Saudi Arabia signs commitment to invest up to $10bn in RussiaJuly 7, 2015 - 09:09 AMT PanARMENIAN.Net - Saudi Arabia has signed a commitment to invest up to $10 billion in Russia, the Russian Direct Investment Fund said Monday, July 6, according to The Wall Street Journal. Russia’s latest pact with its closest oil-producing rival marks Moscow’s efforts to replace Western funding, which has been hit by sanctions, just a few days before a summit of five major emerging economies, known by the acronym of Brics, to be held in Russia’s town of Ufa. The majority of the $10 billion from Saudi Arabia’s sovereign-wealth fund, Public Investment Fund, will be spent on Russia’s agricultural projects, as well as on medicine, logistics, and the country’s retail and real estate sectors, RDIF chief Kirill Dmitriev told the Journal. The agreement was reached after a “great” contribution from Mohammad bin Salman Al Saud, Deputy Crown Prince of Saudi Arabia, who met Russia’s President Vladimir Putin during an annual economic forum in Saint Petersburg in June, the RDIF said. “The key investments will take place on Russian territory, but we will also invest in Saudi Arabia, which we consider a very promising market,” Dmitriev said. The RDIF also said it signed an agreement with another Saudi Arabian sovereign-wealth fund, the Saudi Arabian General Investment Authority, under which the two sides would seek mutual investment opportunities in Saudi Arabia and other Middle East countries. Facing a political standoff with the West, Moscow has been turning eastward, saying it would seek Asian investors to reduce reliance on Europe and the U.S. In early May, Russia signed economic deals with China via the RDIF worth up to $25 billion, with Chinese banks investing in Russian companies. However, so far, there has been little evidence that China’s money has started flowing into Russia under this pact. Photo: Fars News Related links: Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | European Parliament to discuss repression in Azerbaijan The European Parliament will discuss repression of civil society in Azerbaijan on April 24 PACE wants concessions from Azerbaijan to accept Baku back A PACE co-rapporteur said that Azerbaijani authorities must make certain concessions so that the country can return to PACE. Cyprus parliament honors Armenian genocide victims Acting House President Zacharias Koulias noted that April 24 marks the “black anniversary” of the Armenian genocide. Armenia PM, France envoy discuss regional matters Issues related to the consistent development of Armenia-France cooperation were discussed. |