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"Russia is an unknown IT kingdom»

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Image source: © РИА Новости / Алексей Мальгавко

Japanese investment specialist Yusuke Otsubo said that in Russia has developed serious advantages for the work of the IT industry, and called the country "an uncharted IT kingdom". In his article for JB Press, Otsubo used data from the British Analytical Center for Economic and Business Research (CEBR).

As noted by Otsubo, in the Japanese media, the Russian economy is most often portrayed as "one-legged", dependent on natural resources and in dire need of structural reform.

"Although this is little known and not well confirmed by statistics, Russia has great advantages in the field of IT, especially in contract software development," the author stressed.

According to a recent study by the Internet Institute at the University of Oxford, in 2018, 750 thousand Russian companies (Otsubo called it "an incredible number") sold software to the UK alone. These figures do not seem to be reflected in the Russian GDP figures.

Recently, Russia has increasingly attracted attention as a place for outsourcing software development, the author stressed. According to RUSSOFT, an industry group of Russian software development companies, at the end of 2018, the number of Russian personnel engaged in software development was 540 thousand people.

As reported by "Rambler", earlier in the Russia indefinitely reduced insurance premiums for IT companies from 14 to 7.6 percent, and also cut income tax from 20 to three percent.

Tax support has been extended to companies that have at least 90 percent of their income from selling software, as well as services for its development, implementation and support.

The authorities expect that this will increase the salaries of Russian programmers and return to the country specialists who previously preferred to work for foreign companies.

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