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Arctic zone’s new residents plan to invest $7.5 million in Arkhangelsk region’s economy

The region offers tax incentives: for the first five years from the first profit, a company will pay the profit tax of 5%, for the following five years — of 10%

ARKHANGELSK, August 3. /TASS/. Four new residents of the Russian Arctic zone will invest more than 550 million rubles ($7.5 million) in the Arkhangelsk Region’s economy. The companies work in the sectors of tourism, housing construction, forest industry equipment, and recycling, the regional press service said on Monday.

"The new residents plan to build a rescue-recreational complex with a beach, to produce equipment for wood transportation, to build a nine-storey house in Severodvinsk, and to process car tires and other materials," the press service said. "Investments in those four projects will make more than 550 million rubles."

The companies are registered in Arkhangelsk and Severodvinsk. They will offer at least 126 jobs, the press service added.

The Arkhangelsk Region reports 47 residents of the Arctic Zone. They plan to invest in the regional economy 22.8 billion rubles ($313 million) and to offer 1,482 jobs. The regional authorities have consulted more than 340 businesses, that eye applying for the residential status.

The region offers tax incentives: for the first five years from the first profit, a company will pay the profit tax of 5%, for the following five years — of 10%. The property tax is 0.1% for the first five years and 1.1% for the following five years.