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President Dmitry Medvedev of the Russian Federation speaks at the St Petersburg International Economic Forum
New technologies will be key in overcoming the economic crisis  
 
President Dmitry A. Medvedev of the Russian Federation at the forum with ITU Secretary-General Hamadoun I. Touré
President Dmitry A. Medvedev of the Russian Federation at the forum with ITU Secretary-General Hamadoun I. Touré
Photo credit: ITU/V.Strelets

Responding to the financial crisis that is affecting countries around the world requires their concerted effort and the adoption of new approaches and technologies. That was the message of President Dmitry A. Medvedev of the Russian Federation at the St Petersburg International Economic Forum, held on 4–6 June 2009 in one of the country’s most historic cities.

The President was addressing a plenary meeting on The global economic crisis: first lessons and leading the way forward. “Noone has managed to avoid being caught up in the global crisis. Modern communications and financial technologies enabled the crisis to spread incredibly fast and affect all countries. Only Antarctica is probably still an oasis of stability,” Mr Medvedev said. “The conclusion is obvious,” he continued. “The only way we can overcome this crisis is by working together. To be successful in addressing the problems before us, we need to have an intensive exchange of information and ensure a high level of coordination in our work”. He went on to say that “those whose job it was to forecast events and facilitate this coordination were not ready for the depth of the crisis and turned out to be too rigid, unwieldy and slow in their response”.

“ No-one has managed to avoid being caught up in the global crisis. Modern communications and financial technologies enabled the crisis to spread incredibly fast and affect all countries. Only Antarctica is probably still an oasis of stability. ”

President Dmitry A. Medvedev of the Russian Federation

The President noted that despite these conditions, “we have managed to avoid a worst-case scenario because different countries and governments have shown a willingness to cooperate more closely than in the past; indeed, perhaps work together more closely than at any other time in the whole of economic history”. The G20 group of economies has already met twice to address these issues, Mr Medvedev said, and although they “have not reached the point of complete agreement and specific common decisions... clear progress has been made”. For example, institutions such as the Financial Stability Board have been established that make it possible to engage in open dialogue and take into consideration all participants’ interests to arrive at mutually advantageous solutions.

Outlining his country’s longterm development strategy, known as the “Four I’s” (institutions, infrastructure, innovation, and investment), the President reminded participants what he had said at the forum a year before. Another word beginning with “I” needs to be added: intelligence. “Our goal now is to form an intelligent, ‘smart’ economy, and a corresponding intelligent and smart society,” he said. As well as fostering entrepreneurial skills, this means supporting companies that adopt modern technologies and energy-efficiency measures. “Today, we are thinking about more than just getting out of the crisis as quickly as possible. We must get out of the crisis with a renewed and stronger economy,” he stressed. “The current crisis will most certainly reshape the world. And the new models that will emerge over the coming years will have to go through the test of time and prove their effectiveness,” the President concluded.

“ The financial crisis will challenge many businesses. But it will also give birth to new institutions, revitalize communications, and enable new entrants, new business models, and new technologies to emerge. ”

Dr Hamadoun I. Touré, ITU Secretary-General

ITU Secretary-General addresses the forum

These sentiments were echoed by ITU Secretary-General Hamadoun I. Touré, who attended the Forum at the invitation of the Russian Federation’s Ministry for Economic Development. In a session on The power of Innovation: when tomorrow begins, Dr Touré spoke about the important role of information and communication technologies (ICT) in helping to overcome the economic crisis, and why cybersecurity has become essential in the information society.

ICT are a driving force for economic growth at the global level, with more than 4 billion mobile phone subscriptions, and over 1.6 billion Internet users worldwide today. “Underpinning the massive growth of the Internet are next-generation networks (NGN),” Dr Touré commented. He added that NGN are already beginning to replace the traditional circuit-switched networks that have served as the basis of telephony for more than a century. ITU is leading this transition with its NGN Global Standards Initiative — one of the largest, most wide-ranging standardization projects ever undertaken.

“The financial crisis will challenge many businesses. But it will also give birth to new institutions, revitalize communications, and enable new entrants, new business models, and new technologies to emerge,” Dr Touré noted. He underlined that investment in ICT infrastructure brings direct benefits in increased employment today, as well as increased social and economic prosperity tomorrow. New communication, transmission and data storage technologies are also bringing sizeable and important productivity gains to other economic sectors.

 
Dr Touré at the forum with Igor Shegolev, the Russian Federation’s Minister
of Telecommunications and Mass Communications
Dr Touré at the forum with Igor Shegolev, the Russian Federation’s Minister of Telecommunications and Mass Communications.
Photo credit: ITU/V.Strelets

Highlighting these trends, Dr Touré said he was tremendously encouraged to see a fresh commitment — fuelled at least in part by the current crisis — to the rolling out of new, fast, broadband network infrastructure in many countries around the world. These networks will be crucial in delivering affordable access to broadband Internet services, and there is impressive cooperation between the public and private sectors in financing their construction. Dr Touré stressed the importance of creating the right kind of environment for business to fl ourish. “And we are very lucky, in the ICT industry, to have, as our greatest natural resource, a resource that will never run out: human brainpower.”

The Internet is “an increasingly critical platform” for business and the delivery of services ranging from personal communication and entertainment, to education and health, said the Secretary-General. However, he added, “the very tool that is bringing us a host of exciting and empowering new services is also bringing with it a special set of risks which are compromising the safety and integrity of the Internet.” That is why ITU took the step of launching the Global Cybersecurity Agenda, which involves international cooperation to combat these threats. Such cooperation is also “absolutely crucial” to developing ICT and helping to overcome the economic crisis, Dr Touré said. He drew attention to an ITU event that will promote such cooperation on ICT in the Commonwealth of Independent States (CIS): the Connect CIS Summit, scheduled for 26–27 November 2009 in Minsk, Belarus.

On 6 June, Dr Touré enjoyed a tour of the Museum of Communications in St Petersburg, one of the world’s oldest museums of science and technology and which is named after Russian scientist and radio pioneer Alexander S. Popov. The Secretary-General then visited the St Petersburg State University of Telecommunications, where the rector, Professor Alexander A. Gogol, explained its work on developing 3-D television. He and Dr Touré also discussed cooperation between the university and ITU and the possibility of providing training for personnel from developing countries.

 

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