Importance The article presents the analysis of growth slowdown in the industrial sector of the Russian economy. According to the preliminary data of the Federal Service of State Statistics, the Gross Domestic Product (GDP) in Russia amounted to 70.975 trillion rubles, i.e. the economy expanded by 0.6%. Compared with the same period in 2013, the economy grew by 1.3%. The devaluation of the Russian ruble slightly revived the domestic demand and stabilized the situation in the public sector. However, the downside of this process is accelerated pace of inflation and greater concentration of resources in the Russian fuel and energy sector. Objectives The objective of the work is to analyze the growth slowdown in the industrial sector of the Russian economy and its implications. Methods In the paper, using econometric methods, we analyzed various aspects of performance and financial status of enterprise operating in the major sectors of the economy. Results We highlighted that the government programs for promoting certain sectors of economy are not fully operational. The development and implementation of the programs independently, without taking into account the total demand for financial, material, technical, human and other limited resources, is a material weakness. Uncertainty of economic environment causing the general stagnation of business leads to profit shrinkage. The capital outflow does not promote investment growth either. At the same time, export of capital in 2014 was largely from the non-banking sector. This testifies to the reluctance of entrepreneurs to invest capital in production development. Therefore, this implies reducing capital investment at the expense of equity capital of enterprises. Conclusions and Relevance Using the findings, we conclude that investment problems will very likely affect the automobile industry, mechanical engineering, and construction industry. In addition, all industries involved in construction will definitely face serious problems, i.e. production of all sorts of construction materials, steel industry and production of finishing material. Within the framework of modern national credit and financial system, it is necessary to follow the basic goals of modernization, Russian economy development and substitution of external loans. We proposed a set of measures aimed at expanding the monetary and credit system over the medium term, including a mechanism for establishing special institutions for investment development. Relying on foreign experience in stimulating economic activity of small and medium-sized businesses, it is necessary to extend the application of accelerated depreciation of fixed assets, as well as to exempt from taxation the income of enterprises exporting at least 50% of products they manufacture using Russian intellectual property (for the investment's payback period) or, the enterprises manufacturing import-substituting products and selling them in the Russian Federation.
Balikhina N.V., Kosov M.E. Razvitie investitsionno-innovatsionnykh protsessov v rossiiskoi ekonomike. Finansovyi aspekt [Developing investment and innovation processes in the Russian economy. A financial aspect]. Moscow, YUNITI-DANA Publ., 2014, 231 p.
Boltanova E.S. Pravovoi rezhim imushchestvennykh kompleksov energeticheskogo sektora ekonomiki Rossii [Legal regime of asset portfolios of the Russian energy sector]. Imushchestvennye otnosheniya v Rossiiskoi Federatsii = Property Relations in the Russian Federation, 2013, no. 11, pp. 50–62.
Glaz'ev S.Yu. Mirovoi ekonomicheskii krizis kak protsess smeny tekhnologicheskikh ukladov [Global economic crisis as the process of changing technological modes]. Voprosy Economiki, 2009, no. 3, pp. 26–38.
Glaz'ev S.Yu. Krizis, antikrizisnye mery i strategiya innovatsionnogo razvitiya v zerkale teorii dolgosrochnoi megatekhnologicheskoi dinamiki [Crisis, anti-crisis measures and innovative development strategy in the mirror of the theory of long-term mega-technological dynamics]. Rossiiskii ekonomicheskii zhurnal = Russian Economics Journal, 2008, no. 12, pp. 3–9.
Glushchenko V.V. Funktsional'nyi kontrol' i diagnostika finansovoi sredy v usloviyakh global'nogo krizisa [Functional control and diagnostics of the financial environment in the context of global crisis]. Finansy i kredit = Finance and Credit, 2009, no. 12, pp. 15–22.
Grinberg R.S., Kuznetsova Z.N. Nalogovaya politika v sotsial'no-ekonomicheskom razvitii stran s perekhodnoi ekonomikoi [Tax policies in the socio-economic development of economies in transition]. St. Petersburg, Aleteiya Publ., 2011, 392 p.
Zasedanie Pravitel'stva 11 dekabrya 2014 goda [The Russian Government Session of December 11, 2014]. Available at: Link. (In Russ.)
Zakharov A.V. Nestabil'nost' mirovykh finansovykh rynkov: uroki i posledstviya dlya Rossii [Instability in global financial markets: lessons and consequences for Russia]. Den'gi i kredit = Money and Credit, 2008, no. 6, pp. 16–19.
Zinkovskii M.A. K voprosu o vzaimosvyazi beznalichnykh denezhnykh sredstv i natsional'nogo ekonomicheskogo krizisa [Relationship of non-cash money and the national economic crisis]. Sovremennoe pravo = Modern Law, 2014, no. 8, pp. 58–63.
Kondrat'ev A.N. Finansovyi krizis, ego prichiny i puti vykhoda [Financial crisis, its causes and ways for economic recovery]. Finansy i kredit = Finance and Credit, 2009, no. 16, pp. 11–14.
Kosov M.E. Ravnovesie ekonomicheskoi sistemy [Economic system’s equilibrium]. Moscow, Russian State University of Trade and Economics Publ., 2012.
Kosov M.E., Kramarenko L.A. Ekonomicheskoe ravnovesie nalogovoi sistemy [The economic equilibrium of the taxation system]. Moscow, YUNITI-DANA Publ., 2014, 199 p.
Nobel P. Shveitsarskoe finansovoe pravo i mezhdunarodnye standarty [Schweizerisches Finanzmarktrecht und internationale Standards]. Moscow, Infotropik Media Publ., 2012, 1104 p.
Ob itogakh sotsial'no-ekonomicheskogo razvitiya Rossiiskoi Federatsii v yanvare–noyabre 2014 goda [On the results of socio-economic development of the Russian Federation in January–November, 2014]. Available at: Link. (In Russ.)
Okanova T.N., Kosov M.E. Regional'nye i mestnye nalogi [Regional and local taxes]. Moscow, YUNITI Publ., 2008, 120 p.
Perechen' poruchenii po realizatsii Poslaniya Prezidenta Rossiiskoi Federatsii Federal'nomu Sobraniyu [List of Instructions to implement the Message of the President of the Russian Federation to the Federal Assembly]. Available at: Link. (In Russ.)
Poslanie Prezidenta Federal'nomu Sobraniyu [Message of the President of the Russian Federation to the Federal Assembly]. Available at: Link. (In Russ.)
Resheniya, prinyatye na zasedanii Pravitel'stva 11 dekabrya 2014 goda [The Resolutions of the Government adopted at the Government session of December 11, 2014]. Available at: Link. (In Russ.)
Soveshchanie s chlenami Pravitel'stva [Meeting with the members of the Government]. Available at: Link. (In Russ.)
Shestakova E. Kak vesti biznes pri roste kursa valyuty? Vozmozhnye stsenarii preodoleniya krizisa [How should one do business under increasing exchange rates? Possible scenarios of overcoming the crisis]. Available at: Link. (In Russ.)
