OECD downgrades its forecast for Russian struggling economy

REUTERS

At this, the OECD forecasts the country's economy will contract by 0.4% in 2016, and will grow 1.7% in 2017, according to the report.

In its previous semi-annual review, which was published in June, the OECD projected a 3.1% decline in Russia's GDP in 2015. In September, the OECD noted the Russian economy had fallen into a deep recession, with the situation possibly getting better given energy prices not continue further decline.

The OECD also trimmed its global economic forecasts for the second time in three months.

World output will expand 2.9% in 2015 and 3.3% in 2016, down from the 3% and 3.6% predicted in September.