The necessity for a radical change in Russia’s economic development has become evident in recent years. President Medvedev has responded by formulating principles of economic development and outlining the industrial priorities of the state. However, the success of Russia’s effort to modernize depends on real cooperation between government and society in taking concrete actions that can facilitate technological breakthrough.

For the first time in recent history, Russia is making a serious attempt to drop the use of invocations and declarations while speaking about the innovative renewal of the Russian economy. Instead, action has been taken by formulating a plan of priorities and the basics of a long-term policy. Russia’s modernization plan has two major components: a) seeding innovation and technological breakthroughs inside the country, and b) importing technology and equipment more efficiently for use in the real sector of the economy.

Of course, the modernization of Russia cannot be limited to these two components. The success of the project will depend on engaging the leaders of all parts of Russian society in the process of developing innovative changes. This means that meaningful cooperation between the state, business, and society is very important. That, in turn, requires an open, honest, and ongoing dialog between government leaders and the private sector to develop a plan of joint actions.

A year after the Russian government’s anti-crisis plan was drafted, and after implementing much of that plan, the macroeconomic indicators provide reason for cautious optimism. Now is the time to design an innovative breakthrough.

I think the more we consider these topics in light of the government’s program, the more likely the Russian people will be able to succeed in taking concrete steps toward building an economy for the 21st century.

View a previously written post by Mouli Cohen about innovation