The World Cup in Russia?

Russia will host the World Cup 2018 from June 14 to July 15.  in the short-term it will bring a small boost to the Russian economy. Russian President Vladimir Putin hopes to use the World Cup as a tool to invigorate the domestic economy with the boost of tourists and their spending habits.  “Concerning the second and third quarters of 2018, the short-term positive impact on the Russian economy will be the growth in jobs and increase in demand for consumer products and services,” according to the USA economic analyst. Aside from that, analysts at Russia’s Gaidar Institute said in January the World Cup, which will be hosted in 11 cities across the country, could add up to 0.2 percent to annual gross domestic product (GDP) growth in the second and third quarters. Furthermore, both generating additional employment and enhancing national brand image could improve.

As you can see from the graph, diverse countries from different continents are going to join the games. It means that there are numerous ripple effects from worldwide people in one way or another. There will be many eyes watching.  Lots of media will focus on Russia over this period and people of all ages will also watch the games as well as a variety of adverts via newspapers, TV and even social media. Russia views this as truly a 'win-win' situation regarding the development of the economic and their global reputation. Nobody can deny that the World Cup is one of the most appealing events around the world.

However, the World Cup not only brings benefits to the host country.  In Brazil,  the World Cup 4 years ago, there were many protests due to the astronomical budget for the construction of building stadiums, the decrease standards of living which resulted in the high inflation rate for groceries. Although Russia's situation is far better than Brazil at the moment, the Russian government should be aware of deep-rooted inherent risks and also make things worse than now.  Hopefully, it will be a positive experience for everyone including Russia.