Russia may use special invest contracts in projs with Saudi Arabia

RIYADH, Nov 2 (PRIME) -- Russia may use the mechanism of special investment contracts for large joint industrial projects with Saudi Arabia, Deputy Industry and Trade Minister Vasily Osmakov said on Thursday during a meeting of an intergovernmental commission of the two countries.

“We will use all the instruments to support exporters and importers to develop our bilateral cooperation in the industrial sphere, mechanisms ranging from the Russian Export Center to the fund for development ofindustry. We may study the use of mechanism of special investment contracts to support large investment projects,” he said.

Russia launched the mechanism in 2015. After approval of a contract by a ministry’s panel, the company signs a 10-year deal with the government or a region, but the investor has to confirm liabilities to invest at least 750 million rubles in the project. The government guarantees exemption from taxes and preferences that worsen conditions of the contract until it expires.

(58.1557 rubles – U.S. $1)

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