OECD cuts Russia’s GDP growth forecast for 2017 to 1.9%

MOSCOW, Nov 28 (PRIME) -- The Organization for Economic Cooperation and Development (OECD) has reduced the 2017 Russia’s economic growth forecast to 1.9% from 2%, the organization said in a statement on Tuesday.

OECD also cut its 2018 GDP growth to 1.9% from an earlier 2.1%, and the 2019 forecast to 1.5%.

“Economic growth is projected to continue its moderate pace. Assumed stable oil prices, better business sentiment and improved credit conditions will support investment and consumption. Unemployment will remain low, but inflation will decline further on the back of sluggish demand and low import prices. However, low productivity, a shrinking workforce, a relatively strong ruble and international sanctions weigh on the outlook. Income inequality and poverty remain high,” the OECD said.

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