Russia, Vietnam to Create $500Mln Common Investment Platform - Russian Investment Fund
The Russian Direct Investment Fund (RDIF) and Vietnam’s State Capital Investment Corporation (SCIC) signed a memorandum of understanding establishing a $500 million mutual investment platform, RDIF said in a statement Monday.
The agreement, which envisions $250-million contributions by each side in investment projects for the purpose of promoting bilateral trade and foreign direct investment flows, was concluded during the recently appointed Vietnamese prime minister’s first state visit.
"Following last year’s free trade agreement between the Eurasian Economic Union and Vietnam, RDIF has identified a major opportunity to strengthen cooperation between the two countries in a broader range of sectors beyond commodities. This investment platform will focus on leveraging these potentially high-growth opportunities for the mutual benefit of Russian and Vietnamese businesses," RDIF CEO Kirill Dmitriev said.
SCIC Chairman Nguyen Duc Chi stressed that the memorandum would enable the two state investment firms to "set out an efficient framework for identifying and realizing the cooperation potential and effectively invest in projects in Russia and Vietnam for mutual benefit."
Russia and Vietnam agreed to expand the use of national currencies in transactions, bolster banking cooperation, and work jointly in the petrochemical and agricultural fields, in addition to the common investment platform.