MONTHLY NEWS DIGEST

ECONOMIC DEVELOPMENT OF
THE FAR EAST
December 2019

KEY THEMES• Russia and China• VTB issues first Far• Amur Region governor

launch new gas pipeline

East mortgage loans

calls 2019 historic forregion

EASTERN ECONOMIC FORUM NEWS12 December 2019, TASS

Government commission approves construction of bridge to Elena Island in Primorye
The bridge to Yelena Island will become one of the most important components of the Vladivostok
Ring Road (VKAD), which will connect the city’s central district and the Egersheld area, where thecommercial sea port is located, to Russky Island.
The final decision on the construction of the Vladivostok Ring Road was announced at the 5thEastern Economic Forum, where the Far East Investment and Export Agency and Avtodor-Invest signed
an agreement.
https://tass.ru/ekonomika/7334385
13 December 2019, Kp.ru

Far Eastern designers present their collections at Vostok Fashion Day
The event was organized by the Roscongress Foundation as part of the Days of the Far East inMoscow Festival, which was held on 2–14 December. The best Far Eastern collections were presented
at the Hyundai Motorstudio innovative multi-format brand space.
Vostok Fashion Day was a follow-up to a show presented by Far Eastern designers at the Eastern
Economic Forum in Vladivostok in September 2019. The Far East fashion show Fashion Forpost washeld at Far Eastern Federal University as part of the cultural programme during the Forum.
https://www.kp.ru/daily/27068.7/4136825/

MONTHLY NEWS DIGEST

ECONOMIC DEVELOPMENT OF THE FAR EAST
30 December 2019

Roscongress Insider analytical digest presents EEF 2019 results
The publication primarily focuses on expanding economic horizons, international cooperation, andthe social sector as well as key problems in these areas and the most effective ways to solve them.
These issues are traditionally addressed within the Eastern Economic Forum’s business programme.
Prominent government officials, representatives of the federal authorities, heads of Russian
regions, leading economists, representatives of the business community, and opinion leaders serve as
experts who evaluate the results of the Eastern Economic Forum in the digest.
Roscongress Insider is a Roscongress Foundation project that recaps the major results of thecountry’s largest business events.
https://roscongress.org/en/news/roscongress-insider-releases-analytical-digest-with-eef-2019-results/

STATE POLICY IN THE FAR EAST
18 December 2019, TASS

Russian Ministry of Energy to present options for Baimsky Mining and Processing Plant
to connect to major Baimka copper and gold deposits in Chukotka
This announcement was made by Minister for the Development of the Russian Far East Alexander
Kozlov following a meeting of the Presidium of the State Commission for the Development of the Arcticin Murmansk. The Chukotka authorities expect the launch of the Baimka gold and copper deposit todouble the gross regional product.
In October, Deputy Prime Minister and Russian Presidential Envoy to the Far Eastern Federal
District Yury Trutnev instructed the Ministry of Energy and RusHydro to come up with mechanisms forthe power connection of the Baimka ore zone, which would allow it to be developed as efficiently as
possible with minimal investments from the budget.
https://tass.ru/ekonomika/7366079
16 December 2019, Kp.ru

VTB issues first Far East mortgage loans
VTB has been the first market leader to start working under the new state subsidy programme forresidents of the Far East starting from 16 December. On the first day, the bank signed three loan
agreements and accepted over 300 applications as part of the programme. The interest rate under thenew programme is only 2% and the loan term is up to 20 years. The maximum possible loan amount is
RUB 6 million with a minimum down payment of 20% of the value of the property.
https://www.chel.kp.ru/online/news/3706772/
10 December 2019, Vzglyad.Ru

Amur Region governor calls 2019 historic for region
Amur Region Governor Vasily Orlov highlighted the most important events of the outgoing year forthe Amur Region, including the completion of the construction of a bridge to China, the launch of thePower of Siberia gas pipeline, and the start of construction on the second stage of the Vostochny
Cosmodrome, the Amur Gas Chemical Plant, a cross-border cableway, and a new runway.
He also noted the importance of the decision to build the Skovorodinsky Methanol Plant and thefirst launch of a satellite assembled in the Amur Region from the Vostochny Cosmodrome.
https://vz.ru/news/2019/12/10/1012923.html
4 December 2019, TASSFirst RUB 300 million allocated to Vladivostok as Primorye Territory capital
The city became the administrative centre of the region at a session of the regional parliament inlate November, which will allow Vladivostok to receive additional funding from the regional budget for theperformance of functions as a regional capital.
The Primorye administration will be transformed into a government by the end of this year and will
work in its new form starting from 2020.
https://tass.ru/v-strane/7258995

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MONTHLY NEWS DIGEST

ECONOMIC DEVELOPMENT OF THE FAR EASTFAR EAST ECONOMY
20 December 2019, TASS

More foreign liners and a route through Russia: How cruise tourism is developing in the Far
Eastern Federal District
The Primorye Territory has set a record for the number of visits by foreign liners over the last threeyears, Sakhalin has received three large foreign vessels, Kamchatka is organizing expeditions along theNorthern Sea Route, and the Magadan Region is building infrastructure for tourists in Nagaev Bay.
At the same time, the regions are developing the concept of a Far Eastern cruise line that is expected
to take the industry to a new level.
https://tass.ru/obschestvo/7388323
20 December 2019, TASS

Nikkei: Japanese companies intend to take part in construction of Far East LNG Plant
A consortium of several Japanese companies intends to take part in the construction of the Far
East LNG Plant, which will be implemented as part of the Sakhalin-1 project.
The consortium will include Marubeni Itochu, Japan Petroleum Exploration, and the Ministry ofEconomy, Trade and Industry of Japan. Their final investment decision may be taken in 2021. The plantis expected to produce 35,000 square metres of OSB boards, formwork, and plywood.
https://tass.ru/ekonomika/7390817
6 December 2019, Kp.ru

Far East using salaries and social infrastructure to attract specialists
Russia’s Far East has been rapidly developing in recent years. More than 2,000 investment projects
are currently being implemented, including 276 that are already up and running.
Almost RUB 800 billion of investments have been invested in the region’s economy. Modern
enterprises are emerging in the region, jobs are being created, and unique proposals for attracting
specialists are being developed thanks to the new economic regimes offered in the region. The Agency
for the Development of Human Capital in the Far East is helping people find jobs.
https://www.kp.ru/daily/27065.7/4133233/
19 December 2019, Rossiyskaya Gazeta

Japanese doctors teaching Far Easterners to take better care of their healthJapanese businesses are eagerly utilizing the preferential regimes and development tools thathave been developed for the Far Eastern Federal District to invest in the economy of the Russian region.
For example, the medical centre JGC Hokuto Medservice LLC, which was founded by JGC
Corporation and Hokuto Social Medical Corporation, has the status of a resident of the Free Port ofVladivostok.
The establishment of a Japanese rehabilitation centre in Primorye for patients in the recovery stage
from strokes and injuries was discussed at the Eastern Economic Forum in 2016. In December of thesame year, a Russian delegation led by President Vladimir Putin discussed this prospect in Tokyo as
part of an official visit.
https://rg.ru/2019/12/18/reg-dfo/iaponskie-vrachi-nauchat-rossiian-berezhnee-otnositsia-k-svoemu-zdoroviu.html

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MONTHLY NEWS DIGEST

ECONOMIC DEVELOPMENT OF THE FAR EAST

NEW MECHANISMS FOR THE DEVELOPMENT OF
THE FAR EAST: SUCCESS STORIES
2 December 2019, RIA Novosti

Russia and China launching new gas pipeline
Moscow and Beijing are launching the Power of Siberia pipeline, which will pump 38 billion cubic
metres of gas each year from Russia’s Kovykta and Chayandinskoye fields to the Chinese city of Heihe.
The Power of Siberia project is key to Russia’s new gas policy. Whereas Europe was previously
considered as the main sales market, more and more attention is now being paid to Asia, particularly toChina. This not only makes it possible to generate substantial profits, but to also actively develop Siberian
deposits.
https://ria.ru/20191202/1561739426.html
10 December 2019, TASS

Rosa Khutor planning to commission first parts of Three Volcanoes Recreation Park inKamchatka in 2025
A resort with 17 km of ski slopes and two cable cars is slated to be built near Goryachaya hill.
The Kamchatka government, the Ministry for the Development of the Far East and the Arctic, theFederal Tourism Agency, and an investment company signed an agreement to build a world-class resort
around the volcanoes of Kamchatka on 4 September at the Eastern Economic Forum in 2019.
https://tass.ru/ekonomika/7306721
17 December 2019, Kp.ru

Star of the Far East Prize awarded to region’s best employers, investors, Far Eastern Hectare
recipients, and Khabarovsk International Airport
Russian Deputy Prime Minister and Presidential Envoy to the Far Eastern Federal District Yury
Trutnev presented awards to the winners of the Star of the Far East public business award, which has
been handed out for two years as part of the Days of the Far East in Moscow Festival to show that theregion is a "territory of growth". Forty-eight people have won the award over this time. This year, prizes
in 11 categories were awarded to journalists, volunteers, media representatives, businessmen, andparticipants in the Far Eastern Hectare programme.
The winner of the Territorial Development nomination was Khabarovsk Airport at which President
Vladimir Putin officially opened a new terminal in September during the fifth EEF.
https://www.dv.kp.ru/daily/27068/4138153/

The Roscongress Foundation is a socially oriented non-financial development institution and a major organizer ofinternational conventions, exhibitions, and public events.
The Foundation was established in 2007 with the aim of facilitating the development of Russia’s economic potential,
promoting its national interests, and strengthening the country’s image. One of the roles of the Foundation is to comprehensively
evaluate, analyse, and cover issues on the Russian and global economic agendas. It also offers administrative services, provides
promotional support for business projects and attracting investment, and helps foster social entrepreneurship and charitable
initiatives.
Each year, the Foundation’s events draw participants from 208 countries and territories, with more than 15,000 media
representatives working on-site at Roscongress’ various venues. The Foundation benefits from analytical and professional
expertise provided by 2,500 people working in Russia and abroad. In addition, it works in close cooperation with 118 economic
partners; industrialists’ and entrepreneurs’ unions; and financial, trade, and business associations from 69 countries worldwide.
roscongress.org

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