The Russian Economy and the Iraqi War

Russian officials say their economy will not be impacted substantially by the Iraq War. "We built our forecasts and our policies in such a way that the economy is currently immune from the various splashes in the world economy," said Finance Minister Alexei Kudrin, who is also a deputy prime minister.

What do Russian economic officials worry most about relative to the Iraq War? Oil prices. Alexander Zhukov, head of the State Duma's influential budget committee, said that while Russia's economy was well protected from the effects of war, the world economy could be pushed into a crisis that could eventually ensnare Russia. "If the war lasts longer then planned, then oil prices will soar and one should expect a global crisis," he said. "For the Russian economy the most important factor is the behavior of world oil prices," said Zhukov. Go here to read more.