The recession in Russia

10.08.2015 / 20:43

Rating:

The recession in Russia has increased over the past few months. Production fell by 4.6% in the three months to the end of June, compared to the same period last year.

Lower oil prices, a sharp decline in the value of the ruble and Western sanctions have contributed to a sharp decline in production.

Russia's economy is heavily dependent on exports of oil and gas. They represent nearly 70% of foreign trade and a significant portion of government revenues. But the price of crude oil dropped dramatically at the end of last year and still has not recovered.

Reducing oil revenues also sparked a slide in the value of the ruble and make imports more expensive. This increases inflation and undermine the purchasing power of consumers.

Last week, the International Monetary Fund mentioned that the sanctions imposed by the West of Moscow in the conflict in Ukraine, also had a significant impact on economic performance.

Varchev Traders

RECCOMEND WAS THIS POST USEFUL FOR YOU?
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.

WARNING: Any news, opinions, research, data or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. Varchev Finance Ltd. expressly disclaims any liability for any lost principal or profits which may arise directly or indirectly from the use of or reliance on such information. Varchev Finance Ltd. may provide information, quotes, references and links to or from other sites and blogs and other sources of economic and market information as an educational service to its clients and prospects and does not endorse the opinions or recommendations of the sites, blogs or other sources of information.

Varchev Finance

Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.

Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006

The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

Disclaimer:

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

The recession in Russia

London

Universal numbers