On Sunday Russian President Vladimir Putin had a working meeting in the Kremlin with Magomedali Magomedov, head of the Republic of Daghestan in the North Caucasus. The Russian leader asked him about the situation in the North Caucasian region and its economic development.
The situation, including economic, is stable, the Daghestani leader said. In the past ten months the growth in all sectors was from 5 to 25 percent as compared with the same period of the last year. Nevertheless, "despite the good rate of development, the region is failing to level out the economic setup".
In comparison with other regions, the situation in Daghestan is worse as regards wages and per-capita incomes. He asked Putin to issue instructions to the economic bloc of the federal government for paying more attention to Daghestan.
Another serious problem of Daghestan is, according to Magomedov, the budget-earners' wages increase. "We don't have enough funds to pay higher wages and the sums for it are not provided for in the next year's budget", said the Daghestani head.
One more problem is that the housing and utilities sector of the Daghestani capital Makhachkala is not coping with the growth of its population, he said. The municipal economy is designed for a population of 100,000 to 150,000 people, while now Makhachkala is home for half a million people.
Other problems, such as the development of the transport and port infrastructures, were in discussion at the Kremlin meeting.