Zee Beam News

05-20-2005 RBC News - Accumulated foreign capital in Russia amounted to $85.1 billion as of March 31, 49.1 percent up on the year, the federal state statistics service reported. This includes foreign investment reflecting redemptions, reassessments and other changes of assets and obligations in Russia's economy. Direct investment made up 44.5 percent, up from last year's 43 percent, and portfolio investment made up 1.9 percent, against 2.5 percent twelve months before. The largest investors in the Russian economy in the first quarter this year were Cyprus, Luxembourg, the Netherlands, the UK, the US, France, together accounting for 81.4 percent of total accumulated foreign investment. Foreign investment in Russia in Jan.-March 2005 amounted to $6 billion, 2.4 percent less than in the same period last year. Russia's investment accumulated abroad made $7.566 billion at the end of March 2005. In the first quarter of this year, Russia invested $6.4 billion abroad, which is 53.4 percent more compared with Jan.-March 2004. Most of Russian investment went to South Africa ($1.25 billion, or 16.5 percent of total investment), the Netherlands ($625 million, 8.3 percent), Cyprus ($561 million, 7.4 percent), the British Virgin Islands ($545 million, 7.2 percent), Ukraine ($479 million, 6.3 percent), Bahama Islands ($437 million, 5.8 percent), Iran ($407 million, 5.4 percent), the UK ($373 million, 4.9 percent), the United States ($352 million, 4.7 percent), and Lithuania ($282 million, 3.7 percent). Foreign investment in natural resources production totaled $1.183 billion in the first quarter of 2005, of which $954 million was invested in the production of fuel and energy resources. The largest investor in this sector was the Netherlands. Foreign investment in Russia's metal industry amounted to $705 million, including $39 million in direct investment and $2 million in portfolio investment.