Russia Azerbaijan to Upgrade Mutual Investments

Business Materials 26 April 2007 15:49 (UTC +04:00)

Azerbaijan, Baku / Trend I. Khalilova / The head of Russia's Trade Representative Office in Azerbaijan, Yuri Shedrin, reported on 25 April that the investment activities between Azerbaijan and Russia have intensified. According to Shedrin, up to now, activities in this field has decreased.

As a result of 2006, the total amount of Russia's investments in Azerbaijan made up $2.7mln, while Japan invested $11mln, the United Arab Emirates $18.3mln, Great Britain $39mln and Turkey $136mln.

"The situation will change for the better given the fact that in compliance with the contract on the rehabilitation and development of the Zikh-Hovsan onshore field signed between Rusneft (Russian Oil Company) and the State Oil Company of Azerbaijan Republic (SOCAR), the company will allot $120-130mln to Azerbaijan.

According to Shedrin, preparations for the implementation of the project to construct an aluminum plant by the RusAlom company in Azerbaijan are under way. Some $1bln will be allocated for this purpose.

A Russian-Azerbaijani Trade Centre is expected to be established in Azerbaijan, which will be the place for different exhibitions, fairs, and wholesale stores.

Investment co-operation will be intensified in return. "The first sign is Azerbaijan's interest to participate in the project to reconstruct the Ola port in Astrakhan and the intentions of the Azersun Holding to invest in the construction of a tea-packing factory in the Moscow province and the planting of tea in the Krasnodar Territory,"