Russia extended the program of concessional lending for imported products

The Government of the Russian Federation until the end of October next year extended the program of preferential lending for the purchase of priority imported products, reported on the cabinet website. A decree to this effect was signed earlier this week by Prime Minister Mikhail Mishustin.

“We are talking about issuing preferential loans to importers at a rate of no more than 30% of the key rate of the Central Bank plus three percentage points. In current conditions, this is a little more than 5%. The difference is compensated to banks by subsidies from the federal budget,” the Cabinet explained.

As noted, 15.4 billion rubles are provided for compensation in 2023, and another year later, 19.5 billion rubles will be allocated for these purposes.

It is noted that the duration of preferential loans will depend on the purpose of the loan. So, for the purchase of raw materials and components, the preferential rate is valid for one year, and for equipment and means of production – three years.

Preferential conditions apply to the purchase of imported medicines, food, pharmaceutical products, vehicles, building materials, machine tools, agricultural machinery and electronics. Funds can also be used to pay for design and commissioning, VAT and customs duties.

In May, the government allocated more than 37 billion rubles. for the program of concessional lending for the purchase of priority imported products. It was reported that the support will help enterprises reduce operating costs and arrange the supply of all necessary goods and resources. In October, the Cabinet expanded the use of soft loans for the purchase of imported goods.