Need for investments in the Arctic estimated at over RUB 6 trillion - expert

The growth is driven by restrictions on the use of the instruments in the external financial market, insurance problems and volatility of prices for resources

Investments into the Arctic Zone of the Russian Federation are planned at about RUB 1.6 trillion, according to the Ministry for the Development of the Russian Far East and Arctic. However, they need to be adjusted since over RUB 6 trillion is required for the development of the region, IAA PortNews correspondent cites Yuliya Zvorykina, Director of VEB Institute of Research and Expertise, as saying at the 8^th International Conference “Arctic-2023”.

According to the speaker, over RUB 6 trillion is required for the implementation of Russia’s strategic plans in the Arctic. Meanwhile, the process of implementation is hindered by a number of factors: restrictions on using the instruments in the external financial market, high risks of forecasting the prices on resources, changes in the logistics of supplies and relatively low insurance reserves.

“The insurance system of the Russian Federation is currently experiencing major disruptions, RNRC (Russian National Reinsurance Company - Ed.) was included in the sanctions lists and the solutions can probably be found in the framework of the BRICS and SCO, because the insurance reserves of the CIS, not to mention the EAEU, are not sufficient for projects being implemented in the Arctic,” she explained.