Russia CB Sees 1.8% GDP Growth

Russia’s economic growth rates are close to potential, Central Bank Chief Elvira Nabiullina said Thursday, adding that this year’s GDP growth is expected to reach 1.8%, Tass reported. “The economy is rising, though growth rates are not very high so far. According to our estimations, current (growth) rates are close to potential,” she said, adding that “2017 annual GDP growth rates will reach 1.8%.” The Bank of Russia projected a 1.7-2.2% GDP growth for 2017 in end-October. According to the regulator, it will be possible to reach annual growth above 1.5-2% in case of structural reforms. Lending to the Russian economy will continue growing in recent years by 7-10% per year, she noted. “According to our estimates, lending will continue growing in coming years, by 7-10% annually. The central bank estimated that lending growth is 4.7% year-to-date, she said. Retail lending is recovering quicker—it is already above 9%. Inflation in Russia amounted to 2.6% in annual terms as of November 15, 2017, she said.