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Russia's Real Sector of the Economy in H1 2015: Factors and Trends

In H1 2015, business activities in the Russian economy were determined by weakening of the external and internal demand. In H1 2015, a decrease of 5.4% and 8.0% in investments in capital assets and the volume of the retail trade, respectively, as compared to the respective period of the previous year produced a negative eff ect on the domestic market. In Q2, the situation became more complicated due to a greater slump in the industry to 4.9%, including the manufacturing industry to 5.1% as compared to the indices of the previous year. A drop in real wages and salaries with a consolidating trend of growth in general and registered unemployment is an alarming factor.