At the beginning of 2017 the Russian economy again went into stagnation after some signs of recovery, Rosstat data show, experts from the Development Center at the Higher School of Economics wrote in the bulletin "Comments on the State and Business".
"At the onset of 2017 the Russian economy after a short period recovery again, according to Rosstat data, slipped into stagnation. Economic growth problems are still in focus as the consequences of the recession in 2015-2016 have not yet been overcome, and a model of long-term sustainable growth is yet to be built. From the angle of the current economic environment, the adverse effect on economic growth of uncertainty and the lack of domestic demand in late 2016 and early 2017 has been contributed by ruble appreciation. Creating conditions to maintain sustainable long-term growth is still an issue on the table," said the bulletin.
"At the beginning of 2017 the Russian economy which saw first signs of recovery stalled again. Of course, this cannot be said for sure given frequent adjustments to Rosstat data. However, it should be noted that, for instance, industrial output… in the first quarter, according to Rosstat data, rose just 0.1% against the same period last year and relative to 1.3% growth in 2016," the Higher School of Economics added.
