Word Bank cuts Russian economic decline forecast to 1.9% in 2016

MOSCOW, Apr 6 (PRIME) -- The World Bank has worsened its forecast of Russia’s 2016 economic decline to 1.9% from 0.7% and of economic growth in 2017 to 1.1% from 1.3% due to low oil prices, it said in a report seen by PRIME on Wednesday.

Oil prices are likely to average U.S. $37 per barrel in 2016 and to rebound to about $50 per barrel in 2017, it said, adding that the future of the Russian economy still heavily depends on oil quotations.

In March, Russia’s central bank also worsened its baseline economic forecast to a 1.3–1.5% fall on condition that the oil price averages $30 per barrel in 2016. The central bank expects growth to pick up on the quarter in late 2016–early 2017.

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