High salaries were the rule and were partially paid
in the form of foreign currencies.
In addition to employing directly foreign
experts, the Soviet Government concluded agreements
for technical assistance with firms in many
countries. In return for a substantial consideration,
these firms either sold their patents and technical
processes, or agreed to work®out complete plans
and supervise the construction of factories in
Russia.
According to information in our possession,
the total expenditure on foreign labour and
IV. NON-COMMERCIAL TR
(a) Non-CoMMERCIAL CURRENCY REMIT
TANCES. In the beginning of 1923 regular relations
were established between Soviet and foreign banks
as a consequence of which many residents in Europe
and especially in America, who emigrated from
Russia under the old régime were enabled to send
currency remittances in preference to parcels of
commodities to their relations and friends in
Russia. According to the Commissariat of Finance,
such remittances amounted in 1922/23, to 6.8
million roubles ; in 1923/24, to 23 million roubles ;
in 1924/25, to 33.2 million roubles; in 1925/26,
to 32.5 million roubles; in 1926/27, to 33 million
roubles ; in 1927/28, to 30 million roubles. During the
last three years they came to 25-35 million roubles.
In 1930/31, the Soviet Government opened special
shops all over the country where, by means of
foreign currency, transmitted by their absent
relatives and friends, citizens could be provided with
goods. Against this credit item of the balance of
payments is a debit item consisting of private
remittances from Russia abroad. According to a
decree of the Council of Commissars, dated August,
1923, any person residing in Russia was entitled
to remit abroad a sum of not more than 200
roubles per month ; a later decree, dated August,
1926, diminished the sum by half. The amount
remitted in successive years was as follows:
1923/24, 1.4 million roubles; 1924/25, 8.4 million
roubles ; . 1925/26, 15.6 million roubles; 1926/27,
15.4 million roubles. In 1927/28, remittances
substantially decreased, and since 1928/29 they
have been negligible. Private remittances are
at present not merely prohibited, but practically
made impossible, the only exception being those of
foreign specialists living in Soviet Russia.
A
technical assistance amounted to 18 million
roubles in 1929/30, and to 38 million roubles in
1930/31. According to M. Yanovsky, of the
Commissariat of Finance, it was planned to spend
150 million roubles on technical assistance during
the whole Five Years’ period. Lately, the Soviet
Government made every effort to induce foreign,
and more particularly the German specialists,
to accept a reduction of salary, and payment
exclusively in Soviet roubles. But the foreign
specialists are insisting on the strict fulfilment
of their contracts.
NSACTIONS anp SERVICES.
(b) Tourists’ EXPENDITURES. Until 1927/28,
50-75%, of all Russians visiting foreign countries
consisted of private individuals travelling for
personal reasons. Subsequently, in order to reduce
currency expenditure abroad, the Soviet Government
made it practically impossible, with rare
2xceptions, for any private person to travel abroad,
and at the same time strictly limited the visits of
scientists, artists, etc. At present most Russians
proceeding abroad are state officials, young students
sent to gain experience in workshops and laboratories,
and groups of workers whose labours for the
Five Year Plan, the State rewards by paying their
expenses on a tour abroad.
On the other hand, foreign tourists start to
contribute, though on a moderate scale, to the
currency income of the U.S.S.R. A special
organisation, known as Imfourist, was set up and
placed in control of the whole tourist industry.
It was estimated that 22,000 foreigners would
visit Soviet Russia during the year 1930/31. But
according to Vmeshnaya Torgoviya the Intourist
isnot able to accommodate more than 11,000 visitors.
(¢) OTHER NON-COMMERCIAL TRANSACTIONS.
We have been unable to ascertain the expenditures
of the diplomatic and other political representatives
of the U.S.S.R. abroad, apart from those who are
included in the staff of the trade missions and
agencies as well as to estimate the amount of money
which the Soviet Government spends on political
propaganda abroad, particularly in connection
with the activities of the Third International. From
the aspect of the balance of payments of the
U.S.S.R., this item cannot be regarded as considerable
in; the last few years, as in all probability,
part of these expenses have already figured in
werhead and administrative charges.