the ministry for economic development of the russian federation the business forum under the...

THE MINISTRY FOR ECONOMIC THE MINISTRY FOR ECONOMIC DEVELOPMENT DEVELOPMENT

OF THE RUSSIAN FEDERATIONOF THE RUSSIAN FEDERATION

The Business Forum underthe Conference on Interaction and

Conference Building Measures in Asia

Bangkok, March 30-31, 2011

The Program of financial The Program of financial support – the factor of the support – the factor of the

accelerated growth of SMEs accelerated growth of SMEs

THE MINISTRY OF ECONOMIC DEVELOPMENT THE MINISTRY OF ECONOMIC DEVELOPMENT OF THE RUSSIAN FEDERATIONOF THE RUSSIAN FEDERATION

Federal LawFederal Law ««On Development of Small and MediumOn Development of Small and Medium

Entrepreneurship in the Russian Federation Entrepreneurship in the Russian Federation»»

22

Micro enterprises Small enterprises Medium enterprises

up to 15 employees

16-100employees

101 – 250employees

annual turnover up to € 1,5 mln

annual turnover up to € 10 mln

annual turnover up to € 25 mln

SMEs CriteriaSMEs Criteria

Business Forum CICABusiness Forum CICA.. Bangkok, March 30-31, 2011 Bangkok, March 30-31, 2011


Main Indicators of the SME Sector Main Indicators of the SME Sector

33

9,1% - SME sector growth in 2009; 2,4% - in 2010

€ 500 bln – annual turnover of the SME sector

16,7 mln employed in SME sector 25% of total employment

21% - share of SMEs in the GDP of Russia

1,6 mln micro, small and medium enterprises and4,1 mln private entrepreneurs

Main problems: √ Unemployment, layoffs √ Expensive credits √ Decreasing of number of SMEs in monotowns



843 882,3 893

953,1 979,3 1036,8

1137,4

1361,8

1620,5

0

500

1000

1500

2000

2001 2002 2003 2004 2005 2006 2007 2008 2009

Number of companies (thousands)

Share of Legal Entities and Private Entrepreneurs

(January 2010)

Private Entrepreneurs

71,13%

Small Enterprises

4,07%

Medium Enterprises

0,27%

Micro Enterprises

24,53%

Main Indicators of the SME SectorMain Indicators of the SME Sector

44

Share of employed in SME sector (in % from total employment)

23,4

23,2

18,9

17,816,7

15,915

14,3

10

12

14

16

18

20

22

24

26

2002 2003 2004 2005 2006 2007 2008 2009



Main Indicators of the SME SectorMain Indicators of the SME Sector

55

NUMBER OF ENTERPRISES SECTORAL SCOPE

(January 2010)

Transport & Communications

5,9%

Building & Construction

12,1%Service 17,9%

Manufacturing10,5%

Other9%

Trade40.9%

Agriculture & Fishery

3,8%

1,5%

0,6%0,4%

2,4%2,6%

1,5%

Hotels & Restaurants

Municipal, social & personal services

Education & Healthcare

Heat, Gas & Electricity Production

Mining

Financial Services

Service sector includes: real estate operations, maintenance leasing, hire of household items, the activities connected with use of computer

facilities and information technology, R&D, consulting, advertising etc.



66

37,75075

95 96,250

465,750

600

0,000

100,000

200,000

300,000

400,000

500,000

600,000

2005 2006 2007 2008 2009 2010

State budget expenses on the SME Support Programme (mln Euro)

The SME Support ProgrammeThe SME Support Programme



77

The SME Support ProgrammeThe SME Support Programme

Monoprofiletowns

50

Subsidising ofpercent rate

65

Business incubators, technoparks

105

Export oriented SMEs 55

Leasing 37,5

Innovations 52,5

Start-ups 95

Micro loan funds

115Guarantee funds

410

Venture funds 65

Main directions of subsidising of Russian regions on the Main directions of subsidising of Russian regions on the State SME Support Programme in 2005-2010 (mln Euro)State SME Support Programme in 2005-2010 (mln Euro)



The SME Support in 2010The SME Support in 2010

Key measures on the SME development Key measures on the SME development undertaken by the Russian Governmentundertaken by the Russian Government in in 20201010

SME support in 2010 - € 600 mln

Support for export-oriented SMEs – € 55 mln

Support for innovative SMEs – € 53 mln

Start-up grants for SMEs – € 50 mln

Leasing for SMEs – € 30 mln

Guarantee funds – € 67,5 mln

Micro loans – € 66,7 mln

Business trainings – € 8,5 mln, 50 000 entrepreneurs

Youth entrepreneurship – € 7,5 mln88Business Forum CICABusiness Forum CICA.. Bangkok, March 30-31, 2011 Bangkok, March 30-31, 2011


99

Guarantee FundsGuarantee Funds

The Government of the Russian Federation founded The Government of the Russian Federation founded Guarantee funds for SMEs in most of regionsGuarantee funds for SMEs in most of regions

7788 Regional Guarantee funds Regional Guarantee funds

€ € 600 mln capitalization 600 mln capitalization (€ 4(€ 4110 mln subsidized on State SME Support Programme in 2005-2010)0 mln subsidized on State SME Support Programme in 2005-2010)

SMEs got loans from banksSMEs got loans from banks

more than € more than € 11,,44 bln bln



Micro LoansMicro Loans

1010

2008€ 4,4 mln

2007€ 4,1 mln

2006€ 1,3 mln

2005€ 0,6 mln

2009€ 40,8 mln

2010€ 66,7 mln

To provide micro loans for SMEs Russian regions were subsidizedwith € 115 mln in 2005 – 2010

2010:2010:

- 16 000 micro loans for - 16 000 micro loans for SMEsSMEs

- € 12 - € 12 5500 average loan00 average loan



Start-up GrantsStart-up Grants

1111

2010:- 8 000 start-up grants - € 7 500 average grant - € 12 500 start-up grants for innovative SMEs-Priority to jobless

- 100 000 start-up grantsfor unemployed from theMinistry of Health and Social Development Programme

To provide new SMEs with start-up grants Russian regions were subsidised with € 95 mln

in 2005 – 2010

2009 € 41,3 mln

2010 € 50 mln

2007€ 0,78 mln

2008€ 2,4 mln

2006€ 0,65 mln



1212

Monoprofile TownsMonoprofile Towns

35 monoprofile towns=35 programmes= € 50 mln (2010-2011)35 monoprofile towns=35 programmes= € 50 mln (2010-2011)

Population:Population:≤ ≤ 50 thousands50 thousands

Spending limits:Spending limits:€ 1,25 mln€ 1,25 mln

Population:Population:50 - 300 thousands50 - 300 thousandsSpending limits:Spending limits:

€ 2,5 mln€ 2,5 mln

Population:Population:≥≥ 300 thousands300 thousandsSpending limits:Spending limits:

€ 5 mln€ 5 mln

Reached results:- 2400 start-up grants

- 800 micro loans- 7 business incubators

- business trainings 10 000 – 12 000 entrepreneurs



The Russian innovative SME support infrastructure

•22 regional venture funds with total capitalization exceeding € 230 mln

•The fund of funds – Russian venture company with total capitalization exceeding € 675 mln

•Seed funds (2010 – 2012) € 90 mln

•Scientific research funds

•Foundation for Assistance to Small Innovative Enterprises – FASIE (2010 - 2012) € 135 mln

•Rosnano capitalization exceeds € 3,75 bln

Innovative SMEs SupportInnovative SMEs Support

1313Business Forum CICABusiness Forum CICA.. Bangkok, March 30-31, 2011 Bangkok, March 30-31, 2011


New Innovative SMEs Founded by UniversitiesNew Innovative SMEs Founded by Universities

SME fundingSME funding

January 2010

44 – educational institutions

116 – innovative companies

881 – employees

February 2011

166 – educational institutions

766 – innovation companies

1472 - employees

83 regional business incubators

22 business incubators in Universities

25%min

75% max

Private sector investments (min. 50%) & equipment

University funds & intellectual property rights

A new founded SMEs receive infrastructure, grants and micro loans.

1414Business Forum CICABusiness Forum CICA.. Bangkok, March 30-31, 2011 Bangkok, March 30-31, 2011


1515

€€ 12 500 for 12 500 for 1 new job1 new job

100 000 new100 000 new

J O B SJ O B S

300 000 saved 300 000 saved

Jobs Creation in the Post-Crisis TimeJobs Creation in the Post-Crisis Time



1166

SME support in 2011 - € 525 mln

Youth EntrepreneurshipYouth Entrepreneurship

The SME Support in 2011The SME Support in 2011


Guarantee fundsGuarantee funds

Export oriented SMEsExport oriented SMEs

Start-upsStart-upsMicro loansMicro loans

LeasingLeasing

Monoprofile townsMonoprofile towns

Innovative SMEsInnovative SMEs

Thank You for Attention!

• The Ministry for Economic Development of the Russian Federation

• The SME Development Department• tel: +7-495-695-53-05• fax: +7-495-695-51-76• Web: www.economy.gov.ru


the ministry for economic development of the russian federation the business forum under the...

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development of small

sme sector growth

sme sector4business

sme sector16

mlnannual turnover

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