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Russia's GDP grows by 5% in five months, higher than forecast — PM Mishustin

According to Mikhail Mishustin, figures in the real sector of the economy are also positive
Russian Prime Minister Mikhail Mishustin Alexander Astafyev/POOL/TASS
Russian Prime Minister Mikhail Mishustin
© Alexander Astafyev/POOL/TASS

MOSCOW, July 12. /TASS/. Russia's GDP grew by 5% in the first five months of this year, which is significantly higher than forecast, Russian Prime Minister Mikhail Mishustin said at a meeting on economic issues.

"Today we will discuss the current situation in the economy. The dynamics remains high - in May growth accelerated slightly compared to April to 4.5%. If we take the statistics for five months, the gross domestic product increased by 5% compared to the same period last year. This is significantly higher than forecasts, despite all attempts from outside to stop us," he said.

According to Mishustin, figures in the real sector of the economy are also positive. From January to May, the manufacturing sector grew by almost 9%. Mishustin cited machine building as one of the key drivers in this area, "which showed double-digit growth rates."

"What is very important is that investment continues to grow, which means that a good foundation is being laid for the future. At the end of the first quarter, they (investments - TASS) increased by almost 15%, mainly due to machinery, equipment, investments in intellectual property," the Prime Minister said, noting that companies have their own resources for this, as their profits increase. Also, according to him, the regions have become more active in investing in the development of enterprises.

"There is a very high level of consumer activity, mainly due to the growth of private incomes. However, the same factor also contributes to the growth of inflation. As of July 1, it amounted to 4.5% from the beginning of the year," the Prime Minister said. Mishustin emphasized that the issue of inflation "must be dealt with constantly," as the living standards of Russians depend on it.

"Despite the summer period, we need to constantly monitor the macroeconomic situation and, if necessary, promptly adjust our action plan in this area, of course, in cooperation with the Bank of Russia," he stressed.