People

Population: 143.8 million (July 2004).

Population growth rate: -0.45 % (2004).

Life expectancy at birth: 66.4 years.

Religions: Russian Orthodox, Muslim, other.

Ethnic groups: Russian 81.5%, Tatar 3.8%, Ukrainian 3%, Chuvash 1.2%, Bashkir 0.9%, Belarusian 0.8%, Moldavian 0.7%, other 8.1% (1989).

Languages: Russian, other.

Nationality: Russian(s).

Geography

Country name: Russian Federation (local: Rossiyskaya Federatsiya). Former: Russian Soviet Federative Socialist Republic.

Capital: Moscow.

Government type: federation. Constitution
adopted in 1993.

Administrative divisions: 49 oblasts (oblastey, singular - oblast), 21 republics (respublik, singular - respublika), 10 autonomous okrugs (avtonomnykh okrugov, singular - avtonomnyy okrug), 6 krays (krayev, singular - kray), 2 federal cities (singular - gorod), and 1 autonomous oblast(avtonomnaya oblast').

Terrain: broad plain with low hills west of Urals; vast coniferous forest and tundra in Siberia; uplands and mountains along southern border regions.

Total area: 17,075,200 km² (approximately 1.8 times the size of the US).

Coastline: 37,653 km.

Highest point: Gora El'brus 5,633 m.

Climate: ranges from steppes in the south through humid continental in much of European Russia; subarctic in Siberia to tundra climate in the polar north; winters vary from cool along Black Sea coast to frigid in Siberia; summers vary from warm in the steppes to cool along Arctic coast.

Ports and harbors: Aleksandrovsk-Sakhalinskiy, Arkhangel'sk, Astrakhan', De-Kastri, Indigirskiy, Kaliningrad, Kandalaksha, Kazan', Khabarovsk, Kholmsk, Krasnoyarsk, Lazarev, Mago, Mezen', Moscow, Murmansk, Nakhodka, Nevel'sk, Novorossiysk, Onega, Petropavlovsk-Kamchatskiy, Rostov, Shakhtersk, Saint Petersburg, Sochi, Taganrog, Tuapse, Uglegorsk, Vanino, Vladivostok, Volgograd, Vostochnyy, Vyborg .

Notes: Russia is the largest country in the world in terms of area but unfavorably located in relation to major sea lanes of the world; despite its size, much of the country lacks proper soils and climates (either too cold or too dry) for agriculture; Mount El'brus is Europe's tallest peak.

Permafrost over much of Siberia is a major impediment to development; volcanic activity in the Kuril Islands; volcanoes and earthquakes on the Kamchatka Peninsula.

The Soviet economy and society stagnated in the following decades until General Secretary Mikhail Gorbachev (1985-91) introduced glasnost (openness) and perestroika (restructuring) in an attempt to modernize Communism, but his initiatives inadvertently released forces that by December 1991 splintered the USSR into 15 independent republics. Since then, Russia has struggled in its efforts to build a democratic political system and market economy to replace the strict social, political, and economic controls of the Communist period. While some progress has been made on the economic front, recent years have seen a recentralization of power under Vladimir Putin and an erosion in nascent democratic institutions. A determined guerrilla conflict still plagues Russia in Chechnya.

Economy

Russia ended 2003 with its fifth straight year of growth, averaging 6.5% annually since the financial crisis of 1998. Although high oil prices and a relatively cheap ruble are important drivers of this economic rebound, since 2000 investment and consumer-driven demand have played a noticeably increasing role. Real fixed capital investments have averaged gains greater than 10% over the last four years and real personal incomes have averaged increases over 12%. Russia has also improved its international financial position since the 1998 financial crisis, with its foreign debt declining from 90% of GDP to around 28%. Strong oil export earnings have allowed Russia to increase its foreign reserves from only $12 billion to some $80 billion. These achievements, along with a renewed government effort to advance structural reforms, have raised business and investor confidence in Russia's economic prospects. Nevertheless, serious problems persist. Oil, natural gas, metals, and timber account for more than 80% of exports, leaving the country vulnerable to swings in world prices. Russia's manufacturing base is dilapidated and must be replaced or modernized if the country is to achieve broad-based economic growth. Other problems include a weak banking system, a poor business climate that discourages both domestic and foreign investors, corruption, local and regional government intervention in the courts, and widespread lack of trust in institutions. In addition, a string of investigations launched against a major Russian oil company, culminating with the arrest of its CEO in the fall of 2003, have raised concerns by some observers that President PUTIN is granting more influence to forces within his government that desire to reassert state control over the economy.

GDP (purchasing power parity): US$ 1.282 trillion (2003).

GDP per capita (purchasing power parity): US$ 8,900 (2003).

GDP growth rate: 7.3 % (2003).

Unemployment rate: 8.5 % (2003).

Currency: Russian ruble (RUR).

Industries: complete range of mining and extractive industries producing coal, oil, gas, chemicals, and metals; all forms of machine building from rolling mills to high-performance aircraft and space vehicles; shipbuilding; road and rail transportation equipment; communications equipment; agricultural machinery, tractors, and construction equipment; electric power generating and transmitting equipment; medical and scientific instruments; consumer durables, textiles, foodstuffs, handicrafts.