This is the tenth update of the Foreign Investment in Russia Safety Alert initially published on 4 March 2022.

Due to the significant changes in the investment climate in Russia, the Russian Government has introduced a number of extraordinary measures to prevent foreign investor and capital flight, some of them directly targeting multinationals operating in Russia.

Over the last few days, a number of these initiatives have progressed significantly:

• The State Duma adopted the draft law on appointment of external administration in foreign companies suspending business activity in Russia was adopted in the first reading.

• Amendments to the Criminal Code introducing criminal liability for compliance with international sanctions were also passed in the first reading.

• The Government submitted to the State Duma a bill cancelling the responsibility for importing goods from the list of products allowed for parallel imports.

Accumulated FDI in Russia constitutes almost 700 billion USD (the majority originating from European Union countries), and their future in Russia represents a significant issue both for the Russian and European economies.

As part of our ongoing efforts to protect and support multinational investments in Russia, Kesarev has prepared a brief guide on the measures introduced by the government of Russia that affect operations of international companies in the country.

Information will be updated in response to major developments throughout the crisis.