DAILY BASKET – NEWS COMMENTARY
Qatar Invests In Russia
MARSAL COMMENTS: Russia announced that Qatar is investing in Russia at a growing pace. It invested approx. US$ 2 billion between 2014 and mid 2016.
Last year it paid US$ 1 Billion for a quarter of a Russian airport (Pulkovo Airport) and US$ 11+ Billion for about 20% of Rosneft Oil Co.
Now Qatar companies are interested in participating in two gas projects and one liquified natural gas project in Russia’s Arctic.
Is this a diversification of Qatar’s investment portfolio? Is this a spreading of its eggs, especially after US Jasta Law? Or is it hedging to ensure political goodwill from all parties in these turbulent times? Regardless of the motive, it does seem a wise business decision.
NEGATIVE FOR: The USA, which wouldn’t be happy to see financial support going towards Russia.
POSITIVE FOR: Qatar in terms of Russian goodwill as well as probably a good and profitable investment. Also, positive for Russia that is in need of, and welcomes, foreign investment.
IMPACT POTENTIAL: Medium
TIME SCOPE: Medium Term