Russian Economy Contracts 0.1% QoQ in Q1

In Q1 of 2013, seasonally adjusted Russian GDP fell 0.1 percent quarter-on-quarter, down from an expansion of 0.6 percent in Q4 of 2012. This contraction reflects a sharp drop in investment and a deterioration in external trade.
GKS | Nuno Fontes | nuno@tradingeconomics.com 7/1/2013 4:38:49 PM
In the first three months of 2013, gross fixed capital formation contracted 0.9 percent qoq, 4.5 percentage points down from the previous quarter. Exports grew 1.1 percent, a slower pace than imports which rose 2.7 percent. Private consumption was up 2.4 percent over the previous quarter and was the biggest upward pressure.

Mining and quarrying (-3.3 percent), production and distribution of electricity, gas and water (-0.8 percent) and agriculture (-0.7 percent) were the economic sectors registering the steepest falls. Financial services (+5.8 percent) and manufacturing (+4.3 percent) recorded the sharpest growth rates.

The 2013's economic growth forecast was slashed to 2.4 percent from 3.6 percent, well below the government's target of 5.0 percent.

Russian Economy Contracts 0.1% QoQ in Q1