Russian economy growing strongly

Russia's economy is heavily dependent on oil

Russia's economy grew by 13.9% between July and September compared with the previous quarter, the country's federal statistics agency has said.

The strong growth provided evidence of the country's recovery from a severe economic downturn.

The Russian economy, which is heavily reliant on oil exports, was one of the worst hit by the global downturn.

The rebound in the oil price since the start of this year has helped the economy to recover.

Compared with the same three months a year ago, however, the Russian economy shrank by 8.9%.

Fragile recovery

Earlier on Thursday, Russian President Dmitry Medvedev said his government had succeeded in stabilising the economy.

"But the revival in the markets remains weak and unstable. And the most dangerous thing now is to calm down. We have to continue realising the anti-crisis plan and be ready to implement new measures," he cautioned.

Analysts also argued that the recovery was fragile and heavily dependent on the oil price.

"The main driver of the recovery was the increase in oil and metal prices and the trickle down effect on production in those supporting industries," said Chris Weafer at Uralsib.

"The recovery is very dependent on the global economy rather than domestic factors. If the rest of the world [contracts], then Russia's economic revival would stall and possible reverse."