Foreign Investment in Russia Down by Over 90% in 1999

Published: 14 May 2000 y., Sunday
Foreign direct investment rose to $2.9 billion in 1999 from $2.8 billion in the previous year, balance of payments data in the Central Bank's newsletter show. But the outflow of portfolio investment reached $900 million, compared to an increase of $8.3 billion in such foreign investment in 1998. Foreign loans and credits to the government sector totaled $2.7 billion last year, down from $6.7 billion in 1998. This included $1.3 billion in untied financing: about $1.0 billion in loans from international financial organizations and a loan of $0.3 billion from the Japanese Bank for International Cooperation. Actual government payments on foreign loans and credits totaled $7.2 billion ($5.6 billion on the principle and $1.6 billion in interest), out of the $12.2 billion due; about $3.0 billion in payments were overdue. The proportion of foreign equity ownership in the Russian commercial banking system increased by 70% to 10.7% as of January 1, 2000. Foreign direct investment into this sector rose to $0.5 billion (including subordinated credits) from an estimated $0.3 billion in 1999. Last year $11.7 billion in cash foreign currency was brought into Russia (down from $20.7 billion in 1998), including $8.3 billion by the banking system. At the same time, $12.6 billion was taken out of the country ($21.6 billion in 1998), including $5.4 billion through unregistered trade (shuttle traders) and $5.3 billion by tourists. The official foreign currency reserves increased by $1.8 billion in 1999 as a result of operations reflected in the balance of payments.
Šaltinis: Interfax
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