By Peter Apps

LONDON (Reuters) - Chinese demand for oil and commodities is driving Russia's growth, reducing its exposure to Western economies and offering good equity deals, Barings said on Monday.

Risks remained, Baring Russia Fund manager Ghadir Abu Leil-Cooper said, particularly of government interference in private investments, but she said Russian equities still offered good value.

"What we're seeing is Russia much more dependent on the growth of the Chinese economy than on the west," she told Reuters in a telephone interview.

"But the story isn't just a commodity story, the rest of the economy is also doing well. Over $1 trillion (500 billion pounds) is being spent on infrastructure and that's why we think growth will be between six and seven percent in the next couple of years."

She said her $110 million equity fund -- which she said provided returns of around 20 percent in the last year -- was targeting both oil and gas companies as well as other mining firms, commodity companies and others in the broader economy.

"These companies are not only benefiting from growth in Russia but also in China and the Middle East," she said.

With oil hitting record prices, investors have been shrugging off a dispute with the West over the expulsion of diplomats, rising tensions between Russia and neighbour Georgia and a string of human rights and media freedom complaints.

"We monitor them very closely but they've been going on for a while now and so far they haven't changed the investment case," she said.