World Economy

Russia Expects Positive Change in GDP

Russia Expects Positive Change in GDPRussia Expects Positive Change in GDP

The dynamics of Russian GDP will become positive in the near future, Minister of Economic Development Alexei Ulyukayev said on Tuesday in a meeting with Japan’s business community.

“The situation in the real sector of the economy is improving. While production output declined 3.7% last year, its contraction lowered to 1.2% in the first quarter of 2016 and 0.8 in May. We expect GDP dynamics to become positive in the coming future,” Tass quoted the minister as saying.

Dynamics of industrial production has already become positive, Ulyukayev said.

“This pertains to producing branches and to the processing industry since May of this year. Nevertheless, many problems remain and we need to use the potential definitely and objectively existing in our trade and economic relations,” minister added.

He said Russia and Japan were discussing creation of a joint investment platform with the participation of the Russian Direct Investment Fund.

“Of course, it is necessary to create mechanisms of support trade and investments. We are discussing creation of an investment platform. From the Russian side this will be the Russian Direct Investment Fund, which was set up in order to invest together with foreign investors, to create comfortable conditions for them legally and financially for investments in the Russian Federation.

As for the Japanese side, we are working with large institutions such as Japan’s Bank for International Cooperation. We think that it will bring a good result,” Ulyukayev said.

Russia proposed Japanese company JDC to create a joint project for establishing facilities for production of liquefied natural gas in Sakhalin and along the pipeline Power of Siberia, said Ulyukayev in an interview with Japanese TV channel NHK.