FEDERAL AND REGIONAL PROGRAMMES OF ECONOMIC AND SOCIAL DEVELOPMENT OF KRASNODAR REGION

Federal targeted programmes. The largest federal targeted programme of economic and social development of the region is the Federal Program «South of Russia» for the period to 2006. The share of Krasnodar Region com prises 58 projects representing 30% of its cost.

The most important priority of the programme is the development of the resort-tourist complex. Among 58 regional projects 24 refer to the resort infrastructure. Construction of water supply objects, water drainage, sewage disposal plants and deep water drains; bank protection structure and beach restoration measures are executed with State support. The project of construction of a tourist-sports mountain-climatic complex «Krasnaya Poliana» can be mentioned as a unique one.

In 2002-2004 RUR18.1 bin of investments were attracted to finance the programme, including RUR15.7 bin from the off-budget sources. The implementation of 33 projects of the Programme has been executed with the support of the Federal Budget. The region has received RUR610.7mln, the main part of which are directed towards the construction of engineering communications in resort cities: Sochi, Anapa, and Gelendzhik. On its part Regional Administration has secured the joint financing of the program objects from regional and local budgets to the amount of about RUR1.4 bin. Consolidation of all financial resources allowed the operation of 15 objects and starting complexes the main part of which refers to the infrastructure of resort territories.

Regional programmes. The clear strategy of prospective development has been formulated in the region. Taking into account interests of the state and competitive advantages the Programme of economic and social development of Krasnodar Region has been formulated for 2003-2008. This Programme comprises over 300 projects with overall cost over RUR170 bin. It is supposed to finance from the regional and federal budgets 22 and 9% of financial assets respectively. It is expected to attract over RUR118 bin from extra budget sources.

Main priorities implemented of the Program:

• Creation of favorable investment and business climate for the development of the real sector of economy, small business and investment attraction. Measure of overcoming administrative barriers have been envisaged: creation of the system of business support on the principle of «a unique office window» simplification of the procedure of obtaining permits for construction of objects and formation of the unified regional investment conducting network;
• State support of «points of growth» creating the multiplying effect in adjoining spheres;
• Improvement of the regional legislative and normative base;
• Development of external economic and international relations, creation of an optimal regime for the increase of export and import;
• More rapid development of priority sectors (clusters) of economy:
  • «Transport cluster» complex modernization of the transport infrastructure (sea ports in Azov Black Sea coasts; railway junctions at sea ports, highways to the sea ports, municipal services of Novorossiysk).
  • «Agro-cluster» raising of the rate of resource potential in agriculture, widening of processing facilities, development of leasing and regional agricultural machine building sector, development of agro-industrial integration and cooperation;
  • «Tourist-recreation cluster» increase of attractiveness and effectiveness of work of the tourist-recreational complex, bringing it to the level of international standards;
  • «Industry and small business» increase in the competition ability of Kuban goods and the export potential of the branch;
  • «Sphere of paid and social services» development of the sphere of paid services, including the reformed housing and communal services, solution of key social problems;
  • «Mineral-Raw Material Base, Ecology and other Branches» the increase of oil and gas production, raw material resources for industry of building materials and agriculture, solution of ecological problems;

Realization of the programme activities, by evaluation, will allow by 2008 to increase the total regional product and own profits of the regional budget in 2.5 times and to create over 100 thousand new working places. The main objective of the programme will be achieved on this basis: increase of the living standard of the Kuban population (growth of the active income of people in 1.6 times).

In 2003-2004 RUR 50 bin were attracted for the realization of the programme, including over 10 of budget resources, about 40 of the off-budget sources. The programme was financed to 99% forthe last two years.

Regional targeted programmes. Apart from the complex programme of development of the region, 44 targeted programmes were realized in 2004, most of which have a social character and are oriented towards solving of the problems in the sphere of health care, education and social protection of people. Almost RUR 2 bin were allocated from the regional budget for realization of the regional targeted programmes in 2004, which is 1/3 more than in 2003. Among the priorities are the following:

• programme «Sever» for 2004-2010. Its aim is to increase the living standards of people of six regional districts, to decrease a gap in the level of social and economic development of these districts. Among the priorities are: gasification, water supply of rural settlement, rural roads maintenance. 97 projects started to be implemented in 2004, RUR347.7 mln were allocated fortheirfinancing, including RUR295.4 mln from the regional budget.
• programme of social development of the hero-city of Novorossiysk (2004-2006). The aim of the programme is to create conditions for life support of people of the largest port in the South of Russia. RUR271 mln were allocated for its financing in 2004, including RUR 175 mln from the regional budget.
• programme of development of resort and tourist complex (2003-2010). Its aim is the creation of a modem competitive recreational and tourist complex in the region, efficient use of natural curative resources of the region, development of general resort infrastructure. RUR119.3 mln were allocated for itsfinancing in 2004 from the regional budget.

The programmes «Quality» and «Complex Countermeasures for Illegal Use and Turnover of Narcotics» were given the status of Governor's Programmes.

The programme «Quality» is aimed at securing quality and safety of the products, supplied to the consumer market of the region, protection of people against the goods of bad quality, detrimental for environment and health of people. RUR 8 mln were allocated for its financing from the regional budget in 2004, and RUR 23 mln forthe activities against use and turnover of narcotics.

20 targeted programmes operate in the social sphere, over RUR900 mln were allocated from the regional budget for their financing. Among them are the programmes in the field of education, health care, social protection of people, youth politics, culture, physical training and sport.

About RUR 200 mln were allocated from the regional budget for financing of the projects, aimed at development of the agroindustrial complex: acquisition of rice-harvesters, development of viticulture and wine-making, sugar-beet seed-growing, rural roads maintenance.

Every year Krasnodar Region Administration adopts the regional investment programmes, aimed at development of housing and communal services, gasification, water supply, heat supply of rural settlements, construction of the objects of the social sphere. RUR1.4 bin were allocated for the irfinancing in 2004 from the regional budget.