“Miracles do not happen”: the economic views and predictions of the new head of Ministry of economic development

Maxim Oreshkin

© Alexander Ryumin/TASS

Meteoric career, wherever

Maxim Oreshkin is a Manager with a good education, make a career quickly. Starting in the Central Bank of Russia in 2002, he was for two years passed a way from the economist of the first category to the head of the sector. Going to the Bank, also for a short time rose to a few career steps: from a senior Manager (2006) to managing Director of the Bank (2010).

To the government. came in September 2013 for the position of Director of Department of strategic planning, and after a year and a half was appointed Deputy Minister. After a year and a half Vladimir Putin appointed him Minister of economic development.

While working for the government, Oreshkin has made a number of statements, allowing to judge about his views on economic policy.

Taxes do not need to improve, they need better collect

“The increase in taxes leads to economic decline, and the effect on the budget can be not so positive as it seems — said Oreshkin TASS at the St. Petersburg economic forum. — But definitely in terms of revenue, it is necessary to work on the issue of the administration (to improve tax collection. — Approx. TASS). If all companies paid taxes, then competition leads to increased productivity. Otherwise, do not benefit those who are better and those who are smarter”.

The companies need to save money on expenses and salaries in order to increase investment

Explaining how to achieve GDP growth of 3% per year, Oreshkin notes that it is necessary to increase the share of investment in GDP from the current 17-18% at least 30%. And the money you can find, only a saving on current consumption.

“Everyone who is growing faster (countries, whose GDP increased by more than 2% per year. — Approx. TASS), have a higher share of investment in GDP is 30-40%. Rude: consume less, save more and invest. …It is important that in the first place declined the least effective current consumption: public sector officials. And state-owned companies. They must improve the efficiency of their investments. It is unfair when the inflation tax is paid by the poorest, and state-owned companies as if in another reality live: rates are rising, salaries are rising,” said Oreshkin in an interview with “Money” in February 2016.

“You want the growth to — please, high consumption here and now — please. But all together at once. There are no miracles,” said the economist.

We must be prepared for low oil prices

In September 2016, being the Deputy Minister of Finance. urged to be prepared for low oil prices.