The Industrial Development Fund (IDF) has launched new programs – for enterprises of the United Industrial Corporation and producers of components

The Supervisory Board of the Federal Industrial Development Fund approved programs to support the subjects in the industrial field on 30 June 2017: "Conversion" and "Component products".

The program "Conversion" provides for funding by the Fund of Investment Projects, focused at production of civilian or dual-use goods by organizations of the Defense and Industrial Complex (hereinafter - the United Industrial Corporation (UIC).

The Fund's loan can be used by the UIC organizations for the purposes of the development of a new product/technology, engineering, and purchase of equipment for the technical revamp of fixed assets, financing of costs, associated with the production and introducing pilot batches of products to the market.

Basic funding terms:

• the amount of loan – from  200 to 750 mln RUB;
• the term of loan – not more than 5 years;
• total project budget - not less than 400 mln RUB;
• the interest rate for the provided targeted loans is 1%
• of the annual interest percentage for using a loan  and 5% for the remaining period;
• existence of circumstances for co-financing of the project from the part of the applicant, own investments or at the expense of bank loans in amount not less than 50 % of the total project budget, including not less than 15 % of the loan amount at the expense of the own funds of the applicant (the investments, made into the project not earlier than two years, preceding the date of application, submitted to the Fund, may be accounted).

The program "Component products" envisages financing by the Fund of investment projects, directed for arrangement and/or modernization of production of component products, applied as part of the industrial goods, listed in the Annex to the Decree of the Government of the Russian Federation dd. July 17, 2015, # 719.

The Fund's loan can be used by the organizations for the purposes of the development of a new product/technology, engineering, and purchase of equipment for the technical revamp of fixed assets, financing of costs, associated with the production and introducing pilot batches of products to the market.

Basic funding terms:

• the amount of loan – from  50 to 500 mln RUB;
• the term of loan – not more than 5 years;
• total project budget - not less than 71,5 mln RUB;
• the annual interest rate for the provided targeted loans is 1% for the first three years of the loan use and 5% for the remaining period;
• availability of obligations for co-financing of the project from the part of the applicant, the own funds or at the expense of bank loans in amount not less than 30 % of the total project's budget, including not less than 15 % of the loan amount at the expense of the own funds of the applicant (the investments, made into the project not earlier than two years, preceding the date of the application, submitted to the Fund, may be accounted).

For more information, please contact the Investment Department of the Ministry of Economy of the Republic of Tatarstan by telephone: 8 (843) 524-91-32.