BUSINESS PROGRAMME For The Sochi International Investment Forum 2016

Transcription

1 BUSINESS PROGRAMME For The Sochi International Investment Forum September-2 October 2016, Sochi Programme accurate as at September 8, 2016 Business Programme Plenary session A New Standard in Public Administration: Projects for Growth, Projects for Life Address by Prime Minister of the Russian Federation Dmitry Medvedev The National Enterprise Initiative: Continuing Progress Four years ago, the Agency for Strategic Initiatives launched the National Enterprise Initiative (NEI), which aims to radically improve conditions for doing business in Russia. For the first time in Russia s history, entrepreneurs began to work with state bodies and the expert community to develop road maps (action plans for improving the business climate in Russia). Thanks largely to the implementation of these road maps, Russia soared from 120th to 51st place in the World Bank s ease of doing business index. How much simpler is it to do business now? Have the adopted laws been implemented effectively? What types of monitoring tools should be employed to assess project performance? What recent progress has been made with the project, and what still remains to be done? Brainstorm Transforming public administration: how can big data improve quality? Our ever-growing ability to handle large amounts of data is leading to fundamental changes in business processes and the business environment. How do experts assess the value of big data in public administration? Where should an organization start when making the move to next-level technologies? How could the use of big data in decision-making improve public administration? Can the use of big data be scaled for the regions? Can hackathon initiatives contribute towards an improvement in public administration? The Cost of Economic Restrictions: Successes and Future Prospects of an About- Face The upgrade of key industrial assets and devaluation of the national currency have created favourable conditions for developing domestic production. In the current circumstances, the prospect that sanctions could be alleviated or even fully removed demands a search for new approaches to Russia s economic development. The potential increase of Western investors in the Russian market could well place an additional burden on local manufacturers. How can the Russian economy remain competitive if protectionist measures are removed? How can potential new realities be reconciled with the current benchmarks of the Russian economy? How likely is an increase in investment from Europe and Northern America in the event of an end to external disputes? A Guillotine for Sleaze: Business Anticorruption Initiative Recent high-profile revelations in Russia confirm the government s firm determination to combat corruption. A study conducted by the Russian Chamber of Commerce and Industry showed a decrease in the prevalence of corruption in Russia in How high do experts believe the level of corruption is in Russia? How effectively is the national anticorruption policy being implemented, both in Russia as a whole and at the regional and municipal levels? How can mental passivity and tolerance of corruption in Russian society be overcome? Does the business community fully understand the requirements of Russian anticorruption law? How can the partnership between government and business to combat corruption be strengthened? What anticorruption mechanisms are in need of a reset? 1

2 Business breakfast What should Russia s Pension System Look Like? Pension system reform is one of the most hotly discussed issues today. The pension system is both part of the state s economic and social policy, and any changes are felt by the economy, state and population in equal measure. Is there a strategy to take Russia s pension system forward? What are the main challenges and limitations facing the pension market, and how can they be overcome? Is there a conflict of interests between the population, state and market, and is there a solution acceptable for all? Strategic session (by invitation) Greater Eurasia: Tapping the Region s Growth Potential Sustainable economic growth in the five countries that constitute the Eurasian Economic Union is largely determined by the success of their common trade policy. The centrepiece of this is the creation of joint foreign economic targets within the EurAsEC agenda, as subsequently reflected in policy documents, Eurasian Union decisions, and agreements with foreign partners. In what areas do we have common economic interests? What targets should be addressed by the EurAsEC s common trade policy in support of an export-oriented economy? How effective have existing joint projects been in encouraging mutual economic growth? Could a leading economic position help the EurAsEC make the concept of Greater Eurasia a reality? Cybercrime is a Key Threat to World Economic Growth. Is Russia Prepared to Face New Challenges? The world has been changing, technological progress has been accelerating general advancement and creating new markets. Living standards can grow for most people thanks to these positive developments. Total digitalization and other tech breakthroughs have been forcing companies to change traditional practices and approaches to doing business. Change has been affecting all sectors of economies, and the speed of adaptation has been turning into a swinging factor for the survival of businesses. Unfortunately, the criminal community has been adapting to technological advancements just as quickly. Modern cyber attacks have been increasingly targeted, automated and simple in execution, while hacker communities have been turning increasingly diversified and globalized. The losses for the world economy from cybercriminal activities topped US$500 bln, and, according to some experts, might reach US$2tln by 2019 without much vigorous response. To fight cybercrime, united efforts are required on the part of public institutions, financial and corporate sectors. Some moves have been already afoot in Russia. A number of far reaching decisions were adopted at a Sberbank-hosted meeting led by the Chairman of the Russian Government Mr Dmitri Medvedev on 3 June 2016, tasks were given to prepare a project with the aim of creating a unified system of countering information security threats in the financial industry of Russia. Between Scylla and Charybdis: State Supervision and Oversight Reform Balancing Business Freedom and Civic Prosperity A region s investment climate and business prosperity depend to a large degree on the quality of its licensing, supervisory, and oversight activities. Is it possible to create an ideal system of state supervision? What progressive trends have been seen in state supervision in the twenty-first century? Can a balance be found between government supervision and civic oversight? To what extent are the monitoring and oversight reforms being introduced in different countries universal? What lessons can and should be scaled, and what practices should be treated with caution? The PPP Law a Year on: Results, Challenges, Problems When new opportunities present themselves, a clear plan of action is required to make use of them. 2

3 The implementation of public private partnership (PPP) projects in Russia s regions following the new legislation on PPP is no exception to this rule. What concrete steps should regional business take to participate in projects to develop regional and local infrastructure? What kinds of infrastructure are the most attractive where state expenditure has to be minimized (or excluded altogether)? How exactly can these projects be initiated: what is required of regional authorities and local business? Technology Transfer as a Tool for Increasing Investment Attractiveness in Business Technology Transfer as a Tool for Increasing Investment Attractiveness in Business The practice of import substitution and production localization shows that, within certain sectors, Russian goods are capable of competing with their global counterparts. However, Russian businesses are slow to adopt cutting-edge technologies. As a result, their effectiveness is significantly reduced compared to that of foreign competitors, something which is especially true of small and medium-sized businesses. The transfer of modern technologies through foreign direct investment is limited by many factors, including the risks that foreign investors currently associate with Russia. The task of the Agency for Technological Development, established in May 2016, is to provide support to Russian businesses in securing technology-led development in line with global trends and the requirements of both national economic development as a whole and of those individual enterprises in particular. In which sectors can Russian goods be competitive? What is the role of the Agency for Technological Development in the technological development of regional enterprise? What tools is it able to offer? Check-up Regional Anti-Crisis Plans: Best Practice In 2015, alongside an action plan adopted at the federal level to ensure economic development, many of Russia s regions have drawn up their own plans. In addition, specific priority measures and strategies for their implementation differ between the regions. What has already been achieved, and what remains to be done? How effectively have the regions responded to the economic situation? What goals can be set given that budgets are falling? Check-up Russia s Regions and SMES: the Tools are in Place, what are the Results? The Russian Federation is creating a plethora of support tools at various levels for small and mediumsized enterprises (SMEs). Each region has its own methods for increasing its share of SMEs. What do these tools look like from a business perspective? Are they having a positive effect? How does business rate this support? Are new institutions really necessary, or should we rather stick to a do not disturb policy? What role does small enterprise play in a region s economic growth? What is the potential for duplication and blind adoption of regional and municipal best practice? Russia as a Tourist Destination: What is Lacking? There is ample opportunity for Russia to develop its tourism industry; however the potential for domestic tourism services is still far from being fully exploited. The highly competitive nature of the global tourism market calls for the creation of a maximally attractive, comprehensive approach to increasing the country s competitiveness as a tourist destination. This requires maintaining a balance between the interests of the state, business, and local residents in tourist areas. What is holding the domestic tourism industry back today? What are the needs and expectations of tourists? What initial steps need to be taken to improve the competitiveness of domestic tourism offers? What is the growth potential for spa tourism in Russia and how could it contribute to solving the other challenges identified? Developing the Territories: Modern Approaches to the Human Environment The strategic task of the state is to improve the affordability of housing while ensuring the development of a comfortable and high-quality urban environment. As the potential for infill development is very 3

4 limited, priority should be given to the development of built-up and unused sites, particularly industrial zones being used inappropriately, and inefficiently run state-owned land plots. To ensure integrated territorial development, it is necessary to develop and implement uniform standards for the development and improvement of residential areas and the creation of well-planned infrastructure. This means using innovative approaches and modern technology-led urban development solutions, including best international practices. Under what circumstances will integrated development projects be of interest to business? What are the criteria for choosing the various mechanisms for the implementation of such projects? Should urban amenity and environmental quality standards be established for each region? Is existing urban planning legislation effective? What is the future of industrial zones? Which global best practices could provide an example to follow? The Export Potential of the Regions: from Discovery to Reality The regions of the Russian Federation lack uniform standards and a universal package of tools with which to support exporters. At the same time, there are success stories that demonstrate the effectiveness of a pro-export approach to regional development. What is the export potential of the various Russian regions? What goods are currently being exported by regional companies? What financial and non-financial support tools are available to regional export-oriented companies? What role do the administrations of Russia s regions play in supporting Russian exporters? Best Practice and Initiatives in Socioeconomic Development The first Saltykov-Shchedrin All-Russian Regional Best Practices and Initiatives in Socioeconomic Development Award, organized by the Agency for Strategic Initiatives, was presented in What were the prerequisites for holding this competition? What are the attributes of best practices (using the winners as examples)? Does the activity of regional authorities have a statistical effect on socioeconomic development, the business environment, and living conditions? Can the winners practices be scaled and applied across all regions of the Russian Federation? What role do Russian federal authorities and public organizations have in identifying and scaling-up best practices? Prize ceremony for the winners of the Saltykov-Shchedrin All-Russian Regional Best Practices and Initiatives in Socioeconomic Development Award Russia s Regions and the EurAsEC Common Market: Production Chains The common market of the five EurAsEC member states offers a key advantage a single economic space for the creation of production chains between the regions of the different countries. Integration into global value chains, however, requires the implementation of an ambitious common industrial policy, aimed at developing priority sectors by making use of advanced technologies and the human capital of the EurAsEC member states. The ability of goods bearing a Made in the EurAsEC mark to effectively compete internationally could and should be a key factor determining success. What potential is there for developing value chains within the EurAsEC? What support tools are already in place in the EurAsEC, and how effective are they? How can a common industrial policy be achieved? Which goods and enterprises are already meeting global competitiveness requirements and have the potential to act as engines, driving the EurAsEC s success on the international market? Resetting Russia s Special Economic Zones Thirty-four special economic zones (SEZs) have been established in Russia to attract Russian and foreign direct investment to Russia s regions in the high-tech sectors, including in production as part of the import substitution effort, shipbuilding, and tourism. Are SEZs deserving of the state resources which have been spent? How many investors have invested in SEZs? What should be done to increase this figure? How can the system be made to work to its fullest potential? 4

5 Development Institutes: in Search of an Effective Regional Model Providing support for enterprise and stimulating investment are the two chief areas of work for regional development institutes. On the one hand, the challenges are well understood, but on the other, by no means all regions are responding to them with equal success. How is the work of development institutes organized at the regional level? How transparent are their activities and what are the main indicators of their effectiveness? Who evaluates the work of these organizations and how? What motivates their leaders and to what extent are these leaders personally accountable? How feasible is it to introduce uniform performance standards to the work of regional development institutes? Genius Loci: Effective Local Management and the Balance of Federal, Regional, and Municipal Administration The region is the basic unit of economic growth. The municipality is the key area which determines quality of life. What adjustments would enable the federal centre, the regions, and the municipalities to work together to solve urgent socioeconomic challenges? How can we ensure that the voices of those living in these areas are heard? How can we best distribute resources and responsibilities? What kind of flexible state and municipal administration models are available? A New Model for Heating Markets The Ministry of Energy of Russia has issued a draft bill outlining a target model for the thermal energy market. The bill proposes changes to the system for regulating prices and economic relationships on the thermal energy market. Its aim is to reduce administrative pressures on business and to create economic incentives to improve the lamentable current state of the centralized heating supply system. Firstly, the role of the Single Heat Supply Organization (ETO) is set to change. The organization will become not only the sole purchaser and supplier of thermal energy within its area of activity, but also a centralized focus of accountability for the heat supply system with respect to both consumers and the government. To deliver on this task, the ETO has taken full responsibility for optimizing and developing the heat supply system as well as for improving its relationship with customers. Government authorities are monitoring the ETO s efforts. The new market model proposes a switch from government regulation of all tariffs to contract prices on thermal energy. In order to protect the interests of end users, the price will be capped at the estimated heat cost from an alternative source local boilers. The target model for thermal energy markets outlined in the above bill will be phased in gradually, allowing for the individual needs of regional and local thermal supply markets to be met. The transition will be implemented in cooperation with regional and local authorities at the level of the individual settlements and urban districts classed into specific price zones. It is expected that the new thermal energy market model will provide a stimulus for increased efficiency in heat production and bolster efforts to attract investment in the reconstruction of Russia s outdated thermal supply system. Supporting Industry: New Tools The Federal Law On Industrial Policy in the Russian Federation sets out a wide range of tools to support the implementation of industrial projects in Russia. One of these tools is the new special investment contract, designed to take cooperation between government and business to a new level. The distinguishing feature of this contract is the stable business conditions it offers to investors, who take on certain obligations to create and modernize industry. Effectively, this is a fundamentally new investment regime aimed at industrial investors from around the world and designed to rectify the investment lapse in the non-financial sector. Furthermore, the law proposes a number of other tools to support and stimulate domestic industry, including financial and regulatory measures. What results have been observed after the introduction of these support tools? What are the government s plans for the further development of new mechanisms? 5

6 New Business in Russia: Fulfilling the Potential The creation of new businesses is a pressing concern in the present climate. In recent years, hundreds of new industries and businesses have been created in Russia. Small and medium-sized businesses respond more sensitively to economic changes. They also adapt more rapidly to new economic conditions and changing consumer demands. It is precisely small and medium-sized businesses that are the first to occupy emerging market niches. How does one attract investor interest in a new project? What are some of the obstacles faced by entrepreneurs when launching new businesses? Which existing development institutes can provide support to new companies? How effective are regional support programmes? What opportunities are available to small and medium-sized businesses for qualitative growth in their market presence? Is there potential for accessing external markets? Social Services: Changing Perspectives a Focus on the Client? One of the state s most important functions is to fulfil its social obligations. Despite the fact that social expenditure accounts for a substantial portion of regional budgets, the quality and accessibility of social services remain at unsatisfactory levels. How can the quality and accessibility of social services be significantly improved without increasing expenditure? Should we aim to provide social services to all citizens, or focus on meeting the needs of the most vulnerable populations? What must be done to increase the participation of the non-state sector and boost competition in this area? Russia Germany: New Forms of Cooperation in a Crisis Germany remains Russia s most important trading partner, having consistently figured in the top three countries in terms of trade with Russia, despite the decline in trade turnover between the two countries to USD 45.8 billion in Overcoming external differences is key to developing the bilateral relationship. A number of institutional initiatives are under way, aimed at strengthening dialogue and stabilizing the rules of the game. These include special investment contracts and the Agency for Technology Transfer. The business community has kick-started business platforms designed to overcome existing economic issues and barriers. The revival of the Russian German strategic working group was an important milestone. What new forms of mutually beneficial cooperation could be useful in restoring trade to its former level? How can the potential and efficiency of existing tools be unlocked? How can trade and economic ties be maintained without losing trust? Foresight session The National Technology Initiative: a Model for Regional Participation The National Technology Initiative (NTI) is a programme of measures for developing completely new markets and creating the conditions for Russia s global leadership in technology by Regional participation is considered an important aspect of the NTI. What are the potential models for regional participation in the technology initiative? Will a nationwide programme be equally effective in all of Russia s regions? What measures are necessary for breakthrough technologies to emerge in the regions? Business lunch A Fork in the Road to Economic Growth: the Search for a Development Model Against a backdrop of economic crisis and the need to respond to external shocks and develop innovative solutions in economic policy, the question of which route Russia s economy should take is once again a pressing one. What are the current views on economic development? What is the most effective course of economic development for Russia today? Which growth points should provide a focus for long-term economic growth strategy? 6

7 The Sports Industry: Opportunities for Sound Investments The sporting world is currently undergoing rapid globalization. Not only is sport gaining popularity among athletes seeking to break records and win medals, it has become a key communication and business platform. Sport gives business new opportunities to integrate with larger projects, make contact with audiences, increase customer loyalty and brand awareness, engage in social projects and boost company image and reputation. How can investments in sport be made effective? How are investments in federations, leagues, clubs, and amateur and children s sport recouped? 7