OREANDA-NEWS. November 06, 2009. Head of the Republic of Karelia Sergey Katanandov has held a session at participation of the Prime Minister of the Government of the Republic of Karelia Pavel Chernov and Assistants to the Prime Minister to consider the issue of investments which is today's burning point.

The Minister of Economic Development of Karelia Mikhail Yurinov reported on the state of affairs in this sphere. 168 investment projects are at various phases of implementation in territory of the republic. Total cost of these projects makes more than 250 billion roubles. Among other positive factors there has been mentioned growth of foreign investments which in 2009 have doubled compared to 2008. The republic is on the 26 place among the regions of Russia on the volume of foreign investments.

However, the report's leitmotif was reduction of the total amount of investments in 2009. The main reason is reduction of the flow of funds and complication of access to credit resources. On the part of the Government of Karelia all the obligations on cooperation with financial bodies have been fulfilled, however, the amount of credit resources as the source of financinf of investment projects was quartered.

About 10 billion roubles is the volume of investments in Karelia in 9 months 2009. The basic recession of investments is observed in construction, in financial activity, in agriculture and in forestry, in wholesale and retail trade, in public health services, extraction of minerals.

The following conversation was based on this report. Sergey Katanandov has made it abundantly, that the existing state of affairs in the sphere of investments does not suit him. What is necessary to do to revive investment activity was discussed during the conversation.

Almost two years ago there has been founded a special department of the Ministry of Economic Development to involve investments in the republic, study experience of our neighbours, solve investors' problems, provide support of investment projects from the stage of intentions to the stage of implementation. Now Alexander Kolesov has headed this work after he has been dispensed from the duties of operational administration of the Ministry of Finance to concentrate on work with investments.

– To involve investments is not an end in itself, это не просто процесс ради процесса, – Sergey Katanandov has pointed out. – Investments should solve the Karelia's strategic task. We should stop being a subsidized region, which means we should develop our economy to make the republic self-sufficient. We understand, that traditional economy today cannot be the locomotive of development any more. The republic should bring out its full potential, search for options to involve partners and resources.