ECONOMY

Russia’s economic woes could keep Cyprus in recession for a fifth year

Economic woes in Russia are tempering prospects of bailed-out Cyprus returning to growth in 2015 and mean the island nation risks a fifth year of recession, analysts say.

As the ruble takes a tumble on the back of weak oil prices and Western-led sanctions, Moscow’s troubles are seeping into the Mediterranean island, where Russian-related business is thought to make up about 10 percent of the Cypriot economy.

“I am not forecasting growth this year, largely due to the Russian crisis and the decline in tourism arrivals,” said Fiona Mullen, director at Sapienta Economics, a financial consultancy.

[Reuters]