The Sverdlovsk Oblast Lost One Third Of Investments

23.09.2009 — News

THE SVERDLOVSK OBLAST.

In 2009 around 160 billion roubles will have been invested in the Sverdlovsk Oblast's economy. Investments will come 30% short compared to the last year's figure.

The regional Government informed RusBusinessNews that the industrial production index will amount to just 76.8% of the 2008 figure. The economy of the Oblast will not manage to climb out of stagnation in 2010 either. The volumes of production will not exceed 4/5 of the 2008 figures. Nor are Investors in any hurry to come back to the Sverdlovsk Oblast. The regional authorities are planning that amounts of investment in 2010 will remain at the current year's level. A 4-5% growth would be possible no sooner that 2011.

Experts point out that the economic failure of the Sverdlovsk Oblast, one of Russia's key industrial regions, has been caused, to a considerable degree, by short-sighted policies of Governor Eduard Rossel. At the time of crisis metals production, the key sector, cannot fill the regional budget with revenues as it did in recent years. The needed diversification of the Sverdlovsk Oblast's economy to a large extent remained only a paper exercise.

At the moment the Russian President is considering three candidates for the post of the Governor of the Sverdlovsk Oblast. The need for the modernisation of the regional economy makes Aleksandr Misharin, the Director of the Department for Industry of the Government of the RF, the most likely contender; he is a member of Vladimir Yakunin's team, Mr. Yakunin is the President of JSC Russian Railways.