Russia crisis deepens on low oil prices, sanctions, China’s slower growth

"Developments in the past 1.5-2 months have again demonstrated that the current crisis considerably differs from the 2008-2009 crisis. In particular, prices of oil haven't bounced back as quickly and sustainably as it was in 2009," reads the Center's regular overview titled "Comments on the State and Business" for August 5-17, according to lenta.ru.

Experts say they doubt that Russia's economy may get back to growth. "We believe that the recession may continue in 2016. And GDP may decline by 4.5% per annum amid further stagnation," the overview said.

After crude oil prices dropped, the real forex rate of the Russian ruble weakened by 12% in annual terms, which affected exports of raw materials, namely refined copper, raw aluminium, potassium fertilizers, coke, and electricity.

"A noticeable increase in non-resource-related exports seems an impossible dream now," the experts said.

As reported earlier, the current level of Russia's forex reserves does not allow the Russian authorities to inject assets to prop up the ruble, and the key interest rate remains the Russian central bank's only leverage.