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ECONOMY PART 1

Irkutsk Region is a major industrial area whose production is very important for the economy of Eastern Siberia; certain sectors are of great importance to the Russian economy. In the level of industrial and natural resource development and specialization and concentration of production, Irkutsk Region has surpassed many other regions of Siberia and the Far East. It plays an important role in the national economy as a producer of power, aluminum, various kinds of power and heating equipment, chemicals and petrochemicals, wood products, and engineering products. The region generates 6.5% of all power in Russia, produces nearly 20% of all pulp and more than 10% of all cardboard, and refines about 9% of all oil. It has substantial hydroelectric power resources and huge timber reserves, which provide an excellent base for expanding logging.

The most developed industrial sectors in Irkutsk Region include forestry, woodworking, and pulp and paper (22.0% of production); mining and fuel (6.1%); nonferrous metallurgy (24.2%); power (16.0%), engineering (12.2%); chemicals (8.6%); food (5.9%); and ferrous metallurgy (2.6%). The region's mineral resources are a major factor in industrial development. Industry is concentrated mainly in Irkutsk, Bratsk, Angarsk, Ust-Ilimsk, Usolye-Sibirsky, and a few other cities.

Irkutsk Region belongs to the high-risk agricultural zone. Livestock farming, reindeer herding, fur farming and trapping, fishing, and grain cultivation comprise the region's agricultural industry.

Animal products account for about 46% of all agricultural production. Production is sufficient to meet only about half of regional demand for food; the rest is imported from other regions (about 42% of meat products, 17% of dairy products, and about 55% of bread grain).

ECONOMY

PART 2

The private sector accounts for 96% of all agricultural production. This includes 924 000 tons of potatoes, 740 000 tons of grain, 483 000 tons of milk, 140 000 tons of vegetables, 122 000 tons of meat and poultry, and 510 million eggs. However, agriculture remains in a difficult financial situation, with the accompanying wage arrears. The main lines of activity in the housing and public utilities sector of Irkutsk Region are restructuring of municipal heat and power utilities and implementation of energy-saving measures. Due to outdated management practices and obsolete equipment, the region's government housing policy is currently undergoing reform with the aim of creating a balanced housing market and dividing responsibility among various market participants. Irkustk Region was one of the first Russian regions to use a mortgage loan system to solve the existing problem of providing citizens with housing. This housing system has promoted the development of the banking sector, helped attract extrabudgetary funds to the housing sector, and increased the financially solvent population.

The region has a fairly well developed system of air, water, rail, and motor vehicle transportation. Railways, represented by the Trans-Siberian Railway, are the main form of transportation. Nearly 70 million tons of freight per year are transported by rail. The region also has a fairly extensive road system, with a total length of more than 10 000 km. The Anagara, Lena, and Nizhnyaya Tunguska rivers have favored the development of water transport, which accounts for about 10% of all freight traffic. Air transport is carried out through the Irkutsk and Bratsk airports, which have international status. These airports handle flights to Japan, China, South Korea, Mongolia, and several European countries.

Communication services including document communication and data transfer, cellular communications and the telephone network as well as radio broadcasting points are also available in the region.

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