Central bank says Russian economy grows 1.5% in 2017

MOSCOW, Feb 16 (PRIME) -- The Russian economy grew 1.5% in 2017 confirming that recession is over, the central bank’s research and forecasting department said in a report on Friday.

“The Russian economy grew 1.5% in 2017, finally confirming exit from recession,” the report said.

Russia’s gross domestic product (GDP) growth slowed to 1.2% in October–December 2017 from 1.8% in July–September, the central bank said, explaining the dynamics by positive external and internal factors in the first half of 2017 and negative factors in the second half of the year.

The central bank also estimated annual inflation adjusted for the influence of the ruble’s strengthening at around 3% in January.

Risks for stability of Russian financial markets fell in early 2018 amid a resumption of growth at global markets, higher oil prices, and the ruble’s appreciation, researches said.

The attractiveness of Russian debt instruments can decrease soon, the central bank also said.

The regulator also projects that the number of unemployed people will fall by 300,000 people to 3.6 million people over the next two years, which will help to accelerate growth of wages.

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