World Bank has revealed successes of Russian economy

The World Bank in the annual report on the state of the Russian economy revealed its successes compared to many other countries, reports the “Renta.ru” correspondent from the online presentation.

According to the World Bank, Russian GDP in 2020 decreased by three percent – while the global economy decreased by 3.8 percent, and the economy of developed countries is 5.4 percent. The total GDP of developing commodity exporting countries in 2020 decreased by 4.8 percent.

“There are several factors that helped Russia to achieve relatively higher results: in recent years, Russia has conducted a great job to ensure macrobal stability, which led to an improvement in the situation in the fiscal sector,” the World Bank specialists say.

Primary budget deficit without taking into account oil and gas revenues in 2020 amounted to 4.7 percent of GDP against 9.7 percent in 2013. There is also a significant amount of accumulated reserves, in particular the National Welfare Fund, the size of which is 185.8 billion dollars as of May 1, or 11.6 percent of GDP.

“The work carried out by the government to implement a major package of anti-crisis fiscal stimulation measures of about 4.5 percent of GDP (which is comparable to the packages of measures taken by other EMDE countries) and pursue a stimulating monetary policy (from February to July 2020 The key rate decreased by 200 base points), “the report says.

Also there is also the contribution of other factors, among which are soft limitations for industry and a separate construction industry during a coronavirus pandemic, close ties with China and a relatively small amount of services sector.

/Media reports.