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Foreign economic activity. Reforming the sphere of foreign economic activity in Russia: prerequisites, stages, goals (the most important)

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19. Reforming the sphere of foreign economic activity in Russia: prerequisites, stages, goals

Prerequisites for reforming foreign economic activity:

▪ By the mid-80s, negative aspects of the development of foreign trade were revealed: a backward strategy and commodity structure of exports and imports, a drop in the rate of foreign trade turnover, outdated forms of organizing work in the foreign market, etc.

▪ The underdevelopment of the export structure and dependence on fluctuations in the world market for a narrow group of goods resulted in large foreign exchange losses for Russia due to the deterioration in the terms of world trade and the decline in oil prices in 1984-1989.

▪ Uncompetitiveness of exported mechanical and technical products as a result of alienation of manufacturers from the foreign market, lack of incentives to improve the quality and technical characteristics of products, low level of production technology, lack of the right to dispose of earned currency.

▪ A wide range of imports of chemical products, rolled pipes, ore, fertilizers, equipment for the agro-industrial complex, as well as very inflated volumes of purchases of consumer goods and food, the cessation of the development of many industries and areas of production.

▪ The backwardness of forms and low efficiency of foreign economic cooperation were characterized by an insignificant level of compensation transactions, direct connections, production specialization and cooperation.

Stages of FEA reform:

1. 1986 - 1988 - changing the principles of organizing foreign trade management and its decentralization.

Tasks:

▪ expanding the rights of industry ministries and departments, enterprises, associations and organizations to enter the foreign market, granting manufacturing enterprises the right to independently participate in foreign economic activity;

▪ expanding the number of participants in foreign economic activity through the creation of joint ventures, international associations and organizations, associations for foreign economic cooperation in order to accelerate scientific and technological progress.

2. 1989-1991 - development of foreign economic activity and formation of a system of state regulation in this area, primarily non-tariff. Since April 1989, all producers of goods and services received the right to independently enter the foreign market.

3. Since 1992 the main efforts were aimed at creating a new mechanism for state regulation of foreign economic activity and a stable regulatory framework of the Russian state in the conditions of the formation of a modern foreign economic strategy and its liberalization.

Russia's new foreign economic activity strategy was developed in mid-1992, taking into account internal and external factors: huge external debt, insecurity of foreign assets of developing and underdeveloped countries, and a sharp reduction in foreign trade turnover with Eastern European countries.

The goals of the development of Russia's foreign economic activity:

▪ development of export potential, including improving its structure, increasing competitiveness and increasing the share of high-tech products;

▪ creation of a mechanism for state stimulation of exports and import substitution both at the micro level, through tax incentives for exporters and long-term loans for the development of export production, and at the macro level - through the use of part of the income from export duties and the corresponding mechanism for the distribution of foreign loans and public investments;

▪ formation of a modern production and financial-economic infrastructure for foreign economic activity;

▪ elimination of persistent discrimination against foreign investors and the formation of institutions for insurance against political and economic risk;

▪ rationalization of imports in order to change the structure of the economy and ensure the process of modernization of fixed assets of production, aimed at strengthening the country’s export base (purchase of component equipment and licenses, etc.).

Author: Bobkova O.V.

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