American companies invested $2.7 billion in the economy of Moscow city

Moscow, Russia, 2020-Nov-20 — /EPR Network/ — On November 19, 2020 in Moscow was held an online round table dedicated to the cooperation between Moscow and the United States in the field of economy and investment. Representatives of the Moscow Government, Russian and American business took part in the event.

“Today Moscow is one of the largest urban economies in the world. Companies from the United States of America are among the most significant investors of our city. According to the latest data, the volume of accumulated foreign direct investment from this country is $ 2.7 billion. At the same time, we are observing systemic dynamic growth, this indicator increased by 34% over the year,” said Vladimir Efimov, Deputy Mayor of Moscow for Economic Policy and Property and Land Relations.

“There are many examples of the localization of production of American companies in Moscow. For example, the plant of the world’s largest producer of soft drinks Coca-Cola is localized in the city,” said Alexis Rodzianko, President and CEO of the American Chamber of Commerce in Russia. “The world’s leading pharmaceutical companies Abbot Laboratories, Johnson & Johnson, Lilly Pharma, Pfizer and IT leaders as Apple, Google, Intel, Microsoft have offices in Moscow. And there are a lot of other major international corporations with American roots that are successfully operating in Moscow.”

According to Alexis Rodzianko, the American Chamber of Commerce has long-established and productive cooperation with the Moscow government in general, as well as municipal agencies for attracting investments, for supporting small and innovative entrepreneurship (startups), the Chamber of Commerce and Industry, and highly appreciates the activities that are being conducted in Moscow to create favorable conditions for doing business.

To attract investments, including foreign ones, the Moscow authorities use various forms of public-private partnerships, develop innovative infrastructure, offer government purchases in exchange for investments (offset contracts) and tax, financial, organizational preferences.

For example, to support new investment projects in industry, the Moscow Government provides incentives for tax on profits, property, land, as well as for rent of land plots. This reduces the regional tax burden by up to 25%.

Entrepreneurs can implement their investment projects, including in (technological clusters) technoparks and on the territory of the special economic zone Technopolis Moscow (SEZ). SEZ residents can receive benefits for a period of 10 years on income, property and land taxes. The overall reduction in the regional tax burden can reach 47%.