Business

According to financial analysts, the Russian economy is showing significant signs of slowing down in some sectors, as it grapples with declining growth and high inflation.

Russia's Central Bank has raised interest rates to 21%, a level not seen for two decades, as Moscow struggles to stem the economic fallout from its invasion of Ukraine and a barrage of Western sanctions.

Inflation is more than double the government's 4% target, partly due to huge war-related expenses, while the value of the rouble has plummeted in recent months.

Russia massively increased its military spending following its invasion of Ukraine. This spending has enabled the economy to stave off predictions of a long recession, but it has also led to severe labor shortages and persistent inflation.

(MH with AmBar/Source: Agence/Photo: Michael Siebert/Pixabay)