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    IMF Raises Russia's 2019 GDP Growth Projections to 1.8% - Report

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    WASHINGTON (Sputnik) - The International Monetary Fund projects that global growth will remain steady over 2018–19 at last year’s rate of 3.7 percent, 0.2 percentage point below the April predictions, according to its latest World Economic Outlook (WEO) report.

    "…our international growth projections for both this year and next are downgraded to 3.7 percent, 0.2 percentage point below our last assessments and the same rate achieved in 2017," the report says. "At the global level, recent data show weakening in trade, manufacturing, and investment. Overall, world economic growth is still solid compared with earlier this decade, but it appears to have plateaued," the October WEO stresses. The April 2018 WEO projected global growth to rise to 3.9 percent in both 2018 and 2019.

    Meanwhile, the IMF has raised its projections for Russian economy growth in 2019 to 1.8 percent, according to its latest World Economic Outlook report. The previous WEO, published in July, projected Russia's GDP growth at 1.7 percent in 2018 and 1.5 percent in 2019.

    According to the report, the current changes in projections for Russia are largely supported by higher oil prices and recovering domestic demand.

    Priority areas in Russia to ensure further economic growth "include improving property rights and governance, enhancing the institutional infrastructure, reforming labor markets, and investing in innovation and infrastructure," the report says.

    READ MORE: Russia May Start Using Euro in Trade With European Union

    The International Monetary Fund has also slightly lowered its forecast for average oil prices in 2018 and 2019 to $69.38 and $68.76, respectively, according to its latest WEO report.

    "Oil prices are expected to average $69.38 a barrel in 2018 (higher than the April 2018 WEO projection of $62.30 and the 2017 price of $52.80 a barrel). Global oil supply is expected to gradually increase over the forecast horizon, lowering oil prices to $68.76 a barrel in 2019, and further to about $60 a barrel in 2023," the report says.

    In July, the IMF projected an increase in the average price of oil, expecting them to amount to $70.23 in 2018 and $68.99 in 2019.

    READ MORE: 'US Sanctions on Russia May Backfire and Hurt Global Economy' — Market Analyst

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    projection, GDP, growth, economy, International Monetary Fund, Russia
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