Guarantees for foreign investors in Russia in 2026
The capital protection system for foreign market participants in 2026 is structured on two levels: fundamental basic guarantees enshrined in law, and targeted regulatory incentives for the influx of new capital, introduced by decrees of the head of state.
1. Basic legislative guarantees (Federal Law No. 160)
Federal Law No. 160-FZ "On Foreign Investments in the Russian Federation" provides a long-term legal framework that protects all foreign investors and grants them the following key rights:
• Legal protection : The state guarantees equality and protection of commercial activities of investors in Russia.
• Freedom to choose investment forms : Capital can be invested in any projects and assets not prohibited by Russian legislation.
• Assignment of rights : The investor has the right to freely transfer his rights and obligations to third parties (through assignment of claims or transfer of debt).
• Compensation for alienation of property : Nationalization or requisition is possible only on strictly legal grounds or under international treaties. In the event of requisition, the investor is compensated for the full value of the property.
• Stability of conditions (grandfather clause) : If new laws increase the tax burden or introduce new restrictions for priority projects, these changes do not apply during the project's payback period (basically, up to seven years from the start of financing). For large industrial or infrastructure projects worth over 1 billion rubles, the Russian government may extend this protective period.
• Repatriation of Profits : Investors have the right to freely use and transfer abroad their legal profits and dividends after paying all taxes.
• Removal of property : Unimpeded export of equipment, material assets and information that were originally imported into Russia as investments is permitted.
• Asset transactions : The right to purchase securities without restrictions, participate in privatization, and register rights to land and other real estate is provided.
• Preferences and benefits : Investors can count on customs benefits for priority projects and regional support measures from local authorities.
• Dispute resolution : Access to the judicial system and arbitration institutions is guaranteed to resolve any investment conflicts.
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2. Special support measures from 2025–2026
To restart investment activity and reduce barriers to capital from all jurisdictions (including unfriendly countries), Presidential Decree No. 436 of the Russian Federation, "On Additional Guarantees of Foreign Investors' Rights," was signed on July 1, 2025. The mechanism it implemented became fully operational in 2026 .
The essence of the mechanism is to remove new investments from the scope of strict counter-sanction restrictions.
In-type accounts: rules and possibilities
For new portfolio and direct investments made after July 1, 2025, the Bank of Russia has introduced special "In" accounts . These accounts are permitted for holding rubles, foreign currency, Russian stocks, OFZs, corporate bonds, and mutual fund units.
Within the framework of the “In” accounts, a foreign investor receives the right to:
1. Buy and sell securities of Russian issuers both during exchange trading and during initial public offerings (IPOs).
2. Freely receive income from securities (dividends, coupons, payments upon redemption).
3. Place money in deposits in Russian banks and withdraw it along with interest.
4. Conduct transactions with derivatives (derivative financial instruments).
5. Withdrawing funds abroad applies to both the initial capital and all profits earned. This does not require using blocked Type C accounts or obtaining permission from the Government Commission.
Significant limitations of "In" accounts:
• Specific targeting : The preferential treatment and guarantees apply exclusively to capital transferred through the "In" account. Old blocked assets from "C" accounts cannot be transferred to it—new funds must be used for investments.
• Cash Prohibition : Cash withdrawals in any currency from In-type accounts are strictly prohibited.
• Closed loop : All settlements and fulfillment of obligations under investment transactions within the Russian Federation must be carried out strictly through the “In” system of accounts.
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3. Critical risks and nuances for the investor
Despite unprecedented regulatory easing, foreign businesses must consider domestic legal filters:
1. Exceptions to the grandfather clause : Protection against deterioration of laws ceases to apply if new rules are introduced to protect the constitutional order, national security, the country's defense capability, or to protect the health and rights of other citizens.
2. Currency and banking controls : In-type accounts are fully subject to standard compliance procedures. Banks are required to conduct verification of the source of funds (POF) and customer due diligence (KYC).
3. Strategic Industries : The purchase of shares or stocks in companies of strategic importance to the defense and security of the Russian Federation remains strictly regulated by Federal Law No. 57-FZ and requires prior approval from the relevant government commission.