Today in Russian Business – Dec 2nd, 2008

Dmitry Medvedev apparently has his eye on the problem of late wage payments.  Questions handpicked for Vladimir Putin’s question and answer broadcast this week will ‘reflect citizens’ fears of possible social and economic upheaval stemming from the global financial crisis‘.  Analysts suspect that Russia would have had to double its spending of foreign reserves this week in order to protect against the most recent and most drastic drop of the ruble yet.  As part of its bid to reduce costs outside of Russia by 15%, Norilsk Nickel is planning to cut 1,150 overseas jobs.  Lack of information is causing 40% of Muscovites to fear losing their jobs.  VEB is urging Russia’s troubled businesses to keep investing if they want government money.  The construction slump has hit LSR Group.  Russia’s media sector ‘is experiencing two very distinct consequences: widespread layoffs and a string of business failures‘.  Forget the financial crisis – what’s really hurting Russian investment is, uh, catastrophic Moscow traffic.