The business barometer for North-West Russia 2010 - The general economic outlook has weakened considerably in northwestern Russia this year. Corporate short-term outlook will probably brighten in 2010, but managers expect that Russia's economy will weaken slightly next year.
In St. Petersburg, there is a pessimistic picture of the Russian economy compared to the other areas. This is shown by the Central Chamber of Commerce business barometer for northwest Russia.
The business barometer for North-West Russia in 2010 shows that the corporate general economic outlook has weakened considerably in 2009. The balance that describes the state decreased by 79 units from the previous year. Balance figures fell in all directions and in all industries.
The economic situation in Russia was weakened dramatically in 2009 compared with 2008. The balance rate fell by 96 units. The economy weakened in all industries. The pessimism in St. Petersburg was the greatest.
Medvedev's administration does not affect business operations significantly
Most of the Russian business leaders (72%) felt that the actions of President Medvedev's administration has taken has had no impact on the company's operations and business environment over the past 12 months.
Almost one-third of executives believed that Medvedev's administration has failed to improve the foreign companies' investment opportunities in Russia over the past 12 months.
Availability of financing and the weakened ruble restrain business development
Overall, 61 percent of Russian business leaders felt that the ruble´s weakened value inhibited the company's business somewhat or significantly in 2009.
Out of all the respondents, 64 percent thought that the company has had more problems than usual with the financing of business during the year.
Cautious optimism for the next year
The Russian business leaders who responded look forward to next year with cautious optimism. All balance numbers describing expectations have fallen compared with the barometric rate from the previous year. The numbers are positive, however, apart from the balance to describe the expectations of the Russian economy.
Corporate leaders assume that Russia's economy will be further weakened slightly in 2010. Within the industry, business leaders' outlook is more pessimistic than in other industries. Optimism is greater in Moscow and the rest of northwestern Russia, compared with St. Petersburg.
Business barometer for the North-West Russia 2010
The Central Chamber of Commerce business barometer for Northwest Russia has since 1999 been in the same extent. This year, 1 204 Russian business leaders gave answers to the barometer. The interviews were carried out 2009-07-20 - 2009-08-06.
Cecilia Helland