Economics

Post-Recession Bounce Hides Old Trick for Russia's Economy

  • Economy expanded 2.5 percent, its third quarter of growth
  • Consumer demand emerging as key growth driver after recession

Customers browse products for sale in a discounted food aisle at an Auchan Holding SA city supermarket, operated by Groupe Auchan SA, in Moscow, Russia, on Aug. 1, 2017.

Photographer: Andrey Rudakov/Bloomberg
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Russia’s economy expanded at the fastest pace in more than three years after exiting its longest recession this century, and analysts say the most likely driver is an old one -- consumer demand.

Gross domestic product grew 2.5 percent last quarter from a year ago, the Federal Statistics Service said Friday, citing preliminary estimates. That outstrips the 1.7 percent growth forecast by economists, according to a Bloomberg survey. The Economy Ministry estimated output increasedBloomberg Terminal 2.7 percent in the period.