Alibaba To Boost Russia Investment As Jack Ma Wants To Build A 'Cyber Silk Road' Between Russia And China

Alibaba Group Holding Ltd BABA will expand its investment in Russia to boost business there, its founder and chairman told a business gathering in St. Petersburg Friday.

"Although we have only one employee working in Russia, Aliexpress managed to become the No. 1 most-visited e-commerce website in the country," Alibaba's Jack Ma told the St. Petersburg International Economic Forum, according to Want ChinaTimes.

Alibaba generates 86 percent of its revenue in China and uses AliExpress for global expansion.

AliExpress disclosed plans earlier this month to open its first office in Russia, according to multiple reports.

As of Alibaba's IPO last year, AliExpress was the company's fastest-growing driven by Russia, Brazil, and the U.S., according to Bloomberg.

Ma told his audience Friday that China's economic development initiative called One Belt One Road, focused on countries in Eurasia, could help build a "cyber Silk Road," promoting the Internet and e-commerce.

The Kremlin has presented Russia's current economic crisis as an opportunity to make Russia's economy more self-sufficient and reorient trade toward non-Western partners, according to The Wall Street Journal.

The ruble has lost 37 percent of its value against the dollar since last year, and Russia may face prolonged recession or stagnation.

Russia's annual economic forum, "once Russia's flashy answer to Davos" has been transformed into a quieter affair, with a limited number of international chief executives choosing to attend, WSJ reported.