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Moody’s Is a Bit Late with Downgrading of France Rating
20 november 2012
Moody's, an international credit rating agency, downgraded France's government bond rating by one level to AA1 from AAA. The outlook remains negative.
Zeroing Mineral Resource Recovery Tax Is the Sale of National Capital at Zero Price
20 november 2012
RF Ministry of Energy suggests zeroing of mineral resource recovery tax for 25 years for the new gas projects in Siberia and the Far East.
Leaders of the Russian Military-Industrial Complex are steadily revolving
20 november 2012
At the November 19 meeting of President Vladimir Putin with the Deputy Prime Minister Dmitry Rogozin, the latter said that the Ministry of Defense contracts planned for this year are placed for 94.3%.
The Government Should not Completely Withdraw fr om the Sberbank Capital
19 november 2012
On November 19, the First Deputy Prime Minister Igor Shuvalov stated that the government as a shareholder of Sberbank and VTB plans to withdraw from the capital of the two largest Russian banks within 5-10 years.
What are the incentives of civil service
19 november 2012
In the analysis of current changes in the number of employees and the level of remuneration in the government sector of developed countries, the question inevitably arises, what encourages people to work in this sector and how to improve incentives of civil servants in the efficient performance of their responsibilities.
Monetary supply stagnation as a result of fiscal policy
16 november 2012
Monetary supply dynamics (changes in the monetary base in broad definition, reflecting the Bank of Russia operations on the formation of monetary supply) in the last months of the current year can be regarded as stagnant.
Recession in the Eurozone could be avoided
16 november 2012
Eurozone entered its second recession in four years - its GDP is decreasing for the second consecutive quarter, having declined in July-September 2012 to 0.1%, while in the previous quarter the downfall made 0.2%. Economic growth across the EU did not exceed 0.1%.
The new draft law on pensions: a threat to VEB
14 november 2012
On November 14, the Russian President Vladimir Putin has supported the new draft law on pensions, which implies reduction of allocations to the funded component of pensions from 6% to 2% of payroll, redistributing 4% for insurance (distribution) component of the retirement pension. In addition, the President proposed to postpone the bill entry into force until 2014.
A. Serdyukov’s dismissal was predictable
07 november 2012
On November 6, the Russian President Vladimir Putin has dismissed Minister of Defense Anatoly Serdyukov from office, and Sergei Shoigu is authorized to take command of the Ministry.
Government Expenditures are Inefficient as a Factor behind Economic Growth
02 november 2012
As it is known, one of the instruments of support or revitalization of economic growth is motivation of the economy by means of government expenditures. A number of experts refer to that factor in order to justify the need of a budget deficit in the mid-term prospect. However, a simple analysis of the structure of growth in expenditures on ultimate consumption points to the fact that efficiency of state expenditures as a factor behind economic growth is rather low.
Comments on the RBK daily’s article: “Experts: GDP Growth will be Three Times Lower than the Government Expects”
02 november 2012
The economic situation in Russia is far from being an ideal one: GDP quarterly growth rates have been slowing down from the middle of the last year, while the base types of activities used for evaluation of GDP dynamics have stagnated from the beginning of 2012, reports RBK daily quoting the research - Our Economic Forecast: Two as the Maximum? - carried out by the Development Center of NRU HSE.
Outflow of Workers from Industry
31 october 2012
Workers outflow from the Russian industry continues. The outputs of the analysis by the Gaidar Institute of regular surveys of managers of enterprises point to the fact that late in 2012 the share of enterprises experiencing labor shortages largely increased. About 30% of enterprises recognize that labor shortages may impede growth in industry.
Retail Lending Starts to Decline
31 october 2012
In the 3rd quarter of 2012, growth rates of aggregate assets of the banking sector amounted to 5.0%, including 1.9% in September, while annual growth rates remained in the range of 20% to 22%. The aggregate volume of profit received by the banking sector in September became the minimum one in 2012 (Rb 72.3bn). As a result, in September profitability of assets of the banking sector decreased to 1.9% per annum, while in the entire period from the beginning of the year it remains at the level of 2.3%.
Economic Effect of the Deal Between Rosneft and TNK-BP is Highly Doubtful for Russia
30 october 2012
The intrigue around the fate of TNK-BP which dated back to last summer is now over. I. Sechin, Head of Rosneft managed to secure V. Putin's support of the idea to buy 100% of equities of TNK-BP.
The Accumulated Inflation Rate Amounted to 5.7% from the Beginning of the Year
29 october 2012
Continued growth in fuel prices in October, additional indexation of regulated tariffs in September and higher growth rates of price on food products contributed to the speed-up of the consumer inflation rate.
Industrial Growth at the Level of 103.6% by the End of the Year is Highly Problematic
29 october 2012
In the first two quarters of 2012, the dynamics of manufacturing growth points to the fact that growth at the level of 103.6% forecasted by the Ministry of Economic Development in the current year is getting hard to achieve.