(Moscow Times – themoscowtimes.com – January 26, 2016) As Russia’s inflation reached double-digits last year, Russians saw their real wages decline by 9.5 percent compared to 2014, data published by the Rosstat state statistics service showed Monday. In December 2015, real wages of Russians dropped 10 percent when compared to the same month in 2014, according to Rosstat data. The […]
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(Interfax – January 22, 2016) Relations between Russia and the West are normalizing and sanctions will be lifted, Alexei Kudrin, a former Russian finance minister, said. “I’m sure the sanctions will start to soften at the end of this year or start of next year. Nobody in Russia wants to keep up confrontation. I think the Minsk accords will be […]
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(Interfax – January 19, 2016) Russia’s new national security strategy identifies the key threats to the country. The main threats to national security in the economic sphere are the low competitiveness of the Russian economy and its continuing dependence on raw material exports, Sergey Vakhrukov, aide to the secretary of the Russian Security Council, told journalists on 19 January, as […]
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(Moscow Times – themoscowtimes.com – January 19, 2016) The majority of Russian citizens expect that the government will stabilize economic and political conditions in the country, a poll carried out by the independent Levada Center pollster revealed. The results of the survey, published on Monday, showed that 53 percent of respondents believe that government policy should be focused on the […]
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(Eric Kraus – Facebook – January 16, 2016) I often wonder whether Gref’s slightly hysterical tone is a good thing – as it is a goad to action against complacency – or it is a net-net negative because it simply adds to the ambient pessimism. Listening to his talk at the Gaidar Conference – there is one obvious problem – […]
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(Moscow Times – themoscowtimes.com – January 15, 2016) Russia has failed to adapt to economic and technological change and has fallen into the ranks of “downshifter” countries that will catastrophically lag behind their more advanced rivals, the head of the country’s largest bank said Friday. “We must honestly admit that we have lost to competitors,” German Gref told the Gaidar […]
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(RFE/RL – rferl.org – Tom Balmforth – MOSCOW, January 17, 2016) What’s the difference between the ruble, the dollar, and the pound? With a dollar, you can buy a pound of dried rubles. Jokes like these have become par for the course as the recession-hit Russian economy limps into 2016 showing no signs of recovery and the national currency plunges […]
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Deutsche Welle covers the impact of Russia’s economic crisis. The impact of the economic crisis is now noticeable in everyday life in Russia. Many are now living below the poverty line. The number of people seeking help is rising. Click here for “Russian economic crisis drives people to the soup kitchens” – Deutsche Welle
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The Financial Times covers the impact of Russia’s economic downturn on older Russians. Several Russian regions have over the past year been forced to suspend benefit payouts or stop the inflation indexing of public sector wages. … The dramatic slide in crude prices has slashed revenues from the export of oil and gas which account for more than half Russia’s […]
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(Moscow Times – themoscowtimes.com – January 15, 2016) The number of Russians that believe they would be able to find a good job if they lost their current position fell by 10 percent last year, the results of the poll published Friday revealed. Only 25 percent of Russians think they would manage to find a position similar to the one […]
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(Interfax – January 13, 2016) Russian President Vladimir Putin has told the government to closely monitor changes in the economic situation and be ready for any turn. “We should be ready for any scenario,” he said at a meeting with Cabinet members. The president drew attention to how the situation changes on the markets. “I know that the government has […]
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(Kennan Institute – wilsoncenter.org/program/kennan-institute – Maxim Trudolyubov – January 11, 2016) Maxim Trudolyubov is a Senior Fellow at the Kennan Institute and the Editor-at-Large of Vedomosti, an independent Russian daily. Mr. Trudolyubov was the editorial page editor of Vedomosti between 2003 and 2015. He has been a contributing opinion writer for The International New York Times since the fall of […]
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(Moscow Times – themoscowtimes.com – January 12, 2016) More than half of Russians – 52 percent – believe that the “hardest times” for the country are yet to come, a poll by state-run pollster VTsIOM revealed on Tuesday. It is the highest percentage of people that are pessimistic about Russia’s future since 2009, when 30 percent claimed the hardest times […]
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(Interfax – January 7, 2016) Patriarch of Moscow and All Russia has called on people not to despair over the economic problems in Russia. “Problems are now generally relative: people earn a little more or a little less (only God forbid that the economic situation should worsen), but generally there is currently no tragedy in the country,” the patriarch said […]
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(Voice of America – Bernard Shusman – January 6, 2016) Russian President Vladimir Putin gets a bad report card, even a failing grade, for his handling of the economic crisis in his country, according to 27 percent of analysts who participated in a major survey conducted by Bloomberg Business. These are hard times in Russia, with the collapse in oil […]
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(Interfax – December 31, 2015) The inflation in Russia has reached its highest value since 2008, mounting to 12.9 per cent for 2015, the Russian Federal Service of State Statistics (Rosstat) reported, as cited by Russian privately-owned news agency Interfax on 31 December. According to Rosstat, the preliminary calculations for December, which are based on data for a limited list […]
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(RFE/RL – Tom Balmforth – MOSCOW, January 3, 2016) 2015 has been a tough year for many Russians. The economy has been mired in recession. Dragged down by oil prices, the ruble has languished near record lows. The cost of a typical trip abroad has doubled in ruble terms, and U.S. and EU sanctions over Moscow’s interference in Ukraine have […]
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(Paul Goble – Window on Eurasia – Staunton, December 28, 2015) Given the increasing pessimism among Russians because of declines in their standard of living, Russia may be approaching a revolutionary situation, according to Yekaterina Dobrenkova; but the revolution may not succeed or it may turn out to be very different than the one the opposition hopes for. Earlier this […]
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(Moscow Times – themoscowtimes.com – Peter Hobson – December 26, 2015) [Charts here themoscowtimes.com/business/article/8-shades-of-crisis—russias-year-of-economic-nightmares/553703.html] Imagine Russia as a combustion engine. Oil and gas pumped from its vast territories wash through the economy as taxes, government spending and investment. Foreign currency from oil and gas sales is used to fund imported equipment and products on shop shelves. Cash from the energy […]
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(Kennan Institute – wilsoncenter.org/program/kennan-institute – Maxim Trudolyubov – December 15, 2015) Maxim Trudolyubov is a Senior Fellow at the Kennan Institute and the Editor-at-Large of Vedomosti, an independent Russian daily Measuring the success of Russia’s largest and most recent “cross-border” projects-Ukraine and Syria-is extremely difficult. What could be considered Russia’s ultimate goals there? We often assume that Russia has fixed, clearly […]
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(Bloomberg – bloomberg.com – Anna Andrianova – December 21, 2015) A renewed sell-off in oil means the Russian economy will be testing new lows for much of next year. With crude trading near the lowest since mid-2004, banks including JPMorgan Chase & Co. say a second year of recession is all but inevitable. JPMorgan reversed its call for 0.5 percent […]
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Analysts have reacted to the latest collapse of oil prices with varying forecasts. Some believe oil prices are on their way down to the critical level of $35, which would keep the Russian economy in recession. Others, however, including Western analysts, are of the opinion that 2016 may see the first shoots of recovery. (Russia Beyond the Headlines – rbth.ru […]
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Russia’s middle class, which was growing in the early 2000s, has born the brunt of the economic downturn along with small-business owners. (Russia Beyond the Headlines – rbth.ru – ALEXANDER BRATERSKY, SPECIAL TO RBTH – December 22, 2015) They created their wealth in the 1990s, enjoyed the fruits of the oil-rich 2000s and hoped to give their children a better […]
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Former Deputy Finance Minister and former deputy governor of the Russian Central Bank Sergei Alexashenko speaks about the economic challenges currently facing Russia, including sanctions, crisis management, the need for reform, and the country’s dependence on oil. (Russia Beyond the Headlines – rbth.ru – MIKHAIL BOLOTIN, SPECIAL TO RBTH – December 16, 2015) RBTH: Recently economic experts have been speaking […]
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Writing in The Moscow Times, Sergei Alexashenko assesses trends in the Russian economy and some of the factors impacting them. Russia’s economy is faring poorly …. Gross domestic product has swung back to a level last seen in the first of 2008 and the economy has essentially stagnated over the last seven years. * * * The situation in Russia is not […]
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In his annual interview to five of the country’s leading television channels on Dec. 9, Russian Prime Minister Dmitry Medvedev tackled topics ranging from the economy to defense, corruption, Crimea, and Ukraine’s $3 billion debt. RBTH presents a selection of highlights from the interview. (Russia Beyond the Headlines – rbth.ru – Igor Rozin – December 9, 2015) On economics “The […]
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CNN reports on Russian President Vladimir Putin’s political standing and the reaction by the Russian citizenry to the impact of sanctions, embargoes and economic downturn. Russia’s middle class has had a tough time recently, but they aren’t blaming … Putin for it. [In addition to restrictions on certain travel and imports] … The ruble has lost more than half its […]
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Economic crisis: After a year of unprecedented economic turmoil, the country is in calmer waters but there are still challenges ahead. (Russia Beyond the Headlines – rbth.ru – DARIA LITVINOVA, SPECIAL TO RBTH – December 9, 2015) In the wake of sharply declining oil prices, a ruble that almost halved in value and the imposition of economic sanctions, many believed […]
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CNBC covers remarks by former Russian Finance Minister Alexei Kudrin, citing the ongoing impact of oil prices while also noting a need for Russian economic reforms, stymied by political considerations. … Kudrin acknowledged the ongoing impact of … commodities … ‘The drop in GDP (gross domestic product) this year mainly has to do with the drop in oil prices – […]
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(Government.ru – December 9, 2015) Prime Minister answered questions from TV anchors Irada Zeinalova (Channel One), Sergei Brilyov (Rossiya), Kirill Pozdnyakov (NTV), Yelizaveta Osetinskaya (RBC TV) and Mikhail Fishman (TV Rain). Sergei Brilyov: Good afternoon. On behalf of the media holding that hosts this broadcast it is my pleasure to welcome you on Rossiya 1, Rossiya 24 TV stations, as […]
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(Moscow Times – themoscowtimes.com – December 8, 2015) The Russian ruble has continued its slide to dramatic lows, falling to 69 against the U.S. dollar on Monday for the first time since September, according to news reports. The euro, too, reached a two-month high, climbing to 75 rubles on Monday evening, with Russian analysts linking the ruble’s downward spiral to […]
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(Moscow Times – themoscowtimes.com – Anna Dolgov – December 2, 2015) An economic recession and soaring grocery prices have prompted Russians to go online to trade household items for food, with scores of websites facilitating a barter system cropping up around the country. Russia’s main social network, VKontakte, has an array of online groups, targeting various cities, where local inhabitants […]
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Amid continuously falling incomes, debt help groups thrive as Russians turn to different solutions to repay loans. (Russia Beyond the Headlines – rbth.ru – ANNA KUCHMA, RBTH – December 2, 2015) In the past year, arrears on loans have reached record levels. Borrowers are finding it more difficult to repay their loans due to the steep devaluation of the ruble […]
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(Paul Goble – Window on Eurasia – Staunton, December 1, 2015) Russians have been so focused on events in Ukraine and now Syria that they have forgotten the most important thing: their future and that of their country is not connected with what is going on in those countries but what is taking place or not taking place in their […]
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Reuters covers remarks by former Russian oil tycoon, former prison inmate, political activist Mikhail Khodorkovsky. President Vladimir Putin will survive Western sanctions and lower oil prices but the Kremlin chief has brought such stagnation that Russia could eventually collapse, former tycoon Mikhail Khodorkovsky said …. Russia’s richest man, who was arrested in 2003 after falling foul of Putin and released […]
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(Bloomberg – bloomberg.com – Andre Tartar and Olga Tanas – November 30, 2015) [Chart here http://www.bloomberg.com/news/articles/2015-11-29/the-30-oil-cliff-that-economists-see-threatening-russia-in-2016] For Russia, $30 is the number to watch. Crude prices at that level will push the economy to depths that would threaten the nation’s financial system, according to 63 percent of respondents in a Bloomberg survey. Lower prices for the fuel are next year’s […]
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(Bloomberg – bloomberg.com – Anna Andrianova – November 19, 2015) Russian wages and retail sales declined by the most since 1999, a sign consumer demand will remain a weak link in the economy’s efforts to break out of its first recession in six years. Real wages fell 10.9 percent in October from a year earlier, a deeper contraction than the […]
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(Interfax – November 11, 2015) The Economic Development Ministry expects that Russia’s GDP will fall less fast in the fourth quarter than it did in the third, Economic Development Minister Aleksey Ulyukayev announced at a meeting with entrepreneurs from Baden Wuerttemberg in Moscow on 11 November. RIA Novosti news agency quoted him as saying that the economy was expected to […]
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