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In the past few years, the Russian government has taken various measures to reduce adverse consequences of sanctions introduced by the United States, EU and certain other countries and to encourage foreigners to invest in Russia. The measures included major reform of corporate law, simplification of the regulatory framework, subsidies and guarantees, as well as various tax incentives, for example, in relation to industrial R&D, tourism and operation of ports.

As of the end of the first six-month period in 2018 direct inward investment into Russia was US$438 million, slightly exceeding investment in the first six months of 2017. This is relatively small amount standing at par with inbound investments in Belgium. The OECD forecasts the growth of the Russian economy to continue at a moderate pace.

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Reproduced with permission from Law Business Research Ltd. This article was first published in February 2019. For further information please contact [email protected]