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Concerning the Status of Russia’s Business Climate in 2014 - 2017

Despite the difficulties in the Russian economy, currently there are higher estimates of business on several fronts with the estimates of Russian experts being similar to those of foreign ones.

The economic structure has been changed gradually. New technologies are being introduced. Digitalisation is becoming a new business area in Russia. But there are still problems with the construction of «analogue» economies. Yet, many companies make pessimistic forecasts for business environments. Of all the four-year estimates those for 2017 were the most positive. However, results of own work and investment plans for the nearest future are quite highly evaluated by business.

One-half of all the respondents are certain that the main concerns faced by business in 2017 was a rise in prices and rates. 43% of companies consider extremely high taxes as a factor hampering the entrepreneurial activities in Russia. One-half of all the respondents also noted that tax burden had increased over the last four years.

Moreover, for small businesses taxes became a core challenge in 2017. A lack of skilled personnel is also among serious constraints as seen by Russian companies. This option won over 40% (it is more often selected by large companies). However, there are certain positive trends. New companies are incorporated faster. Although the problem with receiving credit line facilities still exists, its acuteness has been blunted.

A growing percentage of companies considering legal lobbying instruments more efficient than illegal ones can now be found. Thus, Russian business is given grounds for cautious optimism.

Analytics on the topic