Large state-owned companies need support consisting of subsidies on interest rates on bank loans. In this way, they will be able to realize planned investment expenditures without increasing tariffs. Representatives of many state-owned companies, such as Russian Railways, AvtoVAZ, Aeroflot, Roscosmos and others, drew attention to this need at a roundtable meeting held in the Federation Council with the participation of representatives of the Central Bank, the Ministry of Finance, the Russian Federation. The Ministry of Economic Development and the Ministry of Industry and Trade are dedicated to measures to support state companies and joint-stock companies with state participation, writes RBC.
The Central Bank of Russia (CBRF) increased the interest rate from 13 percent to 15 percent annually for the fourth consecutive time on October 27. The regulator noted that there was a significant increase in inflation pressure (the inflation forecast for 2023 worsened to 7-7.5% instead of the 6-7% previously expected) and that the increase in domestic demand exceeded the possibilities of increasing the production of goods and services. The increase in the Central Bank’s interest rate also leads to an increase in the loan interest rates offered by banks.
According to the statement made by AvtoVAZ Deputy Chairman Sergei Gromak at the roundtable, if this year the company spends about 10 billion rubles on servicing loans to banks, next year these expenses will increase to 17 billion rubles due to rising interest rates. He explained that the company’s current year budget takes into account the Bank of Russia’s key rate of 7.5%.
“In fact, we will have to give this money, withdrawn from our investment program and model range update projects, to the banks due to the increase in interest rates. This causes a decrease in competitiveness,” emphasized Gromak.
The vice president of AvtoVAZ recalled the government decree No. 393, in force in 2022, which states that systemically important industrial and commercial enterprises have the opportunity to receive loans at a preferential rate to replenish working capital, and the lost bank income is compensated by the federal. subsidies.
Formerly in the State Duma offered Prohibiting loans to foreign agencies.