Small business development concept approved in Pridnestrovie

07/13/15 17:46

Small business development concept approved in Pridnestrovie

The document defines production as the preferred direction of small business development

Pridnestrovie's government has adopted the decree «On approval of the concept of small business development in Pridnestrovie in the period of 2015−2020». The document developed by Pridnestrovie's Ministry of Economic Development is published on the government's official web site.

Among the main targets of the adopted concept are an increase in the share of small business in the structure of Pridnestrovie's GDP, diversification of small business entities, increase in the number of employees in the sector, including an increase in their average income and level of social protection. The main tasks of the national policy in the direction of small business development are reduction of administrative barriers, optimisation of taxes and tariffs, implementation of efficient credit mechanisms, increased access of small businesses to government contracts, integration of small and big business, including as part of import substitution, informing small business on state support tools.

The document underscores that the primary activity of Pridnestrovie's small business entities is trade, which employs over 50% of small businesses and individual businessmen.

«Small business is almost not involved in manufacturing, whereas in economically developed country it ranks especially high in the manufacturing sector and knowledge-intensive industries. This is why manufacturing has remained the priority in the development of Pridnestrovie's entrepreneurship.

Currently, manufacturing occupies 11.4% in the structure of Pridnestrovie's small business, trade and public catering 50.6%, services 20.3%, agriculture 10.5%. According to the concept estimates, the total number of small business employees amounts to more than 38,000 persons. As for the regional distribution of small business entities, Tiraspol and Dnestrovsk are in the lead (36.3%), they are followed by Bendery (18.4%) and Rybnitsa district (13.4%).

Based on the analysis of the Ministry of Economic Development, the small business sector employed 4,337 legal entities (16,408 persons) and 21,882 individual businessmen. The number of the latter has risen by 30% over the past 2 years. Last year the sales return generated by small business entities exceeded 4.6 billion roubles. At the same time, the amount of tax payments received by the consolidated budget and extra-budgetary funds from small business entities made up 384 million roubles (the index has increased by 16.7% for 2 years).

When compiling the concept, as the document states, proposals from executive authorities, local administrations, small business entities, the small business development and support council affiliated to the government, and the Chamber of Commerce and Industry have been taken into account. The authors suppose that the document will be implemented in three stages, the first of which suggests «creating conditions for qualitative and quantitative growth of small business.»

 

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