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Russia has been striving to find its new place in the world since the Soviet Union ceased to be in 199

A new political order has been established and the economy has seen steady growth since the collapse of 1998.

At the same time, fears have been expressed that the country's long history of authoritarian rule did not end with Communism and Chechnya remains a very painful thorn in Russia's flesh.

The country impresses with its diversity and size. Spanning 10 time zones, this Eurasian land mass covers over 17m sq kms. Its climate ranges from the Arctic north to the generally temperate south.

Russia has vast natural resources, not least in oil and gas. World oil prices are a key factor in determining economic strength.

In the privatisation years of the 1990s Russia provided entrepreneurs with the potential for rich pickings. A small group of people, often referred to as oligarchs, acquired vast interests in the energy and media sectors.

Some analysts believed that the then president, Boris Yeltsin, allowed their influence to extend too far into the political field but President Putin soon made it clear that there was no question of that with him in charge.

Some oligarchs found themselves facing criminal investigation and one or two household names felt it necessary to leave the country. One of them, Mikhail Khodorkovsky, who headed the Yukos oil company, is now serving eight years in a Siberian penal colony having been convicted on tax and fraud charges. He had not confined his activities to business but had let his support for liberal politics be known.

The Kremlin has taken steps to reassert control over the oil and gas sectors. The Russian state now has a stake of over 50% in the giant gas company Gazprom which supplies about a quarter of Europe's gas needs. Agreement has also been reached that Russian gas will be supplied to China.

Chechnya and the West

While Russians make up over 80% of the population and Orthodox Christianity is the main religion, there are many other ethnic and religious groups. Muslims are concentrated among the Volga Tatars and the Bashkirs and in the North Caucasus.

Snow in Red Square, Moscow Moscow's main thoroughfares converge at Red Square
Chechnya remains prominent in the headlines. Many thousands have died since Russian troops were first sent in to put down a separatist rebellion in 1994 and guerrilla fighters continue to mount attacks. However, the Kremlin faced less criticism from the West over its actions in Chechnya in the aftermath of the 11 September attacks on the US.

Since then, Moscow has presented its war against Chechen separatism as part of the global war against international terrorism. It insists that its hard-line policies there are working and that peace is returning to the republic.

This has frequently been called into question as violence flares with tragic regularity across Chechnya and the wider North Caucasus.

Russia's supportive policy on the US-led campaign against international terrorism also had an impact on the country's relations with Nato. The two sides agreed in May 2002 to establish the Nato-Russia Council giving Russia an equal role with Nato countries in decision making on policy to counter terrorism and other security threats.

Nevertheless, Russia was firm in its opposition to the US-led military action against Iraq in the spring of 2003, insisting that UN weapons inspectors be given as much time as they needed to do their work.

Despite concerns expressed by Washington, Moscow and Tehran agreed early in 2005 that Russia would supply fuel for Iran's Bushehr nuclear reactor. Amid increasing international concern over Iran's nuclear programme, Russia has so far opposed sanctions.

It has consistently shown that its desire to build a new relationship with the US will not deter it from going its own way on key issues.





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