Russia has a strong industrial and technological foundation. The Soviet Union was once the world's second economic power, but was overtaken by Japan in 1978. After the collapse of the Soviet Union, the Russian economy experienced a severe recession. After the disintegration of the Soviet Union, the Russian economy continued to decline. Since Putin came to power in 2000, the Russian economy has rebounded rapidly and maintained growth for eight consecutive years (an average annual growth rate of about 6.7%). Foreign trade exports have increased significantly, the investment environment has improved, and residents' income has increased significantly. The main industrial sectors include machinery, metallurgy, petroleum, natural gas, coal and chemical industry; the textile, food and wood processing industries are relatively backward; the aerospace and nuclear industries are at the world's advanced level. Fiscal and financial conditions are generally improving. In 2006, gold foreign exchange reserves ranked third in the world; the ruble appreciated by 7.6%; and its international credit rating improved. Since July 2006, Russia has made the ruble fully convertible and its exchange rate stable.
At the end of 2005, Russia's GDP recovered from US$157 billion in 1999 to approximately US$750 billion, and its gold foreign exchange reserves increased from less than US$10 billion at the end of 1998 to US$182.2 billion. By the end of 2006, it had exceeded the US$280 billion savings mark, becoming one of the countries with the largest foreign exchange savings in the world.
Under the double attack of the global financial crisis and the plummeting international oil prices, the Russian economy, which maintained rapid growth from 2002 to 2012, is slowing down significantly. In December 2008, the economic growth rate shrank by 1.1% year-on-year, showing the worst trend since 2002. the first negative growth. According to figures disclosed by relevant departments, the production of Russian industrial enterprises shrank rapidly in November 2008. The domestic industrial added value in that month fell by 10.8% compared with October, and by 8.7% compared with the same period in 2007. This decline covers almost all areas of Russian industrial production. The ruble is the standard currency unit and the secondary currency is the kopeck.
1 ruble = 100 kopecks. The denominations of banknotes are 10, 50, 100, 500, 1000, 5000 rubles, 1 ruble, 2 rubles, 5 rubles, 10 ruble coins, and 1, 5, 10, and 50 kopeck coins.
Ruble exchange rate (September 29, 2013) 1 US dollar = 32.335 Russian rubles, 1 RMB = 5.2855 Russian rubles, 1 Japanese yen = 0.3291 Russian rubles, 1 pound = 52.1785 Russian rubles, 1 euro = 43.7255 Russian Rubles Russia’s industry is developed, and its nuclear industry and aerospace industry occupy an important position in the world. The industrial output value in 2004 was 11.209 billion rubles, a year-on-year increase of 6.1%. The industrial employed population is 20.554 million, accounting for 30.5% of the total employed population (67.322 million).
It has a strong industrial foundation and a wide range of sectors, mainly machinery, steel, metallurgy, petroleum, natural gas, coal, forest industry and chemical industry. The wood and wood processing industry is also relatively developed. Russia's industrial structure is irrational, heavy industry is developed, light industry develops slowly, and the backwardness of civilian industry has not been fundamentally changed.
Russia’s heavy industry is developed.
Main Industrial Areas
Moscow Industrial Area: The most developed industrial area in Russia, focusing on automobiles, aircraft, rockets, steel, and electronics.
St. Petersburg Industrial Zone: Mainly engaged in petrochemicals, paper and shipbuilding, aerospace, and electronics. It is the most developed area in Russia's food and textile industries.
Ural Industrial Zone: mainly oil, steel, and machinery.
Novosibirsk Industrial Zone: mainly coal, oil, natural gas, steel, and electricity.
The Russian IT industry is developing rapidly, especially in software development, which has led the world, with the emergence of world-famous software manufacturers such as Yandex and Kaspersky. The agricultural population is 6.684 million, accounting for 9.9% of the total employed population. Paying equal attention to agriculture and animal husbandry, the main crops are wheat, barley, oats, corn, rice and beans. Cash crops are mainly flax, sunflower and sugar beet. Animal husbandry is mainly cattle, sheep, and pig farming, and is standardized.
Wheat imports
According to the latest report released by the Russian Customs Administration, from January to May 2013, Russia’s wheat imports reached 362,800 tons.
This report shows that in comparison, there were only 300 tons in the same period last year. Wheat imports from CIS countries amounted to 353,000 tons, compared with 41,900 tons in the same period last year. The main banks are:
Sberbank of Russia, established in 1991 with a registered capital of 24.1 billion rubles.
VTB was established in 1990 with a registered capital of 6.55 billion rubles.
Industrial and Commercial Bank of China was established in 1988 with a registered capital of 2.29 billion rubles.
Capital Savings Bank-Agricultural and Industrial Bank was established in 1988 with a registered capital of 2.16 billion rubles.
International Industrial Bank was established in 1992 with a registered capital of 1.85 billion rubles.
GasIndustrial Bank was established in 1990 with a registered capital of 1.85 billion rubles. According to statistics from the Russian Customs Committee, the import and export of goods trade in 2009 was US$389.14 billion, a decrease of 37.6% compared with the previous year (the same below). Among them, exports were US$233.94 billion, a decrease of 36.4%; imports were US$155.21 billion, a decrease of 39.3%; and the surplus was US$78.73 billion, a decrease of 29.7%.
Russia's main export commodities are mineral products such as oil and natural gas, metals and their products, chemical products, mechanical equipment and vehicles, gems and their products, wood and pulp, etc. The main imported commodities are machinery and equipment and vehicles, food and agricultural raw materials, chemicals and rubber, metals and their products, textile and clothing commodities, etc.
The total foreign investment in Russia in 2012 was US$154.6 billion, a year-on-year decrease of 18.9%. Among them: foreign direct investment was US$18.67 billion, a year-on-year increase of 1.4%; securities investment was US$1.82 billion, a year-on-year increase of 1.3 times; other types of investment were US$134.09 billion, a year-on-year decrease of 21.8%. Foreign investment mainly invested in manufacturing, finance, commerce, transportation and electrical appliance maintenance, mineral mining, real estate and leasing services, with a total investment amount of US$150.81 billion, accounting for 97.5% of the total foreign investment in Russia during the same period.
As of the end of 2012, Russia had invested a total of US$117.8 billion overseas. Among them, direct investment was US$73.93 billion, accounting for 62.8%; securities investment was US$12.68 billion, accounting for 10.8%; other investments were US$31.19 billion, accounting for 26.4%.
The countries with the highest cumulative foreign investment from Russia are the Netherlands, Cyprus, Switzerland, the United States, the United Kingdom, Belarus, Luxembourg, the Virgin Islands, Austria, and Ukraine. According to estimates from the Russian Federal Statistical Service, the average monthly added salary of Russian residents in November 2012 was 27,607 rubles, an increase of 14.2% compared with 2011.
According to data from the Ministry of Economic Policy and Development of the Russian capital, the per capita income of Moscow residents increased by 11% in October 2012, reaching 45,600 rubles. At the same time, pensions also increased to 9,870 rubles.
In November 2011, the real income of Russian residents increased by 0.2% compared with the same period in 2010. Residential income in the first 11 months of 2011 also rose by 0.2%. The average income of residents in November increased by 14.4% compared with the same period in 2010, reaching 24,310 rubles (approximately US$830).
Research shows that from 2006 to 2010, the average income growth rate of Russian citizens reached 1.5 times the inflation rate.
In 2004, Russia's per capita monthly income was 6,296 rubles (approximately US$218), a year-on-year real increase of 7.8%. In 2004, the average monthly salary of Russian employees was 6,828 rubles (approximately US$237), a year-on-year real increase of 10.8%. In December 2004, consumer goods prices increased by 11.7% compared with the same period last year.