It’s a long read but worth your time if you want to know the current true state of Russian economy. The best part is that this grim analysis was published in Russia.

The Center for Macroeconomic Analysis and Short-term Forecasting (http://forecast.ru) put out a report on the risks of stagflation in the Russian economy:

“The current high level of the key rate and the prospects for its further increase outlined by the Central Bank have created the risk of an economic downturn and a collapse in investments in the near future.

It can be stated that this policy is only limitedly effective in reducing inflation - but carries unacceptably high risks of provoking a recession and an imbalance in reproduction processes in the real sector, especially in low-profit sectors and sectors with long terms of
project implementation (primarily in mechanical engineering).

At the current level of risk-free yield (18.4% per annum on federal loan bonds with a maturity of 5 years), investment projects with average payback periods (up to 5 years) should not only break even during this time, but also bring in a total net profit of at least 130% of the funds invested at the start - otherwise they lose their economic sense for their initiators.