Kudrin: Russia unlikely to boost investments to 25% of GDP by 2024

WASHINGTON, Apr 15 (PRIME) -- The Russian government’s plan to boost investments to 25% of gross domestic product (GDP) by 2024 will unlikely be implemented, Alexei Kudrin, chairman of the Audit Chamber and former finance minister, told reporters on April 14.

“You know, the government’s (investment) goals are 25% of GDP, which, according to the government’s plan, should be achieved gradually by 2024–2025. So far, it is not being fulfilled,” Kudrin said.

“The very first year – the last one – turned to be very low, even lower than the previous one, in terms of investments. This volume, this plan will unlikely be implemented. There are various reasons – general investment climate, sanctions, some cautiousness in holding some structural reforms. An increase of taxes also had an impact,” he said.

Kudrin also said that the projected 1.5% GDP growth for the medium term was not sufficient for Russia.

“We will have to live in this corridor of about 1.5% 9growth0, which is, of course, not enough for the Russian economy. We said we needed growth rate above the world average,” he said.

Speaking about possible U.S. sanctions against state banks, Kudrin said sanctions not against one, but several state banks will be a stronger blow and a reason to reassess the market situation.

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