Eight years of Putin in the Russian Presidency: A balance

On the other hand, the economy was a fully successful sector of the of Putin government. They criticize a great deal but they recognize the notable advancement of Russia: the GNP grew an average of 6,7 annual % from 1998, being in 2007 the 9th largest economy of the world. The country passed from being in deficit to holder of the 3rd largest international reserve of dollars of the world (US$ 463 billion in November of 2007, behind only the giants Japan and China) The growth is not due exclusively to oil, as many believe. Though this raw material is the principal product of export (Russia is the second greatest exporter of oil, after Saudi Arabia), the economy is diversifying in July of last year, Russian industrial production grew 12,5% in a period of 12 months, while mineral production only 1,5 % ). Sectors of high technology began to be developed: for example, in 2006 the exports of software reached US$ 1,5 billion, while in 2001 they were 128 million. The state is going to invest US$ 5,8 billion up to 2025 to modernize the electronic industry, and US$ 7,7 billion up to 2015 in order that to develop the nanotechnology sector. Some military industries, which got billionaire export contracts, also began to diversify production for the civil branch: Sukhoi the manufacturer of combat airplanes last year presented a new passenger plane, developed with the participation of European and North American enterprises, and it intends to get at least 10% of the worldwide market.

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The strong growth and development of sectors with bigger aggregate value had had a consequence in life conditions: the poverty index lowered to 30% of the population, in 1999, 17% in 2007. This index is comparable to countries with higher level of life, but it shows fast progress.

The only serious economic problem that affects Russia is inflation, which was greater than 11% in 2007, when it should not surpass 8 %, according to the marks of the government.

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