The Straits Times
Published on Dec 12, 2012

Putin orders end to 'offshore-isation' of Russian economy


MOSCOW (AFP) - Russian President Vladimir Putin on Wednesday denounced companies with offshore jurisdiction and ordered the government to end the "offshore-isation" of the Russian economy.

"The offshore character of the Russian economy has become legend," Putin said in his annual state of the nation address, the first since he was sworn in in May.

"Nine out of 10 agreements made by big Russian companies, including companies with state capital, are not regulated by Russian laws." "We need a whole system of measures to deoffshore-ise Russia's economy," he said, ordering the government to look into the issue.

"We need to strive for transparency of the offshores, for making tax information open," Putin said, adding that Russian laws should be made more friendly to businessmen.