Interfax: Moscow press review for August 24, 2017 [excerpt][re: economy]

Hands Opening Envelope Containing Cash

MOSCOW. Aug 24 (Interfax) – The following is a digest of Moscow newspapers published on August 24. Interfax does not accept liability for information in these stories.


Given the protracted economic crisis and falling incomes, Russians are increasingly seeking work in the shadow economy. Since 2016, the share of Russians who have at least occasionally worked unofficially or for under-the-table wages in the past year has grown from 40.3% to 44.8%, or almost 33 million, a new survey shows. The share of those who work or moonlight in the shadow sector regularly rose from 28.8% to 31.4%, or 23 million people (Vedomosti, p. 4).

Consumer price inflation in Russia is continuing to break records, sinking further below the Central Bank’s target of 4%. Annual inflation slowed to 3.7% in the first three weeks of August, as there was deflation of 0.1% in both of the first two weeks and zero inflation in the third, Rosstat reported. With fruit and vegetable prices expected to fall further, inflation could slow to 3.3%-3.6%. The Central Bank might have to make a bigger interest rate cut in September (Vedomosti, p. 5).