The Russian government announced a policy aimed at boosting housing construction projects in Crimea by giving entrepreneurs access to the incentives offered by the Free Economic Zone FEZ on the peninsula. This was stated by Prime Minister Mikhail Mishustin, underscoring the government’s intent to stimulate investment and drive development in the region.
The plan highlights SEB as a key instrument that can attract more investors to Crimea. The Prime Minister emphasized that every unit of public support to FEZ participants translates into more than three units of private investment, with total investment activity reaching the scale of hundreds of billions of rubles. This framing positions the FEZ as a catalytic mechanism capable of leveraging government support into significant private sector engagement and economic momentum on the peninsula.
The proposal envisions extending the existing incentives to residential construction projects. Under this expansion, developers and builders would enjoy favorable conditions in urban planning and land use procedures, reducing regulatory friction and speeding up project timelines. For residents, this could translate into easier access to plots suitable for modern, comfortable housing, with a smoother process from planning to completion and a clearer path to home ownership on the peninsula.
In parallel with these policy discussions, the State Duma has advanced a draft law that would establish FEZs in new border regions, including the Donetsk and Luhansk People’s Republic areas, as well as Zaporozhye and Kherson regions. The legislation also outlines tax advantages for participants in these zones, signaling a broader strategic push to attract investment, stimulate regional development, and integrate the region into broader economic activity. This shift appears designed to create a more favorable investment climate, encouraging developers and businesses to consider Crimea among their long-term growth plans while aligning regional opportunities with national economic objectives.