Nikita Belikh and Klaus Rohland signed The Memorandum of Strategic Partnership between Kirov Region and IBRD
Kirov, July 14, 2009 – Today, Governor of Kirov region Nikita Belikh and the World Bank Country Director for Russia Klaus Rohland signed The Memorandum of Strategic Partnership between Kirov oblast and the World Bank Group. The Memorandum covers areas, which are vital for Kirov oblast economic and social development, including further improvement of the provision of social and health services, municipal development at the level of settlements, public administration and support to the sustainable economic growth of the region.
Kirov oblast being located nearly in the heart of the central Russia has a population of 1.4 million people and the territory, which makes up the one-third of the territory of France. GDP per capita equals to the one-third of the Russia’s average. The poverty level being reduced from 57% in 1999 to 22.2% in 2007 is still one of the highest among the regions of the Volga River basin. Kirov oblast population is decreasing and ageing. Also, the half of population is residing in the scattered small villages located in the famous luxuriant forestry area, which creates a major natural obstacle for the basic social and communal services delivery. 72% of all settlements (more than 3100) have population of less than 50 residents, and 17% of settlements do not have permanent population.
The Memorandum of Strategic Partnership foresees the cooperation to start with the preparation and implementation of the Local Initiative Support Program - an innovative program, which is providing on a competitive basis relatively small grants, which are aimed at improving the quality of social services delivery in the rural settlements by supporting broader engagement of the local communities in development issues. At the same time, the World Bank is planning to conduct a diagnostic review of the regional budget social expenditures, as well as a diagnostic analysis of the social assistance programs: total outlays, coverage, targeting, and impact on poverty. In the future, a joint working program envisages cooperation between Kirov and the Bank on improving the situation with the health care in the oblast.
The World Bank stands ready to assist Kirov oblast and other regional administrations in Russia with finding regionally-tailored solutions to support Russian people.
In the course of the visit, the Bank’s team has conducted intensive consultations with the regional administration on the next steps for setting up an effective joint work between Kirov oblast and the World Bank.
Governor of Kirov oblast Nikita Belikh has indicated his strong support for building cooperation between the oblast and the Bank. He has emphasized the role of the World Bank as a “knowledge bank”, and added that “sharing knowledge and best practice international experiences is sometimes more important, than any direct financial support to the oblast”.
"Improving people’s life often depends on availability of good ideas and ways for their implementation rather than on abundant financing," added Nikita Belikh during his joint press-conference with Klaus Rohland.
Klaus Rohland has also emphazised that at the beginning the program for cooperation with Kirov is going to be focused on social sectors.
"The World Bank stands ready to assist Kirov oblast and other regional administrations in Russia with finding regionally-tailored solutions to support Russian people, including those who are being resided in the remote places, and due to their isolation and more severe economic conditions are striving with more pressure and hardships in their day-to-day life," said Klaus Rohland, the World bank Country Director for Russia. Also, he has indicated that the Bank is looking forward to expand mutually beneficial strategic cooperation beyond the areas, which are highlighted in The Memorandum, including improvement of public administration and energy efficiency.
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