INSOR Russia: Institute of Contemporary Development
Updated April 18, 2019

Roundtable Discussion “Patterns of Post-Crisis Development: Chances for Russia”

April 7, 2010

April 7, 2010 The Institute of Contemporary Development hosted a roundtable discussion “Patterns of Post-Crisis Development: Chances for Russia”. Participants of this event were to come up with suggestions on Russia’s policy in the wake of the G20 summit in Toronto and the expected reconfiguration of the global economy.

The discussion was attended by economic and political experts, scientists and public figures, the State Duma deputies and members of the Federation Council of the Russian Federation including Deputy Minister of Finance S.Storchak, Vice Minister for Economic Development and Trade of Kazakhstan K.Bishimbaev, Chairman of the Institute of Contemporary Development I.Yurgens, First Deputy Chairman of the State Duma Committee on Science and High Technologies A.Kokoshin etc.

Yekaterina Shipova, head of the Post-Crisis World Institute Foundation, presented results of the report “Post-Crisis Development Patterns: a Global War or a New Consensus”. This global survey covered over 247 leading experts in 53 countries.

According to Yekaterina Shipova, the next global crisis - a civilizational or a geopolitical one, will take place in the coming decade, and will reconfigure the global economy. Apart from that, it is vital to draw a lesson from the current crisis, i.e. to develop domestic markets, to plan and efficiently regulate economic processes. The discussion allowed to identify a vital condition for the state’s successful development: in order to secure a leadership role the state is to have not only macroeconomic indices, but also an efficient system of state management. That is why interest towards development patterns of “periphery countries” tends to grow.

“In order to survive, the humanity is to give up the current development pattern, which paves the way for chaos,” said professor Adriano Benayon in his welcome speech. “It would be wise to give up left-wing, right-wing or centrists ideologies, in order to address a range of concrete issues – starting from revival of national cultures, to industrial and technologic development”.

Paolo Raimondi – another expert representing an Italian daily newspaper ItaliaOggi, stressed the need to enhance the global financial and political system.

The issues raised by the discussion participants largely dealt with the key subjects of the report: the steps to be taken by Russia in the upcoming ten years in order to survive through the next global crisis; formation of a domestic consumption pattern; importance of indicative planning in the new economic environment etc. Modernization of the Russian economy was among the priority issues on the agenda.

According to the experts, Russia is lagging behind the developed countries by modernization standards. The country’s economy is underdeveloped because of corruption, a lack of breakthrough technologies, a lack of flexible market tools and consumer patterns. At the same time, the experts noted that the decisions taken at The 2009 G-20 London Summit had not been implemented. For the past year not a single anti-crisis measure has been fully implemented, and the global financial institutions failed to withstand the crisis efficiently.

In experts’ view, the small business may serve as a backbone of modernization. At present the small business needs a freedom, rather than credit lines and preferential treatment. Today we should refer to other countries’ positive experience in the field.

Kazakhstan may serve as an example of efficient implementation of anti-crisis measures. As a result of the policy of forced industrialization, the country reported a 1.1%, economy growth in late 2009, with the industrial growth hitting 1.7%. As a result, Kazakhstan was among the few countries in the whole world, which managed to achieve positive results. For example, Russia’s GDP reduced by 7.9% in 2009, and Ukraine’s GDP – by 21.9%.

The experts and other participants of the discussion believe that Russia can develop into a leader and can join the countries, which are shaping the pattern of global economy. To achieve it, Russia is to benefit from the global instability through the following measures: 1) implementation of a strategic indicative planning; 2) accelerated development of non-natural resource industries; 3) protection of private property and development of small and big businesses; 4) attraction of direct investments into the production sector; 5) introduction of efficient legal regulations into the economic legislation.

The experts concluded that in order to secure successful future, Russia is to foster development of the domestic market and capital.