MOSCOW (Realist English). The Chairman of the Central Bank, Elvira Nabiullina, said that in order to face new challenges, a structural restructuring of the Russian economy will be required, which will also affect the financial sector. According to her, structural adjustment will determine the situation in the economy for several quarters.
“What is the structural restructuring of the economy? The structure of the economy is economic relations, sales markets, the geography of exports and imports, the volume of production, which is determined by external and internal demand, the share of different industries in the economy, the degree of localization of production, the level of involvement in international economic chains and the distribution of labor by sector, the demand for specialists of certain specialties, the level of technological effectiveness of production processes, and so on, and so forth. Almost all of this should now undergo changes.” she explained, speaking at the plenary session of the State Duma.
Nabiullina stressed that the most important thing now is to protect people, their incomes, jobs, and, therefore, to enable the economy to rebuild as quickly as possible:
“This is a general economic and financial task. The speed of change can only be achieved by an entrepreneurial initiative. Therefore, now it is necessary to give the business — the business as a whole — maximum opportunities to manifest their initiative. Therefore, I see the task of the Bank of Russia — to adjust the work of the financial system so that it meets the needs of business in such a situation. Of course, at the same time it is necessary to protect people, protect their incomes, savings, so that their real incomes increase, are not eaten up by inflation, are not devalued. Therefore, of course, we will have to conduct monetary policy in a balanced manner here.”
