MOSCOW, May 31. The Russian economy grew in April for the first time in a year — GDP showed an increase of 3.3% in annual terms after a decrease of 0.7 % in March; in January-April, the decline is estimated at 0.6%, according to the review of the Ministry of Economic Development «On the current situation in the economy.»
«In annual terms, GDP exceeded the level of last year by 3.3% (minus 0.7% in annual in March), including taking into account the low base,» the document says.
Also, according to the ministry, GDP in April grew by 0.2%, excluding the seasonal factor, after rising by 1.1% a month earlier. At the same time, as noted in the review, compared to April 2021, the decline in GDP amounted to 0.6%.
The authors of the review indicate that the economy was supported in April by industrial production — it grew with the elimination of the seasonal factor by 1.8%.
«Manufacturing industries showed high growth rates in April in annual terms: by 8% (after 6.3% in March), which is partly due to the effect of the low base of last year (against the level of April 2021 — an excess of + 5.6%). .. In terms of sectors, an improvement in annual dynamics was observed in the oil refining complex: growth by 15.9% yoy after 9.3% yoy a month earlier… A significant contribution to the dynamics of the manufacturing industries in April continued to be made by the metallurgical and machine-building complexes» , — follows from the document.
In addition, the review notes that the growth of investments in fixed assets in the first quarter of 2023 by 0.7% in annual terms was higher than the expectations of the Ministry of Economic Development of the Russian Federation. «Consumer activity in April is growing both compared to last year and to the level of two years ago. The total turnover of retail trade, public catering and paid services to the population was 7.4% higher than last year after minus 1.9% year-on-year in March (plus 0.1% by April 2021),» the Ministry of Economic Development also added.
The ministry predicts that Russia's GDP growth in 2023 will be 1.2%. The Bank of Russia also expects the growth of the country's economy in 2023 — in the range of 0.5-2%. In mid-May, the head of the ministry, Maxim Reshetnikov, did not rule out that growth could be slightly higher than the ministry's forecast. According to Andrey Belousov, First Deputy Prime Minister of the Russian Federation, Russia's GDP growth in 2023 may reach 2% (the upper limit of the Central Bank's forecast range).