The Government of the Russian Federation has approved the rules for writing off regional debt on budget loans and a list of spending directions for the released funds. The corresponding decree was signed by Russian Prime Minister Mikhail Mishustin.
In accordance with the resolution, the regions will be exempt from repayment of two thirds of the debt on budget loans that have accumulated as of March 1, 2024.
To do this, managers must submit a corresponding statement to the Ministry of Finance by March 1, 2025, indicating the planned activities at the expense of funds released from the write-off.
The region should invest at least half of these funds in the implementation of infrastructure projects in the field of housing and communal services.
The rest can be used for the resettlement of citizens from dilapidated housing, the renovation of public transport, the development of anchor settlements, the implementation of new investment projects, compensation for lost income from the application of investment tax deduction, support for companies managing territories with preferential tax regimes, the recapitalization of industrial development funds, guarantee and microfinance organizations.
For regions with low budget resources, the released funds can be used for activities within the framework of the implementation of new national projects and for expenses related to a special military operation.
Subjects included in the Far Eastern Federal District and the Arctic Zone can invest the released funds for the implementation of activities within the framework of master plans of cities located in these territories.
