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Alexander Sokolov reported that the region achieved 104 percent economic growth in 2023, surpassing previous years and exceeding the national average. The industry has grown by 16 percent since the start of 2024, with growth continuing in the processing, chemical, wood-working and agricultural sectors, in particular dairy husbandry.

Vladimir Putin noted that there was a slight decline in gross agricultural output. Alexander Sokolov explained that the decrease was due to unfavourable weather conditions in 2022 and 2023, adding that the dairy husbandry primarily relies on technology. He mentioned that it is possible to increase milk production, adding between 15 and 20 percent, by optimising milk processing technologies and entering foreign markets.

Regional wages continue to grow, increasing by 18 percent last year and maintaining the growth rate in 2024. The Governor highlighted other achievements, including a revival in the construction sector, which grew by 128 percent last year. A comprehensive development mechanism is being used to ensure that social facilities are completed together with residential buildings. The relocation of people from dilapidated housing will be completed this year. Economic development has led to a 23 percent rise in regional revenues (13.5 billion rubles) over the past two years. Construction of multiple educational facilities is underway, with three schools completed in 2023. Plans are in place to upgrade all infrastructure for children, including kindergartens, schools, and cultural and sports facilities by 2030.

According to Alexander Sokolov, the key challenge facing the region is the declining local population: it is ageing, with mortality rates exceeding birth rates by a factor of two. As a result, the new regional socioeconomic strategy focuses on achieving high living standards and ensuring the comfort and well-being of families. Selective measures include financial support for mothers of firstborn babies, who are paid an amount equivalent to average regional wage for 12 months. The goal is to lower the age of parents having their first child, thereby increasing the likelihood of subsequent births. While it is too early to discuss concrete results, the Governor noted that since the introduction of this measure in early 2024, the share of firstborns has increased.

The Governor emphasised the importance of modern infrastructure for the younger generation. This year marks the 650^th anniversary of Kirov, and this is a good opportunity for residents to see that positive changes in their lives are possible. An extensive city improvement programme has been launched as a key initiative for local residents. Renovations have been made to the airport, railway stations, streets, buildings, landmarks and monuments. In total, 1,000 facilities have been upgraded over the past 18 months, with new public spaces created. Local businesses have contributed to this effort, including the reconstruction of a square funded entirely through extra-budgetary means. This year, a monument to Alexander Nevsky has been installed there, and the square has been named in his honour. Several other similar spaces have been developed with the help of businesses.

In response to the President’s question about local gas supply issues, Alexander Sokolov said that an updated gas supply programme was signed with Gazprom CEO Alexei Miller at the 2023 St Petersburg International Economic Forum. Gazprom will invest 31 billion rubles, a five-fold increase from the previous six billion. A new programme is currently being drafted that will fully meet the region’s gas demand until 2029.