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The results of the IEF-2016: economic course adequate not call anybody!

Итоги МЭФ-2016: экономический курс адекватным не назвал никто!

Finished fourth Moscow economic forum (IEF), which has already established itself an open professional platform with many well-known experts.

Discussion of alternative ways of economic development has collected yet another full house, the hall of the Lomonosov Moscow state University of hull was crammed with guests, and there were more than 3.5 thousand of the 47 regions and 16 countries.

Started IEF-2016 from the actual question the answer to which many in society but not in government is obvious: the results of the 25th anniversary of market reforms in Russia? The panelists noted that the submission of our officials about the essence of market reforms were primitive. As a result of “shock transformation”, the country received an economy based on revenues from raw materials, requiring diversification, and the absence of a coherent strategy going forward.

And despite the fact that the forum is referred to as economic, were on him and the conference on other matters, there were sharp political discussions – for example, “obstruction” has been “United Russia”, the chief editor of magazine “Expert” Valery Fadeev, the differences have invited the former Minister of defence DND Igor strelkov and co-chair of the MEF Ruslan Grinberg. But, nevertheless, from the format of the constructive dialogue, the participants did not depart.

The main results of two days of discussions MEF-2016 was tested in the interview Накануне.RU co-chair of the forum, the head of the Association “Rosagromash” and “New Commonwealth” Konstantin Babkin.

Question: In the media appeared first reactions and a lot of comments of experts held Moscow economic forum, and how would You assess the results?

Konstantin Babkin: it was at a high level, has held hundreds of performances, the program was rich and interesting. We had a hard format for each presentation was given on average 7 minutes, but during this time many people had time to say, to convey important thoughts and ideas, and I learned a lot of new and important information.

For example, the ex-IMF chief Dominique Strauss Kahn called strange that Russia is still not diversified its economy, developing the actual production, although all for it. Maybe the idea is not so new, but the weight it gave what it said Strauss Kahn, it was very important to hear it from him.

Despite the difference in ratings on individual issues and even though there were people of different political views, yet through all the discussion traced the General line. Nobody said that the current economic course is adequate – everyone agrees that it needs to be changed, all agree that change is necessary for the development of the non-resource economy, of processing industries.

Question: Dominique Strauss Kahn talked about the fact that each country has its own peculiarities – you just can’t take the methodology of the reforms and to project them blindly to any country. What do You think, can it be presented as an advice to our Government?

Konstantin Babkin: Yes, this is a really important idea. In our country many experts have long been saying that we need to pursue that path, but from such a person to hear it was important.

Indeed, the economic block of the Government blindly follows the advice from across the ocean, ignoring the peculiarities of the country, even ignoring its interests. We should respect and honor their history and to develop on the basis of their culture, the mental qualities of our people.

Question: Also one of the experts cited the following statistics that in 25 years these same reforms the country’s GDP decreased by 45%. Do You agree with this assessment?

Konstantin Babkin: Yes, if the country were the right economic policies all these years – the GDP would be doubled, maybe even more. GDP would be more than just twice, if we didn’t do jerks and have not carried out a reform shock, as if led and sound economic policies, we would live richer and encountered far fewer problems.

Question: IEF has established itself as a powerful platform on which to keep the word famous economists, rise to the most acute topics. But where representatives of the Government, the economic bloc? IEF ignore?

Konstantin Babkin: Why are we not hearing? Good question. Because while we can gloss over. We did a great job, this forum already has a lot of weight, but this is not enough, and we have a lot of work. Their forum is attended by 3.5 thousand people, and probably hundreds of thousands or 1 million know about him and following his work.

And we want 100 million watched the forum. Therefore, each of the participants of the forum, of those 3.5 thousand people, of those who watched the broadcasts, have to work as a journalist in his environment, to promote these ideas, to say that how we live is not normal, everything should be much better.

I know that the forum is watched including our opponents. But we still move forward, I think we are on the right track.

Question: increasingly, talks about the role of reforms and Maslukov Primakov – in a short period of time they managed to stop the rapid decline of the economy and the path of growth. Can such an experience to apply now? Do I need to make allowances for the reality?

Konstantin Babkin: At a conference were requested to acknowledge the positive experience of the Government headed by Primakov, Maslyukov and Gerashchenko, and give the forum a name for these people. It’s an interesting idea that needs to be discussed.

And if we talk specifically about their reform, let us remember the history – the Government lasted only 9 months, it came to power after a terrible 1998 default, when the economy was flying in “hell”. During these 9 months, the Government has set a new vector of development – restructuring of debts of enterprises, stable financial system, efforts aimed at supporting the real sector.

The Government had laid the basis, the basis of which the country has enjoyed five years, while again not won this Gaidar policies aimed at privatization, putting the resources of the country, accession to the WTO. And now we see that preparing the next wave of privatization, which will not solve the problem, but only exacerbate them.

Though in something the Government was easier – remember, in those years participated in the transaction, when the cars “Moskvich”, made in Moscow, were exported to China, and the Chinese gladly bought them. Now everything has become much worse: there is no longer the car “Moskvich”, no other brands, and the automobile industry is only one example. We have come a long way deindustrialization since then, and is now much more difficult to restore the economy.

Of course, we must rethink the experience of the Government at a new stage in the new reality. Blindly copy had been no calls, but to explore the experience necessary. And it is necessary to convey an understanding that blind faith in “the good, the invisible hand of the market”, which economists Gaidar school, has exhausted itself. The Primakov government and Maslukov focused on the development of processing industries, the non-resource economy, and much of that experience should take.

Question: the forum was announced previously unknown information that during his famous flight on 24 March 1999, Primakov was carrying documents for the sale of “Rostselmash” Americans. And if not, “turn over the Atlantic”, he would have suffered the fate of many Russian “giants” who now “lie on the side”. This example proves once again that often the talk about “non-compete”, “inefficiency” of our enterprises – a front for criminal sales, and many factories then you could keep to work and develop?

Konstantin Babkin: Yes, it’s an example of what privatization by itself does not solve problems and often creates them, leading to the closure of businesses. You have to care to plants was beneficial to work, we need to understand why this or that industry works today is ineffective. Favorable conditions of financing are provided? Are there enough “reasonable” taxes? Provided access to the market? If a company is working inefficiently, it is necessary not famously to eliminate it or to the pillage of the visiting guests, and to understand the problems and do everything to move forward.

the Rostselmash harvester, farming, harvest|Photo: Rostselmash

The same enterprise, if you give him a push for development itself will then ensure an additional inflow of financing of the state. But we do not understand – raise taxes, interest rates that make enterprises became inefficient, and then start on the cheap to sell to anyone. This is a road to nowhere.

The example is really an example of what could entail the transformation of “Rostselmash” in any Assembly area and firing tens of thousands of people. But Primakov did this “reversal” and “Rostselmash” is a dynamically developing enterprise, which is the largest competition world-wide companies.

Question: Some noted that IEF allegedly already “not the place for political discussions” and becoming more and more business on the rails, promoting “success stories” – how would You respond to that?

Konstantin Babkin: We gave the word to young entrepreneurs is one of our approaches, we believe that young people should attend. And a thoughtful audience, the listener might something learn, can discern any patterns, and the officer can understand from this story that it needs to change in our work in economic policy. We deliberately went for it, giving the word “inexperienced farmer”, but I think it was interesting. In General, I don’t think we had many “success stories”.

As for politics, when I was moderator of one debate, there came the sharp conversations between representatives of the parties. I asked the participants to leave the discussion of inter-party differences and to talk about positive scenarios and then return to the originally stated topic. This does not mean that the forum is forbidden to talk about politics. For example, another discussion was called “War and peace: politics and Economics”, there was then encouraged to talk about politics. And were the conference that the emergence of a third political force, the revitalization of regional elites – all this was discussed, nobody forbade. Just IEF is still not the place to advertise parties.

Question: what can You say about Ruslan Grinberg and his relationship to Strelkov and Novorossia? He’s the co-chair of the IEF, and, perhaps, to many it was strange to hear his statement that Novorossiya is “unclear what”?

Konstantin Babkin: I am very unhappy with the reaction of some media and even co-Ruslan Grinberg, very sharply reacted to the participation of Igor strelkov in this discussion. This is the person, the position of which is shared by millions of people, you can agree with this position, you can disagree, but to ignore the position of millions of people in the East of Ukraine, and in Russia, I think, wrong.

If people who are opposed to the fascist Ukraine should not be given the word – I think this is the way to solve the problem, and to the aggravation. It’s a strange position to pretend that there is no new Russia, and never was. It is possible to Express their point of view – Greenberg might tell her, but then you have to hear and another. I think we will overcome the present difficulties.

Question: On this forum, it seems, the range of questions was broader than at the previous IEF will continue to expand? What are your plans, what are the prospects?

Konstantin Babkin: let me Remind you that we have several times a year, discuss current problems in the intermediate sessions. And once a year – at the end of March, we will meet in the forum itself.

As we three times a day I sit at the table as well and the MEF will operate continuously, evolving in a spiral, becoming more powerful, competent, more powerful platform. Will do the same thing, only on a higher level, a wider audience and with a wider range of issues and experts.

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