Economic Crisis Has Reached Peak, Russia to Recover, Says Putin

Russia’s President Vladimir Putin said that the country has reached the peak of its economic crisis, adding that the situation is becoming more stable. 

“Some experts maintain, and I tend to agree with them that we have generally reached the peak of the crisis and overall our economy is gradually adapting to these new economic circumstances, not all of it, but generally, it has adapted” Putin said on Tuesday as reported by the Kremlin’s website. 

In particular, he mentioned that lower raw materials prices, including hydrocarbons, bring about opportunities for several sectors like machine building, agriculture, and processing. 

According to Reuters, Putin also said that the Nord Stream II project is not aimed at cutting off anyone from transit.

Meanwhile, Rosneft’s subsidiary in Brasil closed a transaction to acquire PetroRio’s 55% stake in the Solimões project, indicating Russian companies’ intention to diversify their portfolio and to invest in South America.

‘The transaction totalled USD 55 million’ reads the note released by Rosneft on Tuesday.

On Monday, Germany’s BASF made an open endorsement to Russia.

“I firmly believe that Russia is and will remain an important and reliable supplier of natural gas, oil and other natural resources for Europe. And Europe is and will remain an important and reliable market for Russia” BASF’s Chairman Kurt Bock commented in a note.