The Evolution Of Foreign Capital Policies In Russia And The Sequent Influences For Bilateral Investment Cooperation Between China And Russia

So all governments pay high attention to how to attract foreign capital to accelerate the growth speed of national economy and enhance national competition power,especially for the governments in the countries during system transformation.China and Russia are all the transforming countries,and all face the obligation that how to utilize foreign capital to help developing national economy.The interdependence between these two countries is very high. These two countries have geographic advantage too.So it's very urgent and significant to promote the inter-cooperation of bilateral investment and trade.These kind of areas creates good opportunities for bilateral investment cooperation between China and Russia,and which coordinates with Going Out Policy of China.The general quantity and field of bilateral investment is small now.Most of china-Russia(or Russia-China ) joint-venture companies is small both in size and in legal capital.The investment quantity and structure does not coordinate with bilateral international status and the strategic-cooperative-partnership between each other.There is wide gap between the possibility and reality of bilateral investment.The investment potential will be very great in the future.This status plays very limited roles in the growth of economy and the bilateral trades.If this status quo is not changed,the China-Russia strategic-cooperative partnership will become hollow at high possibility.So it's really very urgent for the governments to change the status quo of bilateral investment.In this essay,I concreted narrate the evolvement of Russia's policies in fetching in foreign capital and the influences caused by the policies.The purpose of this essay is to give some suggestions for the cooperation between China and Russia,and some theoretical supports for the Going-Out and Fetching-In policy of China.With the methods of dialectic and historical materialism,normative and empirical analysis,comparative and systemic analysis,I emphasized demonstrate some main problems below:In part 1,I narrate the background of the policy evolvement.Firstly,international background.With the great trend of globalization,the liquidity of international capital is increased day by day.So making current policies to attract foreign capital becomes very important for countries.The international finance becomes very instable now,and so finance safety is becoming more and more important in the national safety.The contradictions between nation economy interest and globalization,between international finance transactions and national financial regulation becomes increasingly complicated.All these is becoming new basis for national policies for foreign capital.Secondly,national background.The domestic environment for attracting foreign capital in Russia restricts foreign capital to came in,and which counteracts advantages of attracting capital.The status quo should be changed urgently.In part 2,I narrate and analyze the process of policy evolution.There are two main phases in the process.Phase 1:blindly enter into international society(1990 to 1998).During this phase,Russia made choice between national interests and internalization difficultly, making policies only for the marketing target,the general principle of making policies is not clear.So the protection for national enterprises is not successful.Phase 2:policies adjusting based on national interests(1999 to now).During this phase,the opening degree for foreign capital is deeper then before,restrictive regulations getting loosely.But in the energy field,the restriction becomes firm then before.In part 3,I analyze the influences caused by the policy evolvement for China-Russia investment cooperation.Firstly,influences for China's foreign capital policies.Learning from Russia's experiences,we should improve the policy environment and pay more attention to safety of national economy.Secondly,influences for China's firms to invest in Russia.The policy evolvement will increase the cost of investment and then will change the strategies and directions of investment.Thirdly,China's government will supports more favorable policies for investment.I make some contributions in this essay below:Firstly,I review and summarize the foreign capital policy evolvement,and analyze the main principles of making foreign capital policies in Russia.Secondly,I analyze the influences cause by the policy evolvement for bilateral investment cooperation between China and Russia in the first time in this field,which plays a complement role.Thirdly,I gives some recommendations purposely.