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MIL OSI Translation. Region: Russian Federation –

Meetings on support and development of SMEs in the regions will be held every two weeks.

First Deputy Prime Minister Andrei Belousov discussed with the heads of regions the results of the implementation of the national project to support SMEs in 2021, as well as the creation of a rating of regions to assess their work in supporting the SME sector.

As noted at the meeting, as of October 1, 2021 alone, the number of people employed in the SME sector reached 25.19 million people and has already approached the target of the national project by 2030 (at least 25.65 million people). At the same time, the increase in the number of employees in SMEs occurs primarily due to the self-employed. Without taking into account this category, a number of regions have exceeded the goal for 2021, but there are also constituent entities of the Russian Federation that have not reached the planned number of employees in legal entities and individual entrepreneurs.

Andrey Belousov instructed to analyze this situation and work out additional measures at the regional level in order to ensure a steady growth in employment in other categories of SMEs. This indicator allows the most accurate assessment of the effectiveness of the entire range of measures to support small and medium-sized businesses.

The First Vice Prime Minister drew attention to the fact that decisions on the development of SMEs are being effectively implemented in St. Petersburg. “This includes the digitalization of access to services and measures of financial support, and the creation of an accelerator with access to marketplaces, and self-examination, implemented jointly with the prosecution authorities. We need to explore the possibility of scaling these solutions to other regions,” he said.

According to the governor of St. Petersburg Alexander Beglov, small and medium-sized businesses provide almost 34% of the city budget revenues, 54% of all employed in the city’s economy work in this area.

Head of the Republic of Altai Oleg Khorokhordin and Head of the Republic of North Ossetia-Alania Sergey Menyailo also spoke about interaction with business and the state of the SME sector at the meeting.

Taking into account the discussion, the meeting participants agreed to create a rating of regions to assess their work on the development of SMEs. “It will make it possible to determine in which regions there are best practices and what is the potential for their implementation in other subjects,” Andrey Belousov emphasized. Proposals on the methodology for compiling the rating at the meeting were presented by Deputy Minister of Economic Development Tatyana Ilyushnikova.

Opora Rossii President Alexander Kalinin supported the initiative to create the rating, noting that it would allow regions to exchange the most effective experience in supporting SMEs. The Ministry of Economic Development will discuss the methodology for forming the rating, its key indicators with the regions and at the commission of the State Council in the direction of “Small and medium-sized businesses”. On behalf of Andrey Belousov, the first results will be presented within two weeks.

The participants also considered the issue of canceling benefits for the technical connection of SMEs to power grids with a capacity of less than 150 kW. Earlier, Russian President Vladimir Putin instructed to sort out the situation.

According to Andrei Belousov, small businesses incur costs due to the abolition of preferences. “According to the estimates of the Ministry of Energy, the average cost of connection can grow almost 10 times – from 50-60 thousand to 400 thousand rubles. It is necessary to develop measures that will help balance the possible negative effects on business,” he said. The First Deputy Prime Minister also instructed the heads of all regions within two weeks to submit proposals on support measures that will be implemented to ensure the technical connection of SMEs to the power grid.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

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