MOSCOW, December 13. /TASS/. Alarmist scenarios about problems in the Russian economy did not come true - the decline in its GDP by the end of the year will be less than 3%, Prime Minister Mikhail Mishustin said on Tuesday.
"The adaptation period to current challenges continues, there is a recession in the economy, but the situation is better than in many other countries," he said, citing data from the Ministry of Economic Development, which "forecasts a decline in GDP at the end of the year at a level of less than 3%."
"Of course, some slowdown cannot be avoided, but it is already obvious that the negative scenarios did not materialize, as many alarmists assumed at the beginning of the year," the Prime Minister stressed.
In his opinion, "even during the last global crisis, the economic drawdown was more severe, while the conditions are incomparable."
Mishustin noted that "industrial production continues to recover - in October it increased by more than 5% compared to September." "We see the main growth in industries that are focused on domestic demand, mainly the machine-building complex," the Prime Minister said. According to him, "investments in fixed capital are growing - in the third quarter they increased in real terms by more than 3% compared to the same period last year." "This is happening due to several factors, the gradual recovery of corporate lending activity, the reformatting of economic ties and technological processes," he added. He drew attention to the fact that "the unemployment rate is still below the 4% mark, and inflation in November in annual terms fell below 12%."
Mishustin also added that the West, which has been seeking to destroy the Russian economy, has underestimated its strength. He said, "Western countries have undertaken actions to destroy the Russian economy and destabilize the society. However, our opponents have underestimated how impervious our system is to external influence and how potent all the means to support it are."
According to Mishustin, "the steps taken by the government under a priority action plan to sustain the economy amid external pressure have proved effective and enabled keeping the budget stable and helping key sectors and households."
The head of government highlighted the important contribution the Expert Council has been making to efforts to develop the economy and the country’s social sphere amid new challenges which he said "required a clear and prompt response.".