ANK [German-Russian Foreign Trade Chamber], translated by Tom Winter -
German direct investment in Russia rose to € 1.95 billion in 2016
German companies invested more in Russia in 2016 than in 2015. In 2016, German direct investment amounted to € 1.95 billion, an increase of 170 million more than in the previous year (2015: € 1.78 billion).
This is apparent from preliminary data from the German Bundesbank. In the fourth quarter of 2016, however, investments fell by € 92 million.
German direct investment in Russia 2016:
First quarter: € 1.074 billion
Second quarter: € 655 million
3rd quarter: € 307 million
Fourth quarter: - € 92 million (preliminary data)
"With almost two billion euros of German direct investment, 2016 was a good year," says Matthias Schepp, Chairman of the Board of the German-Russian Foreign Trade Chamber. "German companies, including many small and medium-sized enterprises, have again clearly contributed to Russian value creation in 2016. There is also no negative value from the fourth quarter."
The investment activity of German companies continues. For example, in the fourth quarter, the medium-sized tool maker Special Tools Technology (STT) signed an investment agreement with Sergey Morozov, the governor of the Ulyanovsk region, to form a joint venture. Further plant openings are planned this year.
Negative number - negative trend?
An explanation for the negative balance in the fourth quarter is that investment projects that are designed for years are more likely to be pushed to the beginning of the year. In the last months of the year, cash flows tend to be lower.
A further reason is that partial profits are transferred back to the German parent houses at the end of the year. At the end of 2016, this was more attractive than in the previous years, because the Russian ruble was significantly stronger. In January, the exchange rate was just under 90 rubles for one euro, but by the end of the year under 65.
The German-Russian Foreign Trade Chamber is the representation of German companies in Russia and Russian companies in Germany. It currently has over 800 member companies.
The number of companies with German capital participation in Russia amounted to 5,237 companies at the end of 2016.
NOTE: An error has occurred. In an earlier version, the increase in direct investment between 2015 and 2016 was estimated at 190 million euros. This is wrong: 170 million. We regret the error!
Follow us on Facebook!
Follow us on Twitter!
Donate!
from Fort Russ http://ift.tt/2m18hHv
German direct investment in Russia rose to € 1.95 billion in 2016 - Like This Article
0 Response to "German direct investment in Russia rose to € 1.95 billion in 2016 - Like This Article"
Post a Comment