Regional Growth in Russia During the 1990s—What Role Did FDI Play?

Gregory Brock ()

Post-Communist Economies, 2005, vol. 17, issue 3, 319-329

Abstract: Regional economic growth in Russia's regions in 1995-2000 is analysed with particular attention paid to FDI and how it influenced growth during this period. FDI appears to have been essential before the 1998 crisis in helping the economy grow despite the initial chaos of the transition. Larger regional economies that have garnered most FDI and perhaps gone further with institutional reforms that can assist in capturing the full benefits of FDI are likely to lead economic growth in the future. All regions need to take advantage now of the favourable economic environment to assess and learn from prior FDI experience to foster future growth should the price of oil and the remaining advantage of a depreciated currency change. No evidence was found that region-wide corruption hindered economic growth in the 1990s.

Date: 2005
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DOI: 10.1080/14631370500204222

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