Companies will retain special conditions for moving to ‘Russian offshore centres’

The Ministry of Economic Development has drafted a decree extending until the end of 2025 the simplified mechanism for re-registration of foreign companies with Russian equity participants in special administrative regions (SARs).

The current procedure allows bypassing the requirement to provide certain documents when formalising residency in SARs if it is not possible to obtain them. This applies, for example, to information on the state registration of a foreign company and a copy of its articles of association when registering through a transfer of jurisdiction (redomiciliation).

This measure was introduced for the first time in March 2022, and it has proven to be really effective and relevant for companies that are considering ‘relocating’ to the ATS. The Ministry of Economic Development press office said that the extension of the ability to submit copies of documents and explain why certain documents are missing at border crossings will continue to encourage more companies to relocate to the ATS.

The special administrative districts include Russky Island in Primorsky Krai and Oktyabrsky Island in Kaliningrad Oblast. As of 31 March 2024, these districts together have 390 participants. Of these, the majority, 298 companies, have chosen Oktyabrsky Island, while 92 companies have located on Russky Island.