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Mr Putin, Mr Kadyrov and Mr Babich discussed the social and economic development of the Chechen Republic, as well as forming a banking system and assigning the republican government the functions of a customer. They also touched upon personnel issues regarding the republican Ministry of Internal Affairs and the Prosecutor-General’s Office.

An issue of transferring part of authorities to the Chechen government in rebuilding housing and restoring communal utilities was also discussed. Mr Babich said the republican leadership and the Audit Chamber would set up inspection groups in January 2003 that would be charged with the regular monitoring and evaluating the efficiency of using the funds allocated by the federal budget on the restoration of the Chechen economy.