The Russian economy continues to lag behind
The growth of the Russian economy is observed at the level of 1-2%. The global economy is growing at a rate of over 3%, reports “Investor”.
In 2017, after two years of recession, Russia’s economy grew again. Although such an increase was largely due to a rise in energy prices. One can also observe an improvement in a business climate. In particular, about 63% of German companies continue to work in Russia.
However, there is a reduction in a number of foreign companies operating in Russia. In 2011 there were 6300 companies with a predominance of the German capital. Now there’s less than five thousand. Experts say that the main reason for this isn’t sanctions, but the actions of the state. In particular, protection of their own products and companies.
Because of such actions and ambiguity of Russia as a trading partner, many companies do not dare to invest in this market. Only old German trading partners, even despite pessimistic forecasts for the Russian economy, are willing to continue to cooperate with the country.
In general, Russia’s economy is steadily lagging behind the world and falling into a resource trap.