icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm
25 Mar, 2008 09:05

Loans may be Russian small business saviour

Russia's ministry of economic development and trade has presented a favourable review of the Russian economy in 2007, but says more needs to be done for small business.

Summing up the ministry's work and major achievements, Economic Development Minister Elvira Nabiullina mentioned GDP growth of 7.6%, investment inflow increasing 20% to reach $US 45 billion, and revenue growth of 10%.

However, Nabiullina said high inflation was last year's major economic failure, coming in at nearly 12% instead of the planned 8%.

The Minister also pointed out that encouraging small business should become a key government priority, and that to do this the credit system should be expanded significantly.

“We expect the amount of bank loans to exceed 14% by the year 2011, currently bank credits make only 9.4% of all investments. Small business needs more than $US 40 billion dollars of credit resources, while it gets only $US 10 billion,” Nabiullina said.