Moscow joins the top three regions for investment climate

Moscow joins the top three regions for investment climate
Photo: Photo by the Mayor and Moscow Government Press Service. Yevgeny Samarin
Today Moscow has 30 technology parks employing over 10,000 people.

Speaking at the presentation of the National Rating of the Investment Climate in Russia’s Regions at the St Petersburg International Economic Forum, Moscow Mayor Sergei Sobyanin said that businesses in Moscow are ready for any challenges and crises. According to the Agency of Strategic Initiatives, Moscow has risen to the third place from10th place last year.

Moscow business has both feet on the floor. It can adapt to any crisis and is ready to overcome any difficulties,” the Mayor said.

He said investment in fixed capital has not fallen in the crisis years. “In these three years businesses have increased their assets,” Mayor Sobyanin said.

He said industry in Moscow has an opportunity for unobstructed development. “Not a single industrial territory depends on administrative decisions. Environmental and technological regulations apply, but all other decisions are automatic,” he said. Mayor Sobyanin referred to administrative decisions as the main obstacle in the construction industry. “All other issues – trade centres, housing and the like are a separate segment that must be administered as such. But as for the development of production, I think the main obstacle has been overcome,” Mayor Sobyanin said.

The Mayor also mentioned the growth in the number of technology parks. “Speaking about the past year’s breakthroughs, I should mention the doubling of the state order for small businesses. This is a sharp growth in the number of technology parks where small and medium-sized businesses are concentrated. The number of fully-fledged parks involved in innovation has grown recently from four to 30. They employ tens of thousands of people,” Mayor Sobyanin said.

He said in the past few years the waiting time for receiving a construction permit decreased five times and the cost of connecting to electricity grids was reduced thrice. “The past year and the beginning of this year were marked by a revolutionary decision in construction in industrial areas. You know well how this is done – permits were issued under extremely tough administrative control. This year we adopted construction and land use rules according to which up to 15,000 square meters of facilities per hectare can be built,” the Mayor said.

In determining the national investment climate rating experts consider 45 factors. The majority of them are taken from surveys of entrepreneurs. A high position in this rating means that the business community approves of the actions by the regional authorities.

The St Petersburg International Economic Forum was held on June 1-3. The leaders of states, ministers, heads of companies and business representatives meet at the forum to discuss economic issues. Last year the forum brought together over 12,000 participants from 133 countries, which signed 356 agreements. The forum hosted 67 cultural and sports events, including performances, concerts, exhibitions, hockey and tennis tournaments, and a charity race, to name a few.