Putin says Russia is past the worst economic phase

SOCHI, Russia, Oct 2 (Reuters) - Russian President Vladimir Putin said on Thursday that there are grounds to believe the most difficult phase of Russia's current economic challenges was now behind it.

Speaking at the Valdai Discussion Club in Sochi, Putin emphasized the need to strengthen economic stability, reduce inflation, and sustain growth.

He said that the government's decision to raise the rate of value-added tax (VAT) will have an impact on economic growth, but argued that it will help the Central Bank maintain balance in its key interest rate decisions.