The Influence of Digital Economy on Russian International Trade

The digital economy is rapidly changing the global commercial environment, with serious consequences for countries all over the world, including Russia which plays a prominent role and is considered one of the world's largest economies in international trade, due to the enormous economic and political changes that it has gone through in the past few decades. Quantitative examination of trade data and industry reports were conducted for this paper. The study examines the effect of digital technology on Russia's foreign trade from 2000 to 2020. Empirical evidence suggests that digital technologies have a positive impact on Russia's international trade. According to the gravity model, internet usage, ICT exports, and R&D investments have a positive and significant impact on bilateral trade flow between Russia and its trading partners. Findings suggests that the digital economy is becoming an essential driver of Russian foreign trade, notably in industries like e-commerce, finance, and logistics. Digital platforms enable Russian enterprises to expand their reach and enter new markets, while facilitating cross-border trade and lowering transaction costs, increasing competitiveness, and promoting innovation, thereby facilitating the growth of Russia's international trade. The Russian government has recognized the importance of the digital economy and has taken steps to support its development