Despite Russia's main MICEX stock exchange tumbling over 16 percent so far this year and significant oil price volatility, the country can offer investors attractive and stable returns in certain sectors, according to the head of Russia's sovereign wealth fund.
Pointing to the consumer sector as one example of a compelling investment area for foreigners, Kirill Dmitriev, chief executive officer (CEO) of the Russian Direct Investment Fund (RDIF) also highlighted a recent airport construction deal which brought together investors from several Middle Eastern countries and China.
"Infrastructure is a very stable investment … Russian infrastructure assets offer a very predictable, attractive return," claimed Dmitriev, speaking to CNBC from the St. Petersburg International Economic Forum (SPIEF) on Friday.
Dmitriev, who spent part of his Thursday in a strategy session with President Vladimir Putin and domestic investors representing around $11 trillion worth of assets, also gave a look ahead to the president's annual plenary speech later in the day.
"He will show that Russia is very much open to foreign investment. We need foreign investment to continue growing very well and we are very open to bringing top investors to make good returns in Russia," said the RDIF chief, adding that agriculture and logistics – particularly focused on providing links between Asia and Europe – are other potentially attractive non-oil sectors for external investors.