- The International Monetary Fund (IMF) has said that Russia is in recession as it has experienced negative growth in two quarters in a row.
- IMF has also lowered its growth forecast for Russia in 2014 from 1.3% to 0.2%.
- This is because of :
- pulling out of investors owing to the Ukrainian crisis,
- the looming threat of various sanctions against Russia by US and the West and
- an uncertain investment climate.
- Standard & Poor downgraded Russia’s debt-repaying ability and retained its negative outlook (BBB-).
- Russian finance minister warned that although growth is forecasted for around 0.5%, it could hover around 0.
- Read at: http://www.thehindu.com/
todays-paper/tp-business/ russia-is-in-recession-says- imf/article5964632.ece
Exams Perspective:
- International Monetary Fund (IMF)
- Credit Rating Agencies
- Recession
- Economic Sanctions