The program of concessional lending of business will be continued in Kazan next year

(Kazan City KZN.RU, November 24, Ksenia Shvetsova). The program of concessional lending to small and medium enterprises in Kazan will be continued next year. Practice has shown that due to the tangible financial assistance to business 1540 jobs were created in the capital of Tatarstan, and the money spent on compensation of interest rates returned to the budget in taxes. The Mayor of Kazan Ilsur Metshin called on making changes, taking into account the wishes of businessmen, at the meeting of the Coordinating Council for the Development of Small and Medium Enterprises, which was held today.

The program of concessional lending to the private sector in Kazan was approved on behalf of the Mayor in 2007. At that time the capital of Tatarstan was virtually the first city in the country, where it was decided to provide financial support to entrepreneurs by the municipal budget. As the chairman of the Economic Development Committee of the Executive Committee of Kazan Ildar Shakirov told, 348 entrepreneurs who have received preferential loans for a total amount of 1 billion rubles became participants of the program for the time of its implementation. Largely thanks to this support Kazan business endured the crisis of 2008 relatively quietly, not only "staying afloat", but also continuing the constant development.

This year the credit period has been increased from 2 to 3 years, and this is one of the most significant measures of support, which is being implemented in Russia, taking into consideration the fact that the budget offsets by a 10% credit rate, loan costs for the entrepreneur are 8.5% per annum.

According to experts, 30% of the projects that receive subsidies are developing medical direction, so in Kazan the market of private medicine has been actively developing, equipment is being modernized, and conditions of service for citizens are improved.

Employers thanked the Mayor for tangible support and offered to expand the program to increase the number of subjects that can count on the support of the authorities in the future.

"The year is over and it's time to sum up and see how we could improve the conditions of the program for 2016 - I. Metshin addressed the Executive Committee. - We have to work not only for a new business to be created, but for existing business to be not folded. Sometimes a couple of millions could cover some debts and to help keep the business. Therefore it is very pleasing that the program is working, but let’s makes changes based on the views of the business community".