In response to press reports and inquiries, X5 confirms it recently sent a letter to the Russian government on suggested measures for strengthening the retail sector and stimulating economic activity.  Building on state programs introduced in December 2008 to mitigate the consequences of the financial crisis, X5’s letter asks the government to consider additional policies to promote investment and facilitate business.

Suggested measures include tax reforms and incentives as well as streamlining of administrative and legal processes for the industry and its suppliers.  In addition, X5 asked the government to consider economic stimulus aimed at strategic investments by larger retailers.  This would support new stores and logistical infrastructure in the regions, help stabilize suppliers, producers and retailers affected by the crisis, and provide economic opportunity and employment in local communities.