RED TAPE STANDS IN THE WAY OF BUSSINESS IN RUSSIA - VOLSKI

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MOSCOW, November 16 (RIA Novosti) - "The presence of a host of agencies and services under the ministries has only bureaucratised the management process", which above all "disastrously tells on small- and medium-size business", Arkadi Volski, president of the Russian Industrialists' and Entrepreneurs' Union (RSPP), told its 14th congress on Tuesday.

In the opinion of Mr Volski, "the incomplete and inconsistent character of reforms stands in the way of business".

He recalled that, in order to maintain the pace of administrative reform the government has prepared the concept of the federal target programme Administrative Reform.

"Business welcomes the inherent idea that the development and implementation of the reform should be wrenched from officials to be passed to the independent structures. If not, state management will become even more inefficient", Volski said.

In turn, Alexander Shokhin, chairman of the coordinating council of entrepreneurial organisations, made several remarks concerning officials without citing names.

At the same time, "there is an element of unpredictability in work of the authorities", he noted.

Shokhin also said that utterances by certain officials create problems on the share market. To quote: "Utterances by this or that official lead to market ups and downs. In-house information is clearly in use and officials are involved in business not in the way as the state should", he believes.

What we have here is "unwise or interested behaviour". "One may think that somebody either gains from it, or doesn't understand how market will react to this or that information", Alexander Shokhin resumed.

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