Russian govt increases co-financing for infrastructure in Far East to 73.3 bln rubles

MOSCOW. Feb 24 (Interfax) - Russian Prime Minister Mikhail Mishustin has signed a decree increasing funding for projects aimed at developing economic growth centers in Far Eastern regions from 41.4 billion to 73.3 billion rubles.

"This decision will ensure federal co-financing for projects implemented under the Far Eastern concession. The funds will be allocated from the federal budget between 2027 and 2039 and will be used to co-finance regional expenses under concession agreements that exceed the period of budgetary obligation limits," the government said on its website on Saturday.

The increased funding will support projects such as constructing an embankment in Khabarovsk Territory, creating the Minny Gorodok park in Vladivostok, developing an innovative scientific and technological center on Russky Island, constructing a bridge crossing over the Bira river in Birobidzhan, reconstructing the Birobidzhan-Ungun-Leninskoye highway, and modernizing street lighting in the city of Svobodny in the Amur region and Chita in Transbaikal Territory.

"With this decision, the government commits nearly 32 billion rubles in funding for five Far Eastern regions over a 12-year period starting in 2027. These commitments will be considered in the formation of the federal budget for the corresponding periods," Mishustin said at a government meeting on February 20.

The Far Eastern concession mechanism is one of the key tools for implementing plans to promote social development in the Far East's economic growth centers. Through this mechanism, the government guarantees companies a return on investment and minimizes risks.