Economic Development Ministry maintains forecast for Russia's GDP to contract 2.9% in 2022- Reshetnikov

MOSCOW. Dec 5 (Interfax) - Russia's Economic Development Ministry expects the country's GDP to contract 2.9% in 2022, Economic Development Minister Maxim Reshetnikov said when speaking on Monday at the Russia-Myanmar business forum in Naypyidaw, Myanmar.

"The Russian economy has managed to withstand several waves of unilateral sanctions. While many foreign experts had expected the Russian economy to fall from 8% to 10%, we expect Russia's GDP to contract only 2.9% by the end of 2022," the Economic Development Ministry has quoted the minister as saying at the forum during his visit to Myanmar, where he held a meeting with the intergovernmental commission on trade and economic cooperation.

"Inflation in Russia has slowed to an annual level of 12%, and three-month inflation has averaged lower than 3% per year," the minister also noted.

"Our key priority now is to maintain business activity and further develop an open economy and free enterprise. We are creating opportunities for companies to rebuild logistics and find new partners," Reshetnikov said.

Reshetnikov noted that some foreign companies are leaving the Russian market, "and this creates space for alternative players."

"We invite Myanmar companies to take advantage of these opportunities and take the remaining places," he said.

As reported, the Economic Development Ministry said that Russia's GDP contracted 4.4% year-on-year in October 2022 after a decline of 4.5% year-on-year in September, 3.5% in August, 3.9% in July, and 5 .1% in June; and a rise of 3.9% in May, 3.3% in April, 1.5% in March, 4% in February, and 5.9% in January.

The Economic Development Ministry has estimated the decline in Russia's GDP at 2.1% in January-October 2022.