Swiss-Russian Economic Relations in Perspective Julien Thöni Head, Economic Affairs, Finance, Science Moscow, Embassy of Switzerland’s serie of presentations at the MIIT1
Two different countries with different economic structures SWITZERLANDRUSSIA km217’075’200 km2 8,2 mio. inhabitants142,9 mio. inhabitants 201 inhabitants per km28 inhabitants per km2 Federal State German, French, Italian and RomancheRussian Bern (127’000)Moscow (15’000’000)
Main features of Switzerland’s economy GDP: CHF 718 Bio in 2014 Total exports : CHF 206 Bio (2014) Main exports of Switzerland are precious stones and jewellery (30%); pharmaceutical products (20%); Machines and machine-tools (12%) 63% of total exchanges with the EU Global Competitivenes Index and Innovation Small and Medium Enterprises (98% / 60%)
Main features of Russia’s economy GDP : USD 1’239 Bio (2015) Total exports : USD 498 Bio (2014) Main exports of Russia is oil (30%) Member of the G8, G20, WTO (2012) Largest oil exporter in the world Second largest gas reserves in the world The largest market in Europe with strong middle-class
Framework of cooperation Agreement on the promotion and protection of investments (1990) Agreement for the avoidance of double taxation (1997) Agreement on Trade and Economic Cooperation (1993) Many other bilateral treaties
Swiss economic presence in Russia Long history of economic ties Presently large direct investments (USD 15 bio) 200 Swiss companies active on the Russian market Geographical distribution and interest for the regions
Russian presence in Switzerland Long history of Russian presence Tourism Studies Large investments Commodity trade finance Center for Russia’s largest companies
Bilateral trade Exports (Mio. CHF) Variation (%) Imports (Mio. CHF) Variation (%) Saldo (in Mio.) Volumes (in Mio.) 20092‘ ‘ '689261'040431' ‘ ‘ *2964*)2889*) (Total 1)** (2786)(-11)(588)(+11)(2198)(3374) 2015 (I-XII prov.)
Main products exported Exports 2014 (% of the total) 2015 (% of the total) 1. Pharmaceutical products Machines and machine tools Precious stones, metals and jewellry Watches9.58.5
Main products imported Exporte 2014 (% des Total) 2015 (% des Total) 1. Pharmazeutische Erzeugnisse Maschinen Edelsteine, -metalle und Bijouterie Uhrmacherwaren Importe 2014 (% des Total) 2015 (% des Total) 1. Precious stones, metals and jewellry Chemical products Non precious metals Agriculture products1.32.6
Main official instruments of cooperation Embassy of Switzerland General Consulate of Switzerland in St Petersburg Switzerland Global Enterprise and its Swiss Business Hub in Moscow Joint Chamber of Commerce in Zurich Switzerland Tourism in Moscow
Main official instruments of cooperation High official working visits and other visits Visits of Russian regions and Swiss Cantons Economic and business missions Joint Economic Commission Joint Working Group
Challenges Economic crisis RUB exchange rate Oil price General conditions of trade and investments
Challenges (2) International economic sanctions Switzerland abstained from taking sanctions Switzerland is not under Russian embargo
Conclusion Economic cooperation is a process derived from historical economic, trade and human relations mainly based on interests and willingness of the private sector.
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