The risks to the global economy are growing and so are risks to Russia’s growth. Russia’s short-term economic and fiscal situation remains favorable because of high oil prices with an almost balanced budget this year. But the balance of macroeconomic risks has shifted toward an uncertain...

Russia’s economy contracted 4.6 percent in the second quarter, year-on-year, after a 2.2 percent contraction in the first quarter, but in June the pace of contraction slowed. Russia’s second quarter balance of payment remained stable despite a weaker trade balance as the current account...

In June, the European Council extended EU economic sanctions against Russia for another six months while Russia extended its food import ban against Western countries for a year. A fluid situation on global financial markets and yet again lower growth prospects led to oil prices losing ground in...

The report reviews recent economic developments in Western Balkans (Albania, Bosnia and Herzegovina, Kosovo, FYR Macedonia, Montenegro, and Serbia), focusing on fiscal, external, financial sector, and labor market issues -- with a spotlight on youth unemployment -- and a short-term outlook for...

After a decade of high growth, the Russian economy is experiencing a slowdown in the wake of the global financial crisis. While Russia's strong short-term macroeconomic fundamentals make it better prepared than many emerging economies to deal with the crisis, its underlying structural weaknesses...

Russia's decade-long economic expansion accelerated in 2007-08 - despite worsening global conditions. But with the economy likely overheating, the new government has to adjust its macroeconomic policy mix to reduce inflation. And to ensure sustainable economic growth, it has to tackle the...

The world has entered the first global recession since the Second World War. The impact of the crisis worldwide is proving far deeper and broader than previously thought. The impact on Russia has been accentuated by its structural vulnerabilities: dependence on the oil and gas sector, a narrow...

2009 has been a difficult year, with larger-than-expected losses in output and employment and a sharp rise in poverty. But the Russian economy, aided by higher oil prices and stronger global demand, is beginning to turn around - very slowly. In 2010, it could grow modestly from a low base, by...