Bloomberg Analysts Forecast Weaker Sanctions for Russia

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The United States will ease its sanctions against Russia over the next 12 months. Such an opinion was expressed by 55% of the economists that were surveyed by Bloomberg. In October, a similar position was taken by only ten percent of analysts, says Bloomberg.

“It’s still a toss-up whether the U.S. will quickly ease sanctions, with the EU lagging, but things are moving in the direction towards easier sanctions or less enforcement,” said Rachel Ziemba, the New York-based Head of Emerging Markets at 4CAST-RGE.

“If the US eases sanctions, it won’t be possible to achieve a consensus among EU member states to keep their sanctions regime in place as it is currently formulated,” said Charles Movit, an economist at IHS Markit in Washington.

According to the analysts, if the sanctions are lifted, Russia’s GDP growth in 2017 will accelerate by 0.2% and by 0.5% in 2018.

Growing investor confidence, as Bloomberg notes, has already been positive concerning the rate of the rouble, which has strengthened in relation to the dollar by 20% since the beginning of the year, and the MICEX Index, which rose over the same period by more than 26%.