By Vestnik Kavkaza
More than a thousand entrepreneurs and businessmen will participate in the first Republican Forum in Makhachkala. According to the Minister of Industry, Trade and Investment of Dagestan, Yusup Umanov, full and truthful information on trade, industrial, and investment potential of the republic will be presented at the forum; moreover, major investment projects will be presented. For instance, each head of the republic’s municipal entities will present about five investment projects which he would like to implement in his district.
“The North Caucasus, as a part of Russia, feels the influence of the sanctions, the stagnation of the Russian economy, and fluctuations on the exchange market. However, in a situation where the pace of growth in Russia is close to zero, the North Caucasus of Russia is characterized by rather high dynamics. If we look at the data for the 12 years from 2000 to 2012, all six North Caucasus republics demonstrated higher paces of growth than in Russia on average. The absolute leader (11.6%) is Dagestan. Usually we receive alarming rumors on counterterrorist operations, victims, but Dagestan is one of the most dynamically developing regions of Russia. At the same time, the development started from a low level. Nevertheless, even in the last months Dagestan shows significant growth – 9-10% growth in a month, unlike average Russian indices which are almost zero,” says Leonid Vardomsky, the head of the Central Post-Soviet Studies of the RAS Institute of Economics.
At the same time, he thinks that in the context of modern challenges there is a favorable situation for development of regions: “Import displacement in the food sphere is possible in regions which have rich agricultural traditions and favorable natural and climatic conditions. It contributes to the development and formation of the food economy of Russia in the North Caucasus.
A whole cycle could be established there – from growing crops to production of food products. It could be demanded on foreign markets as well.”
Leonid Vardomsky says that “as a result of 2013, Dagestan increased food exports abroad. So we can see not only problems, but options for development created by the current situation of the weak ruble and countersanctions. In Dagestan, development of the food and consumer goods industries and tourism is possible (Dagestan produces about 15% of shoes in Russia). The spheres can contribute to the current course for import displacement and provide a new impetus to the region. This is important, considering the well-known social problems of the region, including extremism, which are caused by social difficulties and ideological conditions to some extent.”
