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Russian govt to support Krasnodar businessmen affected by recent floods

August 03, 2012, 5:57 UTC+3
The most important current task, in his words, is to resume normal trade and market mechanisms
1 pages in this article
Photo EPA/ITAR-TASS

Photo EPA/ITAR-TASS

MOSCOW, August 3 (Itar-Tass) —— The Russian government plans to offer help to businessmen in the southern Krasnodar Territory whose businesses were ruined or damaged by a recent flood, Minister of Economic Development Andrei Belousov said on Thursday.

According to the minister, under the presidential decree, the total sum of subsidies amounts to 470 million roubles. “As of now, the figure is even bigger thanks to additional funds allocated by the Krasnodar Territory. Now it is 487 million roubles,” he said.

The most important current task, in his words, is to resume normal trade and market mechanisms. “Businessmen will be offered two types of support: free grants to buy fixed assets, raw materials, equipment and repair their real estate and movables; and compensation for expenses on leasing contracts,” the minister noted.

The maximum free grant is up to 300,000 roubles per one beneficiary. “As of today, a total of 1,532 people have applied for support,” he said and added that the businessmen will have to report about the use of these sums. “The subsidy is not a damage repayment, it is a financial aid to help businessmen resume their work,” he stressed.

Subsidies on leasing contracts will not exceed one million roubles per person and up to 50 percent of the contract sum. “It is vital for those who lost their vehicles, refrigerating or other expensive equipment in the flood,” Belousov noted.

He also said that a businessman may apply for both types of aid. The only document needed for that is a passport.

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