In the Far East and the Arctic, under the management of the Far East and Arctic Development Corporation (FEDC), unique mechanisms of state support for business are in place, creating comfortable conditions for entrepreneurs. These are the territories of advanced development (ASEZ), the Free Port of Vladivostok (FPV), the Kuril Islands of the Russian Federation (KIRF), and the Arctic Zone of the Russian Federation (AZRF). FEDC specialists provide businesses with comprehensive support at all stages of project implementation: from filing an application for resident status and project packaging to promoting products and services and attracting personnel to new enterprises.
"Unique conditions have been created for business in the Far East and the Arctic. Investors are attracted by some of the best tax incentives, the opportunity to obtain land and infrastructure support. Residents can also count on expedited administrative procedures, simplified rules for paperwork and access to specialized services for business. The FEDC comprehensively supports each resident’s project in a single-window mode; this work is aimed at the successful implementation of each business initiative declared by the investor, assistance and support with the supply of raw materials, product sales, recruitment of personnel, building cooperation ties and attracting financing for further development at the operational stage.
The fine-tuning and development of preferential regimes to increase their attractiveness among investors is ongoing permanently. We monitor the demand and convenience of using government support measures, and together with businesses we determine the necessary actions to improve the conditions for doing business," said Sergey Skaly, Deputy Director General for Investment Project Support at the Far East and Arctic Development Corporation.
Among the examples, he cited the introduction in 2024 of amendments to Article 427 of Part Two of the Tax Code of the Russian Federation in order to improve the mechanism for applying reduced rates of insurance premiums by residents of ASEZ and FPV that received the corresponding status before January 1, 2023. The new law allows for a suspension for up to 3 years of the application of reduced rates of insurance premiums from 30% to 7.6%. For residents of ASEZ and FPV, the benefit is valid for 10 years; its application is most beneficial at the stage of putting a new project into operation, when a significant number of jobs have already been created.