Strategic Treasury

Investment Opportunities and Challenges in Russia

2007 saw the highest levels of international investment flows ever recorded in Russia, with an estimated $48bn of foreign direct investment (FDI) inflows and a similar amount invested by Russian enterprises abroad. Consequently, Russia is now one of the world’s largest recipients and sources of FDI. Many domestic and international commentators have interpreted the improved investment environment as a result of the country’s favourable macroeconomic situation and a dynamic domestic market which allows incumbent firms to generate high profits and encourages them to reinvest in Russia.

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