How does Africa attract Russian business?

Why many Russian companies intend to build up their presence in Africa? And, how official Moscow relates to it, Russian President Vladimir Putin said. Moscow aims to strengthen cooperation and increase trade turnover with African countries. Russian leader Vladimir Putin said at the Russia-Africa Forum in Sochi.

Russian companies in Africa

According to the President of the Russian Federation, many Russian companies, which have long and successfully worked with partners from various sectors of the African economy, intend to increase their presence in Africa. In general, Putin noted, African countries are attracting more and more attention from Russian business.

“This is due to the fact that Africa is becoming one of the growth centers of the world economy,” he explained, adding that by 2050, the GDP of African countries will reach 29 trillion dollars.

According to him, official Moscow supports the interest of Russian business in Africa in every possible way.

Common business interests

“The development of close business ties is in our common business interests, contributes to the sustainable growth of all our countries, helps to improve the quality of life of people, and helps solve numerous social problems,” Putin said.

He also said that over the past five years the mutual Russian-African trade turnover has more than doubled and exceeded $20 billion. But this, according to the President of the Russian Federation, is not enough. “Of these 20 billion 7.7 billion is our trade with Egypt, which is 40%. And in Africa there are a lot of potential partners of ours, a lot. With good prospects for development, with great growth potential,” said the President.

National projects and Africa

According to him, Moscow has also written off debts of African countries in the amount of more than $20 billion. In addition, joint programs launched with some African countries of Africa, which imply the use of debt funds to finance national projects.

Moreover, the Russia-Africa Summit and Economic Forum, to which the leaders of all 54 African countries got invitations, is held in Sochi on 23-24 October. The event co-chaired by Russia and Egypt.

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(Featured image by Harshil Gudka)

First published in ee.sputniknews, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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