PRESS: Russian ministry forecasts sanctions, high inflation till ‘19

MOSCOW, Mar 3 (PRIME) -- Russia’s Economic Development Ministry has prepared basic parameters of its future forecast for 2016–2019, it implies that western sanctions will continue for the entire forecast term and inflation will stay above the central bank’s target of 4% even in 2019, business daily Vedomosti reported Thursday citing a draft document.

Oil prices will remain below U.S. $50 within the four years. Inflation is expected at 7.7% in 2016, 6.2% in 2017, 5.5% in 2018 and 2019.

Limited access to foreign capital markets will curb capital outflow to $15 billion in 2019 from $35 billion in 2016.

“This is not the forecast, just some first estimates,” a representative of the ministry said, the daily reported.

The official economic development forecast for 2016–2018 is seen as outdated by government officials, a new one will be presented by April.

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