OREANDA-NEWS This year, Russia's GDP will decrease by 1.5 percent, and next year the growth will be one percent. This is stated in the May report of the European Bank for Reconstruction and Development (EBRD) on the state of the economy in the region.

Compared to the February report, the forecast has been improved twice. At that time, the organization expected the Russian economy to fall by three percent in 2023. Expectations for 2024 have not changed.

At the same time, the EBRD stressed that the results of the Russian economy largely depend on the impact of international sanctions and the further course of the conflict in Ukraine.

Earlier, the European Commission (EC) improved its forecast for Russia's GDP. Now the European authorities expect a fall of 0.9 percent, not 3.2 percent, as it was in the fall. In 2024, growth is expected to be 1.3 percent, not 0.9 percent.

At the same time, the EC raised the values of expected GDP growth in the eurozone and the European Union compared to the previous forecast — from 0.3 percent to 1.1 percent and from 0.8 percent to 1 percent by the end of this year.