Share of the 5 largest state-owned companies in total investment in Russia is 15% - deputy PM

MOSCOW. Aug 19 (Interfax) - The structure of investments in fixed capital in Russia is being transformed, including through a reduction in the share of budget funds, while the share of state-owned companies remains high and amounts to 15%, Deputy Prime Minister Alexander Novak said at a meeting of the Council for Strategic Development and National Projects on Wednesday.

"The main structural shift is that we have begun to finance investment more from internal sources, replacing external financing. At the same time, the share of intellectual assets in the structure of investment has increased significantly, to 7%, and the role of budget investment has decreased. Its share has decreased to 15.4%. A high share of state companies remains - the five largest account for more than 15% of all investment," Novak said.

"This trend of structural investment will continue in the coming years," he said.

As part of the launch of a new investment cycle in Russia, the government's priorities will be the financial rehabilitation of companies - "clearing accumulated debts and losses in key industries through restructuring mechanisms and pre-bankruptcy rehabilitation," creating incentives for the full use of existing transport, industrial, and energy infrastructure, prioritizing state support measures for investments with an emphasis on technological sovereignty projects, Novak said. They will also include improving business conditions - "stable tax conditions, protection of property rights, reduction of administrative barriers, shortening the time for technical connection, and the elimination of excessive barriers and inspections," he said.