Touting Barter, Russia Continues its Economic Regression

Moscow has begun floating barter schemes for international trade and for the repayment of debts to Russia. This comes on top of a report that Russia_s industrial output has risen, though serving only domestic consumers who cannot afford imports. The only major export growth being experienced by Russia is in arms sales. Finally, Moscow has made it clear that it is simply unable to service its international debt. Russia_s economy is introverting, reverting to a model reminiscent of the old Soviet Union. Closed off by inefficiency and lack of foreign capital, it is focusing its domestic economy on meeting domestic needs, limiting its interaction with the global economy for the most part to barter in machinery and raw materials, and earning its foreign currency with arms. The seal on this introversion may arrive in the form of default on international loans.