Investments Left Russia For Mexico, Brazil And India
4- 19.07.2025, 19:18
- 4,442
The West no longer wants to invest in the Russian Federation.
Western countries have stopped investing in Russia's economy because of the war in Ukraine and have instead focused on investing in non-aligned countries such as Mexico, Brazil, India and Saudi Arabia. This is the conclusion of a study by economist Maximilian Dirks of the RWI (Rhine-Westphalia Institute for Economic Research) in Essen. An article about this was published on Friday, July 18, by the German business magazine WirtschaftsWoche, writes "Deutsche Welle".
Western investment has left Russia for other countries
Dirks analyzed data from the World Bank and the U.S. agency Moodyʼs for 2019-2023 on foreign direct investment by Western companies. The economist studied "greenfield investments" (Greenfield-Investments), which are those where a business in another country is created from scratch.
"The results show that Western companies have diverted investment from Russia and related countries to non-aligned states on a significant scale since the outbreak of war," Dirks wrote.
Brazil, India, Mexico
The 39-page study itself features a map showing that Brazil, India, Mexico and Saudi Arabia benefited the most from the diversion of Western investment from Russia. This gave their economies about 2% of GDP growth by the end of 2023.
The top 10 countries by this indicator also included the UAE, Argentina, Colombia, Serbia, the Philippines and Turkey.
According to Dirks, a total of 125 countries in the world can be classified as non-aligned countries. However, 70% of all cross-border investments are concentrated in only 10 of them.
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