TPT March 2009

Getting On Top Of

T he Russian economy is no stranger to instability and crisis, so it could be said that Moscow is the most predictable place to do business at the moment. Due to a sustained period of financial success, with an average GDP growth of 7 per cent between 2000- 2008, the country now operates on firmer foundations to secure long- term investment confidence. Russia has resolved its leadership question, with a government now run by Dmitry Medvedev and Vladimir Putin, which should enable the country to emerge from the current global recession in a stable position. A large part of Russia’s development in recent years has been due to the enormous quantities of foreign direct investment, with US$55-58 billion estimated for 2008 (RIA Novosti).

According to an article titled ‘The economic situation and investment climate in Russia (2008)’ , authored by the American Chamber of Commerce in Russia and Ernst & Young, over the coming years the Russian economy will “show stability and continued growth, despite a deteriorating situation on the world market.” But although Russia’s business and economic outlook is far more stable than in previous decades, doing business in Russia is still a complicated venture. Ernst & Young comments, “Many companies operating in Russia are unsatisfied with the slow pace of tax reform and disappointed by the tax authorities’ inconsistency in the application and interpretation of tax legislation.”

However, it is only by gaining entry into the Russian market that foreign companies can tackle such issues. An ideal forum to gain a foothold in the Russian market, Tube Russia 2009 will take place from 12-15 May in pavilions 3 and 7 at the Presnaya Krasnya Expocentre in Moscow. As qualification for the long-term confidence in the Russian market, Tube Russia 2009 is already sold out, with space only available via await list. In such current economic conditions, this is a highly enouraging sign. The event will again be partnered by wire Russia, Metallurgy-Litmash and Aluminium/Non-Ferrrous 2009. Tube 2007, which was the last event to take place alongside wire Russia, welcomed 300 exhibitors from 26 countries and 13,500 trade visitors.

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M arch 2009

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