Community | November 27, 2008 | 0 comments

Siberian oil town hit by downturn

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The real Siberian winter hasn't come yet, yet the frost is starting to bite.

The same goes for the Russian economy.

Like the city of Omsk in the bright winter sunlight, reflected from the ice and the patches of snow, the future of the Russian economy looked bright and sunny just until very recently.

But just as a chilling wind from the river Irtysh can immediately send shivers down your spine, collapsing oil prices are bringing the crisis home.

Russia is an oil economy, and Omsk is an oil city.

It does not have large oil fields nearby, but there is a huge refinery - indeed, the biggest in Russia.
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