<h1>Economic outlook: controlled inflation and manufacturing growth contrast with recession risks from weak foreign investment and sanctions.</h1> Russia presents recent macroeconomic indicators as showing controlled inflation, manufacturing growth and reduced reliance on energy exports, while ministers and economists caution that recession risk remains due to weak private and foreign investment. Elevated defence spending and related fiscal measures have supported short term demand and employment but fuel inflation; sustained sanctions and low foreign investor participation constrain medium term diversification and increase the likelihood of stagnation absent broader investment into non military sectors.