Eurasian Integration Yearbook 2012

Elvira Kurmanalieva, Konstantin Fedorov. “The Impact of GlobalFinancial and Economic Instability on the CIS”The Economics of the Post-Sovietand Eurasian Integrationthe 2008-2009 crisis. At present, these countries have a budget surplus,which is, however, considerably lower than in the pre-crisis period before2008.Group 2. The economies of Armenia, Moldova, Kyrgyzstan and Tajikistan arefinanced, to a considerable extent, by remittances from labour migrants andwith the support of diasporas. Although the majority of these countries havecertain (mineral and/or agricultural) resources, they are not large enough tomake exports determine economic dynamics. These countries have considerablenegative balances of foreign trade and current accounts. The tax base in thesecountries is primarily domestic economic activities. Because of the relativelydifficult collection of taxes from this base (compared to taxes on raw materialsexports), the budgets of the countries in the second group have chronic deficitsand depend more or less on external finance.Group 3. Belarus, Uzbekistan and Ukraine can be included in the third group.These countries have a diversified structure of exports and a considerable shareof products with a relatively high level of processing, while they still haveconsiderable raw materials exports. Their foreign balances are historically betterthan those in the second group. The budgetary policy in these countries is alsoTable 7.1.Grouping indicatorsfor the CIS countries(data for 2010)Source: Trademap,national authoritiesShare ofmineralproducts inexports (%)Commodities accounting for more than10% in exportsCurrenttransfers(% ofGDP)Moneyremittancesfrom Russia(% of GDP)Azerbaijan 95% mineral products (95%) 1% 1.5%Exportersof oil andgasKazakhstan 76% mineral products (76%), metals (13%) -0.3% -0.3%Russia 66% mineral products (66%), metals (10%) -0.2% -0.5%Turkmenistan 71% mineral products (71%), textiles (20%) 0%Exportersof labourArmenia 31% foodstuffs (17%), mineral products (31%), stone,cement, precious metals (16%), metals (28%)Kyrgyzstan 8% foodstuffs (13%), textiles (11%), stone, cement,precious metals (46%), other items (11%)Moldova 1% foodstuffs (48%), textiles (19%), machinery,equipment (11%)6% 10.1%29.1% 21%22.8% 13.4%Tajikistan 4% foodstuffs (18%), textiles (16%), metals (57%) 26.8% 38%Exporterswith adiversifiedstructureof tradeBelarus 29% foodstuffs (13%), mineral products (29%),chemical products (16%)Uzbekistan 24% foodstuffs (10%), mineral products (24%), chemicalproducts (14%), textiles (23%), metals (13%)Ukraine 13% foodstuffs (19%), mineral products (13%),metals (34%), machinery, equipment (11%)0.6% 0.3%6.7%-6.1% 1.4%Eurasian Development Bank123