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Russia plans to make it easier for foreign investors to put money into certain sectors such as food and natural resources next year, as it seeks to rebuild the economy after the 2008 crisis. "In 2011 a row of amendments to the law on foreign investments into strategic sectors will be made," Prime Minister Vladimir Putin told journalists on Tuesday. He said in 2010 foreign direct investment totalled $40 billion.
"The essence of these amendments is to ease access for foreign investors into food, medical industries, into the banking sector, to liberalise control in the sphere of using subsoil," Putin said. On Tuesday, the Natural Resources Ministry said the limit on foreign ownership of Russia's strategic deposits should be raised to 25 percent from 10 percent, echoing earlier calls from the Federal Anti-Monopoly Service (FAS).
"The second bloc of amendments was in the pipeline" said Putin. Putin also said PepsiCo has pledged to invest around $1 billion in Russian juice and dairy company Wimm-Bill-Dann, which it is buying for $3.8 billion. "I would note that in the coming five years the concern (PepsiCo) is planning to invest more than 30 billion roubles", he said.

Copyright Reuters, 2010

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