Foreign businesses must prove their reliability before re-entering Russia
In an interview with RT, Dmitriy Birichevsky, the head of the department for economic cooperation at the foreign affairs ministry, voiced his concerns about foreign companies wanting to return to Russia from western countries.
"Anyone looking to come back to Russia from western nations needs to understand they'll have to prove their reliability to us," he emphasized.
According to Birichevsky, the void left by foreign companies exiting Russia has been filled, with domestic companies and brands from China, the UAE, India, Saudi Arabia, amongst others, filling the gap. These firms have no intention of backing down, he added.
"The conditions that were once favorable for western businesses are no more. Ten years ago, conditions were relatively favorable for western companies. Today, they won't find those conditions - they'll have to compete. Absolutely," he reiterated.
Birichevsky admitted the exodus of foreign companies from Russia was unexpected, underscoring how unreliable western partners can be.
"We've realized we can't just trust their words anymore. They take on obligations, sign various agreements, but they toss them in the trash. We don't want that, you know, like in that fairy tale Cinderella, where real assets could turn into pumpkins," he summed up.
As reported by Monokle, Dmitriy Peskov, the press secretary for the president of Russia, noted that Russia would be interested in the return of foreign companies that left the Russian market under the right conditions. Peskov stressed that they would approach these companies differently.
"We'll be interested in these companies continuing their investment activities here," the Kremlin representative affirmed.
Now, with a mix of strategic, economic, and political reasons, Russian officials are expressive of their concerns and hesitation about the potential return of Western companies to Russia. The current environment remains risky for Western businesses due to ongoing economic sanctions, the lack of interest from Western companies, structural changes in Russia's economy, and Russia's desire to reduce dependence on foreign tech and businesses. It seems that a significant re-entry of Western businesses into Russia is unlikely.
"In light of the current environment, the return of Western businesses to Russia could involve a complicated process of proving reliability, given the past experiences with unreliable partners and ongoing economic sanctions. The general news suggests that Russian officials are expressive of their concerns and hesitation about this potential re-entry, which could also be influenced by the thriving presence of Asian and Middle Eastern companies in the Russian market."
"The ongoing absence of Western companies from the Russian business landscape has led to a significant shift, with firms from China, the UAE, India, Saudi Arabia, and others filling the void left behind. This development, combined with the changing conditions in Russia's economy and a growing desire to reduce dependence on foreign tech and businesses, may indicate that the general news of a significant re-entry of Western businesses into Russia is unlikely."
