The Russian economy has overtaken Japan to become the fourth largest in the world in PPP terms (purchase power parity), according to revised data from the World Bank released at the start of June.
As bne IntelliNews reported in August, Russia had already overtook Germany to become the fifth biggest economy in adjusted terms. Hit by multiple shocks recently and cut off from cheap Russian gas, Germany is now stagnating and has fallen to sixth place in the World Bank’s ranking.
PPP GDP measurement is preferred by many economists, as it takes into account the difference between local prices and nominal prices similar to The Economist’s famous Big Mac inde> despair index has fallen to its lowest level ever this year – the sum of inflation, unemployment and poverty.