Govt OKs Sakha Republic’s development program

MOSCOW -- The Russian government has authorized a long-term social and economic development program of the country's main diamond-producing area – the Republic of Sakha (Yakutia). The republic's president, Vyacheslav Shtyrov, said 2.5 trillion rubles would be spent on major industrial facilities by the year 2020.

Seventy six percent of the investments to be drawn will be private. The budget will provide 548 billion rubles.

He did not rule out that in principle some major projects might be implemented on the basis of partnership between the state and private businesses, with private investors shouldering most of the costs.

When implemented, the development program will cause the region's gross product to grow by 180 percent, investments, by 100 percent, and people's incomes, by 260 percent.

Currently the region holds 22nd place in Russia as to the quality of life, while its gross product in 2005 was number five.

“In terms of the human potential development the region holds eight place,” Shtyrov said, adding that the program would end the Sakha Republic' s dependence on subsidies by 2012.

// Feb. 9, 2007

Reported by ITAR-TASS