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Vladimir Putin: I would like to thank all of you for your active contribution to this meeting today. During the course of our discussions we identified the main problems facing small businesses and certain proposals have been made. As you know, not merely the overall concept, but a concrete action plan have been prepared, which, in my opinion, is very important. I think the working group did the right thing.

Instead of concluding remarks I would permit myself to present you with a list, an open-ended list, of instructions that will emerge from the results of our discussions today. It is an open-ended list because some of the proposals that have been voiced here have yet to be formalized and included in the list.

The following instructions will be issued to the Government of the Russian Federation:

First: to prepare and submit to the State Duma of the Federal Assembly of the Russian Federation proposals on more accurate criteria of small enterprises.

Second: to suggest improvements to tax legislation in order to simplify the taxation system for small enterprises and the taxation system for certain types of activities.

To prepare proposals to simplify forms of reporting when paying the consolidated social tax. This is an issue over which speakers today have voiced concern.

To consider the possibility of legislating the maximum level of the tax burden on small businesses. It is a complicated issue and we have had some further consultations with the Government Chairman, and we should follow that road and the government will give some additional thought to the parameters for resolving that issue.

To speed up the development of regulations and legislation elaborating the federal law on the protection of the rights of legal entities and individual entrepreneurs in the process of state control, as well as regulations to eliminate contradictions between the existing legal framework and the basic principles set forth in the said federal law.

To ensure that the whole range of regulatory documents is available to entrepreneurs, documents that regulate the procedure and terms of their activities as well as the powers and the jurisdiction of the supervisory bodies.

To prepare proposals on the establishment of consultancy centres for entrepreneurs.

I think it would be right if the Government developed a procedure whereby the enabling decrees issued by ministries and agencies would have to be published in the media prior to coming into force.

To develop a conceptual approach to the organization and conduct of government control of compliance of the products, processes, production methods and services with mandatory requirements.

To eliminate duplication of activities by different agencies in supervisory activities. There are many such cases, some verging on the ridiculous. In any case, the more outrageous instances should be dealt with immediately. It is necessary to analyze and assess what we have in this sphere at present.

Jointly with the business community, to prepare and submit to the State Duma of the Federal Assembly of the Russian Federation a proposal on amending current legislation with respect to the procedure of establishing mandatory state requirements of various types of entrepreneurial activities.

To consider improvements of legislation regarding the activities of credit cooperatives, mutual credit societies and other non-banking institutions lending money to small businesses. In general, I think we should see what can be done to make financial resources more accessible to small and medium sized enterprises.

To develop a simplified procedure for the lease to SMEs of federal property not slated for use for any other purposes.

To develop procedures stimulating the participation of SMEs in the privatization of federal property.

And in conclusion I would like to say that if a favourable environment for the development of small and medium sized businesses is to be established there must be stability in society, the state and in the regions, there must be an ongoing dialogue between the business community and the authorities.

In this context I would like to welcome what Victor Ivanovich, the Governor of the Khabarovsk Region, has said: while the establishment of the Entrepreneur’s Day may be the subject of further thought, there is no doubt that a dialogue between business and the authorities must be established at the federal, regional and municipal levels.

In this connection I would like to draw the attention of the President’s plenipotentiary representatives to the regions to the following. The heads of the constituent members of the Russian Federation rightly pointed out today that many of the outrageous things that are happening in this sphere have been initiated by the federal executive bodies in the regions. So you must help the heads of regions to resolve that problem. How to do it? Consult with the governors and the presidents of the republics within the Russian Federation and think.

Finally, I would like to express the hope that this work, whose urgency we constantly stress, will not be completed today. It will be a long haul, so I would ask you to keep this problem under constant review. You should personally pay attention to it because if the heads of regions and the state do not pay attention to that sphere, the problem will be stalled and we will constantly be going back to square one.

I very much hope that we will work jointly, intensively and effectively. Thank you for your joint work today.