Moody's improves Russian GDP forecast for 2015-2016
MOSCOW. May 27 (Interfax) - Moody's has improved its forecast for Russian GDP in 2015-2016, the international rating agency said in a press release.
Moody's analysts now expect the Russian economy to contract 3% this year and remain stagnant in 2016.
It previously forecast Russian GDP to shrink 5.5% in 2015 and 3% in 2016.
Although the economic recession in Russia will be less severe than previously expected, Moody's is maintaining its forecast that low prices on oil, the weak ruble and persisting geopolitical uncertainty will continue to have a negative effect on aggregate demand over the course of the year, the report says.
Access to liquidity and the effect of the challenging domestic operating environment will have an effect on non-financial companies for several years to come.
Analogously, the exchange rate and access to state support will also play key roles in determining the quality of corporate lending in the future, it says.