Bashkiria Government will direct unprecedented funds to support regional economy

The Head of Bashkortostan Radiy Khabirov presented a plan to support the economy of the republic. According to him, a set of "unprecedented" preferences has been developed.

The regional state support will make about 15 billion rubles.

"We are concerned about the state of the economy, small and medium-sized businesses. Therefore, we have decided to take several comprehensive measures. The Government held a number of consultations with representatives of industry, economy, small and medium-sized businesses to make the support selective and directed correctly to the intended recipients. Therefore, the assistance will be targeted," said Radiy Khabirov at a briefing on supporting the economy of Bashkortostan in a crisis.

Among the first recipients of regional state support are SMEs and the sectors of the economy that have suffered the most from coronavirus: tourism, hospitality, public catering, as well as cultural and sports sectors, and private preschool institutions.

Thus, at the republican level, it is planned to reduce the tax burden on the simplified taxation system - "a single tax on imputed earnings and property of organizations," Khabirov explained.

It is equally essential in the quarantine period to reduce the business costs of renting property.

To this end, the heads of municipalities were instructed to consider the possibility of exempting small businesses for the period of the coronavirus pandemic from payments on leased municipal property.

Besides, taking into account the unfavorable market conditions, falling oil prices, and sharp fluctuation in foreign exchange resources, limiting international transport connections, the main task in the medium term is to maintain the stability of the economy and prevent the growth of unemployment.

It is crucial to ensure the operation of backbone enterprises, to resolve the issue of replacing the supply of foreign components to prevent a halt in production. The set of measures taken in the region should also be aimed at supporting import substitution and export-oriented measures, Khabirov noted.

In his opinion, it is very important to maintain the pace of construction and investment activity. It is necessary to implement additional support mechanisms for those who, in hard times, are ready to invest in the development of the Bashkortostan economy.

"We understand that some projects may be suspended due to higher prices for imported equipment. I draw your attention to the fact that the republic is ready to compensate for the exchange rate differences for technological equipment for priority investment projects that continue to comply with the implementation schedule stated at the signing of the agreement with the Government," said Radiy Khabirov.

The program for the construction of engineering networks necessary for the implementation of projects will also be expanded.