OREANDA-NEWS. November 10, 2011. The lower house of the Parliament of the Russian Federation [the State Duma] passed in third reading amendments to the Federal Law “On the Procedures for Foreign Investments in the Business Entities of Strategic Importance for the National Defence and State Security”, reported the press-centre of FAS Russia.

The amendments liberalize control over foreign investments in strategic sectors of the national economy. In particular, they:

- exclude control over transactions between organisations that are controlled by Russian owners as well as transactions involving international financial organisations, the list of which are to be approved by the Government of the Russian Federation;

- change the criterion for economic entities being controlled by foreing investors in use of subsoil of federal status – from 10 to 25 % voting shares (equity stakes) of the authorised capital;

- exclude the following from the list of strategic activities: exploiting sources of radiation by economic entities in the civil sector of the economy, for whom such activity is not the main one, and information encryption by the banks (without participation of the Russian Federation).

The amendments are aimed at general improvement of the procedures for considering petitions from foreign investors, which would reduce consideration periods.

The passed draft Law is an important component of the state programme for improving the investment climate in the Russian Federation”, said Deputy Head of FAS, Andrey Tsyganov.

Reference:
Decisions on petitions for transactions under the law on foreing investments in strategic enterprises are to be made by the Government Commission. FAS Russia is the authorised body to control foreing investment in the Russian Federation. The antimonopoly body makes conclusions regarding petitions, exercises verifications, prepares informational and analytical materials and proposals on a possible decision for the Commission of the Government of the Russian Federation.