Chinese investors are planning to invest US$11bn (€10.1bn, £9bn) in a Special Economic Zone (SEZ), with the aim of creating a tourism cluster around Lake Baikal – the world’s deepest lake.

A consortium headed by Chungjingxin will invest the grand sum on the territory of the former Baikalsk Paper and Pulp Mill, according to Russia Today to create the “world-class tourism zone”.

Russian tour company Grand Baikal has signed a Memorandum of Understanding with the investment group to develop the SEZ, with plans to produce a number of modern tourist facilities and other infrastructure "designed to provide a high-quality, large-scale flow of tourists to the region."

According to the MoU, a prerequisite of the project will be the strict observance of environmental standards and regulations on the protection of Lake Baikal. The site on which the tourist hub will sit was previously the lake's biggest source of pollution as a mill.

Once achieved, it is hoped the initiative will “jump start” social and economic development in the region. The project is being actively supported by the governor of the Irkutsk region, Sergei Levchenko.