BR Research

Flocking to Russia

Published October 1, 2010 Updated October 1, 2010 12:00am

A declining population might seem like a very alien phenomenon for Pakistan. However, Russias demographics seem to be moving in a completely reverse motion.
Between 1992 and 2008, deaths in Russia exceeded births by 12.6 million, and the trend has set the stage for a declining population in Russia.
The resultant effect is very evident in Russias working age population (WAP) which has been decreasing by nearly a million workers every year. According to a working paper by the National Council for Eurasian and East European Research, "Between 2009 and 2026, Russias WAP will shrink by 17 million, which is 24 percent of Russias overall employment in 2009."
The given circumstances have perpetuated a call for a more open immigration policy in the country to compensate for the declining working population. Federal immigration service chief, Konstantin Romodanovsky, was quoted by the media saying, "We need them (immigrants) like we need air."
Recent trends in Russia indicate a decline in employment in the agriculture and manufacturing sectors, and a concurrent increase in service and construction sector jobs.
Russia recorded GDP growth of 5.4 percent in the April-June 2010 quarter, over the same period a year ago, while the government has forecast the economy to grow by 4 percent this year.
This makes Russia another prospective option for Pakistanis exploring avenues to settle abroad, in particular the labour class.
While many labourers of the construction sector have fled to the Middle East, which, by the way, does not grant a residency status to her foreign employees, the working conditions of the labour group remain deplorable.
With a minimum wage rate meted out at 4,330 roubles (nearly Rs12,000) per month, and average per capita monthly income of nearly 17,000 roubles (roughly Rs47,000) per month, the earning prospects seem a tad better relative to Pakistan.
However, the Russian government is wrought with the problem of approximately 5 million illegal immigrants, and the country needs to ease up on her migration rules to encourage more people to apply for residency and work legally.
Who knows, given the call of the Russian government, and Pakistanis growing appetite for settling abroad, Russia may be the next favourite destination for the locals.