The International Monetary Fund estimates that Russia’s economy will shrink by 8.5% this year and Ukraine’s could collapse by 35% as a result of the war between the two that broke out at the end of February.
Ukraine’s economy will contract by 35% this year as a result of the war with Russia, the Institute of International Finance (IIF) said in a note released on April 13.
Russia’s economy will contract by 11.2% in 2022 and Ukraine’s by 45%, according to a new forecast released by the World Bank on April 10.
The Central Bank of Russia (CBR) made a surprise key interest rate cut from 20% to 17% on April 8 although the policy board meeting was not scheduled until April 29, as the regulator soft-landed Russian ruble to the levels at which it traded prior to
Sales of passenger cars crashed by 43% year on year to 78,900 units, marking a record-high monthly drop and the steepest since 2007.
The seasonally adjusted S&P Global Russia Services PMI Business Activity Index plummeted to 38.1 in March, down from 52.1 in February – the biggest fall since the PMI index crashed at the start of the coronavirus (COVID-19) pandemic.
The Russian Manufacturing Purchasing Managers Index (PMI) sharply deteriorated in March 2022, with the rate of decline after the military invasion of Ukraine accelerating to its fastest since the early stages of the coronavirus (COVID-19) outbreak.
New data from pollster Levada Centre show that domestic support for the Russian government has increased across a range of metrics since its invasion of Ukraine in February. Trust in the president is up 10%, according to the Levada Centre.
The Russian ruble surged by more than 10% on March 29 in Moscow trading, following peace talks in Istanbul, but the rates are not real, say analysts.
Russian could lose about 2mn jobs, causing unemployment to rise from 4.4% to 7.1-7.8% by the end of this year, Kommersant reported on March 29, citing analyst forecasts described in a report by the Center for Strategic Developments (CSR).
European economic sentiment took a hit in March, falling in seven of the ten most important economies, as the war in Ukraine and the economic impact of extreme sanctions on Russia drive up inflation and disrupt supply chains.
Despite the unprecedented exodus of foreign businesses from Russia, over 40% of Russians believe that most Western companies that left the country will return within a year.