RUSSIA 2ND FOR POSSIBLE INVESTMENT PROJECTS IN EUROPE, SAYS ERNST & YOUNG
MOSCOW, May 31 (RIA Novosti) - In its annual "European Attractiveness Survey," Ernst & Young said that Russia was the second most attractive place for possible investment projects in Europe.
Germany was the first most attractive place.
According to the survey, Russia holds fifth place in Europe for the number of attracted investment projects.
"After the 2002 boom the number of direct foreign investment in European Union candidates fell by 17% in 2003. In 2002, the specified countries announced 332 investment projects, while in 2003 the number fell to 274. Four of five projects were carried out in the Czech Republic, Hungary or Poland," the report noted.
The company's experts said that the reduction of direct investment in the new EU members happened simultaneously with an increase in the total number of investment projects in Europe.
According to Ernst & Young, the number of projects in Europe in 2003 grew by 2% against the previous year and amounted to 1,933. Britain had 453 projects (an increase of 270 against 2002) and France had 313 projects (an increase of 254). "However, this rally was local, while such countries as Germany and Italy continue witnessing an investment slump," the survey said.
"The slump of investment in the new EU members should not be perceived as a lack of trust in them on part of the European Union. On the contrary, companies that invested in the countries in 2002 ran before the hounds, planning their activities ahead before the factual accession of the new countries to the EU. Now these companies will be studying new investment possibilities further east, for example in Russia," Barry Bright, the director of Ernst & Young, said. |
