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    Russia fixed asset investment to reach $370 bln by 2010 - Kudrin

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    Investment in Russia's fixed assets could double on 2006 figures, and by 2010 reach $370 billion, Russia's acting finance minister told an international investment forum in the southern resort of Sochi.

    SOCHI, September 21 (RIA Novosti) - Investment in Russia's fixed assets could double on 2006 figures, and by 2010 reach $370 billion, Russia's acting finance minister told an international investment forum in the southern resort of Sochi.

    Alexei Kudrin said in 2000 total investment in fixed assets was $40 billion, giving growth of 300% by 2006.

    "By 2010, in line with a conservative forecast, it will double to $370 billion," he said.

    Kudrin said the private sector is the main contributor in the investment sphere, adding that the state's share of fixed asset investment would be about 20%.

    However, he admitted that the largest private investors are state-controlled natural monopolies. "But the main source of investment by natural monopolies is tariffs," he said, adding that the contribution of oil and gas revenues into state investment will be gradually reduced.

    Kudrin said oil and gas will account for 3.7% of Russia's GDP by 2011, down from the current 5.7%.

    "The excessive use of oil and gas resources in previous years have resulted in the fact that its share was initially 2.5% of GDP, and now it is higher than ever - 5.7% of GDP," he said. "We will have to reduce it to 3.7% by 2011."

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