VILNIUS, September 25 (RIA Novosti) - Russia's economic slowdown will negatively affect European markets, the President of the European Central Bank (ECB) Mario Draghi said at a press conference in Vilnius.
Draghi highlighted that as Russia's economy shrinks; growth slowed considerably, which in turn will have an impact on the European Union.
In an updated version of macroeconomic prognosis for the Russian economy, the Russian Ministry of Economic Development said it cut expected GDP growth rates from 2 to 1 percent in 2015, with a 2.3-percent growth predicted in 2016 and a 3-percent rate in 2017.
The ministry's outlooks on inflation stand at 6 percent in 2015, 4.5 percent in 2016 and 4 percent in 2017.
Earlier this month, Russian Finance Minister, Anton Siluanov said that instead of an earlier planned surplus of 0.4 percent of the GDP the Ministry now hopes be deficit-free by 2014, while in 2015-2017 it expects a budget deficit of 0.4 to 0.5%.
The Russian federal budget has shrunk partially due to the implementation of new infrastructure projects, support for agriculture and the development of Russian regions.
