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PESTLE ANALYSIS (Russia)

By:
Vivek
Varundev
Divya
Pramod
Introduction
Capital city : Moscow
Government type : Federation
Population :140.04 million
Currency : Ruble (RUB)
GDP per capita (PPP) : $15,100
Exports
◦ Major exports include petroleum and petroleum
products, natural gas, wood and wood products,
metals, chemicals and military equipment.
Imports
◦ Machinery and equipment, consumer goods,
medicines, meat, sugar, and semi-finished metal
products.
Political landscape

Current strengths Current challenges


• Continuity in polices •Corruption and crime
• International integration • Terrorism

Future prospects Future risks


• Growing international •Pressure from bureaucracy
relations
Economic landscape
Current strengths Current challenges
• Successful economic • Unemployment
reforms • Dependence on foreign
• Strong current account money
surplus

Future prospects Future risks


• Comfortable foreign exchange •Decreasing budget surplus
reserves • Adverse balance of payments
• Growing foreign investments
Social landscape
Current strengths Current challenges
•Improvement in real •High AIDS rate
income and wage levels • High mortality rate
• Educated population

Future prospects Future risks


•Revamp of social security •Widening income inequality
benefits and rising poverty
• National welfare fund • Increasing spread of the
• Tax benefits to healthcare and AIDS epidemic
education
Technology landscape
Current strengths Current challenges
•Advanced space •Poor performance on
technologies patents
• Weak science and
technology systems

Future prospects Future risks


• Increasing presence of IT •Piracy and poor infrastructure
sector
• Increasing number of skilled
workers
• Military technologies helping
the farming sector
Legal landscape
Current strengths Current challenges
• Conducive FDI policies • Weak judicial system
• Easy immigration policy • Unfair competitive
practices

Future prospects Future risks


• Judicial reforms •Slowdown of structural
• International co-operation for reforms
legal assistance
Environmental landscape
Current strengths Current challenges
• Environmental •Spillages causing
management systems environmental hazards
• Lack of resources to tackle
environmental problems

Future prospects Future risks


•Environmental security •Deteriorating water quality
system • Difficulties with
• International co-operation environmental monitoring
• Increased investment in
global environmental facility
GDP - composition by sector:
Agriculture: 4.2%
Industry: 33.8%
Services: 62%

Export : $376.7 billion

Import : $237.3 billion 


1 Russian ruble = 1.60627225 Indian
rupees

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