Russia like other countries has been making efforts to minimize the effects of the global crisis on its economy. Moscow aims to restore the flow of foreign investment (FDI) to its economy to the levels before the crisis. This is not a simple tasks but the Russian economy enjoys good chances to do so. Last year, foreign investment into the Russian economy amounted to nearly US$82 billion, thus raising the foreign involvement in the domestic economy to US$268 billion, say some 20 percent of the GDP.

While this can be considered as an impressive figure, the Russian economic development ministry wishes to raise the level to 30 per cent. For this, the ministry is promoting a number of incentives, including tax exemptions, for potential foreign investors. The biggest drop in the foreign investment to the Russian market last year was registered in FDI, with a drop of about 40 per cent. This sharp decline is attributed to the slowdown in the equity market and M&A activities. Russian economists are optimistic that this segment will recover within the next 2 – 3 years.

These figures appeared in the recent edition of the Arabic monthly Anbaa Moscow (Moscow News). This publication resumed last year after a break of 17 years and is now circulated all over the Arab World with much success.