Russian economy enters phase of ‘controlled cooling’: Deputy premier

By Emre Gurkan Abay and Emir Yildirim

MOSCOW (AA) – The Russian economy has entered a “controlled cooling” period, as the measures against inflation have yielded results, Deputy Prime Minister Alexander Novak said on Tuesday.

Speaking at the Federation Council Committee on Economic Policy, Novak said that the measures taken provided a deterrent on inflation.

“Speaking about inflation, it exceeded the projected value and totaled 9.5%, with food products having contributed the most, (demonstrating) annual (growth) rates of 11.1%,” he said, according to the state-owned Tass news agency.

Novak said that the slowdown was seen primarily in domestic demand and export-oriented sectors, while a gradual decline in consumer and corporate loans came to the fore.

He said that the tight monetary policy will be maintained as fight against inflation continues.

The deputy prime minister said that the Russian economy reached a high level of stability despite the multitude of sanctions.

Meanwhile, the Russian economy is estimated to have grown 4% in 2024.