Putin: the economy is really growing, no overstating here

Russian President Vladimir Putin has commented on the current macro-economic situation answering a question what are sources of the economic growth the Russian economic development ministry led by Maxim Oreshkin is reporting.

“It [the Russian economy] is really growing; it is an evident fact, there is no overstating here,” Putin said citing current indices on the GDP growth (1.6%), industrial output (1.6%), where car industry, chemical industry and pharmaceutical industry are showing very good rates, and agriculture (this year, expected growth is 3%).

“First, we have overcome two well-known shocks of 2014-15: drastic drop in energy prices and external limits, the so-called sanctions. They did not influence like the drop in oil prices, but still they did. Second, our development has been more resting upon domestic demand, which is quite important for any economy. We have come out of recession and entered the stage of steady development,” Putin said. So, he believes that Maxim Oreshkin and his ministry are objective in their assessments of the Russian economy.

Putin also paid attention to the statistics in investment growth (4.2%). “This means that the investments in development are twice more than what we have now. For a medium-term perspective, the development is already secured, money is invested,” he noted adding that direct foreign investments in the Russian economy total $23 bn this year, which is twice more comparing to last year.