The Ministry of Economy said that GDP growth by 2026 can reach a stable 3% annually

The growth of Russian GDP by 2026 can reach a stable 3% annually, said Deputy Minister of Economic Development Dmitry Volvach during the International Economic Forum “Russia – Islamic World: KazanForum”, transmits TASS.

“By 2026, our experts predict an increase in Russian GDP growth rates to a stable 3% annually, including through the restoration of consumer demand and the creation, as I said, of the most favorable investment environment. Also, the investment activity of companies in the first quarter of this year increased significantly. Especially in construction, manufacturing industries,” he said.

Today Vice President, Director of the Finance Department of Sberbank Taras Skvortsov declaredthat the bank predicts Russia’s GDP growth by 1% by the end of 2023. He also noted the recovery of economic activity against the backdrop of increased domestic demand.

Earlier from the published preliminary assessment of Rosstat shouldthat Russian GDP for the I quarter decreased by 1.9% in annual terms.

In April, Minister of Economic Development Maxim Reshetnikov informedthat the agency improved the forecast for the Russian economy in 2023 from a decline of 0.8% (in the September forecast) to growth of 1.2%. The main contribution to economic growth, according to the minister, will be made by the recovery of consumer demand after the recession in 2022. The expected growth in household incomes will contribute to this, the minister noted.

The forecast for GDP growth next year has been reduced from 2.6% to 2%. In 2025, the indicator will grow by 2.6% (as in the previous forecast), in 2026 – by 2.8%, a representative of the Ministry of Economics told reporters. Nominal GDP in 2023 will amount to 157.8 trillion rubles, he added.

Later, the Bank of Russia also improved the forecast for Russian GDP dynamics: the regulator now expects economic growth of 0.5-2% in 2023, although back in February it expected a decline. The Bank of Russia also expects inflation to be lower than expected in February – at the level of 4.5–6.5% against 5–7%. The Ministry of Economy predicts price growth at the level of 5.3%.