Russian first deputy PM: We expect growth in certain industries to resume as monetary policy softens

YEKATERINBURG. July 7 (Interfax) - Several industry branches are seeing a decline in production indicators and a softer monetary policy would make growth possible again, first deputy prime minister of Russia Denis Manturov said at the final meeting of the Russian Industry and Trade Ministry.

"Manufacturing industries had a good result in 2024, 8.5% growth. They also had growth of 4.2% in the first five months of this year. At the same time, the cooling in the economy is slowing down certain industries. We are seeing a certain decline in production figures in a series of areas not linked to the defense industry," he said.

"The ministry needs to pay special attention to this situation and not delay the final adjustments to support measures. There are currently targeted efforts ongoing. We hope that growth in these industries will resume as monetary policy softens," Manturov said.

He also said that the state was prepared to support investment in the industries through regulatory measures, among others. "It is crucial that we don't allow key investment projects to be moved. Many large companies can use their own reserves to implement them, but the state should help reduce business costs and deploy all systemic support mechanisms on federal and regional levels when the key rate is high and there are external restrictions."

He said that this could include consolidating demand for Russian products and stricter monitoring of adherence to the national state procurement regime. The government also intends to use technical regulations and standards as well as tariffs to protect the domestic market.