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Russian authorities are working on the conditions under which foreign companies that exited Russia since 2022 may be allowed to return. RBC reported on a preliminary list of such conditions, citing informed sources. It remains unclear which of these will appear in the final version after inter-ministerial discussions and approvals.

One source noted that, in addition to a positive conclusion from the government sub-commission under the Ministry of Finance, the following requirements are also under discussion:

• guarantees of a certain level of localisation within a specified timeframe;
• technology transfer, establishment of research centres in Russia, and the setting of KPIs for investment levels in R&D;
• creation of joint ventures with current Russian owners or with systemically important enterprises.

The preparation of a draft framework for the return of foreign companies to Russia was announced on 9 April by Deputy Finance Minister Ivan Chebeskov. Earlier in April, he had also stated that, so far, no such requests had been submitted by foreign businesses. Russian President Vladimir Putin instructed that the conditions for the return of foreigners be developed.

According to RBC sources, the basic criteria currently under discussion for foreign companies wishing to return to Russia include the following:

• the foreign company continued to pay employee salaries prior to its exit from the Russian market;
• it has no outstanding debts related to wages, taxes, or other mandatory payments;
• the company or its affiliated entities have not been involved in financing the Ukrainian Armed Forces, foreign agents, undesirable organisations, or similar entities.

Officials are also considering giving Russian businesses the opportunity to assess the risks posed by the return of specific foreign companies and to submit their views on the consequences of allowing them back into the market.

Even if all return conditions are met, “domestic businesses must be given an advantage so the market isn’t closed off to them from the outset”, commented Elena Dybova, Vice President of the Russian Chamber of Commerce and Industry. “We believe that in markets where our manufacturers have emerged, the doors should remain closed – at least for a while, say two or three years,” she said. Conversely, in areas where import substitution has not been successful, it makes sense to avoid restrictions and encourage the return of foreign players, said Yuri Aksyonov, partner at Orchards. The conditions for the return of foreigners might include a principle that is currently being implemented when they exit Russia, suggested Yuri Nikolaev, managing partner of the Moscow Bar Association “Nikolaev and Partners”. Thus, in his opinion, conditions such as “voluntary” contributions to the budget and a partial ban on transferring dividends abroad with the obligation to invest a portion of them in the Russian economy may appear.