The Russian Internet Economy
The Russian Internet economy is demonstrating a substantial rate of growth, one that is significantly outperforming the rest of the domestic economy. According to joint research by the Higher School of Economics and the Russian Association of Electronic Communications, while in 2011 the Internet economy accounted for just 1% of Russia’s GDP, it was expected to grow at a rate of about 30% in 2012. According to BCG reports, the Internet contributed to 1.9% of Russian GDP in 2010, and is expected to grow by up to 2.8% by 2016. E-commerce, which combines retail and electronic payment systems, accounts for the large majority of the Internet economy, but other segments are also growing. Advertising is the fastest growing part of the Russian Internet economy, growing at a rate of 50% annually.
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