The government of the republic puts a consistent focus on promoting the investment appeal of the Republic of Kalmykia. The republic offers a favorable tax treatment. The investment policy of Kalmykia is being based on these directives:
- development of the regional investment legislation and other normatives in the sphere of business support;
- formation of information openness of the region;
- creation of specialized market infrastructure backing the investment process.
The government and the Poople's Khural (Parliament) give special attention to increasing the invertment attractiveness. Thus was developed and adopted the law "On investment activities in form of capital investments in the Republic of Kalmykia". It provides the investors with a warrant of tax remissions. The proposed law "On investment activities in the Republic of Kalmykia" focuses on the guarantees for the investors, administrative conditions for business, development of the investment infrastructure and prescribes adiption of Annual Investment Program. A system of constant monitoring of the promising investment projects was created in Kalmykia. Besides, the republic offers all the necessary conditions for the development od small business (interest protection, monetary incentives, methodology and consulting maintenance).
Business Support and Servicing Structures
Various authorities and administrations in the republic of Kalmykia are oriented on support for businesses of all kinds.
Ministry of the Investment Policy of the Republic of Kalmykia - attracting investments to the republic's economy from off-budget sources.
Ministry of External Economic Relations of the Republic of Kalmykia carries out the state control for the external economic activities in the Republic of Kalmykia, promotion of higher efficience for export operations.
Chamber of Commerce and Industry of the Republic of Kalmykia, established in 1992 and having become the part of the system of regional Commerce and Industry Chambers. It has an access to the Russian Unified Information System of Commerce and Industry Chambers and offers information, advertising, expert, consulting and other services.
Fund for Support of Small Businesses of the Republic of Kalmykia works on creating the most favorable conditions for the development of small businesses.
Republican Center for the Reform of the Agroindustrial Complex and Development of Industry of the Republic of Kalmykia organized in 1998 has the objective of reorganizing agricultural enterprises, primarily the insolvent ones, realization of pilot projects and fulfillment of the National Privatization Program for Agricultural Lands.
Information and Analysis Center and State Enterprise "Universal Network of Kalmykia" have been created with the purpose of fulfilling the National Informatization Program. Its main approach is the development of software and implementation of information technologies, development and assistance in realization of perspective business projects.
Strategic long-term objectives in the social and ecomonic policy in the republic are modernization of the economy, increase of the economic growth rate, consistent development of life standard on the basis of advantages of competitive economy, its rationalization and reorientation of local conditions.
Improvement of the economical situation in the republic may be secured by modernization of agriculture, realization of highly effective and quickly repaying projects, rational use of the existing financial and natural resources, as well as advantageous geographic location. This will enable creation of new jobs.
Achievement of these objectives requires accomplishing of certain tasks in the field of development of fuel and transport sectors of the republic, sectors of agriculture and processing, tourism.