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Russian government to give businesses 2.6 billion rubles to avoid layoffs

Russia’s executive cabinet will allocate 2.6 billion rubles ($32.9 million) from the federal budget to banks with orders to compensate small and mid-sized businesses for COVID-19-related losses, Prime Minister Mikhail Mishustin announced through his cabinet’s press service.

Mishustin specified that the funds are to be used to cover essential expenses that cannot be delayed, especially “salaries to support and preserve employment in the air transport industry, tourism, the trade show industry, catering, athletics, extended education, and everyday services.”

Mishustin added that credit-providing organizations will be handed an additional 5 billion rubles ($63.2 million) to enable them to delay credit payment deadlines for businesses. The prime minister said almost twice that amount in payments will likely be delayed in the next six months.