ANNOUNCED AS TEMPORARYNo
In March 2009 Russian Government announced subsidized loans for purchasing domestically produced cars. Government Decree number 244 of 19 March 2009 on establishing conditions for providing from the federal budget subsidies to purchase motor cars set up several conditions necessary to get the loan. The consumers had to purchase a motor car produced in Russia, which costs no more than 350,000 rubles ($ 10,760); the permited lenders which is providing the loan has to be majority owned by the Russian side (50% + 1 share); and the first payment of the loan has to be no less than 30% from the money value of the car. The federal government compensates the lender two thirds of the Central Bank's refinancing rate, which is now at 11.5 %.
The Government Decree from 7 July 2009 # 548 amended the previous one significantly, widening the range of vehicles eligible for the programme. Now consumers can buy more expensive vehicles, including foreign cars produced in Russia (Chevrolet, Ford, Fiat, Kia, Renault, Skoda, and Hyundai) because the maximum price of auto applicable for the subsidized loan has almost doubled(600,000 rubles or $19,000). Another important amendment concerns the type of auto - it is not only 'motor cars' like in the old Decree but the cars which weigh less than 3.5tons. This amendment extends the number of vehicleseligible for the subsidized loan to small tracks and cars bigger than motor cars such as 'UAZ'. Foreign owned lenders are now also eligible to participate in the programme on the conditions that they had the charter capital no less than 70 billion rubles ($ 2 billion) on 1 April 2009 and they have representation in all seven federal districts in Russia. The first payment level of the loan has decreased from a minimum 30% to a minimum 15% of the price of the vehicle. The new Decree also extends the period of the loan contract from two years to three years.
During first four months (March-October) the amount of application for the subsidized loan achieved 90,660. By 6 November 2009, there were 50,453 cars sold this way. The Minister of Industry and Trade Mr. Khristenko said that he expected the loans to help to sell 120,000 vehicles by the end of this year.
From 1 December 2009 all banks in Russia can participate in that programme - http://www.minprom.gov.ru/pub/666
The programme is discontinued as of 31 December 2013.
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