German companies intend to boost investments in Russia by at least one-third to 628 million euros ($715 million), a study conducted by the German Committee on Eastern European Economic Relations (OAOEV) and the Russian-German Chamber of Commerce (AHK) revealed.
MOSCOW (Pakistan Point News / Sputnik - 18th December, 2018) German companies intend to boost investments in Russia by at least one-third to 628 million Euros ($715 million), a study conducted by the German Committee on Eastern European Economic Relations (OAOEV) and the Russian-German Chamber of Commerce (AHK) revealed."Of the 50 companies intending to invest in Russia, 40 indicated an estimated amount of investment totaling 628 million euros. This is significantly more than a year earlier (473 million euros)," the study said.
The study showed that readiness for investment in Russia among German companies was practically unchanged compared to the previous year: 30 percent of companies intend to invest in Russia in the next 12 months, compared with 32 percent a year earlier.
German businesses called the Russian ruble's exchange rate the main factor constraining the activity of business in Russia. It is followed by US and EU sanctions against Russia, while bureaucratic costs, the last year's top spoiler, fell to the third place.
"Only a few companies are considering scaling back business activity in Russia due to US sanctions; every third company intends to further expand its business in the country," the study says.
The study involved 168 German companies, which employ almost 142,000 people in Russia and have a total turnover of 23 billion euros.
