About the Foundation

Industrial Development Fund was established for modernization of the Russian industry, creating new industry sectors and supporting import substitution. The Fund was launched in 2014 on the initiative of the Ministry of Industry and Trade of the Russian Federation.

The Fund offers preferential conditions for co-financing projects aimed at the development of new high-tech products, modernization and creation of competitive production processes on the basis of the best available techniques.

For the implementation of industrial technology projects the Fund provides targeted loans of between 50 and 500 million rubles at the rate of 5% p.a. for up to 7 years on a competitive basis, attracting direct investments into the real sector of the economy.

In addition, the Fund is an operator of special investment contracts.

Oleg B. Prozorov
Frank Schauff
Marc Luet
Nikolaus Knauf
Oleg B. Prozorov
Head of The Belgian-Luxembourg Chamber of Commerce in Russia
Russia is a country of great opportunities and huge projects!
The Industrial Development Fund is one of the exclusive economic institutes of Development, which was created especially, to assist investors.
Providing best conditions for the location of industrial enterprises, made Russia the ideal and attractive place among other countries of the Eurasian region.
Frank Schauff
Chief Executive Officer, Association of European Businesses (AEB)
The volume of direct European investments in Russia amounts over 50% of the total volume of foreign investments. In spite of turbulent times Russia remains the main trading partner for the EU countries. The AEB is the main representation of foreign investors in Russia, and based on the first-hand information we are confident that foreign companies will continue to develop their businesses in Russia.
Marc Luet
Chairman of the Board of Directors of Citibank in Russia
Russia remains a big and important business destination for Citi. There are still many opportunities in Russia, this market provides excellent return on investments and operational efficiency.
Nikolaus Knauf
President of KNAUF AG
The tax system in Russia is a God’s gift. It is not just a stable but a fantastic system which doesn’t exist anywhere else in the world. In Germany I pay 50%, it’s much less here. In Russia, one can register a limited liability company with just 500 euro and start work. These are ideal conditions. We expect a great future for Russia!
We support various industries
We support various industries
We understand that Russia today is not self-sufficient in virtually anything; therefore we have no favorite industries.
We help strong players
We help strong players
We can only support those who are most likely to deliver results, and that is usually those who have done so before. Thus, our clients are sustainable companies with a history of successful development.
We empower innovators
We empower innovators
We are ready to provide loans for the completion of R&D or commercialization of new products. The winner is not that who follows more inventive competitors, but that who offers new ideas.
Openness
Openness
It is necessary to support localization of production in Russia by foreign manufacturers. The Fund is prepared to provide loans to companies of foreign origin provided that they are based in Russia.
One-stop-shop approach
One-stop-shop approach
The Fund runs a consultation center where you can learn not only about the Fund's own programs, but also about other forms of support for manufacturers.
The Special Investment Contract (SPIC)

SPIC provides tax incentives, an opportunity of accelerated amortization of property and other preferences for the contract period (up to 10 years).

That means that if any laws or decrees which negatively affect business conditions are passed they will not apply to an investor who has a SPIC. Moreover, the investor can rapidly obtain the status of a Russian businessman.

What will remain constant?
The tax regime and certain government support measures; requirements for processes of production, operation, storage, utilization, etc.

What is expected of an investor in exchange? The investor will need to organize industrial production within the period specified in the contract.

What are the requirements for a project? To set up/upgrade production; adopt the best available techniques and/or organize production of products which have no analogs in Russia.

The total project investment has to be at least 750 million rubles.

The project must be related to any of these sectors:

  • Mechanical engineering, including machine-tool production;
  • Metallurgy and metalworking;
  • Chemicals;
  • Medical, biotechnology and pharmaceutical industries;
  • Consumer goods manufacturing;
  • Electronic, radio-electronic industries and production of communication equipment;
  • Aerospace industry;
  • Shipbuilding industry.
SPIC’s documents for download
Denis Manturov
Minister of Industry and Trade of the Russian Federation
We don’t intend to substitute everything. We aim to substitute imports in those sectors where it will have a noticeable economical effect and where products are not intended just for the Russian or EAEU market but also have substantial export potential. It is those particular projects that we will support in 20 industries where an import substitution plan has been prepared.
Vladimir Putin
President of the Russian Federation
The goal is not to substitute foreign products with Russian ones by any means possible. It is necessary to arrange mass production of Russian products that are high-quality. The special investment contract mechanism should become an important tool of import substitution. It involves a whole set of benefits and incentives for the modernization or construction of new industrial facilities for a period of up to 10 years. I appeal to the regions to actively use this instrument and closely work with prospective and possible investors.
Denis Manturov
Minister of Industry and Trade of the Russian Federation
We intend to implement a new mechanism – special investment contracts which provide Russian and foreign investors with an opportunity to obtain preferential financing from both the federal and regional budgets. But what is most important are the constant business conditions for the ten-year period of the special investment contract provided by both the federal and regional authorities.
About Fund Program

The Industrial Development Fund provides loans on a competitive basis for implementation of projects aimed at introduction of advanced technologies, creation of new products or setup of import-substitution production facilities. The Fund’s loans are provided on a repayable basis and on co-financing conditions. The applicant needs to provide security for the loan principal and interests for the entire period (guarantee, surety, pledge).

More details

The Development Projects
The Development Projects program provides loans for the implementation of import-substitution projects for the production of competitive civilian products.
The Consortiums Program
The Consortiums Program provides loans for the implementation of consortium projects of enterprises and engineering companies.
The Machine-tool Manufacture
The Machine-tool Manufacture program provides loans for technological upgrade and modernization of equipment and engineering software production.
The Lease Projects
The Lease Projects program provides preferential financing for the advance payment part of a lease contract for production equipment.
Statistics of funded projects
total number of projects
138
total number of projects
total loans
35.5 bln. RUB
total loans
total investment
146.9 bln. RUB
total investment
total project revenue
829 bln. RUB
total project revenue
applications for intellectual property rights
326
applications for intellectual property rights
total tax revenue
80.3 bln. RUB
total tax revenue
created workplaces
13427
created workplaces
Industry funded projects
Mechanical engineering
47
Medicine, biotechnology, pharmaceuticals
19
Consumer goods manufacturing
10
Wood economy & Papermaking
3
Electronics
8
Electrical equipment
12
Metalworking & Metallurgy
18
Novel materials
7
Chemicals
6
Other industries
4
Contacts

Lyalin pereulok, 6/1
Moscow, Russia, 105062

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