Third quarter figures came better than market expectations for a 4.4 percent contraction and a 4.3 percent drop the Economy Minister estimated a month earlier. In the second quarter, the GDP fell by 4.6 percent and by 2.2 percent in the first three months of the year.
Russia is enduring its first recession in six years after last year’s currency crisis and sanctions over Ukraine closed access to capital markets and caused a surge in inflation. The ruble has depreciated about 48 percent against the dollar in the past 12 months and since January, the inflation has been above 15 percent. Also, from July to September, retail sales have been declining by 9.5 percent on average and industrial production dropped on average 4 percent each month.