Advertisement

Chinese Geographical Science

, Volume 29, Issue 5, pp 887–904 | Cite as

Investment Environment Assessment and Strategic Policy for Subjects of Federation in Russia

  • Fujia Li
  • Qian Liu
  • Suocheng Dong
  • Hao ChengEmail author
  • Yu Li
  • Yang Yang
  • Bair Tsydypov
  • Alexey Bilgaev
  • Alexander Ayurzhanaev
  • Xiaoyan Bu
  • Bing Xia
Article
  • 24 Downloads

Abstract

Russia is the largest neighboring country of China. Between the two countries, the resources and industry are complemented, the political mutual trust is at a high level, and trade cooperation has a broad prospect. Choosing the best regions and the best industries to strengthen investment in Russia has a major strategic significance in promoting ‘the Belt and Road Initiative’ and China-Mongolia-Russia Economic Corridor Construction. However, the related researches are extremely limited. The investment environment is unclear, and the investment risk is unknown, which seriously restrict the investment in Russia and the trade cooperation with Russia. Our research team carried out scientific expedition, government visits and scientific research cooperation in Russia for several years, and obtained a great number of first-hand valuable data. According to the analysis on the data and Russian regional policies, this study constructed an investment environment evaluation model (ESI-PRA model), scientific assessed the investment environment for 83 subjects of federation in Russia, in terms of economic, social, infrastructure, policy, resource and accessibility, classified 4 types of investment regions, chose 3 investment priority regions, revealed the investment priority industries, demonstrated the main investment risks, and proposed the strategic policies. The research results provide direct scientific and technological support for strategic decisions, such as investment in Russia, bilateral economic and trade cooperation, and overseas layout of Chinese-funded enterprises. Moreover, it has an important practical and strategic significance for improving overseas geo-strategic interests of China and ensuring the construction of China-Mongolia-Russia Economic Corridor.

Keywords

Russia investment environment assessment investment risk strategic policy China-Mongolia-Russia Economic Corridor the Belt and Road Initiative 

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Aliullin, V, Shakirova, E. 2014. Foreign Investments in the Regions of Russia and China. Available at http://www.ecfor.ru/pdf.php?id=2004/5/09. (in Russian)Google Scholar
  2. Berezinskaya, O. 2017. Investment drought in the Russian economy: structural characteristics and turnaround perspectives. Russian Journal of Economics, 3(1): 71–82. 10.1016/j.ruje.2017.02.005CrossRefGoogle Scholar
  3. Bevan, A A, Estrin, S. 2004. The determinants of foreign direct investment into European transition economies. Journal of Comparative Economics, 32(4): 775–787. doi: 10.1016/j.jce.2004.08.006CrossRefGoogle Scholar
  4. Bykova, A, Jardon, C M. 2017. Lean against the wind: the moderation effect of foreign investments during the economic recession in Russia. Journal of Economics and Business, 93: 1–14. doi: 10.1016/j.jeconbus.2017.07.001CrossRefGoogle Scholar
  5. Dang, D A. 2013. How foreign direct investment promote institutional quality: evidence from Vietnam. Journal of Comparative Economics, 41(4): 1054–1072. doi: 10.1016/j.jce.2013. 05.010CrossRefGoogle Scholar
  6. Dong Xin. 2014. Russia’s investment environment assessment under New Situation. Northern Economy, (1): 3–4, 13. (in Chinese)Google Scholar
  7. Dong Suocheng, Sun Jiulin. 2017. Comprehensive Report on Scientific Expedition in North China and Its Adjacent Areas. Beijing: Science Press. (in Chinese)Google Scholar
  8. Duan, F, Ji, Q, Liu, B Y et al.. 2018. Energy investment risk assessment for nations along China’s Belt & Road Initiative. Journal of Cleaner Production, 170: 535–547. doi: 10.1016/j.jclepro.2017.09.152CrossRefGoogle Scholar
  9. Ershova, N. 2017. Investment climate in Russia and challenges for foreign business: the case of Japanese companies. Journal of Eurasian Studies, 8(2): 151–160. doi: 10.1016/j.euras.2017.03.001CrossRefGoogle Scholar
  10. Guo Liancheng. 2008. A theoretical analysis of Russian transitional economy in Putin Era—concurrently on the trend of Russian economic development in Post-Putin Era. Russian, Central Asian & East European Studies, (5): 1–10. (in Chinese)Google Scholar
  11. Han Xiaodan. 2017. Russia’s investment environment analysis and suggestions. Modern Economic Information, (1): 148–149. (in Chinese)Google Scholar
  12. He Jinxiang. 2015. Mining industry and investment climate in Russia. Land and Resources Information, (9): 45–50. (in Chinese)Google Scholar
  13. Hu Renxia, Zhao Dongpo. 2004. Analysis on investment environment since Russia’s transition. Russian Central Asian & East European Market, (4): 13–17. (in Chinese)Google Scholar
  14. Kuzmina, O, Volchkova, N, Zueva, T. 2014. Foreign direct investment and governance quality in Russia. Journal of Comparative Economics, 42(4): 874–891. doi:10.1016/j.jce.2014.08.001CrossRefGoogle Scholar
  15. Li Minjie. 2009. Russia’s economy and its prospect under the global financial crisis. International Studies, (3): 18–22, 17. (in Chinese)Google Scholar
  16. Liedtke, S. 2017. Chinese energy investments in Europe: an analysis of policy drivers and approaches. Energy Policy, 101: 659–669. doi: 10.1016/j.enpol.2016.09.037CrossRefGoogle Scholar
  17. Liu Shuguang, Zhang Lu, Cai Yi et al.. 2017. Scientific Expedition Report of the River Basin and Typical Lakes in North China and Its Adjacent Areas. Beijing: Science Press. (in Chinese)Google Scholar
  18. Locatelli, C. 2006. The Russian oil industry between public and private governance: obstacles to international oil companies’ investment strategies. Energy Policy, 34(9): 1075–1085. doi: 10.1016/j.enpol.2004.09.007CrossRefGoogle Scholar
  19. Lygina, N, Rudakova, O, Soboleva, Y. 2015. Investment attraction of Russian regions in the beginning of XXI Century. Procedia Economics and Finance, 24: 363–370. doi: 10.1016/S2212-5671(15)00681-4CrossRefGoogle Scholar
  20. Novoselov, A, Potravny, I, Novoselova, I et al.. 2017. Selection of priority investment projects for the development of the Russian Arctic. Polar Science, 14: 68–77. doi: 10.1016/j.polar.2017.10.003CrossRefGoogle Scholar
  21. Ouyang Hua, Chen Yifeng. 2016. Scientific Expedition Report of Biodiversity in North China and Its Adjacent Areas. Beijing: Science Press. (in Chinese)Google Scholar
  22. Russian Statistics Department. 2016. Russian Statistical Yearbook 2016. Russia, Mosco: Russian Statistics Department. (in Russian)Google Scholar
  23. Song Kui, Song Xiaosong. 2011. Russia’s investment environment analysis. Russian Central Asian & East European Market, (8): 14–21. (in Chinese)Google Scholar
  24. State Taxation Administration. 2016. There are new regulations on property tax and tax incentives for enterprises of Moscow, Russia in 2015. Available at http://www.chinatax.gov.cn/n810219/n810744/n1671176/n1671196/c2161859/content.html. (in Chinese)Google Scholar
  25. Wheeler, D, Mody, A. 1992. International investment location decisions: the case of U. S. firms. Journal of International Economics, 33(1-2): 57–76. doi: 10.1016/0022-1996(92)90050-TCrossRefGoogle Scholar
  26. Xu Yudong. 2015. Assessment of Russian regional investment environment and analysis of investment locations. Russian Studies, (1): 149–196. (in Chinese)Google Scholar
  27. Yakovlev, E, Zhuravskaya, E. 2013. The unequal enforcement of liberalization: evidence from Russia’s reform of business regulation. Journal of the European Economic Association, 11(4): 808–838. doi: 10.1111/jeea.12026CrossRefGoogle Scholar
  28. Yang Xuefeng. 2017. Analysis of China’s investment in Russia based on ‘The Belt and Road’. Foreign Economic Relations & Trade, (9): 43–45. (in Chinese)Google Scholar
  29. Zhou Qinfang. 2014. Analysis of Russian investment environment. Northern Economy and Trade, (3): 2–3. (in Chinese)Google Scholar
  30. Zhou, W, Xu, Z S. 2018. Portfolio selection and risk investment under the hesitant fuzzy environment. Knowledge-Based Systems, 144: 21–31. doi: 10.1016/j.knosys.2017.12.020CrossRefGoogle Scholar

Copyright information

© Science Press, Northeast Institute of Geography and Agroecology, CAS and Springer-Verlag GmbH Germany, part of Springer Nature 2019

Authors and Affiliations

  • Fujia Li
    • 1
  • Qian Liu
    • 1
    • 2
  • Suocheng Dong
    • 1
  • Hao Cheng
    • 1
    Email author
  • Yu Li
    • 1
  • Yang Yang
    • 1
  • Bair Tsydypov
    • 3
  • Alexey Bilgaev
    • 1
    • 2
  • Alexander Ayurzhanaev
    • 3
  • Xiaoyan Bu
    • 1
  • Bing Xia
    • 1
    • 2
  1. 1.Institute of Geographic Sciences and Natural Resources ResearchChinese Academy of SciencesBeijingChina
  2. 2.University of Chinese Academy of SciencesBeijingChina
  3. 3.Baikal Institute of Nature ManagementSiberian Branch of Russian Academy of SciencesUlan-UdeRussia

Personalised recommendations