Russian Firms Eye Global South for Expansion Amid Sanctions

Despite facing Western sanctions, Russian companies pursue expansion opportunities in the Global South. Andrei Kostin, CEO of VTB, states that interest in growth remains strong, particularly in raw material processing in China. Russian oil demand is expected to stay robust.

Russian companies are actively exploring expansion opportunities in the Global South, maintaining their global ambitions despite the obstacle of Western sanctions. This was revealed by Andrei Kostin, CEO of Russia's second-largest bank, VTB, in a statement to Reuters.

Last month, the United States escalated sanctions on Russia's leading oil firms, Rosneft and Lukoil, compelling the latter to divest its foreign assets at a reduced price. Despite such challenges, the interest in expanding remains strong, particularly directed towards the Global South.

Kostin indicated that many industry peers are currently assessing possibilities in raw material processing in China and other nations. He also projected that Russian oil would continue to be in demand globally.

(With inputs from agencies.)