FAR EAST TO ANNUALLY RECEIVE RUB 466 BLN FOR DEVELOPMENT
16 August 2016
Dmitry Medvedev has approved a new version of the state programme Socioeconomic Development of the Far East and Baikal Region for the Period until 2025, the Ministry for the Development of the Russian Far East said in a press release.
The new version of the state programme provides updates to its goals and objectives and also adjusts the indicators and anticipated results from its implementation. The state programme defines the main focuses for the rapid development of the Far East and takes into account earlier work and new mechanisms for the development of the macro-region such as priority development areas, the Free Port of Vladivostok, infrastructural support to major investment projects and preferential financing from the Far East Development Fund. The state programme entails an increase in federal budget funding to RUB 466.52 billion in 2016–2025.
“The state programme should become a comprehensive management tool that aims to improve the level of the Far East’s socioeconomic development. This also includes attracting domestic and foreign investment, the realisation of the macro-region’s human resource potential and the creation of new high-tech jobs above all for the residents of the Far East themselves. This is all being done so that people want to live and work in the Far East”, Minister for the Development of the Russian Far East Alexander Galushka said.
The state programme provides for measures to establish priority socioeconomic development areas, provide infrastructural support for investment projects, develop free ports and improve the investment appeal of the Far East.
The programme is expected to produce the following results:
• 21 priority development areas will be established. Private investments by residents will amount to RUB 1.545 trillion.
• 55 investment projects will receive government support, 30 of them will reach their design capacity by 2025 and private investments will amount to RUB 1.117 trillion.
• 10 new investment projects will be launched with the participation of the Far East Development Fund.
• 103,300 new jobs will be created in the Far East.
A plan has also been approved to implement the state programme to achieve the goals for the socioeconomic development of the Far East and also to improve statutory and legal regulation measures that aim to attract new investments.
The boost to the region’s socioeconomic sector is expected to result in growth in the size of the permanent population of the Far East and Baikal region from 10.7 million to 11.2 million people, including from 6.2 million to 6.5 million people in the Far East. Annual revenue to the budget at all levels as a result of taxes, fees and other mandatory payments from the Far East and Baikal region will grow from RUB 797 billion in 2014 to RUB 2.276 trillion in 2025, including from RUB 559.8 billion to RUB 1.597 trillion in the Far East.