Foreign Investment in Buryatia

Abstract

ABSTRACT The article analyzes foreign investment in Buryatia based on the activity of foreign and joint economic ventures. Compared with other industrial regions in Eastern Siberia, Buryatia has less foreign investment, a prevalence of natural persons among business organizers, a lower concentration of production, and an outdated economic structure that is dominated by trade and construction. Direct foreign investment in the region is predominantly focused on the lumber industry and several mining enterprises. Such a sectoral structure hinders the inflow of new technology and the growth of human capital. To increase foreign investment, the republic must expand exports and integrate with the economic corridor of China–Mongolia–Russia. At the same time, investment policy should attract resources to the technological areas of communication and transport with more joint ventures to retain profits in the territory.