The Russian economy (catch all)

[OUTLAW 09]

Stan---Belarus is still in the TIR and can still cross into Russia with no issues---thus the trucker shifts to there.

What is interesting to me is the why----in the face of it being illegal why do they feel the need to come up with innovative ways to earn foreign currency when their own central bank is claiming of 500B in foreign currency assets.

[OUTLAW 09]

Firn---there was an article today in the FT and I have to dig up the link that stated the rampant and massive corruption in Russia has virtually destroyed the local economy and that Russian activities lately have been pointed towards gaining new territory in order to contribute to the Russia economy.

Might in fact be true if one looks at the cheap products the SU would get through trade deals with say members of the Warsaw Pact ie Poland ,Hungary or the GDR especially the GDR which was still paying WW2 reparations up to 1989.

This TASS press release caught my attention and goes to these cheap product deals----wonder just why Russia would go to the WTO with complaints against the Ukraine if they leave the CIS and or join the EU which they already are getting EU preferences through no customs barriers.

Unless the former Ukrainian government had some on the side quiet cheap priced grain and meat products that Russia was getting that they see now as being threatened by the Ukraine getting world market prices for say their grain and meat via the EU thus the potential complaint to the WTO about none compliance with signed trade deals.

But on the other hand Russia is cancelling a number of signed Gazprom and Black Sea Fleet deals so I am not sure what they are up too.

http://en.itar-tass.com/russia/726633

The last sentence is telling---we will invest in the agriculture base "if" we have "additional financing" with a supposedly 500B foreign currency reserve one would think they have "additional financing" unless the actual foreign currency reserves are much lower due to corruption.

"It does not affect agrarian programmes. I emphasize once more all of them will be preserved, and when there is additional financing, we will channel it into state support," Medvedev assured.