The Official Karelia
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Economic development of the Republic of Karelia in 2005

  Results of 2005

  Economic Policy

  Productive Industry



  Inter-Regional Cooperation

  Natural Resources
  and Ecology


Realization of external relations and inter-regional cooperation

The Government of the Republic of Karelia pursues an active policy of expanding and strengthening of inter-regional cooperation, restoration of trade, economic, scientific, technical and cultural relations with regions as in the Russian Federation, and with the CIS countries.

Inter-regional cooperation for our republic became an important factor of development in such spheres, as engineering industry, timber and mining industry, construction, housing and communal services, agriculture and fish industry. Cooperation is traditionally supported in the sphere of tourism, culture, education, and public health services.

Inter-regional cooperation of Karelia covers 20 regions of Russia, Byelorussia, Autonomous republic of Crimea and the Odessa region of Ukraine. Total number of agreements completed makes 23. Agreements along with reports containing specific actions on their implementation are the most effective.

There 10 agreements of this kind: with the Government of Moscow, administrations the Leningrad, Vologda, Murmansk, Archangelsk, Saratov regions, republics of Bashkortostan, Adygea, Komi and Belarus.

It is possible to note, that commodity circulation with these regions in the period from 2002 to 2005 has made 47,7 billion roubles (12% growth to the corresponding period), or 70% of commodity circulation of the Republic of Karelia with regions of the Russian Federation. On design data, the rate of gain of 2005 to 2001 has made 74.5%.

Last year of presentation of investment potential of the Republic of Karelia have been held in the cities of Moscow and St.Petersburg. Within the framework of presentations new documents on cooperation were signed, business meetings and round table discussions passed, performances of folk groups and exhibitions of commodity producers were held.

The greatest effect is provided by cooperation with regions being potential investors, first of all with cities of Moscow and St.-Petersburg and Leningrad region. For instance, within the framework of inter-regional cooperation with Moscow, due to the investment program of Moscow financing of extraction of block granites from "Kalguvara" and "Soskujansaari" quarries, reconstruction of the quarry of Pitkarantsky Quarry Administration and a factory, construction of experimental-industrial manufacture of schungite crumbs and filling in Karelsky Granit, Ltd., is acomplished, the "MKK-Onego" enterprise on stone extraction in Pudozh district is organized. Productive capacity for manufacture of 100 thousand tons of crushed schungites per year that satisfies annual requirement of Moscow market is created.

Moscow investments in development of the mining complex of our republic in the four-year period have made about 243 million roubles.

Due to inter-regional cooperation deliveries of Karelian fish products to St.-Petersburg and Moscow, whole-milk and distillery production to Murmansk region, delivery of young trouts from Leningrad region to Karelia are established.

Cooperation in the field of road construction develop. Leningrad region and the Republic of Karelia actively cooperate in the sphere of development of a road route from St.-Petersburg to Petrozavodsk throgh Sortavala and Pryazha. Cooperation of Karelia with the Government of Archangelsk region promoted outlet to the border with Archangelsk region on the site of Dolmatovo-Nyandoma-Kargopol-Pudozh (Northern Transport Corridor highway).

Cooperation with Vologda region has allowed to share a deposit of sand-gravel materials on the site of a motorway in Vytegra district.

Within the framework of the visit pf the Prome Minister of Byelorussia Sergey Sidorsky in 2005 acquaintance to potential of the Republic of Karelia in sphere of manufacture of equipment and machines for pulp-and-paper and petrochemical industry took place. As a result a joint project of the Government of the Republic of Karelia and the Government of Byelorussia with participation of Petrozavodskmash Joint-Stock Company has been launched. Within the project it is supposed to use industrial and technical opportunities of Petrozavodskmash Joint-Stock Company for manufacturing, equipping and assistance in installation and commissioning of paper-making equipment for a factory in Shklov (Byelorussia).

Important actions of inter-regional cooperation are participation of theatre companies of our republic in festivals and concerts dated for significant dates, tours of folk and musical collectives, participation of children in various competitions.

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Created: April 12, 2006. Last updated: April 28, 2006.
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