1. opportunities in Russia
Investment
opportunities in Russia
Report
of Trade Representative of the Russian Federation in Finland
Dr. Valery Shlyamin
Helsinki

2. Main economic indicators of Russian economy (rate of growth, %)
2004
2005
2006
2007
2008*
2009*
GDP
7.2
6.4
6.6
8.1
6.0
-0.2
Industrial Production
8.3
4.0
4.7
6.3
2.0
-5.7
Capital Investments
11.7
10.7
11.0
21.1
9.2
-1.7
Real Personal Disposable Income
10.4
9.3
12.5
12.1
-2.7
Retail Trade Turnover
13.3
12.8
16.1
13.6
3.4
*estimate Source: Ministry for Economic Development of the Russian Federation, Ministry of Finance of the Russian Federation
Russian Trade Representation in Finland

3. Russia as investment opportunity
2000 year
State
GDP - $ 260 bln.
Consolidated budget - $ 40 bln.
State Debt – over 50 % of GDP and
over 120% of Federal Budget
Gold and currency reserves - $ 27,7 bln.
Short-terms goals logic
Lack of PPP’s legal base and practice
Macroeconomic instability
2008 year
State
GDP - $ 1729 bln.
Consolidated budget - $ 559 bIn.
State Debt – less than 10 % of GDP and
less than 28% of the Federal Budget
Gold and currency reserves– $ 438,2 bln.
Long-term strategic planning on federal
and regional levels
New legal base and practice for PPP
Macroeconomic Stability
Source: Ministry for Economic Development of the Russian Federation, Ministry of Finance of the Russian Federation
Russian Trade Representation in Finland

4. Result - macroeconomic stability.
Federal Budget Profitability in – 6,5% of GDP
Stabilization Fund by 1st of January – $ 225,1 bln.
Gold Reserves as of December 2008 – $ 438,2 bln.
Source: Ministry for Economic Development of the Russian Federation, Ministry of Finance of the Russian Federation
Russian Trade Representation in Finland

5. Modern establishment of legal base and authorities for
market regulation, de-bureaucratization of economy
and competition development
Tax Code, Customs Code
Legislation on licensing and valuation activity
Legislation on natural Resources: Entrails, Water, Forest, Land
Legislation on bankruptcy, currency control,
new edition of the law on joint-stock companies
Law on state purchases
Law on competition protection
Law on autonomic organizations
Russian Trade Representation in Finland

6. Finish investments to the Russian economy
From to the year (mln.dollars)
Source: Rosstat

7. Russian Trade Representation in Finland
Source: Rosstat
Russian Trade Representation in Finland

8. The largest Finish investment project currently realized in Russia
“Fortum” investment project in the “TGK-10”
(one of the local heat -and electricity company, Western Siberia)
Total investments: 2,5 mrld.euro
-”Stockmann” city-mall in Saint-Petersburg
Total investments: 110 mln.euro
-”Lemcon” industry park in the city of Kaluga (Center part of Russia)
Total investments: mln.euro
“Evli Bank” has created second equity fund for the investment
to the Russian commercial property
Total investments: mln.euro
Source: companies annual reports, finnish newspapers
Russian Trade Representation in Finland

9. Russian Trade Representation in Finland
Large Finnish investment project planned to be realized
-joint project “Borea” of ”UPM-Kymmene” and “Sveza” (A.Mordashev, Severstal).
Goal of the project: Pulp plant, OSB plant, sawmill
Place: city Sheksna, Vologodskaja oblast
Total amount of investments: 1,1 mrld.euro
-project “Stora Enso” in Nishnji Novgorod.
Goal of the project: Pulp and paper plant.
Total amount of investments: 1,1 mrld.euro
-project “Ruukki Group” in the North-West of Russia
Goal of the project: modern sawmill
Total amount of investments: 70 mln.euro
-project «Finndomo» industrial wood houses production plant in the
North-West of Russia
Source: companies annual reports, finnish newspapers
Russian Trade Representation in Finland

10. Welcome to cooperation
Russian Trade Representation in Finland