The International Monetary Fund halved its forecast for Russia’s 2015 gross domestic product to 0.5 percent on Wednesday, saying that international tensions had created downside risks to its estimates.
“Geopolitical uncertainties are having a big direct impact on the Russian economy,” Antonio Spilimbergo, the IMF’s mission head to Russia, told journalists.
Russia is embroiled in conflict with Ukraine. Consequently, western countries have imposed a series of sanctions against Moscow, which has retaliated with counter-sanctions of its own. Both are taking a toll on its economy.
The IMF also urged Russia’s central bank to tighten its monetary policy to anchor inflation expectations. It expects …read more
Source: Voice of America
