Showing posts with label Gazprom. Show all posts
Showing posts with label Gazprom. Show all posts

April 24, 2007

Russia, Risks and Politics

In Russia almost everything is political and almost everything potentially carries political risk.

This warning pretty much sums up the situation in Putin's Russia. The Kremlin's Hand in The Conference Sector quote comes from a Financial Times article, published in the The Moscow Times. For foreign investors these are rich but dangerous waters. Even large groups are not immune from arbitrary actions, as Royal Dutch Shell found when it was pressed to sell control of the Sakhalin-2 scheme to Gazprom. Even companies not involved in strategic sectors may be hurt in the crossfire. Investors who think they can avoid political risk are fooling themselves. In Russia almost everything is political and almost everything potentially carries political risk.