Chinese Investors to Develop Russia’s Far East
Jun. 25 – The advisory council for Russia’s Ministry of Regional Development approved eight projects from more than 200 joint projects planned for 2009-2018 in frontier regions of Russia and China.
According to the list of investment projects published on the ministry’s web site, long term Russian-Chinese cooperation will start from the Chukotka region’s Beringovsky coal deposit development. Chinese investors will also develop an industrial zone in the Zabaikalsky region and construct a wood processing complex in the Sakhalin region.
Russian president Dmitry Medvedev and his Chinese counterpart Hu Jintao have confirmed the program of cooperation between Russia’s Far East and Eastern Siberia regions and the northeastern provinces of China in New York City in September 2009.
“We are moving from theory to practice,” a Minregion official said to Russian daily Vedomosti. “The ministry will continue to approve other projects from the Cross-Border Cooperation Program. All together there are 205 of them on the list, 94 are planned to be realized in the territory of the Russian Federation.”
According to the Presidential Administration, actual investment agreements are planned to be sent during President Medvedev’s official visit to China in the coming autumn.
There is no particular calculation of required investments for the entire cross-border cooperation program. According to Minregion data, the first eight projects have been estimated at 376.6 billion rubles with 12 percent of this amount to be covered by the Russian federal budget (44.3 billion rubles) while Chinese and Russian private businesses will take care of all other funding.
“The financing scheme should be chosen for each particular project,” deputy head of Russia and China’s Center of Economic and Investment Cooperation Jury Demochkin said.