Russian GDP Growth Confirmed at 0.6%

2025-12-12 16:36 By Agna Gabriel 1 min. read

Russia’s GDP grew 0.6% YoY in Q3 2025, the weakest pace since 2023, slowing from 1.1% in Q2, in line with preliminary estimates.

The slowdown reflects the Kremlin’s focus on military spending amid the Ukraine war, rather than investments to stimulate the economy, combined with low oil prices, weaker natural gas exports due to European sanctions, muted trade with China, and a strong ruble supported by high Bank of Russia interest rates.

Manufacturing growth eased to 1.4% from 3.8%, construction to 1.4% from 2.7%, and hotels & catering to 8.6% from 9.2%.

Mining contracted -0.7% (vs -1.2%), water & waste activities -3.6% (vs -3.9%), wholesale & retail -1.1% (vs -2%), transportation -1.7% (vs 0.8%), and real estate -0.7% (vs -0.4%).

Agriculture, forestry, hunting, fishing, and fish farming outperformed at 3% (vs 0.8%).



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Russian GDP Growth Confirmed at 0.6%
Russia’s GDP grew 0.6% YoY in Q3 2025, the weakest pace since 2023, slowing from 1.1% in Q2, in line with preliminary estimates. The slowdown reflects the Kremlin’s focus on military spending amid the Ukraine war, rather than investments to stimulate the economy, combined with low oil prices, weaker natural gas exports due to European sanctions, muted trade with China, and a strong ruble supported by high Bank of Russia interest rates. Manufacturing growth eased to 1.4% from 3.8%, construction to 1.4% from 2.7%, and hotels & catering to 8.6% from 9.2%. Mining contracted -0.7% (vs -1.2%), water & waste activities -3.6% (vs -3.9%), wholesale & retail -1.1% (vs -2%), transportation -1.7% (vs 0.8%), and real estate -0.7% (vs -0.4%). Agriculture, forestry, hunting, fishing, and fish farming outperformed at 3% (vs 0.8%).
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