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About 500 new enterprises to be opened in Russia’s Far East until 2020

Russian Far East Development Minister added that 73% of the total volume of attracted investments are not natural resources or raw materials but such areas as agriculture, transport, logistics

MOSCOW, January 9. /TASS/. Up to 500 new enterprises will be opened in Russia’s Far Eastern region until 2020, Russian Far East Development Minister, Alexander Galushka, has said in an interview with Izvestia.

"In a period of slightly more than a year, 1.3 trillion rubles ($21.8 bln) of investments have been attracted to the Far East thanks to the priority development areas, the free port, the Far Eastern Development Fund and support for investment projects. A total of 470 investment projects creating nearly 80,000 new jobs are behind this," the minister said.

"Let me emphasize that these are long-term investments. They will be implemented gradually, until 2025. However, the first 24 new enterprises opened in the Far East in 2016. This year we will be able to see another 75 new enterprises, in 2018 - 118, and in 2019 - 280," he noted.

Galushka added that 73% of the total volume of attracted investments are not natural resources or raw materials but such areas as agriculture, transport, logistics, water resources processing and shipbuilding. Foreign investment amounts to 22% of the total volume. In 2014-2016, 56 billion rubles ($926 mln) were earmarked from federal budget to support investment projects.

"Of course, it is necessary to encourage and support investments, as they play a catalytic role. However, it is important to adopt a systematic approach to the issue to make sure that living standards in the Far East grow, new schools and kindergartens are built, residents receive high-quality medical care and new affordable housing is built. All this should be carried out through the relevant government-sponsored programs," the minister said.

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