Speech at the debates on the television Channel One

Channel One, 01.03.2018

Grigory Yavlinsky, candidate for the presidency of Russia, discussed Russia’s financial and economic policies with candidates for the post of head of the state during the debates on the television Channel One on the 1 of March. The candidate from the Yabloko party told about low income families and offered to cancel the income tax for them, and also spoke about his programme Housing-Land-Roads targeted at boosting domestic demand and encouraging of economic development.

Yavlinsky plans to take part in all the television debates. The schedule of the broadcasts for the current week can be found here.

Transcript of Grigory Yavlinsky speech

GRIGORY YAVLINSKY: Speaking of all that we have heard here, yesterday I spoke with a woman who is a shift supervisor at a confectionery factory. [She has] a family of four people: a husband, [who is [a technician in an air squadron] and two children. The total income of the family amounts to 30,000 rubles [approximately Euro 428). They are skilled people. The income is 30,000. The family pays 7,000 for housing and utilities, 2,500 for a kindergarten, and 1,500 for a school. Plus a [mandatory] fee for [future] capital repairs of their block of flats. Look at what is left: the entire family lives below the poverty line. I suggest that the income tax is abolished for all people whose families live below the poverty line.

Second. There are huge problems in depressed regions, where people receive 14,000 roubles of average salaries (e.g., in Kalmykia), 16,000 roubles (e.g., in Pskov). It is It is impossible to comprehend. In Russia in the 21 century people get such a low income. We will open accounts [for such people] and make a basic income. The basic income for depressed regions will be for pensioners, for those who are not able to work, for the poorest people. Thus, we will increase domestic demand. [We will open] savings accounts for people from their birth to 18 years. They will thus accumulate the amount with which they can at least begin [their grownup] life. I have made calculations [of the exact amount]. Until 18 years there will be accumulated maybe not a very large amount as a percentage of the oil and gas sales [by the Russian Federation], but 1 million rubles can be accumulated. One begin [a grownup] life with this. These are only the first measures that are necessary for all discussed here, about overcoming poverty.

ANCHOR: Grigory Alekseyevich, let me ask a naive question. On the one hand, you propose to abolish all taxes, except for the income tax. On the other hand, if I understand you correctly, you propose to develop science, and many other spheres. But where will you take the money to develop science and pay salaries?

GRIGORY YAVLINSKY: It is not difficult. Just imagine that inappropriate expenditures of ministries and departments annually range from 600 to 700 billion rubles. Construction of the stadium in St. Petersburg cost 45 billion rubles. Dividends from Rosneft and Gazprom that they do not pay amount to 700 billion rubles, despite the fact that these are state-owned companies, and so on ad infinitum. Let us return to the heart of the matter.

I want to tell you how today we can pursue the policy that will ensure economic growth and domestic demand For ten years I have been developing a programme called Housing-Land-Roads. This is the programme targeted at the emergence of the owner of housing on his own land in Russia. This is an extremely important programme, because it creates a feeling for people that they have their own land. For example, 30 hectare can be obtained free of charge in the European part of Russia, 60 acres behind the Urals, in order to build your own house for your own family. And the entire infrastructure (roads, gas supply, electricity and water supply) can and should be provided by the state at the expense of oil, gas and weapons revenues, which we have discussed here. This is 1.8 billion square meters of housing. Such a programme in the next six years will be expensive [amounting to] 13 trillion rubles. But, having a weapons programme of 22 trillion, [the state] can share and can easily move in this direction.

The second direction for creating incentives for development is aligning the regions through a more equitable distribution of funds from the federal budget.

Dear friends, let me share with you one idea, but it is very important: never vote against, vote for. You can not be against everything and against all. This is nonsense. You need to see what you need to vote for. And I will tell you what you need to vote for. If you ask me very briefly: “How can we make the Russian economy grow?” I would answer in two words, I have been doing this for 40 years, I would tell you: freedom and law. And the law should be the same for everyone. And private property should be inviolable. Here are the three simple rules on which the Russian economy will grow. It is true that for many hundreds of years in Russia have not managed to create a dynamic modern economy. But now we will succeed. Because in the 21st century the economy built by free people, people who are able to use creativity and people who enjoy equal conditions for all. Freedom of creativity and equal conditions for all – this is what our life requires, this is what the 21st century economy needs. Because the economy of the 21 century is created only by people who are respected and who respect themselves, respect their government and respect their state. This is the condition for building a new economy. And then we will abolish VAT for machine builders, and then we will solve all other problems.