WELCOME TO THE REPUBLIC OF BASHKORTOSTAN

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1 WELCOME TO THE REPUBLIC OF BASHKORTOSTAN

2 THE HEART OF THE SOUTHERN URALS EUROPE Ufa. ASIA THE REPUBLIC OF BASHKORTOSTAN Geographical location of the republic: on the border of Europe and Asia

3 POPULATION AND AREA OF THE REPUBLIC The capital the city of UFA UFA The population of the region is 4,1 mln people The total area is sq. km. The Republic ranks 7th in population in Russia The density of population is 28,3 people per 1 square kilometer against average 8,3 people in Russia

4 BASHKORTOSTAN: TRANSPORT ACCESSIBILITY KAZAN PERM 6 cities with a million-plus population in a radius of 500 km YEKATERINBURG SAMARA UFA 42 mln population in the Volga and Urals Federal Districts CHELYABINSK 32 th Average wages of the population

Europe of the River-Sea class Ufa OVER 3000 km of railways Kuybyshevskaya Gorkovskaya South Ural Samara 460 km Orenburg 373 km Astana 1387km Over 30 mln ton cargoes Over 5 mln passengers

5 BASHKORTOSTAN: TRANSPORT ACCESSIBILITY Perm 470 km Ekaterinburg 543 km 2 federal motorways: M-5 Ural, M-7 Volga Silk road St. Petersburg Beijing is built on the territory of the Republic Moscow 1342 km Kazan 529 km Railway International airport Motorway River port Chelyabinsk 418 km Agidel is the easternmost port of Europe of the River-Sea class Ufa OVER 3000 km of railways Kuybyshevskaya Gorkovskaya South Ural Samara 460 km Orenburg 373 km Astana 1387km Over 30 mln ton cargoes Over 5 mln passengers (Transported enterprises of Kuibyshev Railways working in the Bashkir region.) The Trans-Siberian Railway passes through the territory of Bashkortostan Direct access by rail to: western Kazakhstan lower reaches of the Volga River the Northern Caucasus Uzbekistan Turkmenistan

is 600 people per hour Terminal capacity

6 UFA AIRPORT More than 40 air companies More than 70 destinations 33 largest cities of Russia Terminal capacity Terminal capacity of internal airlines is 600 people per hour Terminal capacity of international airlines is 800 people per hour Comfort level of passenger service is C standard according to IATA classification. E category of ICAO enables to receive airplanes of any type including Boeing 747, 777.

RICH MINERAL RAW MATERIAL BASE 3500 mineral

mineral resources: NATURAL GAS (undiscovered

balance reserves of about 100 mln tons), COOPER (15

7 RICH MINERAL RAW MATERIAL BASE 3500 mineral deposits 250 oil deposits More than 60 kinds of mineral resources: NATURAL GAS (undiscovered resources of more than 300 bln m³), COAL (about 10 deposits, balance reserves up to 0.5 bln tons), IRON ORE (more than 20 deposits, balance reserves of about 100 mln tons), COOPER (15 deposits) ZINC, GOLD (more than 50 deposits) SODIUM CHLORIDE HIGH-QUALITY CEMENT raw material

BASHKORTOSTAN: INDUSTRY 1st place 2nd place 3d

oil Concrete pumps Crude oil processing Synthetic

sulfur production Production of tank trailers for

8 BASHKORTOSTAN: INDUSTRY 1st place 2nd place 3d place Soda ash production Petroleum and diesel oil Concrete pumps Crude oil processing Synthetic rubber and plastic production Caustic soda and sulfur production Production of tank trailers for petrochemicals, water and other liquids transportation

9 BASHKORTOSTAN: INDUSTRY 1 st place Construction of aviation equipment Mechanical engineering 2 nd place Production of buses and dump trucks 3 rd place Production of helicopters

10 TOURISTIC ATTRACTION 300 solutional caves 1 national park 3 natural reserves 600 rivers 800 lakes More than 3000 cultural, art and archeological monuments More than 30 health resort institutions

11 ACTIVE AND HEALTH RECREATION SKI CENTERS Ski runs length: from 300 m to m Elevation: from 70 m to 300 m Ski runs complexity all levels SANATORIUMS OF THE REPUBLIC OF BASHKORTOSTAN Health complex capacity is 1,3 mln people a year

12 BASHKORTOSTAN AGRICULTURE 1,1 mln heads 199 th tons 1st place in Russia 2,7 th tons 5,4 th tons Number of cattle Production of beef meat Production of koumiss Production of honey

BASHKORTOSTAN AGRICULTURE: BEEKEEPING Today: 500

honey reserve allows to keep 1,5 mln bee colonies

bread - 4 tons; cosmetics - 40 tons 47 TH

13 BASHKORTOSTAN AGRICULTURE: BEEKEEPING Today: 500 thousand of bee colonies Potential: Bashkortostan honey reserve allows to keep 1,5 mln bee colonies honey stock 600 th tons; royal jelly - 10 tons; bee bread - 4 tons; cosmetics - 40 tons 47 TH International congress of beekeepers Apimondia in 2021 year. Venue city is Ufa

14 ECONOMIC PERFORMANCE Gross regional product 20,8 bln $ Industrial output 19,0 bln $ Volume of agricultural industry production 2,5 bln $ 9 Ranks 9th in gross regional product in Russia

mechanical engineering metals and metalware

15 FOREIGN TRADING VOLUME IN 2016 GENERAL FOREIGN TRADING VOLUME 6,3 bln $ 9,9% 0,6 bln $ Export : mineral products products of chemical industry and rubber products of mechanical engineering metals and metalware wood and paper products, etc. Import: 90,1% 5,7 bln $ products of mechanical engineering products of chemical industry metalware Food and other products

16 INVESTMENT POTENTIAL 607 projects 12,3 bln $ investments Investments in fixed capital [bln $ USA] 2,5 5,6 6,3 36,9 th jobs

17 INDUSTRIAL PARKS INVESTMENT SITES UFA 735 buildings 113 land plots INDUSTRIAL PARKS New Greenfield Brownfield 12 Industrial parks

18 MEASURES OF GOVERNMENTAL SUPPORT Reduction of profit tax rate from 17% to 12.5% For regional investment projects up to 10% Remission of property tax Subsidizing of credit interest rates and infrastructure development Subsidizing of expenses in the process of business activities Provision of land without bidding Accepting property in state ownership as pledge

19 PSEDA, BENEFITS FOR PSEDA RESIDENTS Preferential income tax rate Benefits for regional taxes Kumertau and Belebey city are given the status of PSEDA Apply for creating PSEDA in monocities of 2 and 3 categories: Neftekamsk, Beloretsk, Uchaly and Blagoveshchensk Reduced insurance contribution rate (over 10 years) The reduction factor for the tax on mineral extraction VAT preferences

20 PROJECTS REALIZED IN THE REPUBLIC OF BASHKORTOSTAN MANUFACTURING PLANTS HOTELS TRADE INDUSTRY

21 RATING POSITIONS ON THE FEDERAL LEVEL 4 th place 8 th place Minimal economic risks Minimal finance risks 13 th place National rating of the state of investment climate in the subjects of Russia 7 th place Rating of the Russian regions on the level of public-private partnership development

22 EXTERNAL TURNOVER OF THE REPUBLIC OF BASHKORTOSTAN WITH THE SWEDEN External turnover with Sweden in 2017( ): 6,7% 1,1 th dollars 16,5 th dollars 57 th place EXTERNAL TURNOVER OF THE REPUBLIC OF BASHKORTOSTAN (2016) 93,3% 15,4 th dollars Export: supplies of oil products wood products chemical products Import: various equipment and machinery ferrous and non-ferrous metals products food products

23 COOPERATION IN THE TRADE AND ECONOMIC SPHERE 4 OF ENTERPRISES with capital from Sweden Oil production Construction Healthcare Trade

24 INVESTMENT INTENTIONS Chemical products Ferrous and non-ferrous metals products and equipment Forest industry Agriculture Construction Medicine Mechanical engineering High and energy efficient technologies

25 WELCOME TO THE REPUBLIC OF BASHKORTOSTAN

Information about the region

13-16 February 2018 Information about the region In Brief Siberian Federal District (SFD) federal district in the Siberian part of Russia. It was created by presidential decree on May 13, 2000. The SFD