Russian Arctic Economic Zone Attracts Investors In Logistics, Transport, Tourism & Fishing Industries
Russia’s Ministry of Economic Development has stated that twenty businesses have made initial applications to invest in Karelia’s Arctic zone via the Arctic investment portal.
“From August 28, businesses have been able to apply for the status of the Arctic zone’s resident” the Ministry said. “As yet, 20 businesses have registered on the Arctic investment portal. Their total investments are more than 150 million rubles. They will offer 270 new jobs. Many potential residents of the Arctic zone are still busy with formalities to file applications.”
Karelia’s first business, working in transport and logistics, has applied for the Arctic residency. Other projects, registered on the investment portal, are in tourism, industries, wood processing, mining, fishing and hospitality.
The Russian Arctic
On July 13, President Vladimir Putin signed laws, drafted by the Ministry for Development of the Far East and the Arctic, which offer incentives for investors, planning new projects in the Russian Arctic zone. The laws came into force on August 28, when the ministry began receiving applications for the residential status. Russia Briefing covered this news and explained the applicable tax incentives in the article Companies Investing in The Russian Arctic To Receive Tax Benefits.
The Northern city of Murmansk is set to be the de facto regional capital, a situation we described in the article Murmansk, The New Free Trade Capital City Of The Arctic
According to the Ministry, the Russian Arctic is the biggest economic zone in the world – it covers almost 5 million square kilometers. The Arctic residents will enjoy tax benefits and easier administrative procedures. The development of the region comes as the Northern Sea Passage increases its viability as a shipping route between China and Europe, with the Russian Arctic coastline set to provide market access and support services. The Zone is also attracting Russian and Chinese investment in road and rail to support the route. You can also check an interesting article about fishing these waters on fish finders.
Related Reading
- Russia Tax Preferences To Spur US$243 Billion Investments & Tax Free Zones For Russian Arctic Development
- Russia Upgrades Arctic Airports & Ports As Part Of Northern Sea Passage Infrastructure
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