Rehabilitating Crimea & Sevastopol: An Update

In the evening of 14 January, President Putin held a meeting to review the progress of the socioeconomic development of Crimea and Sevastopol. Despite the occasional attacks by NATO’s Ukraine proxy on the Crimea region, work on its rehabilitation continues. The strides taken by the region are reflected in the cited stats that Putin announces during his opening remarks:

Vladimir Putin: Hello!

Today's meeting is dedicated to the development of our two regions that are of serious, if not strategic, importance for the whole country - the Republic of Crimea and the city of Sevastopol. We will discuss the results achieved, existing problems, and key tasks for the future.

I would like to note right away that since the historic moment of reunification with Russia, Crimea and Sevastopol have achieved really impressive success in many areas. And first of all, it concerns the quality of life, the development of the social sphere, and basic sectors of the economy.

So, for ten years – from 2014 to 2023 – the volume of gross regional product has increased many times. In Crimea – by 3.7 times, and in Sevastopol-by 8.7 times. Investment in significant development projects also grew rapidly.

It is also important that the regional budgets ' own revenues have significantly increased. In comparison with 2014 in the Republic of Crimea-five times, and in Sevastopol-4.5 times.

The free economic zone mechanism works effectively. Moreover, the volume of attracted investments allows us to expect further growth in the regions ' own incomes.

The State Program of Social and Economic Development of Crimea and Sevastopol is one of the main tools that ensure a comprehensive, systematic approach. Let me remind you that the total amount of its funding is one and a half trillion rubles – from 2015 to 2027.

Much has already been done in the course of implementing the state program. Among the important objects are engineering networks, a tunnel water pipeline to the Southern coast of Crimea, landfills for waste reclamation, new highways, including the Simferopol-Yevpatoria route and the first stage of the south-eastern bypass of Simferopol. And this is done only last year.

At the same time, health and education facilities, sports, leisure and recreation facilities are being built. This comprehensive development of infrastructure, in turn, encourages housing construction.

I would also like to emphasize the importance of preserving and further improving the historical and cultural monuments that this ancient land of ours is rich in. A striking example of such work is the unique museum-reserve, historical and archaeological park "Chersonesos Tauris". Another spiritual and educational center of Crimea is the Cathedral Mosque in Simferopol, the construction of which is also completed.

In addition, a museum and theater and educational complex is being built in Sevastopol. The tourist infrastructure is being updated qualitatively: from 2014 to 2024, more than 20 million people visited Crimea, and about two million tourists visited Sevastopol.

As for the upcoming tasks, in general, in the next three years only within the framework of the mentioned state program, it is planned to complete work on more than 230 capital construction projects and perform 32 activities. Federal funding is expected to exceed 316 billion rubles.

Considerable funds are allocated, requiring careful, responsible attitude, strict control over their intended use. And, of course, the regional authorities need to use the opportunities of new national projects launched this year.

I would like to emphasize that with the use of existing and new tools, it is important to maintain the high rate of development of Crimea and Sevastopol, go out on even larger tasks in the interests of residents, always rely on their wishes, requests, constructive ideas, quickly and substantially solve the problematic issues that they raise, and ultimately evaluate the results obtained also based on people's opinions. This, in fact, as everywhere we do according to our plans.

This fully applies to the work that is currently underway to eliminate the consequences of the tanker accident in the Kerch Strait at the end of last year. I am waiting for active actions from the established government commission here – I know that it is also working today. In general, I ask the Government to actively cooperate with the regions here. I would like to take this opportunity to thank once again the volunteers who have been involved in cleaning up the banks from the very first days.

Once again, I would like to draw the attention of all services and departments, both federal and regional: it is necessary to carry out the entire range of planned measures carefully and in full. This is of fundamental importance for the quality of people's lives and environmental well-being in Crimea and Sevastopol, and in all our Black Sea regions.

Let's move on to the agenda. I know that the governor of Sevastopol is currently visiting the Choreography Academy at Cape Khrustalny. It was built as part of a large project, which I have already mentioned, to create large museum and cultural and educational complexes in different regions of the country.

I am sure that the new facility will become another gem not only for Sevastopol and the Republic of Crimea, but also for the entire south of Russia. In general, this is an institution that will be associated with the training of talented young people and talented children for the long term in the future.

I see that Mikhail Vladimirovich [Razvozhaev] is already there and is surrounded by pupils of these institutions.

Please, let's start with that. Mikhail Vladimirovich, you have the floor, please.

Mikhail Razvozhaev : Vladimir Vladimirovich, good evening!

Good evening, dear colleagues!

I really am now at the Academy of Choreography. This is the second object of the cultural and educational complex on Cape Khrustalny, the first is an apartment building for teachers, in fact, the future cultural complex under construction.

The Choreography Academy was completed in August last year, and classes have been organized here since the second quarter of 2024. Today, 45 pupils live in a boarding school. In total, a boarding school has been built here with 125 rooms - a complete complex: with a dining room, with everything you need. That is, up to 250 pupils can live and study here, and in total, 204 children are already studying at the Academy in various areas and programs.

And it's not just Sevastopol residents, Mr Putin. These are guys from the Krasnodar Territory, of course, from the Republic of Crimea, the Belgorod region, Samara, Novosibirsk, that is, the geography is very extensive. Interestingly, there are guys from Moscow and St. Petersburg. And of course, we expect and understand – we discussed with Maria Alexandrovna that now they will have an additional profile selection for admission next year – and we are sure that the competition will be very large, when the Academy has already got its own house.

In general, the place, of course, is amazing—16 halls. Experts say that such an academy is the only one in the world, that is, there are no analogues at all in terms of the level of training of specialized specialists. And there is a huge atrium on the street with 345 seats for children to study in the summer, a sports core and even a swimming pool, a library and, of course, a school for those who live in boarding schools.

Vladimir Vladimirovich, the children are currently having a rehearsal, and tomorrow the performance is a training one, so I would like to give the floor to the Rector of the Academy, Maria Alexandrovna Alexandrova, and the children.

Maria Alexandrova: Good evening!

I would like to thank you, Vladimir Vladimirovich, for such a precise and strategic decision – to build an Academy of Choreography on the shores of this amazing city. And I am sure that our Academy has become an unspoken symbol of investing in the future of our children, education, culture and science in the region.

We have been waiting for your presence: we really have a rehearsal going on as tomorrow is the concert. The kids have finished their full-time training and now they've gone to rehearse for tomorrow's event, so we're all waiting.

We are all very proud to have our home training theater, because it is not only the soul of our Academy, but also, as we sometimes say, our "shelter": we spend a lot of time here.

We are also preparing for the opening of the Opera and Ballet Theater in the near future. And since the artists are preparing here, we hope that they will soon move there in full.

We have big strategic plans: we communicate together, make friends together, and solve our difficult but interesting tasks together.

Vladimir Putin: What is missing, please tell me? What else needs to be done for children and artists?

When an object starts up, when you start operating, then you understand what really needs to be added, what to pay attention to, something to immediately repair or complete: somewhere a pipe is leaking. What problems are there?

Mikhail Razvozhaev: Mr President, allow me to give a little help to Maria Alexandrovna – a person who has been actively working since the first day to make sure that life is really organized here.

In the operational issue, we have a standard for federal agencies. We know that the Academy of Choreography is a federal institution. And accordingly, everything that concerns cleaning, security, and various other household needs must be traded and contractors selected through the 44th Federal Law.

Unfortunately, the first experience has already shown that there was a huge drop: companies that won these competitions under the 44th law, to put it mildly, do not cope. Of course, we attract additional resources. If it were possible to give such an instruction, it would be for institutions…

We make such high-level objects, very expensive, everything is chic here: everything is finished, everything is made for children according to the latest science and technology, and of course, everything should be adequately maintained. There are standards that are considered: how much it should cost on the market, that is, it can all be checked by the supervisory authorities. To be honest, there are only a few companies in Sevastopol that can manage such facilities in a comprehensive manner, and you can count them on the fingers of one hand. Perhaps some federal companies will want to come to work, but when it will be a normal firm price.

So that they [institutions], at least for the first time, can choose exactly this – at an already determined calculated price, and get normal, high-quality operation. Otherwise, we invest a lot of money, and then we can't maintain the object at a decent level. This problem – Maria Alexandrovna will support me-is probably the most important one at the launch stage right now.

Maria Alexandrova: What woman does not dream that a strong and noble man will save her from household needs, that she will have a little money for pocket expenses, that nothing will distract her from raising children and creating a creative atmosphere.

Thank you.

Vladimir Putin: Please state your suggestions and send them to me under the governor's signature as soon as possible – today or tomorrow, okay?

Maria Alexandrova: Yes. Thank you.

Mikhail Razvozhaev: If possible, let the guys go to the rehearsal with Maria Alexandrovna. And then I will continue, briefly report on the results of the region.

Vladimir Putin: Good.

All the best! Congratulations on getting started.

Maria Alexandrova: Thank you. Have a nice evening! Goodbye!

Vladimir Putin: Guys, have a nice day!

Is there something you would like to add, Mikhail Vladimirovich?

Mikhail Razvozhaev: Yes, I would also like to briefly describe the cultural complex in Sevastopol in general, because construction of two other important facilities is currently underway.

Rector Maria Alexandrovna has just mentioned one thing – the Opera and Ballet Theater. To date, its construction readiness is 55 percent. We expect that most of the construction work will be completed by the end of the year, with internal finishing and installation of equipment already starting.

A modern museum is also being built for the Russian Art Gallery, another new federal institution. Now its readiness is about 46 percent. The builders plan to be ready for construction and start installing the equipment by the end of this year.

In addition, this year we are starting to improve all the territories around these objects. We are completing the road, because the construction site of the theater is now located on part of the road. And we are moving on to the beginning of the improvement of the park, which will be created on your behalf next to the cultural cluster. The park is about ten hectares, which will complement and decorate all this space.

This, Mr Putin, is the case with the Cape Khrustalny cultural complex, which is being implemented on your instructions to the Federal Assembly in 2018.

I would like to say a few words about the results of ten years of Sevastopol's development. You have already mentioned the main figures. I would like to say once again that our GRP has actually increased nine-fold, from 30 billion rubles in 2014 to 300 billion rubles by the end of 2024. Industrial production increased 2.5 times – the index of industrial production in 2024 alone was 117 percent.

In addition, our own budget revenues are also growing steadily: from eight billion rubles in 2014 to 36.6 billion rubles by the end of 2024, we recorded our own budget revenues – tax and non-tax. In other words, we see that budget revenues are growing 4.5 times due primarily to the opportunities that create jobs, new businesses and thanks to the free economic zone, as you correctly said.

Growth of investment in fixed assets. You set the task that by the end of 2025 Sevastopol should attract 200 billion rubles of investment. According to preliminary statistics, as early as the end of 2024 and the beginning of 2025, we have attracted 237 billion in private investment, which means that the task set by you has already been exceeded. Of course, we hope that after all the final calculations of statistics, these figures will be confirmed, however, in the first half of the year, we see that the task will be completed in full and exceeded.

In addition, Mr Putin, an important indicator is that Sevastopol has grown significantly from 2014 to today. Today, 561 thousand people live in Sevastopol, and in 2014 there were 340 thousand people, that is, we see that the city has grown by 43 percent compared to 2014. Of course, this is due to the fact that the quality of life is improving – and people decide to move to Sevastopol.

In addition, if we turn to the state program: for ten years, the state program allocated 153 billion rubles to Sevastopol. These funds were used to build a total of 153 new facilities – this is a combination of the state program and national projects: 119 – under the state program and 34-under national projects.

In addition, I would like to say a few words about the main areas. Education: 30 facilities have been built since 2014, nine new schools for 4,989 places, 20 kindergartens have been built and reconstructed-completely overhauled - for 4,280 places. And the Sevastopol Cadet Corps of the Istomin Investigative Committee was built on your instructions, which is already fully operational. A very popular educational institution, we have 200 places there, primarily, of course, aimed at children of participants in a special military operation and children of unprotected categories.

Mr Putin, we have not had any problems with the current waiting list in kindergartens for two years now – It was resolved two years ago. And the number of places that have been created makes it easy for children to come to kindergartens when their parents are ready to give them there.

In addition, 27 facilities in 15 schools have been renovated under the presidential program, which is being implemented very effectively for the third year. We try to make these objects "turnkey", to do more-in addition to just repairing buildings - and replacing on-site networks and landscaping, so that children actually get a new educational institution.

Sports: 65 sports facilities were built in ten years. Thanks to this, the level of involvement of citizens in sports has doubled: today it is 59.1 percent.

We made large-scale objects. Completely restored, reconstructed Sports and recreation complex named after the 200th anniversary of Sevastopol with a track and field core and [Palace] of water Sports named after the first Olympic champion of the Soviet Union in swimming Galina Prozumenshchikova. Today, these facilities have been commissioned and are fully operational.

Six large foci were built, and specialized ones: one with a swimming pool, one with a boxing school, one with a sambo house, and a digital center, so that our residents of Sevastopol could also participate in the Games of the future. 46 sports grounds, six fokots [open-air sports and recreation complexes], and so on. In other words, all the necessary infrastructure was developed very seriously in sports.

Healthcare: We have built 38 new facilities. This is primarily a primary link, as I have reported to you about many of them: an outpatient clinic in Fiolenta with 100 visits per shift, a Cossack hospital with 320 visits per shift in the bay, and 15 FAPs in all our rural areas. We have bought 16 thousand units of medical equipment in ten years thanks to the national project, first of all, including the state program.

You know, for a long time there was a problem that our health care system worked on notification, there were no licenses. This year, licensing was supposed to be completed by July 1. To date, 118 out of 120 objects have been licensed. We're on track, and there won't be any more extensions. That is, since this year Sevastopol has been fully integrated into the rules and healthcare system adopted in the Russian Federation: all facilities are licensed and all medical services that are provided are also licensed.

Finishing about healthcare, I would like to mention such an important indicator as life expectancy. In 2014, the life expectancy was 70 years, today in Sevastopol the life expectancy is 75 years. In other words, we have already achieved the indicators that are currently set in new national projects. We will continue this dynamic, of course. We have a lot of centenarians--the climate allows, thank God.

A few words about roads. 146 objects were repaired in 2024 alone, including three artificial structures. In general, in ten years, Mr Putin, 696 kilometers of roads in Sevastopol have been repaired, 912 objects.

According to the results of the implementation of the national project "Safe Quality Roads" in 2024, Sevastopol entered the top twenty leading regions. The share of roads of regional and inter-municipal significance that must meet regulatory requirements: the target figure for the implementation of the national project was 75.5 percent, we reached 79.55 percent, that is, we exceeded the planned indicators of national projects. In 2014, this figure was 37 percent, and today it is 79 percent.

Of course, you know about such facilities that have been fully completed: in general, the Tavrida highway on the entire Crimean Peninsula, but the seventh and eighth stages of the Tavrida on the Sevastopol section, the eighth stage was completed this year. The entire route is fully ready – with an interchange on the Yalta ring, with lighting. And Kamyshovoe highway – another important large object as a bypass road of Sevastopol was also built during this time.

Vladimir Vladimirovich, it is clear that one of the main tasks now is to support the families of ITS participants. You have declared this year the Year of Defender of the Fatherland. There are a lot of military units in Sevastopol, so there are many families of defenders of the Fatherland. We provide all the necessary and possible assistance. Immediately in 2022, a law was adopted, and we are providing 12 social support measures.

But I would like to say that the state program that is in effect is also very helpful. Because, for example, thanks to the state program, we have built a whole social cluster in one of the microdistricts where we have a very large number of military families living compactly. This is a large secondary school with 1000 seats, an additional separate school building for primary classes, two kindergartens, a polyclinic for 320 visits per shift – a combined adult and children's one.

In 2024, the final object of this social cluster was completed – a multifunctional cultural and leisure center with a hall for 380 seats, with a huge number of rooms for classes, clubs, sections. That is, military families and military children will receive all the necessary services without leaving their neighborhood.

In addition, last year, a permanent committee dedicated to the problems of special military operations appeared in the Legislative Assembly of Sevastopol. It was headed by Hero of Russia Roman Sergeevich Kulakov, a participant in the "Time of Heroes" program. He campaigned brilliantly, was elected to the Legislative Assembly, and today he leads the relevant committee, working to ensure that we can reflect all our needs as much as possible in legislation.

Just two words about landscaping. Since 2014, 96 public spaces have been created in Sevastopol thanks to national projects and other sources. This is more than 100 hectares of landscaped territory. Lighting: we had 16,000 light points in 2014, and today we have almost 50,000. In other words, the city is much better lit, and in places where there has never been any lighting since the Soviet era.

Thanks to your instructions, when there was a water crisis on the peninsula, we significantly improved the water supply infrastructure. This work was supervised by Marat Shakirzyanovich Khusnullin. We were able to repair 54 kilometers of water supply networks, significantly reduce technical losses in the networks. In addition, two backup sources were built – a water intake at Belbek and a water intake at Kadykovsky quarry. Now we are insured against such climatic changes, and we understand for sure that the water problem does not threaten Sevastopol.

And in conclusion, about large-scale projects. About the New Chersonesos, which was opened on the Day of the baptism of Prince Vladimir on July 28, 2024, as you said Vladimir Vladimirovich. I just want to say that there are no words to thank you from all Sevastopol residents for this decision, for this project, because this is a completely unique, amazing space that started to live from the first day. Today there are a lot of events taking place there, there were absolutely amazing New Year's and Christmas. Since the opening, one and a half million people have visited New Chersonesos, all the events, and the flow, of course, does not stop. [Both links provide great info, the second has many photos.]

The construction of a yacht marina in Balaklava continues, and you also know about this project. 38 percent of construction readiness. This year, the Tavrichesky Embankment is coming to an end, and construction workers are moving on to the next facility.

Investment projects are already being launched, which are primarily related to the restoration of monuments and estates located on the embankment. As you know, private businesses will invest in these facilities, and the restoration of the Rodina cinema on the embankment has already begun. Of course, Sevastopol residents are waiting for this facility to be completed. Mr Putin, I have already mentioned the cultural cluster.

In conclusion, I would like to thank you on behalf of all Sevastopol residents for supporting the city in the most difficult situations. Of course, the state program that has been implemented over the past nine years has given a significant boost to development.

I understand that our colleagues will also talk about this, but I would like to say that it is very important – and here is a request: if there is such an opportunity, extend this program until 2030, so that we can synchronize with the national projects that are currently planned until 2030, and build all the complementary logic of development in the medium term until 2030, and continue to achieve the results that should primarily affect the quality of life of people, as you set out.

Vladimir Putin: I have a question, Mikhail Vladimirovich. How do you develop relationships with tenants and owners of land plots adjacent to this cultural cluster, where you are currently located? How is the release of land plots necessary for the further development of the project?

Mikhail Razvozhaev: Mr President, we do have several land plots that you have instructed our colleagues from the Ministry of Defence to hand over to us. All the work is organized there. Recently, there was a Deputy Minister-Pyotr Mikhailovich Fradkov personally once again looked at all the objects, all the plots, the entire territory. There is a "road map" - it is clear how to proceed with this.

There are several plots that belong to private owners. Compared to the land that the Ministry of Defense is supposed to transfer, these are very small volumes, but they will need to be bought back. The funds were determined within the framework of your order, within the funds that Promsvyazbank currently has, in order to help us do this work and start improving the infrastructure.

As for another object that is located directly behind the Choreography Academy, this is the so–called private yacht club, negotiations are currently underway. Here we attract an investor who will have to buy this object, so that a children's sailing school for the CSKA club will be built on this site later, which will be of a different level. It will correspond to the level of the entire cultural complex that is being formed on this territory.

Vladimir Putin: Do we need to do something to help you? Do you need help or are you coping, there are no problems?

Mikhail Razvozhaev: Mr President, today the resource that you have identified through Promsvyazbank allows us to resolve all issues. The only thing is that we must now agree on the final distribution of the last nuances and together with Marat Shakirzyanovich we will report on the final version - what these funds will be spent on in order for us to complete all the tasks related to the improvement of the territory, including starting the improvement of the park.

Vladimir Putin: Good. Is there no resistance? It's just that we're talking about the end of negotiations, I take it, right now, right?

Mikhail Razvozhaev: Absolutely correct, Mr President. There was a slight misunderstanding, which has already been resolved, about one object of the Ministry of Defense, because it was necessary to transfer this object to another land plot, and funds were needed for this. But once again, they have already been determined by you.

Vladimir Putin: All right, all right. Thank you both for the report and for the results of your work.

Please, Sergey Aksenov, Crimea.

S. Vladimir Vladimirovich, Dear colleagues!

What do I want to say? Eleven years at home is almost already – in March it will be. Thank you, Vladimir Vladimirovich, for the decision you made, and of course, all this happened thanks to the popular upsurge. Thank you for coming back.

What do you want to say? Today, the number one point of honor for Crimeans is to support your decisions in terms of conducting a special military operation, supporting Crimea in various difficult situations and supporting our military personnel.

On our servicemen: You correctly said "if you want to do well, do it yourself", that is, I myself am engaged in reviewing all appeals that come in. In general, in 2024, my personal page in VKontakte and Odnoklassniki received more than 60 thousand requests. I read all requests myself, personally. More than six thousand of them are appeals from military personnel and their families.

We are fully reviewing the situation with the Defenders of the Fatherland Foundation and our colleagues. We also take part in the formation of the regional stage "Time of Heroes". I myself am the mentor of the Hero of Russia Anton Starostin—this is the right officer who will build a career directly in the state authorities. The senator from the Republic of Crimea is represented by the Hero of Russia Yuri Petrovich Nimchenko. Our military personnel–-just those who are already deservedly supposed to take part in the formation and construction of the state--take part in this process directly, personally.

In terms of the current situation, Mr Putin, you have already mentioned the emergency situation and fuel oil [from the wrecked ships]. During this time, fortunately–-we probably can't say that, we were just more lucky than our Krasnodar colleagues--in this case, we still have a small amount of emissions. According to aerial observations, large spots that drift along the Crimean coast are not yet visible. However, until the ships are raised, we still expect that the situation will deteriorate. One way or another, your decisions are already being implemented. I'm in touch with the federal headquarters. Savelyev Vitaly Gennadievich conducts regular staff meetings, we communicate with Alexander Kurenkov. Tomorrow we will have the headquarters for the Crimea here, in place.

In total, 400 tons of contaminated mixture with fuel oil were removed from the coast during this time. Our entire coast is distributed and assigned to personally responsible people. Each section of the coast, each segment of the coast, has a surname, and it is searched twice a day for fuel oil spots. For us, it will be considered a good job if we do not let the fuel oil go ashore, if we collect it in the sea.

We are preparing for the holiday season. As I reported to you today, the Government of the Russian Federation and Marat Shakirzyanovich are developing a program to repair coastal protection structures.

Unfortunately, the year before last we had the storm of the century at the end of the year, which destroyed most of the coastal protection—up to 80 percent. The Government made decisions last year to allocate 4.4 billion rubles, and three billion rubles were allocated additionally from the republican budget. We are currently engaged in designing and will report with Marat Shakirzyanovich sometime before February 1. I think we will prepare proposals regarding the financing of coastal protection structures.

As for assistance to regions that have returned to their homeland: the Republic of Crimea, in particular Simferopol, is the center of payment of various types of social assistance in general to residents of the Kherson and Zaporozhye regions. Such types of assistance were received by 132 thousand people. 36 thousand housing certificates were received directly by residents of the city of Kherson–-those who were entitled to it.

We provide methodological assistance to our colleagues and are in the same boat. We have been following this path since 2014. Many things have already been worked out for us, so together we help to adapt to our legal framework as much as possible.

On the economy: Mr President, you have already noted that our budget revenues have increased more than fivefold since 2014. For 2024, the dynamics in relation to 2023 is 28 percent growth, despite the CBO, despite covid, despite difficult logistics. One way or another, we are moving forward.

As for economic instruments: for more than a decade, two trillion rubles have been invested in the Crimean economy, of which more than half, more than a trillion rubles, are budget investments. The main tools are the federal target program.

In the area of responsibility of Crimea, as you have already said, the total program is one and a half trillion rubles with the federal authorities, in the area of responsibility of the republic – 583 billion rubles, and about 505 objects built during these eleven years within the framework of the federal target program.

The national projects that have been adopted amount to about 100 billion rubles in funding. By the way, in general, we are close to 100 percent in terms of implementation, in terms of cash, in all programs: 99.8 percent is the cash execution at the end of 2024.

Departmental target programs: according to your decision, support, and thank you, Sergey Semenovich [Sobyanin], this is already the Moscow Government–-53 billion rubles have been allocated over the years for landscaping and the healthcare system.

As for the results: 95 thousand jobs have been created over the years. Accordingly, the unemployment rate in 2014 was 7.2 percent, and now it is 2.4 percent, that is, it has almost tripled. Mr Putin, we had 33,000 small and medium – sized enterprises in 2014, the year when Crimea joined Russia and returned to its historical homeland, and now we have 242,000 small and medium-sized enterprises. Accordingly, there was a 7.2-fold increase.

As a tool–-we have a free economic zone. You have already mentioned, Mr Putin, that there are 1,269 FEZ participants so far, and 102 [contracts] have been concluded this year alone. There is growth in various areas. The main directions are tourism, industrial production, and agriculture in the first place.

As for the industries, Mr Putin, almost all of them have achieved a multi-fold increase in one way or another compared to 2014. If you take one of the main areas – healthcare. In general, thanks to your decisions and the support of the Government, 900 out of two thousand healthcare facilities have been completely or partially repaired, 306 new outpatient clinics have been built – this volume has never been seen before, and more than 100 more will be introduced within a year and a half. The program has money embedded in it.

Thanks to this, our mortality rate for all types of diseases without exception has decreased from 15 to 40 percent. In particular, this is infant mortality, mortality from diseases of the circulatory system. Unfortunately, the increase in mortality from neoplasms – malignant tumors. But this was due, Mr President, to the fact that medical examinations were not performed before – with a high detection rate at this stage.

At the same time, of course, we consider the personnel potential as a problem. Unfortunately, we haven't fully completed the staffing process yet. We are working together with the Ministry of Health of the Russian Federation, but there is still a shortage in the industry. But we are taking support measures, and I think this will allow us to resolve this issue together with the Government.

We were a bit "lame" about providing preferential medicines–-you have already made a comment about this on the air. Subjective factor: unfortunately, in most cases the money is fully secured, but we also draw it out manually. I am sure that we will survive this situation.

Education: Mr President, thanks to your decision, the queue for kindergartens has been completely eliminated. To date, none of the children are waiting in line for kindergarten.

A total of 168 new kindergartens and ten new schools have been built in these almost eleven years, and about 500 educational facilities have been partially or completely renovated. Ten more schools are being built in our program, which will allow us to partially avoid the second shift. Today, the second shift in 82 schools, 20 thousand children study in the second shift, including because we have major repairs of schools and during school hours, that is, in terms of the redistribution of students. In general, we will continue to look at the program – we need to build five or six more schools, and we will close this topic in full.

On housing and communal services: our expenditures on the housing and communal services system have increased 22 times compared to 2014, and today they amount to 35 billion rubles. In terms of water supply, the Government of the Russian Federation has finalized measures to save water. Today we save eleven percent a year, which is not much against the general background, but eleven million cubic meters for the Crimea is quite a decent amount.

Thank you, Vladimir Vladimirovich, you supported the construction of two reservoirs today, there is money in national projects, I spoke with Dmitry Kirillov about the situation, this is for the supply of Yalta and Alushta. The Government and I have already started designing this area, and we are working in this direction.

As for agriculture, we are growing in all areas. Thanks to federal funding, $ 27 billion was allocated over these eleven years. In general, the main breakthrough in fruit growing and horticulture has probably occurred – 10 thousand hectares of orchards, 11 thousand hectares of vineyards were laid during this period. Crimeans are provided with fruit and vegetable products grown in Crimea in full - almost 100 percent.

In terms of equipment: thanks to the support of STLC, we received 5,700 new units of agricultural machinery during this time. In general, in the Republic of Crimea, the renewal of the agricultural machinery fleet today is 85 percent.

As for tourism, over the past eleven years, a total of 67 million people have passed through Crimea in transit and visited the territory, plus or minus, [depending on] the calculation methodology. Until 2022, the main part arrived by air, from 2022, most of them arrive by road and about one and a half million by rail. Nevertheless, we see growth in this direction.

79 new facilities have been built over the years, and 111 new sightseeing routes have been opened. We try to create the most comfortable environment possible. We understand that the hospitality and friendliness industry is the first thing that is expected of us. We try to match this image.

As for sports and cultural facilities, the Government generally provides funding from the federal budget. This year alone, we are allocating an additional 4.4 billion rubles from the national budget at the expense of nationalized enterprises for partial or complete repairs of clubs and playgrounds. This is the money received from nationalization: the enemy's operating enterprises were turned into state revenue. This year alone, nine new focs will be built at the expense of these funds, 120 children's sports grounds will be fully built, and 85 clubs will be partially renovated. Plus 21 gyms in schools that have never had gyms, we will finish-also build, respectively, this year.

Vladimir Vladimirovich, I would like to say that all directions have been chosen correctly, and we are moving forward. We know that we always have you at our back, and we understand the situation. Thank you very much. In fact, without the support of federal authorities, the Government, and legislative bodies, it would be impossible to achieve such results quickly.

Thank you very much.

I've finished my report, and we're waiting for instructions.

Crimea-with you, Crimea-for you, Vladimir Vladimirovich.

Vladimir Putin: Thank you.

Marat Shakirzyanovich, please.

M. Khusnullin : Dear Vladimir Vladimirovich,

In the 10 years since the state program for the development of the Crimean Peninsula was approved on your instructions, significant positive improvements have taken place. The regions of Crimea and Sevastopol, as well as federal executive authorities, have completed the organization of 722 events and facilities. Dozens, even hundreds of healthcare, education facilities, and almost a hundred cultural and heritage sites have been built and renovated. Reliable water supply to the region was decided – 553 kilometers of water supply were built. Reliable energy supply to the region is provided.

The task is now to increase the capacity of both electricity and gas. 1,244 kilometers of roads were built. As you know, the crossing over the Kerch Strait has been built, which, despite constant enemy attacks, continues to function. To protect it, we constantly take a set of measures to neutralize threats.

Following the results of road construction, Vladimir Vladimirovich: since last year, we have completed the last section from Krasnodar to the Crimean Bridge. Now you can come to Crimea and Sevastopol by car without a single traffic light on the first category road, even from Kazan, even from Moscow, even from St. Petersburg. In other words, these are thousands of kilometers of express roads.

In addition to such iconic sites as Tauric Chersonesus and Cape Khrustalny, work continues in almost all areas. This year, a part of Artek's facilities was commissioned. Next year, we plan to finish most of our work at Artek. This work was carried out by "a Single customer [in the construction sector]", and a whole number of objects: a sports complex was built in Alushta, a beautiful federal children's rehabilitation center is being built in Yevpatoria, and we are already completing it next year.

In 2022, on your instructions, the state program was extended until 2027 with annual funding of 110 billion rubles – this will also allow us to build 263 additional facilities and events.

We continue to fulfill the tasks set by you to increase the exits from the Tavrida highway to the Black Sea coast. In the next three years, 29 road facilities will be built and repaired under the state program. As a result, the standard road length will exceed two thousand kilometers.

The road from Simferopol to Dzhankoy, which is more than 120 kilometers long, should become part of the Azov Ring Road. Until 2030, Rosavtodor plans to reconstruct it and expand it to four lanes in stages. Exits from federal highways to the coast should also be built: for this purpose, local regional roads should be "linked".

In terms of railway communication: within the framework of the state program, the construction and reconstruction of 36 kilometers of railway tracks, the reconstruction of 25 passenger platforms will be completed. This will reduce train travel time and create comfortable conditions for passengers.

At the same time, we see prospects for developing both freight and passenger rail links between the peninsula and the central part of Russia through our new regions. Here I ask for your instruction to work out the possibility of implementing such a project so that we can connect the Crimean Peninsula with other regions of the Russian Federation not only with a road corridor along the Sea of Azov, but also with railway infrastructure. Today, this corridor is already actively used.

I would like to note that the development of port infrastructure is also very important for the development of the region.

We continue to work on the task you have set for wastewater treatment in the Black Sea area, and we are building wastewater treatment plants. Today, 27 wastewater treatment plants are in operation, eight of them were completed, last year–-two. Currently, work is underway on the reconstruction and construction of 14 wastewater treatment plants. Five more facilities in Crimea are currently being designed. The regions need to speed up this work. Both residents and tourists are very much waiting.

Landscaping work is also underway. Crimea and Sevastopol actively participate in all landscaping contests. The program within the framework of the national project has been completed.

What Sergey Valeryevich said: there is an issue related to the bank protection structures and the expansion of the beach–-we wanted to report to you separately—with the source of funding. This is a very important issue for the development of the region. This should be done in order to increase the tourist potential of the region.

Another important task for the residents of the region is, of course, the provision of social infrastructure. A huge amount of work has been done, but much remains to be done. Just over the next three years, several schools and kindergartens will be built, and, in fact, all the problems related to the priority will be solved.

I would like to note that in addition to the activities of the state program, the FIVAM needs to ensure the full participation of the Republic of Crimea and Sevastopol in national and federal projects.

Vladimir Vladimirovich, we have a task set by you to ensure that in 2030 Crimea and Sevastopol are not lower in all indicators than the national average. Therefore, it is very important for us that all the FOIVs [The Federal Executive Authorities System] and the regions themselves are involved in this work, so that we can achieve these indicators.

I would like to note that both regions are very actively involved in the Infrastructure for Life project. We have good rates of housing construction: More than 0.60 square meters per person are already being commissioned, and the potential for housing development is still very large. I hope that within the framework of the national project we will reach the figure of more than 0.82 square meters per person, which is absolutely possible for this region. We would especially like to mention the work on the construction of individual housing construction. And of course, it is important to create a tourist infrastructure.

In both regions, current programs for resettling citizens from dilapidated housing, recognized as such until 2017, have been completed. We need to form a new program together with the Ministry of Construction, and we are currently working on it.

In terms of road construction: within the framework of the national project "Safe and High-quality Roads", the set targets were met. Now we are working on a new program to bring up to 85 percent of the standard of federal roads, roads in the largest agglomerations, the main network, as well as 60 percent of regional roads in accordance with the plans of the national project "Infrastructure for Life".

To do this, we will make the necessary comprehensive analysis of the state of roads and see how much money we lack. And as part of our project" Infrastructure for Life", I think that we will solve these problems.

Vladimir Vladimirovich, in 2021, you instructed to attract at least one trillion rubles in investments to the economy of the peninsula by 2026–-in five years. You know, at that time it seemed like a very difficult task, and we were somewhat wary of it. But today we can say that, according to Rosstat, over the past time, 674 billion rubles of investments have been attracted. In other words, I think that in two years at this rate, despite all the difficulties, we will be able to cope with the task.

Of course, the free economic zone, which has been operating since 2015, plays an important role in this work. Today, the FEZ has more than 1.5 thousand economic entities, mainly small and medium-sized ones, attracted more than 500 billion private investments, and created 110 thousand new jobs.

And the main issue is that one ruble of benefits accounts for almost [four] rubles of private investment. A very popular mechanism for attracting investment is that we compensate for a part of the interest rate. By the way, last year we increased the amount of funding, although it is also not enough, and all participants in this project are very actively applying.

Vladimir Vladimirovich, of course, we have picked up a good pace. You know, people get used to good things, and I don't want to slow down. Since we still have the" Infrastructure for Life " defined until 2030 with a forecast until 2036, we would very much ask you to make a decision today on extending this program until 2030, while maintaining the amount of funding not lower than it was in recent years. Of course, we would like to have more money, but even the level that we have will allow us to reach our stable plans, because there are many tasks that are waiting in line. Only with a long-term program can we provide all the tasks you set.

I also ask for instructions to work out the full participation of all regions in national projects, and all FOIVS must take Crimea and Sevastopol into account in their programs when planning their work, because this is also a big source. We are currently promoting new projects. Of course, we hope so very much.

Vladimir Vladimirovich, in conclusion, I would like to say a huge thank you to you for constantly paying great attention to Crimea and Sevastopol.

About the cultural center: everyone will still see what a miracle it is. Chersonesos and the cultural center are world-class objects, which will definitely be a real gem for residents and tourists.

Vladimir Vladimirovich, thank you very much. Many thanks to the heads of the regions – we are in constant contact, in constant contact with all the executive authorities: ministries, departments, the Ministry of Economy, which led this program, the Ministry of Construction, which supported this program and is now the coordinator, the Government staff with departments who are involved in this as curators. We are doing this in a staff mode, and despite all the difficulties, we are succeeding. We hope that we will continue to meet all your goals and objectives.

Thank you very much, Mr President.

I finished my report.

Vladimir Putin: Thank you.

As for the functioning of the free economic zone: according to my data, about 500 billion rubles of private investment has been attracted, but a little more jobs have been created, as you said, 110 thousand-over 111 thousand jobs have been created. In general, of course, this is a good indicator.

As for the volume of attracted investments in fixed assets, here, of course, the indicator is very decent. In the Republic of Crimea, this figure has increased tenfold: from a little over 26 billion to almost 260 billion. And in the city of Sevastopol – a 37-fold increase: from 2.6 billion to almost one hundred billion rubles. This is a decent indicator, to put it mildly.

And housing construction is also good: in the last five years alone, 4.5 million square meters of housing were commissioned in Crimea and almost three million – 2.8 million square meters of housing-in Sevastopol. I hope people see this.

In general, a lot has been done, but we should not stop there, we should look at everything that we believe needs to be done in the near future.

You propose to extend the program until 2030.

Mikhail Khusnullin: Yes, Mr Putin, because we have 17 projects until 2030. We also need the program to be synchronized and linked, so that we live in the same coordinates.

Vladimir Putin: I agree. We will assume that we have agreed and the decision has been made.

Thank you. [My Emphasis]

There are several ways to view this report. One is that it shows the level of neglect the regions experienced from Kiev since 1991; another is that it offers an analog to what will be required throughout the lands Russia has already liberated and those that will choose to join Russia when the SMO concludes. Of course, neither Crimea or Sevastopol suffered the sort of extensive combat damage the four new regions have sustained and continue to experience, so the rehabilitation of Mariupol would be a better metric for them. The key is that the people were supplied with tools and resources to develop their regions along with leadership with plans and visions, which has become Russia’s overall national development method. One of the main items of development mentioned are roads. The condition and types of roads in 2014 Crimea differed little from those in the rest of Ukraine, meaning they were very poor and few, while city streets weren’t much better. The condition of that very basic infrastructure asset tells a lot about a region’s overall state of development along with government priorities. The Soviet Era wasn’t improved upon by independent Ukraine and the people looked West, but the West didn’t want the Ukrainian people. The West wanted what was under the soil. There was never going to be any development by the West aimed at improving people’s lives. Russia with its new regions and semi-virgin lands in the East has an opportunity to show the Global Majority how to formulate and implement development that improves people’s lives and gives them an opportunity to further advance beyond the basic level provided. That outcome is very clear in Crimea and Sevastopol.

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