Foreign Direct Investments in the Russian Federation in 2017

Abstract

An increase in the incoming foreign direct investments (FDI) in the Russian Federation in 2016 and the first three quarters of 2017 gave way to a decrease in the capital inflow in Q4 2017. This reflects change for the worse in foreign investors’ sentiments due to negative expectations of new sanctions to be introduced by the US, as well as a drop in demand on Russian state bonds.