IMF raises Russia's GDP growth forecast for 2024

The International Monetary Fund (IMF) has raised its forecast for Russia's economic growth in 2024 to 3.2 per cent, according to the April review of the World Economic The fund forecasted the country's GDP growth to 2.6 per cent in January. The IMF also revised its estimate for 2025 to 1.8 per cent from 1.1 per cent.

The IMF said this dynamic is due to "a boom in investment in state-owned enterprises."

The Fund expects the world economy to grow by 3.2 per cent in 2024 (0.1 p. p. above the January estimate). The forecast for 2025 remained at 3.2 per cent.

The improvement in the IMF's forecast for Russia's economic growth is primarily due to the recognition of the obvious fact that the economy has adapted to the sanctions, said Mikhail Khachaturyan, associate professor at the Department of Strategic and Innovative Development of the Financial University under the Government of Russia.

"According to the results of the 1st quarter, Russia's GDP grew by 4 per cent in annual terms. The main drivers of growth were manufacturing industries. For example, the machine-building industry grew by more than 30 per cent in 1st quarter, the metallurgical industry by 18 per cent, and the food industry by 13 per cent. It is obvious that these sectors, as well as agriculture, will be the pillars of the Russian economy in 2024"

Mikhail Khachaturyan Expert in the field of economics of BRICS, SCO, ASEAN countries

Earlier, Mikhail Mishustin, head of the Cabinet of Ministers, said during a speech in the State Duma that Russia's GDP will increase by 3.6 per cent in 2023.

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