Moody's: New sanctions will be risky for Russia's economic growth

Baku. 7 August. REPORT.AZ/ New US sanctions against Russia will limit investment flows to the country.

Report informs citing the RIA Novosti, Moody's International Rating Agency informed.

Notably, on August 2, US President Donald Trump signed a law enforcing sanctions against the Russian economy. The new US sanctions, imposed over alleged Russia's meddling in the US presidential election, are supposed to limit the financing period for sanctioned Russian banks to 14 days, and for sanctioned oil and gas sector companies to 60 days. Notably, these sanctions previously were 30 and 90 days, respectively.

Moody's predicts after new sanctions flow of capital from Russia will be soft, the ruble rate to fall and inflation will rise. Agency informed that, Russia's foreign direct investment attraction after new sanctions will be challenging: “Again, we consider that the Russian economy will grow this year. However, sanctions will create a risk to the economic growth”.