Rustam Minnikhanov about restructuring budget loans of the regions: This system aims to encourage regions that demonstrate good potential

On December 16, answering questions from journalists in Kazan, Minister of Finance of Russia Anton Siluanov, who took part in a joint meeting of the Ministry of Finance of the republic, the regional departments of the Federal Tax Service and the Federal Treasury, told them about the system of restructuring budget loans for Russian regions.

“The President of Russia announced about launching the programme to restructure budget loans for Russian regions,” the Finance Minister said. "All entities will be granted seven-year payment delay and those regions that show growth in tax revenues higher than inflation will have the opportunity to pay loans twelve years later."

I am sure that Tatarstan will take advantage of the opportunity, Siluanov said. "We are now beginning to enter into agreements with Russian regions. According to our estimates, all entities will participate in such restructuring. They commit themselves to ensuring the sustainability of their finances, debt reduction, and budget deficit. Therefore, on the one hand, these agreements are aimed at alleviating the debt burden, on the other hand, the region assumes obligations to maintain a responsible financial policy,” he said.

In his turn, Minnikhanov said that "each region has its own position and its own approaches." "There are recipient regions that rely on federal support," Minnikhanov said. “There are few donor regions, which try to keep their tax potential. Of course, we did not want frequent changes in these tax and other situations. Restructuring imposes certain conditions on the regions, including their tax potential and the systematic work, which is now underway.  This system aims to encourage regions that demonstrate good potential," he continued.