RF President’s order to impose temporary restrictions on exit of foreign business from Russian assets
Those involved in foreign trade activities will be obliged to sell 80% of foreign currency credited from contracts with nonresidents
A presidential order has been drafted to impose temporary restrictions on foreign investors seeking to exit from Russian assets, Russian Prime Minister Mikhail Mishustin said at the government meeting on enhancement of Russian economy stability, according to a statement posted to the Government’s official Telegram channel.
The Prime Minister says that Russian President has signed an order aimed at stabilization of the markets.
A package of decisions on the economy support will be included into a plan of measures which is to be presented in the near time, says Mikhail Mishustin who is to chair the headquarters on enhancement of Russian economy stability amid sanctions.
Those involved in foreign trade activities will be obliged to sell 80% of foreign currency credited from contracts with nonresidents. Besides, it is banned to provide nonresidents with new loans or transfer foreign currency to bank accounts outside Russia. To let public joint stock companies support capitalization they are allowed to buy out their shares until the end of this year.
Together with the Bank of Russia, RF Government considers additional measures to support domestic businesses. Two packages of measures have been prepared for systemic companies: targeted support of those in a complicated situation amid sanctions and general support measures.
Mikhail Mishustin emphasized that many companies will need time for changing logistic chains and for working capital financing. Additional measures are being considered by RF Government and the Bank of Russia for SMEs. They foresee subsidizing and funding of banks dealing with this sector of economy.
Investors willing to take part in projects within Russia will be offered the most favorable terms. The Ministry of Finance is drafting a proposal on capital amnesty to attract more resources for implementation of new projects. Russia will keep seeing foreign businesses as potential partners while being ready for a dialogue with result oriented investors.
“Amid the current sanctions, foreign entrepreneurs have to make decisions under a political pressure rather than be guided by economic factors, – said Mikhail Mishustin. – A draft presidential order to impose temporary restrictions on exit from Russian assets has been prepared to let the business make a weighed decision.”
