Rising Support for Russian Clothing and Textile Producers in 2023
In 2023, Russian small and medium-sized manufacturers in the clothing, fabrics, and leather goods sectors received substantial state-backed loans totaling 35.9 billion rubles. This funding came through a range of financial instruments designed to stimulate business development and growth, as reported by the SME Corporation’s press service.
The loans and guarantees are part of the national project focused on Small and Medium Enterprises. They are intended to lower barriers to expansion, enable the purchase of essential equipment, and secure reliable supplies of raw materials. Industry leaders note that these privileges are enabling firms to scale up production and upgrade the quality and diversity of their offerings.
Alexander Isaevich, the general director of the SME Corporation, highlighted the surge in demand for preferential financing as the domestic fashion sector gains traction. He emphasized that a growing number of entrepreneurs are seeking additional financing options to accelerate growth, modernize facilities, and broaden production capacity. The corporation observes that these financing streams are key for meeting rising demand and sustaining competitiveness in both domestic and export markets.
Reflecting on the year, SME Corporation reported that total financial support at the end of 2023 rose by about 44 percent versus the previous year. The interest in concessional financing has more than doubled since before the 2021 sanctions period, underscoring a resilient push from the sector to invest in equipment, materials, and processes that raise efficiency and output.
Geographic leaders by the volume of attracted financing include Moscow, which drew 7.16 billion rubles, followed by the Moscow region with 4.26 billion rubles, the Ivanovo region at 3.9 billion rubles, St. Petersburg with 1.85 billion rubles, and Sverdlovsk region at 1.44 billion rubles. These regional figures illustrate how investment flows are distributed across key fashion and textile hubs, supporting a broader network of manufacturers and suppliers.
Beyond direct lending, Isaevich noted the availability of additional financial tools to support small and medium-sized businesses. These include investment loans under preferential terms, umbrella guarantees, and concessional equipment rental programs. A distinctive initiative within this ecosystem is the SME Corporation’s project known as SME Sews, which specifically targets clothing manufacturers. Through SME Sews, participating enterprises can access marketing assistance to promote their products and reach wider audiences as they scale operations.
In parallel, a separate project under the umbrella of KOBI Corporation called SME Sews has been implemented to back local brands. This program focuses on helping participants market their goods on popular offline and online platforms, ensuring that small producers can gain visibility and compete effectively in both domestic and international markets. The combined effect of these programs is to create a more robust and connected fashion and textile sector, with easier access to capital and broader routes to market for emerging brands.
Industry observers note that the 2023 results reflect not just a spike in financing but a maturation of the supporting ecosystem. As small and medium enterprises in clothing and textiles increasingly adopt modern technologies, digital tools, and efficient production practices, the sector is positioning itself to respond to evolving consumer preferences, sustain job creation, and contribute to regional economic resilience across Russia. The ongoing collaboration between government programs and industry groups is seen as a critical driver of this momentum, helping many brands transition from local players to recognized names within Russia and beyond.