Russia, Turkey Create $1bn Joint Investment Fund

The Russian Direct Investment Fund (RDIF), Russia’s sovereign wealth fund, and the Turkey Wealth Fund (TWF) have announced the creation and launch of the Russia-Turkey Investment Fund during Turkish President Recep Tayyip Erdogan’s visit to Moscow this week, TASS news agency reported.

“At the initial stage, the investments in the funds’ projects will amount to 200 million euros. The total size of the Russia-Turkey Investment Fund is 900 million euros,” the RDIF said in a statement, adding that the corresponding agreement was signed in the presence of Erdogan and Russian President Vladimir Putin.

The parties have started developing joint projects with a special focus on the technology, healthcare and infrastructure sectors.

“This is an important milestone for TWF and we believe initiating investments through RTIF in focused sectors will cement the relationship of both sovereign investment funds and further strengthen the relationship between Turkey and Russia,” said Zafer Sönmez, managing director of the Turkey Wealth Fund.

According to Sonmez, the RTIF will play a crucial role in promoting a culture of co-investment, attracting top quality FDI, and catalyzing opportunities for the regional growth of Turkish and Russian companies.

The RDIF also signed a deal with Turkish contractor Rönesans Holding for a joint project to establish training and research hospitals at universities in different regions of the country.

According to a company statement, state-of-the-art medical training and city hospitals will be established, where a single database and a common technology platform will be used to connect to the medical centers of leading Russian universities and foreign universities.