In­vest­ment fund buys stake in Eura­sia

China Daily (Canada) - - VIEWS - By CAI XIAO caix­iao@chi­

A con­sor­tium of in­vestors led by the Rus­sia-China In­vest­ment Fund and the China-Eurasian Eco­nomic Co­op­er­a­tion Fund will ac­quire a 16.1 per­cent stake in Rus­sian oil­field ser­vices firm Eura­sia Drilling Com­pany in a sign of deep­en­ing co­op­er­a­tion be­tween the two coun­tries.

The Rus­sia-China In­vest­ment Fund is a joint fund es­tab­lished by sovereign wealth funds China In­vest­ment Corp of China and Rus­sian Di­rect In­vest­ment Fund of Rus­sia. The China-Eurasian Eco­nomic Co­op­er­a­tion Fund, backed by the Ex­port and Im­port Bank of China, is an im­por­tant equity in­vest­ment ve­hi­cle set up by China to re­al­ize the strate­gic goals of the Belt and Road Ini­tia­tive.

The two funds inked the in­vest­ment deal on Wed­nes­day dur­ing Rus­sian Prime Min­is­ter Dmitry Medvedev’s state visit to China. Other par­tic­i­pants in the deal in­clude lead­ing in­vest­ment funds from the Mid­dle East.

“We are happy to reach an agree­ment with the Chi­naEurasian Eco­nomic Co­op­er­a­tion Fund to ex­pand the net­work of key part­ners in China, which will en­able us to im­ple­ment bi­lat­eral projects,” said Kir­ill Dmitriev, co-CEO of the Rus­sia-China In­vest­ment Fund and CEO of Rus­sian Di­rect In­vest­ment Fund.

Dmitriev said the col­lab­o­ra­tion of the RCIF, RDIF and the China-Eurasian Eco­nomic Co­op­er­a­tion Fund will open up ad­di­tional op­por­tu­ni­ties for the com­pa­nies in China and Rus­sia and strengthen the in­te­gra­tion pro­cesses of the Eurasian Eco­nomic Union and the Silk Road Eco­nomic Belt.

Lin Gang, CEO of the Chi­estab­lished na-Eurasian Eco­nomic Co­op­er­a­tion Fund, said the two sides would jointly en­hance practical co­op­er­a­tion be­tween China and Rus­sia and pro­mote the con­nec­tiv­ity and im­ple­men­ta­tion of bi­lat­eral projects.

The Rus­sia-China In­vest­ment Fund also said on Wed­nes­day that it would in­vest in United Trans­port Con­ces­sion Hold­ing, be­ing by the RDIF and Rus­sia’s Leader Man­age­ment Com­pany, to fi­nance the con­struc­tion and op­er­a­tion of roads, rail­ways, ur­ban trans­port and pub­lic-pri­vate part­ner­ship projects in Rus­sia.

They will co­op­er­ate in three in­fra­struc­ture projects — the op­er­a­tion of part of the North­ern By­pass Od­intsovo toll road in Moscow; the de­sign, con­struc­tion and op­er­a­tion of an al­ter­nate route at Ku­tu­zovsky Prospekt in Moscow; and the con­struc­tion and op­er­a­tion of a light rail trans­port grid in St Peters­burg, Rus­sia.

Dmitriev said the Rus­si­aChina In­vest­ment Fund has in­vested in 19 projects worth about $1 bil­lion, and more than 20 projects worth over $2 bil­lion are in the pipe­line. The RCIF is pay­ing at­ten­tion to sec­tors such as in­fra­struc­ture, forestry, con­sumer goods, fi­nan­cial ser­vices and in­for­ma­tion tech­nol­ogy.

We are happy to ... ex­pand the net­work of key part­ners in China.”

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.