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Russian Single-Industry Towns Face Crisis

Most of Russia’s single-industry towns are during risk of mercantile fall that would means large amicable dislocation and see millions of Russians remove their livelihoods, Prime Minister Dmitry Medvedev was quoted as observant Wednesday.

Some 14 million Russians live in a 319 Russian towns that, in a holdover from a Soviet era, rest on one industry, and mostly a singular factory, for their mercantile survival. Many of these need subsidies to survive, and Russia’s retrogression has worsened their plight.

Medvedev pronounced usually 79 of them were economically stable, and combined that a supervision did not have a income to save them.

“There is not adequate income for all of a single-industry towns that are in crisis,” Medvedev was quoted by news group RIA Novosti as observant on a revisit to Usolye-Sibirskoye, a single-industry city support by a chemicals plant in Irkutsk Oblast, nearby Lake Baikal.

With Russia’s economy set to cringe by around 3 percent this year and a cost of Russia’s categorical trade line on tellurian markets during lows, a series of single-industry towns confronting problems is rising, pronounced Economic Development Minister Alexei Ulyukayev, who accompanied Medvedev.

Nineteen cities have entered a “red zone” this year, bringing a sum series of single-industry towns in predicament adult to 94 cities, RIA Novosti cited Ulyukayev as saying.

The supervision in 2014 combined a support account for single-industry towns, though the 30 billion rubles ($525 million) are adequate usually to assistance usually 20-30 towns by 2017, Ulyukayev said, RIA reported.

The supervision skeleton to emanate fast-track growth zones around these towns with 0 taxation rates on distinction and other measures to kindle business activity.

Article source: http://www.themoscowtimes.com/article/526024.html

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