Mishustin: Russia will fulfill all social obligations in case of any challenges to the economy

The state will fulfill all its social obligations, whatever the challenges to the Russian economy, declared Russian Prime Minister Mikhail Mishustin.

At the beginning of the meeting on economic issues in the government, the prime minister recalled the challenges that Russia faced, noting that the economy, despite pressure from the West, was “coping.”

“I want to emphasize once again that with any challenges to our economy, all social obligations will be fulfilled. And we will continue to solve other priority tasks of the state,” he said.

Speaking about macroeconomic indicators, Mishustin noted that in January-June inflation was 2.9%, and in annual terms does not exceed 3.5%, which is one of the lowest rates in the world. Unemployment also dropped to a record high of 3.2%, recalled the prime minister. In the first five months, Russia’s GDP increased by 0.6%, and in May, the figure increased by 5.5% in annual terms, he added. Earlier, Mishustin and the Ministry of Economics estimated growth in May at 5.4%.

According to Mishustin, now the authorities need not only to maintain positive trends in the economy, but also to ensure sustainable growth at the expense of internal resources and achieve the goals set by the president, which include improving the quality of life of Russians.

Earlier, Mishustin at a meeting with Russian President Vladimir Putin declaredthat the country’s GDP by the end of 2023 may grow by more than 2%, if “there are no force majeure circumstances.”

Minek appreciated Russia’s GDP grew by 5.4% in May on the back of last year’s low base effect. Seasonally adjusted, the figure rose 1.4% after rising 0.1% in April. A month earlier, GDP increased by 3.4% (the ministry adjusted the estimate from 3.3%), in March, February and January it decreased by 0.7%, 2.6% and 2.7% respectively. According to the Ministry of Economics, for five months since the beginning of the year, the growth amounted to 0.6%. In the first quarter of 2023, the economy contracted by 1.8% compared to the same period last year.