According to the head of government, foreign investors showed interest in projects of partnership among state and private entities in the sphere of transportation at yesterday's session of the foreign investment advisory board.
"Indeed, they are ready for cooperation, and we must come up with a response. This is a task for the administration of the branch," Mr. Fradkov remarked.
In turn, Russian Minister of Transportation Igor Levitin said the industry was not properly financed. The Minister told the board budgetary allotments to the transportation sphere would total 500 bln rubles (some $17 bln) in 2005-2007, against the annual need of 600 bln rubles.
As a matter of fact, the amount of finance within the framework of the Russian Transportation System Modernization federal target scheme is no more than 2.2% of GDP, compared to the 4% planned, the Minister of Transportation pointed out.
With most Russian vessels sailing under foreign flags, sea traffic decreased by 34.5% in the first half of 2004 as compared to a similar period of the previous year, Mr. Levitin said.
The Minister of Transportation called on the government and the State Duma to approve a law on Russian international vessel registry to provide for Russian ships to operate under the national flag.
Speaking of actual problems in other sectors of the transportation system, Mr. Levitin voiced his concern about the state of highways.
Out of 46,800 km of federal highways only 36% meet the standards, the Minister of Transportation said.
As to civil aviation, Mr. Levitin also laid emphasis on the fact that the quality of the airport infrastructure had deteriorated. "Security systems in most of the airports need overhauling," the official underlined.
