Foreign Investments in Russia

An analysis of the dynamics of foreign investments in the Russian economy must necessarily take into account the structural specificities of investment sources. The bulk of the foreign investments that are flowing into the Russian economy is constituted by ‘other' investments, broken up into the following categories depending on the relevant financial instrument: loans and borrowings; commercial credits; credits obtained from indirect investors, and in particular from international financial organization (the World Bank, the International Monetary Fund, the International Bank for Reconstruction and Development, the European Bank for Reconstruction and Development); credits obtained from foreign governments against the guarantees of the Government of the Russian Federation, etc.

In 2009-2011, the structure of foreign investments altered in response to the declining volume and share of foreign direct investments and growth of other investments. In 2011, foreign direct investments amounted to $ 133.3bn, or 9.7% of the total volume of foreign investments in the national economy against 12.1% a year earlier. As a result, the share of investments from abroad in the total volume of investments in fixed assets in 2011 dropped to 3.1% against 3.8% in 2010.

 

O. I. Izriadnova, Head of the Structural Policy Department