DRAFT LAWS
The following draft laws have passed the first reading in the State Duma:
- regarding the change in the procedure of how the value of a membership interest in an LLC be determined (
draft law No. № 876952-8); and
-
regarding the conditions being expanded of applying the preferential procedure for paying an administrative fine (
draft law No. 883708-8).
LEGISLATION
The President has signed the laws whereby:
- the corporate structure of tiered ownership companies has been allowed in Russia (
No, 178-FZ dated 24 June 2025);
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criminal sanctions have been made more stringent for unlawfully obtaining/using trade secrets and tax or banking secrecy (
No. 175-FZ dated 24 June 2025);
-
the Law on Protecting Competition has been supplemented with article 9.3 regarding the state information system ‘Anticartel’ (
No. 182-FZ dated 24 June 2025);
-
a multifunctional service for information exchange is being created. This will be a Russian application featuring messenger capabilities and functions of public services (
No. 156-FZ dated 24 June 2025).
The procedure has been changed for consummating certain transactions
Decree No. 435 of the President of the Russian Federation dated 1 July 2025
Came into effect on 1 July 2025.
Amendments have been made to, among other things, the Russian President’s Ruling No. 520 dated 5 August 2022 regarding the ban on certain transactions with shares/membership interests of Russian companies from a number of industries. Specifically:
- the list has been expanded of transactions that are not subject to the ban (clause 3 of the Ruling). This concerns transactions for no consideration that result in rights to securities and membership interests (contributions) being directly/indirectly established, modified, changed or encumbered, provided that a party to the transaction is a national from a hostile state and the transaction is being made between spouses/close relatives;
-
transactions/operations that are prohibited from being consummated under the Ruling (provided that the parties to them are not individuals) will be permitted further to a decision of the President (clause 5 of the Ruling). If either party to the transaction/operation is an individual (except for the above transactions for no consideration), it can be consummated based on the permission of the Government Commission on Monitoring Foreign Investment in the Russian Federation in pursuance of an instruction of the President being issued further to a recommendation of the Commission that the transaction/operation is reasonable. The Government will establish a procedure for issuing permissions.
Foreign investors have been guaranteed the opportunity to withdraw their investments
The Russian President’s Ruling No. 436 dated 1 July 2025
Came into effect on 1 July 2025.
Foreign investors have been permitted to make investments in Russia in disregard of the President’s Rulings No. 81 dated 1 March 2022, No. 95 dated 5 March 2022, No. 126 dated 18 March 2022, No. 254 dated 4 May 2022, No. 520 dated 5 August 2022, No. 618 dated 8 September 2022, No. 737 dated 15 October 2022 and No. 138 dated 3 March 2023.
It has been defined who is meant by a foreign investor and which transactions/operations are covered by the new guarantees.
An account of type ‘In’ is being introduced by means of which foreign investors will be able to purchase shares, bonds and units of investment funds on the Russian market and to transfer, including outside Russia, monetary funds which have been credited to such account.
The transactions/operations have been listed which are permitted/not permitted to be made using such account.
The Central Bank’s Board of Directors will establish the regime for an account of type ‘In’.
Please be advised
Further to your request, we can prepare tailor-made overviews of Russian legislation for you relating to current and future restrictions and measures of state support for business. For more details, please follow the link, or contact Oksana Bodryagina at: o.bodryagina@pgplaw.ru
