Rules on advancing of NWF funds for projects to be eased due to deficit of extra-budgetary sources

MOSCOW. Jan 13 (Interfax) - The Russian Finance Ministry is proposing expanding the range of directions for use of advances by initiators of investment projects at the expense of National Wealth Fund (NWF) resources, the Ministry said in a statement.

The Finance Ministry has prepared draft amendments to the rules of placement of NWF funds in securities of Russian issuers associated with implementation of self-supporting infrastructure projects.

The need for expansion is due to the fact that the share of extra-budgetary sources in the structure of new projects has significantly decreased. At the current level of advance NWF financing, this does not allow for the financing of a number of works and expenses. For example, the share of NWF funds in the project for construction of the Dyurtyuli-Achit section of the Kazan - Yekaterinburg highway is 97.7%.

Limits will remain on the use of NWF funds only for consulting, legal, insurance, marketing and advertising services and representation expenses. Such services and expenses can still be financed solely from extrabudgetary sources, as they do not have a significant impact on project implementation.