Russia raises its inflation, GDP, capex forecasts

Russian economy ministry issues revised forecasts

  • 2021 GDP growth forecast up to 3.8% from 2.9%
  • lifts Urals oil
    price forecast to $65.9/bbl from $60.3/bbl
  • 2021 inflation
    forecast to 5% from 4.3%
  • 2021 capital
    investment growth forecast to 4.5% from 3.3%
  • 2021 average
    dollar/rouble rate to 72.8 from 73.3 seen in April

The ministry comments on the higher forecasts:

  • We see the economy is recovering faster than we had expected
  • Our experts say the economic recovery potential is not exhausted yet

On the currency:

  • We all realise that the rouble price should be different at oil prices of $75 per barrel
  • current rouble weakness blamed on sanction risks, OPEC+ uncertainty around global oil output.

Russia’s inflation target is 4%, the latest reading has it at 6.5%. Russia’s central bank is expected to raise its key rate again from 5.5% on July 23. 

USD/RUB daily chart:

News

Articles You May Like

Ulta Beauty shares pop as retailer beats earnings expectations despite demand fears
Dollar Slips Versus European Peers Post-NFP, Maintains Ground Against Others
If Trump wants to kill inflation, the first thing he needs to do is get more homes built
Great weekend news for gold bulls as China’s central bank resumes buying
OPEC makes deepest cut yet to world demand forecast

Leave a Reply

Your email address will not be published. Required fields are marked *