In 2021 Leningrad region will introduce a new support mechanism for investors – an agreement on protection and stimulation of investments.
A Resolution of the Government of Leningrad region defines an authorized body for conclusion of such agreements – Committee for Economic Development and Investment Activity.
An investor and the state conclude an agreement on conditions for implementation of an investment project, according to which this investor undertakes to make investments in the project, and the region, in its turn, guarantees stabilization of tax benefits and other regulatory conditions for the period of contract validity. The key feature of such mechanism – an agreement on protection and stimulation of investments – is guaranteed stability of a legal regime for investors – implementation of the project in the same conditions in which it was planned.
According to the conditions of the agreement, business can receive other types of support, such as reimbursement of expenses required for implementation of the investment project and payment of interests on attracted loans and credits.
This support can be provided for investment projects with the volume of investments from 200 million rubles. Today such agreements are concluded only at the federal level, since April 2021 – at the level of Leningrad region. Federal agreements are signed by three parties: the Russian Federation, a region and an organization which implements the project. At the regional level – a region and an investor.