Russia's economy shrank four percent year-on-year in 2022's second quarter. This comes after Moscow was hit by Western sanctions in response to its invasion of Ukraine.

Russia's state statistical service released the gross domestic product number for the April-June period on Friday.

This is the first contraction since the first quarter of 2021, when the economy was affected by the coronavirus pandemic.

Wholesale sales dropped 15.3 percent, retail sales were down 9.8 percent, and manufacturing fell 3.3 percent.

Analysts are pointing to the impact of sanctions. They are also noting that foreign companies have pulled out of the Russian market.

Last month, Russia's central bank said it believes the country's GDP will decline by 4 to 6 percent this year.

Meanwhile, the Russian economy appears to be supported by energy exports.

The International Energy Agency said Russia's revenues from crude oil exports in June increased from last year, due to higher prices. The IEA also pointed out that Russia's exports to Europe, the US, and Japan have fallen since the start of the invasion, but its exports to China and India have risen.