In the anticipated absence of structural reforms that would raise economic prospects, Russia’s economy will grow on the back of gradually rising commodity prices supported by general macroeconomic stability.
Tighter political control will remain the top priority for the Russian government, with all other considerations—including economic considerations—subservient. Thus, highly conservative economic policies focused on stability will shape the market while growth will be modest during this period because reforms are highly unlikely.
Businesses can capture additional opportunities in the next three years, but should be prepared to win through superior execution rather than by benefiting from a significant recovery in the market.
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