Geographical
Situation
Krasnodar
region is one of the most rapidly developing regions of Russia.
Geographically the region is located in the south of Russia. 740
kilometers of the total length of the border, constituting 1540
kilometers, stretches along the Black and the Azov Sea. Krasnodar
region is located on the latitude of northern Italy and southern
France. Kuban is the southern sea gate of Russia, an international
transportation corridor, connecting Europe and Asia.
Regional
economy
The
basis of the economic potential of the region is formed by: the
agro-industrial complex, transportation complex, diversified industry
and resort and recreational complex. The sphere of consumer market
is rather well-developed.
Factors,
contributing to the economic growth of Krasnodar region:
-
presence of well-developed clear strategy of the regional development;
-
developed transportation infrastructure;
-
perfect legislation for making business;
-
availability of more than sixty minerals - from oil and gas up
to construction materials, including 1.5 million hectares of woods,
mostly consisting of valuable tree species;
-
rich raw materials resource base, markets;
-
well-trained labor resources.
It
is necessary to add to all this political stability in the region,
which is the guarantee for attracting foreign companies.
The
main seaside resorts of Russia are concentrated in Krasnodar region,
and in order to develop them the regional administration jointly
with the world consulting agency McKinsey & Company have elaborated
the strategy for development of tourist potential of the Black
Sea coast of Krasnodar region till 2015.
Investment
attractiveness
Krasnodar
region ranks the 3rd in Russia after Moscow and Saint-Petersburg
in terms of volume of foreign investments. Over the last 5 years
more than EURO 14 B has been invested in the economy of the region.
Based on the assessments of experts, in the next several years
the economy of Krasnodar region is ready to accept EURO 35 B more
in investments.
In
order to attract more investors, the regional administration has
elaborated a clear strategy of prospective development of Krasnodar
region. The main priorities of the strategy are:
-
maintenance of favorable investment climate for the development
of real sector of economy, small business and attracting of investments;
-
preparing of "green sites" for realization of business
projects;
-
rapid development of priority sectors of economy;
-
state support of the priority investment projects, creating the
multiplicative effect in adjacent industries;
-
improvement of the regional legislative and regulatory base.
The
priority regional investment projects determined in the framework
of the strategy are as follows:
-
creation of the network of motor-roads and toll highways on the
territory of Krasnodar region;
-
development of Krasnaya Polyana sanatorium-resort complex in the
city of Sochi, which has been announced a candidate for holding
the Winter Olympic Games in 2014, and in view of this the Government
of Russia has accepted a concept of the Federal target development
program of the city of Sochi till 2014.
-
development of resort and recreational complex of Anapa city -
the best children's resort in Russia. The development of beach
zones and territories.
In
2004 international agency Standard & Poor's awarded Krasnodar
region with international credit rating "B+ stable".
In September of 2005 the company revised the forecast of changing
the credit rating of Krasnodar region from the "Stable"
to the "Positive".
The
so-called "single-window service" currently operates
in Krasnodar region. One can get the necessary range of services
for organization of business in the region without leaving the
building of the administration. Over the last year more than two
thousand entrepreneurs took advantage of this service. And the
period for passing of documents upon handling of licenses, agreements,
land-surveying documents does not exceed three months. The project
is supported at all stages of its implementation: from signing
a protocol of intent up to launching new production.
The
regional legislation protects business from political and economic
risks.
The
administration of the region has created a regional Investment
Fund as additional mechanism to support investors, and the main
purpose of this Fund is to implement major investment projects
through attracting long-term direct investments and investing
them in dynamically developing enterprises.
External
relations
Annually
the administration of Krasnodar region participates in international
exhibitions. Expositions of the region are annually exhibited
at international exhibition of the agro-industrial complex Green
Week (Grune Woche) in Berlin, and at the commercial property exhibition
(MIPIM), in Cannes. At the last MIPIM show one of the best stand
was organized by Krasnodar region.
The
administration of Krasnodar region has concluded a number of international
agreements with regions of European Union and CIS countries. For
example, in 2004 it concluded an agreement 'On Partnership Relationship'
with the Government of the Land of Low Saxony (Federal Republic
of Germany), and in 2005 it concluded two agreements with regions
of Italy (with the Government of Milan Province Lombardia region
and the Government of Calabria region)'On Cooperation in Trade-Economic,
Scientific-Technical, Cultural and Humanitarian Spheres'. And
just a few days ago in the framework of the Presentation of Krasnodar
region in Austria Mr. Tkachev, head of Krasnodar region, signed
an agreement of cooperation with Mayor of Baden city.
In
order to inform the public about the investment potential of the
region the regional administration appears as organizer of some
forums and presentations. International economic forums "The
Days of Krasnodar Region in Germany" are conducted every
year, and in 2006 Munich, the capital of Bavaria, was selected
the place to hold this forum. The dates of the forum are 17 -
20 May 2006.
Beginning
from 2002 International Economic Forum Kuban has been conducted
in Sochi, at the Black Sea coast of Krasnodar region. In 2006
the Forum is scheduled to be held from September 28 to October
1. In February of 2005 the presentation of the region for business
circles from Italy was organized. The program of the presentation
included opening of Kuban representative offices in the cities
of Regio-Emilia and Milan in Italy.
Our
partners
The
well-thought-out and balanced policy of the regional authorities
already gives good economic results. Two projects having world
significance - the Goluboy Potok (Blue Stream) and CPC-R have
been implemented on the territory of the region. More than eight
hundred enterprises with investments coming from seventy countries
operate on the territory of our region. The list of these enterprises
includes such well-known companies as Knauf, Phillip Morris, Chevron,
Nestle, Tetra-Pak, Radisson, Klaas, Bonduelle, and Metro.
Small
- scale business
By
the level of small business development Kuban is included in the
first five among Russian regions.
One-third
of the population, employed in the economy of the region, currently
work in the sphere of small business. The share of small business
in the volume of Gross Regional Product constitutes 35%.
The
administration of Krasnodar region considers its main task for
the next years to ensure the GRP growth at the expense of competitive
ability of goods and services, produced on the territory of the
region. In addition to that, the development of the sphere of
innovations, transportation capacities, the agro-industrial complex
and resort and tourist sphere are among the tasks of the economic
policy of Krasnodar region. The regional authorities are to pay
special attention to introducing the system of private-government
partnership in the sphere of small business and development of
investment activity.
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