Weekly Export Risk Outlook, September 10

09.11.2014 ZF English

Economic sanctions imposed against Russia started to show their effects in the gross domestic product, Euler Hermes noted in its Weekly Export Risk Outlook report.

The statistics data showed a quarterly economic growth of 0.2% in the second quarter, up from 0.1% in Q1, but the financial sector contracted sharply, while decline in real estate and manufacturing continued. 

Overall, the details suggest that the geo-political tensions over Ukraine have already affected consumer and investor confidence and, ultimately, the economy in the first half, Euler Hermes analysts noted in the report.

"As the West deepened sanctions against Russia in Q3 and the tensions are not expected to subside in the near term, EH forecasts Russia will slide into recession in H2, resulting in a contraction of full-year 2014 GDP of minus 0.6%.

Download the full report, to see other news about economic growth in Turkey and developments of euro-zone and USA economies.