Russia GDP Growth Confirmed At 0.5% In Q1

The Russian economy advanced 0.5 percent year-on-year in the first three months of 2017, in line with preliminary estimates and following a 0.3 percent expansion in the previous quarter. A rebound in mining, manufacturing and trade and a jump in transportation boosted growth, final figures showed. The economy returned to growth after a two-year recession that was mainly caused by low oil prices and sanctions imposed on Russian individuals and businesses in response to the annexation of Crimea.
Joana Taborda | joana.taborda@tradingeconomics.com 6/16/2017 1:40:18 PM
Recoveries were seen in mining (3.5 percent from -0.1 percent in Q4 2016), manufacturing (1 percent from -0.6 percent) and wholesale and retail trade (0.2 percent from -0.6 percent). The output for transportation and storage (3.3 percent from 1.2 percent) expanded faster. In contrast, a slowdown was seen for utilities (0.9 percent from 5.5 percent) and financial activities (0.1 percent from 1.7 percent).  

On the other hand, main declines were seen in contruction (-4.5 percent from -1.9 percent); health and social services (-1.9 percent from -1.7 percent); agriculture (-0.9 percent from +3.2 percent) and real estate (-0.9 percent from +1.2 percent).

The central bank recently increased its GDP growth forecasts for 2017 to 1.3-1.8 percent from 1-1.5 percent. 

Russia GDP Growth Confirmed At 0.5% In Q1