Nov 29, 2006

Foreign Investors Cautious

RosBusinessConsulting reports that “Russia attracts investors - but they are not overoptimistic.” As Russia’s GDP keeps growing and its stock market rising, foreign investors keep coming. However, the recent events like the Politkovskaya murder, the Litvinenko poisoning, the harassment of foreign oil firms in Russia, and the reality that Russia's economy’s strong performance is almost entirely due to the high prices of oil and natural gas in today’s environment of geopolitical uncertainty, give investors reasons to be cautious. What happens remains to be seen but it seems that the investors are starting to take notice (see today’s article in The Guardian).


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