Russian economy returns to growth after pandemic-fueled downturn — RT Business News

Russia’s GDP expanded 0.5% in March, information from the Ministry of Economic Development reveals. It marks the primary month-to-month growth for the reason that coronavirus pandemic started to have an effect on the Russian economy one yr in the past.

The GDP price went into constructive territory final month after the year-on-year decline seen in January and February, when the Russian economy shrank 2.2% and a couple of.5% respectively, in accordance to the official report printed on Tuesday night. The economy was nonetheless down in quarterly phrases, however the decline in GDP slowed to 1.3% in contrast to a yr in the past.

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The efficiency of the Russian economy within the first three months of 2021 has improved in contrast to the top of final yr. According to statistics company Rosstat, GDP was down 1.8% within the final quarter of 2020 and decreased 3% for the entire pandemic yr.

The financial rebound was supported by continued restoration in manufacturing, freight turnover, in addition to the development sector. Machine-building and chemical industries have turn out to be the principle drivers of growth, the ministry famous.

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Earlier this yr, each the International Monetary Fund (IMF) and the World Bank raised their outlook for the Russian economy for 2021. The former positively revised its forecast for the second time, now anticipating Russia’s GDP to increase 3.8%. The World Bank now forecasts the Russian economy to develop by 2.9% this yr.

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