Friday, August 18, 2017

Yekaterinburg Expo to just break even in 2016-2017

Sverdlovsk regional officials announced recently that the International Exhibition Center of Yekaterinburg will likely just break even in the year 2016 or 2017, as opposed to 2014 as analysts initially predicted.

"The exhibition center was built on borrowed money, so, if one doesn't take the necessary interest payments into account, we should start breaking even by 2016 or 2017," Sverdlovsk Deputy Minister of Economics Elena Novotorzhentseva said, according to Ural Business Consulting.

Novotorzhentseva said annual usage of the exhibition center has consistently increased by 30 percent each year since the facility was opened in 2011, Ural Business Consulting reports.

The International Exhibition Center of Yekaterinburg cost $160 million to build and currently costs between $16 and $20 million annually to maintain.

The Sverdlovsk regional government, which guaranteed the loans taken to build the facility in 2011, is repaying the construction debts and has recently allocated an additional $8 million annually to cover interest payments, according to Ural Business Consulting.