MOSCOW (Realist English). Prime Minister Mikhail Mishustin has issued a series of orders following the 11th Digital Industry of Industrial Russia (TsIPR) conference, held in Nizhny Novgorod from 18 to 21 May. The corresponding list of directives was published on the government’s website on 8 August.

The key innovation is the increase in grant co‑financing for particularly significant projects aimed at developing and implementing domestic digital solutions – from the current 50% to 80% of project costs, funded from the federal budget.

In addition, the government has ordered priority for Russian AI solutions in public procurement and accelerated transition of critical information infrastructure facilities to domestic software.

Key government orders

AreaOrderResponsible BodiesDeadline
Grant supportIncrease project co‑financing to 80% of costsMinistry of Digital Development, Ministry of Finance, RFITBy 20 December
AI priority in procurementAmend legislation to prioritise Russian large language modelsMinistry of Digital Development, Ministry of FinanceBy 15 December
Critical infrastructure software transitionFinalise regulatory framework for transitioning critical infrastructureMinistry of Digital Development, Ministry of Industry and TradeBy 15 December
Regional tax breaks for IT companiesExpand use of reduced simplified taxation rates (no more than 3% on revenue, 8% on revenue minus expenses)Regional governorsBy 1 December
Advanced AI servicesFormulate a list of AI‑based services for key economic sectorsRelevant ministriesBy 25 December
Software procurement monitoringMonitor procurement of Russian software by companies operating critical infrastructureMinistry of Digital Development, Ministry of Industry and TradeOngoing
Consolidated project reportReport on implementation of major digital projectsMinistry of Digital Development, RFITBy 1 September
Sectoral IT landscapesUpdate IT landscapes and technical priorities for 2030–2036Industry competence centres, ministriesOngoing

Grant support: from 50 to 80%

The government will fine‑tune the mechanism for supporting particularly significant projects aimed at developing and implementing domestic digital solutions across various production sectors.

Currently, the maximum grant support is up to 50% of project costs. Following proposals from the Ministry of Digital Development, the Ministry of Finance and the Russian Foundation for Information Technology Development (RFIT), this ceiling will be raised to 80%.

Critical infrastructure software transition

The Ministry of Digital Development and the Ministry of Industry and Trade have been tasked with finalising and approving regulations governing the transition of critical information infrastructure (CII) facilities to domestic software.

At the same time, flexible mechanisms must be provided for businesses to avoid disruptions to technological and production processes. Under current rules, key CII facilities must transition to Russian software by 1 January 2028.

The ministries have also been instructed to monitor procurement of Russian software by companies operating CII facilities.

Priority for Russian AI in government procurement

To ensure priority demand for Russian large language models, the Ministry of Digital Development and the Ministry of Finance will, by 15 December, study the possibility of amending federal legislation to establish priority for domestic AI solutions in government procurement.

In addition, by 25 December, proposals will be prepared on a list of necessary and advanced AI‑based services for each key economic sector.

Regional tax breaks for IT companies

Regional governors have been recommended, by 1 December, to explore expanding the use of regional tax breaks under the simplified taxation system (STS) for IT sector organisations.

Reduced tax rates for such companies should be no more than 3% if tax is levied only on income, and no more than 8% if the STS is applied under the “income minus expenses” scheme.

Monitoring and reporting

The Ministry of Digital Development and RFIT will, by 1 September, prepare a consolidated report on the current status of particularly significant projects for implementing Russian digital solutions at industrial facilities. The report will include plans for scaling the most effective practices through 2030 and 2036.

TsIPR-2026 in Nizhny Novgorod

The 11th International Conference Digital Industry of Industrial Russia (TsIPR-2026) was held in Nizhny Novgorod from 18 to 21 May. It brought together more than 13,000 participants from 46 countries.

The conference’s key theme was industrial digitalisation, which forms the foundation of Russia’s economy. In his plenary address, Mikhail Mishustin noted that the high‑tech sector has enormous potential for further development, emphasising the conference’s role in strengthening the country’s technological sovereignty.

Strengths and pressure points

The most significant innovation – increasing grant support to 80% – substantially reduces the financial burden on industrial enterprises when implementing domestic digital solutions. The introduction of priority for Russian AI solutions in government procurement creates additional demand for domestic developments and stimulates industry growth.

However, the key question remains whether the Ministry of Digital Development and the Ministry of Industry and Trade can ensure a flexible transition of CII facilities to domestic software without halting production by the established deadlines. Furthermore, the effectiveness of regional tax breaks will depend on the readiness of regional authorities to expand their application.