PRESS: Ministry to suggest cheap mortgage for public officials

MOSCOW, Mar 27 (PRIME) -- The Finance Ministry plans to suggest that the Russian government introduce a cheap mortgage program to the federal public officials, RBC business newswire reported on Monday quoting the ministry’s annual report for 2022 and plans for 2023.

The ministry is going to prepare “suggestions on implementation of an experiment on introduction into the public service of a mortgage system for provision of housing to the public officials with the use of the federal budget money,” RBC reported.

The system should motivate public officials for long-term and efficient work, the newswire reported.

A federal official confirmed the plans and said that it included a subsidized mortgage loan mechanism that should subsidize the interest rate instead of providing a one-time subsidy like the current programs for public officials.

According to the Federal State Statistics Service, Russia had around 391,000 federal officials as of the end of 2021. The average monthly wage of federal officials in the central administrative headquarters amounted to 175,000 rubles per month and in the regional administrative offices to 60,000 rubles per month.

Budget spending on the current housing programs for the federal officials should reach 2.84 billion rubles per year in 2023–2025.

(76.4479 rubles – U.S. $1)

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