IMF predicts Russia's economy will continue to shrink
The International Monetary Fund (IMF) has predicted that Russia’s economy will continue to decline in 2016, although not as much as last year. RIA Novosti reported that this was said by the head of the IMF, Christine Lagarde, at a press conference on Wednesday.
She was asked to comment on Russian President Vladimir Putin’s statements that the Russian economy will grow in 2016. “Those statements might be seen as good news for Russia but we do not have a positive forecast for their economy. We still think that the Russian economy will continue to shrink, less than in 2015, but shrink nonetheless,” Lagarde said.
While speaking at the St. Petersburg International Economic Forum, Putin said that “Russia has been able to solve the most pressing current problems in the economy. We expect a resumption of growth in the near future. We have kept the reserves and the outflow of capital has significantly decreased five times in comparison to the first quarter of 2015”.
Putin previously announced the plan to create an economic union with China.