"We need to take all the required preparatory steps to attract private capital into the republic," Gherman Gref said on Saturday before a meeting in Grozny attended by federal government officials and leaders of this Russian autonomous republic in the North Caucasus.
According to Mr. Gref, private entrepreneurs could engage in processing of farming products, road-building and housing construction.
Mr. Gref told journalists about his impressions of Grozny in which the delegation had arrived by road from Vladikavkaz, the capital city of neighboring North Ossetia. Among other things, the Economic Development and Trade Minister pointed to the "terrible condition of roads" in the republic.
"It is clear that the republic has just begun developing its housing construction program. We saw a lot of foundations and walls of uncompleted buildings," the Minister pointed out.
We need to breathe new life into the republic's economic development," Gherman Gref said, adding that the working delegation from Moscow comprising representatives of various federal ministries, services and agencies arrived in Chechnya specifically for that reason.
Members of the delegation will, according to Mr. Gref, "see the actual situation in the republic with their own eyes", meet the local authorities and discuss the necessary measures required for reconstruction of Chechnya.
"The Program (Special Federal Program for Reconstruction of Chechnya) needs a thorough overhaul. The number of projects funded from the federal budget must be cut down." Gherman Gref pointed out, "Funds must be concentrated in the new projects developing the republic's infrastructure." The Economic Development and Trade Minister believes that demand for housing would start rising before the end of this year, with local residents having received the promised compensation (about $10,000) for damaged homes.
