Russia is located between Europe and the North Pacific Ocean, in the Northern Asia, and bordering the Arctic Ocean.

Russia ended the year 2003 with its fifth straight year of growth, averaging at 6.5% annually, since the financial crisis of the year 1998.

For this economic rebound of Russia, the factors that largely contribute to this growth are high oil prices, relatively cheap Ruble, real fixed capital investments, increase in the real personal income, and high consumer-driven demand. Massive oil export earnings have allowed Russia to increase its large foreign reserves from only $12 billion to some $80 billion. These appreciable achievements, along with a renewed government attempt to advance its structural reforms, have raised business and investor confidence in Russia's developmental and economic prospects.

Oil, natural gas, metals, and timber, accounts for more than 80% of its total exports, which leaves the country vulnerable to the swings in world prices of these products.

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