In global practice, direct investment is one of the main sources of capital for young companies, which often do not meet the requirements of banks and stock market investors. In turn, investors ,who are ready for alternative investments and have higher risk appetite, possess the appropriate skills and have less strict requirements for the companies they want to finance. These investments are an important way to support young companies, especially those engaged in innovation and technology develoment.

The consultation paper covers certain regulatory aspects of direct and venture investments, as well as of investment platforms, or crowdfunding. Market participants are invited to discuss obstacles that hinder the development of the mentioned lending instruments, a set of measures to support them and build the enviroment for creation of the necessary infrastructure.

The Bank of Russia welcomes feedback and proposals to the consultation paper until 1 November 2020.

Preview photo: Cassiede Alain / Shutterstock / Fotodom

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Central Bank of the Russian Federation published this content on 11 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 August 2020 10:42:16 UTC