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Economic development of the former USSR and the Warsaw Pact countries

Visualizing first 30 years of the post-Soviet economy development.

Which countries have performed best and worst?

Dissolution of the Soviet Union and the Warsaw Pact

In the mid-1980s, the Soviet Union launched a series of liberal political and economic reforms, widely known as perestroika. It led to liberalization of political institutions, censorship decrease and broad freedom of information.

Eastern European countries were influenced by this process as well. In the meantime, Soviet Union abandoned the policy of using its military power for supporting foreign communist governments.

BulgariaHungaryPolandRomaniaCzechoslovakiaEast GermanySoviet Union1989

In 1989 pro-Soviet regimes of former Warsaw Pact countries Poland, Hungary, East Germany, Czechoslovakia, Bulgaria and Romania had fallen in a few months as a result of peaceful revolutions (except Romania - not so peaceful). No communist country left in Eastern Europe.

Political liberalization and the economic crisis have also intensified requests for political and economic autonomy in the Soviet republics. By late 1991, the USSR had collapsed.

First republics to declare a sovereignty were Baltic states: Estonia, Lithuania and Latvia.

Soon other former soviet republics became independent states: Azerbaijan, Georgia, Russia, Uzbekistan, Moldova, Belarus, Turkmenistan, Tajikistan, Kazakhstan, Kyrgyzstan.

Following the Soviet Union and the Warsaw Pact collapse, all former communist countries transformed their economies into a market economy. But not all countries have succeeded the same way based on such development indicators as GDP per capita and life expectancy.

The former Warsaw Pact countries and the Baltic states were initially oriented towards the western economies and integrated into the European Union. These countries achieved better results than the rest of former USSR countries.

GDP per capita, based on purchasing power parity and expressed in constant 2017 international $

Former USSR except Baltic states
Bulgaria Czechia Estonia European Union Hungary Lithuania Latvia Poland Romania Slovakia Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan199120200$10k$20k$30k$40k
Sources: World Bank, Gapminder.org
Former USSR Baltic states
Armenia Azerbaijan Bulgaria Belarus Czechia European Union Georgia Hungary Kazakhstan Kyrgyzstan Moldova Poland Romania Russia Slovakia Tajikistan Turkmenistan Ukraine Uzbekistan Estonia Lithuania Latvia199120200$10k$20k$30k$40k
Former Warsaw Pact
Armenia Azerbaijan Belarus Estonia European Union Georgia Kazakhstan Kyrgyzstan Lithuania Latvia Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan Bulgaria Czechia Hungary Poland Romania Slovakia199120200$10k$20k$30k$40k

GDP annual growth, average (
) and each country's (
)

Former USSR except Baltic states
199119921993199419951996199719981999200020012002200320042005200620072008200920102011201220132014201520162017201820192020-50%-40%-30%-20%-10%010%20%30%40%
Sources: World Bank, Gapminder.org
Former USSR Baltic states
199119921993199419951996199719981999200020012002200320042005200620072008200920102011201220132014201520162017201820192020-50%-40%-30%-20%-10%010%20%30%40%
Former Warsaw Pact
199119921993199419951996199719981999200020012002200320042005200620072008200920102011201220132014201520162017201820192020-50%-40%-30%-20%-10%010%20%30%40%

Population

Most of the former Soviet bloc countries experienced population decrease during the period of 1991 - 2020. Especially Baltic states Lithuania and Latvia where the population loss was the highest. However, in the ex-USSR countries of Central Asia population growth was rapid.

Population % change, 1991-2020
-15.5% Armenia 3.0 mln 38.8% Azerbaijan 10.1 mln -19.7% Bulgaria 6.9 mln -8.0% Belarus 9.4 mln 3.8% Czechia 10.7 mln -14.7% Estonia 1.3 mln -23.2% Georgia 3.7 mln -6.0% Hungary 9.7 mln 14.0% Kazakhstan 18.8 mln 47.7% Kyrgyzstan 6.6 mln -24.6% Lithuania 2.8 mln -28.3% Latvia 1.9 mln -11.9% Moldova 2.6 mln -0.8% Poland 38.0 mln -16.2% Romania 19.3 mln -2.9% Russia 144.1 mln 2.9% Slovakia 5.5 mln 76.6% Tajikistan 9.5 mln 59.2% Turkmenistan 6.0 mln -15.1% Ukraine 44.1 mln 63.4% Uzbekistan 34.2 mlnPopulation in 2020-20%020%40%60%80%
Source: World Bank

Life expectancy at birth

Soon after the USSR had collapsed former USSR countries including Baltic states faced a demographic crisis. Life expectancy in most of the countries dropped significantly. But the crisis didn't affect former Warsaw Pact countries so much, except Romania and Bulgaria.

30 years after former Warsaw Pact countries and Baltic states are ahead of other ex-USSR countries by life expectancy levels.

Former USSR except Baltic states
1990s crisis European Union Armenia Azerbaijan Georgia Turkmenistan Tajikistan Kyrgyzstan Kazakhstan Uzbekistan Moldova Belarus Ukraine Russia19912000201020206065707580
Source: World Bank
Former USSR Baltic states
1990s crisis European Union Estonia Latvia Lithuania19912000201020206065707580
Former Warsaw Pact
European Union Romania Poland Hungary Czechia Slovakia Bulgaria19912000201020206065707580