Abu Dhabi


New York

Tuesday 20th March 2018

Russian Economy: Low Inflation, Growth Despite Sanctions


7Dnews London

Wed, 09 Jan 2019 09:31 GMT

The World Bank said in a report released on January 8th that the growth rate of the Russian economy increased in 2018, while inflation remained low.

According to the Russian news agency TASS, "Global Economic Prospects" says "Although economic sanctions tightened, Russia experienced relatively low and stable inflation and increased oil production. As a result of robust domestic activity, the Russian economy expanded at a 1.6% pace in the year just ended."

The World Bank analysts forecast the growth of Russian economy at 1.5% in 2018, same as in 2017.

However, the authors of the report predict a short-term slowdown in the growth of the Russian economy in 2019 to 1.5% (lowering the June forecast by 0.3%). The World Bank also expects a slowdown in economic growth in Eastern European countries and the Central Asia region. In 2020 and 2021, however, the World Bank predicts an increase in the growth rate of Russia's GDP to 1.8%.