"Now we are faced with a new task of high economic growth, which is impossible without investment and economic diversification," Fradkov noted.
The Prime Minister also pointed out a certain trend for Investment in the Russian economy to grow.
"Russia has been gaining confidence with international independent ratings agencies recently to attract $19 bln in the first half of 2004 alone, with foreign capital accumulation exceeding $66 bln," Fradkov stressed.
In order to attract greater investment from abroad Russia must increase the efficiency of the whole system of power. In particular, the head of government emphasized on carrying on the administrative reform and forming a new structure of executive bodies, which would be aimed at the final effect in their work.
"We shall go on liquidating superfluous powers, preventing unjustified interference with the economy, and reducing administrative barriers," Fradkov underlined.
The framework of the administrative reform includes a reform in budgeting and further reduction of the tax burden.
"Since 2001 till 2003 the tax burden slid from 33.6% to 31%, and the process will continue in 2004 and longer perspective," Fradkov pledged.
Besides, the premier spoke of implementing the reforms of natural monopolies, intentions to form an efficient pension scheme and measures to provide transparent functioning of the stock market.
Within 7 months of 2004 Russian GDP has grown 7.4%.
In January-August Russia saw a 6.9% growth in industrial production, investment in fixed capital rose by 12.2%, inflation rates grew lower, as compared with 2003, Fradkov said.
Personal income has gone higher this year, with the poor gradually reducing in number, the high-ranking official added.
