Russian Ministry for Economic Development shows pessimism

Russian Deputy Minister for Economic Development Andrey Klepach believes that a new crisis would not be as bad as it was in 2008-2009. The ministry will present its forecasts in September. Inflation forecasts increased from 5-6% to 7%. Predictions of oil prices were adjusted from $115 to $109 per barrel, although $100 was predicted at the start of the year, RIA Novosti reports.

The outflow of capital in July totaled $3-5 billion and may reach $50 billion this year, despite predictions of $25 billion. The Central Bank predicted $40 billion in July. $43.4 billion left the country in the first half of 2012.

No capital will arrive in 2013.

The ministry expects dynamics of 3.8-4% in 2012, compared with 4.3% in 2011. Forecasts dropped from 3.7% to 3.4%.

Investments increased by 8.3% in 2011. The ministry had expected them to increase by 7.8% in 2012, but 6.6% was predicted in April. Gazprom reduced its investments.

Klepach predicts no budget deficit in 2012. It is currently at 0.1% of the GDP and may increase to 1.5% of the GDP.