Small and medium enterprises in Moscow may lose rental benefits

Small and medium enterprises in Moscow may lose rental benefitsThe head of property department Natalia Bocharova said at a meeting of the commission of Moscow City Council for State Property and Land Management, that small and medium business will lose rental privileges in Moscow next year. The city hopes to get 10B RUR in the budget amid falling revenues from privatization, and market participants forecast the closure of private educational and health centers in Moscow.

The benefits for the companies involved in social programs, housing reform programs and innovations have been introduced in the city in 2008 because of the crisis and then renewed annually. The privileged category also includes youth cafes and family entertainment business, catering, construction and architecture, health, education and crafts.

According to Bocharova’s assessment, the benefits are used by only 2.5% of the entrepreneurs that represent small and medium business. New ways of businessmen supporting are being discussed in the Department of Science, Industrial Policy and Entrepreneurship, - she added.