Economy of Russia

If the Russia is not any more one of the first world economic powers as at the time of the Soviet Union, it remains today one of the 10 most important economies to the international level (in 2006, 11° row, the World Bank), with unequalled natural resources, a population of more than 140 million inhabitants, competences scientific and technical among the most advanced world, and a strong economic growth since the year 1999.
La Russia is member of the club of the most industrialized countries, the G8.

By its economy, Russia is characterized by four major characteristics:

the Russian economy is a saving in transition or at least from which the transition is completed, and who remains still marked by his Soviet heritage;
It is a saving in revenue, because of importance of the Natural resources (Pétrole, Natural gas and various Métaux in particular), with the political consequences, social, which the prevalence of these sectors (corruption, inequalities) generates in general;
It is an economy which suffers from an ageing of its population, because of demographic imbalances appeared as of the end of the Soviet era;
It is finally an economy where the State played and plays always an important role - that it is about the control of the principal companies of the country or the alarming place of the Corruption (Russia places itself in 143e position, on 179 territories, the list of corruption by country in 2007).

History

Because of late reforms (the Servage was abolished only in 1861 for example), the Russian Empire knew the Industrial revolution with a shift with the other European countries. Its economic development however was relatively fast as from the years 1880. Thus, in 1913, the Russian Empire was the third worldwide economy, after the the United States and the Germany.

The Russian revolution of 1917 led to the introduction of a new State (the Soviet Union) and to the introduction of a new economic system, the planned economy. This first economic transition, in several phases (the Communism of war until 1921, the New Economic policy or NEP until 1928, then the Collectivization and industrialization) was extremely expensive in economic terms (retreat of the gross domestic product) and human (million victims of the collectivization of agriculture under Stalin). The mobilization of the resources (elevated level of investment because of the restrictions of consumption, rural migration allowing the development of industries) then allowed a certain economic correction and industrialist: the USSR, in the years 1950-70, then competed with the USA, in particular in the military field, while keeping a notable delay in terms of standard of living of the population.

This extensive growth being by limited nature, the Soviet growth started to slow down in the Années 1960, causing many attempts at reforms, without calling into question the principle of the leading role of the Communist party and the collective ownership of the means of productions. The Perestroika, engaged by Mikhaïl Gorbatchev, constituted a major turning. The economic reforms, supposed initially to instigate the economy without modifying the mode, precipitated the bursting of the Soviet Union in 15 States and paralyzed the economy. The transition towards the market economy then appeared inescapable for the Russian Federation born end 1991. In a context of hasty privatizations and persistent inflation, the transition initially resulted in a quasi-division by two of the Gross domestic product, which gave birth to from the controversies on the part played by the Fonds International currency. The economic depression culminated with the financial crisis of 1998, marked a brutal devaluation of the rouble and a defect on the Russian debt (GKO in particular). But this crisis was salutary, in the sense that it allowed the apparatus Russian production to become again competitive and to restart. The rise of the oil prices and the economic reforms engaged by Vladimir Poutine from 1999 also supported this rebound. Between 1999 and 2005, Russia knew an average economic growth higher than 6%.

Thanks to the high prices of energy, the inner demand develops quickly and a growth of the GDP of about 6% per annum is anticipated in the years to come.

The the IMF thinks that the growth will continue in the years to come.

Growth of the Russian GDP (source: The IMF):

Statistics

After a brutal fall of sound GDP during the Years 1990, this one returned in 2005 on its level close to 1990 mainly thanks to the rise in the prices of the raw materials whose Russia is one of largest exporters the.

Social-cultural indicators

The indicators of standard of living locate Russia among the countries at intermediate standard of living.

The demographic situation is particularly alarming, with an life expectancy lower than 60 years at the men (Démographie of Russia).

The transition from the Russian economy was accompanied by the impoverishment of part of the population, which culminated in 1998, and which was partly reduced since. The share of the population living under the official threshold of Russian poverty was of 17,8% in 2004. In same time, the inequalities appreciably increased, of the fact in particular of the mode of privatization.

Regional imbalances

There exist strong differences of size and richness between the Russian areas.

Moscow and its periphery (Oblast of Moscow) alone represent a quarter of the rough national product, according to the official statistics.

The oil and gas areas (oblast of Tioumen) also appear among richest, while the Caucasus records the lowest levels of richness per capita.

Economic structures

The Russian economy was largely privatisée in the years 1990.

In terms of active population like gross domestic product, the services dominate in the structure of the economy, but the weight of the natural resources is very high.

Natural resources

Russia is the second world producer of Pétrole and the first of Natural gas, and among the first world producers many Métaux. These resources sometimes difficult to reach, because are located in particular at north of the the Ural and in Siberia. The oil areas of the country Gas and Metalifère are among richest of the world.

Oil represents, according to calculations of the the World Bank, a quarter of the gross domestic product, and one the third of the receipts of the federal budget.

The principal Russian companies, by the market cap, are those of the Energetic sector, in particular the gas giant Gazprom, held in majority by the State, the oil majors Rosneft and Lukoil, like those of the metallurgical sector, like Norilsk Nickel and Severstal.

Russia has a quarter of the wood reserves of the world. It is the first exporting country and the sector accounts for 4,3% of the Russian GDP

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