Kudrin: Russia’s 2019 economic growth may not to reach 1%

MOSCOW, Nov 8 (PRIME) – The Russian economic growth can be below 1% in 2019 due to the current and potential sanctions, Head of the Audit Chamber Alexei Kudrin said in a speech to the State Duma, parliament’s lower chamber, on Thursday.

“Taking into account these remaining uncertainties, including the uncertainties with the international situation, possible further sanctions, the importance of which has increased since August of this year, we can see an about 1% or below 1% economic growth next year, which is even lower than the government and the central bank say, as a result of combination of these factors,” Kudrin said.

He also sees the risk falling household real disposable incomes in 2018. “I agree that the reflection of the exchange rate on prices, and growth of value-added tax (VAT), and the excises on gasoline influence the central bank’s (economic growth) estimate, and at the same time, it will influence the incentive for investment to hold them and people’s real income down.”

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