VEB says Russia’s GDP growth excluding seasonality slows in June

MOSCOW, Jul 27 (PRIME) -- Russia’s gross domestic product (GDP) growth excluding seasonality slowed down to 2.6% on the year in June from 3% in May, Vnesheconombank (VEB) said in a monthly monitoring report on Thursday.

“In June 2017, the economic growth slowed down after a fast increase in the three previous months. VEB’s estimate showed that GDP remained at the level of May excluding seasonal and calendar factors…Compared with a corresponding period of last year, growth of the economy in June slowed down to 2.6% from 3% in May,” VEB said.

Construction and trade expanded 0.4% in June, while industry contracted by 0.5% with mineral extraction falling 0.1%, processing industry contracting 0.6%, and production and distribution of natural gas, power and water decreasing 1.5%.

Agriculture also contracted 1%, VEB said.

VEB Chief Economist Andrei Klepach said that investment activity is growing in Russia, including the construction sector and car imports. In April–June, the GDP went up 2.4% on the year and 1.1% on the quarter, he added.

End