Russia

President Boris Yeltsin is shooting his own economic reform program in the foot. Yeltsin badly needs foreign investment, but his officials have slapped what amounts to a confiscatory 50% tax on hard-currency export earnings, in addition to a tariff of $4.50 on every barrel of Russian oil exported. Western companies say they aren't interested in investing in Russia if these policies remain in effect.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.