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Business And Politics News

Will Donald Trump Win or Lose from Investing In Russian Construction Sector?


 

Not so long ago, the world-famous billionaire Donald Trump visited Russia. During the trip, he mentioned the idea of investing in the construction of a skyscraper in Moscow. The skyscraper will be similar to Trump Tower in New York. What is so exciting about the Moscow housing sector for Donald Trump? Didn’t he make a mistake when investing in Russia? Let’s ponder on these questions together…
 

 

 

 

Foreing Investments In Russia
 
Russia hasn’t been popular among foreign investors over the last few years. As for American investors, they mainly invest in production, mining, trade and financial sectors. Amid relative stability in the Russian housing market this year, domestic investors have been active as well. As for foreign investors, Russian fixed property isn’t still attractive enough for foreign investors.
 
Still, foreign investors are getting increasingly interested by relatively high yields in the Russian housing sector, which are much higher than those seen in the West. The biggest thing that really scares foreign investors away is high insurance risks along with underdeveloped legislation and construction policies along with overall economic uncertainty.
 
On top of that, some other emerging and developed economies offer more beneficial conditions in terms of investing in their construction sectors and housing markets. For example, the continued eurozone crisis made the Greek and Spanish housing markets a lot cheaper, though fewer investors want to invest in the housing markets of crisis-ridden countries. Still, there are many options in the Asian-Pacific region. At the same time, the situation in the US housing market seems to be improving, which forces American investors to return home. 
 
Still, experts say that the Russian housing market is still vulnerable to local and external economic shocks. The Russian economy may still see some crisis phenomena in the near future, they say. The Russian housing market is still yielding to some other emerging markets in terms of investment attractiveness.
 
 
Investing In Moscow Fixed Property

 

The Moscow market of commercial fixed property is looks controversial for investors as well. This year, renters and buyers have been very careful when making their decisions.
 
The demand for offices has dropped by 55% since 2012.At the same time, the property available for renting is growing at the expense of new business centers that are currently under construction or have just been built. There is excessive supply.
 
 
Donald Trump’s Intrigue

 

 

What made the world-famous billionaire, investor and the owner of the USA’s biggest construction company invest in the construction of a 58-storey building in Moscow?
 
 
This is the 3rd time, Mr, Trump is going to invest in Russia. In 2004, he was thinking about reconstructing 2 Moscow hotels – “Rossia” and “Moskva” (Russia and Moscow).  In 2008 he was going to construct a chain of hotels and luxury residential property in Moscow, St. Petersburg and Sochi. However, those ideas remained unfulfilled.  
 
What is this new project for the owner of millions of square meters of fixed property in the USA, Canada, Turkey, South Korea and other countries around the globe? According to Forbes, Mr. Trump’s fortune is currently estimated at $3,5bn! He is the author of several books, a businessman, a showman, a politician and a former candidate for the post of the US President.
 
The say that one of the reasons is his high risk tolerance. Hi is not afraid of risky investments and mistakes. In the 1990s his business went bankrupt because of major debts. His companies went bankrupt several times over the last 10-15 years.
 
 
Another reason is his name. He knows that when he enters the Moscow market, this will definitely make it more attractive form other investors. This will contribute to his construction project. His name is like a brand that adds weight to his office buildings, thereby making more liquid and prestigious.
 
 
That is why a lot of construction companies are willing to pay Mr. Trump a lot of money in order to make him the face of their projects. In fact, most of the projects associated with his name aren’t owned by him. It is highly probable that Trump is participating in the Moscow project just to make money on his own name…

 

 

 

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UK Reveals Brexit Plan

The British government has revealed the plan of quitting the European Union, which is also known as the Brexit. Prime Minister Theresa May promised to publish the final version of the Brexit scenario a couple of weeks ago.

 

 
The introduction to this document explains that the British business community doesn’t want to cancel the referendum results. On the contrary, they are going to benefit from the Brexit. Most members of the House of Commons voted for letting Theresa May initiate the Brexit scenario. Moreover, this is something most British citizens want. At this point, the question is who the UK is going quit the EU for good.
Publication date: 13 February 11:22 PM

Trump's Policies Make NATO Delay Talks with Ukraine

All of you know that the USA has been playing a major role in the NATO. However, after Donald Trump become the U.S. President, the NATO leaders found themselves in an awkward situation. On the one hand, the NATO shows its commitment to help Ukraine resist Russia’s aggression. On the other hand, Donald Trump doesn’t mind making friends with Vladimir Putin. This seems to be the key reason why the NATO decided to suspend the talks with Ukraine in order to avoid any unpleasant surprises amid uncertainty.

Publication date: 13 February 10:27 AM

Exceptional Status May Cause Problems to UK

As you probably know, British Prime Minister Theresa May visited the United States and met with President Trump. Previously Prime Minister May promised the British people that she wouldn’t be afraid to criticize Donald Trump. If she thinks that something is unacceptable, she won’t be afraid to tell it to him, she said.

Publication date: 13 February 10:09 AM

Is Trump Fighting Dissent Or Democracy?

Donald Trump showed that he is not going to tolerate dissent in the While House. However, some experts now say that the President may well be trying to fight democracy.

 

 
Not so long ago, President Trump fired Acting Attorney General Sally Yates from not defending Trump’s executive order on immigration. In particular, President Trump temporarily banned the citizens of 7 countries from visiting the United States. Those countries are Sudan, Somali, Syria, Libya, Yemen, Iraq, and Iran. He also suspended the refugee program for another 4 months. At the same time, the White House keeps on persuading the public that it’s not about religion (for those of you who don’t know, those are Muslim countries). They say it’s all about fighting international terrorism and prevent terrorists from going to the USA as refugees.
Publication date: 10 February 07:31 AM

Is the Decree to Ease Anti-Russia Sanctions Ready for President Trump to Sign?

They say, Trump’s administration has already prepared the decree to ease the sanctions against Russia, and the decree is now waiting for president Rump to sing it. There has been a lot of tweets about it so far.

Publication date: 10 February 04:58 AM

China Will Only Benefit, If US Quits Trans-Pacific Partnership

A couple of days after Trump’s inauguration as the 45th President of the United States, he decided to quit the talks related to the creation of the so-called Trans-Pacific Partnership (TPP). This agreement would create an environment of lower duties and better regulation of the trade relations between 12 countries, including the USA, other states from North and South Americas, South-Eastern Asia, and Japan.

Publication date: 10 February 04:46 AM

Brexit. Which Way Will London Quit EU?

At this point, London is at the crossroads and choosing the way to quit the European Union. What are those possible ways the UK government is currently choosing from?

 

 
Just in case you still don’t know, we remind you that the High Court of London finally decided to reject the appeal made by the British Government regarding the High Court’s previous decision. The decision forces the Government to initiate Article 50 of the Lisbon Treaty only if the British Parliament approves it. In case the Parliament doesn’t support the Brexit scenario, any further related steps initiated by the UK Government will be considered a violation.
Publication date: 07 February 02:56 AM

UK Government Must Get Parliament’s Approval to Implement Brexit, High Court Insists

The High Court of London has ordered the British Government to get the Parliament’s approval first, if they want to initiate Article 50 of the Lisbon Treaty to launch the process of quitting the European Union, which is also known as the Brexit.

Publication date: 06 February 12:14 AM

Beijing Placed Ballistic Missiles Close To Russia-China Border

According to Global Times, a Chinese media source, China has placed ballistic missiles close to the border with Russia. All in all, there are 3 missile units placed in several parts along the border. These are Dongfeng-41 (DF-41) missiles.

Publication date: 05 February 11:23 PM

Trump's Attempts To Calm Putin Down Will End Up With Another Munich Agreement

Several European experts say that President Trump’s attempts to pacify Vladimir Putin may well end up with another Munich Agreement. In other words, they say that in case Donald Trump assumes that it’s necessary to make concessions to Russia, this is even worth than doing nothing at all.
 

 

On top of that, they say that Donald Trump already made a stupid thing by offering Putin a deal, which is all about canceling the sanctions in exchange for Russia cutting its nuclear arms

Publication date: 05 February 10:43 PM