Russian economy general info and features

Russian economy overview

Russian economy was 8th according to International Monetary Fund by nominal volume of Gross Domestic Product in 2008. The total share in world GDP was about 3,3%. The basis of Russian economy is Soviet times initial capital bought by private owners in the period of post Soviet Russia by the mechanism of privatization.

Russian Economy

News, notes and thoughts:

3 May, 2013  / Russia has significantly increased the price for transportation of the U.S. astronauts to the International Space Station. The cost will be 71 million U.S. dollars, the previous price - $ 63 million. Nowadays, Russia is the only country in the world sending people to orbit and back. It is unlikely that Russia's monopoly will last a long time, private companies in the U.S. already deliver cargo to the ISS, manned private space ships - the next step.

24 November, 2012  / Russia's economy is recognized as one of the most stable among the countries of G20. In the economic performance rating compiled by Financial Times, Russia took the second place. Saudi Arabia ranked first, China - the third. Russia in comparison with other countries has low level of debt, a relatively low unemployment rate (5%), significant foreign exchange reserves, and economic growth (4%).

19 November, 2012  / In September 2012, the total Russian investment in U.S. Treasuries amounted to $ 162.8 billion. By the end of July, the figure was $ 156.2 billion. Russia joined the group of key buyers of U.S. Treasuries in 2008, when the country increased its investment in Treasuries in 3.5 times - to $ 116.4 billion from $ 32.6 billion.

Russian economy features

Russian economy is unique because from the one side it is still the reduced variant of USSR economy from the other it is the successor of planned economy with additional features appeared later during the market economy times.

Russian economy is based on exporting of natural resources like oil, natural gas, metals and timber. Also Russia has rich experience in such industries as space traveling, nuclear power generation, military technologies.

Thereby integration of Russian economy together with the economies of Brazil, China and India into global economy and market is one of the most important questions of present day and near future.

The questions of our visitors

saeed asks: hi dear mr/ms i like to know about living costs there, including the rate of renting an one-bed and two-bed apartment, also food, transportation, fun, etc.
Expert's answer:

The cost of living in Russia varies greatly depending on the region, but if look at average provincial town (not Moscow, Saint-Petersburg or the cities located in the northern part of the country where the average prices are higher) we have the following picture.

The renting of an apartment will cost you about 7,000-12,000 Rubles (200-400 USD) per month; transportation - the bus/trolleybus/minibus ticket cost is about 10-20 Rubles, taxi 100-200 Rubles; food - meet 200-300 Rubles/kilo, apples 50-100 Rubles, vodka 100-200 Rubles/litre, fun - movie theater ticket 100-200 Rubles.

The average income of Russian citizens is about 17,000 Rubles, so the income of about 25,000-30,000 Rubles per month is enough to have the upper average level of living if you are not going to buy apartment, car, etc.

henry asks: Hi. How Russia has a good tecnology for weapon and the heavy stuff, but doesn't have technology to made good cars like Germany for example?
Expert's answer:

Soviet Union was a military state and almost all the efforts of the economics in general, science, human resources were put into making war machines and national defense technologies, it was one of the reasons of the collapse of Soviet state.

Present day Russia is just using and modernizing the military technologies of the Soviet past (created in the 1970-1980th) that are still competitive in some way but soon will be not. As for the products for the needs of the people (like good cars) there is not a lot of experience in making such things and there is no stimulus to start building such modern industries when the country is living on oil, gas and other natural resources money.

radha asks: I am an aircraft maintenance technician working as an apprentice for orient flights in India. After the month of July, I want to get a job in any airlines which is in Russia, how can I get it.If I am going through the web its in Russian, I cant understand it. My aim is to get a job in any russian airlines and get settled in Russia, can you guide me, thanking you
Expert's answer:

Here are the official sites of top 5 Russian airlines companies (the English friendly versions) where I hope you will find all the info required:

Good luck!