Reshetnikov: Russian economy continued to recover in January

The Russian economy continued to recover in January of this year, Economic Development Minister Maxim Reshetnikov said at a meeting with relevant committees of the State Duma.

“According to the results of last year, the GDP of the Russian Federation decreased by 2.1%. Data for January shows that the economy continues to recover compared to December seasonally adjusted,” – leads his words “Interfax”.

The Minister, in particular, noted the improvement in the situation in industry, the construction sector, the recovery of consumer demand and unemployment at 3.6%.

Among the key priorities of the government in the economic policy of Reshetnikov singled out deepening integration with friendly countries and reorienting sales markets, as well as attracting investment. Another priority this year is the minister named support for domestic investment. “In 2023, the main source should be the own funds of enterprises and bank lending. It is important to ensure an intersectoral flow of funds both through the banking system and through the stock market,” he said.

In January, the Russian economy shrank by 3.2% year-on-year after a 4.2% decline in December 2022, wrote formerly Vedomosti. According to the estimates of the Ministry of Economy, excluding the seasonal factor, GDP in January 2023 increased by 0.2% compared to December 2022.

According to the current forecast, the economy will contract by 0.8% in 2023 and grow by 2.6% in 2024. According to the Central Bank, GDP growth this year will be in the range from minus 1% to plus 1%. First Deputy Prime Minister Andrey Belousov admitted that by the end of 2023, GDP dynamics could even be positive. A number of indicators of the current forecast for 2023–2025 may be revised for the better in April, a representative of the Ministry of Economics noted.