The Russian Direct Investment Fund (RDIF), the Russian government-backed platform that aims to attract foreign investment into Russia, has set up its second office in order to bolster ties with its Asian partners, namely China and Japan, according to a firm statement.
The Far East representative office, as it has been named, will be opened in the city of Vladivostok in Russia’s Primorsky region, located just beside China and North Korea and across the sea from Japan. This new office was set up in conjunction with the Primorsky region’s government administration, and will work with its Investment Attraction Agency to improve the region’s investment climate, according to the statement.
This new office will primarily focus on projects in RDIF’s currently existing partnerships in the Asia-Pacific region – namely, the $1 billion Russian-Japanese Investment Platform set up in April, and the $3 billion Russian-China Investment Fund (RCIF) set up with China Investment Corporation in early 2012.
So far, however, the RCIF is the only platform to have closed a deal: its $200 million investment in Russian Forest Products Group.
“RDIF has opened this division in the Primorsky region with the objective of forming many more of these kinds of partnerships in the very near future,” Kirill Dmitriev, chief executive of RDIF, said in the statement. “Our operations in the region will be focused on the infrastructure, which is currently insufficient to support the implementation of multiple projects.”
With $11.5 billion assets under management currently, RDIF has been forming partnership after partnership in the Asian region. Just after signing the Russian-Japanese Investment Platform with the Japan Bank for International Cooperation, RDIF set up a joint venture with General Electric for the construction of mini power plants for manufacturing companies across Russia.
RDIF operates as a subsidiary of Vnesheconombank, Russia’s state development bank.