Russia's clan war?

The global economic crisis has hit Russia hard and the Kremlin is set to use the situation to make destabilising changes that could prompt a fresh round of conflict between the country's powerful political clans.

The global economic crisis has hit Russia particularly hard. In the second quarter of 2009, Russia experienced a 10.9 per cent gross domestic product (GDP) decline as measured from a year earlier and is expected to have its GDP decline by 8.5 per cent overall in 2009. The budget surplus gained during the years of strong commodity prices has been replaced by an 8 per cent budget deficit in 2009, which is expected to decrease only slightly to 7.5 per cent in 2010.



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