Russia’s economic modernization and diversification away from dependence on natural resources has been the focus of a meeting of Russian key economy ministers and international business leaders.

Dependence on western financial markets and oil prices are two disappointing features of Russia, which were highlighted in the crisis.

The first deputy prime minister Igor Shuvalov said that by 2020 the country was determined to modernize the economy, shifting focus from natural recourses to human intellectual capital.
Informational technologies, nuclear power, hi-tech industry are just some of the priority sectors the government aims to develop.

But analysts warn the robust oil prices are the enemy of good intentions, with Mikhail Dmitriev, the Head of the Center of Strategic Research, adding Russia’s huge resource potential doesn’t create necessary stimulus for building strong diversified economy.

“With current oil and metal prices on global markets Russian economy will already face opportunity of pretty fast economic recovery. Maybe, economic GDP growth rate next year could reach 5% or even more. And this will be relaxing because this growth will come automatically but it will not secure and guarantee the longer term sustainable economic growth for the future.”