Deputy Minister of Economic Development Andrey Klepach called 2013 the ‘year of missed opportunities’, says Vedomosti.
According to the official, the steps that had been taken were not enough to kick-start the economy and the government is certain to adopt a new package of reforms so that 2014 isn’t wasted, either.
The authorities weren’t even able to avert a slowdown, the Interfax news agency quoted him as saying.
Capital outflow is expected to total $55-60 billion, in line with the annual forecast while the GDP growth rate proved to be half as much, with 1,4 percent against the initial estimate of 3.6 percent.
In June 2013, Alexey Ulyukayev replaced Andrey Belousov as Economic Development Minister, but has so far failed to kick-start the economy.
According to the IMF, Russia’s prospects “have been dampened by a weak external environment, some acceleration of capital outflows and declining equity prices and subdued investment”.
Industrial output has been flat within the past ten months, and the privatization campaign announced earlier by the Medvedev cabinet has stalled amid a bleak economic outlook and reluctance of state corporations’ management to share their revenues and power with foreign players.
Author: Mikhail Vesely