“It is a good time to invest into Russia,” Shostak, who is a principal of US investment fund Navigator Principal Investors LLC, stated.
Shostak explained that private assets are quite cheap, particularly as compared to competitors from other big developing markets.
“There is also an understanding that the Russian economy will start growing. I think that period of stagnation is over,” he added. “The current correlation of the ruble is expected to be stable in the near future. Besides, while the oil price may decrease, it will unlikely drop to $20 to $30.”
The investor pointed out that there are always certain sectors and companies which develop faster than the economy in general.
“These will be the oil and gas sectors that use new technologies, new chemicals, and alternative components in energy,” Shostak elaborated. “There will also be some growth in consumer sector.”
When asked whether he has any plans to increase investments into Russia, Shostak said, “Yes, we have plans.”
“We have plans for this year as well as the plans to gather private equities,” he noted. “I plan to continue what I was doing before the sanctions and raise the investment capital for Russia to over $100 million.”
Earlier in March, Russia's central bank improved its GDP growth forecast for 2017 from 0.5-1 percent to 1-1.5 percent due to a higher than expected pace of economic recovery. The inflation rate is currently at around 4.3 percent.
Russia faced an economic downturn in 2014 because of the global slump in oil prices and economic sanctions imposed on Moscow by Western countries.