MOSCOW, Dec. 29 (Xinhua) -- Russia's gross domestic product (GDP) has been negative in November, the first time since the fall of 2009, the Economic Development Ministry said Monday.
"In November, the first time since October 2009, Russian GDP contracted by 0.5 percent year-on-year," the ministry said in a statement.
According to the statement, the shrink was mainly due to negative trends in construction sector, agriculture and falling wholesale trade.
In the past 11 months of 2014, the Russian economy has grown by 0.6 percent, the statement added.
Earlier this month, Economy Minister Alexei Ulyukayev said the Russian GDP would contract by 3 percent in 2015 if global oil prices remain at 60-U.S. dollar-per-barrel level and will grow by 0.8 percent if oil hovers at 80 dollars.
Also on Monday, President Vladimir Putin signed a decree increasing bank deposit insurance by 100 percent, from 700,000 to 1.4 million rubles (approximately from 11,600 to 23,200 dollars).
The insurance is payable by the Deposit Insurance Agency in cases when a bank is unable to fulfill its obligations to clients.
The Russian Central Bank has withdrawn licenses from 92 banks in 2014.
Related:
Spotlight: Amid tighter Western sanctions, Russia says retaliation in making
MOSCOW, Dec. 21 (Xinhua) -- Russia vowed Saturday to take retaliatory measures against a fresh round of punitive measures, after the United States and Canada followed EU steps to rachet up sanctions over Crimea and for what they say Russia's role in the ongoing Ukrainian crisis.
U.S. President Barack Obama on Friday signed an executive order, imposing a ban on new investment in Crimea and barring export or import of goods, technology or services with the region, which joined Russia after a referendum in March. Full story
Spotlight: Besieged Russian economy to ride out recession
MOSCOW, Dec. 19 (Xinhua) -- It has been more than a decade since Russians woke up to find again their ruble savings sharply depreciate against the U.S. dollar and the euro. Even worse, they would probably have to endure a few years of recession coupled with high inflation risks.
Meanwhile, both the Russian leadership and experts agree that the economy will ride out recession, as the country has started accelerating economic restructuring and diversification. Full story
Russia vows to retaliate against new U.S., Canadian sanctions
MOSCOW, Dec. 20 (Xinhua) -- Russia vowed Saturday to take retaliatory measures against fresh U.S. and Canadian sanctions, calling the moves an evidence that the West lacks interest in settling the Ukraine crisis.
"The United States and Canada still cannot put up with the results of free declaration of will in Crimea and Sevastopol," Russian Foreign Ministry spokesman Alexander Lukashevich said in a statement. Full story
Russia must focus on innovation to gain economic independence: Medvedev
MOSCOW, Dec. 19 (Xinhua) -- The Russian government should focus on supporting the innovation sector as a way to cut the country's independence on import and facilitate the solution to current economic woes, Prime Minister Dmitry Medvedev said Friday.
His remarks came at a time when the Russian economy hit the buffers following a plunge in the value of the ruble as well as the free fall in crude oil prices since June. Full story
Out of control economic crisis in Russia not in EU interest: German FM
BERLIN, Dec. 19 (Xinhua) -- German Foreign Minister Frank-Walter Steinmeier on Friday warned against a further tightening of EU sanctions against Russia.
In an interview with German news magazine Der Spiegel, Steinmeier said he was concerned that Russia would be destabilized if Europe does not loosen the sanctions. Full story
News Analysis: New U.S. sanctions could add to Russia's economic woes, albeit indirectly
WASHINGTON, Dec. 18 (Xinhua) -- Although a new round of U.S. sanctions against Russia might not have a direct impact, they could increase Russia's sense of panic and ratchet up pressure on the country's embattled economy, experts said.
U.S. President Barack Obama on Thursday signed into law a new round of sanctions against Russia, but for now, does not intend to use them, saying the administration is keeping an eye on the situation in Ukraine. Full story
