03/09/2013 09:41 BST | Updated 03/09/2013 09:43 BST

Lord Mandelson Says Vladimir Putin Taking Russia 'In The Right Direction'

Russian President Vladimir Putin speaks during a media conference after the G8 summit at the Lough Erne golf resort in Enniskillen, Northern Ireland.

Asked about Mr Putin’s address to the St Petersburg Economic forum in June, Lord Mandelson told Russkaya Mysl magazine that he found the speech “strong, interesting and encouraging”. Russia under Putin is moving “in the right direction”, he says.

“It seems to me that he has absolutely grasped the problems facing the Russian economy: the slowing of GDP growth, and also too-high inflation.”