| The social aspects of the draft budget are marked by complete
inertia. This year, for example, the government plans to increase wages
as of October 1, while no such increases are foreseen for next year. As
for social benefits payable from regional budgets, the situation is even
worse. The promised compensation is often smaller than the losses incurred
by the regions owing to the redistribution of funds to the benefit of the
center. It looks as if the government does not plan to do anything to eliminate
extreme poverty, even though 20 per cent of the population are only just
surviving. Let me give an example of what could be done: Some people receive
welfare payments they don't actually need; these could be slashed to sharply
increase benefits for those who are unable to earn a living. We keep hearing
from top officials that the state would need seven trillion rubles to fulfill
all welfare obligations. Needless to say, it does not have this kind of
money, nor will have in the near future. According to our estimates, however,
only 210 billion rubles are required to eliminate poverty; which is approximately
10% of the federal budget, and it can be found.
Furthermore, to transform the welfare situation during 2004, the government
should submit to the Duma the relevant bills that would set the social
reform trend. Interestingly, such concepts are appreciated by the ministers,
while the leaders of most factions are too busy electioneering to bother.
See also:
Budget
2004
|
