Young and Smart: The City of the Future in the Far East

2 September 2021

Young and Smart: The City of the Future in the Far East

CONCLUSIONS

A good urban environment is the heart of the fight for preserving human capital

- “Aside from economic issues, of course, you must also create an environment. Environment in a global sense. That is why Russian President Vladimir Putin prioritized this (Housing and Urban Environment - Ed.) national project <...>. We need public spaces, business centres, and social infrastructure,” Vitaly Mutko, Chief Executive Officer, DOM.RF.

- “Our objective is to have young and intelligent people live in the cities that we have today and to transform those cities into cities of the future,” Nikita Stasishin, Deputy Minister of Construction, Housing and Utilities of the Russian Federation.

- “Many people say that they want to move to Moscow and St. Petersburg. <....> All of the changes that leaders should now be implementing must be aimed at having people stay and grow in their own cities,” Alexander Tarabrin, Head of Real Estate Project Management and Asset Management Unit – Member of the Board, VEB.RF.

The mega agglomeration trend is passing, especially after the pandemic

- “Small cities can also be high-quality environments, if they are well-planned and integrated into the surrounding environment, into nature,” Alexey Chekunkov, Minister of the Russian Federation for the Development of the Far East and the Arctic.

Big data analysis aids in the development of urban infrastructure

- “Big data allows us to more accurately plan infrastructure. <...> If we take, for example, Yaroslavl, our data have shown that the influx of tourists to the region is three times larger than official data would indicate,” Igor Egorov, Member of the Management Board, Vice President for Infrastructure Development, MTS PJSC.

PROBLEMS

Access to housing in the Russian Far East is lower than the national average

- “The current rates of housing construction in the Russian Far East is currently lower than the Russian national average, access to housing is lower than the national average, pricewise – on the level of the Russian national average <...> 47% of residents will never buy housing, even if we were to offer them a subzero mortgage – they wouldn't have the means,” Vitaly Mutko, Chief Executive Officer, DOM.RF.

Lack of systemic urban development

- “A mayor comes in and says, ‘everything that was done before me gets thrown out,’ deferring to public opinion. <...> We continue to develop things, they shelve everything. And then new mayors come along and start developing things from the ground up all over again,” Vitaly Mutko, Chief Executive Officer, DOM.RF.

SOLUTIONS

Construction of rental housing and subsidized mortgages in the Russian Far East

- “We have reached out to every governor in the Far Eastern Federal District and the Ministry for the Development of the Far East and Arctic and proposed developing a socially subsidized mortgage,” Vitaly Mutko, Chief Executive Officer, DOM.RF.

- “In each regional capital in the Russian Far East, and maybe even in many major cities, we hope to create neighborhoods, provisionally called Far Eastern Quarters, offering people modern and high quality housing at below market rates,” Alexey Chekunkov, Minister of the Russian Federation for the Development of the Far East and the Arctic.

Transitioning to comprehensive urban development and increasing administration quality

- “We must also turn to administrative solutions that will allow us to more accurately understand where a city is heading,” Maxim Dankin, Deputy Director for Regional Development, Information and Analytical Center of the State Commission for Arctic Development.

For more information, visit the Roscongress Foundation's Information and Analytical System at www.roscongress.org/en.

Young and Smart: The City of the Future in the Far East

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