Apr 25, 2024 (MENAFN via COMTEX) --
(MENAFN) The International Monetary Fund (IMF) foresees a continuation of steady economic growth for Russia throughout 2024, as stated by Alfred Kammer, the head of the IMF's European Department, during a press briefing following the release of the agency's latest European Economic Outlook.
Despite the wide-ranging sanctions imposed on Russia, Kammer highlighted the resilience displayed by the Russian economy, emphasizing its ability to maintain growth momentum. He attributed the robust economic performance to several key factors, including sustained oil export volumes amid high prices, a rebound in consumption, growth in real wages, and a strong labor market.
A significant driver of economic growth, according to Kammer, has been a notable increase in investment, particularly in state-owned enterprises operating in the security and defense sectors. Additionally, there has been a surge in investment related to import substitution efforts, further bolstering economic activity.
While acknowledging limited fiscal support, Kammer noted that the majority of such support has been directed towards security and defense expenditures, contributing to the overall positive growth outlook for Russia.
In line with its optimistic assessment, the IMF has revised its growth estimate for the Russian economy upwards, anticipating a GDP expansion of 3.2 percent for the year 2024. This revision represents a notable increase from the IMF's previous projection of 2.6 percent in January.
Moreover, the latest projections position Russia ahead of several major Western economies in terms of growth, including the United States, United Kingdom, France, and Germany.
The IMF's reaffirmation of Russia's economic resilience and growth prospects amidst sanctions underscores the complex dynamics at play in the global economic landscape. Despite facing external challenges, Russia continues to demonstrate resilience and adaptability, positioning itself as a significant player in the international economic arena.
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COMTEX_451423761/2604/2024-04-25T17:21:55
