Tiraspol, 5 June. /Novosti Pridnestrovya/. State guarantees, tax incentives and preferences make investments in the Pridnestrovian economy a profitable business. Foreign ambassadors and diplomats were told why it is worth investing in the country's economy today. The representatives of 18 diplomatic missions, including Russia, Ukraine, Belarus, Austria, Germany, France, Italy, Great Britain, Sweden, Poland, Czech Republic, Slovakia, Hungary, Turkey, Bulgaria, Romania, Lithuania, Latvia came to the presentation of a new investment legislation. It was also attended by Pridnestrovie's leadership.
President Vadim Krasnoselsky stressed that citizens of 72 ethnicities live in Pridnestrovie, which maintains active contacts with many countries, establishing both cultural and economic cooperation.
"I am convinced that the Pridnestrovian economy is very interesting for your investors. Your entrepreneurs, your economic entities can invest their money very reliably and profitably. Your entrepreneurs will be able to earn good dividends in Pridnestrovie. In a word, we want to offer you good business and no politics," the president told the foreign diplomats.
The chair of the government, Alexander Martynov, stressed that in today's world economic development suggests attracting investment to the country. The opening of new and expansion of existing production facilities increases tax revenues to the budget, contributes to the development of infrastructure and ultimately raises the standard of living.
"This is why the attraction of investments into the economy of Transnistria is the main priority today for both the government and all public authorities. Countries that are claiming sustained economic growth are interested in creating a favourable investment climate," said the prime minister.
In order to increase the flow of investment to the country, the Pridnestrovian government works in five areas.
They include the stabilization of the macroeconomic situation, reduced administrative barriers to business, increased transparency and openness of public authorities, the ability of economic agents to conduct free trade with other countries, providing investors with unprecedented tax benefits and "affordable energy tariffs."
Alexander Martynov also requested the foreign diplomats to assist in conveying this information to entrepreneurs from their countries.
The minister of economic development, Sergey Obolonik, presented the law "On state support for investment activities", which came into effect on 1 June.
The law provides significant tax incentives and preferences for the new enterprises established in the country. It will regulate export-oriented companies or enterprises that will produce new products for the Pridnestrovian market. Such enterprises will be exempted from taxes on income, on land, on dividends to shareholders, and also pay the Unified Social Tax (deducted from salaries) at a reduced rate (14% instead of 25%).
The duration of benefits will vary depending on the amount of investment. 5 years with investments from 200 thousand to 500 thousand euros; 7 years with a portfolio of 500 thousand; 10 years if investment exceeds €1 million.
Investors will receive a subsidy in the form of a return of 10% of the funds invested in fixed assets, but its amount can not exceed €100,000.
Another measure of support: a government land grant - free assignment of state property to investors, which will pass into their ownership after fulfilling all the provisions of the investment program.
The minister also talked about other advantages of Pridnestrovie, which make the country attractive for foreign capital. Among them, Sergey Obolonik highlighted the country's good geographical location with two international motor roads and two railway lines passing through its territory, high agroclimatic potential, business-friendly tariff policies and a preferential trade regime with the European Union and the Russian Federation.
In addition, the minister recalled that a law on blockchain technologies was adopted in Pridnestrovie, which allows foreign investors to work in this advanced sphere of business. Investors from Russia, China, and some European countries have already shown interest in the prospects of opening enterprises using blockchain technologies.
There are quite a lot of foreign investors in the country who successfully cooperate with Pridnestrovian companies. One of them - the director of the Dubossary agricultural enterprise Lender Agroprim LLC Roberto Guardigli - became the laureate of the contest "Person of the Year 2017" in the nomination "Entrepreneur of the Year". "The company is engaged in processing and cultivation of oilseeds and grain crops, as well as in the wholesale purchase of agricultural products. The enterprise employs more than 100 people. The foreign investor has invested over $3.1 million in the construction and modernisation of equipment," the minister said.
According to Sergey Obolonik, this example reaffirms the PMR's readiness for cooperation and the opening of new production facilities. "Invest in Pridnestrovie!" summed up the minister.
