Russian Economy Minister Maxim Reshetnikov has warned that Russia’s economy is teetering on the edge of a recession. Speaking at the St. Petersburg International Economic Forum, an annual event aimed at showcasing Russia’s economic strengths and attracting foreign investors, Reshetnikov noted that current business confidence indicators suggest an impending slowdown. Despite sanctions imposed since Russia’s invasion of Ukraine in February 2022, the economy has outperformed expectations, driven by substantial defense spending that has kept unemployment low and wages rising to match inflation. However, economists caution that prolonged high inflation and a lack of foreign investment pose significant risks. Reshetnikov emphasized that whether Russia slides into a recession depends on government actions. Meanwhile, Finance Minister Anton Siluanov and Central Bank Governor Elvira Nabiullina expressed cautious optimism about the economy’s resilience.
— new from (Shorouk News)
