UPDATE: Minister: Russia may have zero economic growth by mid-2016

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STUTTGART, Germany, May 31 (PRIME) -- Russia is likely to have zero economic growth by mid-2016, Economic Development Minister Alexei Ulyukayev said at a meeting with German businessmen on Tuesday.

“We saw a significant fall of 3.7% of GDP (gross domestic product) last year, we are overcoming it gradually. There was a decrease of 1.2% in the first quarter, 0.7% in April. We expect that we will have zero economic growth by the middle of the year, after that the economy will be reviving gradually,” Ulyukayev said.

Russia’s GDP likely fell by about 0.5% on the year in May, Ulyukayev said, adding that the economy may start growing slowly in July–September.

According to the ministry’s basic forecast, the Russian economy will fall 0.2% in 2016.

Oil prices are reviving now and are likely to reach a new equilibrium of $50 per barrel or a bit more, the minister also said.

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