Putin in trouble over Russia’s economic problems | DW News
Today, at the first meeting of the Council for the Development of the Digital Economy under the Federation Council, the participants discussed the main aspects of digitalization in Russia and made their proposals for its development and solution of existing problems.
The head of the Accounts Chamber, Alexei Kudrin, noted that at the moment Russia is significantly lagging behind in terms of the overall level of development of the digital economy. Now its share in GDP is less than 4%, while the leading countries have this figure twice as high. He also said that while work is underway only on 16 bills out of 29 planned for the current year. He added that the Council will help in every possible way in the formation of norms, the development of its own proposals and the search for the best world practices to solve the assigned tasks.
Further, the Minister of Digital Development, Communications and Mass Media Konstantin Noskov spoke about the government’s plans for digitalization. First of all, it is a question of expanding opportunities and ways of identifying citizens. So far, there is no single system, but only elements in disparate areas of life, so it is necessary to consider the rules and principles of electronic identity cards. The issues of recognition of the electronic form of transactions, storage of private data and the use of smart contracts are also considered. To do this, you need to get rid of the paper, determine the logic of working with personal information and switch to the registry model of confirmation of rights.
In parallel, work is underway to regulate cryptocurrency, ICO, mining and cryptoeconomics in general. The possibilities of introducing benefits in this area are now being considered. Another block concerns the issues of electronic legal proceedings, notarization. The digitization of documents related to work is being studied. The government also seeks to develop the legislative framework in the field of robotics, artificial intelligence, and other breakthrough technologies and to develop mechanisms for special legal regimes for regulatory sandboxes..
According to the president of RACIB, Yuri Pripachkin, the legislation should describe the digital profile, as well as ensure the protection of the individual in the new conditions. He spoke about the transition of the economy to new financial relations, about the change in the form of money and the loss by central banks of the monopoly on their issue. Believing that the government cannot effectively regulate the supranational system (cryptocurrency). Therefore, RACIB proposes to create a model of the transition from fiat to virtual currency, taking into account the peculiarities and taxation of the latter..
The participants raised other important issues as well. Several speakers spoke about the impact of digitalization on the labor market. The upcoming changes will lead to the reduction of about 6 million jobs, and from 30% to 50% of existing professions may become unclaimed in the future economy. They said that about 84% of assets in the economies of developed countries are intangible, and in the world they are estimated 50 times higher than in the Russian Federation. We also touched upon the issue of strategic vulnerability after the transition and the need to create our own chips and technologies..
However, all participants noted the huge potential of digitalization for development and efficiency gains. For example, the introduction of new technologies in the energy sector will help reduce costs by 10%, and the improvement of urban infrastructure will increase comfort and living standards. In addition, the development of technologies will increase the level of investment attractiveness of the regions and make projects more understandable for foreigners..
The level of global technological development worries the OECD, which believes that business is not sufficiently digitalized.
text: Ivan Malichenko, photo: Federation Council