RUTLAND Peter

Energy is central to understanding the dynamics of Russia’s politics and economy, from both domestic and international aspects. After emerging from the Soviet Union in 1991 Russia exhibited many of the characteristics of a petrostate—a country whose political and economic dynamics revolve around the export of hydrocarbons. Energy exports have boosted the Russian economy to being seventh largest in the world, just ahead of Italy and Brazil, and its elite have joined the ranks of the global super-rich. Resources have created large trade surpluses and greatly increased Russia’s holdings of foreign currencies.