Latest news with #sanctions
Arab News
10 hours ago
- Business
- Arab News
Russia's economy minister says the country is on ‘the brink of recession'
ST. PETERSBURG, Russia: Russia's economy is 'on the brink of going into a recession,' the country's economy minister said Thursday, according to Russian media reports. Economy Minister Maxim Reshetnikov delivered the warning at the St. Petersburg International Economic Forum, the annual event in Russia's second largest city designed to highlight the country's economic prowess and court foreign investors. Russian business news outlet RBC quoted the official as saying 'the numbers indicate cooling, but all our numbers are (like) a rearview mirror. Judging by the way businesses currently feel and the indicators, we are already, it seems to me, on the brink of going into a recession.' The economy, hit with a slew of sanctions after the Kremlin sent troops into Ukraine in February 2022, has so far outperformed predictions. High defense spending has propelled growth and kept unemployment low despite fueling inflation. At the same time, wages have gone up to keep pace with inflation, leaving many workers better off. Large recruiting bonuses for military enlistees and death benefits for those killed in Ukraine also have put more income into the country's poorer regions. But over the long term, inflation and a lack of foreign investments remain threats to the economy, leaving a question mark over how long the militarized economy can keep going. Economists have warned of mounting pressure on the economy and the likelihood it would stagnate due to lack of investment in sectors other than the military. Speaking at a forum session, Reshetnikov said Russia was 'on the brink,' and whether the country would slide into a recession or not depends on the government's actions. 'Going forward, it all depends on our decisions,' Reshetnikov said, according to RBC. RBC reported Russia's Finance Minister Anton Siluanov and Central Bank Gov. Elvira Nabiullina gave more optimistic assessments. Siluanov spoke about the economy 'cooling' but noted that after any cooling 'the summer always comes,' RBC reported. Nabiullina said Russia's economy was merely 'coming out of overheating,' according to RBC. Export losses On the issue of exports, Russia estimates potential losses due to global trade wars at $9 billion, but expects a gradual stabilization of flows and a possible expansion of supplies to China, Deputy Economy Minister Vladimir Ilyichev said. President Trump has upended longstanding trade relations since returning to the White House, using erratic tariff threats and aggressive negotiating tactics in a bid to secure better deals from trading partners. 'Overall, we estimate the impact on Russia of this reorientation at $33 billion, of which about $9 billion is the potential loss of Russian exports in third-country markets,' said Ilyichev.
Associated Press
11 hours ago
- Business
- Associated Press
Russia's economy minister says the country is on ‘the brink of recession'
ST. PETERSBURG, Russia (AP) — Russia's economy is 'on the brink of going into a recession,' the country's economy minister said Thursday, according to Russian media reports. Economy Minister Maxim Reshetnikov delivered the warning at the St. Petersburg International Economic Forum, the annual event in Russia's second largest city designed to highlight the country's economic prowess and court foreign investors. Russian business news outlet RBC quoted the official as saying 'the numbers indicate cooling, but all our numbers are (like) a rearview mirror. Judging by the way businesses currently feel and the indicators, we are already, it seems to me, on the brink of going into a recession.' The economy, hit with a slew of sanctions after the Kremlin sent troops into Ukraine in February 2022, has so far outperformed predictions. High defense spending has propelled growth and kept unemployment low despite fueling inflation. At the same time, wages have gone up to keep pace with inflation, leaving many workers better off. Large recruiting bonuses for military enlistees and death benefits for those killed in Ukraine also have put more income into the country's poorer regions. But over the long term, inflation and a lack of foreign investments remain threats to the economy, leaving a question mark over how long the militarized economy can keep going. Economists have warned of mounting pressure on the economy and the likelihood it would stagnate due to lack of investment in sectors other than the military. Speaking at a forum session, Reshetnikov said Russia was 'on the brink,' and whether the country would slide into a recession or not depends on the government's actions. 'Going forward, it all depends on our decisions,' Reshetnikov said, according to RBC. RBC reported Russia's Finance Minister Anton Siluanov and Central Bank Gov. Elvira Nabiullina gave more optimistic assessments. Siluanov spoke about the economy 'cooling' but noted that after any cooling 'the summer always comes,' RBC reported.
Yahoo
11 hours ago
- Politics
- Yahoo
Ukraine's Zelenskiy: Russia's defence of Iran shows need to tighten sanctions
(Reuters) -Ukrainian President Volodymyr Zelenskiy said on Thursday that Russia's defence of Iran's authorities underscored the need for intensified sanctions against Moscow. Zelenskiy said Russia's deployment of Iranian-designed Shahed drones and North Korean munitions was proof that Kyiv's allies were applying insufficient pressure against Moscow. "Now Russia is trying to save the Iranian nuclear programme. There cannot be any other possible explanation for their public signals and their non-public activity on this," Zelenskiy said in his nightly video address. "When one of their accomplices loses their capability to export war, Russia is weakened and tries to interfere. This is so cynical and proves time and again that aggressive regimes cannot be allowed to unite and become partners." When Russia deploys weaponry from Tehran and Pyongyang, he said, "it is a clear sign that global solidarity and global pressure are not strong enough." Russia signed a strategic partnership with Iran this year. Moscow has denounced Israeli strikes against Iran and offered to mediate. A Russian deputy foreign minister said Moscow was urging Washington to refrain from direct involvement. Ukrainian Foreign Minister Andrii Sybiha said the conflict between Israel and Iran had exposed Russian hypocrisy, with Moscow defending Iran's nuclear programme and condemning strikes against Tehran while "ruthlessly" attacking Ukraine. "The only rational conclusion is that Russia cannot be trusted in any situation, and it is always part of the problem rather than the solution," Sybiha wrote in English on X. Zelenskiy has accused Russia of refusing diplomatic approaches and rejecting an unconditional ceasefire in the war, which has lasted more than three years. In his address, he said he was "very much counting on" U.S. President Donald Trump to consider tougher sanctions and boost diplomatic efforts to end the war. Trump has so far ruled out calls to intensify sanctions against Moscow. Zelenskiy also expressed willingness to meet Russian President Vladimir Putin, though he said the Kremlin leader had stayed on beyond the constitutional limit of his office. That comment was a reference to Russian accusations that Zelenskiy had remained in office without agreeing, under provisions of martial law in Ukraine, to hold an election.
Reuters
12 hours ago
- Politics
- Reuters
Ukraine's Zelenskiy: Russia's defence of Iran shows need to tighten sanctions
June 19 (Reuters) - Ukrainian President Volodymyr Zelenskiy said on Thursday that Russia's defence of Iran's authorities underscored the need for intensified sanctions against Moscow. Zelenskiy said Russia's deployment of Iranian-designed Shahed drones and North Korean munitions was proof that Kyiv's allies were applying insufficient pressure against Moscow. "Now Russia is trying to save the Iranian nuclear programme. There cannot be any other possible explanation for their public signals and their non-public activity on this," Zelenskiy said in his nightly video address. "When one of their accomplices loses their capability to export war, Russia is weakened and tries to interfere. This is so cynical and proves time and again that aggressive regimes cannot be allowed to unite and become partners." When Russia deploys weaponry from Tehran and Pyongyang, he said, "it is a clear sign that global solidarity and global pressure are not strong enough." Russia signed a strategic partnership with Iran this year. Moscow has denounced Israeli strikes against Iran and offered to mediate. A Russian deputy foreign minister said Moscow was urging Washington to refrain from direct involvement. Ukrainian Foreign Minister Andrii Sybiha said the conflict between Israel and Iran had exposed Russian hypocrisy, with Moscow defending Iran's nuclear programme and condemning strikes against Tehran while "ruthlessly" attacking Ukraine. "The only rational conclusion is that Russia cannot be trusted in any situation, and it is always part of the problem rather than the solution," Sybiha wrote in English on X. Zelenskiy has accused Russia of refusing diplomatic approaches and rejecting an unconditional ceasefire in the war, which has lasted more than three years. In his address, he said he was "very much counting on" U.S. President Donald Trump to consider tougher sanctions and boost diplomatic efforts to end the war. Trump has so far ruled out calls to intensify sanctions against Moscow. Zelenskiy also expressed willingness to meet Russian President Vladimir Putin, though he said the Kremlin leader had stayed on beyond the constitutional limit of his office. That comment was a reference to Russian accusations that Zelenskiy had remained in office without agreeing, under provisions of martial law in Ukraine, to hold an election.
Yahoo
17 hours ago
- Business
- Yahoo
Russia ‘on brink of recession', says economy minister
Russia's economy is 'on the brink of going into a recession', the country's economy minister has said, according to reports. Economy minister Maxim Reshetnikov delivered the warning at the St Petersburg International Economic Forum, the annual event in Russia's second largest city designed to highlight the country's economic prowess and court foreign investors. Russian business news outlet RBC quoted the official as saying 'the numbers indicate cooling, but all our numbers are (like) a rear-view mirror. Judging by the way businesses currently feel and the indicators, we are already, it seems to me, on the brink of going into a recession.' Russia's economy, hit with a slew of sanctions after the Kremlin sent troops into Ukraine in February 2022, has so far outperformed predictions. High defence spending has propelled growth and kept unemployment low despite fuelling inflation. At the same time, wages have gone up to keep pace with inflation, leaving many workers better off. Large recruiting bonuses for military enlistees and death benefits for those killed in Ukraine have also put more income into the country's poorer regions. But over the long-term, inflation and a lack of foreign investments remain threats to the economy, leaving a question mark over how long the militarised economy can keep going. Economists have warned of mounting pressure on the economy and the likelihood it would stagnate due to lack of investment in sectors other than the military. Speaking at one of the sessions of the forum in St Petersburg, Mr Reshetnikov said Russia was 'on the brink', and whether the country would slide into a recession or not depends on the government's actions. 'Going forward, it all depends on our decisions,' Mr Reshetnikov said, according to RBC. RBC reported that Russia's finance minister Anton Siluanov and Central Bank governor Elvira Nabiullina gave more optimistic assessments. Mr Siluanov spoke about the economy 'cooling' but noted that after any cooling 'the summer always comes', RBC reported. Ms Nabiullina said Russia's economy was merely 'coming out of overheating', according to RBC.
