The Russian Empire was vast as indicated by a census published in February 1897. It broke down the population as follows: Great Russians - 56 million; Ukrainians - 22.3 million; Turco-Tartar - 13.6 million; Poles - 8,000,000; White Russians - about 6,000,000; Jews - 5.1 million; Estonians-Karelians - - 3.5 million; Lithuanians - 3.1 million; Finns - 2.6 million; Germans - 1.8 million; Moldavians - 1.1 million; People of the Caucasus - 1.1 million. A total of 124.2 million people.

In August 1897, Russia began construction of the Chinese-Eastern Railroad across Manchuria to Vladivostok.

On 13 March 1898, the Russian Social Democratic Workers' Party (Marxist) was formed in Minsk, but most of its few members had been arrested by January 1899. Political prisoners were sent to camps in Siberia.

On 27 March 1898, the Chinese government ceded the Liaotung Peninsula and Port Arthur to Russia for twenty five years, granting concessions for the construction of the South Manchuria Railroad, to connect Kharbin (Harbin) with Port Arthur.

On 13 April 1898, Russia and Japan signed the Far East Agreement. Russia withdrew her troops from Korea, leaving the country to the influence of Japan. In return Russia received full sovereignty over Kwangtung, Liaotung and Manchuria.

On 24 August 1898, in response to a growing arms race among the European powers, the Russian Tsar offered a proposal for international arms limitations, but only Italy and Austria-Hungary proved favorable to the idea. In January 1899, the Tsar made a second appeal for arms limits, but it also received a cool response.

On 20 February 1899, there was a major student strike at St. Petersburg University in protest of strict laws which forbade them to form organizations. The strike quickly spread to major universities in Moscow, Kiev and Kharkov.

On 20 February 1899, an Imperial Russian Manifesto proclaimed the Russification of Finland, a clear breach of the Finnish Constitution. On 13 June 1899, another Russian Edict abrogated the Finnish Diet's power to enact legislation and invested a Russian governor with dictatorial powers, causing a surge of anti-Russian sentiment in Finland. On 18 May 1899, opening of the Hague Peace Conference on arms limitations and compulsory arbitration. The conference ended on 29 July, with little or nothing being accomplished.

On 8 July, a third daughter, Maria Nikolaevna, was born to Nicholas and Alexandra. On 10 July, the Tsar's younger brother, Grand Duke Georgei Aleksandrovich died. Grand Duke Mikhail Aleksandrovich was proclaimed heir to the throne. Alexandra became even more anxious for the birth of a son.

Imperial Russia operated under The Table of Ranks, which had been introduced by Peter the Great in 1722. The Table sharply defined an individual's hierarchical position in military, civil or court circles. After the Tsar and Empress, the Grand Dukes were at the top of the list.

On 1 August 1899, a government report on student grievances recommended more contact on academic needs, establishment of non-theoretical courses, formation of scholarly and literary circles under faculty guidance, and opening of more dormitories. On 25 February 1901, a former student shot Minister of Education, N.P. Bogolepov, who died on 15 March. The Tsar appointed General P.S. Vankovskiy to replace him.

The year 1899 saw the beginning of a period of economic depression in Russian industry. Many small firms were ruined, resulting in an increase in unemployment. Russian state debt at the end of the year had grown to 3.5 billion rubles, of which one billion was held abroad. In January 1900, the sale of matches, vodka, tobacco, sugar, tea and kerosene accounted for 83% of Russian state taxes.

The Year 1900

In January, Russia now had about 48,000 kilometers of railway track, up from 27,000 km in 1885. By 1905 this mileage had increased to 64,000 km, and by 1914 there was over 77,000 km of track, which was still grossly inadequate to the needs of the country.

In May, anti-Western sentiment erupted in China during the Boxer Rebellion. The international settlements in Peking were threatened. In June, Chinese troops besieged the diplomatic quarter in Peking. On 6 June, Russian troops captured Mukden, the capitol of Manchuria. In July, a large international force assembled around Tientsin.

In July, fighting broke out along the Russo-Chinese frontier. The Russian border town of Blagoveshchensk was attacked. In retaliation, Russian troops herded Chinese to the banks of the Amur River, ordering them to swim across. Several hundred were drowned.

On 15 August, Russian troops occupied Peking. Later in August, the Tsar halted further introduction of Russian forces into China, and proposed that the international force withdraw from Peking, also recommending that diplomatic legations move to Tientsin. Final settlement of the Chinese rebellion was not reached until September 1901.