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Putin Concerned over Spiraling Poverty in Russia - ASHARQ AL-AWSAT English Archive 2005 -2017
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Moscow- Russian President Vladimir Putin confirmed that poverty in Russia is increasing, expressing concern over the relapse of citizens’ income. He said that the Russian economy has overcome the shrinkage but is still suffering challenges that should be solved calmly.

He also lauded the Central Bank of Russia and stressed importance of gradual reduction of interest rates.

Speaking about the Russian economy global interaction, he did not show interest in the western sanctions that “have cost the Russian economy huge losses that are only half these of the west’s” – Putin pledged to lift sanctions imposed by Russia on western products if the West does the same.

His statements were made during his annual televised question and answer session on Thursday.

Putin did not deny that the Russian economy is suffering several challenges, adding that this phenomenon affects citizens’ income level. Among these challenges, he triggered issues of the economy structure and the drop of production.

“We have seen a decline in the real income of citizens in the past few years. And the increase in the number of people who live below the poverty line is especially worrisome,” he said.

Putin said that the Russian economy is unfortunately depending on oil and gas revenues, noting that the central bank is attentively changing the interest rate for this reason.

Answering a question on the westerns sanctions against Russia, he considered that the sanctions benefited Russia and pushed it to depend on itself to compensate – Putin affirmed that Russia managed to develop radio-electronic, airplanes, missiles, medicines and heavy metals industries thanks to sanctions.

Commenting on the US Congress amendment to tighten sanctions on Russia, he saw that this shows the continuous internal political struggle in the US.