Yamal Governor Dmitry Artyukhov and Minister for the Development of the Russian Far East and Arctic Alexei Chekunkov met to discuss the implementation of the Arctic Hectare programme, tax incentives for Arctic zone residents and other aspects of the socioeconomic development of the Yamal-Nenets Autonomous Area, the region’s press service reported.

“Yamal is a powerful economic driver in the country’s development. Today we discussed the implementation of projects and new initiatives aimed at boosting the infrastructure and industrial development of the region. We will continue to work jointly to improve the quality of life in our northern regions,” Alexei Chekunkov noted.

Governor Artyukhov reported that 401 contracts under the Artic Hectare programme had been signed on Yamal, which joined the group of top three regions in terms of allocation of land plots. As much as 25 percent of the recipients have opted for using the land to build housing, open farms or other businesses, or recreation facilities.

They also talked about the local businesspeople who had received the status of Arctic zone residents. These 79 entrepreneurs are implementing 82 projects with an aggregate investment of 26.9 billion rubles, which should create approximately 1,890 jobs. The majority of these businesses are working in services and real estate. The rest are implementing logistics, agriculture, tourism and fishing projects.

These entrepreneurs have access to a package of support measures. They mostly apply for federal support, mainly reimbursements for insurance premiums and no-bid lease of land plots. Regional support packages provided to those who are working in priority areas (services and tourism) include income tax incentives for services providers and reduced corporate income tax, corporate property tax and land tax, and a simplified system of taxation for tourism providers.

“The future of the Arctic regions depends on more than their industrial development. We are aware of the high tourism potential in Yamal now that people have started travelling more around the country. For example, the number of tourists at Reindeer Breeder Day, the biggest celebration day in the north, has more than doubled over the past few years. Our businesses see this as an opportunity, and the number of regional travel agencies has increased several-fold. The ministry’s policy of stimulating investment activity in Arctic regions will help us improve services and thus the quality of life in the north,” Governor Dmitry Artyukhov pointed out.