World Economy

Russia Economy Downgraded

Russia Economy DowngradedRussia Economy Downgraded

Moody’s downgraded Russia’s debt by one notch Friday, citing the ongoing conflict in Ukraine, capital flight and falling oil prices, CNN reported. The debt rating is now Baa2, just two notches above “junk” status. Ongoing tensions with Ukraine led to international sanctions against Russia earlier this year. That has reduced foreign investment and further slowed economic growth, spurring inflation and higher interest rates.