Guide to Investment Republic of Tatarstan PwC Russia (www.pwc.ru) provides industry-focused assurance, tax, legal and business consulting ser- WJDFT0WFS QSPGFTTJPOBMTXPSLJOHJO1X$PGΎDFTJO.PTDPX 4U1FUFSTCVSH &LBUFSJOCVSH ,B[BO /PWPTJCJSTL ,SBTOPEBS 7PSPOF[I :V[IOP4BLIBMJOTLBOE7MBEJLBWLB[TIBSFUIFJSUIJOLJOH FYQFSJ- ence and solutions to develop fresh perspectives and practical advice for our clients. The global network Contents PG1X$ΎSNTCSJOHTUPHFUIFSNPSFUIBO QFPQMFJODPVOUSJFT 1X$ΎSTUBQQFBSFEJO3VTTJBJOBOESFFTUBCMJTIFEJUTQSFTFODFIFSFJO4JODFUIFO 1X$IBT 4 Introduction by 22 The Republic of Tatarstan’s strategic eco- been a leader in providing professional services in Russia. Rustam Minnikhanov, nomic development priorities President of the Republic of Tatarstan ȉ Chemical & petrochemical "DDPSEJOHUPBOJOEFQFOEFOUTVSWFZPGNBKPSDPNQBOJFTBOEPSHBOJTBUJPOTJO3VTTJBGSPNUP Foreword ȉ .BDIJOFSZBVUPNPUJWFQBSUT PWFSUIFQBTUΎWFZFBST1X$IBTSFNBJOFEUIFTUSPOHFTUCSBOEBNPOHUIF#JH'PVS5IJTTVSWFZXBTDPO- 6 EVDUFEPOBOBOPOZNPVTCBTJTCZBOJOEFQFOEFOUSFTFBSDIPSHBOJTBUJPOJOBDDPSEBODFXJUI&40."3 by Managing Partner of PwC Russia ȉ %FWFMPQNFOU SFBMFTUBUF TFSWJDFT standards. tourism 8 Tatarstan Investment ȉ *5UFMFDPNNVOJDBUJPOT Development Agency ȉ $POTUSVDUJPO ȉ .FEJDJOFQIBSNBDFVUJDBMT 12 General information on Tatarstan ȉ "HSJDVMUVSFGPPEQSPDFTTJOH ȉ )BMBMJOEVTUSZ ȉ Overview ȉ Education and science 34 Investment climate ȉ Workforce ȉ Sporting events ȉ International investment forums ȉ Transport infrastructure ȉ *OWFTUNFOUQPSUBM ȉ *OWFTUNFOUJOGSBTUSVDUVSF 18 Brief data points illustrating Tatarstan’s ȉ "MBCVHB4QFDJBM&DPOPNJD;POF economic potential and level ȉ *OWFTUNFOUBSFBT of investment 45 Leading banks in Tatarstan ȉ GRP and GDP ȉ Industrial production 47 Trade and Economic Representative ȉ *OWFTUNFOUJOʞYFEDBQJUBM 0GΎDFTPGUIF3FQVCMJDPG5BUBSTUBO ȉ Foreign investment ȉ Foreign trade 50 Contacts This overview has been prepared in conjunction with Tatarstan Investment Development Agency (TIDA). This publication has been prepared for general guidance on matters of interest only, and does not con- TUJUVUFQSPGFTTJPOBMBEWJDF:PVTIPVMEOPUBDUVQPOUIFJOGPSNBUJPODPOUBJOFEJOUIJTQVCMJDBUJPOXJUI- PVUPCUBJOJOHTQFDJΎDQSPGFTTJPOBMBEWJDF/PSFQSFTFOUBUJPOPSXBSSBOUZ FYQSFTTPSJNQMJFE JTHJWFO as to the accuracy or completeness of the information contained in this publication, and, to the extent permitted by law, PwC network, its members, employees and agents accept no liability, and disclaim all responsibility, for the consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it. PwC | 3FQVCMJDPG5BUBSTUBO] Introduction by Rustam Minnikhanov, JOOPWBUJPOJTUIF,B[BO*51BSL XIJDIGP- (schools, kindergartens, hospitals, shop- cuses on mass commercialisation of projects ping centres, restaurants, etc.), and several President of the Republic of Tatarstan in information and communications tech- classes of residential areas (from apartment OPMPHJFT"TFDPOE*51BSLJO/BCFSF[IOZF buildings to townhouses and cottages), the $IFMOZXBTPQFOFEJO bulk of which will be rented to employees of resident companies with a purchase option. A priority development project that was MBVODIFEUIJTZFBSJT,B[BO4NBSU$JUZ 8FBSFQSPVEUPTUBUFXJUIDPOΎEFODFUIBU an urban development project designed to the work we are doing is yielding results. A Ladies and gentlemen, readers and partners: promote investment in high technology, range of leading multinational companies – NFEJDJOF FEVDBUJPO BOEUPVSJTN,B[BO BNPOHUIFN'PSE4PMMFST 3PDLXPPM )BZBU Please allow me to introduce you to the Republic 4NBSU$JUZXJMMMJFPOIFDUBSFTPGMBOE (SPVQ %BJNMFS $VNNJOT ;' 4DIOFJEFS of Tatarstan. Located at the crossroads of impor- UISFFLJMPNFUSFTGSPN,B[BO*OUFSOBUJPOBM &MFDUSJD 'VKJUTV "SNTUSPOH . 33%PO- tant trade routes connecting East and West, North "JSQPSUBOELJMPNFUSFTGSPNUIF,B[BO OFMMFZ "JS-JRVJEF 1JTDBS7FSOJDJ4SM BOE4PVUI 5BUBSTUBOJTPOFPGUIFNPTUEZOBNJ- DJUZDFOUSF,B[BO4NBSU$JUZXJMMIBWFGPVS ,BTUBNPOV&OUFHSF 4BSJB#JP*OEVTUSJFT cally developing regions of the Russian Fede- main precincts: Central Business Precinct, )ZHJFOF5FDIOPMPHJFT-UE BOE,JFLFSU"(Ǽ ration. Financial and investment experts alike .FUSPQPMJUBO1BSL ,OPXMFEHF&EVDBUJPO have already chosen Tatarstan as a location concur that our republic has tremendous potential 1SFDJODU BOEB4QFDJBM&DPOPNJD;POFGPS for their business. for attracting foreign direct investment. high technology production. For my part, I can assure you that the key *OBEEJUJPO JO+VOFDPOTUSVDUJPOTUBSU- economic policy priorities of Tatarstan’s With this in mind, the Tatarstan Investment al parks and facilities, business services and ed on the Innopolis Innovation Centre, a leadership have always been and will contin- Development Agency (TIDA) was founded outsourcing centres, and other conditions new city in Russia specialising in IT business ue to be aimed at making the republic more JOUPJODSFBTFUIFFGGFDUJWFOFTTPGPVS that meet investor needs and expectations. and training. Innopolis is a smart city with attractive for global investors and support- investment facilitation and promotion. TIDA subdivided business infrastructure (tech- ing the development of business. operates as a one stop centre, helping inves- The most successful of these facilities is OPMPHJDBMQBSLT 3%DFOUSFT FUD *UXJMM tors along every step of the investment cycle. UIF"MBCVHB4QFDJBM&DPOPNJD;POF 4&; GFBUVSF3VTTJBȀTΎSTUVOJWFSTJUZTQFDJBMJT- We would be glad to see you join our list of where residents have access to fully-estab- ing in information technologies (working in successful investors and partners and en- TIDA joined the World Association of Invest- lished infrastructure for manufacturing, partnership with Carnegie Mellon University KPZTVDDFTTBOEQSPTQFSJUZXIJMFSFBMJ[JOH NFOU1SPNPUJPO"HFODJFT 8"*1" JO4FQUFN- engineering, utilities, transport and cus- JOUIF6OJUFE4UBUFT BTXFMMBTBGVMMSBOHF your investment project in the Republic of CFS*O'FCSVBSZ5*%"XBTFMFDUFE toms, while also enjoying a range of tax and of social and commercial infrastructure Tatarstan. to the WAIPA directorship for Eastern Europe. DVTUPNTCFOFΎUT The Investment Board of the Republic of Ta- The best known site for chemical and poly- UBSTUBOXBTGPVOEFEJOXJUIUIFBJNPG mer production companies is the Himgrad CPPTUJOHJOWFTUPSDPOΎEFODFBOEJNQSPWJOH 5FDIOPMPHJDBM1BSL'VSUIFSNPSF ,BNTLZ the overall investment climate of our region. *OEVTUSJBM1BSL.BTUFS XIJDIXBTTQFDJΎDBM- ly designed for heavy engineering enterpris- Our republic is also active in establishing in- FT JTPOFPGUIFSFQVCMJDȀTQSJ[FEJOJUJBUJWFT Rustam Minnikhanov vestment infrastructure, including industri- The youngest facility in Tatarstan’s drive for President of the Republic of Tatarstan 4 | Guide to Investment | PwC PwC | 3FQVCMJDPG5BUBSTUBO | 5 Foreword by Managing Partner of city specialising in information technologies tries, the International Winter Forum Invest where the potential population is expected JO5BUBSTUBO BOEUIF,B[BO7FOUVSF'BJSBSF PwC Russia UPSFBDI QFPQMF annual events that help acquaint investors with Tatarstan’s potential, while at the same 'VSUIFSNPSF UIFDSFBUJPOPG,B[BO4NBSU time providing an important platform for City, a new urban development that will business networking. help advance high technology, medicine, education, and tourism, will help boost the We should also mention the impressive work republic’s potential for innovation-oriented that Tatarstan has done, as well as large- EFWFMPQNFOU,B[BO4NBSU$JUZXJMMGPTUFS scale projects that are just beginning as part sources of growth for the entire region, es- PGQSFQBSBUJPOTGPSUIFUI8PSME4VNNFS UBCMJTIJOH,B[BOBTBOJOUFSOBUJPOBMCVTJ- 6OJWFSTJBEFPG UIF8PSME"RVBU- ness hub. JDT$IBNQJPOTIJQT BOEUIF'*'"8PSME Cup, for which a number of games will be The Tatarstan Investment Development IFMEJO,B[BO1X$JTQSPVEUPCFB1BSUOFS "HFODZ 5*%" XBTGPVOEFEJOUP BOE0GΎDJBM1SPGFTTJPOBM4FSWJDFT1SPWJEFS help promote investment into Tatarstan GPSUIFUI8PSME4VNNFS6OJWFSTJBEFPG and facilitate and support investors enter- 5IFΎSNJTBMTPFBHFSUPIFMQTUSFOHUI- ing the region. TIDA operates as a “one en Tatarstan’s image internationally. The Republic of Tatarstan has been one of ness, not only in traditional sectors, but also stop shop” for all investors and invest- the most attractive regions in Russia for in- in newly developing industries. For example, ment projects. 8FBSFDPOΎEFOUUIBUUIJTHVJEF XIJDI vestors for many years. Thanks to the effec- the Baltach Halal Agricultural Park has been was prepared in collaboration with TIDA, tive work of the Government of Tatarstan in recognised for its contributions to business International forums and events play an im- will be a valuable resource for potential raising the attractiveness for investment and development in rural areas since this if the portant role in enhancing the investment at- investors and assist them in properly as- setting up support for investors, the republic ΎSTUTJUFPGJUTLJOEGPSSFQSFTFOUBUJWFPGΎDFT tractiveness of Tatarstan and promoting and sessing Tatarstan’s potential for economic holds a leading position among Russia’s re- PGTNBMMBOENFEJVNTJ[FECVTJOFTTFTJO strengthening international investment and growth and the advantages for doing busi- gions in terms of economic growth and ease Russia. USBEFSFMBUJPOT,B[BO4VNNJU*OUFSOBUJPOBM ness in this region, as well as pursuing in- of doing business. &DPOPNJD4VNNJUPG3VTTJBBOE0*$$PVO- vestment projects. 4QFDJBMGPDVTBMTPIBTCFFOQVUPOEFWFMPQ- One of the most attractive sites for foreign ing innovations and information