INSUBCONTINENT EXCLUSIVE:
Russia's foreign direct investment (FDI) has fallen to its lowest level in 15 years, with the total volume having decreased to $235 billion
$500 billion of FDI a year, which was still a low result compared to other emerging markets.In the first three quarters of 2024, foreign
exit or winding down of operations of Western firms, especially in automotive and retail, following the imposition of punishing sanctions in
2022.One of the quirks of Russian national accounts is reinvestment of profits by foreign companies working in Russia is counted as FDI,
has been by far the largest direct investor in Russia, even though the U.S
origin of the investment to the country from which FDI arrives in Russia, the last step, and not the place from which the investment capital
started its journey, the first step
investors overwhelmingly pass their capital through multiple jurisdictions on the way to Russia, such as Cyprus or London, little of their
influx of capital has not materialized
Notably, China, Russia's largest trading partner, has prohibited its companies from investing in Russia's oil and gas sector, declined
participation in the Power of Siberia 2 gas pipeline project and advised automotive firms against establishing factories in Russia.Wrong
production will cause long-term problems for Russia as it struggles to find new sources of investment capital
Prime Minister Mikhail Mishustin met Putin on Friday to report on progress in developing the economy and said that Russia had ended 2024
that was 9.5% at the end of last year, the regulator had stamped on both corporate and retail lending that were both falling at the end of
2025.Ironically, Russia is seeing an internal investment for the first time in almost 20 years
with the Democratic Resilience Program at CEPA
Mechanical engineering, which includes manufacturing finished metal products (weapons), computers, optics and electronics and electrical
equipment, was one of the fastest-growing areas for investment in 2022 and 2023/4
This money was mostly allocated to the construction, agricultural and retail sectors, as well as to the military-industrial complex, a key
nine months of 2024, according to official statistics
Consumption, another big driver of growth, was also up 8% year on year."Rosstat has provided the first estimate, according to which Russia's
gross domestic product grew 4.1%, or 0.2% more than expected in the official forecast
This exceeds our expectations
By the way, we saw 4.5% growth in December," Mishustin told Putin, adding that the nominal GDP reached an all-time high of 200 trillion
rubles ($2 trillion) last year.Putin is aware of the problems of maintaining balanced economic growth in a time of massive but ultimately
anticipated ceasefire deal is agreed in the coming months, the Kremlin will have to continue heavy military spending for at least eight
provide jobs to demobilized soldiers and avoid the economic post-war hangover that normally accompanies the end of wars.As a result,
