Bloomberg Predicts a Drop of Russia’s GDP by 16 % in the Second Quarter of 2020
OREANDA-NEWS. In the second quarter of 2020, decline of Russia’s gross domestic product (GDP) will be 16 %, this is the worst quarterly figure since the beginning of the 1990s. It is reported by Bloomberg, the agency’s forecast is based on data from the Russian Ministry of Finance.
Due to restrictions imposed in connection with the coronavirus spread, economic activity in the country decreased and revenues fell. According to Bloomberg’s calculations, in April, when there was non-working period in Russia, the economy of the country contracted by a quarter. The agency writes that the amount of damage to the economy can be estimated from the data on budget expenditures and revenues during this month.
Bloomberg Economics’ analyst Scott Johnson believes that the effects of restrictive measures will seriously influence the Russian economy, and the decline in GDP in the second quarter is likely to be deeper than during the global financial crisis of 2008.