Putin to personally control foreign investments in Russia’s strategic industries

Vladimir Putin, the Prime minister of Russia, will become the head of the governmental committee to supervise foreign investments in Russia and their reliability from the point of view of Russia’s national security. Putin ordered his ministers to pick candidates to work in the committee.

Photo: Putin to personally control foreign investments in Russia’s strategic industries

If foreign investors decide to invest in Russia’s strategic fields in the future, it will be Vladimir Putin to make the final decision, Austria’s Die Presse wrote.

The above-mentioned committee is an executive body set up in accordance with laws about the protection of strategic fields from foreign interference. The committee protects 42 branches of the Russian economy, which particularly include extraction of raw materials, the nuclear industry and the defense complex.

If a foreign investor would like to purchase more than 50 percent of shares of such a Russian enterprise, the investor will have to receive an official approval from the governmental committee. Requirements will be tougher in case a foreign investor is supervised by its own state. Foreign investor’s participation in a Russian enterprise will be subject to control from the level of 25 percent.

Die Presse concluded in its article that Putin’s affirmation of Russia’s willingness to welcome foreign investments does not look that obvious. However, Putin simply intends to guarantee safety to the national economy by controlling the financial participation of foreign countries in it.

Russia ’s Finance minister Alexei Kudrin does not think that the Russian economy will be affected by a possible drop of foreign investments in the nation’s strategic industries. Kudrin also said that the list of industries where foreign investments would be restricted was too long. The minister added that it was his personal opinion. The official also said that restrictions could be lifted for some of the industries in the future. “The document is clear and brings unwritten procedures in line with legislation,” Kudrin said.