The Ministry of Economic Development has developed plans to support technological startups, with which Russia will be able to compete with the American silicon valley, writes Kommersant. The initiative is part of the Government Strategic Program “take off – from startup to IPO.”
Plans suggest the provision of state support to technological startups at all stages of their existence: from the emergence of the project idea before the company’s exit to the stock exchange through the IPO procedure (primary public sale of shares). The Ministry of Economic Development expects its measures to achieve an increase in the number of public technology companies in Russia.
The first results of the program should appear in 2023, when the startups participating in it begin to go to the IPO. To 2024 they should be at least 30. The entire program is designed until 2030.
Support for technological startups is proposed to divide into three stages: pre-election and acceleration (assistance in a special institution through training and provision of initial financing), development of a mature company and support for stable business.
It is assumed that a “seamless” digital environment will be created on the basis of the state program, in which development institutions will be able to exchange information about companies and results to provide more efficient assistance. It is also expected that in the first accelerator stage the Skolkovo Foundation and other development institutions will take part, and tax breaks will be provided to the first investors in projects.
In the second stage, the authors have provided preferential lending on the key rate of the Central Bank through SME Bank and SMEs Corporation. In the third stage, state subsidies will be allocated, compensating up to 50 percent of the cost of the IPO procedure.