Russia's deputy economy minister "country's economy is in crisis"

Just after the vote in Crimea a minister just let this little bit of information out.

(Reuters) - Russia's deputy economy minister warned on Monday that the country's economy is in crisis. Speaking at a local business conference,

Deputy Economy Minister Sergei Belyakov said there are "clear signs" of the Russian economy being in crisis.

Analysts say that the economy is set to suffer from the continued weakness of the rouble and the fall-out from President Vladimir Putin's stand-off with the West over Ukraine .

The central bank, which revised its gross domestic product growth forecast down in February, estimates that the economy will expand by 1.5-1.8 percent this year.

Reuters
The Russian economy was already already in a poor condition before Ukraine started to get nasty
with the Russian stock market down 20% and ruble loosing value.

All this is before any western sanctions start.

So if the Russian economy continues to weaken what are the chances putin will put the blame
on the west for any economic problems and bring out the flag waving nationalist in other parts
of Ukraine as a distraction.

Welcome to the world.

There are few countries with strong economies, except.. Norway for example, or Switzerland, or Lechenstien...

This really happened before the Ukraine crisis and now Putin will have the west to blame it on. The EU will also have something to blame their poor economy on as last year it experienced zero growth and unemployment was 10.8%, up from the previous year. Russia was barely in better shape with 1.3% growth and 5.8% unemployment up from the previous year. The main advantages Russia has in an economic standoff is it has much less debt as a percentage of their GDP than EU nations or the US (10% of GDP vs 103% of GDP) and their main exports aren't discretionary goods.

www.cia.gov...

www.cia.gov...

www.nationaldebtclocks.org...

reply to post by skuly


Well, there's your problem, you have an "economy minister", what did you expect?

Will they ever learn?

skuly
Just after the vote in Crimea a minister just let this little bit of information out.

(Reuters) - Russia's deputy economy minister warned on Monday that the country's economy is in crisis. Speaking at a local business conference,

Deputy Economy Minister Sergei Belyakov said there are "clear signs" of the Russian economy being in crisis.

Analysts say that the economy is set to suffer from the continued weakness of the rouble and the fall-out from President Vladimir Putin's stand-off with the West over Ukraine .

The central bank, which revised its gross domestic product growth forecast down in February, estimates that the economy will expand by 1.5-1.8 percent this year.

Reuters
The Russian economy was already already in a poor condition before Ukraine started to get nasty
with the Russian stock market down 20% and ruble loosing value.

All this is before any western sanctions start.

So if the Russian economy continues to weaken what are the chances putin will put the blame
on the west for any economic problems and bring out the flag waving nationalist in other parts
of Ukraine as a distraction.

edit on 17/3/2014 by skuly because: spelling

Yes it is and why the whole Ukraine thing is fabricated by not only Russia but western powers as well - it pushes the price of oil above $100/barrel which is where it needs to be for it to be profitable for the Russians.

The Hidden Debts of Russia dn the Ukraine

reply to post by skuly


Russia's economy has never been out of the toilet in my life time. I was born in 1978.

Their entire economic model is flawed, it is all based on despotism basically. With a "king" "counts" and Barrons" having all the actual wealth, and throwing brute force and crumbs around to keep the people from ever revolting, as they live in abject poverty, and always want for most things.

Remember the US having to give them billions to update their ICBM's so Y2K didnt mess them up?

They have a crap economy that was never viable, and still runs on a antiquated model.

I keep saying this, and will keep saying it.

"there can not be another cold war between the US and Russia, because Russia is a 3rd world country, with a 3rd world economy."

oblvion
reply to post by skuly

 

Russia's economy has never been out of the toilet in my life time. I was born in 1978.

Their entire economic model is flawed, it is all based on despotism basically. With a "king" "counts" and Barrons" having all the actual wealth, and throwing brute force and crumbs around to keep the people from ever revolting, as they live in abject poverty, and always want for most things.

Remember the US having to give them billions to update their ICBM's so Y2K didnt mess them up?

They have a crap economy that was never viable, and still runs on a antiquated model.

I keep saying this, and will keep saying it.

"there can not be another cold war between the US and Russia, because Russia is a 3rd world country, with a 3rd world economy."

A very good posting here !! 5 STARS * * * * *

Russia is still very Tsarist. Corruption is rampant and money mostly locked in few hands. Other than energy and commodities, there are few robust economic sectors that can carry the economy when oil and gas prices are low.

Corruption is the main reason why power models of capitalism fail or perform only lukewarm, in the third world countries.

victor7

oblvion
reply to post by skuly

 

Russia's economy has never been out of the toilet in my life time. I was born in 1978.

Their entire economic model is flawed, it is all based on despotism basically. With a "king" "counts" and Barrons" having all the actual wealth, and throwing brute force and crumbs around to keep the people from ever revolting, as they live in abject poverty, and always want for most things.

Remember the US having to give them billions to update their ICBM's so Y2K didnt mess them up?

They have a crap economy that was never viable, and still runs on a antiquated model.

I keep saying this, and will keep saying it.

"there can not be another cold war between the US and Russia, because Russia is a 3rd world country, with a 3rd world economy."

A very good posting here !! 5 STARS * * * * *

Russia is still very Tsarist. Corruption is rampant and money mostly locked in few hands. Other than energy and commodities, there are few robust economic sectors that can carry the economy when oil and gas prices are low.

Corruption is the main reason why power models of capitalism fail or perform only lukewarm, in the third world countries.

Why thank you for finding my commentary worthy, but telling the truth is not worth 5 stars, it is barely worth 1, it is the truth, it isnt like it belongs to me or something. It just IS.

Dont star me, star the op for bringing this up, so ATS can find the truth and point it out for the rest of the world to see.

As to your comments about their economic model, well Sir, I gave your a star, because they were spot on, and much more accurate than mine.

You give your self too little credit, your words were better and more descriptive than mine.

reply to post by oblvion


Pal you are humble but that's a good quality..........these are the words that describe situation very well, hence 5 STARS.

Their entire economic model is flawed, it is all based on despotism basically. With a "king" "counts" and Barrons" having all the actual wealth, and throwing brute force and crumbs around to keep the people from ever revolting, as they live in abject poverty, and always want for most things.

reply to post by victor7


You Sir are too humble, these were your words, which were far more accurate and descriptive than mine.

"Russia is still very Tsarist. Corruption is rampant and money mostly locked in few hands. Other than energy and commodities, there are few robust economic sectors that can carry the economy when oil and gas prices are low.

Corruption is the main reason why power models of capitalism fail or perform only lukewarm, in the third world countries."

I agree my statements were solid, but yours were pinpoint accurate.

I think this is a good thing.

This will motivate Russia into greater ties to allies within BRICS and the SCO, while the depleted western empires scour amongst themselves for survival.

You mean unlike the US, england, france et al? So russia is the only superpower with econnomical problems, ok check...

Yusomad
You mean unlike the US, england, france et al? So russia is the only superpower with econnomical problems, ok check...

By definition the only super power in the world right now is the US. It is also the only country you used capitol letters for.............................I love Irony.

reply to post by SubTruth


Maybe in your world, the US is the only superpower(I use capitals for it because it looks like a group of people when I just type us(we)but if you find irony in that, fine, simple people have simple ends). But, plase keep peddling that "US is the only superpower by definition" [SNIP]

SubTruth

Yusomad
reply to post by SubTruth

 

Maybe in your world, the US is the only superpower(I use capitals for it because it looks like a group of people when I just type us(we)but if you find irony in that, fine, simple people have simple ends). But, plase keep peddling that "US is the only superpower by definition" Im sure china, russia, and few other countries would like you to take your head off the bottom of your back but meh...

Mods I am sure this is a little over the line.

edit on 18-3-2014 by SubTruth because: (no reason given)

Then try and use the report button, or thry not typing such sentences. The US the only superpower...

Youtube has suspended Russia Todays's account

That is really emarrassing Youtube..

well...Russia isn't Robinson Crusoe in this department....how many other countries are in the same boat....

even the best country in the whole wide world is having it's own economical problems that it can't solve...

greedy, dishonest, control freaks that suck countries dry happen in every country.....even western countries have more than their fair share....

Russia is no different than the USA...she just has a real seasoned figure head in the public eye that's a good chess player.