Russian GDP in Jan-Sept rose 2.8%, and grew over 5% in September - Mishustin
MOSCOW. Oct 31 (Interfax) - Russia's GDP for January-September 2023, according to preliminary estimates, grew 2.8% while annualized growth exceeded 5% in September, Russian Prime Minister Mikhail Mishustin said at a meeting on economic issues.
"Based on the results of 9 months, the increase in GDP was 2.8%. This is a preliminary estimate from the Ministry of Economic Development. If we take September separately, the growth rate was almost twice as high; more than 5% in annual terms," he said during his assessment of economic dynamics for January through September.
"By the middle of the year the economy had almost completely recovered to pre-crisis levels," he said.
"Some decline still persists in the oil and gas sector. Those export routes took decades to build. Serious investments were made, and enormous resources and forces were deployed. Moreover, of course, it takes more time to redirect supplies and negotiate with new buyers, to find new markets. However, there are changes here as well. Coal production is growing. In September - more than 2% year on year," the Prime Minister said.
Mishustin said that in January-September the production of industrial goods increased over 3% (3.3% according to Rosstat).
"The driving force here, and we have already talked about this several times, is the manufacturing sector. Over the nine months of the year, growth there has exceeded 7% (7.1% according to Rosstat). For the fifth month in a row, the main driver has been provided by mechanical engineering with a rate of over 22%. "Together with the chemical and metallurgical sectors, these three complexes account for almost 90% of the expansion in manufacturing output. Double-digit indicators are also observed in sectors such as computers, electronics and optical products, electrical equipment, furniture, and a number of others," the Prime Minister said.
Mishustin also said that "in the international sphere, our exporters are finding new footholds." "A trend towards deepening cooperation with friendly states has clearly emerged despite the current pressure from the West. In January-August, trade turnover with them (friendly countries), according to the Ministry of Economic Development, increased by 22%," he said.
As reported, the Ministry of Economic Development in September raised the forecast for Russian GDP growth in 2023 to 2.8% from 1.2% in the April version. Last week, the Central Bank raised its forecast for Russian GDP growth in 2023 to 2.2-2.7% from 1.5-2.5%.
In 2024, the Ministry of Economic Development expects Russia's GDP to grow 2.3%, while the Central Bank is only expecting 0.5-1.5%.