There are no simple solutions in situation with small and medium business

5 march 2015 | "Radio Rossii"

The presentation of the annual report on human development in Russia named "Human Development in the context of economic instability"recently has been conducted at the Analytical Center. Within one and a half decades the report was under the Program of development of the UN, and since 2014 its preparation and the edition is organized by the Analytical Center.

Victoria Gimadi
Victoria Gimadi
Department for Fuel and Energy Sector

In a live radio station "Radio Rossii", Victoria Gimadi, the Head of Department for Fuel and Energy Sector of the Analytical Center, has talked about the article, prepared for Human Development Report in Russia "Human Development in the context of economic instability" in 2014.

"It is important to note that burden for the poor part of the population is the highest now. Dynamics of 2007 shows that incomes and tariff burden grew at the same pace: they grew 2 times and remained at about 67% of the income of the population. If we look at the poor, the situation also did not change. It remained rather stable bad than stable good. Approximately 20-22% of the income is the cost of housing and communal services. This is the fifth part of the income, that is a lot", said the expert.

The targeted support from the state exists, but it is not so great, so the burden is quite high, considers Ms. Gimadi. "And this support is distributed to the entire population: the poor and the rich. It is important to shift this burden from the poor by giving them a lot of support from the government", said the expert.

Ms. Gimadi also spoke about the situation of small and medium-sized businesses. "The anti-crisis plan provides with measures to reduce the tax burden on small and medium businesses. Problems of this business are well-known: bureaucratic procedures and other things. To let people realize their potential, start doing business, it is necessary to develop this institution directly. There are no simple solutions", aid the expert.