Authorities of the Murmansk region will allocate from the local budget 49.3 million rubles (about $820,000) for support of the small and medium businesses during the current year, Governor Marina Kovtun said on Friday.

“Despite the lower federal support, we have managed to keep the amount of the regional funding for these purposes,” she said. “In 2017, for support of small and medium businesses, the Murmansk region will allocate from its budget 49.3 million roubles – this is the amount used in 2016.”

The authorities would continue work to improve the business climate and to have higher effect from the state support despite of macro economic fluctuations, she added.

In addition to subsidies, the local authorities will continue using mechanisms to lower the tax burden – many businesses in the region enjoy various beneficial taxation programs. The region announced from January 1, 2016 the so-called “tax holidays” for newly registered entrepreneurs, engaged in industries, social, scientific or consumer services. In the current year, benefits of the kind are available not exclusively to newly registered businesses.