Pandemic COVID-19 changed roles: policy solves internal problems, international cooperation goes to the business. This is one of the conclusions of the conference “Russia and the world in 2021”. Details – DW.
Monday, June 22, the German-Russian chamber of Commerce (AHK) held on its online platform conference “Russia and the world in 2021”. The participants presented their views on the impacts of the pandemic COVID-19 for the world and Russian economy, and shared his predictions for the near future. Answering the question, does coronaries the world any better, all agreed that in the short term, it only brings negativity. Details – in a report DW.
The advantages of shattered societies according to the Minister of industry and trade
Opening the conference with a small delay due to technical failures, moderator, Chairman of the Board of the German-Russian chamber of Commerce, Matthias Shepp (Matthias Schepp) provided the first word of the head of Minpromtorg Denis Manturov. The Minister assured that the economic cooperation of Moscow and Berlin continues, despite the crisis: “In Russia there are about 4.5 thousand German companies, we have more than 20 billion dollars of accumulated German investments and $ 9 billion of Russian investments in Germany. These figures speak for themselves.”
At the same time, the Minister acknowledged that the world faced “with the worst recession since the Second world war.” Despite the fact that the main attack took over the service sector, hospitality and non-food retailers, industrial companies were also severely affected. The main difficulties they faced, according to Manturov, the steel shattered chains and the loss of markets.
“Normal channels of supply of components began to crumble. Revealed dependence on suppliers from China”, – stated the Minister of trade and industry. However, in his opinion, and sees a new window of opportunities. This year, according to Manturov announced, to stimulate production of key components in the RF government will allocate 570 million euros. “We hope that our German partners will increase interest in building cooperative ties with Russian suppliers. Our goal is to switch to joint production of products with high added value,” explained the Minister.
State aid could be greater and more systemic
The head of the Russian Union of Industrialists and entrepreneurs (RSPP) Alexander Shokhin began his speech with a joke: “a Man asks a question: “in five years we will be in Russia to live better than in Europe?” – Answer: “it Depends on what happens with Europe during this time.” So, I would not want that Russian economic policy is focused on the fact that the outside world will begin to experience difficulties.”
According to Shokhin, the gap of cooperative chains is indeed a problem and requires support not only to strategic enterprises, but also their partners and suppliers. Such assistance, according to him, is already within the specialized investment contracts, and, in particular, got some German company, who localized their production in Russia.
Answering the question whether there is enough support promised by the state to businesses, Medvedev noted that “many never”, and the extent of guarantees from the state could be more. In addition, in his opinion, it would be worthwhile to expand the list of affected industries and to change the criteria for classifying companies as small business: “If it was attributed to more companies, they also would have been in the area of state support.”
Finally, after the wave of coronaries subside, need to be systemic and not emergency measures of recovery, he said Shokhin. And that’s become a byword reducing the administrative and fiscal pressure on business.
The strengthening of ties between the two countries becomes a matter of business
“The business in each country becomes the actor, of whom we must place a maximum of hope, if we want to maintain the interaction and integrity of the world”, – said Chairman of the Presidium of the Council on foreign and defense policy (SWAP) Fyodor Lukyanov.
According to him, before the start of the pandemic between countries, increased competition, growing fragmentation of the world system. The pandemic has reinforced this trend. “Socio-economic situation will deteriorate, and Russia is no exception. Each state will be occupied with domestic Affairs. To expect from politicians of great initiatives for development cooperation, I would not. The only business interested in the maintenance of cooperation”, – says the analyst.
Agrees with him and the head of the Institute for world economy in Kiel (IfW) Gabriel Felbermayr (Gabriel Felbermayr). “The restoration will occur through the domestic economy,” he says. While European countries will be even more focused on the rejection of carbon fuels and the development of policy aimed at climate protection.
“It is a challenge for Russia, because the supply of energy can be hampered”, he said. Another dangerous sign is the nearest time, according to Felbermayr, will strengthen the role of the state in the economy: “the Authorities now have to think, as it will go (from the economy. – Ed.). Intervention should be a temporary measure”.
To strengthen ties of Russia and Germany the necessary business Council
Speaking about the prospects of German-Russian relations, experts indicated that they will develop as in individual segments or as a whole, in particular on the humanitarian level, but not with the intensity as before. Chairman of the Board of Bayer AG Werner Baumann (Werner Baumann) expressed hope for cooperation in the field of health and nutrition industry. Fyodor Lukyanov noticed that very much in the relations of the two countries will depend on how you will decide the fate of the “Nord stream-2”.
And the head of RSPP Alexander Shokhin gave his analysis of the dynamics of interaction between Russia and Germany. In his view, business cooperation of Moscow and Berlin have been very active in the time when it was discussed at the level of heads of countries: “When the meetings stopped, the relationship dropped to a level lower than other States. Currently we have only a strategic group at the Deputy Minister level. Everything else is situational meetings, regularity in the discussion of economic issues no.”
Shokhin said that he intends to call the Russian business partners the establishment of a Committee or the business Council for cooperation with Germany, in which were United all business structures. “It is necessary that all initiatives developed in recent years, was not in offline mode and at a level that is at least correlated with the level of business cooperation with other leading countries, primarily the countries “big seven”, – summarized it.