Another hundred companies of the Lugansk People’s Republic plan to become Free Economic Zone participants, said LPR Head Leonid Pasechnik.
“The region plans to implement 16 investment projects worth over 20 billion rubles,” Pasechnik wrote on Telegram. “Most importantly, more than 1,200 new jobs will be created.”
The Office for Investments led by First Deputy Prime Minister Andrey Belousov recently discussed the measures to develop the regional investment standard, and the assessment of this work in each Russian region, the LPR leader said.
The LPR needs it for quality project support, which will help to boost production capacities and stimulate businesses and private capital flows. The Republic is already working with the Russian Economic Development Ministry towards estalbishing a development agency. These specialized bodies already operate in other regions of the country, Pasechnik said.
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The Free Economic Zone law adopted in June sets a favorable business climate in the new Russian territories. FEZ companies are exempt from paying property tax for a period of ten years and land tax for three years. They also enjoy lower insurance fee rates. The Free Economic zone will function until January 31, 2050.*i
