The huge profits received from crude oil sales were enabling some oil-producing countries—like Venezuela—to conduct populist politics.

But as a result of the fall in the world oil prices, the Venezuelan government found itself in a grave situation.

The present-day situation in Venezuela is in some ways similar to that in Russia. The gasoline prices in this country are very expensive for an oil producing country. For Armenia, however, there are more severe consequences than just the price of Russian gasoline.

The “Russian” remittances to Armenia are an important factor for the development of the country’s economy. And the continuing drop in these remittances from Russia has had a negative impact on the wellbeing of a part of the Armenian society, and on several domains of Armenia’s economy.