MONTHLY INFORMATION DIGEST

ECONOMIC DEVELOPMENT
OF THE FAR EAST
December 2020

KEY TOPICS• Loans with a lower•interest rate for FarEastern SME

Korean corporation tocreate an industrial parkin Russian Far East•

International falconry
centre created inKamchatka ASEZ

EASTERN ECONOMIC FORUM EVENTS
23 December 2020, TASS

Roscongress Foundation and Ministry for the Development of the Russian Far Eastsigned a cooperation agreement
Under this agreement, the parties plan to cooperate in a number of areas. They include investment projects
in the Far Eastern Federal District and Russian Arctic zone, as well as facilitating goals and tasks set by nationalprojects and attracting Russian and international investment to priority projects in Russian regions.
Parties intent to cooperate in promoting Russia’s favourable image and its economic potential overseas,
as well as in creating a conducing environment for business and improving the attractiveness of the country’sbusiness climate.
tass.ru/novosti-partnerov/10331609

11 December 2020, Gazeta.ru

Agreement to create an international falconry centre in Kamchatka ASEZ signed
The centre has the capacity of breeding and housing over 1,000 white morph gyrfalcons annually. Thefacility will have a build-up area of 300 hectares, with over 1,000 hectares allocated for training and competition.
This project includes constructing utilities and transport infrastructure

gazeta.ru/gazeta/adv/13396297

STATE POLICY IN THE FAR EAST
30 December 2020, Parlamentskaya Gazeta

Law on aligning energy tariffs in the Far East signed
Vladimir Putin signed the law that extends the energy tariff alignment mechanism in the Far East until 2028
and gradually takes energy tariffs to a justified level for certain consumer categories. This process will take five

years for consumers financed through the budget and for housing and utilities organizations. It will take three
years for consumers involved in the fuel and energy industry, as well as precious stones and metal mining.
pnp.ru/economics/putin-podpisal-zakon-o-vyravnivanii-energotarifov-na-dalnem-vostoke.html

22 December 2020, Interfax

Prefential loans now offered to Far Eastern SME at 2%
Preferential loans will be easier to get for businesses with investment projects in the Russian Far East.
Russian Government has signed an appropriate decree. “From now on, the minimal cost of an investment project
entitled for money from the Far East and Arctic Development Fund is set at RUB 50 mln. Earlier, it used to be fivetimes higher – RUB 250 mln. We have also made the decision to take the interest rate from 5% down to 2%,
which will make these loans even more accessible,” emphasized Mikhail Mishustin.
tourism.interfax.ru/ru/news/articles/75679/

10 December 2020, TASS

Russian Government expanded a Sakhalin ASEZ
According to Government decree, the ASEZ will get a land plot within Yuzhno-Sakhalinsk for constructing
a logistics facility. It will create at least 90 new jobs and attract over RUB 192 mln of private investment. The
project is planned to be implemented before 2022.
tass.ru/ekonomika/10217725

9 December 2020, Russia Today

Russian Government allocated over RUB 126 mln to provide people affected by the floodin the Jewish Autonomous Region with new housing
Mikhail Mishustin signed an appropriate decree: “A total of RUB 126.7 mlm was allocated to provide
affected people with housing. This amount is based on the cost of one square metre of housing in this region.
Total area of the housing to be purchased with these funds is expected to exceed 1.6 thousand square metres,”announced the official website of the Russian Government.

4 December 2020, Rossiya Segodnya

Russian Government increased payments to medical professional relocating to closed
towns in the Russian Far East and Far North
Mikhail Mishustin signed a decree that will increase immediate compensations for medical professionals
relocating to closed administrative-territorial formations (closed towns) in the Russian Far East and Far North.
“Starting from 2020, medical professionals have been entitled to the following immediate compensations: RUB 1
mln for doctors and RUB 500 thousand for paramedics. New rules have doubled these amounts: up to RUB 2
mln and RUB 1 mln accordingly,” states the decree.
The decree also adds new categories of medical professionals entitled to compensation. Now, midwifes
and nurses employed at paramedical and midwifery stations relocating to closed towns in any Russian region will
get RUB 500 thousand of immediate compensation. Compensation in the Far East will reach RUB 1 million.
ria.ru/20201204/mediki-1587618167.html

ECONOMY OF THE FAR EAST
19 December 2020, Komsomolskaya Pravda

Korean Corporation plans to create an industrial park in Primorye Territory
The Ministry for the Development of the Russian Far East, the Far East Development Corporation and Korea
Land and Housing Corporation signed a cooperation agreement to create the Korean Industrial Park in Primorye
territory. This Korean-Russian industrial park will be located in Nadezhdinskaya ASEZ. This project will create over2 thousand new jobs and provide for investment from Korean companies that intend to obtain the status of residents
in this ASEZ.
dv.kp.ru/online/news/4124630/

6 December 2020, Argumenty i Fakty

5 international companies intend to become residents of a special administrative region
on Russky Island in 2021
“As of today, five more international companies consider redomiciliation. The Far East Development
Corporation has been working with each of them individually. The companies that show the most interest inPrimorye’s special administrative regions are those with their business or assets full or partially located in Siberia andthe Far East, as well as companies that focus on Asia-Pacific markets. This step will help speed up business
management and take down transaction costs,” shared Pavel Sheika, Deputy Director of Resident Policy Departmentof the Far East Development Corporation during the webinar on redomiciliation of international companies.
vl.aif.ru/society/5_inostrannyh_kompaniy_zaydut_na_ostrov_russkiy_v_2021_godu

NEW MECHANISMS FOR THE FARDEVELOPMENT: SUCCESS STORIES

EAST

27 December 2020, TASS

10 residents of Buryatia ASEZ implement projects worth RUB 10 blnZaur Galaev, Director of Investment Project Department at the Far East Investment and Export Agency,
shared plans to attract investment to Buryatia in 2021: “Our portfolio has 10 projects, with RUB 15.4 bln ofprojected investment. As of today, three companies have the status of Buryatia ASEZ resident. They are ready toinvest RUB 2.5 bln in developing Goryachinsk resort, creating a nuclear medicine centre in Ulan-Ude, andconstructing the second stage of the pig farm. In 2021, six more companies can obtain the status of Buryatia
ASEZ resident. They plan projects in medicine, manufacturing, and tourism worth RUB 9.2 total.”tass.ru/ekonomika/7445553

23 December 2020, NOVOSTI.Khabarovsk

Khabarovsk ASEZ resident launched a polymer recycling facility
The new line has the capacity of recycling up to 10,000 tonnes of polymers, including insulating materials andused polystyrol and Styrofoam packaging. Recycled polymer beads will be used for manufacturing high-density XPS
for road construction. The facility will complete the ramp-up by 2024.
dvnovosti.ru/khab/2020/12/23/124401/

21 December 2020, TASS

McDonald’s opened its first restaurants in the Far East
McDonald’s opened its first fast food restaurants in the Far Eastern Federal District, which took involving
employees from other regions and creating 350 new jobs. The company expects to invest over RUB 2 bln in the Far
East development over the next five years. This investment will cover opening new restaurants, personnel training,and developing a supply chain in the Far East.
tass.ru/ekonomika/10307315
ORGANIZER OF THE EASTERN ECONOMIC FORUM