It is important to include effective measures to increase the Republic's investment attractiveness, support the real sector of the economy, as well as small and medium-sized businesses in the new program for the development of South Ossetia until 2030, so that in the future, together with entrepreneurs from Russia and South Ossetia, we can launch new promising projects.
This was stated by Russian Minister of Economic Development Maxim Reshetnikov during the meeting with the South Ossetian President Alan Gagloev, taken place as part of the official visit of the Russian delegation to Tskhinval.
"It is important to speed up the work on preparing a new state program in order to work out its content in a timely manner," Maxim Reshetnikov's press service quotes him as saying. "The program itself must be expanded to include the measures to support not only the main sectors of the economy, but also tourism and SMEs. This will help create new growth points in the country's economy."
According to him, the new state program will give additional impetus to the development of the economy of South Ossetia and, in the long term, will allow for the adoption of exactly those decisions that residents of the Republic are waiting for.
President of South Ossetia, in turn, noted the strong and strategic partnership between the two countries, based on mutual trust, common values and aspirations. "Thanks to this cooperation, we are confidently moving along the path of sustainable development in all spheres of life," he has emphasized.
At the same time, according to him, there are still the issues that can be resolved by attracting additional investments and updating the logistics of the enterprises. We are talking about supporting small and medium-sized businesses, developing agriculture and industry, the banking sector and the tourism industry. All these areas are reflected in the draft of the new program for socio-economic development of South Ossetia.
"With the proper implementation of the program's activities and decisions on the introduction of digital tools for administering tax revenues, by 2030 we plan to increase our own state budget revenues by 2.5 times," Alan Gagloev said. — I am confident that by joint efforts we will be able to achieve the desired results."
During the meeting, Maxim Reshetnikov has reminded that this year marks 17 years since Russia recognized the independence of South Ossetia. During this time, Russia has allocated about 113 billion rubles for the development of the Republic. The funds were used to restore about a hundred socially important facilities — utility networks, roads, hospitals, schools and kindergartens.
"Russia and South Ossetia are interested in creating a common socio-economic space. In order for the Republic's economy to become stronger, more sustainable and independent," Maxim Reshetnikov has emphasized. "Therefore, our joint programs are aimed at improving the efficiency of budget institutions and increasing the budget's own revenues, developing cooperation and mutual trade, creating favorable conditions for attracting investors."
Over the past 5 years, mutual trade between Russia and South Ossetia has grown by 14.5%, the economy of South Ossetia — by 27%, the Republic's own revenues — by 28%, and the income of residents — by 30%.
The investment activity of the Republic has also increased. Over the past two years, almost 3 billion rubles of investment have been attracted to projects important for the economy of South Ossetia. Thanks to their implementation, over 600 new jobs will be created in the Republic this year, and the projects themselves will begin to bring 170 million rubles in annual income to the budget. Thus, the Republic's GDP may grow by another 9.8% by 2026.
The meeting was also attended by Chairman of the Government Konstantin Dzhussoev, the head of the Presidential Executive Office Alan Alborov, Minister of Economic Development Sarmat Kotaev, Ambassador of the Russian Federation to the Republic of South Ossetia Marat Kulakhmetov, Deputy Minister of Economic Development of the Russian Federation Dmitry Volvach.
