Russian first-quarter growth supported by extractive sector and certain service-sector branches

The latest Rosstat figures show Russia’s seasonally adjusted gross domestic product in the first quarter contracted by 0.4 % from the previous quarter. Prior to that, seasonally adjusted GDP had grown almost uninterruptedly since mid-2016. Russian GDP in the first quarter of this year was 1.8 % larger than it was in 2014.

Russian GDP rose by 0.5 % y-o-y in the first quarter of this year. Growth was supported in particular by high growth in the extractive sector (4.6 %), even if the pace of growth slowed from late 2018. There was also high growth in some service branches. Financial services increased by 7.6 % y-o-y, while tourism was up by 4.8 %. Both fields have experienced strong growth since 2017. Manufacturing growth in the first quarter was up by just 0.6 % y-o-y. There was virtually no growth in the construction sector.

Russia’s seasonally adjusted real gross domestic product

Source: Rosstat