We would say freeze but it’s Russia and they love luxury. They’ll never fully stop buying their Gucci. Even if it’s with their last ruble.
Reuters: Russians may be the world’s top spending visitors to western Europe, but the global financial crisis has their domestic luxury industry bracing for its first possible slowdown in 10 years.
Much of Russia’s luxury market is concentrated in Moscow, which accounts for 85 per cent of sales and whose centre is crowded with sports utility vehicles and designer stores.
…Until the credit crunch crisis, the bulging metropolis of Moscow boasted more billionaires than any other city. But many oligarchs have had their fortunes slashed, investor confidence has been hammered and more than $1 trillion has been wiped from domestic stock values.
It now takes what he estimates at two years to divest a luxury investment such as a painting…versus three to five months before the crisis.