Moscow. November 11. INTERFAX.RU

Question: Arsen Bashirovich, in the interview you gave to our Agency in July you convincingly proved giving examples and figures that the crisis management measures the KBR Government is taking are really adequate. Today, we may speak about the problems of getting over the crisis. According to the leading experts we have got to the bottom of it. How difficult do you think will be the process of "coming to the surface"?   

Answer: Since you have used the phrase I must notice that this process can lead to decompression sickness if we don't have knowledge and professional skills. Moreover, we can't underestimate the influence of the world financial crisis residual effects, the wave which is subduing but still is not harmless because economic processes are inert to a certain extent and we must remember about it. If to speak about coming to the surface we, actually, didn't sink. The crisis made us work in harder conditions and helped us adjust our plans and actions to these conditions. But I can assure you it affected the people of Kabardino-Balkaria minimally. We managed to prevent mass redundancy, made the work of the placement service more active, increased the unemployment benefit, organized retraining of people proceeding from the needs of the labor market. Besides, we render considerable help to small and midsize business simplifying the procedures of creation. 

We have become firmly convinced of the efficiency of our know-how when having developed a simple business-plan an unemployed person gets the opportunity to open his own business because we don't grant him the monthly benefit but the whole sum for a year. It is especially efficient in the rural areas. People can by several cows and then everything depends on their purposefulness and diligence. You know, having a cow in the village is equal to having a car for a city dweller. It will maintain the family in a hardship.

Of course it is a local approach, caused by the crisis. But generally we didn't even think of curtailing our plans on creation new enterprises, attracting investments into industrial and resort - recreational spheres. 

Q.: Have you made priorities for the coming year?

A.: Yes we have. The point was to use properly both republican and federal money allotted for investments realization. We did it keeping in mind two ways of the development of the economic situation. The first way considers the crisis due to which the sum of federal transfers of Kabardino-Balkaria for the next year will be reduced to 10 %. The second variant presupposes improvement of the situation. If we lack money for the things most indispensable we can rely on the budget credit loans. But we shall do it only for the real sector of the economy.         

Q.: Could you name the main socially oriented projects?

A.: It is  an oncologic dispensary in Nalchik which costs about 800 million roubles and we shall spend 700 million roubles on a center for cardiovascular surgery. We plan to finish construction of the new sports complex, reconstruct the House of Culture "Nalchik" and Musical theatre in the capital of Kabardino-Balkaria. We have started the complete reconstruction of the National Museum. Creation of infrastructure for a new housing estate of 1 mln. square metres, construction of recreation projects in Prielbrusie are included into the investment programme.   

Total investment for 2010 will be 2,89 billion roubles that is 10 million roubles more than this year. We hope to get 222 mln. roubles through the federal target programmes. We shall co-finance them at the amount of 77, 7 mln. roubles. We also hope to get 192 mln. roubles on federal selective investment programmes considering both federal and republican budget financing. We plan to spend 967 mln. roubles on the republican target programmes and 184 mln. roubles on the programmes on the social development of the rural territories and safety of the road traffic.

Q.: While getting prepared for the talk, I looked through your previous interviews. Within all the years you have been the leader of the republic you haven't become less socially optimistic and ambitious. Is it your trait of character or is it a pragmatic evaluation of the republic's potential?                            

A.: I think if the leader's plans lack sound ambitions he should think about changing his job because it may turn out for the worse, stagnation. We can not afford to relax. The situation develops dynamically, and the authorities must react and act adequately to the up-to-date requirements. Today ambition of plans is in demand otherwise we shall inevitably and insuperably fall behind. It will adversely affect the living standards of our population. I can't even think about it. Besides, I feel certain moral support collating plans of the KBR development with the ambition plans of the Russian leaders - both the President and the Prime Minister. But my answer wouldn't be complete unless I mention the fact which is the source of my optimism. I am speaking about our people, the hard working people of Kabardino-Balkaria. Our peoples have rich historical and cultural heritage, age-old traditions which is the basis of our mentality professing  good-neighborliness, industry, dedication and friendship, wisdom and courage. I am confident it is impossible to overestimate human potential of the people of Kabardino-Balkaria. 

Q.: And still, according to some publications, they are few though, mainly in electronic mass media, there are problems in interethnic relations. Representatives of one of the indigenous peoples claim their rights are infringed upon. Why?

A.: There are three main factors for this morbid phenomenon. First, there are people who were deprived of power. They had got used to spending republican budget money as if they took it from their own purse. They keep hoping to turn back using the most dishonorable ways. Those who are afraid of loosing privilege of parliament support such views. They will not gain anything if the republic lives peacefully and calmly because they will be asked well-founded questions about their activities. Second, young people who had become adults in 1990-s, when the Soviet ideology was  repudiated and was replaced by nothing but vacuum had become the targets of various pseudoteachers of life who took advantage of their immature consciousness and gaps in education. They didn't teach "reasonable, kind and eternal" but sowed the weeds of discord, suspect and malice. Young people who have submitted to their influence do not understand that they are pawns in somebody's dangerous game.

Third, the Caucasus has always been attractive for the countries that have geopolitical aspirations here. Intelligence services of these countries are worth their salt. They brisk up their work in our region whenever possible.

All above mentioned forms the information background that can create false impression on interethnic relations in the republic.

I declare there are no and can not be any reasons to say that some of the peoples of Kabardino-Balkaria is being infringed upon or discriminated. All problem issues of the public life must be solved on the basis of the current legislation only under close adherence to law procedures. There are no and will not be two ways about it. Everything we've achieved by now, all our problems concern equally every nationality inhabiting the territory of KBR.      

For centuries our peoples have lived together in joy and sorrow, our lives are bound together and strengthened by lots of interethnic marriages and a common destiny. Those who aim at breaking these ties have neither consciousness nor mind.

Q.: In this connection, do you have a grudge against mass media?

A.: I wouldn't call it a grudge but a sorry that the principle "do not harm" is urgent for doctors but not for some journalists. Inadequate knowledge of the material, precocious inferences, half-truth, misrepresentation - are the signs of the professional immaturity.

I want you to understand me properly: if it concerned me personally I wouldn't even touch upon the question, because I take criticism calmly and can separate the wheat from the chaff. But I feel nothing but sorry when somebody uses the power of the printed word to create a false impression about the republic in the eyes of potential investors, and those who would like to come here for pleasure or to undergo a course of treatment. I perfectly understand that the image of the republic determines the quality of life - the level of salary, medical service, provision of pensions etc. However, to improve the quality of life we have to develop economy and it is connected with investment. It will be impossible unless the investors are sure they do not risk. 

We work hard at it. There are noticeable changes and it is a pity when we face some journalists' lack of conscientiousness who do not even try to understand that the North Caucasus is not one republic, that the authorities of Kabardino-Balkaria create all conditions possible for the investors, that we have never been a "hot spot" on the map of Russia. We shall never let our republic to be the hotbed of tension. Of course, when mass media is guided only by the rating, quite a sly thing, by the way, then what we call "fried news" has a firm demand. Any dietitian will tell you that the fried meal is not really healthy.   

Q.: Are sports competitions of the highest class held in the republic lately a part of producing a positive image of Kabardino-Balkaria?

A.: Of course, this aspect is of no small importance because famous sportsmen from Russia and all over the world come here. Journalists of the first-rate mass media come here to cover the events. They can see with their own eyes the positive changes taking place in Kabardino-Balkaria. Opinion of well-known people, idols of the youth has always been important.

But to inspire in the local youth love of sports, healthy way of life, to revive and increase famous sports traditions of the republic is more important for me. Our children have joined sports clubs again. Their number is constantly increasing. We are modernizing old and constructing new sport complexes and grounds. We are proud of our Olympic, World and European champions. However I am eager to have grounds to be proud of our youth - healthy and highly intellectual.

I would also like to say that the number of scientific forums both All-Russia and international held in our republic is increasing, links with the Russian creative elite is being strengthened. Famous scientists, painters, film makers visit our republic. A session of the management board of the Russian Union of Filmmakers was held in Nalchik not long ago. A decision to create the North Caucasian representation of the Russian State Film Archive in Kabardino-Balkaria was taken at the meeting. It means that people will get the opportunity to see the best Russian films. 

Q.: Arsen Bashirovich, how would you comment on the statistics showing the flow-out of the youth?

A.: I wouldn't call it a mass phenomenon, a flow-out. Every medal has its reverse, as we all know. On the one hand, our republic is rather small and the departure of a person is like a relative's one - we shall miss him and wait for him to come back. On the other hand, it is not bad at all if a person will come back with new knowledge, professional experience, etc.

Of course, there is lack of jobs for ambitious young people, besides you can't compare the wage level in Moscow and in Nalchik. That is the situation today, I stress today! It is typical for the country in general. Young people try to realize themselves in Moscow where there are more opportunities. Besides, we live in the open world and if a talented young man is highly appreciated in a certain part of the world, we can't blame him for his departure, especially if we are not able to satisfy his requirements. For example, thousands of talented programmers from China and Japan work in the famous Silicon Valley and nobody speaks about the flow-out because it is a natural process - a person is looking for a better place to live. Our objective is to make our place the best one to live.               

Q.: Republics of the North Caucasus have built up a firm reputation of providers of alcohol of poor quality to the Russian regions. How can you explain it in relation to your aspiration for your population's healthy life style?    

A.: To answer your question I will have to remind you of the situation in the 1990-s when budget-forming enterprises used to stop operating, landowners had problems with the production distribution. There was a huge backpay and a lot of other problems. Turn over of alcohol production is "quick money" which the authorities of that time couldn't neglect while forming the revenue budget. Besides, the Russian legislation was incredibly liberal to alcohol producers. Many local businessmen rushed into this sphere. Absence of proper state control, imperfection of legislation made it possible for some of them to increase profits easily evading the law.  Permissiveness corrupts. These people got used to illegal schemes, became well-to-do and influential. They played according the rules of that time. But the situation has changed. The authorities of Kabardino-Balkaria take great pains to make this segment of the market civilized and transparent. I do have grudge against competent authorities. But the problem is being and will be solved. Russia's President's order on creation of service for the regulation of the alcohol market will also help. It will come into force on the January 1 next year.    

Q.: Arsen Bashirovich, you have determined the direction of the development of Kabardino-Balkaria. What is important personally for you?

A.: The most important thing for me is that people of Kabardino-Balkaria have a kind word to say about me after my presidency.