The Eastern Economic Forum and India’s balancing act

The Eastern Economic Forum and India’s balancing act

Subject :IR

Context: 

Russia recently hosted the seventh Eastern Economic Forum (EEF) Vladivostok. The four-day forum is a platform for entrepreneurs to expand their businesses into Russia’s Far East (RFE).

About the EEF:

• The EEF was established by the president of the Russian Federation in 2015 to encourage foreign investments in the RFE.
• The EEF displays the economic potential, suitable business conditions and investment opportunities in the region.
• It takes place each year in Vladivostok, a city in Russia.
• The agreements reached in the forum focus on infrastructure, transportation projects, mineral excavations, construction, industry and agriculture.

About RFE:

• The RFE is geographically placed at a strategic location and acts as a gateway into Asia.
• Russia has been strategically developing  the region with the aim of connecting Russia to the Asian trading routes.
• With the fast modernisation of cities like Vladivostok, Khabarovsk, Ulan-Ude, Chita and more, the government aims to attract more investments in the region.

Aims of EEF:

• To increase the Foreign Direct Investments in the RFE.
• The region encompasses one-third of Russia’s territory and is rich with natural resources such as fish, oil, natural gas, wood, diamonds and other minerals.
• The sparse population living in the region is another factor for encouraging people to move and work in the Far East.
• But despite the abundance and availability of materials, procuring and supplying them is an issue due to the unavailability of personnel.