Russia's northern capital St. Petersburg recorded a 25 percent jump in attracting foreign investment in 2013, local statistics bureau Petrostat reported Friday.

A total of 13.4 billion U.S. dollars flowed to St. Petersburg from overseas in 2013, a 24.7 percent increase from 2012 figures, the data showed. Almost a quarter of that total, or 3.2 billion dollars came from Luxembourg, while over 1 billion dollars came from Germany and Ireland respectively, it added.

The combined total of investment from nations of the Commonwealth of Independent States also reached 1.8 billion dollars, according to the data. The overwhelming majority of the investment, an estimated 90 percent, came to manufacturing industry, the statistics revealed.

In 2013, rating agency Expert RA graded St. Petersburg as the Russian region with the greatest investment potential but also the highest risk.

Irina Babiuk, chair of municipal government's Investment Committee, argued that improved dialogue between business and local government over the past year had helped to strengthen investors confidence.

Despite instability in annual foreign investment figures, the medium-term prospect for foreign investment in St. Petersburg remains strong, as Russia's second largest city after Moscow boasts an expansion of its automotive and engineering industries, as well as the transfer of energy giant Gazprom's corporate headquarters from Moscow to St. Petersburg, local experts say.

Dohod Financial Group's Chief Analyst, Vsevolod Lobov, said the most significant development in 2013 was the opening of new horizons of long-term investment opportunity in the oil, gas and consumer sectors.