TODAY: Bashneft now in government hands; economic gloom persists; food prices expected to rise dramatically; Russia to talk weapons and nuclear with India; suspect in Litvinenko case hired as consultant on show about his murder; Usmanov’s noble/Nobel intervention.

Russian oil company Bashneft has now been returned to the government following the controversial seizure of assets owned by Sistema (and the arrest of its CEO Vladimir Yevtushenkov) in September.  Tycoon Gennady Timchenko has rebuffed rumours he is interested in buying the company.  Economy Minister Alexei Ulyukayev says the government has no intention of buying bonds issued by state oil firm Rosneft from the state’s National Wealth Fund. The World Bank has reduced its economic outlook for Russia to a contraction of 0.7% in 2015 and a 0.3% growth in 2016, assuming an average oil price of $78 per barrel for 2015 and of $80 per barrel for 2016.  The head of the Audit Chamber Tatiana Golikova says Russia’s budget may lose $6 billion in 2015 from a drop in global oil prices.  UBS has slashed stock ratings for seven retail and Internet companies as the ruble continues to plunge.  Food retailer Magnit meanwhile reports ongoing increases in sales: food prices are expected to grow by 9.5-10% in 2015, and retail prices for coffee and tea in Russia by up to 20%.  The head of an anti-corruption watchdog has suggested that ‘30% of officials … are corrupt’.