Russia's Drive for Global Economic Power: A Challenge for the Obama Administration

by Ariel Cohen, Ph.D. and Lajos F. Szaszdi Ph.D. Backgrounder #2235 Until the recent global financial crisis, Russia's eco­nomic revival during the presidency of Vladimir Putin had helped to restore the country's standing as a major player in the world arena. Yet, prosperity has come with some unintended consequences. Russia's inva­sion of Georgia was fueled by Russia's economic growth and newfound wealth. This economic comeback is largely the result of Russia's oil and natural gas exports, coupled with the high prices that other Russian commodities have enjoyed in world markets. With the seventh-largest oil reserves and the largest gas reserves in the world, and as the leading exporter of oil and gas, the Kremlin is using its energy exports, revenue from arms and met­als sales, and investments abroad in the mining and energy sectors to extend Russia's influence worldwide. Russia's Drive for Global Economic Power: A Challenge for the Obama Administration