Russian Direct Investment Fund CEO Kirill Dmitriev Tells Milken Global Conference that Russia Is "Open for Investment"
Los Angeles, May 2, 2012- In remarks delivered at the Milken Institute Global Conference here this week, Chief Executive Officer of the Russian Direct Investment Fund (RDIF)Kirill Dmitriev said Russia is "wide open for international investment."
"Russia is currently implementing a major national infrastructure investment program, a new wave of privatizations valued at $30-50+ bln is underway, and initiatives like the RDIF are making it easier to access Russian opportunities," Dmitriev said. "Across industries and asset classes, Russia is more open to investment from abroad today than at any time in its post-Soviet history. The door is wide open for international investment."
Dmitriev heads the Russian Direct Investment Fund, a $10 billion sovereign private equity fund set up last year by President Dmitry Medvedev and Prime Minister Vladimir Putin to co-invest with global investors predominantly in Russian projects. The fund announced its first two investments earlier this year: the acquisition of a minority stake in Russian stock exchange MICEX-RTS alongside the EBRD and the purchase of a blocking stake in leading power generator Enel OGK-5
with a consortium of private equity investors from the Middle East, Australia and elsewhere.
"For private equity firms, sovereign wealth funds, and multinational corporations, the RDIF is a partner that can share risks and provide local expertise when investing in Russia," Dmitriev said, in
describing the role that the fund plays as a co-investor. "The Milken conference this week has proved a great venue to meet a wide range of firms from the United States and overseas that are seeking access to the high-growth Russian market."
The Milken Institute Global Conference, which this year celebrates its 15th year, brings together the diverse worlds of business, finance, policy, education, health, energy and philanthropy to come up with fresh solutions to the globe's biggest challenges. This year the speaker list includes President Bill Clinton, Steve Forbes, Vikram Pandit, Senator Max Baucus, Governor Jerry Brown and investors representing $30 trillion in global capital including Leon Black, David Bonderman, Xi-Qing Gao, T.Boone Pickens, Joe Dear and Mohamed El-Erian.
Russian Direct Investment Fund (RDIF)
The Russian Direct Investment Fund was established in June 2011. The RDIF is expected to be capitalized with USD 10 billion in Russian government funds over the next five years and is charged with making equity investments that generate strong returns, primarily in Russia.
In each investment it makes, the RDIF is required to secure co-investment that at minimum matches its commitment, thus acting as a catalyst for direct investment into the Russian economy. Additional information is available at rdif.ru.