S&P sees 'significant' risk of Russian recession

LONDON (Reuters) - Russia's economy could slip into recession next year and its foreign exchange reserves fall further as lower oil prices and Western sanctions bite, credit ratings agency Standard & Poor's told Reuters on Wednesday. Moritz Kraemer, S&P's head of sovereign ratings, said a Russian recession was not his central scenario, but is a "significant possibility". Kraemer also said the risk of Britain eventually leaving the European Union appears to be rising, which would be negative for the UK economy and might force S&P to "reassess" the country's top-grade AAA rating. In the euro zone, weak growth and the threat of deflation will make 2015 an extremely tough year and put at risk governments' ability to ease their large debt burdens, he said. (Reporting by Jamie McGeever; Editing by Catherine Evans)