Access to preferential loans is expanded in the framework of the national project for support of SMEs

The Ministry of Economic Development of Russia has made changes to the program of preferential lending implemented in the framework of the national project “Small and medium-sized enterprises and support of individual entrepreneurial initiative”.

The preferential loan program was launched in Russia in 2019. According to it, entrepreneurs could attract borrowed financing for investment purposes or replenishment of working capital at a maximum rate of up to 8.5% per annum. Only SMEs that entered into a loan agreement with Russian banks in the period from January 1 to November 30, 2019 could be a participant in the program. One borrower could receive a loan for investment purposes in the amount of from 0.5 million to 2 billion rubles for a period of up to 10 years, from 0.5 million to 500 million rubles for a period of up to three years - to replenish working capital.

For 11 months of 2019, in Tatarstan, 218 agreements were concluded for provision of preferential loans to small and medium-sized businesses totaling more than 21 billion rubles under this program.

Since 2020, the conditions for obtaining loans by entrepreneurs have become even more accessible. The relevant changes of the Ministry of Economic Development of the Russian Federation were introduced in the Decree of the Government of the Russian Federation N 1764 of December 30, 2018, which regulates the conditions for implementation of the loan program.

Now, in particular, entrepreneurs can refinance loans received earlier for investment activities, reducing the market rate to 8.5%. Also, after making changes, banks will provide a new product - a loan “for development of entrepreneurial activity”: borrowed funds in the amount of up to 10 million rubles for a period of up to 5 years at a rate of no more than 9.95% per annum will be available to entrepreneurs. At the same time, the requirements for the borrower are reduced as much as possible: now there are no restrictions on the types of activities of the entrepreneur, availability of tax debts does not affect the decision on the loan application. In addition, the number of borrowers under the program includes individuals applying the special tax regime for professional income tax, that is, self-employed.

“Improving the program aims to expand the number of entrepreneurs who can access loans at a reduced rate. This is a new stage in creating favorable conditions for development of business in Tatarstan, starting from its most modest forms - self-employed, small and medium-sized businesses, ending with the banking sector, which also benefits from participating in state support programs for entrepreneurship”, noted RT Minister of Economy Farid Abdulganiyev .