Alexander Mercouris — Russia's Recession Bottoms Out

Is the worst over?  

Away from the gyrations of the financial markets, latest statistics appear to confirm that Russia's economy is coming off the bottom.

Both industrial output and investment contracted by less in August than in July – and less than forecast - whilst after a brief and small upward tick caused by the August ruble fall, the trend in inflation is down again.

It is not all good news. Retail trade turnover in August was down by 9.1% - worse than expected - whilst the fall in the ruble in August caused the Central Bank to delay its planned interest rate cut.

Nonetheless the basic story the statistics tell is of an economy that is now coming off the bottom.

Meanwhile in a time of recession the government’s budget deficit is just 3% of GDP

Russia Insider
Russia's Recession Bottoms Out
Alexander Mercouris