ANNOUNCEMENT 13 Sep 2013

On 13 September 2013, the Russian Government assigned subsidies to state-controlled aircraft maker.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

Agreement between Russian Ministry of Industry and Trade and United Aircraft Corporation on Disbursement of Federal Subsidy. 13.09.2013. Available through the State Register of Subsidy Agreements. Unique Registry Number 02014A18000062: http://budget.gov.ru/epbs/faces/p/%D0%91%D1%8E%D0%B4%D0%B6%D0%B5%D1%82/%D0%A0%D0%B0%D1%81%D1%85%D0%BE%D0%B4%D1%8B/%D0%A0%D0%B5%D0%B5%D1%81%D1%82%D1%80%20%D1%81%D0%BE%D0%B3%D0%BB%D0%B0%D1%88%D0%B5%D0%BD%D0%B8%D0%B9/%D0%A0%D0%B5%D0%B5%D1%81%D1%82%D1%80%20%D1%81%D1%83%D0%B1%D1%81%D0%B8%D0%B4%D0%B8%D0%B9?_adf.ctrl-state=19mfhxryue_23®ionId=45

Inception date: 13 Sep 2013 | Removal date: open ended
Still in force

Interest payment subsidy

On 13 September 2013, the Russian Ministry of Industry and Trade signed an agreement with the United Aircraft Corporation (UAC) to subsidize the payment of interest on loans taken by UAC under the Russian Government's guarantee. Under the agreement and its amendments, the Russian government has provided RUR 1.8 billion (USD 57 million) in 2013 and RUB 3.7 billion (USD 114 million) each year afterwards, to help UAC service its loans, disbursing a total of USD 626 million between 2013 and 2019. The annual allocations are also budgeted in 2019, and given that the State Program for the Development of Aircraft Manufacturing continues until 2025, the renewal of the subsidy agreement beyond 2019 is very likely. 

UAC is majority-owned by the Russian Government and unites Soviet-era state aircraft makers (Sukhoi, Tupolev, Mikoyan, Ilyushin etc).

AFFECTED SECTORS

 

AFFECTED PRODUCTS