The vast territory of the Russian Federation predetermines the emergence ofthe most ambitious, and at the same time promising ideas for the development of the capabilities of certain regions. Among those places where such initiatives can be implemented in large numbers - the Far East. Due to what advantages this region can be dynamically built? What are the prospects for the development of the Far East?
General characteristics of DV
The Far Eastern region of Russia is a territory,which is important both in the military-strategic aspect and in the economic one. The total area of this area is about 36% of the territory of the Russian Federation. Prospects for the development of the Far East are associated with the presence here of a huge amount of natural resources. However, the practice of developing the capabilities of the region is complicated by insufficiently developed infrastructure, as well as by population migration.
Remoteness from Moscow, political andfinancial center of the Russian Federation, is also sometimes seen as a deterrent in the development of the Far East. The current concept of Russia's foreign policy assumes strengthening of the country's position in the Asia-Pacific region. Successful implementation of this task implies addressing the identified problems characteristic of the Russian Far East, stimulating the economic recovery of the Russian regions located here. Therefore, the state pays special attention to the region.
Competitive advantages of the Far East
Prospects for the development of the Far East in many waysassociated with its competitive advantages over other parts of Russia. These include the immediate geographical proximity to the large markets of the states of the Asia-Pacific region - China, South Korea, and Vietnam. The economy of these countries is growing steadily. The second most important competitive advantage that the Far East has (the development prospects of this territory are based on it, perhaps to a decisive degree) - the presence of a large amount of natural resources: coal, oil, gas, iron, non-ferrous metals, and wood. The third competitive advantage of the region is its climate diversity. This predetermines the possibilities for the successful use of the territory of the Far East for agricultural development.
Factors of successful development of the region
Under what conditions the development prospects of the FarEast of Russia can be implemented? First of all, significant investments are needed in infrastructure - transport and energy. The next major area of work is to stimulate business development with the aim of increasing the overall level of capitalization of the regional economic system, increasing incomes of the population and tax deductions to the budget. The solution of this task is adjacent to another important aspect of the activities of the state in the framework of the development of the capabilities of the Far East - the formation of strong market demand in the region.
Another significant direction of the work of the authorities -increasing the comfort of living with citizens in order to stop migration to other parts of the Russian Federation and, conversely, to make the Far East attractive for moving from other subjects.
State tools
What practical tools toto realize the prospects of development of the economy of the Far East, does the state possess? First of all, researchers attribute to such resources that they can form special economic clusters in the region, which are characterized by a high degree of investment attractiveness - in particular, for foreign partners. The next tool that the authorities have is the possibility of a significant increase in incomes of the part of the population working in the public sector, by indexing the corresponding labor compensation. Thanks to this opportunity, the state can stimulate growth in effective demand in consumer markets, as well as contribute to enhancing the attractiveness of the region for the migration of citizens from other subjects of the Russian Federation.
Significant amount of financial resourcesby means of which the prospects for the economic development of the Far East can be realized, it is concentrated in the hands of private businesses aimed at constructive interaction with the authorities. According to many analysts, the corresponding sentiment is becoming more and more noticeable due to the sanctions of Western countries against Russia. Entrepreneurs from the Russian Federation, who do not have access to foreign markets due to artificial restrictions, in one way or another reconsider the direction of their activities in favor of investing within the country. The Far East can be an attractive region for them in terms of making promising financial investments.
International Partnership in the Far East: Russia and China
Interest is to promotedevelopment of the Far East, already showing many foreign partners of the Russian Federation. Among the largest - of course, China. For example, in 2013 the volume - when there were no Western sanctions yet - the trade turnover between the Far East and the PRC amounted to more than 12 billion dollars. The relevant indicators have all the chances for rapid growth, firstly, due to natural economic reasons, which consist in mastering the capabilities of the Far East, and secondly, due to an additional stimulus for further growth in turnover between the Russian Federation and the PRC due to Western sanctions.
It is expected that by 2020 the trade turnover betweenChina and Russia will reach 200 billion dollars. A significant percentage of it is likely to fall on the Far Eastern projects, to which the famous Power of Siberia gas pipeline is directly related. The one that will be built according to the results of the agreements of the Russian Federation and the People's Republic of China concluded in 2014. It’s impossible to say in a few words about the prospects for the development of Siberia and the Far East in connection with the signing of the relevant agreement. But if you try - the most ambitious.
But for now let's continue about the Far East. What other states are willing to cooperate with the Russian Federation in this region?
Far East and South Korea
South Korea is also interested intogether with Russia to master the opportunities offered by the Far East. The prospects for the development of cooperation between the Russian Federation and South Korea are mainly related to the industrial sphere. The trade turnover between the countries in 2013 was comparable to the figures for cooperation between the Far East and the PRC and amounted to about $ 5 billion.
It is noteworthy that to implement someSpecialists from North Korea are also invited to work in Russia. Perhaps this will be an additional factor in the rapprochement of the two states in which one people live.
Far East and North Korea
Actually, the direct cooperation of the Russian Federation andNorth Korea is also actively developing. At the end of 2014, the trade turnover between the countries showed modest figures - about $ 30 million. But this, however, is 70% higher than in 2013. About 25 representative offices of companies from the DPRK are present in the Far East. The North Korean state has significantly simplified visa criteria for Russian businessmen.
Far East and Japan
Japan traditionally serves as a major tradingRF partner. By virtue of the geographical factor, among the key regions where the relevant communications are implemented are the Far East. Prospects for the development of the Russian-Japanese trade partnership have great potential. True, now their practical implementation is likely to be very difficult due to the fact that Japan joined the Western sanctions. At the same time, experts believe that there are chances for normalization of cooperation between the two countries, and they are not bad.
What other states actively cooperate with?Far East? The prospects for the development of partnership, in particular, with Vietnam and Singapore are evaluated by experts as very positive. So, the trade turnover with both countries in 2013 amounted to about 300 million dollars in total. By the way, not one of them shows a public interest in following the line of the West towards the Russian Federation. Therefore, there is every chance for further growth of cooperation between the Russian Federation, Vietnam and Singapore in the Far East. In the future, a partnership of the Russian Federation and a number of other states - India, Latin America, South Africa - is possible in the region.
Far East and USA
Крупнейшая экономика мира считается одним из leading initiators of sanctions against the Russian Federation, but before relations between Russia and Western countries on the foreign policy scene deteriorated, the prospects for cooperation between the Russian Federation and the United States in the Far East were seen by many experts as completely obvious. So, there was an interest of Americans to the construction of industrial enterprises, infrastructure facilities, residential buildings, to invest in agriculture. It is difficult to say how much is possible the resumption of cooperation between Russia and the United States in this region again. But many researchers believe that private American corporations - unlike, probably, the US government, continue to view the Russian Federation as a completely reliable partner, including in the aspect of the implementation of promising initiatives in the Far East.
Far East and EAEU
Among the most significant and positive factors that may affect the development of the Far East is the integration of the economies of the Russian Federation and the EEU countries: Belarus, Kazakhstan, Kyrgyzstan, Armenia.
Relevant State Partnership Areamay involve the initiation of projects in various regions of the common economic space - including the Far East, despite the considerable geographical distance of this part of the Russian Federation from its allies. Entrepreneurs from the EAEU states, as researchers believe, may well make the most significant contribution to the development of the economic system of this Russian region.
Government program
Problems and prospects of development of the Far Eaststudied at the state level. As a result of many years of work, the authorities have developed a strategy for the socio-economic development of the Far East, as well as the Baikal region. This initiative was approved in December 2009. It should be implemented until 2025. Having studied the problems and prospects of development of the Far East, the state has set the task - to form in the region a socio-economic system capable of ensuring a high standard of living for the citizens living in it.
Cumulative investment whichis expected to be spent on the implementation of the program, is about 411 billion rubles. As a result of its completion, it is calculated to create 69.9 thousand jobs in the region and increase the volume of GDP in the relevant part of the Russian Federation by 2.6 times, the volume of goods shipped - by 2.3 times, the total amount of investments - by 3.5 times, the number citizens belonging to the category of economically active population - 1.1 times.
Current tasks
What tasks are facing the federal and local authorities in the aspect of the socio-economic development of the Far East now?
Among those:
- Increase the comfort of living of the population;
- stimulating an increase in the share of the middle classin the social structure of the population of the constituent entities of the Russian Federation included in the Far Eastern Federal District and the Baikal Region (the income of a working person must be at least 6 living wages);
- promoting the development of personnel, the introduction of new educational concepts;
- increasing the level of investment attractiveness of the region;
- modernization of the energy system;
- development of transport infrastructure;
- modernization of communication systems;
- stimulating entrepreneurial initiatives by reducing bureaucracy and removing various restrictions;
- assistance to increase the efficiency of legislative processes;
- improvement of ecology.
Of course, in the current areasThe activity of the state is to carry out the further development of partnership with Russian businesses, foreign countries and enterprises.
So, we looked at the main problems andprospects for the development of the Far East. This region has a huge natural resource and climatic potential, has an optimal geopolitical position in many aspects. There are prospects for the development of transport in the Far East, social infrastructure, industry, agriculture and many other sectors of the economy. Interest in cooperation with enterprises of the region is expressed by the largest economies neighboring with it - China, South Korea, Vietnam, Singapore.
Problems and prospects of economic developmentFar East are being actively studied by Russian and foreign researchers. We are constantly working to further optimize the strategy for mastering the unique capabilities of the region. At the same time, interest in a constructive partnership based on the opening opportunities of the Far East is shown by both private and state organizations, both Russian and foreign. The scale of companies wishing to be present in the region is also very different - it can be both large businesses and small and medium enterprises.
