NEW YORK TIMES: ST. PETERSBURG …A panel at an annual economic forum here was deeply divided over the direction of the Russian economy. The isolationists in the group favored relying on state banks for its financing needs. Others called for Russia to deepen its ties with China, while a different contingent said global trade and commerce remain critical…
President Vladimir V. Putin just struck a major gas deal with China, but the first profits will not flow for years. European and American financing is drying up while the crisis in Ukraine unfolds, and Russia’s own businesses and wealthy individuals are sending money abroad. With oil prices flat and the flight of capital from Russia, the International Monetary Fund projects that Russia’s economy will grow a meager 0.2 percent this year…
In the past, Russia has been trumpeted as a resource-rich country with strong potential. Discussion turned on the subtleties of stimulus policies, or whether emerging markets should have more of a voice in global economic decision-making. This year, the debate centered on whether Russia even needs Western finance, hinting at the return of a heavily state-dominated economic system… (more)
EDITOR: Russia is mineral rich. But when was the last time that anything purchased was marked “Made in Russia”?
