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The Russian Federation is committed to the principles of multiparty democracy, pluralism and market economics in accordance with Article 1 of the Agreement establishing the Bank, although progress in the application of these principles during the previous Strategy period has been uneven.
Despite almost two decades of market reforms, Russia’s labour productivity remains one of the lowest amongst industrialised nations, while the energy intensity of the Russian economy is estimated to be about 2.5 times higher than the world average. The main reform achievement in recent years was Russia’s accession to the World Trade Organisation in August 2012, which has the potential to raise productivity through increased foreign investment and stronger import competition, and in turn will put more pressure on domestic firms to become more productive and efficient.
The EBRD and Russia
The EBRD has been a strong and longstanding partner for Russia, its largest country of operations. In the next three-year Strategy period, this relationship will continue to flourish as the Bank endeavours to assist the Russian authorities achieve their important reform objectives during turbulent times and to sustain its high level of engagement. While the previous country strategy for 2009-11 focused in part on supporting the country’s short-term crisis response, this new country strategy for 2013-15 will refocus the Bank’s activities on addressing the longer-term core challenges of the Russian economy, which include (1) diversification, (2) modernisation and innovation; (3) private sector development; and (4) regional development.
Last updated 21 December 2012