MOSCOW, December 16. /TASS/. The decline in Russia's GDP in 2022 will be closer to 3%, Governor of the Bank of Russia Elvira Nabiullina at a press conference following a meeting of the board of directors of the regulator.

"Our most recent forecast (for a decline in GDP in 2022), which we gave in October, was 3-3.5%. According to our expectations, the decline in GDP will be around 3%. But of course, everything will depend on the economic dynamics in November-December - GDP may fall by less than 3% this year," she explained.

According to the previously published medium-term forecasts by the Bank of Russia, the country’s GDP in 2022 will decrease by 3-3.5%. The Russian economy will move to growth in the second half of 2023, however, by the end of the year, the GDP growth rate will remain negative and range from -4% to -1%. In 2024-2025, the Russian GDP will grow by 1.5-2.5% annually, the regulator believes.

According to her, the Bank of Russia will update the GDP forecast for 2023 in February "taking into account the factors that have happened."

Earlier on Friday, the Bank of Russia once again decided to keep the key rate at 7.5% per annum. "The Bank of Russia Board of Directors decided to keep the key rate at 7.50% per annum. Current consumer prices are growing at a moderate rate, and consumer demand is subdued. Inflation expectations of households and businesses, essentially unchanged, remain elevated. At the same time, pro-inflation risks are up and prevail over disinflationary risks. This comes as a result of rising inflation pressures from the labor market, worsening foreign trade conditions and a softer fiscal stance," the statement said.

The Bank of Russia Board of Directors will hold its next meeting on the key rate on February 10, 2023.