Contents tagged with Economy of Russia
-
Fitch confirms Russia's 'BBB-' investment rating
The international credit rating agency Fitch has given Russia the lowest possible investment grade, a BBB-, Rosbalt reported. Fitch also gave Russia a negative growth outlook.
"In line with the updated guidance contained in Fitch's revised Sovereign Rating Criteria dated July 18, 2016, Russia's credit profile does not support a notching up... This reflects Fitch's view that neither of the two key factors cited in the criteria that support upward notching of the LTLC IDR [long-term local …
-
Ukraine's economy is growing faster than Russia's
According to the Russian Slon.ru news portal, the Ukrainian economy has been showing stronger growth than that of Russia, according to the official statistics of the two countries. In the fourth quarter of 2015, Ukraine’s GDP did not fall as steeply as Russia’s, and, in the first quarter of 2016, even rose slightly in contrast to the fall of the Russian index. This year, the Russian economy will shrink by 0.2%, the Ministry of Economic Development believes. The World Bank is more pessimistic …
-
Russia's gas and oil exports fell sharply in the first four months of 2016
According to the Federal Customs Service (FCS), Russia’s gas export revenues decreased by 28.9% year on year and amounted to $10.781 billion in the first four months of the year.
According to tge FCS’s estimates, oil revenues fell by 36%, or 1.6 times at a cost of $19.749 billion.
At the same time, gas exports increased by 11.4% to 66.2 billion cubic meters and oil exports increased by 5% to 83.8 million tons during the same reporting period.
In general, according to FCS, Russia’s foreign …
-
Kerry: Russia should focus on its economy, not on demonstrating its military power
The United States Secretary of State, John Kerry, stated during a working visit to Mongolia on June 5th that the Russian Federation needs to focus on the retention of country’s economy, the press service of the U.S. agency reported. In addition, Kerry noted that Russia’s economy has slowed down because of its policy in relation to Ukraine.
“In Russia, for example, there are no significant investments into the energy sector and the area of new technologies. The real slowdown of the economy has …
-
Media: Putin failed to show international investors that Russia is a global economic power
Despite high expectations, the Kremlin was unable to attract any western banks for the sale of dollar-denominated bonds to investors. This, according to the western media, is not how Russian President Vladimir Putin imagined Russia’s return to the financial market.
“For the first time since the introduction of western sanctions, 10-year securities will be sold in dollars. Because of this, Putin wanted to show the world that Russia is a global power in the financial markets and can quickly …
-
Russian Eurobonds find little enthusiasm in western debt markets
The Minister of Finance of the Russian Federation, Anton Siluanov, announced the successful placement of Russian Eurobonds in the amount of $1.75 million. According to him, 70 percent of the investment came from abroad although market analysts doubt that is the case.
Moscow has returned to the Eurobond market for the first time after the introduction of the Western sanctions due to Russia's policy towards Ukraine. On Tuesday, May 25th, Russia proposed a ten-year bond for $1.75 million with a …
-
Capital outflow from Russia continues
According to Emerging Portfolio Fund Research (EPFR), in one week, May 12 - 18, 2016, the net outflow from funds investing in Russian equities totaled $17.4 million as compared to $137.1 million outflow in the previous week. The Emerging Portfolio Fund Research (EPFR) is an organization that provides fund flow and asset allocation data, RIA NOVOSTI reports.
Earlier in May the Bank of Russia publicized statistics indicating that the net outflow from the Russian Federation totaled $12.8 billion …
-
Acura suspends delivery of cars to Russia
Acura, part of Honda, has suspended delivery of its cars to Russia. A representative of Honda Motors Rus LLC, who is the official distributor of Honda and Acura in Russia, told Autonews.ru that this decision was made “because of the current market situation”. The representative added that if this situation changes, deliveries may resume.
Dealers of the Japanese brand will close their doors on the 1st of June. A representative of Acura has said that “guarantees will also stay intact”.
Acura …
-
Study: For the first time in 8 years, Russians spend more than a half of their income on food
For the first time since the 2008 economic crisis, Russians are spending more than 50 percent of their income on food. Both low-income and middle class families are forced to live in a more restrictive economy, as found by researchers from the Institute of Social Analysis and Forecasting of the Russian Presidential Academy of National Economy and Public Administration.
The reduction of consumer activity is the result of the worsening economy, the experts noted. In the report it is said that …
-
After a small growth in February, Russian industrial production continues to decline
In March 2016, the industrial production growth index began to decline again in Russia. After small growth in February, it suffered a 0.5% decline for the year.
The Index of Industrial Production for Russia in March 2016 declined by 0.5% as compared to the first month of last spring, as indicated by Rosstat Materials. Industrial production in February rose for the first time in a year, increasing by 1%. However, as compared to 2015, there were 29 days in February this year.
Earlier, experts …