Russian inflation and GDP forecast

Recent forecasts for the Russian economy present a mixed picture, with inflation expected to rise in the short term while GDP growth is predicted to slow down. The Central Bank of Russia anticipates inflation to reach 4-4.5% by the end of the year, driven by external factors such as rising global commodity prices and supply chain disruptions.

On the other hand, GDP growth is expected to decelerate from the robust 4.8% in 2021 to around 3% in 2022. This slowdown is primarily attributed to the impact of Western sanctions, as well as structural constraints and weak investment activity. The ongoing geopolitical tensions and uncertainty surrounding the conflict in Ukraine also pose significant risks to the Russian economy.