OREANDA-NEWS. March 05, 2010. The government plans to invest more than RUB600bn (USD20bn) by 2020 in support of its ailing auto industry. The main portion of this investment program will be aimed at the renewal of fixed assets, as well as in support of projects to create new components, reported the press-centre of OTKRITIE FC.

The state is prepared to directly support the industry at this early stage (2010-2012), with its participation in the financing of automobiles reduced over time.

View: Domestic manufacturers are likely to raise long-term government financing for the development of the auto industry.  This news will have a short-term positive impact on share prices of domestic manufacturers.