nep-cis New Economics Papers
on Confederation of Independent States
Issue of 2009‒12‒19
three papers chosen by
Anna Y. Borodina
Perm State University

  1. Russian Migration Policy and Its Impact on Human Development By Ivakhnyuk, Irina
  2. Current Trends in Migration in the Commonwealth of Independent States By Abazov, Rafis
  3. Foreign Direct Investment Flows between the EU and the BRICs By Roman Stöllinger; Gábor Hunya

  1. By: Ivakhnyuk, Irina
    Abstract: For Russia, migration policy – in terms of internal or/and international migration flows management – was an ever-important element of the State activities. Concentrated on State interests, the policy also resulted in human development. The paper presents a historical overview of the Soviet and Russian migration policies with special emphases on the impact on human development and the driving forces behind the changing policies. The Soviet period can be characterized as contradiction between strict limitations on the freedom of movement provided by the propiska system, and large-scale population movements, both voluntary and involuntary, that were inspired by economic and administrative policy measures to meet labor demand of an industrializing economy. In the post-Soviet period, international migration is the major focus of the Russian migration policy. The Russian Federation is the major receiving country in the vast former USSR territory. The evolution of Russian migration policy in the post- Soviet period is a good example for getting a better understanding of how the everlasting conflict between the need for additional human resources and anti-immigrant public moods (typical of all receiving countries), combined with the opportunistic considerations of political elites, that hampers the elaboration of a reasonable long-term migration strategy. Russian migration policy has been drifting from a relatively open immigration regulation based on a laissez faire approach in the early 1990s to restrictive immigration laws in the early 2000s and to an ‘open door’ migration policy in respect to CIS citizens in 2007.
    Keywords: Human development; internal migration; international migration; migration policy; Russia
    JEL: Z1 O15 E6
    Date: 2009–04–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:19196&r=cis
  2. By: Abazov, Rafis
    Abstract: This paper assesses recent migration trends in the Commonwealth of Independent States (CIS). Within the last decade (1999-2009) the Russian Federation became the world’s second largest recipient of migrants after the United States, while the Ukraine became the fourth largest and Kazakhstan became the ninth largest. Such large-scale population movement, which includes a significant number of labour migrants from resource-poor to resource-rich states in the region, has had an inevitable impact on the social, economic and human development in both source and host countries. By 2007-2009 Moldova, Tajikistan and Kyrgyzstan have develop a high dependency on international money transfers from their labour migrants, having the world’s highest ratio of remittances to their GDP. During last few years numerous studies focused on migration issues within the CIS region, yet there are a number of problems to be still explored: What are the “push” and “pull” factors that motivate this large-scale migration? What are the current trends in the labour migration in the CIS? What are the short-term and long-term implications of the current migration trends for migrants and their families? What is the impact of the migration on human development in the region, including poverty reduction, social and gender equality, education and health? The paper addresses these and other questions. First, it evaluates the historical, political and social background and demographic context of the population movement in the region, which has become one of the most important determinants of migration during the recent times. Second, it overviews the most important push and pull factors that have affected migration during recent years and different types of migration responses to the social and economic pressures in sending and receiving countries. Third, it reviews the major impacts of the population movement on human development in the CIS region. In conclusion the paper summarizes the major findings and provides policy recommendations.
    Keywords: labour migration; regional labour market; human development; poverty; migration policy; remittances; rural-urban migration; urbanization; CIS; Kazakhstan; and Russia
    JEL: O15 J0
    Date: 2009–08–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:19220&r=cis
  3. By: Roman Stöllinger (The Vienna Institute for International Economic Studies, wiiw); Gábor Hunya (The Vienna Institute for International Economic Studies, wiiw)
    Abstract: On a global level, the EU emerges as the most important foreign direct investor, also if considering extra-EU investments only. This reflects the capability and propensity of EU firms to internationalize their business activities. A joint analysis of two methodologically very distinct databases - Eurostat FDI data for FDI flows and stocks, and the FDI Intelligence from Financial Times Ltd. for the number of investment projects - made it possible, for the period 2001-2007 and 2003-2008 respectively, to reveal several facts and trends concerning the competitive position of EU firms in the BRICs and vice versa. The EU is among the main investors in each of the BRICs and the dominant investor in Brazil and Russia. In China and India, the EU has less weight. But after correcting for particularities in FDI data, such as the prominent role of Hong Kong and off-shore centres in Chinese FDI and of Mauritius in Indian FDI, the EU ranks higher also in these countries. In a direct comparison with the US and Japan, the EU emerges as the leading investor among the Triad countries in each of the BRICs. This suggests that EU firms are well positioned to compete with other multinational corporations in the BRICs. The analysis of the number of projects confirms this finding, the role of the EU in China is much greater than suggested by FDI data. China emerges as the main BRICs target for EU projects, but in terms of FDI inflows China occupies rank three after Russia and Brazil. The divergent results can be explained by the small number of very large projects in the natural resource sector of Russia and the great number of finance- and trade-related small investments in China. In some cases, FDI has become the major entry strategy of EU firms into the BRICs markets. Global and EU-15 investments in the BRICs, as measured by the number of investment projects, were resilient to the global crisis until 2008. With regards to the current economic downturn and the expected drop in global FDI, the BRICs may find themselves in a privileged position in several respects. First of all they are large economies where FDI is mainly attracted by the local markets with growth expectations above world average, although not in Russia. Local economic growth especially in China and India will allow for FDI to grow if companies from crisis-hit countries are in the position to invest. Larger multinationals may increasingly concentrate on the very few countries in the world where they can expand sales, such as China, India and Brazil, and shift investments there. Also for European companies the expansion to the BRICs remains a major attraction. Due to the size of the BRICs and their distance to Europe, only larger or more specialized investors may benefit from this opportunity. The main conclusion based on the statistical analysis is that the EU is well positioned as a direct investor both on the global level and in the BRICs. In the fast growing markets of China and India, however, the share of EU firms in total FDI is rather low and not particularly dynamic. As investments in such geographically more distant places are mainly realized by large corporations while SMEs typically limit their foreign operations to nearby countries, policy levers may be necessary to expand EU presence there. This is all the more desirable as China and India have a high market potential and EU firms can expect high returns on FDI.
    Keywords: FDI, competitiveness, EU, BRICs, Brazil, China, European Union, India, Russia, Foreign Direct Investment
    JEL: F21 O52 O53 O54
    Date: 2009–12
    URL: http://d.repec.org/n?u=RePEc:wii:rpaper:rr:358&r=cis

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