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October 21st, 2009
Russian President Dmitry Medvedev on Wednesday said the state should lessen its economic role, warning state corporations set up by his predecessor Vladimir Putin could ultimately cease to exist.
"I believe that we at some point have let the creation of state corporations out of control," Medvedev told a meeting of leading tycoons at the Kremlin.
"This does not mean that they should be shut down," he said, suggesting instead that they should be transformed into joint-stock companies.
Joint-stock companies in Russia are divided between open joint-stock companies whose shares may be publicly traded and closed joint-stock companies whose shares are distributed among a limited number of shareholders.
Under ex-president Vladimir Putin, now the prime minister, the government created a series of state champions to spur growth in sectors such as car making, civil aviation, nanotechnology, the nuclear industry and arms building.
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