The World Bank has improved its forecast for Russia’s GDP growth in 2021. This is stated in the bank’s report on the economy of the Europe and Central Asia region.
Economic growth in Russia is expected to accelerate from 3.2% to 4.3% due to the recovery of domestic demand in the country and higher energy prices. “The improved forecast also reflects additional, albeit insignificant, fiscal support,” the document was quoted as saying by RIA Novosti.
At the same time, the World Bank revised its forecast for Russia’s economic growth for 2022 to 2.8% from 3.2%, and also for 2023 to 1.8% from 2.3%. The reasons are the stabilization of demand and the decline in prices for industrial raw materials. It is clarified that the forecast is based on “a gradual easing of OPEC + restrictions on oil production and a possible return to the budgetary rule.”
Earlier, Finance Minister Anton Siluanov did not rule out that by the end of 2021, the growth rate of the Russian economy may be higher than the government’s forecasts. Now the Ministry of Economic Development assumes a GDP growth of 4.2% by the end of the year. As noted by Siluanov, the recovery of the Russian economy is proceeding more dynamically in comparison with other countries and the world economy as a whole.
According to the forecast of Coface analysts, Russia’s GDP by the end of the year will grow by 3.9%, and the annual inflation will be 6.1%.
.