Jun 11, 2007

Tatarstan: Economy on the Right Track


During a visit, Singapore's Minister Mentor Lee Kuan Yew has praised Tatarstan’s economic performance, its well-educated population, and its truck and aircraft production industries.

During a visit, Singapore's Minister Mentor Lee Kuan Yew has praised Tatarstan’s economic performance, its well-educated population, and its truck and aircraft production industries.

Below is an article written by Anya Ardayeva and published by Channel NewsAsia.

Singapore's Minister Mentor Lee Kuan Yew said the Russian republic of Tatarstan is on the right economic track.

Visiting the region, he said its well-educated population and its truck and aircraft production industries make the outlook promising.

MM Lee received a warm welcome in the Russian republic of Tatarstan, which is located 800 kilometres east of Moscow, half-way between the Russian capital and the Ural Mountains that traditionally mark the eastern end of Europe.

His first stop was the Special Economic Zone of Elabuga, where Singapore provides training for the senior officials.

According to the agreement signed by Russia and Singapore in August 2006, Singapore provides advisory services to Russia on its newly-developed Special Economic Zones.

The Zone in Elabuga is established for a 25-year period and business here is expected to focus heavily on car manufacturing.

But in order to become an official resident entitled to tax and customs privileges, Russian and foreign companies have to invest 10 million euros first.

And to attract the amount of investment needed, the Minister Mentor said more market research should be done.

After visiting Elabuga, Mr Lee arrived in Kazan, the capital of Tatarstan, and met up with Tatarstan's President Mintimer Shaimiev who said he would like to broaden Tatarstan's cooperation with Singapore.

He said: "We have active contacts and there are many innovative ideas, especially in the area of oil processing. Without having a single ton of oil, Singapore is one of the largest oil processing countries in the world, in Asia-Pacific region.

"We are now building a number of oil processing plants in Tatarstan and we would like to use their experience and skills in the areas of information technology and banking."

MM Lee said: "I would say that from the one-and-a-half days I've spent here that the outlook is promising. I discovered that you have a well-educated population, you make trucks, you make aircraft and in one year that you've started, you've been able to get things moving and from the quality of work done there, including the buildings and the landscaping, I think the potential is there."

Mr Lee will be discussing his impressions of Tatarstan with senior Russian officials at the 11th International Economic Forum in St Petersburg when he arrives there on Saturday [9 June 2007].