restrictions: None
Register