Russia’s income began to grow again in spite of the West’s sanctions

By Olga Samofalova

The Russian economy has got used to and overcome the effects of sanctions.
After a difficult first half of the year, when Russia’s oil and gas revenues fell sharply and the budget faced large deficits, the Russian economy has begun to emerge from its slump. The growth of the country’s income and GDP shows that the Russian economy has fully adapted to sanctions, said Prime Minister Mikhail Mishustin. It has really taken off in the second half of the year and is continuing to go up in spite of the West’s sanctions.
The statistics show that the Russian economy has adapted to its current challenges, the Prime Minister Mikhail Mishustin said.

According to him, in August the budget has already reached a surplus of 230 billion rubles, plus the consolidated budget balance of the regions gave another 140 billion rubles. This was largely due to a significant increase in non-oil and gas revenues, which at the end of August exceeded 1 trillion 820 billion rubles, which is 56.5% more than last year, the head of government noted. This situation gives grounds for an improvement in the budget situation in 2024, he believes.

“Since the third quarter of 2023, economic growth has begun in Russia and has consolidated. According to the Ministry of Economic Development, in July GDP exceeded the 2022 level by 5%, and the level of two years ago – by almost 1%. In general, over the seven months of 2023, the figure increased by more than 2%,” Mishustin emphasized.

Industrial production made the main contribution to the country’s GDP growth. “In July, industrial production increased by almost 5%, in June – about 6%. If we take seven months, the main driver was the manufacturing industry. There the growth was about 6%,” the Prime Minister specified. According to him, the production of computers, electronics, optics is above 30%, electrical equipment – more than 20%. There are good indicators in the metallurgical and food industries, in the production of clothing, plastic products, rubber and furniture, Mishustin concluded.

“It cannot be said that sanctions did not affect the Russian economy.
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Russia’s income began to grow again in spite of the West’s sanctions

By Olga Samofalova The Russian economy has got used to and overcome the effects of sanctions. After a difficult first half of the year, when Russia’s…