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Russia’s Q1 GDP growth reaches 0.6%, similar rates expected in Q2 — Bank of Russia

The Bank of Russia experts noted that the Russian economy remains on a growth trajectory, fueled by growing demand from the state, the population, and investments

MOSCOW, May 30. /TASS/. Russia's GDP growth in the Q1 of 2023 amounted to 0.6%, similar rates are expected in the Q1, the Bank of Russia said on Tuesday.

"Based on preliminary data from Rosstat, GDP growth in the first quarter reached 0.6% q-o-q. Operational data indicate that a similar GDP growth rate would be maintained in the second quarter," the regulator said.

The Bank of Russia experts noted that the Russian economy remains on a growth trajectory, fueled by growing demand from the state, the population, and investments.

"The recovery in consumer demand has become a noticeable and growing trend in recent months. It is driven by growing demand for labor with a supply shortage, accelerating growth of real wages, increasing consumer confidence, and a declining anxiety, as well as savings made in previous quarters, when there was a high savings rate," the regulator's experts pointed out.

At the same time, the expert said that the expansion of output still limits external demand.