Licensing Of Loans Exceeding 180 Days

This item is issued further to Tax News Reporter dated 28 October 1997. From discussions with the Central Bank we understand that the Bank indeed wants to limit the scope for non-residents making long-term (>180 days) hard currency loans, and therefore no "registration only" or permissions will be granted for loans to be used for the purposes of:[QQ]

• discharging obligations to third parties; acquisition of real estate; acquisition of shares or securities of residents and non-residents; repayment of loans previously advanced by a non-resident.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

For further information contact Alla Shaulina on tel: +7 503 232 5511 fax: +7 503 232 5522 or e-mail directly: Alla_Shaulina@ru.coopers.com