Russia – import substitution during recession

Russia is set to come out of recession this year. Expected growth will be subdued because of structural problems, however. During the recession, import demand declined as a result of real currency depreciation as well as sanctions and counter-sanctions in the wake of the Ukraine conflict. Domestic production was also promoted in an effort to crowd out imports. These measures to substitute imports cannot replace necessary reforms, however, as scepticism about their long-term effectiveness is warranted.

Russia – import substitution during recession(PDF, 167 KB, non-accessible)